Question

Confirmations for cash balances should be mailed only to the financial institutions with which the client has a cash balance at year-end?

1) True
2) False

Answer 1

The Panic of 1819 did not increase the American people's faith in the Second Bank; rather, it decreased their faith due to financial distress caused by bank policies, resulting in widespread economic hardship.

Step-by-step explanation:

The statement that the Panic of 1819 increased the American people's faith in the Second Bank of the United States is false. The Panic of 1819 was the first major financial crisis in the United States, which led to widespread foreclosures, bank failures, unemployment, and a slump in agriculture and manufacturing. It marked the end of the economic expansion that followed the War of 1812 and notably damaged the reputation of the Second Bank of the United States, as many Americans blamed it for causing the financial distress by tightening credit in a bid to control inflation.