Ch. 9 – Launching the New Government

1. Ch. 9 – Launching the New Government 1789 - 1800

2. Washington Takes Office • Inaugurated April 30, 1789 in NYC • Set precedent – act or decision that sets an example for others to follow • Created departments & cabinet to help advise President • Judiciary Act • Supreme Court established • John Jay 1st Chief Justice

3. Reducing the Nation’s Debt • During A. Revolution the gov. needed $, so gov. borrowed from foreign countries & people through bonds • Bonds – certificate which promises to repay $ loaned plus interest • Sec. of Treasury Alexander Hamilton ordered repayment of all national debts b4 they affected future • South did not agree w/ paying back state debts • Hamilton made compromise w/ South to move the capitol to District of Columbia (Washington D.C.) by 1800 • Build the Economy Agriculturally & Industrially • Bank of the U.S. (1791): gov. collected tax $ & gave loans to farmers & businesses • Congress passed protective tariff (tax) on foreign goods brought into the country to protect local manufacturers

4. Whiskey Rebellion • Hamilton created tax on all liquor made & sold in US to raise $ for Treasury • Farmers hated tax b/c they had to pay $ in order to ship whiskey which was made from corn • 1794 – farmers rebelled/protested in Pittsburgh Pennsylvania • Tested will of new gov & that gov. could work quick in crisis

5. Creating a Foreign Policy • In 1793, French Revolution turned violent by reformers • Beheaded the King & Queen & killed thousands of citizens • Leaders divided on to help • Washington decides on foreign policy: actions that a nation takes in relation to other countries • US signed treaty w/ France during A.R. which complicated issue of remaining neutral in war b/t French & English • American Leaders Divided • Hamilton said treaty no longer valid & no use of violence • Jefferson: wanted to follow treaty • Neutrality Proclamation: US would not support or aide either side

6. Warring nations seized US trade ships • Jay’s Treaty • John Jay negotiated w/ Britain to pay damages if Americans paid debts to British merchants • Did nothing to protect ships • Washington Retires (1796) • Advised against becoming involved in European affairs w/ allies

7. Political Parties Emerge • Most Americans did not believe in political parties • Saw how factions (opposing groups within parties) worked in Britain • Threat to national unity • George Washington warned that parties would lead to “jealousy & false alarms” • Despite warnings factions grew up around Alexander Hamilton & Thomas Jefferson

8. Differing Views Hamilton Jefferson • Encouraged manufacturing & trade w/ growth of cities • Strong federal gov. to increase commerce • Believed in loose interpretation of Constitution and Bank of US was necessary • Wanted close ties w/ Britain • Farmers more important • Small federal gov. to protect individual freedom • Though national bank would give power to investors & all powers should be given to states • Favored France

9. Leaders in states were organizing support for both candidates • Jefferson – Democratic Republicans • Small farmers, artisans, some wealthy planters • Hamilton – Federalists • Merchants & manufacturers • Newspapers start to take sides for candidates • Can influence public opinion

10. Election of 1796 • Republicans backed Jefferson 4 Pres & Aaron Burr 4 VP • Federalists supported John Adams 4 Pres & Thomas Pinckney 4 VP • Person w/ most electoral votes became Pres followed by VP • John Adams won Presidency & Jefferson won VP • Difficult b/c opposing parties

11. John Adams - 2nd President • XYZ Affair (1798) • French objected Jay’s Treaty & seized US ships • Americans called for war • French minister Talleyrand refused to meet w/ US diplomats so had advisors X, Y, Z meet with them • Demanded $ and loan to France • “Millions for defense, but not one cent for tribute” • Sparked war fever in US • Adams stayed neutral but built frigates (fast naval ships w/ guns)

12. Federalists Split • Disagreement over war caused split • Hamilton: • Hoped war would weaken Republicans • Built military • Wanted war verse French • Adams • Federalist who did not want war against the French • Advisors made agreement with French to stop seizing ships

13. Alien & Sedition Acts • Alien Act: Pres could expel any alien or foreigner thought to be dangerous to US & made immigrants live in US for 14 years b4 becoming citizen • Made Republicans mad b/c immigrants couldn’t vote 4 them • Sedition Act: citizens could be fined or jailed for criticizing gov. or stirring up a rebellion • Republicans said this violated 1st amendment

14. Jefferson opposed acts & asked states to nullify (cancel) the laws passed by fed. Gov • Kentucky & Virginia Resolutions • Each state has right to judge whether laws is constitutional, and if un, can nullify • Raised issue of states’ rights – strong or loose interpretation of the Constitution? • Alien & Sedition acts would change or drop later on

15. Election of 1800 • Republicans attacked Federalists 4 raising taxes to prepare for war & Alien & Sedition acts • Jefferson (Rep. Pres) & Burr (Rep. VP) tied in electoral votes • Rule said vote decided by House of Reps • After 4 days, decided on Jefferson as President • Influenced 12th Amendment (1804) – Electors would vote for Pres & VP separately • Federalist party started to decline