Sharon Ann Murphy
In creating a new nation, the United States also had to create a financial system from scratch. During the period from the Revolution to the Civil War, the country experimented with numerous options. Although the Constitution deliberately banned the issuance of paper money by either Congress or the states, states indirectly reclaimed this power by incorporating state-chartered banks with the ability to print banknotes. These provided Americans with a medium of exchange to facilitate trade and an expansionary money supply to meet the economic needs of a growing nation. The federal government likewise entered into the world of money and finance with the incorporation of the First and Second Banks of the United States. Not only did critics challenge the constitutionality of these banks, but contemporaries likewise debated whether any banking institutions promoted the economic welfare of the nation or if they instead introduced unnecessary instability into the economy. These debates became particularly heated during moments of crisis. Periods of war, including the Revolutionary War, the War of 1812, and the Civil War, highlighted the necessity of a robust financial system to support the military effort, while periods of economic panic such as the Panic of 1819, the Panics of 1837 and 1839, and the Panic of 1857 drew attention to the weaknesses inherent in this decentralized, largely unregulated system. Whereas Andrew Jackson succeeded in destroying the Second Bank of the United States during the Bank War, state-chartered commercial banks, savings banks, and investment banks still multiplied rapidly throughout the period. Numerous states introduced regulations intended to control the worst excesses of these banks, but the most comprehensive legislation occurred with the federal government’s Civil War-era Banking Acts, which created the first uniform currency for the nation.
Courts and legislatures in colonial America and the early American republic developed and refined a power to compel civilians to assist peace and law enforcement officers in arresting wrongdoers, keeping the peace, and other matters of law enforcement. This power to command civilian cooperation was known as the posse comitatus or “power of the county.” Rooted in early modern English countryside law enforcement, the posse comitatus became an important police institution in 18th- and 19th-century America. The posse comitatus was typically composed of able-bodied white male civilians who were temporarily deputized to aid a sheriff or constable. But if this “power of the county” was insufficient, law enforcement officers were often authorized to call on the military to serve as the posse comitatus.
The posse comitatus proved particularly important in buttressing slavery in the American South. Slaveholders pushed for and especially benefited from laws that required citizens to assist in the recapture of local runaway slaves and fugitive slaves who crossed into states without slavery. Though slave patrols were rooted in the posse comitatus, the posse comitatus originated as a compulsory and noncompensated institution. Slaveholders in the American South later added financial incentives for those who acted in the place of a posse to recapture slaves on the run from their owners.
The widespread use of the posse comitatus in southern slave law became part of the national discussion about slavery during the early American republic as national lawmakers contemplated how to deal with the problem of fugitive slaves who fled to free states. This dialogue culminated with the Fugitive Slave Law of 1850, in which the US Congress authorized officials to “summon and call to their aid the bystanders, or posse comitatus” and declared that “all good citizens are hereby commanded to aid and assist in the prompt and efficient execution of this law, whenever their services may be required.” During Reconstruction, the Radical Republican Congress used the posse comitatus to enforce laws that targeted conquered Confederates. After the end of Reconstruction in 1877, Southern states pushed Congress to create what would come to be known as the “Posse Comitatus Act,” which prohibited the use of federal military forces for law enforcement. The history of the posse comitatus in early America is thus best understood as a story about and an example of the centralization of government authority and its ramifications.
The United States–Mexico War was the first war in which the United States engaged in a conflict with a foreign nation for the purpose of conquest. It was also the first conflict in which trained soldiers (from West Point) played a large role. The war’s end transformed the United States into a continental nation as it acquired a vast portion of Mexico’s northern territories. In addition to shaping U.S.–Mexico relations into the present, the conflict also led to the forcible incorporation of Mexicans (who became Mexican Americans) as the nation’s first Latinos. Yet, the war has been identified as the nation’s “forgotten war” because few Americans know the causes and consequences of this conflict. Within fifteen years of the war’s end, the conflict faded from popular memory, but it did not disappear, due to the outbreak of the U.S. Civil War. By contrast, the U.S.–Mexico War is prominently remembered in Mexico as having caused the loss of half of the nation’s territory, and as an event that continues to shape Mexico’s relationship with the United States. Official memories (or national histories) of war affect international relations, and also shape how each nation’s population views citizens of other countries. Not surprisingly, there is a stark difference in the ways that American citizens and Mexican citizens remember and forget the war (e.g., Americans refer to the “Mexican American War” or the “U.S.–Mexican War,” for example, while Mexicans identify the conflict as the “War of North American Intervention”).