The panic of 1819 led to the creation of a two-party political system because it caused members of the democratic-republican party to disagree on which of the following issues?

The correct answer is C) The role the United States government should play in the economy.

The Panic of 1819 led to the creation of a two-party political system because it caused members of the Democratic-Republican Party to disagree on the role the United States government should play in the economy.

After the War of 1812, the economy of the United States lived a short period of expansion that ended with the so-called Panic of 1819. The economy of the US changed. Banks closed and people could not pay their mortages. They lost their farms and properties. The conservative policies established by the Second Bank of the US could have affected the situation provoking discussions between politicians about the role of the United States government should play in the economy.

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