1789-1800

a. doubling every 25 years b. 90% of Americans lived on farms c.
Public debt large ($52 million) – revenue low.
d. Threats from GB and Spain threatened fragile unity of US

a. Unanimously elected
President by Electoral
College in 1789 b. Took oath of office on
April 30, 1789 in temporary capital of
NYC.
c. John Adams had 2 nd most votes and elected
VP.

a. Constitution does not provide for this.
b. Only 3 department positions created with appointments c.
Cabinet shaped by ideological feud between T Jeff and A
Ham i.
State – Thomas Jefferson ii.
Treasury – A. Hamilton iii.
War – Henry Knox iv.
Attorney General – Edmund
Jennings Randolph (after passage of Judiciary Act of
1789)

1.
First priority of new government a.
Anti-Feds sharply criticized Const. for not having one b.
Feds saw Bill of Rights as unnecessary i.
ii.
Most states already had bills of rights
Checks and Balances/Separation of Powers protected rights.
iii.
However feared another convention would reverse support they had already secured
2.
James Madison drafts and submitted 12 amendments to Congress a.
Largely based off of George Mason’s VA Bill of
Rights b.
10 passed a.
I – RAPPS b.
II – bear arms c.
III – no qtring troops during peacetime d.
IV – no unlawful search and seizure e.
V – rights of accused persons f.
g.
VI – right to an atty and trial by jury
VII – civil suits over $20 get jury trial i.
j.
h.
VIII – no cruel and unusual punishment or excessive bail
IX – citizens have more rights than are listed here
X – reserved rights of the states

1.
Report on Public Credit
(1790) a.
Plan to shape fiscal policies of admin to favor wealthier groups.
b.
In return wealthy would loan money to gov’t c.
Prosperity would trickle down to the masses
2.
Report on Manufactures
(1791) a.
Advocated promotion of factory system and capitalism
(Adam Smith’s Wealth of
Nations written in 1776) b.
Basis of his tariff plan to protect American manufacturers

a. Funding at Par i.
Pay back gov’t debt to bondholders them off with interest ii.
Purpose to bolster national credit b. Assumption of State Debts i.
Cement states to national gov’t ii.
States with large debts favored (MA); states with little to no debt did not (VA) iii.
Became a north v. south issue iv.
Compromise: north got assumption of debts while south got national capital moved to Potomac

i.
8% tariff on imports ii.
Source of revenue but also aimed at protecting infant US industries.
i.
1791 – $.07/gal tax on whiskey ii.
Flowed freely in backcountry areas iii. A Ham not worried of effects on these ppl as they were mostly Anti-
Feds

e.
National Bank i.
Biggest issue ii.
Treasury would place surplus revenue here iii.
Gov’t would be major stock holder, but bank would be private institution iv.
“Loose Constructionism” – powers not delegated to the national gov’t in
Constitution are not prohibited by virtue of necessary and proper (elastic) clause.
v.
Strongly Opposed by Anti-Feds vi.
GW signed bank measure into law Feb.
1791
• “Strict Constructionism” – Bank NOT within power of Congress to create
• Jefferson and Madison felt states’ rights would be jeopardized by huge central bank.
• Moneyed interests would take precedence over farmers
• State banks would not be able to compete.

4.
Whiskey Rebellion a.
SW Penn ppl hit hard by excise tax b.
“Whiskey Boys” torched bldgs, tarred and feathered tax collectors, talked of “secession” c.
GW summoned militia of several states (13,000) – escorted by GW and A
Ham themselves d.
First display of fed’l gov’t
“ensuring domestic tranquility” e.
Jeffersonians condemned action as a “brutal display of force” and gained more followers.

a. Emerged from the “federalists” who supported the
Constitution in 1780s b. Believed in gov’t run by the elite i.
Rich had more time to study problems of governing ii.
Intelligent, educated and culturally literate iii.
John Jay – “Those who own the country ought to govern it” c.
Distrusted the common people i.
Feared rule by “mobocracy” ii.
Believed democracy too important to be left to the ppl.Supported a strong central gov’t d. Fed’l gov’t should encourgae business, not interfere with it.
i.
Dominated by merchants, manufacturers and shippers ii.
Most lived on eastern seaboard where commerce flourished.
e. Pro-British in Foreign Policy i.
Trade with GB was key to Hamilton’s plan ii.
Many Feds were mild Loyalists

a. Advocated for rule of the ppl, for the ppl b. Should be literate, but believed that “masses” could be taught c. Appealed to middle-class (farmers, laborers, artisans, small shopkeepers) d. Government that governed best, governed least i.
Bulk of power should be retained by states.
ii.
Limit federal power through strict interpretation of
Constitution.
iii. National debt was a curse that should be paid off ASAP e. Believed in freedom of speech f. Basically pro-French

