Question

Which answer best describes how Maryland responded to the national bank created when the U.S. government tried to borrow money after the War of 1812? (1 point) Maryland passed a law that made the national bank pay a large tax to the state. Maryland repealed a law that made banks have to pay extra taxes to the state. Maryland reduced fees in the state banks to compete against the national bank. Maryland increased the services in the state banks to compete against the national bank.

Answer 1

The answer that best describes how Maryland responded to the National Bank created when the U.S. government tried to borrow money after the War of 1812 is Maryland passed a law that made the National Bank pay a large tax to the state. James McCulloch, the bank's cashier, refused to pay this tax. McCulloch was convicted and fined. He appealed, and the dispute reached the Supreme Court of the United States.