1. Washington’s Presidency
The Creation of Political Parties & the Question of Federal Power

2. Shays’s Rebellion 1786 – Rebellion led by Daniel Shays of Mass.
Unhappy with state taxation – forcibly stop debt collection
Shows lack of Federal power under Articles of Confederation
Shays’s Rebellion

3. Rebellion leads directly to the Constitutional Convention
Shays’s Rebellion

4. George Washington is unanimously elected by the Constitutional delegates in 1789

5. Secretary of the Treasury
Alexander Hamilton
Secretary of the Treasury
Thomas Jefferson
Secretary of State
Henry Knox
Secretary of War
John Adams
Vice President
Edmund Randolph
Attorney General
Washington’s Cabinet

6. Under the Constitution, Washington is able to establish a federal judicial system
Act sets up Judicial System as we know it today:
Chief Justice + 5 assoc. justices
Federal circuit courts
District courts
Appeal to Federal courts for a constitutional issue
Judiciary Act of 1789

7. THE QUESTION OF FEDERAL POWER?!?
HAMILTON VS. JEFFERSON

8. Jefferson's Ideas

9. Hamilton's Ideas

10. Strict vs. Loose Interpretation
Strict (Democratic-Republicans)
Loose (Federalists)
The Federal government only has the powers that are stated specifically in the Constitution
Limited Powers
If it is not stated in the Const. that it cannot be done, then the Federal government can do it
Greater Federal Power
Necessary & Proper Clause (Elastic Clause)
Strict vs. Loose Interpretation

11. Hamilton comes up with a plan for a fiscally strong nation
Hamilton's Plan
How can the USA pay
their war debts?
Hamilton comes up with a
plan for a fiscally strong nation
involving financial matters

12. Excise tax on Whiskey Bank of the USA Federal Gov’t pay
Hamilton's Plan
Excise tax on Whiskey
Bank of the USA
(National Bank)
Federal Gov’t pay
State debts
Tariff

13. Bank not in Constitution! It cannot be done!
Jefferson Objects
Bank not in Constitution!
It cannot be done!
Assumption of state
Debt would hurt the poor!
Federal Gov’t too
much power!

14. “Federalists”: Hamilton’s ideas “Republicans”: Jefferson’s ideas
Political Parties
Political Parties
Born out of
Jefferson
& Hamilton’s
debates
Group of politically likeminded people who work to elect candidates
“Federalists”: Hamilton’s ideas
“Republicans”: Jefferson’s ideas

15. Whiskey Rebellion Excise Tax: Tax on the sale of manufactured goods
Farmers in Western Penn. Unhappy over Hamilton’s excise tax on Whiskey
Attacked Federal Marshalls, Threatened to secede from the Union

16. Whiskey Rebellion Shows extent of Federal power
Washington and Hamilton call up Federal militia  Put down Rebellion

17. GW gets them to compromise
A middle way
both sides
get something
Hamilton’s Plan used
CAPITAL MOVED TO
SOUTH (Wash. D.C.)
1790

18. Federalists & Republicans

19. Political Parties Objective 1.01 Federalist Party
Democratic-Republican Party
Led by…
Government that should be supreme is…
Ruling power should be given to…
Interpretation of the Constitution should be…
Thoughts on tariffs…
Government should promote…