| Alexander Hamilton’s argument that the government has the power to create a National Bank is based on which part of the Constitution?|
the elastic clause
guarantees to the States
the Bill of Rights
Correct Answer Number: 2
Explanation: The elastic clause or the necessary and proper clause in the Constitution, allows Congress to expand its powers beyond the actual text of the Constitution in order to carry out its duties of running the nation. In the case of the National Bank, Hamilton argued that creating the bank fell within the realm of a necessary and proper action, needed to effectively manage the US economy. The bank would remain a divisive issue in early American history as opinions differed over the legality of its creation. It was the center of the Supreme Court case McCulloch v. Maryland (1819) and the “Bank War” under President Andrew Jackson.