Democracy in America — Volume 1

by Alexis de Tocqueville

y
[ It is true that the President refused his assent to this law; but he completely adopted it in principle. (See Message of December 8, 1833.)]

The slightest observation in the United States enables one to appreciate the advantages which the country derives from the bank. These advantages are of several kinds, but one of them is peculiarly striking to the stranger. The banknotes of the United States are taken upon the borders of the desert for the same value as at Philadelphia, where the bank conducts its operations. *z

z
[ The present Bank of the United States was established in 1816, with a capital of $35,000,000; its charter expires in 1836. Last year Congress passed a law to renew it, but the President put his veto upon the bill. The struggle is still going on with great violence on either side, and the speedy fall of the bank may easily be foreseen. [It was soon afterwards extinguished by General Jackson.]

The Bank of the United States is nevertheless the object of great animosity. Its directors have proclaimed their hostility to the President: and they are accused, not without some show of probability, of having abused their influence to thwart his election. The President therefore attacks the establishment which they represent with all the warmth of personal enmity; and he is encouraged in the pursuit of his revenge by the conviction that he is supported by the secret propensities of the majority. The bank may be regarded as the great monetary tie of the Union, just as Congress is the great legislative tie; and the same passions which tend to render the States independent of the central power, contribute to the overthrow of the bank.

The Bank of the United States always holds a great number of the notes issued by the provincial banks, which it can at any time oblige them to convert into cash. It has itself nothing to fear from a similar demand, as the extent of its resources enables it to meet all claims. But the existence of the provincial banks is thus threatened, and their operations are restricted, since they are only able to issue a quantity of notes duly proportioned to their capital. They submit with impatience to this salutary control. The newspapers which they have bought over, and the President, whose interest renders him their instrument, attack the bank with the greatest vehemence. They rouse the local passions and the blind democratic instinct of the country to aid their cause; and they assert that the bank directors form a permanent aristocratic body, whose influence must ultimately be felt in the Government, and must affect those principles of equality upon which society rests in America.

The contest between the bank and its opponents is only an incident in the great struggle which is going on in America between the provinces and the central power; between the spirit of democratic independence and the spirit of gradation and subordination. I do not mean that the enemies of the bank are identically the same individuals who, on other points, attack the Federal Government; but I assert that the attacks directed against the bank of the United States originate in the same propensities which militate against the Federal Government; and that the very numerous opponents of the former afford a deplorable symptom of the decreasing support of the latter.

The Union has never displayed so much weakness as in the celebrated question of the tariff. *a The wars of the French Revolution and of 1812 had created manufacturing establishments in the North of the Union, by cutting off all free communication between America and Europe. When peace was concluded, and the channel of intercourse reopened by which the produce of Europe was transmitted to the New World, the Americans thought fit to establish a system of import duties, for the twofold purpose of protecting their incipient manufactures and of paying off the amount of the debt contracted during the war. The Southern States, which have no manufactures to encourage, and which are exclusively agricultural, soon complained of this measure. Such were the simple facts, and I do not pretend to examine in this place whether their complaints were well founded or unjust.

a
[ See principally for the details of this affair, the Legislative Documents, 22d Congress, 2d Session, No. 30.]

As early as the year 1820, South Carolina declared, in a petition to Congress, that the tariff was “unconstitutional, oppressive, and unjust.” And the States of Georgia, Virginia, North Carolina, Alabama, and Mississippi subsequently remonstrated against it with more or less vigor. But Congress, far from lending an ear to these complaints, raised the scale of tariff duties in the years 1824 and 1828, and recognized anew the principle on which it was founded. A doctrine was then proclaimed, or rather revived, in the South, which took the name of Nullification.

I have shown in the proper place that the object of the Federal Constitution was not to form a league, but to create a national government. The Americans of the United States form a sole and undivided people, in all the cases which are specified by that Constitution; and upon these points the will of the nation is expressed, as it is in all constitutional nations, by the voice of the majority. When the majority has pronounced its decision, it is the duty of the minority to submit. Such is the sound legal doctrine, and the only one which agrees with the text of the Constitution, and the known intention of those who framed it.