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Topic: Business
Number of pages / Number of words: 13 / 3638
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Before achieving independence, there were no commercial banks. The first commercial bank, the Bank of North America, was established in 1781. "British merchant banking houses stood at one end of a long chain of credit that stretched to the American frontier. They gave short-term (less than a year) credits to American merchants who then extended them to wholesalers of their imports, and the wholesalers passed them on to both urban and rural retailers - country stores and wandering peddlers" (Foner/Garraty, 1991: 191)...


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They gave short-term (less than a year) credits to American merchants who then extended them to wholesalers of their imports, and the wholesalers passed them on to both urban and rural retailers - country stores and wandering peddlers" (Foner/Garraty, 1991: 191).

After the Constitution was enacted in 1789, the Bank of North America was chartered along with two state banks in Massachusetts and New York...


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