Launching the Ship of State

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Launching the Ship of State

• 1789-1800

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1-1 A New Ship on an Uncertain Sea

• Population doubled every 25 years
• Census of 1790 estimated 4 million people
• Philadelphia 42,000
• New York 33,000
• Boston 18,000
• Charleston 16,000
• Baltimore 13,000
• 90 still lived East of Appalachians

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1-2 A New Ship on an Uncertain Sea

• Didnt trust a central government
• Government revenue was small, and public debt
  kept growing
• Where trying to create a republic on a huge scale
• Republic was feared by European Monarchs

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2-1 Washingtons Profederalist Regime

• General George Washington, in 1789, was the only
  President in history to be unanimously elected by
  the Electoral College
• Because Washington was equal in all his talents
  more than outstanding in only one aspect and
  preferred a quiet setting, he did not demonstrate
  the normal characteristics for the presidency and
  ruled the country with great strength as opposed
  to by a rule of politics.
• Washington set a precedent by issuing a cabinet,
  which allowed heads of the executive branch to
  give their opinions on government tactics.
• Secretary of State (Thomas Jefferson)
• Secretary of Treasury (Alexander Hamilton)
• Secretary of War (Henry Knox)

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3-1 The Bill Of Rights

• Many of the states had only ratified the
  Constitution on the condition that there would be
  a Bill of Rights
• Anti-federalists criticized the new Constitution
  for its lack of a bill.
• The necessary number of states adopted the bill
  of rights in 1791
• The original amendments are as follows
•      Amendment I Freedom of religion, speech or
  press, assembly, and petition.
•      Amendment II Right to bear arms (for
  militia).
•      Amendment III Soldiers cant be housed in
  civilian homes during peacetime.
•      Amendment IV No unreasonable searches all
  searches require warrants.
•      Amendment V Right to refuse to speak during
  a civil trial Double Jeopardy.
•      Amendment VI Right to a speedy and public
  trial.
•      Amendment VII Right to trial by jury when
  the sum exceeds 20.
•      Amendment VIII No excessive bails and/or
  fines.
•      Amendment IX Other rights not enumerated
  are also in effect.
•      Amendment X Non-federal powers belong to
  the state.          
• The Judiciary Act of 1789 established an
  effective court system
• John Jay became the first Chief Justice of the
  United States.

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4-1 Hamilton Revives the Corpse of Public Credit

• Alexander Hamilton immediately tried to correct
  the economic vexations that had crippled the
  Articles of Confederation
• Favor wealthier groups who in turn would
  gratefully lend the government monetary and moral
  support
• Hamilton first wanted to bolster the national
  credit
• He boldly urged Congress to fund the entire
  national debt at par and to assume completely
  the debts incurred by the states during the
  recent war (the federal government would pay off
  its debts at face value, plus accumulated
  interest
• Urged Congress to assume the debts of the states

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4-2 Hamilton Revives the Corpse of Public Credit

• The support of the rich for the national
  administration was a crucial link in Hamiltons
  political strategy of strengthening the central
  government
• States with heavy debts were delighted by
  Hamiltons proposals while states with small
  debts were less charmed
• The stage was set for some old-fashioned horse
  trading
• Virginia did not want the state debts assumed,
  but it did want the forthcoming federal district
  to be located on the Potomac River
• Hamilton persuaded a reluctant Jefferson to line
  up enough votes in Congress for assumption and in
  return Virginia would have the federal district
  on the Potomac

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5-1 Customs Duties and Excise Taxes

• America had a national debt of at least 75
  million when it came into being
• Hamilton insisted on honoring Americas
  outstanding monetary obligations
• Which earned him the name Father of National
  Debt
• The more creditors the government owed, the more
  people would be concerned with the success of the
  new nation

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5-2 Customs Duties and Excise Taxes

• Hamilton proposed the idea of using customs
  duties to pay for this debt
• A thriving foreign trade was necessary for
  generating tariff profits, which the duties were
  derived from
• Hamiltons first tariff, 8 of the value of
  dutiable imports, was successfully passed before
  he was even sworn in (1789)

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5-3 Customs Duties and Excise Taxes

• Protecting young industries was a side benefit of
  the tariffs
• Hamilton was sure that America would see an
  Industrial Revolution soon
• America was too busy with agricultural/
  commercial interests to bother with industry
• Only small attention was paid to the growing
  industries

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5-4 Customs Duties and Excise Taxes

• Hamilton convinced Congress to pass an excise tax
  in 1791
• Affect domestic items, such as whiskey
• 7 cents was charged on each gallon
• Distillers living in the backcountry had to
  reduce grain into liquid form in order to
  transport it
• Distilled liquor was used as money on the frontier

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Hamilton Battles Jefferson for a Bank 6-1

• Hamiltons Ideas for a Bank of the United States
• Modeled off the Bank of England
• Proposed a powerful private institution which the
  government would be the major stockholder and the
  federal Treasury would deposit its surplus money.
• The central government would have a convenient
  source of money
• Federal Funds would stimulate business by
  remaining in circulation
• Could print money that was urgently needed
• Provided a safe and stable national currency

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Hamilton Battles Jefferson for a Bank 7-2

• Jefferson opposed Hamiltons idea
• He insisted that there was no specific
  authorization in the Constitution for such a
  financial octopus
• He argued that powers not granted to the central
  government were reserved to the states
• He concluded that the states, not congress, had
  the power to charter banks
• Jefferson thought that the constitution should be
  interpreted literally, which is known as the
  theory of strict construction.

