/Money changes everything william goetzmann pdf

Money changes everything william goetzmann pdf

Please forward money changes everything william goetzmann pdf error screen to 216. Please forward this error screen to 198. The American School, also known as the “National System”, represents three different yet related constructs in politics, policy and philosophy.

It was the American policy from the 1860s to the 1970s, waxing and waning in actual degrees and details of implementation. Historian Michael Lind describes it as a coherent applied economic philosophy with logical and conceptual relationships with other economic ideas. It is the macroeconomic philosophy that dominated United States national policies from the time of the American Civil War until the mid-twentieth century. It is a capitalist economic school based on the Hamiltonian economic program. The American School’s key elements were promoted by John Q. During its American System period the United States grew into the largest economy in the world with the highest standard of living, surpassing the British Empire by the 1880s.

A portrait of Alexander Hamilton by John Trumbull, 1806. Hamilton’s ideas and three Reports to Congress formed the philosophical basis of the American School. The American School of economics represented the legacy of Alexander Hamilton, who in his Report on Manufactures, argued that the U. Frank Bourgin’s 1989 study of the Constitutional Convention shows that direct government involvement in the economy was intended by the Founders. A number of programs by the federal government undertaken in the period prior to the Civil War gave shape and substance to the American School. Major Stephen Harriman Long and Major General John C. The name, “American System,” was coined by Clay to distinguish it, as a school of thought, from the competing theory of economics at the time, the “British System” represented by Adam Smith in his work Wealth of Nations.

Create physical infrastructure: Government finance of internal improvements to speed commerce and develop industry. This involved the regulation of privately held infrastructure, to ensure that it meets the nation’s needs. Create financial infrastructure: A government sponsored National Bank to issue currency and encourage commerce. Government support for the development of science and public education through a public ‘common’ school system and investments in creative research through grants and subsidies. Rejection of class struggle, in favor of the “Harmony of Interests” between: owners and workers, farmer and manufacturers, the wealthy class and the working class. The government issue of fiat paper money has also been associated with the American School from the 1830s onwards. The policy has roots going back to the days of the American colonies, when such a type of currency called colonial scrip was the medium of exchange.

As early as 1837, John C. In the Civil War, a shortage of specie led to the issue of such a fiat currency, called United States Notes, or “greenbacks”. Towards the end of the Civil War in March 1865, Henry C. Carey, Lincoln’s economic advisor, published a series of letters to the Speaker of the House entitled “The Way to Outdo England Without Fighting Her. The most serious move in the retrograde direction is that one we find in the determination to prohibit the further issue of To what have we been indebted for ? To protection and the ” greenbacks”! What is it that we are now laboring to destroy?

Let us continue on in the direction in which we now are moving, and we shall seenot a re-establishment of the Union, but a complete and final disruption of it. Carey’s plans did not come to fruition as Lincoln was assassinated the next month and new President Andrew Johnson supported the gold standard, and by 1879 the U. Senator Henry Clay leader of the Whig Party and advocate for the American System. 1824, although he had been working for its specifics for many years previously.

Portions of the American System were enacted by Congress. The Second Bank of the United States was rechartered in 1816 for 20 years. High tariffs were maintained from the days of Hamilton until 1832. Clay’s plan became the leading tenet of the National Republican Party of John Quincy Adams and the Whig Party of himself and Daniel Webster. The “American System” was supported by New England and the Mid-Atlantic, which had a large manufacturing base.