Chapter 36: Jackson’s string of successes ends with the Bank Panic of 1837. 

One after another the President achieves his goals, ending the Nullification threat, moving the eastern tribes over the “Trail of Tears,” closing the Second U.S. Bank and the federal debt, and henceforth defining the Democrat Party.

But his term ends on a negative note after he issues an Executive Order in 1836 known as the Species Circular. It requires that future payments to buy public lands must be made in gold or silver. While Jackson’s intent is to end currency inflation, the public reads the decree as a signal that the value of their soft money banknotes is worth less than they thought. This leads to panic withdrawals from banks and a collapse when demand on gold and silver reserves exceeds their inventory.

The resulting economic damage is not as great as the 1819-22 Recession, but negatively impacts the Democrat Party going forward.