The Young Republic, 1789-1800

1. The Young Republic, 1789-1800 George Washington & America’s 1st Political Parties

2. Building the Machinery of Gov’t One committee proposed: "His Highness the President of the United States and Protector of the Rights of the Same" • The Constitution created a “general framework” of gov’t but it was up to the 1st president & the 1st Congress to fill in the details: • The “gov’t” in 1789 had no federal court system, navy, or tax collection system • The Senate spent 3 weeks debating how the president should be addressed The “government” consisted of nothing more than a large debt, 75 post offices, & an army of 700 soldiers

3. Building the Machinery of Gov’t • With James Madison’s leadership, the House of Representatives: • raised revenue by passing a protective tariff & a tax on liquor • gave structure to the executive branch by creating the State, Treasury, Justice, & War Depts • organized a federal court system via the Judiciary Act of 1789 Consisted of a Supreme Court with six justices, a district court in each state, and three appeals courts

4. The Importance of James Madison “Father of the Constitution;” drafted the Bill of Rights; was the leader of Congress who helped create the 1st federal taxes, depts & courts; & will serve as the 4th president

5. Washington as President • The unanimous choice for the leader of the infant republic was George Washington • He established many precedents to make the presidency: • Created the 1st cabinet • Delivering an inaugural address • The title “Mr. President”

6. Washington as President • Washington’s1st termaspresident was defined by domestic policy: • He helped define a strong & active presidency • Appointed strong, able leaders to cabinet posts • Focused on the U.S. economy • Traveled to every state to “show the people” their national gov’t

7. Washington’s Cabinet Alexander Hamilton, Secretary of Treasury Henry Knox, Secretary of War George Washington, President Washington acted as president as he did as a military general: he surrounded himself with capable subordinates, listened to their advice, then made the final decision Hamilton & Jefferson proved to be his most capable cabinet members but were also the most divisive because they had vastly different views on the role of gov’t for the new nation Edmund Randolph, Attorney General Thomas Jefferson, Secretary of State

8. Alexander Hamilton • Hamilton believed a strong central gov’t was best for America: • He wanted the U.S. to grow as an industrial power with less dependency on Europe • He wanted the U.S. economy to mirror the English economy • He feared democracy would lead to anarchy; power should be in hands of wealthy citizens As Sec of Treasury, Hamilton shaped the economy of the new nation

9. Thomas Jefferson • Jefferson believed that a limited gov’t would preserve liberty: • He saw the U.S. as an agrarian nation with active foreign trade to buy manufactured goods • He trusted the common people over the elitist aristocracy • He favored close ties with France, especially when the French Revolution began

11. Hamilton’s Economic Plan for America

12. Hamilton's Economic Plan $54 million in national debt $25 million in state debts • By 1789, one of America’s biggest challenges was its huge debt • Hamilton’s Report on Public Credit (1790) proposed: • “Funding” the national debt • “Assumption" of state debts • Creating a national bank • Gov’t aid to manufacturing

13. Funding and Assumption And an excise tax on distilled liquors (whiskey) • Funding: Congress to redeem U.S. certificates of debt at face value to prove to foreign investors that the U.S.would repay its debts • Assumption: Federal government would purchase states' debts to gain a better interest rate & create a “national” problem rather than individual state problems Was initially defeated but salvaged when northern VA was proposed as cite for new U.S. capital (Compromise of 1790 In 1790, Washington signed into law Hamilton’s proposals on funding & assumption Foreign investment poured into the U.S. Was unsuccessfully opposed because most certificates were currently held by speculators

14. The Bank Controversy • Hamilton proposed the creation of a National Bank that would be privately owned, but federally chartered to regulate finance • Madison & Jefferson opposed the Bank of the U.S. (BUS) because: • It appeared to favor the rich • Its creation was not mentioned in the Constitution This type of interpretation of the Constitution is called “strict construction”

15. The Bank Controversy • Hamilton defended creating a BUS under Article 1, section 8: • The Necessary & Proper Clause gave Congress “implied powers” to interpret the Constitution • This “Elastic Clause” allowed Hamilton to make a successful “loose construction” argument • Congress chartered the Bank of the United States in 1791

