1. Launching the New Nation

2. What happen b/w about ?

4. George Washington 1st president USA USA Constitution now in affect
Took office April
USA Constitution now in affect
Must get the new government up and running

6. Tasks (4)

7. 1. Create Cabinet
Provide Washington with a cabinet to handle different responsibilities
Cabinet
People the president
asks for advice
Dept. of State
Thomas Jefferson
Dept. of War
General Henry Knox
Office of Attorney
General
Edmund Randolph
Dept. of Treasury
Alexander Hamilton

8. 2. Set up the Judicial Branch
Congress passed the Judiciary Act 1789
Created:
13 district courts
3 courts of appeals
Supreme Court
John Jay 1st Supreme Court Justice

9. 3. Bill of Rights 1st 10 amendments to the USA Constitution
Anti-Federalists love them
Do you know the rights?

10. Jefferson – Virginia Statute of Religious Freedom
Forerunner for the 1st amendment protection for religious freedom
States:
freedom of conscience
Principle separation of church and state

11. 4. How to finance Government?
Need a source of revenue
Why?
Without money the gov’t cannot operate

12. Alex Hamilton Favored one economic class over another
Me like the RICH!!!
developed an economic plan for the United States composed of the following ideas:

13. 5 parts of Hamilton’s Economic Plan
Excise tax
State Debt Assumption
Protective tariff
National Bank
Funding
ESPN-F

14. Excise Tax A tax on alcohol
Especially WHISKEY!!!!
Whiskey production was the main source of income for many western settlers and the tax wasn’t well liked

15. Whiskey Rebellion Led to rebellion 1794
Several western farmers harassed and assaulted tax collectors
To put down the rebellion, Washington sent troops to crush the rebellion
This worried many ppl
The federal gov’t would use troops on its own ppl

16. State Debt Assumption Pay all state debt!!!!!
Why would this upset the south?
The south had very little debt; the north has a whole lot!!!!
How do we make the south happy?
Moved the capital of USA from New York to Washington DC!!!!

17. Protective Tariff tax on imports to protect American goods
Goal: to get you to buy American goods.
Promote manufacturing
Who does this favor? (north or south)

18. National Bank 1791 Bank of USA was established for 20 years!!!
Gov’t needs somewhere to put $
Bank would create a national currency!!!
Problem:
Creation of bank not listed in Constitution.
Congress passed anyways
Hamilton said b/c of the necessary and proper clause Congress had implied powers (powers not listed in constitution)
1791 Bank of USA was established for 20 years!!!

19. Funding WE BAIL THE GOV'T OUT!!!
1790: The first thing the US needed to do was pay its debts (over 80 million dollars)
Problem:
American Revolutionary war ended 1781 ppl who bought bonds were farmers, veterans and widows
Feared never get $ so they sold bonds to speculators: ppl willing to take risk in hopes of future gain (mainly the RICH!!!!)
Hamilton believed if u paid back $ owned by bonds ppl would trust gov’t again especially rich
Therefore if gov’t ever needed money it would have the trust of the RICH and they would buy bonds
WE BAIL THE GOV'T OUT!!!

20. The Political Division Begins
Why?
b/c of the interpretation of the constitution
Either loose or strict
Difference?

21. Loose interpretation
AKA: Necessary & proper clause
Hamilton

22. Strict interpretation
Thomas Jefferson

23. The Rise of Political Parties
The dispute of how to finance gov’t and interpretation of Constitution divided Congress into 2 political parties

24. Federalist Party Led by John Adams & Alexander Hamilton
Stronger national government
Economy based on industry & manufacturing
Supported higher tariff…Why?
Believed in loose interpretation of Constitution
Pro-British foreign policy
More popular in North
No faith in the common man

25. Democratic-Republican Party
Led by Thomas Jefferson & James Madison
Protected states’ rights
Economy based on agriculture
Low tariffs
Believed in strict interpretation of Constitution
Pro-French foreign policy
More popular in South
Nations strength comes from the FARMERS!!!