Andrew Jackson President Andrew Jackson barred the proposed bill re-chartering the Second Bank of United States in July 1832. He disputed that the bill, in the form with which it had been presented to him, was totally incompatible with sound policy and justice as well as the constitution. In the veto message, the President argued that the Bank’s license was completely unfair by virtue of the fact that it gave the bank extensive, almost monopolistic power in the market particularly in the markets that facilitated financial resources across the country and in other countries as well.
Such market dominance amplified the banks profits and consequent stock price, “which operated as a gratuity of many million (of dollars) to the stakeholders,” who, President Jackson claimed, included majority of “foreigners” and “our own opulent” citizens. In his perspective, he recommended that, to be fairer to Americans, it was vital to develop or establish a bank that is wholly owned by the government or at least auction the monopoly privileges of the Second Bank of the US to the top bidder. …show more content…
To begin with, the charter conferred integrated state banks enhanced note redemption privileges than the ones accorded to average Americans and thereby creating “a bond of union among the banking establishments of the nation, erecting them into an interest separate from that of the people.”Secondly, it excused alien stakeholders from taxation while containing a section that allowed states to tax native stakeholders. President Jackson believed that the outcome of discrepant taxation would only drive majority of the stock abroad and therefore “make the American people debtors to aliens in nearly the whole amount due to this bank, and send across the Atlantic from two to five millions of specie every year to pay the bank
Such market dominance amplified the banks profits and consequent stock price, “which operated as a gratuity of many million (of dollars) to the stakeholders,” who, President Jackson claimed, included majority of “foreigners” and “our own opulent” citizens. In his perspective, he recommended that, to be fairer to Americans, it was vital to develop or establish a bank that is wholly owned by the government or at least auction the monopoly privileges of the Second Bank of the US to the top bidder. …show more content…
To begin with, the charter conferred integrated state banks enhanced note redemption privileges than the ones accorded to average Americans and thereby creating “a bond of union among the banking establishments of the nation, erecting them into an interest separate from that of the people.”Secondly, it excused alien stakeholders from taxation while containing a section that allowed states to tax native stakeholders. President Jackson believed that the outcome of discrepant taxation would only drive majority of the stock abroad and therefore “make the American people debtors to aliens in nearly the whole amount due to this bank, and send across the Atlantic from two to five millions of specie every year to pay the bank