Washington and Political Parties

Objectives Describe the steps Washington’s administration took to build the federal government. Analyze Hamilton’s plans for the economy and the opposition to them. Explain how a two-party system emerged in the new nation.

Terms and People administration – the officials in the executive branch of government precedent – an act or statement that becomes a tradition to be followed Cabinet – the officials who head the major executive departments and advise the President tariff – a tax on imported goods loose construction – a broad interpretation of the Constitution relying on the implied powers of Congress

Terms and People (continued) strict construction –Congress’s actions only to powers specifically granted by the Constitution Whiskey Rebellion – a 1794 protest by farmers in western Pennsylvania against an excise tax on whiskey political party – a group that seeks to win elections, hold public office and shape policy Democratic Republicans – a political party that emerged in opposition Hamilton’s economic policies

In 1789, the leaders of the new government gathered in New York City In 1789, the leaders of the new government gathered in New York City. The newly ratified Constitution was entirely untested.

1789-Washington traveled to NYC, the nation’s first capital, to be inaugurated as the 1st POTUS Washington quickly established precedents for running the government.

New President faced challenges. U.S. was $52 million in debt. No navy and army had only 400 men. Spain closed the Mississippi River in New Orleans to American trade. British troops occupied American land along the Great Lakes. New President faced challenges.

Washington picked a Cabinet to head each of 4 executive departments in his administration. Secretary of State Thomas Jefferson Secretary of War Henry Knox Secretary of Treasury Alexander Hamilton Attorney General Edmund Randolph

One of the first tasks was to set up a court system. The Judiciary Act of 1789 created district and circuit courts and a six-member Supreme Court. The Attorney General was created to prosecute legal cases for the government. John Jay-1st Chief Justice of the Supreme Court.

Huge debt was the biggest problem Huge debt was the biggest problem. Treasury Secretary Hamilton suggested a controversial plan. The federal government would also assume state debts.

Hamilton proposed creating a Bank of the United States to regulate state banks and generate money through loans. Hoped to replace the nation’s agriculturally based economy with manufacturing. Proposed a high tariff to earn revenue

3 advantages to financial plan Establish nation’s financial credibility. 1 Gain political support from wealthiest Americans. 2 3 enrich investors

1 2 Antifederalists objected to plan. 2 main complaints. Wealth would be redistributed from farmers to merchants, and from the South to the North. costs would fall on farmers Antifederalists objected to plan. 2 main complaints. 2

Secretary of State Jefferson opposed Hamilton’s plan. Jefferson believed the plan gave more power to the government than the Constitution permits.

Jefferson favored a strict construction of the Constitution. The Constitution does not give Congress power to charter a national bank, so it could not establish one. Hamilton favored a loose construction of the Constitution. The Constitution allows Congress to act for the general welfare so it could charter a bank.

In 1791, Congress accepted Hamilton’s plan. In return, a new national capital was created. Washington, D.C.

An excise tax on whiskey sparked a challenge to federal authority.

12,000 militiamen were sent to deal with the rebellion, Jefferson criticized Hamilton for the use of federal force to repress legitimate criticism. Hamilton persuaded Washington to suppress the Whiskey Rebellion.

Although Washington warned against political parties, two parties emerged. Federalists (Hamilton) Northerners, merchants, and the wealthy. Democratic Republicans (Jefferson) Southerners and farmers.

Democratic Republicans Federalists Democratic Republicans strong central government states should have more power loose construction of Constitution. strict construction of Constitution Manufacturing and Trade Economy. Agricultural economy