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Explore the tumultuous early years of the United States as it grapples with economic and political challenges. Alexander Hamilton's financial plan, which shifted debts to the national government, emphasizes the strong government ideal but faces fierce opposition from Thomas Jefferson and his supporters, setting the stage for a two-party system. Foreign relations complicate matters with George Washington's neutrality stance and conflicts with Britain and France. The peaceful transfer of power during the 1800 election solidifies the principles of democracy, shaping America's future.
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The Early Republic Issues at home and abroad
Economic Issue: The National Debt • Alexander Hamilton devises program for getting country’s finances in order • Debts are transferred from state government to national government • Gives national government more importance and makes creditors feel invested in the success of the nation • Funds raised through taxes and tariffs
Hamilton’s Opponents • Led by Thomas Jefferson • They feel that Hamilton’s idea of a strong national government is a betrayal of the American Revolution • Jefferson’s opposition is the beginning of the idea of a two-party system in our democracy
Federalists Loose interpretation of Constitution Strong National government Believed a national bank was necessary Pro-business Pro-British Jeffersonian Republicans Strict Interpretation of Constitution Weaker National Government Pro-agriculture- against national bank Pro- French Opposing Views
International Issue: Britain vs France • George Washington issues proclamation of neutrality (US would not become involved) • Great Britain angers US citizens by seizing US ships and supporting Indians in Northwest territory • Jay’s Treaty is negotiated to keep peace- many feel US was not assertive enough in protecting their interests
Election of 1796 • Washington decides to retire- setting precedent for two-term maximum term of office (which lasts until 1940) • John Adams (Washington’s VP) defeats Jefferson in close election • Jefferson becomes Vice President
Washington’s Farewell • Washington advises nation on the best course for its future- based on two main ideas • He was against political parties, thought they would weaken the nation by dividing it • He said we should avoid foreign entanglements and preserve friendly relations with all European countries
The Adams Administration • Major conflict- power of national government • Alien and Sedition Act forbids “false, scandalous, malicious” attacks on government • Republicans feel this violates 1st Amendment Freedoms • They respond by Virginia, Kentucky resolutions which say that states can ignore federal laws within their own borders if laws are unconstitutional
Conflict with France • American sentiment turns against France • French begin to seize American ships at sea • French officials demand bribe before negotiating with Americans on the issue • Adams, against the feelings of many in his country (especially Federalists) makes peace with France
Election of 1800 • Former friends and colleagues Adams and Jefferson engage in bitter personal campaign with attacks on both side • Election results in a tie between Jefferson and Aaron Burr (his vice-presidential candidate) • Eventually election is decided in House of Representatives • 12th Amendment establishing separate election of President and VP makes sure this does not happen again
Transfer of Power • Key moment in US History as power is peacefully transferred from Federalists to Republicans • Jefferson, in his inauguration, recognizes the importance, saying that “… We are all Republicans, we are all federalists”