Establishing the Government

Chapter 4 section 1Objective 1.01 – What were the domestic issues & conflicts during the Federalist period

What defines the structure of our government?

1. The Bill of Rights

2. The Constitution

3. The Declaration of Independence

4. The Magna Carta

The Constitution

Structure of our governmentBill of Rights – from the Virginia

Declaration of Rights by George Mason

Cabinet – group of department heads that help the President execute laws

Capital is in New York

1st Elections!!!!

1789George

Washington elected unanimously

Serves as president from 1789 – 1797

John Adams serves as his vice-president

Under George Washington:4 Cabinet positions were created initially Secretary of State

– Thomas Jefferson

Secretary of War – Henry Knox

Secretary of Treasury – Alexander Hamilton

Attorney General – Edmund Randolph

Judiciary Act of 1787 Organized the federal court system 1st Chief Justice – John Jay Enumerated Powers – powers given to

the federal government in the constitution

Expressed Powers – powers specifically stated in the Constitution

Implied powers – powers not specifically mentioned in the Constitution

Strict Construction – favors expressed powers only

Loose Construction – favors loose interpretation of the Constitution

What is a tariff?

1. Tax on virtually everything

2. Limit on goods imported

3. Tax on goods imported

4. Tax on goods exported

Financing the GovernmentFinancial Problems

War debts ($ 57 million) & no incomeTariff of 1789 – James Madison’s plan

to get out of financial problems Tonnage – tax based on how much ships

carryHamilton & Madison begin to

disagree

Hamilton’s Plan – 4 Parts

1ST PART

**Tariff of 1789 Tax on imported

goods not only would earn the government money but would also protect newly emerging American industry in the north

OPPOSITION

Some Southerners The tax would mostly

affect them since they were the ones mostly buying imported goods and selling their goods overseas

Hamilton’s Plan – 2nd part

Assumption Act Government should

borrow money to finance itself

How? Buy Rev. War bonds

at ORIGINAL face value rather than disregard them

Selling of more bonds

Opposition War Veterans &

Southern Farmers They lost money

originally Northerners making

money off their losses The Tariff of 1789 would

pay for the bonds which was a tax on Southerners

James Madison

Compromise – Move the capital from New York to a southern location – District of Columbia

Washington DC

NY & Philadelphia had other functions

Foggy Bottom had no other use but as seat of the government

What entity acts as our government’s bank today?

1. The National Treasury

2. The Federal Reserve

3. The 1st Bank of the US

4. Bank of America

Hamilton’s Plan – 3rd Part

**The National Bank Purpose

Issue paper money Manage nation’s debt Issue loans to

government & individual

Result Promote trade Encourage investment Stimulate economic

growth

Opposition Southerners

Northerners would control the wealth

Jefferson;James Madison

NO EXPRESSED or enumerated power to create a bank in the Constitution.

Washington signed the law creating the bank in 1791 for only 20 years

Hamilton’s Plan – 4th part

Excise Taxes: Tax on specific targeted products.

1791 – Whiskey Tax was created

Opposition : *The Whiskey Rebellion

Pennsylvania distillers

Result – Washington sent 13,000 troops to restore order

Importance – showed the dominance of the federal government over the states; peaceful protest only allowed

Result of Hamilton’s PlanThe Rise of Political Parties

FEDERALISTS

Northerners (New England) Strong national

government Wealthy & educated should

rule Trade and manufacturing

are key to wealth Government should

promote manufacturing Protective tariffs to protect

industry Loose Constructionists

DEMOCRATIC - REPUBLICANS

Southerners & western farmers

Strong state governments Strict constructionists Wealthy corrupt the

government Strength of nation in

farmers Government should

promote agriculture Protective tariffs

burdened farmers

All of the following are parts of Hamilton’s plan except:

1. National Bank2. Tariff of 17893. Income Tax4. Debt

Assumption

George Washington & Foreign PolicyGeorge Washington & Foreign Policy

1789- French Revolution begins (Americans are split)1793- French radicals seize control & execute thousands-including the French KING & QUEEN• American Federalists were horrified at the French Revolution• American Democrat-Republicans- applauded the French fight for

liberty • France Declared war on Britain- problem (the US traded with both

nations)• Treaty of 1778- US treaty with France required the US to help

defend French colonies in Caribbean= could mean war with Britain!

• 1793- George Washington declared the US neutral ** British begin to intercept US ships carrying goods to French ports, British inciting Indians in NA to attack US settlers.US citizens demand war with Britain

George Washington & Foreign Policy

Jay’s Treaty

G. Washington sent John Jay to Britain to seek a solution.Parts of the Treaty• Jay forced to agree British had right to seize cargo• US did not get compensation for US MERCHANTS• British agree to international arbitration• British agree to give up forts in US (NEVER LEAVE)• US gets most favored nation trade statusOutcome/Reaction in US** Republicans attacked the treaty** Public protests **Temporarily kept the US out of war with Britain

Pinckney’s Treaty

Also known as Treaty to San Lorenzo1795- Spain gave the US the right to

navigate the Mississippi River & use port of New Orleans

Pleased western farmers

US Western Expansion

Americans settlers flocked to the area between the Appalachian mountains & Mississippi River.

1792- Kentucky became a state 1796- Tenn. Became a state Northwest Territory: Chief Little Turtle

united the Miami, Shawnee, Delaware to defend land.

President Washington sends Gen. Anthony Wayne to defend white settlers.

1794- The Battle of Fallen Timbers- US defeated Little Turtle and the Miami Confederacy= ended Indian resistance in Northwest Territory.

Treaty of Greenville (1795)12 Native American Nations signed a treaty with the U.S.

Results of Treaty • Indians gave up part of S. Ohio & Indiana• Indians get $10,000 per year from U.S.• By 1803- Ohio became a state (rapid white settlement

Northwest Territory

Election of 1796

After two Terms, Washington stepped down as President (establishes 2 term tradition)

1796 Presidential Election (John Adams v. Thomas Jefferson)

Dirty politics as “Jeffersonian’s” were called “fire-eating Salamanders, poison sucking toads”

Adams won 71 Electoral votes to 68; Jefferson became Vice President!

Washington’s Farewell

Avoid Political PARTIESAvoid SectionalismAvoid “foreign entanglements” stay

neutral but trade with other nations.