The economic consequences of the abolition of the Second Bank of the Essay

The economic consequences of the abolition of the Second Bank of the United States - Essay Example In 1837, the bank failed to renew its charter after Nicholas Biddle, the bank’s president, clashed with Andrew Jackson’s administration thereby leading to the liquidation of the bank in 1838 (Wilentz, 2008). Although proponents of the abolition of the Second Bank of the United States argued that the bank was responsible for inflation and was only improving the fortunes of an elite few, it played a number of critical roles with the primary responsibility being the main fiscal agent for the federal government thereby assisting in the stabilization of the economy and property values. For example, being the exclusive fiscal agent of the Federal government, BUS assumed a number of important economic roles some of which included holding and transferring all the U.S payments, deposits and receipts of nearly every government transaction as well as processing of tax payments. In this regard, the BUS was the exclusive depository of the Federal government, a role which made it the principal customer and stockholder. As a result, the abolition of the Second Bank of the United States in 1836 resulted in a diverse number of economic consequences some of which included inflation, increased national de bt, unemployment among other. This paper critically analyzes the various economic consequences of the abolition of the Second Bank of the United States in 1836. One of the immediate economic impacts of the shutdown of the second Bank of the United States was the loss of savings and investments. This was particularly attributed to the fact that the bank maintained the exchequer account where the federal government deposited its revenue for use by its agencies. Dowd, K, Hutchinson, M. (2010, 70) suggests that the Second Bank of the United States acted as the federal government banker. More importantly, the bank managed the accounts for departments and government ministries as well as Individual investors held both saving and liquid accounts. These accounts held a large

THE BUREAUCRACY Essay Example | Topics and Well Written Essays - 250 words

THE BUREAUCRACY - Essay Example In addition, the paycheck legislation was aimed at lobby support from law firm that will support President Campaigns. Therefore, it can be observed that there is a strong interaction between President Obama and democracy. For instance, rules, regulation and hierarchical of command had to be observed in implementation President Obama Paycheck legislation (Rove, paras.2-8). Bureaucracy entails a system of governance that is characterized by hierarchy of commands and directions. Further, it involves adherence to rules and legal procedures. This part has take into consideration the bureaucracy in bustling state; it involves an initiative undertaken to include employees, government agencies to enhance efficiency and effectiveness in the employee’s respective working areas. The initiative was aimed at bustling those who do not tell the truth via the social media. The policy was involved in employees working areas in order to enhance efficiency not only to the organization where they are working but also to the entire Michigan government. The head of bureaucracy in this area involve the Michigan government that focuses at ensuring integration of the entire population in order to come up with innovative solutions to address the problems at hand as well as improve the future of the next generations (Michigan.Gov,