16. Promoting Manufacturing • Report on Manufacturing sought to boost manufacturing & reduce U.S. dependency on Europe • Opposition to Hamilton’s plan: • Madison feared strengthening the federal gov’t would destroy state sovereignty • Jefferson feared that the rise of cities would destroy agriculture & agrarian civic virtue • This plan was soundly defeated

17. Foreign Affairs

18. The Battle over Foreign Affairs France was engulfed in the French Revolution; The U.S. supported the revolution, but feared its radical & bloody nature • In the 1792 election, Washington was unanimously chosen again • Foreign policy became the focus of Washington’s 2nd term: • War between England & France broke out in 1793 which divided Americans over who to support • England refused to obey the Treaty of Paris (1783) & barred the U.S. from West Indian trade U.S. neutrality seemed to be the best option

19. The French Revolution Led to War Between England & France

20. The Peril of Neutrality Americans seemed to favor France due to French assistance in the American Rev • Hamilton & Jefferson wanted neutrality but disagreed how: • Jefferson: punish England (due to impressment) by cutting off trade & reward France • Hamilton: England needed to be appeased, not coerced • Washington signed Proclamation of Neutrality (1793) to keep America out of foreign wars At least until the Genet Affair: French diplomat Edmond Genet challenged American neutrality repeatedly in public

21. English & French “impressment” of American sailors

22. Jay's Treaty with England The treaty avoided war with England but did not get the British to pay Southerners for lost slaves or merchants for impressed ships • John Jay demanded from England • The removal of British soldiers from western forts in America • payment for impressed ships • acceptance of U.S. neutrality • Jay’s Treaty (1794) • British vacated western forts • U.S. gained trade in West Indies • But, England did not recognize neutrality or end impressment Jay was hung in effigy throughout America The House challenged the Senate’s Constitutional authority to ratify the treaty

23. Pinckney’s Treaty with Spain • Prior to 1795, Spain closed U.S. access to the Mississippi River & encouraged Indian attacks • But, Spain interpreted Jay's Treaty as Anglo-American alliance against Spain & signed the Treaty of San Lorenzo (Pinckney’s Treaty): • Spain reopened the Mississippi • Settled the disputed border between Florida & U.S.

25. Treaty of Greenville with Indians • To end Indian attacks against white settlers in the West, the U.S. fought an Ohio Indian alliance led by the Shawnee at Battle of Fallen Timbers (1794) • Led to the Treaty of Greenville: • Indians ceded lands in Ohio • The U.S. promised “fair” dealings with Indian nations Settlers rushed to Georgia, Kentucky, Tennessee, Ohio, & western New York

26. America’s First Political Parties

27. America’s 1st Political Parties Represented the “Spirit of 1776” & the fight against tyranny Also called Jeffersonian Republicans or simply, Republicans • Disagreements over Hamilton’s financial plans & Anglo-French Wars led to the 1st political parties: • Democratic-Republicans: led by Jefferson, favored states’ rights, “strict construction,” ties to France, & liberty • Federalists: led by Hamilton, favored a strong national gov’t, “loose construction”, ties to England, & public order Represented the “Spirit of 1787” & the fight for a stronger national gov’t

29. America’s 1st Political Parties • Political parties were seen as a conspiracy against liberty • Federalists & Dem-Republicans thought it was their duty to destroy the other party • In the Washington & Adams eras, the Federalists dominated politics, but Jefferson’s election in 1800 killed the Federalists Commoners in the U.S. were highly literate Newspapers transformed political culture in the U.S.; they were widely read, highly influential, & totally partisan

30. Whiskey Rebellion Hamilton interpreted the rebellion as a Jefferson-inspired conspiracy Jefferson saw it as an excuse by Federalists to raise an army to intimidate Republicans • The whiskey tax led yeomen in western Pennsylvania to start a Whiskey Rebellion in 1794 • When the governor of PA refused to act, Federalists saw the revolt as a threat to safety • Washington himself led the U.S. army to suppress the rebellion • Both parties used the event to attack each other Rioted with the same fervor as those against the Stamp Act

