Ch10 PPT : Launching the New Ship of State

1789-1800

Expanding Nation• Pop. growth: doubling

every 25 years• 1804: 4 million people.• Cities booming, but

America’s pop. still 90% rural.

• Regional growth: only 5% lived west of Appalachian Mts.

• States added to the Union

Tmwk Ch 101. Pg 192 How many cabinet positions were

there under Pres Washington? Write down two of them.

2. Pg 192 What cabinet position was added next?

1st Leaders• 1789 -1797: George

Washington: 1st pre– Selected1st Pres. Cabinet

• Thomas Jefferson: Sec of State

• Henry Knox: Sec of War• Alexander Hamilton: Sec of

the Treasury = Father of national debt

• 1789 Judiciary Act: created federal court system=Supreme Crt

Hamilton’s Financial Plan• Shaped fiscal policies to favor wealthier groups• Congress to fund entire national debt of $54 million “at

par” – govt to pay off debts at face value, plus interest.

• Established federal govt’s credit.• Congress: take on debts of the states - $21.5 million.

Hamilton believed that assuming debts of the states would bind the states to the federal govt. (loyalty)– Unfair for states with lower debt, such as Virginia –

“The Bargain” was made. What is the bargain?

Tmwk Ch 103. Pg 194 What 3 types of debts were

owed?

4. Pg 194 Under Hamilton’s financial plan, what revenue would pay for the debt?

Customs Duties and Excise Taxes***How would the federal govt pay for the debt

and have money to run the govt?

• Tariff of 8% on dutiable imports passed in 1789.

• 1791: Excise tax on domestic items such as whiskey (7 cents/gallon) –

• Outcry against Whiskey tax results in .

Whiskey Rebellion: 1794• SW PA - Outcry against tax on whiskey that

would help pay national debt.

• Tarred & feathered/Harassed revenue officials so they couldn’t collect the tax.

• No negotiation: Washington personally commanded army to put down revolt.

• 1st time U.S. govt, under the Constitution, used force against its citizens

• 1803: Tax repealed

Federal Bank of the U.S.: 1791• Bank of U.S.: chartered for 20 years• 1/5 owned by the federal govt. Stock open for public

sale. Had a capital of $10 million• Bank to print paper money – a national currency.Hamilton VS.

Loose Construction:

what the Constitution didn’t forbid, it permitted

Desired a strong central govt

JeffersonStrict Construction: there was no authorization in the Constitution for the bank: therefore only States, not Congress, had the right to charter a bank•Desired states to have more power.

Bill of Rights• Name some of these Rights:

• Bill of Rights added to the Constitution – specified protections for individual liberties:– 1st 10 Amendments drafted by James Madison

Tmwk Ch 105. Pg 197 What political party does Hamilton

belong to in 1792? Jefferson?

6. Pg 197 In what year was there only one major political party? And what was that political party?

Two Party System• Democratic-Republicans

– Jefferson and Madison– Desired weak central govt– Strong state’s rights – Strict interpretation of

Constitution• Federalist Party

– Alexander Hamilton– Strong central govt.– Loose interpretation of

Constitution and commerce

Opposition by Jefferson and Madison to Hamilton’s financial plans resulted in formation of permanent political parties in the 1790’s.

Tmwk Ch 107. Name 3 things Secretary of Treasury

Hamilton did for the financial plans of the U.S.

8. Pg 200 Name two trading posts held by the British on U.S. soil.

Foreign Affairs with France• Response to France declaring War on Britain and

Spain: Neutrality Proclamation of 1793– Federalists sided with the British– Democratic-Republicans sided with the French

• America was more useful to France as a neutral provider because Britain would have blockaded their supply ships if they had entered the war.

British Entanglements• Britain still had Northern fur trading posts in US• British Royal Navy seized 300 American merchant

ships.• British sold weapons to Indians of the Miami

Confederacy who attacked American lands.• Miami Confederacy defeated at Battle of Fallen

Timbers• 1795 Treaty of Greenville signed: Indians gave

up large areas of land in Old Northwest; Indians received $20,000 and $9,000 annual annuity; Indians can hunt on the land.

Treaties with Britain and Spain• Chief Justice John Jay

sent to Britain - negotiated 1794 Jay’s Treaty

• British promised to evacuate NW trade posts on U.S. soil.

• Britain agreed to pay damages for taking American ships

• U.S. has to pay the debts still owed to British merchants before Rev. War.

• 1795 Pinckney’s Treaty: with Spain (aka Treaty of Lorenzo)

• Gave free navigation of Miss. River to U.S.

• U.S. gained area north of

Florida.• Gave U.S. farmers right

to use Port of New Orleans

Tmwk9. Pg 203 What was the XYZ affair and the

results?

Effect of Jay’s Treaty with Britain• Greater division between Federalists and Democratic

Republicans (pro-French)

XYZ AFFAIR• France had been seizing American merchant ships• John Adams sends American envoy to negotiate with

France.• 3 Frenchmen ask Americans for bribe of $250,000

plus a loan to be allowed to speak with French Foreign Minister Talleyrand.

• Americans refused to pay: result = US stopped trade with France

Results of XYZ Affair• War hysteria: “Millions for defense, not

one cent for tribute.”

• US now makes War Preparations:– Navy Department created & expanded– U.S. Marine Corps re-established– New army of 10,000 men was authorized

• 1798-1800: Leads to 2 ½ years of undeclared naval warfare with France.

Negotiation with Napoleon• France finally agrees to negotiate: treaty signed.• Convention of 1800: treaty with France to settle

hostilities from XYZ Affair. (mostly against each other’s ships) – France agrees to annul the Treaty of Alliance of

1778 (from Revolutionary War)– U.S. agrees to pay damages of American shippers

1798 Anti Jeffersonian (France) Laws passed by Federalists

• Alien Acts: discouraged “undesirable” immigrants from Europe: Raised resident requirements for aliens who wanted to become citizens from 5 to 14 years.

• Other Alien Laws empowered the govt. to deport “dangerous” foreigners and/or imprison during times of hostility.

Anti-Jeffersonian Laws Cont.• Sedition Acts: against anyone who impeded the

policies of the govt. or falsely accused officials, including the Pres.

• Against freedom of speech and freedom of the press (1st Amendment rights)

• Offenders were liable to fines and imprisonment.

*The Alien and Sedition Acts were written by Federalists - set to expire in 1801.

Tmwk10. Pg. 208 Name 4 reasons why

Federalists were so different from the Democratic-Republicans (Jeffersonians)

11. What did the Democratic-Republicans do in response to the Alien and Sedition Acts?

Virginia and Kentucky Resolutions• Written in response to Alien and Sedition Acts.• Kentucky Resol. - Secretly penned by Jefferson• Virginia Resol. – penned by Madison• Stressed the “compact” theory: Constitution exists as

a compact between the federal and state govts.• Both Resolutions declared if federal govt. exceeds its

constitutional powers, then the law should be nullified by the States.

• Nullify = invalidate a law

Washington’s Farewell Address– Praised the benefits of the federal government – Warned against the party system – Stressed importance of religion and morality – Warned against permanent foreign alliances.

Main Ideas• Population of U.S. continues to grow; US

continues to find its identity• Emergence of “lasting alliances” through

political parties - Federalists and Democratic-Republicans

• Federalists attempt to maintain ties with British for trading; Democratic-Republicans inspired by events of French Rev.

• Alien and Sedition Acts: response Virginia/Kentucky Resolutions - tests the ‘elasticity’ of the Constitution