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.
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Banking and Finance from the Revolution to the Civil War
Sharon Ann Murphy
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The Draft in U.S. History
Megan Threlkeld
The issue of compulsory military service has been contested in the United States since before its founding. In a nation characterized by both liberalism and republicanism, there is an inherent tension between the idea that individuals should be able to determine their own destiny and the idea that all citizens have a duty to serve their country. Prior to the 20th century, conscription occurred mainly on the level of local militias, first in the British colonies and later in individual states. It was during the Civil War that the first federal drafts were instituted, both in the Union and the Confederacy. In the North, the draft was unpopular and largely ineffective. Congress revived national conscription when the United States entered World War I and established the Selective Service System to oversee the process. That draft ended when U.S. belligerency ended in 1918. The first peacetime draft was implemented in 1940; with the exception of one year, it remained in effect until 1973. Its most controversial days came during the Vietnam War, when thousands of people across the country demonstrated against it and, in some cases, outright refused to be inducted. The draft stopped with the end of the war, but in 1980, Congress reinstated compulsory Selective Service registration. More than two decades into the 21st century, male citizens and immigrant noncitizens are still required to register within thirty days of their eighteenth birthday.
The very idea of “selective service” is ambiguous. It is selective because not everyone is conscripted, but it is compulsory because one can be prosecuted for failing to register or to comply with orders of draft boards. Especially during the Cold War, one of the system’s main functions was not to procure soldiers but to identify and exempt from service those men best suited for other endeavors framed as national service: higher education, careers in science and engineering, and even supporting families. That fact, combined with the decentralized nature of the Selective Service System itself, left the process vulnerable to the prejudices of local draft boards and meant that those most likely to be drafted were poor and nonwhite.
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Federalism
Alison L. LaCroix
Federalism refers to the constitutional and political structure of the United States of America, according to which political power is divided among multiple levels of government: the national level of government (also referred to as the “federal” or “general” government) and that of the states. It is a multilayered system of government that reserves some powers to component entities while also establishing an overarching level of government with a specified domain of authority. The structures of federalism are set forth in the Constitution of the United States, although some related ideas and practices predated the founding period and others have developed since. The balance between federal and state power has shifted throughout U.S. history, with assertions of broad national power meeting challenges from supporters of states’ rights and state sovereignty. Federalism is a fundamental value of the American political system, and it has been a controversial political and legal question since the founding period.
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Jews in the US Armed Forces
Jessica Cooperman
Jewish service in the American military parallels that of many other Americans. Jews have served in colonial militias, in the American Revolution, and in all American military conflicts since the establishment of the country. In the United States’ early years, the total number of Jewish military personnel, like the Jewish population of the country as a whole, was very small. As the size of the American Jewish population grew during the late 19th and early 20th centuries, however, so did the number of Jews who served in the American Armed Forces. Jews responded to the country’s calls to arms alongside other Americans, even as they faced challenges that differentiated them from their compatriots. Like other racial, ethnic, and religious minority groups, Jews had to struggle against prejudices in the military, and like other immigrant communities, they have sometimes had to balance patriotism against transnational ties. Jews in the United States, however, always understood military service as part of the bargain of modern citizenship. They volunteered for service and responded to calls for conscription in order to fulfill their responsibilities as citizens, and they used military service both to express their commitment to the United States and to assert their rights as equal members of American society.
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US-Italian Relations
Leopoldo Nuti and Daniele Fiorentino
Relations between Italy and the United States have gone through different stages, from the early process of nation-building during the 18th and the 19th centuries, to the close diplomatic and political alignment of the Cold War and the first two decades of the 21st century. Throughout these two and a half centuries, relations between the two states occasionally experienced some difficult moments—from the tensions connected to the mass immigration of Italians to the United States at the end of the 19th century, to the diplomatic clash at the Versailles Peace Conference at the end of World War I, culminating with the declaration of war by the Fascist government in December 1941. By and large, however, Italy and the United States have mostly enjoyed a strong relationship based on close cultural, economic, and political ties.
