Independent treasury system
By Nicholas Gutierrez and Taddie Cook
History
The treasury was established by The Act of August 1846. This law required that the public revenues be retained in the Treasury building and in sub-Treasuries in various cities. Under this law the Treasury payed out its own funds and was supposed to be completely independent of the banking and financial system of the nation. However the action of the treasury still affected the national economy.
Significance
This system represented the growing advocacy for a more centralized treasury system to ensure stability of the money supply. Unfortunately, this system tended to elongate depressions and stunt growth by not being able to respond to one trend or another and instead demanded regular payment.
President Polk
Established the independant treasury
Public opinion towards the treasury system
Blue - for
Yellow - agianst
Sources
"Miller Center." American President: James Knox Polk: Domestic Affairs. Web. 6 Nov. 2014. http://millercenter.org/president/polk/essays/biography/4
"Cyclopædia of Political Science, Political Economy, and the Political History of the United States." Lalor, Cyclopaedia of Political Science, V.2, Entry 174, INDEPENDENT TREASURY. Web. 6 Nov. 2014. http://www.econlib.org/library/YPDBooks/Lalor/llCy565.html