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The first national bank for the country was established by the United States government in 1791.At this time,citizens had concern that the federal government was becoming too powerful. In an attempt t
The first national bank for the country was established by the United States government in 1791.At this time,citizens had concern that the federal government was becoming too powerful. In an attempt to close a branch ofa national bank located in Baltimore, Maryland passed a law that required all banks created outside of the state to pay an annual tax.An employee of the Baltimore branch, James McCulloch,refused to pay the tax.The stateof Maryland filed a lawsuit against McCullocharguing that (a) Maryland had to the power to tax any business in its state and (b) Congress did not have the power to create a national bank because the Constitution did notprovide such power.After losing the case, being convicted and fined, McCulloch appealed the decision totheUS Supreme Court. The Supreme Court's opinion in this case is provided as a link in this week's materials.
1.Review the enumerated powers in Article I, Section 8, Clause 18 of the Constitution and explain if the US government has the power to create a national bank. Why or why not?
2. If the United States has the power to create a national bank, should a state be allowed to tax a national bank?
https://scholar.google.com/scholar_case?q=mcculloch v maryland&hl=en&as_sdt=2006&case=9272959520166823796&scilh=0
