FORMING A NEW REPUBLICChapter 9

1ST PRESIDENTIAL ELECTION

Held in 1789Washington won, becoming our 1st presidentWas inaugurated, or sworn in as president in NYCRunner up was John Adams and he became VP

FEDERAL JUDICIARY ACT OF 1789

Created the federal court systemEstablished 6 justices for Supreme Court (now its 9) John Jay appointed by Washington as 1st Chief Justice of Supreme Court

CABINET- ADVISE THE PRESIDENT

Secretary of War (now called Secretary of Defense): Henry Knox (in charge of military defense)

Secretary of State: Thomas Jefferson (dealt with other countries)

Secretary of Treasury: Alexander Hamilton (manages gov’t $)

DEBT PROBLEM

State and national gov’t borrowed money to win the revolution (from other countries and private citizens) and had to pay that money back

The gov’t also promised to pay soldiers with back pay plus interest for fighting in the revolution

1789 debt= $52 million

HAMILTON’S SOLUTIONS TO FINANCIAL PROBLEMS

3 step plan: Pay off all war debts, raise gov’t revenue, and create a national bank

Also wanted the national gov’t to pay off the war debts of the states

CONTROVERSY OVER DEBT REPAYMENT

Southern states objected to the federal gov’t paying off states war debts bc many southern states were almost paid off

In exchange for their support, the gov’t promised to move the nations capital from NYC to the south (becomes Washington, DC)

NYC 1780 NYC 2013

RAISING $ FOR USA

Hamilton favored tariffs, or taxes on foreign made goods, than taxes on citizens

Tariffs raise $ for the gov’t and also promote growth of American businesses

Hamilton wanted to create a national bank that would loan money, create a currency ($), and be a safe place to keep $

FIGHT OVER THE NATIONAL BANK

Jefferson and Madison opposed the national bankThought it would create a shady relationship between gov’t and the wealthy

Thought it couldn’t/shouldn’t be done b/c the Constitution didn’t create a national bank

NATIONAL BANK CREATED

1791, the National Bank is formedGov’t used the “elastic clause” of Article 1 of the Constitution to justify its creation

The elastic clause says that the gov’t can do what it feels is necessary and proper to carry out its powers

POLITICAL PARTIES BEGIN

The fight over the national bank started the move towards political parties

One party will support strict and literal interpretation of the Constitution and favor power to the states and the other will support a looser interpretation which gives the national gov’t a lot of power

BATTLE OF FALLEN TIMBERS (1794)

US army fought Native Americans of the Northwest Territory

US won the battle and force the Native Americans to give up much of their territory within the Northwest Territory

WHISKEY REBELLION (1794)

Group of western PA farmers revolted against new tax on whiskey

Farmers attacked a local tax collector and threatened to attack Pittsburgh

Washington sent 13,000 soldiers to stop the rebellion and rebels gave up quickly without a fight

Easy victory by the gov’t proved that the federal gov’t could enforce its laws

WAR IN EUROPE (1793)

Revolution in France (1789) and France and England go to war

Washington decides that USA will remain neutral Jefferson thought we should help the FrenchHamilton thought we should help the British in the war with France b/c we needed the British as trade partners.

JEFFERSON QUITS (1793)

Jefferson was tired of Washington always supporting Hamilton

Jefferson also didn’t like the criticism he faced for saying we should support France

JAY’S TREATY (1796)

John Jay negotiated treaty with BritishBritish left Ohio Valley area and paid $ to USA for ships they had seized during the French and British War

PINCKNEY’S TREATY (1795)

Treaty with SpainGave Americans free travel on Mississippi River and use port of New Orleans and set southern border of US with Florida (at time Spanish controlled)

BENJAMIN BANNEKER

Helped plan the layout of the new nation’s capital (Washington DC)

Was a self educated African American

PRESIDENT WASHINGTON LEAVES

Washington decided that 8 years was enough as president and wanted to retire

In his farewell address he warned about political divides and parties that would create

He also warned future presidents to keep the country neutral

POLITICAL PARTIES FORM

Democratic Republican party-founded by Jefferson and Madison

Federalist Party-founded by Alexander HamiltonWere both created out of the differences on how the gov’t should work and where powers of gov’t should be (states or national gov’t)

1796 PRESIDENTIAL ELECTION

Democratic Republicans- Thomas Jefferson

Federalists- John Adams

Adams wins and Jefferson becomes VP

Result is that two men of different beliefs in how gov’t works, now have to work together as president and VP (TROUBLE!!!!)

XYZ AFFAIR

France had been seizing US ships and cargoAdams sent representatives to fix problems with the French

French officials tried to get a bribe and a loan from Americans in exchange for stopping to seize American ships (US said no)

As result of attempted bribe, Congress disbanded all treaties with France and started seizing French ships and cargo

Also a result, Congress voted to expand and fund the military more

ALIEN AND SEDITION ACTS

Targeted aliens, or people from other countries living in US but not yet citizens

Gave gov’t broad arrest powers

Extended the wait time for becoming a citizenBanned sedition, or stirring up rebellion (used this part of law to shut down newspapers with opposing views from the Federalist party controlled gov’t)

VIRGINIA AND KENTUCKY RESOLUTIONS

Insisted on nullification, or right of a state to cancel any act of Congress it felt was unconstitutional

Were a way for the Democratic Republicans to challenge the Alien and Sedition Acts

NEW CAPITAL

1800 was first year the federal gov’t was in Washington DC moving from NYC