Disturbances from across the Atlantic in April of 1837 aggravated the monetary pressure in the Eastern cities and hastened the coming of the panic. Most serious was a renewed series of commercial bill rejections in England, though on this occasion the Bank of England took decisive action to support many houses involved in the American trade. News of the intervention, which reached New York in the first days of May, eased some of the tension in that city by making merchants and bankers more confident that specie exports would not become immediately necessary. By this time, however, the increasingly apparent effects of domestic monetary policies had already sown the seeds of panic among the working classes, and a crises could no longer be averted. International events thus played a contributing but secondary role in the panic. Do you want to take a loan without any efforts and troubles? you may write down in the search box speedy cash payday loans online the information you will find here helps you to estimate the advantages and disadvantages of this system.
Interestingly, another view of the panic emphasizes two increases in the Bank of England’s discount rate in the Summer of 1836 and the accompanying restrictions imposed upon merchant houses involved in the Anglo-American trade in late August as responsible for the rising monetary pressure in the United States. Specifically, Temin (1969, p. 146) states that “the crisis lasted as long as it did because the price of cotton reacted only with a lag to the restrictions on credit imposed by the Bank of England. In this section, I examine available evidence that is relevant to this hypothesis. Figure 5 presents a timeline of the key events.