George Washington1789-1797

Washington’s Foreign Problems

• Thomas Jefferson was Secretary of State• Washington and Jefferson decided the US

could not choose sides in the war between• Britain and France• Created the Proclamation of Neutrality 1793• Stating US would remain neutral in foreign

affairs• Jay and Pickney Treaties see reading

Washington’s Financial Problems• The US was $52 million in debt• Alexander Hamilton was Secretary of Treasury• In order to gain respect for US he planned to• Tax-see reading• Create a National Bank-see reading• Hamilton and Jefferson argued over • The constitutionality of the bank• This argument led to forming of Political

Parties

• These parties still exist today with different names

• Democratic-Republicans-Jefferson-Democrats• Federalists-Hamilton-Republicans

Washington’s Precedents• Two Terms• Mr. President• President’s Cabinet-• Department of – Treasury-Hamilton– State-Jefferson– War-Henry Knox– Attorney General-Edmund Rudolph

Washington’s Warnings

• Warned against political parties because • He said they are more concerned with their

cause than the nation’s best interests• Also warned against Entangling Alliances• Trade w/other nations, no political alliances• Said would lead to unwanted wars• Led to a foreign policy of Isolationism