31. Whiskey Rebellion, 1794 His mere presence (and the 15,000 soldiers he brought with him) was enough to end the Whiskey Rebellion President Washington is one of two presidents (Madison is the other) who participated in combat while serving as president

32. Washington's Farewell Address • Washington was not limited by the Constitutionto2terms,butin1796 heannouncedhisdecisiontoretire • In his Farewell Addresshis final advice was that the US should: • Be neutral • Remain united • Warned against “entangling alliances” with foreign nations • Do not have political parties Washington never acknowledged the faction in his cabinet, he tended to side with the Federalist perspective of gov’t Washington’s decision to retire established the precedent of 2 terms in office for presidents

33. Discussion Question: • George Washington is universally agreed to be the most significant of America’s Founding Fathers… • But, who is the 2nd most important of these early political leaders: • James Madison? • Alexander Hamilton? • Thomas Jefferson? • Someone else? • Make an argument for each & then rank order them with a clear justification for your #1 choice

34. The Adams Presidency

35. The Election of 1796 Adams won the presidency & the Federalists controlled the national gov’t from 1796-1800 • The political parties that quietlyemergedduringWashington’s presidency played a pivotal role in the election of 1796 Former VP John Adams (Federalist) Thomas Jefferson (Republican)

36. Adams attempted to continue with Washington’s policies But…his administration was plagued with problems: Jefferson, his campaign opponent, was now his VP Most of Adam’s cabinet took their orders from Hamilton who had retired with Washington Tensions with France emerged The Adams Presidency VP Jefferson & the Republicans constantly attacked Adams policies Hamilton was the unquestioned leader of the Federalist Party, who undermined Adams by advising the cabinet to ignore the president

37. The XYZ Affair & Quasi-War • During Adams’ administration relations with France declined: • France interpreted Jay’s Treaty as an alliance with England • France seized & impressed American merchant ships • An American diplomatic mission to France failed when 3 French officials (X, Y, Z) demand bribes

38. French “impressment” of American sailors

39. The XYZ Affair & Quasi-War • The XYZ Affair led to anti-French sentiment in America & led to a “quasi-war” with France: • The U.S. tripled its armed forces to prepare for a French invasion • Adams created the Dept of Navy • The quasi-war increased the dislike between the Federalists leaders Adams & Hamilton Hamilton convinced Washington to pressure Adams to name him control of the army “Millions for defense, but not one cent for tribute!” Adams was forced to do so, but retaliated by failing to approve many key army appointments & decisions

40. The Alien and Sedition Acts • Federalists used Alien & Sedition Acts to silence Repub criticisms: • Alien Enemies Act—presidential power to expel any foreigner • Naturalization Act—must be a U.S. resident for 14 years to gain citizenship & vote • Sedition Act—made criticism of the gov’t a criminal act • These acts were enforced by Federalist appointed judges

41. Kentucky & Virginia Resolutions • Republicans saw Alien & Sedition Acts as a dire threat to liberty: • Jefferson & Madison authored theVirginia&KentuckyResolves suggesting that states could nullify federal laws that they saw as unconstitutional • VA & KY Resolves weakened the Federalists & planted seeds of nullification that would be used to justify the Civil War

42. Adams’s Finest Hour • In 1799, Adams sent a diplomatic envoy back to France to address the XYZ “misunderstanding”: • Napoleon voided the 1778 treaty that tied the U.S. to France • France ended its trade restrictions in the West Indies • Adams dismantled Hamilton's expensive & useless army • The improved relations paved the way for the Louisiana Purchase

43. Peaceful Resolution:The Election of 1800

44. The “Revolution of 1800” • The Federalists were fatally divided by 1800: • Hamilton tried to undermine Adams’ reelection • Jefferson won election (despite a tie with VP candidate Burr) • 1800 was a “revolutionary” election because the presidency was peacefully transferred from one political party to another

45. In his inaugural address, Jefferson claimed: “We are all Republicans, we are all Federalists” To avoid another Jefferson-Burr tie, Congress passed the 12th Amendment which put presidential & VP candidates on separate ballots