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Founding Principles: Launching the Ship of State

Explore the early days of American governance as George Washington forms his cabinet, introduces the Bill of Rights, and navigates through Hamilton's financial plan. Learn about the Judiciary Act of 1789, the Whiskey Rebellion, birth of political parties, and the divide between Federalists and Republicans. Discover how these foundational decisions shaped America's future.

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Founding Principles: Launching the Ship of State

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  1. Launching the New Ship of State Chapter Ten

  2. George Washington & his Cabinet George Washington • John Adams—Vice President • Thomas Jefferson—Sec. of State • Alexander Hamilton—Sec. of the Treasury • Henry Knox—Sec. of War • Edmund Randolph—Attorney General

  3. First Job of the New Government: • To add a Bill of Rights to the Constitution • 2/3 vote by Congress & ratified by ¾ of states • Used George Mason’s bill of rights in VA as a guide • Key: provided safeguards for some of America’s core principles • Judiciary Act of 1789 • Organized the Supreme Court with a Chief Justice (John Jay) and originally 5 associates • KEY COURT CASE: Marbury v. Madison, 1803

  4. Hamilton’s Financial Plan: • BE FAT (yes, an acronym) • B—the creation of the Bank of the United States (BUS) • E—Excise Tax on whiskey • F—Funding at Par (key: increase national credit) • A—Assumption of State Debts; Hamilton wanted the states to be more obligated to the federal government • T—Tariffs (custom duties) passed to help new industries growing in the U.S.

  5. Strict vs. Loose Constructionists • Issue of the BUS: • Strict constitution: strict interpretation of the Constitution (Jefferson) • Loose constitution: broad interpretation of the Constitution (Hamilton) • Jefferson opposed BUS b/c felt it was not stipulated in the Constitution • Hamilton argued the Constitution allowed for a BUS b/c of “elastic clause” of Constitution • Bank necessary to store tax revenue and regulate trade

  6. Whiskey Rebellion (1794) • Who: sw PA backcountry folks hit hard by excise tax • What: challenged the new national gov; Washington sent a militia to stop rebellion • Significance: Federal government showed it could ensure domestic tranquility • Hamilton’s financial plan became a cornerstone of America’s financial system

  7. Birth of Political Parties • Constitution never mentioned party system • 2 well-defined groups emerged: • Hamilton Federalists • Jeffersonian Republicans • 2 political party system started over a clash b/t Hamilton and Jefferson

  8. Hamilton’s Federalists • Believed in gov by upper class • Distrusted the common people • Supported a strong central gov • Gov to encourage business & not interfere with it • Pro-British in foreign policy

  9. Jeffersonian Republicans • Advocated the rule of the people; gov FOR the people • Biggest appeal was to the middle class & poor • Democratic-Republicans believed the best gov was one that governed least • National debt was a curse to future generations • Jeffersonians were primarily agrarians • Believed in freedom of speech to expose tyranny • Pro-French in foreign policy

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