THE RISE OF
POLITICAL PARTIES
Hamilton vs. Jefferson
Alexander Hamilton
• He was born out of wedlock in the British
West Indies.
• Orphaned at an early age
• Benefactors provided him with money to
study in New York at King’s College aka
Columbia University
• Served as Washington's aide de camp
during the Revolutionary War
• Drafted the Federalist Papers with James
Madison and John Jay
• First Secretary of the Treasury
Thomas Jefferson
• He was born to wealthy parents in Virginia.
• Jefferson had a relatively sheltered
upbringing.
• Studied at William & Mary College
• Served in the House of Burgesses & the
Continental Congress
• Drafted the Declaration of Independence
• American Founding Father
• Served as Ambassador to France during the
late 1780s
• First Secretary of State
• 3rd President of the United States
political
Federalist Beliefs
Leader
Appealed
to
Ideas of
Government
Domestic
Policy
Foreign
Policy
Alexander Hamilton
John Adams
Manufacturers, merchants,
wealthy and educated….
Favored seaboard cities
Strong government over states
Loose Construction of Constitution
•Implied powers
Wealthy and educated involved
Limit freedoms of speech & press
Preferred govt. similar to a king
Supported National Bank—BUS
Supported excise tax
National debt good for country
National govt. assume state debts
Tariffs should be high
Opposed French Revolution
Wanted war with French
Favored the British
(former Anti-Federalists)
Democratic-Republicans
Thomas Jefferson, James
Madison, Patrick Henry
Farmers and Planters
common man
Favored the South and West
State’s rights over National Govt.
Strict construction of Constitution
•Expressed/Enumerated powers
Common man but educated
Bill of Rights is sacred
Lesser government the better
Against National Bank—BUS
Against excise tax
Against National debt
States pay their own debts
Tariffs should be low
Supported French Revolution
Opposed war with French
Favored the French
Federalist Papers
• Series of 85 essays or articles promoting the ratification of the
United States Constitution
• Written by Alexander Hamilton, James Madison and John Jay.
• The authors of The Federalist Papers wanted both to influence the
vote in favor of ratification and to shape future interpretations of
the Constitution.
• Another purpose that The Federalist was supposed to serve was as
a debater's handbook during the ratification controversy, and
indeed advocates for the Constitution in the conventions in New
York and Virginia used the essays for precisely that purpose.
• The Federalist Papers are known for their opposition of The Bill of
Rights.
• After initialing writing the Federalist Papers, James Madison later
aligned himself with Thomas Jefferson as an anti-federalist.
Philosophical Differences
Hamilton
Jefferson
• Hamilton distrusted the masses,
favored government by self-made
men (elites)
• Believed that Americans would
become an Industrial/ Commercial
power
• Supported strong central
government to preserve order and
secure liberties
• Argued for “Loose” interpretation
of the Constitution to give the
central government power to deal
with challenges
• Jefferson placed confidence in the
“common man” (to an extent)
• Believed that America should be
an Agrarian republic of “virtuous
citizen farmers”
• Distrusted centralized
government-favored state rights
and individual liberties
• Argued for “strict” interpretation
of the Constitution to limit
national power and preserve
liberty
Economic Differences
Hamilton
Jefferson
• Hamilton’s financial plan aimed to
put the country on a strong
economic footing
• Jefferson criticized Hamilton’s plan
as a means of consolidating the
financial power of the elite
• Challenged funding of debt
because benefited speculators, not
the original purchasers
• Considered assumption of state
debts unfair because benefited
northern states more
• Tariffs and a central bank also
tended to help northern, urban
interests at the expense of
southern, rural Americans
1. Funding of national debt and
assumption of the state debts
2. Tariffs and excise taxes to provide
national revenue and to protect
“infant” industries
3. Central Bank to provide a source of
credit and a safe place for federal
deposits
The Compromise of 1790
• Congress refused to pass Hamilton’s assumption plan because of
opposition by James Madison and other southerners
• Jefferson invited Hamilton and Madison to dinner at his townhouse
in New York City to work out a compromise
• Madison would support the assumption in exchange for Hamilton’s
pledge to support the choice of the Potomac as the site for the
nations permanent capital.
• Once an ally to Hamilton in the ratification debate,
Madison distrusted his views on executive
powers.
Foreign Policy
Hamilton
Jefferson
• Hamiltonian federalist distrusted the
radicalism of the French Revolution
and sought to emulate the British
system of strong banks and commerce
• Jeffersonian republicans embraced
the French Revolution and argued
that Americans should remain loyal
to their ally
• Jefferson officially supported
neutrality but was attacked for his
continued support of revolutionary
France, he resigned from George
Washington’s cabinet in 1793
• Republicans criticized the Jay
Treaty as a “sell out” to the British
• Washington declared formal neutrality
in 1793 to avoid involvement in
European crisis
• Supported the Jay Treaty in 1794
which made concessions to Britain on
trade issues but also avoided war
Use of National Power: The Whiskey Rebellion
• Western Pennsylvania farmers rebelled against the high excise tax
on whiskey in 1794
• Washington responded by calling out the military to put down the
rebellion
• Federalist argued that National power must be asserted to
demonstrate the new country’s stability and to make the point that
challenges to government policy must be peaceful
• Washington led 15,000 militia into Western Pennsylvania, the only
time that a sitting President has led his troops into action
Washington’s Farewell Address
• Washington warned against both factionalism and “foreign
entanglements” in his last published addressed as President in 1796
• He was especially concerned with the emerging split between the
Federalists led by Hamilton and Adams and the Republicans led by
Jefferson and Madison would split the country apart along sectional
lines
• The election of 1796 was the first two party election in US history;
John Adams won but Jefferson became Vice President.
Quasi War and Alien & Sedition Acts
• By 1797, the French had intercepted American vessels seeking to
trade with Britain
• “XYZ Affair”- American officials sent to negotiate with the French
were expected to pay a bribe
• American outrage led to an undeclared naval war with France (the
Quasi War)
• The Federalist controlled Congress cracked down on dissent with
the Alien & Sedition Act.
Alien Act – Aimed at non-citizens. Lengthened the time from 5 to 14 years that it
took for an immigrant to become a citizen and have a right to vote since most
immigrants voted Republican. It also allowed the President to jail or deport aliens
that the administration thought were causing trouble.
Sedition Act – Made encouraging rebellion against the government a crime
including printing, writing, or speech making
States’ Rights & The Election of 1800
• Jefferson and the Republicans responded with charges that the
Federalist were abusing liberties under the First Amendment
• Madison and Jefferson drafted the Virginia and Kentucky
Resolutions which argued that the States’ had the power of both
interposition and nullification (the heart of States’ Rights Doctrine)
to defend the rights of the people.
• Republicans used the issue to help win the election of 1800 which
was the first peaceful transfer of power between political parties in
American History