Formation of the Union, 1750-1829Hart, Albert Bushnell
History
Formation of the Union, 1750-1829
Hart, Albert Bushnell
United States -- History; United States -- Politics and government
The passage of the bank bill in 1816 was to give the United States a
million and a half of dollars (Section 120). Calhoun, therefore, came
forward, Dec. 23, 1816 with a bill proposing that this sum be employed as
a fund "for constructing roads and canals and improving the navigation of
watercourses." "We are" said he, "a rapidly--I was about to say a
fearfully--growing country.... This is our pride and danger, our weakness
and our strength." The constitutional question he settled with a phrase:
"If we are restricted in the use of our money to the enumerated powers, on
what principle can the purchase of Louisiana be justified?" The bill
passed the House by eighty-six to eighty-four; it was strongly supported
by New York members, because it was expected that the general government
would begin the construction of a canal from Albany to the Lakes; it had
also large support in the South, especially in South Carolina. In the last
hours of his administration Madison vetoed it. His message shows that he
had selected this occasion to leave to the people a political testament;
he was at last alarmed by the progress of his own party, and, like
Jefferson, he insisted that internal improvements were desirable, but
needed a constitutional amendment. The immediate effect of the veto was
that New York, seeing no prospect of federal aid, at once herself began
the construction of the Erie Canal, which was opened eight years later.
[Sidenote: State improvements.] Other States attempted like enterprises;
but the passes behind the Susquehanna and Potomac rivers were too high,
and no permanent water way was ever finished over them.
122. THE FIRST PROTECTIVE TARIFF (1816).
[Sidenote: Increase of duties.]
[Sidenote: Jefferson's attitude.]
The protection controversy had hardly appeared in Congress since the
memorable debate of 1789 (Section 76). From time to time the duties had
been slightly increased, and in 1799 a general administrative tariff act
had been passed. The wars with the Barbary powers had necessitated a
slight increase of the duties, known as the Mediterranean Fund, and this
had been allowed to stand. Up to the doubling of the duties in 1812 the
average rate on staple imports was only from ten to fifteen per cent, and
the maximum was about thirty per cent. The whole theory of the Republican
administration had been that finance consisted in deciding upon the
necessary expenses of government, and then in providing the taxes
necessary to meet them. This theory had been disturbed by the existence of
a debt which Jefferson was eager to extinguish; and he therefore permitted
the duties to remain at a point where they produced much more than the
ordinary expenditure of the government.
[Sidenote: The manufacturers.]
[Sidenote: The West.]
Public-domain text, read in full here on John Shaqi.
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