CHAPTER 30 DEMOCRATS AND WHIGS ,1837-1844
314. The Panic of 1837
The Panic was due directly to Jackson ＇ s interference with the banks , to his Specie Circular , and to the distri - bution of the surplus . It happened in this way . When the Specie Circular was issued , people who held paper money at once went to the banks to get gold and silver in exchange for it to pay for the lands bought of the govern - ment . The government on its part drew out money from the banks to pay the states their share of the surplus . The banks were obliged to sell their property and to demand payment of money due them . People who owed money to the banks were obliged to sell their property to pay the banks . So every one wanted to sel , and few wanted to buy . Prices of everything went down with a rush . People felt so poor that they would not even buy new clothes . The mills and mines were closed , and the banks sus - pended payments . Thousands of working men and women were thrown out of work . They could not even buy food for themselves or their families . Terrible bread riots took place . After a time people began to pluck up their courage . But it was a long time before " good times " came again .
用户评论