THE INFANT REPUBLIC George Washington was unanimously elected President in 1789. Washington established the tradition of the presidential cabinet, appointing Henry Knox Secretary of War, Thomas Jefferson Secretary of State, & Alexander Hamilton Secretary of the Treasury. Hamilton established a threepart plan to strengthen the new nation’s finances. Hamilton advocated assuming all debts of the states, and paying those as well as the national debt in full in order to establish the nation’s credit-worthiness. Hamilton planned to generate revenue to pay off the debt via an 8% tariff as well as with several excise taxes. Hamilton also argued for the First Bank of the United States, to regulate the availability of money in the new nation. Thomas Jefferson took a strict constructionist view in arguing against the Bank, while loose constructionist Alexander Hamilton successfully invoked the “necessary & proper” (elastic) clause to justify federal investment in the bank. The disagreement between the viewpoints of Jefferson and Hamilton led to the creation of the nation’s first political parties, the Federalists and the Democratic-Republicans. Another unintended consequence of Hamilton’s plan was the Whiskey Rebellion, a Pennsylvania uprising against the excise tax which crumbled against the threat of the federal military. President Washington also hoped to forestall bloodshed by issuing the Neutrality Proclamation of 1793, endeavoring to remain outside the war raging between France and Great Britain. The US did go to war with the Miami, Shawnee, and Wyandot Indians, achieving victory at the Battle of Fallen Timbers which gave the nation control of the land between the Ohio River and the Great Lakes thanks to the Treaty of Greenville. The Washington administration also negotiated a much less popular agreement with Great Britain known as Jay’s Treaty, which promised payment for seized American ships in exchange for US payment of pre-Revolutionary War debts. Pinckney’s Treaty of 1795 granted the United States free navigation of the Mississippi and disputed land between Georgia and Spanish Florida. President Washington warned against partisanship, permanent alliances and involvement in European affairs in his Farewell Address, at which time he established the precedent of a President serving no more than two terms. The election of 1796 saw Vice President John Adams narrowly defeat Thomas Jefferson to become the last Federalist President, with Jefferson serving as Vice President. Adams burnished his reputation with his handling of the XYZ Affair in which he refused to bribe the French government, still angered over Jay’s Treaty, to meet with American emissaries. Adams’ stance led to the Convention of 1800, which ended the Franco-American alliance in exchange for the US paying damages inflicted upon American vessels by the French Navy. The emboldened Federalists tried to capitalize on their political gains by passing a trio of repressive laws. 1. The Naturalization Act increased the waiting time for immigrants to become citizens from 5 to 14 years. 2. The Alien Acts allowed for the detention or deportation of “dangerous” foreigners. 3. The Sedition Act made criticism of the federal government in the press illegal. Thomas Jefferson and James Madison anonymously crafted the Kentucky & Virginia Resolutions in response to these laws, asserting the belief that the US was a compact of states conferring authority upon the national government, and that states possessed the right of nullification to ignore unjust federal legislation. The DemocraticRepublicans capitalized on growing animosity toward Federalist policy to win control of both the presidency and Congress in the election of 1800, setting a precedent for the peaceful transition of power from one party to another. The newly-elected President Jefferson sought to ease the Federalist imprint upon government policy, but with conflicting results. Jefferson engineered a repeal of federal excise taxes and a reduction of the national debt. However, . . . Chief Justice John Marshall authored a number of Supreme Court decisions which cemented Federalist policy in spite of the change in political power. Marbury v. Madison (1803) Established the power of judicial review, which gave the US Supreme Court the power to determine the constitutionality of congressional legislation. Fletcher v. Peck (1810) Dartmouth College v. Woodward (1819) Established the sanctity of contracts and protected them from state interference. McCullough v. Maryland (1819) Established the doctrine of implied powers and protected the federal government from taxation by the states, stating “the power to tax is the power to destroy.” Cohens v. Virginia (1803) Established the power of the US Supreme Court to review the verdicts of state supreme courts. Gibbons v. Ogden (1821) Reinforced federal control of interstate commerce. In spite of his strict constructionist belief that the federal government lacked the constitutional authority to do so, in 1803 Jefferson purchased the Louisiana Territory from France for $15,000,000, ensuring access to the Mississippi and doubling the territory of the United States.