How can we successfully lead a new republic?

Unit 6, Journal #2 “We are in a wilderness without a single footstep to guide us” – James Madison 1. What does this quote mean to the new nation? 2. What does it mean to George Washington and his new government?

First Electoral College Unanimously voted president in first presidential ballot of electoral college Washington received the news on April 16, 1789

Upon hearing the news, Washington wrote… “About ten o’clock I bade adieu to mount Vernon, to private life, and to domestic felicity (happiness); and with a mind oppressed with more anxious and painful sensations than I have words to express, set out for New York… with the best dispositions (intentions) to render service to my country in obedience to its call, but with less hope of answering its expectations.” ***How does Washington feel about becoming President? ***

George Washington’s Dream GW had no desire to be president—his original dream was to settle down at Mt. Vernon

Precedents for the Presidency 1. “So Help Me God” 2. “Mr. President” 3. Hire trusted men to Cabinet 4. Neutrality in foreign affairs 5. Two-term Presidency – how it all began 6. Use of military force to settle rebellions

Judiciary Act of 1789 One of the first tasks Washington and Congress take on: the creation of a judicial system The Constitution authorized the set-up of a federal court system, but failed to list the details…..Unanswered questions!!! What did they do? Created Federal Court System Organized the Supreme Court: Chief Justice, 5 Associate Judges State court decisions can be appealed to a federal court when Constitutional issues are raised Set idea that Federal Laws were “the Supreme Law of the Land”

Washington Shapes the Executive Branch While shaping the Judiciary Branch, Washington also focuses on creating a sound Executive Branch. Help make policies, carry out laws, etc. Originally, the Executive Branch= President and Vice President To help them govern, Congress created three departments: Department of State- foreign affairs Department of War- military matters Department of the Treasury- handle finances

Washington Shapes the Executive Branch: Washington’s Cabinet THOMAS JEFFERSON: Secretary of State ALEXANDER HAMILTON: Secretary of the Treasury HENRY KNOX: Secretary of War

Hamilton vs. Jefferson Hamilton and Jefferson were chosen not only because they were brilliant, but also because they had very different political ideas. Hamilton  Believed in strong central government led by a prosperous, educated upper-class Supported more by the North Jefferson  Distrusted too strong a central government and the wealthy Supported more by the South and the West

HAMILTON Concentrating power in federal government; Strong national government Fear of mob rule Republic of wise elite Loose interpretation of Constitution Supporters: merchants, manufacturers, landowners, investors, lawyers, clergy JEFFERSON Sharing power with state and local governments; Limited national government Fear of absolute power or ruler Democracy of virtuous farmers and tradespeople Strict interpretation of Constitution Supporters: the “plain people”- farmers, tradesmen, etc.

How Does This Play Out? ECONOMICS: As Secretary of the Treasury, Hamilton’s job is to set the nation’s finances in order. Wants to set up a National Bank

Problems Facing the New Government 1. Repay war debt 2. Gold and silver shortage 3. No place for government to store revenue 4. No place for government to get cheap loans 5. Need to establish an industrial economy

Economic Problems Repay war debt- Many millions of dollars as calculated by Hamilton National Gov’t is responsible for 2/3, States= 1/3 Owed to: Foreign governments, private citizens, SOLDIERS! Hamilton’s Solution- Pay off state debts = raise taxes Pay off war face value Payoff foreign debt = sell western land

Economic Problems Gold and Silver Shortage Hamilton’s Solution- Establish a national bank – use paper money

Economic Problems No Place for government to store revenue No place for government to get cheap loans Hamilton’s Solution- Establish a National Bank!

Economic Problems Need to establish an industrial economy Hamilton’s Solution- Tariff on foreign goods Government subsidies for businesses Benefits the wealthy industrialists, not the poor farmers!

The Opposition: Loose vs. Strict Interpretation James Madison- A national bank would forge an unhealthy alliance between the government and wealthy investors/businesses The Constitution made no provision for this…You can’t authorize it! Thomas Jefferson- Believed that manufacturing threatened the values of an agrarian way of life. Hamilton's vision of America's future challenged ideal of a nation of farmers, tilling the fields, communing with nature, and maintaining personal freedom through land ownership.

The Bank of the United States Hamilton convinced Washington and a majority in Congress to accept his plan, and the federal government established the Bank of the United States.