Question

Alexander hamilton established the first bank of the united states in 1791. its purpose was to help finance industrial expansion. however, many politicians opposed national banks. because of this opposition, the bank was closed in 1811. according to this passage:

a. politicians opposed industrial expansion.
b. the bank of the united states was one of many national banks established in the 18th century.
c. the purpose of the bank was to finance industrial expansion.
d. the bank closed in 1811 owing to a lack of customers.

Answer 1

The correct answer is C, as the primary purpose of the First Bank of the United States was to finance industrial expansion. The bank's closure in 1811 was due to opposition based on constitutional interpretations and fear of economic power concentration, not a lack of customers.

Step-by-step explanation:

The First Bank of the United States was established in 1791 by Alexander Hamilton, with the primary purpose of financing industrial expansion. It was a key component of Hamilton's financial program to support economic development, circulate paper money, and provide loans to the government. Opposition to the bank was largely based on constitutional interpretations and concerns of centralizing too much economic power. Politicians like Thomas Jefferson and James Madison, who advocated for a strict construction of the Constitution, were wary of overreach by the national government into powers they believed should be reserved to the states or the people.

In 1811, hostility towards the institution of the national bank from these politician opponents contributed to the non-renewal of its twenty-year charter, leading to its closure. Later events, like the War of 1812, highlighted the drawbacks of not having a national bank, resulting in the establishment of the Second Bank of the United States in 1816. This context refutes the other options provided in the question, thereby confirming option C as the correct one.