It was an effort by South Carolina to nullify or void a law passed by the Federal Government.
The South hated the tariff, which was a tax on imports. By 1832, the Industrial Revolution was in full swing. But the South never industrialized. Their economy was based almost completely on cotton, tobacco, and slavery. As a result, the South did not really make anything. They therefore had to import almost everything they needed. And because they had to import, they had to pay a tariff.
The North did have industry and so did not have to import anywhere near as much as the South. The money gained from the tariff was used to build roads, bridges, canals and railroads. Since most of the people and cities were in the North, most of the tariff revenue was spent there. The South felt this was grossly unfair.
When the tariff was raised, South Carolina, led by native son John C. Calhoun, who was the sitting Vice-President, voted to nullify the tariff, saying they would not obey it. If the Federal Government tried to force them to pay the tariff, they would secede and prepare for war.
President Andrew Jackson threatened to lead an army to South Carolina and force them to obey the law. It seemed like was about to begin in 1832. Calhoun resigned as Vice-President.
Fortunately, Senator Henry Clay of Kentucky stepped in and worked out a compromise (the Compromise of 1833) which ended the crisis.
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