Final answer:
South Carolina fiercely opposed the 1832 Tariff, leading to the Nullification Crisis. After intense political pressure and negotiations, including the Compromise Tariff of 1833 brokered by Henry Clay and the threatening Force Act, South Carolina retreated from nullification but continued to challenge federal authority.
Step-by-step explanation:
South Carolina's reaction to the 1832 Tariff was one of vehement opposition, which culminated in the Nullification Crisis. Under the leadership of Vice President John C. Calhoun, the state advanced the argument that the tariff was unconstitutional, asserting that it favored the northern states at the expense of the southern economies. Calhoun's 'South Carolina Exposition and Protest' articulated the fear that federal power could overreach and threaten states' rights, particularly regarding the institution of slavery. The economic pressures of the falling cotton prices, exacerbated by the tariff, propelled the state towards nullification.
In response to South Carolina's defiance, President Andrew Jackson prepared to enforce the tariff with a greater naval presence and pushed for the Force Act to collect tariff revenues. However, he simultaneously acknowledged the discontent and proposed a compromise to reduce the tariff. Henry Clay's Compromise Tariff of 1833, which planned a gradual reduction over ten years, eased tensions and won support from all sides.
South Carolina then withdrew its nullification of the tariff but nullified the Force Act, which was largely ignored by the federal government. The confrontation ended without violence, but the fundamental constitutional conflicts remained unresolved.