Unit 3 Challenges to an Emerging Nation

Chapter 9 Section 1Washington's

Presidency

4.1.3 Explain how political parties emerged out of the competing ideas, experiences, and fears of Thomas Jefferson and Alexander Hamilton, despite the worries the Founding Fathers had concerning the dangers of political division, analyze disagreements over economic policy (creation of the national bank)

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Read pages 277-281 in TEXT Book

Complete Course Pack pages 11-12

GEORGE WASHINGTON

1789-1797

George Washington’s Presidency

• April 30, 1789 Washington (Virginia) is inaugurated (sworn in) as President.John Adams (Mass.) becomes the Vice-President.

George Washington’s Presidency

• Washington establishes many governmental precedents.PRCEDENT: an example that would become a standard practice.

I. Establishment of the Court System

Federal Judiciary Act of 1789: passed by Congress.

1. Created an independent federal court system with the Supreme Court and lower level courts.

2. The U.S. Supreme Court is to have a Chief Justice and five associate justices. Currently we have 9 total justices.

3. Washington appoints John Jay as Chief Justice.

George Washington’s Presidency

• Washington establishes many governmental precedents.PRCEDENT: an example that would become a standard practice.

Washington’s Cabinet

9. Congress had the task of creating DEPARTMENTS to help the president lead the nation

10. The president had the power to appoint the HEAD OF THESE DEPARTMENTS

11. Congress crated 3 departments

The First Presidential Cabinet

1. Secretary of War (Henry Knox) oversee the nation’s defenses.

2. Secretary of State (Thomas Jefferson) oversee the relations between the U.S. and other countries.

The First Presidential Cabinet

3. Secretary of the Treasury (Alexander Hamilton) to manage the government’s money.

The First Presidential Cabinet

4. Attorney General (Edmond Randolph) to advise the government on legal matters.

The First Presidential Cabinet

Washington’s Cabinet

13. These department heads and the attorney general made up Washington's CABINET and gave him ADVICE on how to run the country. 14. The Constitution made no mention of a CABINET

III. Hamilton’s Financial Plan

NOTE: Alexander Hamilton believed that the federal government should be stronger than the state governments.

III. Hamilton’s Financial PlanA. Pay off the war debt to develop

the trust of other nations for trade.B. Raise the federal government’s

revenues through tariffs and taxes.TARIFFS – a tax on imported goods.

III. Hamilton’s Financial Plan

C. Tariffs would…1. encourage the growth of

American industry (buy American-made).

2. raise money for the federal government.

III. Hamilton’s Financial PlanD. Create a

NATIONAL BANK:1. safe place to keep

the government’s money.

2. can make loans to businesses.

3. would issue paper currency.

4. strengthen the federal government.

Nation’s First Crisis

The Deficit 1790

Congress asked Hamilton to

figure out what to do about the

staggering Revolutionary War ________ it inherited from

the Confederation

Hamilton’s Financial Program

Hamilton knew that the nation had to pay

its debt in order to establish ________.

Hamilton proposed a bold 4 point plan all

designed to strengthen the

central government

CP Pages 9-10

Nation’s First Crisis

The Deficit 1790

Congress asked Hamilton to

figure out what to do about the

staggering Revolutionary War ________ it inherited from

the Confederation

Hamilton’s Financial Program

Hamilton knew that the nation had to pay

its debt in order to establish ________.

Hamilton proposed a bold 4 point plan all

designed to strengthen the

central government

Fund full payment of foreign and national debt-by selling US bonds to investors

CP Pages 9-10

Nation’s First Crisis

The Deficit 1790

Congress asked Hamilton to

figure out what to do about the

staggering Revolutionary War ________ it inherited from

the Confederation

Hamilton’s Financial Program

Hamilton knew that the nation had to pay

its debt in order to establish ________.

Hamilton proposed a bold 4 point plan all

designed to strengthen the

central government

Fund full payment of foreign and national debt-by selling US bonds to investors

CP Pages 9-10

Assumption of State debt-Southern states objected because they had paid off their debts and did not want to help the North pay

Nation’s First Crisis

The Deficit 1790

Congress asked Hamilton to

figure out what to do about the

staggering Revolutionary War ________ it inherited from

the Confederation

Hamilton’s Financial Program

Hamilton knew that the nation had to pay

its debt in order to establish ________.

Hamilton proposed a bold 4 point plan all

designed to strengthen the

central government

Fund full payment of foreign and national debt-by selling US bonds to investors

CP Pages 9-10

Assumption of State debt-Southern states objected because they had paid off their debts and did not want to help the North pay

An Excise tax on Whiskey-for a source of income to pay the debt

Nation’s First Crisis

The Deficit 1790

Congress asked Hamilton to

figure out what to do about the

staggering Revolutionary War ________ it inherited from

the Confederation

Hamilton’s Financial Program

Hamilton knew that the nation had to pay

its debt in order to establish ________.

Hamilton proposed a bold 4 point plan all

designed to strengthen the

central government

Fund full payment of foreign and national debt-by selling US bonds to investors

CP Pages 9-10

Assumption of State debt-Southern states objected because they had paid off their debts and did not want to help the North pay

An Excise tax on Whiskey-for a source of income to pay the debt

A federally chartered bank of the United States

Hamilton v. Jefferson

IV. Debate on Interpretation of the Constitution

• STRICT CONSTRUCTION: only what the Constitution clearly states – favored by Jefferson and Madison.

• LOOSE CONSTRUCTION: the Constitution should be flexible to meet the needs of the country (Elastic Clause) – favored by Hamilton and Adams.

Jefferson and Hamilton argue these points on the creation of the National Bank.

Ticket Out the Door

Course Pack page 15/16