The Bank War: who should control a nation's money?

Andrew Jackson's confrontation with the Second Bank of the United States combined institutional, political and economic disputes. Jackson's Bank War was about who gets to wield financial power.

The fight over privilege and democracy had real monetary consequences. Debate centered on federal authority, credit, privilege and the relationship between banking and democratic accountability.

The story is often told through personalities, but consequences also depended on state banking and fiscal arrangements. Personality makes the story memorable, but institutions shaped the outcome.

Opposition to an institution's power does not automatically provide a workable substitute for its financial functions. Destroying a powerful bank is easier than replacing what it does.

What kind of accountability makes a national bank legitimate?