a. French declared themselves a “republic” but carnage heavier than in American
Rev.
i.
Jeffersonians thought it unfortunate, but probably necessary ii.
Hamiltonians thought it downright frightening iii.
US?
• GB got dragged into conflict and now US had to take sides
• US still obligated under
Franco-American Alliance of
1778
• US military weak

b. Washington’s Neutrality
Proclamation (1793) i.
US would be neutral ii.
Warned US citizens to be impartial to both sides.
• Jefferson furious – GW did not consult Congress
• Hamilton supported it.
iii.
Citizen Genet
• French diplomat in US who felt Neutrality
Proclamation not a true reflection of US feelings towards France
• Went to ppl directly to ask for money and supplies for war cause
• GW booted him out of country.

6.
Second Test: Jay’s Treaty a.
GB a thorn in US side i.
ii.
constantly harrassing US frontier settlers
Seized 300 US ships and impressed (stole) US sailors.
iii.
GB stayed in posts in violation of 1783 peace treaty iv.
Sold firearms and alcohol to Natives who attacked US settlers.
b.
Feds did NOT want war with GB (75% of import duties from GB trade) c.
Jeffersonians wanted embargo d.
GW sent J. Jay to work some magic in
1794 i.
ii.
A Ham tipped Brits off as to what Jay would offer
•
•
•
•
•
John Jay’s hands tied
GB renewed pledge to leave posts
GB would pay for recent seizures of ships, sailors
GB did not guarantee they would not do it in the future though
AND US forced to pay PRE-Revolution debts owed to GB
Good one Jay! But did avert war with GB which would have been disaster.
e.
Jeffersonian outrage resulted in creation of Democratic Republican Party

i.
Granted US rights to navigate Mississippi and port of New
Orleans ii. Yielded large tract of land north of Florida
(north of 31 st parallel)

1.
Refused third term i.
Set precedent for two-term presidency ii.
GW exhausted physically and tired of verbal abuse from TJ for becoming partisan
1.
Farewell Address i.
Warned of evils of political parties ii.
Warned of entangling alliances
(like treaty with France) iii.
Isolationism became dominant foreign policy for next 100 yrs.

1.
Election a.
b.
1796 - Defeats TJ 71 -66 in Electoral
College
TJ becomes VP
2.
Foreign Flare-Ups a.
i.
France
Saw Jay’s Treaty as a violation of 1778
Franco-American Treaty b.
ii.
Seized 300 merchant vessels by mid-
1797.
i.
ii.
iii.
iv.
XYZ Affair
John Adams sent delegation to France to work it out
Approached by 3 French agents (“X, Y and Z”) who demanded loan and bribe of 250,000 to talk to French foreign minister Talleyrand.
US delegates scoffed, “Millions for defense, but not one cent for tribute
(bribes)”
•
•
•
•
•
Negotiations broke down
Undeclared Hostilities with France
1798-99
US expanded its 3 ship Navy
US Marine Corps established
Embargo with France imposed
Adams tried to avoid full-blown war

a. John Adams sent new envoy to France in 1800 b. Napoleon accepted – more bent on European conquest, not war with
US c.
Improved Relations made Louisiana
Purchase possible 3 years later.
d. Adams felt dodging this bullet was his finest achievement.
i.
22 year alliance between
US and Fr. Dissolved.
ii.
US would pay US shippers damage claims

4. Alien and Sedition Acts (1798) a.
Purpose: to reduce power of
Jeffersonians and silence antiwar opposition b.
Alien Act i.
Attack on pro-Jeffersonian
“aliens” ii.
Raised residency requirements for US citizenship from 5 yrs to
14 yrs.
iii.
President could deport
“dangerous” foreigners.
c.
Sedition Act i.
Anyone who impeded policies of the gov’t or falsely criticized its officials would get heavy fine and imprisonment.
ii.
Direct violation of 1
Amendment st iii.
Expired day before Adams left office.

5.
Virginia and Kentucky
Resolutions (1798) a.
Republicans felt Alien and
Sedition Acts were unconstitutional b.
Jefferson and Madison secretly penned two resolutions that asserted that states have the right to nullify unconstitutional laws passed by Congress.
c.
Federalists retorted that the people, not states created
Constitution and that the
Supreme Court and not states determined the constitutionality of laws.
d.
No other states but VA and KY adopted resolutions, but southern states would use this later in 19 th century to support nullification and secession.