CLEP US History I

Answer: C - In 1836, Andrew Jackson's administration issued the Specie Circular (Coinage Act), an executive order requiring all government land to be paid for in gold and silver. The Panic of 1837 was caused by the gross fluctuation in currency as a result of Jacksons reordering of the national banking system. The government had been the recipient of much of this devalued currency to the explosion in Westward expansion, so it no longer would accept the worthless bills in payment after the Panic. Many blamed the Specie Circular for causing the Panic of 1837.