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Henry Clay's American System
Transcript of Henry Clay's American System
Consisted of three parts
Strong banking system
Protective tariff (Not for revenue)
Network of canals and roads How It Would Help Unify New England Southerners together could practice agriculture to send raw materials to the north. Cotton would especially be widely purchased. How It Would Help Unify the South Better transportation systems were demanded in the West. Growth would be promoted by internal improvements. How It Would Help Unify the West States in every corner of the United States could successfully depend on each other for raw materials and manufactured goods, and trade would be so much easier. A new transportation network would help to make all of this possible, because the goods would flow through it. Having everything you need at home is huge, and this system would allow Americans to keep a nationalistic attitude toward the country. Sources:
The American Pageant
United States History: Preparing for the Advanced Placement Examination Strong Banking System
One kind of currency for the whole country. Would make trade easier, because there would be no need to match the value of different currencies. Protective Tariff
20-25% tax on imported goods would help eastern manufacturing thrive. Made American goods cheaper. Network of Canals and Roads
Revenue from the tariff would provide funds for this component. Foodstuffs and raw materials could then flow from the South and West to the North and East. Manufactured goods could flow the opposite way. A plan proposed by Henry Clay for developing a profitable home market (NATIONALISM!!). Southern states could send raw materials to places like New England, and New England could send manufactured goods. AMERICAN