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Explaining effects Describe the events that occurred as a result of the closing of the second National Bank

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The closing of the Second National Bank in 1836 had several effects on the United States economy. One immediate effect was that it caused a shortage of currency, as many of the bank notes in circulation were issued by the bank and were no longer valid. This led to an increase in the use of state-chartered banks and private banks, which issued their own currency. This caused confusion and instability in the monetary system and led to inflation. Additionally, the lack of a national bank made it more difficult for the government to manage its finances and led to a financial crisis in 1837. In the long term, the closing of the Second National Bank weakened the federal government's ability to regulate the economy and contributed to the financial instability in the years leading up to the Civil War.

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