The Role and Powers of the Presidency Essay Example

Needless to mention, the British government was not comfortable with this suggestions and refused to grant them the freedoms. The settlers retaliated with an all-out war against the British government. In retaliation, the government tried to close up all the harbors around the United States, especially the ones used for trade. Fortunately, as Hummel (2001) says, this did not have a crippling effect on the economy because during this crucial time the economy was not depending much on international trade but rather was dependent on agriculture and trade within the continent. Due to this phenomenon, the economy was able to sustaining itself through an eight-year war.When discussing the history of the American economy, it is imperative to talk about the recessions and depressions which have happened in the history of American economy. The first major economic depression of course was the 1807-1814 depression. The depression as David (1978) says, was majorly caused by the by the trade embargos imposed by the government of President Thomas Jefferson whose main intension was to prevent American from playing a role in the war going on in Europe. The trade embargo by President Thomas Jefferson led to the decline of both exports from the United States and imports into h country and this led to the decline of the economy. The economy went into recession and the eventually, President Thomas Jefferson’s intension to keep the united states from the war were defeated, as the United States had to eventually get drawn into the conflict in the 1812.After Jefferson’s economic mistake, it was President Andrew Jackson who was next in line in 1836. President Andrew Jackson was trying to curb speculation on land and thus issued a circular regarding specie (gold and silver) circulation. His main intension was to reduce the value of bank notes so that to prevent the increased circulation of the bank notes in the economy. His plan was not entirely effective as it failed to entirely affect the value of the dollar and only affected the value of the same only in relation to the value of gold and silver. The effect was increased deflation of the currency. Eventually, these affected many businesses which under deflated currency could not operate normally. President Andrew Jackson learnt his lesson but it was too late for the economy, it had already slipped into a depression.This time the depression