Historian Sean Wilentz wrote: "Republican reconciliation with Hamilton's bank idea had taken place by fits and starts, and was never monolithic. Only later, Clay and other Jeffersonians came to recognize the important functions played by the BUS. House Speaker Henry Clay's later support of a national bank in the 1820s and 1830s linked him to the American originator of the bank idea, Alexander Hamilton, but Clay had begun his political life as an opponent of the national bank. Recharter of BUS was strongly backed by Treasury Secretary Albert Gallatin, weakly backed by President James Madison, opposed by Vice President George Clinton, opposed by the House of Representatives, and strongly opposed by former President Thomas Jefferson. The first Bank of the United States died when its twenty-year charter expired in 1811. As a result, the recession double dipped in 1839 and the national economy did not recover until 1843. Instead, he proposed a set of economic proposals that September - the most of important of which - an independent Sub-Treasury - Congress refused to pass. Van Buren - under pressure from his mentor Jackson - decided not to suspend the Specie Circular. A major economic recession was soon underway. Two months later, New York City banks suspended specie payments. When combined with loose state banking practices and a credit contraction, a major economic crisis was brewing when Martin Van Buren took office as president in March 1837. Shortly thereafter, the Jackson Administration declared in its "Specie Circular" that payments for federal land purchases be made in specie. Congress passed a law in 1836 that required the federal surplus to be distributed to the states in four payments. But as the economy overheated and so did state dreams of infrastructure projects. As federal revenue from land sales soared, Jackson saw the opportunity to fulfill his dream of paying off the national debt - which he did in early 1835. In 1833, Jackson retaliated against the bank by removing federal government deposits and placing them in "pet" state banks. The hopes of the bank's supporters to turn the veto in a winning campaign issue in that fall's presidential campaign failed dismally. The attempt by the Second Bank of the United States for an early recharter was passed by Congress in July 1832, but the bill was vetoed shortly thereafter by President Andrew Jackson. The 1830s were a tumultuous decade for America.
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