The period from 1815 to 1824 saw the growth of the American System as both a political programme and a statement of American cultural nationalism. At the same time, however, a serious challenge to the American System also emerged as sectionalism increased in the wake of the Missouri Crisis from 1819 to 1821.

Post-War Nationalism and the ‘Madisonian Platform’

Following the War of 1812, conditions in American society proved ripe for developing the idea of the American System. The successful conclusion of the war enhanced nationalistic feeling among Americans and increased their confidence in the potential of the new republic. Gallatin commented in a letter of 7 May 1816,

President Madison stated in his annual message on 5 December 1815 that ‘the nation [United States] finds itself possessed of a growing respect abroad and of a just confidence in itself ’.

Such nationalistic fervour caused many Americans to reflect on the recent war in which they had suffered from, among many things, the lack of a uniform national currency, and deficient roads and canals to mobilize the United States military. On the other hand, manufacturing grew rapidly during this period when foreign manufactured goods were prohibited because of the Embargo and British blockades. Americans in 1815 were thus more receptive to the establishment of another national bank, federally funded roads and canals, and protective tariffs than they had been previously. Capitalizing on such popular sentiment, James Madison, previously one of the most eloquent opponents of federal intervention in the economy, now came out in favour of protectionism. In his seventh annual and first post-war message to Congress on 5 December 1815 he proposed the incorporation of a national bank to restore ‘uniform national currency’ and ‘public patronage [protective tariff]’ for manufactures, which were necessary, not only for national defence, but also for American agriculture.