US History

P. 88 - Loose vs. Strict Interpretation Guided Notes Bell Work SMARTbook Table of Contents Update: P. 88 - Loose vs. Strict Interpretation Guided Notes

Learning Target I can explain how disagreements between Thomas Jefferson and Alexander Hamilton resulted in the emergence of two political parties.

Essential Question How did the debate between Jefferson and Hamilton shape the political system of the United States?

Daily Agenda Loose vs. Strict Interpretation Guided Notes Alexander Hamilton’s Financial Plan

Introduction In his Farewell Address, George Washington warned that the creation of political factions would lead to despotism, or a political system where the ruler holds complete power. Two of his advisors, despite this warning, helped to form two factions that led to the dual party system under which the US operates today.

Jefferson and Hamilton Worked together in Washington’s Cabinet: Jefferson – Secretary of State Hamilton – Secretary of the Treasury From the beginning, both men had different views about the future of the country. Jefferson believed that US future was in agriculture. Hamilton believed it was in manufacturing and commerce (business/trade).

Jefferson and Hamilton, Continued Hamilton did not trust the public and believed that the federal government should have more power so that it could steer the US in the right direction. Jefferson placed his trust in the American people, particularly the states and their leaders.

On Foreign Policy Jefferson (Strict) Hamilton (Loose) Former Ambassador to France Strongly supported France’s rebellion Believed that gov’t should be in the hands of the people Believed that the US should not get involved in the war between France and Great Britain Hamilton (Loose) Believed that we should remain neutral in all foreign affairs Wanted Washington to publicly declare US neutrality in the war Believed that the British were superior to the French

On Economic Policy Jefferson (Strict) Hamilton (Loose) Emphasized the agriculture industry (farming) Against the national bank Against protective tariff (taxes on goods imported from other countries) Hamilton (Loose) Emphasized the manufacturing, shipping, and trade industries For the national bank For the protective tariff Summary: Jefferson believed that the people and states should have the power, so he was against the federal government having a national bank or enforcing taxes on goods produced by the states. Hamilton felt that these taxes would keep people from purchasing goods from other countries and would encourage them to purchase goods made in America.

On Debt from the Revolutionary War Jefferson (Strict) Believed that states should pay their own debt from the war Did not want to leave debt to next generations in the US would have to pay Hamilton (Loose) Believed that the federal gov’t could pay the states debt through the national bank This would build credit that would give the federal government more $$ eventually Summary: Jefferson believed that the people and states should have the power, so he was against the federal government taking on the debt of the states. He did not think that the southern states (who were mostly farmers) would benefit from a National Bank. Hamilton disagreed, and Washington eventually sided with Hamilton and his Financial Plan.