1. Launching a New Nation
Chapter 8

2. Washington takes Office
The Capital of the United states was New York City
George Washington traveled there in April of 1789.
Washington was inaugurated on April 30, 1789
He was anxious and knew that his actions would set a precedent.

3. Washington takes Office
Congress and the President had to put together a working government.
The Congress passed laws to set up three departments for the Executive Branch (The President)
The Department of the Treasury, Department of State and Department of war
Each was headed by a person chosen by the President

4. Washington takes Office
The President appointed an attorney general to advise him on legal issues
Alexander Hamilton was the Secretary of Treasury
Thomas Jefferson was the Secretary of State
Henry Knox was the Secretary of War
Edmund Randolph was the Attorney General
Today the Presidents advisors are known as the Cabinet.

5. Washington takes Office
The Judiciary Act of 1789 set up for the Supreme Court of 6 justices
Under the Supreme Court were 3 circuit Courts and 13 district courts
The job of the federal courts was to hear appeals from the state court
John Jay was the First Chief Justice of the Supreme Court

6. Washington takes Office
After the Revolution the federal government owed $52 million
This was owed in bonds
Speculators bought bonds from people because the people thought that they were not going to worth money

7. Washington takes Office
Alexander Hamilton, the Secretary of Treasury came up with a plan to solve the problem
The US government would agree to pay all federal and state debts
The US government would open a national bank for depositing government goods
The US government would start a high tax on imported goods

8. Washington takes Office
Hamilton wanted to prove to other countries that the US would pay back their debts
Several southern states did not think they should have to pay the federal debt because they already paid off their state debt
After debate, the Southerners would help pay back the debt
In return the capital would be in the South

10. Washington takes Office
Hamilton created a bank that would hold funds and issue paper money
Thomas Jefferson fought against the bank saying it was Unconstitutional
The bank was created 1791
Hamilton imposed a tariff on goods
It would raise money for the government

11. Washington takes Office
In 1791, Congress started a tax on whiskey
This was supposed to raise money for the government
It led to a revolt because many farmers made money by turning corn into whiskey.

12. Washington takes Office
In 1794, officials in western PA tried to collect taxes
The Farmers rebelled and burned down the home of the tax collector
This gained popularity and a mob marched throughout Pittsburgh and was known as the Whiskey Rebellion
Washington sent the militia to break it up
This was an example of the new government’s strength.

13. The Birth of Political Parties
The writers of the Constitution did not believe that political parties were going to develop
People instead spoke of factions instead of political parties
Both Jefferson and Alexander Hamilton both disliked factions, they believed that it would bring chaos
By 1790, Jefferson and James Madison formed on political party and Alexander Hamilton formed the other

14. The Birth of Political Parties
The Republicans argued that the federal government was growing too strong under Washington and that power should be at the state level
Federalists believed that there needed to be a strong central government to make the country work
The country became torn, Hamilton claimed that Washington was a federalist
Newspapers claimed that Federalists wanted to betray the constitution and bring back the king

15. The Birth of Political Parties
Federalists also favored a national bank and tariff, close ties with England
Republicans did not want a bank or tariff and wanted ties with France
In 1796, George Washington would not run for a third term, this set a precedent

16. The Birth of Political Parties
Republican candidate was Thomas Jefferson
Federalists candidate was John Adams
In 1796-President and Vice president did not run together, the person who got the most votes became president and the person who got the second most was vice president
Adams became president and Jefferson became vice president
This led to tensions

17. Troubles at home and Abroad
Ten years after the Treaty of Paris, British soldiers were still in the North West Territory.
The Native Americans tried to keep their lands too
Many American leaders believed that the future depended on settling western lands
The officials tried to force the natives to sell their land
They succeeded in buying most of Kentucky and part of Tennessee

18. Troubles at home and Abroad
Washington sent troops to end the native attacks on settlers
The Natives defeated the military twice before Washington sent General Anthony Wayne.
Wayne won against the Natives at the Battle of Fallen Timbers-Named this because of all the fallen trees

19. Troubles at home and Abroad
The French Revolution began in 1789
Most Americans supported the French at first because it was similar to what they went through
But then the French Revolution got much more violent with the “reign of terror”
17,000 people, including the king and queen were killed.

20. Troubles at home and Abroad
By 1793, France and England were at war, Washington wanted to remain Neutral
But still trade with both sides-Unfortunately, both countries began to stop American ships and seize their cargo.
The British began impressment of sailors
Hamilton urged the president to stay friendly with Britain because the US depended on them for imports

21. Troubles at home and Abroad
John Jay went to London to form a treaty with Britain
The US would pay its debts to British merchants and the British would pay for the ships it has seized
They would also withdraw from the Northwest Territory
They refused to recognize the US right to trade with France and would not stop impressment
The Jay’s Treaty was approved by the senate

22. Troubles at home and Abroad
In 1796, Washington decided to retire, he left pieces of advice
He warned against political parties and thought they would divide the nations

23. Troubles at home and Abroad
He said that the nation should remain neutral and not get involved with European affairs
Things Washington accomplished
The Unites States now had a Federal Government
The economy was improving
Washington had avoided war
The British had been forced to leave the Northwest Territory

24. The Presidency of John Adams
When Adams became president, the French were angered by US neutrality
Jay’s Treaty with England only increased tensions

25. The Presidency of John Adams
In 1797, Adams sent three men to France-They were met with French agents demanding that the US pay a bribe of $250,000
They also wanted several million dollars
The Americans refused
The Bribe became public and the French agents names were kept secret
This was called the XYZ Affair

26. The Presidency of John Adams
Because of the XYZ Affair, Federalists demanded that Adams ask Congress to declare war on France
Adams asked Congress to increase the size of the Army and rebuild the Navy
He also created a separate department of the Navy

27. The Presidency of John Adams
Between 1798 and 1800, the US fought an undeclared naval war with France
To avoid real war, Adams sent a new mission to France
Napoleon Bonaparte, Frances leader, was fighting a war in Europe and agreed to stop seizing American ships.
Although Adams had avoided war, his own Federalist Party disapproved with him

28. The Presidency of John Adams
The Mistrust in France led to a mistrust of Immigrants
The Alien Act was passed saying that a person had to live in the US for 14 years before becoming a citizen, instead of 5 years
The Sedition Act was passed putting a limit on free speech-
It was a crime to speak out against the President, Congress or Government

29. The Presidency of John Adams
The Republicans denounced the Alien and Sedition Acts.
The Problem was that the Supreme Court was not fully established and did not know how to make a law unconstitutional.

30. The Presidency of John Adams
James Madison and Thomas Jefferson led the campaign toward the power of the Supreme Court
They said that states had the right to declare laws unconstitutional
The Sedition Act expired in 1801
After this, the Supreme Court could nullify the laws passed by Congress
The differences between states rights and federal rights became a problem after this.