Chapter 7
After the constitution
• After the ratification of the constitution we
begin to see two political parties come into
being
• The Federalists
• Federalists believed in rapid integration into
the world economy, and did not trust local
government to do so accurately
• The Jeffersonians/ Republicans
• Put their faith in the people, entrepreneurs
free of intrusive governement.
The first President
• Thanks partially to good press Washington
had overwhelming support to become
President.
• Washington was not brilliant or a great
speakers like his peers around him.
• He felt he envisioned the goals and ideals of
the republic.
An attempt to limit the Presidency
• Again congress had a great amount of fear about what
man could do in power.
• It became the idea that the President should not have
the ability to dismiss cabinet officials.
• Again Madison rallies congress to his call stating that
the President could not take confidence in his
appointees unless he had control.
• Congress then creates the departments of war state
and treasury.
• Washington thought being selected as president
proved the success of the republic.
• Population in 1790 was 3.9 million.
Secretary of war: Henry Knox
Secretary of treasury: Alexander Hamilton
Secretary of State Thomas Jefferson
The two secretaries
Hamilton
Jefferson
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• Wanted to expand democratic
principles
• This dream came from being able
to view the French Revolution.
• Believed in America’s power of
agriculture
• State government
• Rights of the farmer
• Kept his staff small pushing his
idea of small government with
only five staff members.
Believed in the success of as
republican society
Young Lawyer
Hard Working
Charming
Ambitious
Strove for reputation
Strong central government
Closer ties to Britain
Believes in industry and capitalism
Keep power from the people they
cannot be trusted to make proper
economic decisions.
Believed in the success of a republican
society
Judiciary Act of 1789
Creates the Supreme court. The Court makes sure
laws passed by congress are constitutional.
1 chief justice with five associate justices.
Creates 13 district courts to also make sure state
laws were constitutional.
John Jay would go on to be the first chief justice of
the supreme court.
American Debt
In 1790 Hamilton put together a report on
the U.S. economy
He estimated that the country was 54
million dollars in debt.
Most of the debt came from foreign debt
during the war.
Largest issue facing the Washington
Presidency
Funding and Assumption
Hamilton’s first plan was to restructure America’s debt.
Funding: The U.S. Government would buy back old investment
bonds at current value and reissue new bonds to those that
could afford it. Not supported by Madison feeling only a few
would profit.
Took advantage of soldiers and farmers who originally bought
bonds.
Assumption: The U.S. government will attempt to take on it’s
debt of the country.
Hurt southern states who still needed to pay debt of the north
Assumption seemed to support states like Massachusetts
which had a sloppy system of keeping track of debt.
Hamilton’s Bank
Hamilton the proposed the national bank.
It would be privately held buying up multiple bonds.
It would be federally funded.
Jefferson and Madison were against this. Jeffersonian
Republicans thought it was strong financial institutions
that were the failing of Britain.
Washington Thought about vetoing it.
Hamilton was able to convince Washington by pointing
out Article 1 section 8 of the constitution allowed
congress to pass any law that was necessary and proper.
The idea of necessary and proper were known as implied
powers.
Report on Manufacturing
Hamilton also created a study explaining how to
industrialize the country.
This report became a bill that pushed for plan to
increase production for commercial trade in
America. As well as an increase in protective tariffs.
The bill was no passed because it favored states
over the southern states.
Foreign issues
Where political squabbles divided Washington's first four
years foreign issues were the subject of the second term.
After the French Revolution which Jefferson supported,
the French opposed the British.
Federalists supported the British due the them being a
strong trade partner and their strong central government.
Anti federalist (Republicans ) supported the French ,
based on their ideas during the revolution.
Washington chose to keep the country neutral.
Dealing with the British
In 1794 there were still 1,000 British troops
stationed in the North West territories.
75 percent of American imports came from
Britain.
America also paid the British to have trade rights
with the West Indies
Britain had disdain for American Rights.
Franco- British war
A war broke out between Britain and France.
Both countries what America on it’s side.
Jeffersonian Republicans wanted to join the French,
because of their respect for their natural rights, and
loyalty after the American Revolution.
The federalists wanted to join Britain. For the
financial reasons, as well as a respect for strong
central government.
Genett and the west indies
French ambassador Edmund Genett pushed to
have American ships seize British ships and
goods. Both Washington and Jefferson would
put an end of this.
The British Would eventually seize ships off the
coast of the west indies.
Jay’s Treaty
John Jay was sent to negotiate the return of
American Goods.
Hamilton was noted as mentioning that the U.S.
would give in to negations easily, which the
British found out.
The treaty stated that the U.S. would pay for its
revolutionary debt to the British.
The British would return American goods and
the troops would leave the territories.
Passing the treaty
Congress was mostly against the bill.
Southern states did not want to pay back the
debt and Jay never mentioned the slaves that
the British took from the colonists.
In order for the Bill to be passed Washington
moved bill to the Senate without House
approval stating that House was rebelling
against him.
Pinckney's Treaty
Pinckney met with the Spanish to open up the
south and Mississippi to trade.
Whisky Rebellion
A small rebellion started due to an excise tax on
grain distilleries, which hurt farmers and distilleries.
Washington assembled an army with Hamilton to
put down the rebellion. Upon the arrival the mob
had already disbanded. Because they thought the
uprising in Pennsylvania was a direct threat to the
country.
Washington claimed that the rebellion was believed
to be on par with the revolution.
Republicans thought this was Hamilton using the
military to scare Republicans.
Farwell address
Washington at the end of his term mentioned in
his Farwell address that Political factions would
lead to the end of the country.
The address was oddly written by Hamilton
Hamiltonian Scheme
• Hamilton did not trust an independent
minded Adams
• Urged southern Federalists to vote for
Pinckney.
• It was Hamilton’s hope that Pinckney would
be elected and Adams would serve as his Vice
President.
• New Englanders discover the plot and drop
Pickney and vote for Adams.
Results
• 1796 John Adams elected.
• Presidential Candidate Thomas Jefferson had
68 votes vs. 71.
• Other candidates were Thomas Pinckney (59
votes), Aaron Burr (30 votes) and others with
48 scattered votes.
• End Result
• Adams has to work with a Republican Vice
President Jefferson.
Foreign Policy
• With the fallout of Jay’s Treaty John Adam’s
had a lot to deal with when it came to French
Relations.
• The issue that Adam’s was dealing with was
U.S. ships being seized by privateers.
• Adam’s sent Charles Pinckney, John Marshall,
and Elbridge Carry to try and work over issues
with the French
The XYZ affair
• The three delegates from the U.S. were not
received well
• The delegates were expected to pay a bribe to
French Officials as well as a loan for millions
• When the information was relayed to
congress the agents were known as Xyand Z
• This event only worsened tensions between
Federalists and anti Federalists. Hamilton
called for war with the French.
Political Dissent
• Post XYZ there was a continued worry about a
French invasion and it was believed that an
army needed to be built.
• the Federalists were continuing to try and find
ways to quiet the Republicans and felt a
military force was the only way to quiet them.
• Instead Adams decided to build a Navy
Alien and Sedition
• The federalist Majority decided that should try
and quiet Republican dissent besides building a
military.
• Congress would pass the Alien and Sedition act.
• The act allowed federal courts and the President
to silence Republican dissent. As well as deport
those of a foreign nature.
• The courts were stacked with Federalist
representatives.
• Obviously many people were dragged into court.
Protest of Alien and sedition
• Essentially the acts attacked free speech so
there were many people who opposed the
acts. Some even spoke of succession from the
union.
• Both Madison and Jefferson drafted
resolutions to the acts
• Adams would decide to side with the Virginia
resolution