LAUNCHING THE NEW SHIP OF STATE

GROWING PAINS

• Population doubling every 20 years; almost 4 million people

• 90% rural

• Vermont becomes a state, followed by KY, TN, OH

• Rough pioneers were looked down upon by other countries.

• New Constitution had been formed that left much to be desired

• America was in heavy debt

WASHINGTON FOR PRESIDENT

• Unanimously drafted by the Electoral College in 1789; took the oath of office on April 30, 1789.

THE CUMBERSOME CABINET

Sec. of Treasury Hamilton Sec of State Jefferson Sec of War Henry Knox

THE BILL OF RIGHTS

• Antifederalists had insisted upon a Bill of Rights to the Constitution upon ratification.

• Proposed in two ways:

• Constitutional convention requested by two-thirds of the states

• Two-thirds vote of both houses of Congress

• James Madison drafts them himself

• Adopted in 1791

JUDICIARY ACT OF 1789

• Judiciary Act of 1789—organized the Supreme Court, with a chief justice and five associates as well as federal district and circuit courts and an attorney general.

• John Jay became the first chief justice.

HAMILTON REVIVES THE CORPSE OF PUBLIC CREDIT

• Favor wealthier groups

• In turn, they would lend the government monetary and political support.

• Early form of the “trickle down” economics

• Objectives

• Bolster national credit by urging Congress to fund at par (pay off debts at face value, plus interest--$54 million)

• Assume the debts of all states (totaling $21.5 million)—assumption

• Chain states more tightly to the federal government

• Bargain with VA for capitol on the Potomac helped to carry the bill through Congress.

CUSTOM DUTIES AND EXCISE TAXES

• National debt=$75 million

• National debt was a national blessing—a Union adhesive.

• Where would the money come from to pay this massive debt?

• THE ANSWER IS AS CERTAIN AS DEATH AND….TAXES.

TARIFFS AND EXCISE TAXES

• Imposed a low tariff of 8% on dutiable imports

• Intended to protect infant industries

• Raise revenue

• 1791—secured an excise tax on a few domestic items (whiskey)

• 7 cents a gallon

• Burden for backcountry farmers

HAMILTON VS. JEFFERSON

• Proposed a private bank for the US government to be the primary shareholder and deposit its money

• Bank would print money

• WAS IT CONSTITUTIONAL?

• Jefferson—NO

• States had the power to charter banks not Congress

• Amendment X

• Hamilton—YES

• “necessary and proper” clause

PRIMARY SOURCE DOCS

• After reading the excerpts provided, compare/contrast the Federalists and Republicans, especially their views on democracy, government power, the economy, and foreign affairs. Use the documents to support your answers.

THE BANK OF THE UNITED STATES

• Created in 1791

• Chartered for 20 years

• Opposition from the South

• Supported in the North

• Stock was open for public sale, although the federal government owned 1/5 of it.

MUTINOUS MOONSHINERS

• Whiskey Rebellion—1794—PA

• Burden on a medium of exchange and economic necessity

• Corn crops and rye made into liquor were more cheaply transported

• “Liberty and No Excise”

• Washington summons the militia (13,000)

• Found no insurrection upon arriving in PA

• Three rebels were killed

• CONSEQUENCES

• “I won’t back down!” said Washington

• Critics—”used a sledge hammer to crush a gnat.”

THE EMERGENCE OF POLITICAL PARTIES• Hamilton’s policies, although successful, encroached on states’ rights.

Ca. 1792 Federalists Democratic Republicans

Ca 1816 Death of Federalists

Ca 1820

1825National Republicans Democratic-Republicans

1834Whigs (Jacksonian Democrats)

1854 Republicans Democrats

RepublicansOne Party: Era of Good Feelings

THE IMPACT OF THE FRENCH REVOLUTION

• Two major parties had formed by 1793--Jeffersonian Democratic-Republicans and the Hamiltonian Federalists.

• Only a few ultraconservative Federalists were upset at this “mobocracy” and revolt.

• When the French declared war on Austria, then threw back theAustrian armies and then proclaimed itself a republic, Americans sang “The Marseillaise” and other French revolutionary songs, and renamed various streets and places.

OPINION TURNS

• After the revolution turned radical and bloody, the Federalistsrapidly changed opinions and looked nervously at the Jeffersonians, who felt that no revolution could be carried out without a little bloodshed.

• Still, neither group completely approved of the French Revolution and its antics.

• America was sucked into the revolution when France declared war on Great Britain and the battle for North American land began…again.

WASHINGTON DECLARES NEUTRALITY• JDRs wanted to support France

• Hamiltonians wanted to support Britain

• In 1793, he issued the Neutrality Proclamation, proclaiming theU.S.’s official neutrality and warning Americans to stay out of theissue and be impartial.

• Citizen Edmond Genêt (The Situation with France)

• he equipped privateers to plunder British ships and to invade Spanish Florida and British Canada.

• He even went as far as to threaten to appeal over the head ofWashington to the sovereign voters. Afterwards, he was basically kickedout of the U.S.

EMBROILMENTS WITH BRITAIN---AGAIN.

• Britain maintained forts in the northern frontier and sold arms to the Miami Confederacy

• Treaty of Greenville—1795—the confederacy gave up vast tracts of the Old Northwest in exchange for $20,000 and an annual annuity of $9,000, the right to hunt and sovereign status.

• West Indies—Britain seized American ships and impressed soldiers

JAY’S TREATY

• 1794—Britain agreed to:

• Give up the forts

• Pay for the recent seizures

• The US had to pay the debts still owed to British merchants on pre-Revolutionary accounts

• CONSEQUENCES

• Spain moves to strike a deal with the US

• Pinckney’s Treaty—granted the Americans free navigation of the Mississippi, warehouse rights in New Orleans, and disputed territory in Western Florida (p 175)

WASHINGTON’S FAREWELL ADDRESS

• Established the precedent of a two-term limit

• Advised

• Avoidance of “permanent alliances”

• Favored temporary alliances

JOHN ADAMS BECOMES PRESIDENT

• Federalists—John Adams• JDRs—Thomas Jefferson• Issues of the campaign• Personalities• JDRs focused on the Whiskey Rebellion and Jay’s Treaty

• Adams received 71 electoral votes to Jefferson’s 68.• Jefferson becomes the VP (12th amendment later removes

this system)

UNOFFICIAL WAR WITH FRANCE

• French considered Jay’s Treaty an alliance with Britain

• Violated the Franco-American Alliance

• XYZ Affair

• Adams sent three envoys to meet with Talleyrand

• They were approached by three go-betweens

• Demanded an unneutral loan of $32 million florins and a bribe of $250,000 for talking with Talleyrand

• America prepares for war.

PATRIOTISM ABOVE PARTY

• Adams realizes that war must be avoided despite the unpopular decision

• 1799—submitted the name of a new minister to France

• Hamiltonians were enraged

• Convention of 1800

• France agreed to annul the 22 year old marriage of inconvenience (Franco-American alliance)

• US agreed to pay the damage claims of American shippers

THE FEDERALIST WITCH HUNT

• Federalists wanted to silence the JDRs.

• Passed a measure that requires 14 years of residency to become a citizen (5 years was the requirement)

• Alien Laws

• Sedition Act—anyone who impeded the policies of government or falsely defamed its officials, would be liable to a fine and/or imprisonment

KY AND VA RESOLUTIONS

• Jefferson and Madison stressed the compact theory

• The 13 sovereign states had entered into a compact with the federal government

• Jefferson and Madison argued that the federal government had indeed overstepped its authority and nullification was the remedy.