1. Federalists and Democratic-Republicans

2. Hamilton & Jefferson: Rivals
Born in West Indies, works his way up in the govt.
Very gifted student
Wealthy farming family, becomes a tobacco farmer
Wrote Declaration of Independence
Better w/ writing than speaking

3. Funding the Public Debt
D-R
Feds
Nervous about the national govt. assuming debt with assumption and too much govt spending
Repeal taxes for now— if we have a war, we will have a fresh start to come up w/ a tax plan
Funding the Public Debt
Assumption
National government takes on the debt the states gathered during the Revolutionary War
Want to pay off debts quickly
Increase taxes (imports; excise taxes)

4. Relations with France & GB
Feds
D-R
Relations with France & GB
Wants us to be like Great Britain eventually—use them as a model
Shies away from France once their Revolution turns violent/bloody
Proposed import duties designed to make us dependent on GB
Support French -Felt sense of loyalty during their revolution—they were our allies during our Revolutionary War
Did not approve of import duties meant to make US dependent on GB

5. National Bank Loose interpretation of Const.
Feds
D-R
National Bank
Strict interpretation of Constitution—it DOES NOT say we can have a bank in Const.
Const. does say power not specified in Const. belongs to states—we can have state run banks
Loose interpretation of Const.
Money is property of the US; Congress is authorized to regulate US property
Help w/ collecting taxes; give loans to business people
Bank passes —capital is moved to DC in exchange

6. Manufacturing & Agriculture
D-R
Feds
Manufacturing & Agriculture
Believe in agricultural economy
Want farmers and the common people to be involved in the govt
Opposed measures designed to encourage growth of business (bank)
Wants the US economy to move away from agriculture
Focus more on trading, businesses and manufacturing
Wants more educated and wealthy people in charge of govt

7. Feds
D-R
Jay’s Treaty: Agreement w/ US & GB. GB promises to leave NW forts and stop impressing US boats
Strategy to avoid war w/ GB
Strengthened economic ties w/ GB
Felt the treaty disregards previous agreements w/ France
Tilts US closer to GB, which they do not like

8. Alien and Sedition Acts
D-R
Feds
Fought against them - believed they were unconstitutional (freedom of press, speech)
Believed Feds were trying to ruin the D-R party
VA and KY Resolutions: statements written by D-R leaders in VA and KY declaring the Alien/Sedition Acts unconstitutional and stating they were therefore null (would not follow)
Alien and Sedition Acts
Wrote, passed, and enforced Acts
Put newspaper editors on trial for statements they made