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[The] Bank of the United States... is one of the most deadly hostility existing, against the principles and form of our Constitution... An institution like this, penetrating by its branches every part of the Union, acting by command and in phalanx, may, in a critical moment, upset the government. I deem no government safe which is under the vassalage of any self-constituted authorities, or any other authority than that of the nation, or its regular functionaries. What an obstruction could not this bank of the United States, with all its branch banks, be in time of war! It might dictate to us the peace we should accept, or withdraw its aids. Ought we then to give further growth to an institution so powerful, so hostile?

Thomas Jefferson#175

PoliticsBankingPowerFinanceConstitutionGovernment powerNational security

About this quote

What does it mean?
A powerful centralized bank could undermine the constitution and government by controlling finance and dictating terms during crises.
In plain terms
A national bank too powerful can threaten government independence and national safety.
What can you take from it?
Prevent financial institutions from controlling state power.

Where it applies

  • financial crises
  • war time
  • legislative oversight

Putting it to work

  • limit bank power
  • regulate finance
  • protect constitution

Questions to consider

  • How much power should financial institutions hold?
  • Who checks the power of money?

Another view

Some centralized coordination may be needed for national stability.

More from Thomas Jefferson

  1. The idea of creating a national bank I do not concur in, because it seems now decided that Congress has not that power (although I sincerely wish they had it e…

    Permalink to quote #174
  2. The monopoly of a single bank is certainly an evil. The multiplication of them was intended to cure it; but it multiplied an influence of the same character wi…

    Permalink to quote #176
  3. The incorporation of a bank and the powers assumed [by legislation doing so] have not, in my opinion, been delegated to the United States by the Constitution. …

    Permalink to quote #173

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