Domestic Policies and Affairs

Madison's view of domestic policy was to simply to protect U.S. economy and it as a nation. Since the Embargo Act of 1807 have failed, U.S. economy went down because all American ports were closed and it prohibited international trade. The main focus of the Embargo Act was to change the English and French policy toward United States. Therefore, the Embargo Act was replaced by the Nonintercourse Act, which enabled U.S. to trade with other nations except England and France. However, it didn't work out well. So, in 1810, the Macon's Bill No. 2 was passed to repeal the Nonintercourse Act, which stated that if either one of the countries stop attacking U.S. ships, then America would trade with them unless they recognize America's neutrality. France agreed, but Britain kept on attacking U.S. ships.




The War of 1812 had left U.S. in debt and inflation for financing military operations. Madison and Congress decided to create a Second Bank of the United States, and not renew the charter of the First Bank of the United States.



Native American were in constant conflict with the American settlers. U.S. was angered by the British, who supported ammunitions and weapons for Indians to continue to fight with the Americans. The U.S. Army were ready to fight the Indians and their confederacy. The Native American chief, Tecumseh, tried to prevent American expansion. The key victory of U.S. was the Battle of Thames. It is where Tecumseh died, and his threat to America ended.