Specie Circular, (July 11, 1836), in U.S. history, an executive order issued by President Andrew Jackson requiring that payment for the purchase of public lands be made exclusively in gold or silver .
What was the point of the Specie Circular?
In July 1836, President Andrew Jackson issued the Specie Circular. Under this act, the government would only accept gold or silver in payment for federal land . This act prevented working-class Americans from purchasing federal land in the West, including in Ohio, due to the lack of gold and silver.
What was the Specie Circular quizlet?
The Specie Circular was issued by President Andrew Jackson in 1836. It required payment for public lands be in gold and silver specie or certain sound money . ... This was due to the State Banks passing out bad loans they could not pay off.
Why was the Specie Circular created?
The Specie Circular was a reaction to the growing concerns about excessive speculations of land after the Indian removal , which was mostly done with soft currency. The sale of public lands increased five times between 1834 and 1836. Speculators paid for these purchases with depreciating paper money.
Why was the Specie Circular bad?
The “Specie Circular” was a decree that only gold and silver could be accepted in purchasing public lands [96]. Many in Jackson’s Cabinet objected because they saw a danger in it. The danger was that Congress may have seen it as a further abuse of executive power by Jackson and may have tried to supersede it[97].
Who was to blame for the Panic of 1837?
Martin Van Buren became president in March of 1837, five weeks before the Panic began; he was later blamed for the Panic.
What was the spoils system?
Spoils system, also called patronage system , practice in which the political party winning an election rewards its campaign workers and other active supporters by appointment to government posts and with other favours.
What did the force bill do quizlet?
1833 – The Force Bill authorized President Jackson to use the army and navy to collect duties on the Tariffs of 1828 and 1832 . ... issued by President Jackson in 1836, was meant to stop land speculation caused by states printing paper money without proper specie (gold or silver) backing it.
What was the political impact of the Panic of 1837 quizlet?
The Panic of 1837 led to a general economic depression . American banks dropped by 40% as prices fell and economic activity slowed down. Opposed Andrew Jackson and the Democratic Party. Clay ran against Jackson for presidency.
What was the Specie Circular Apush?
The Specie Circular (Coinage Act) was an executive order issued by U.S. President Andrew Jackson in 1836 and carried out by President Martin Van Buren (because Jackson was no longer in office). It required payment for government land to be in gold and silver.
Was the Specie Circular good or bad?
The Specie Circular, by seriously curtailing the use of paper money, was highly deflationary and at least in part produced the ensuing credit crunch and the economic crisis called the Panic of 1837.
Why were pet banks created?
President Jackson directed that this money should used to pay the government’s expenses, and that no more government money should be deposited in the bank. All future deposits were to made into certain state banks – those that were controlled by Jackson’s political friends and referred to as the ‘Pet Banks’.
What did the force bill of 1833 provide?
Force Bill, law passed by the U.S. Congress in 1833 that gave the president the power to use the military to enforce the collection of import duties if a state refused to comply with federal tariffs .
How did the Panic of 1837 lead to a nationwide depression?
The Panic of 1837 was a financial crisis in the United States that touched off a major depression, which lasted until the mid-1840s. Profits, prices, and wages went down; unemployment went up; and pessimism abounded . ... Nearly half of all banks failed, businesses closed, prices declined, and there was mass unemployment.
What three reasons does Jackson give for vetoing the charter?
This bill passed Congress, but Jackson vetoed it, declaring that the Bank was “unauthorized by the Constitution, subversive to the rights of States, and dangerous to the liberties of the people .” After his reelection, Jackson announced that the Government would no longer deposit Federal funds with the Bank and would ...
What is one reason that Andrew Jackson issued the Specie Circular in July 1836 requiring payment in gold or silver for all public lands?
To curtail these alarming trends, Jackson issued the Species Circular on July 11, 1836. The executive order meant that federal land could no longer be bought with paper money, but only with gold or silver . In Jackson’s view, this “hard’ money was the only currency that could be trusted.
