1789 - 1800
Ch. 9 – Launching the New Government
Inaugurated April 30, 1789 in NYCSet precedent – act or decision that sets an
example for others to follow Created departments & cabinet to help advise PresidentJudiciary Act
Supreme Court establishedJohn Jay 1st Chief Justice
Washington Takes Office
Reducing the Nation’s Debt
During A. Revolution the gov. needed $, so gov. borrowed from foreign countries & people through bondsBonds – certificate which promises to repay $ loaned plus
interestSec. of Treasury Alexander Hamilton ordered repayment
of all national debts b4 they affected future South did not agree w/ paying back state debtsHamilton made compromise w/ South to move the capitol to
District of Columbia (Washington D.C.) by 1800Build the Economy Agriculturally & Industrially
Bank of the U.S. (1791): gov. collected tax $ & gave loans to farmers & businesses
Congress passed protective tariff (tax) on foreign goods brought into the country to protect local manufacturers
Whiskey RebellionHamilton created tax on all liquor made & sold in
US to raise $ for TreasuryFarmers hated tax b/c they had to pay $ in order
to ship whiskey which was made from corn1794 – farmers rebelled/protested in Pittsburgh
PennsylvaniaTested will of new gov & that gov. could work
quick in crisis
In 1793, French Revolution turned violent by reformersBeheaded the King & Queen & killed thousands of
citizensLeaders divided on to help
Washington decides on foreign policy: actions that a nation takes in relation to other countriesUS signed treaty w/ France during A.R. which
complicated issue of remaining neutral in war b/t French & English
American Leaders DividedHamilton said treaty no longer valid & no use of
violenceJefferson: wanted to follow treaty
Neutrality Proclamation: US would not support or aide either side
Creating a Foreign Policy
Warring nations seized US trade shipsJay’s Treaty
John Jay negotiated w/ Britain to pay damages if Americans paid debts to British merchants
Did nothing to protect shipsWashington Retires (1796)
Advised against becoming involved in European affairs w/ allies
Most Americans did not believe in political partiesSaw how factions (opposing groups within
parties) worked in BritainThreat to national unityGeorge Washington warned that parties would
lead to “jealousy & false alarms”Despite warnings factions grew up around
Alexander Hamilton & Thomas Jefferson
Political Parties Emerge
HamiltonEncouraged
manufacturing & trade w/ growth of cities
Strong federal gov. to increase commerce
Believed in loose interpretation of Constitution and Bank of US was necessary
Wanted close ties w/ Britain
Farmers more important
Small federal gov. to protect individual freedom
Though national bank would give power to investors & all powers should be given to states
Favored France
Differing ViewsJefferson
Leaders in states were organizing support for both candidates
Jefferson – Democratic RepublicansSmall farmers, artisans, some wealthy planters
Hamilton – FederalistsMerchants & manufacturers
Newspapers start to take sides for candidatesCan influence public opinion
Election of 1796Republicans backed Jefferson 4 Pres & Aaron
Burr 4 VPFederalists supported John Adams 4 Pres &
Thomas Pinckney 4 VPPerson w/ most electoral votes became Pres
followed by VPJohn Adams won Presidency & Jefferson won VP
Difficult b/c opposing parties
XYZ Affair (1798)French objected Jay’s Treaty & seized
US shipsAmericans called for warFrench minister Talleyrand refused to
meet w/ US diplomats so had advisors X, Y, Z meet with themDemanded $ and loan to France“Millions for defense, but not one cent
for tribute”Sparked war fever in USAdams stayed neutral but built frigates
(fast naval ships w/ guns)
John Adams - 2nd President
Federalists SplitDisagreement over war caused splitHamilton:
Hoped war would weaken RepublicansBuilt militaryWanted war verse French
AdamsFederalist who did not want war against the FrenchAdvisors made agreement with French to stop
seizing ships
Alien & Sedition ActsAlien Act: Pres could expel any alien or
foreigner thought to be dangerous to US & made immigrants live in US for 14 years b4 becoming citizenMade Republicans mad b/c immigrants couldn’t vote
4 themSedition Act: citizens could be fined or jailed
for criticizing gov. or stirring up a rebellionRepublicans said this violated 1st amendment
Jefferson opposed acts & asked states to nullify (cancel) the laws passed by fed. Gov
Kentucky & Virginia ResolutionsEach state has right to judge
whether laws is constitutional, and if un, can nullify
Raised issue of states’ rights – strong or loose interpretation of the Constitution?
Alien & Sedition acts would change or drop later on
Election of 1800Republicans attacked Federalists 4 raising taxes to
prepare for war & Alien & Sedition actsJefferson (Rep. Pres) & Burr (Rep. VP) tied in
electoral votesRule said vote decided by House of RepsAfter 4 days, decided on Jefferson as President
Influenced 12th Amendment (1804) – Electors would vote for Pres & VP separately
Federalist party started to decline
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