LYCOS RETRIEVER
Tariff of 1828: Nullification Crisis
built 184 days ago
Benton’s speech prompted Robert Y. Hayne, a supporter of John C. Calhoun, to propose an alliance of southern and western interests based on a low tariff and cheap land. Affirming the principle of nullification, he called on the two sections to unite against attempts by the Northeast to strengthen the powers of the federal government.
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To cope with the Great Depression, Republicans in Congress passed the Smoot-Hawley Tariff of 1930. This became the highest tariff in the nation’s history and ... one of the biggest blunders in American history since it inaugurated a series of trade wars in the middle of a severe economic crisis. The New Deal proposals of Cordell Hull that eventually won the support of Franklin D. Roosevelt chipped away at high tariffs. The policy of reciprocity allowed the president to raise or lower tariff levels with other nations depending on the restrictions those nations imposed on American exports. In 1934, Congress gave the president this power with the Trade Agreements Act.
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Following the crises with France and Britain, the federal government came to rely almost exclusively on the tariff as a source of funding. As the nation’s economic and political systems began to mature and diversify... the consensus on the tariff’s role gradually broke down. Particularly within the context of sectional and partisan conflict, the tariff assumed a political significance beyond its putative revenue-generating function.
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Calhoun resigns: When Jackson favored the higher rates for the Tariff of 1832, Calhoun resigned in the same year. He went back to South Carolina and composed an Ordinance of Nullification which was approved by a special convention, and the customs officials were ordered to stop collecting the duties at Charleston.
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The Nullification Crisis forced an abandonment of the Whig position of higher tariffs over ten years until 1842. When the Whigs won victories in the 1840 and 1842 elections, taking control of Congress, they re-instituted higher tariffs with the Tariff of 1842.
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