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Hamilton Battles Jefferson for a Bank 7-3

• Hamilton replied to Jeffersons arguments
• Hamilton believed that what the constitution did
  not forbid it permitted, the opposite of strict
  construction
• He emphasized on the clause of the Constitution
  which states that Congress may pass any laws
  necessary and proper to carry out the powers
  that certain various government agencies are
  responsible for.
• The government is allowed to collect taxes and
  regulate trade
• In carrying out these functions, Hamilton argued
  that a national bank would be not only proper
  but necessary
• His financial views prevailed
• The issue had been debated heavily in Congress
• The most support for the bank came from the
  commercial and financial centers of the north,
  while opposition came from the south

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Hamilton Battles Jefferson for a Bank 7-4

• The Bank of the United States
• Created by congress in 1791
• Chartered for 20 years
• Located in Philadelphia
• Was to have a capital of 10 million which the
  federal government owned one-fifth of it.
• Stock was thrown open to public sale

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7-1 Mutinous Moonshiners in Pennsylvania

• The Whiskey Rebellion angered many farmers
  against Hamiltons high excise tax.
• They felt it was more of a burden than a tax on a
  frivolous luxury.
• Many preachers were also paid in rye and corn,
  which were more cheaply transported to Eastern
  markets that grain.
• They cried, Liberty and No Excise, and later
  were able to stop collections of the high taxes.

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7-2 Mutinous Moonshiners in Pennsylvania

• Washington and Hamilton summoned militia's from
  other states to join together and crush the
  rebellion of a fellow state.
• When the troops arrived in Pennsylvania, they
  found nothing. The rebellious had dispersed.
• The Whiskey Rebellion was very small and only
  about three rebels were killed. However, the
  consequences effected the government greatly.
• George Washingtons government was strengthened
  and demanded respect.

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8-1 The Emergence of Political Parties

• Hamiltons economic feats had given the United
  States a strong credit rating
• Despite his successes, Hamiltons policies
  created a lot of political tension when the
  states felt their rights being removed to
  centralization.
• An opposition grew out of what once was a
  personal fight between Jefferson and Hamilton

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8-2 The Emergence of Political Parties

• Political parties had not existed in the US until
  then
• The loose regional parties that existed were more
  like political factions than parties
• When Jefferson and Madison had organized against
  Hamilton, they first limited it to Congress

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8-3 The Emergence of Political Parties

• As newspapers and the like circulated, they
  carried with them news of the opposition to
  Hamilton, and the political message was spread
• The two-party system has existed since that time
  it is ironic that a two-party system actually
  helps to keep the political balance from shifting
  too far in one direction

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9-1 The Impact of the French Revolution

• Near the end of Washingtons first term, in 1793,
  two parties had evolved the Jeffersonian
  Democratic-Republicans and the Hamiltonian
  Federalists.

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9-2 The Impact of the French Revolution

• The French Revolution greatly affected America.
• At first, people were overjoyed, since the first
  stages of the revolution were not unlike
  Americas dethroning of Britain. Only a few
  ultraconservative Federalists were upset at this
  mobocracy and revolt.
• When the French declared war on Austria, then
  threw back the Austrian armies and proclaimed
  itself a republic people sang The Marseillaise
  and other French revolutionary songs, and renamed
  various streets and places.

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9-3 The Impact of the French Revolution

• After the revolution turned radical and bloody,
  the Federalists rapidly changed opinions and
  looked nervously at the Jeffersonians, who felt
  that no revolution could be carried out without a
  little bloodshed.
• Still, neither group completely approved.
• America was sucked into the revolution when
  France declared war on Great Britain and the
  battle for North American land beganagain.

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10-1-Washingtons Neutrality Proclamation

• The Franco-American alliance of 1778 bound the
  United States to help the French defend their
  West Indies against the British.
• Jeffersonian Democratic-Republicans favored
  honoring the alliance by entering the conflict
  against Britain they argued that America owed
  its freedom to France and now was the time to pay
  the debt.
• But President Washington, backed by Hamilton,
  perceived that war had to be avoided at all costs.

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10-2-Washingtons Neutrality Proclamation

• Currently, the nation was militarily,
  economically, and politically weak.
• If America could avoid conflict with Europe
  while strong foundations were being laid and many
  babies were on the way, in a generation or so,
  America would be populous and powerful enough to
  assert its maritime rights with strength and
  success.
• This strategy was popular among the Founding
  Fathers

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10-3-Washingtons Neutrality Proclamation

• Washington boldly issued his Neutrality
  Proclamation in 1793, shortly after the outbreak
  of war between Britain and France.
• It proclaimed Americas neutrality and sternly
  warned citizens against partiality toward armed
  camps.
• The proclamation was a major prop of the
  spreading isolationist tradition and was very
  controversial.

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10-4-Washingtons Neutrality Proclamation

• The pro-French Jeffersonians were enraged,
  especially because Washington announced the
  proclamation without consulting Congress.
• The pro-British Federalists were heartened.
• As debate intensified, Citizen Edmond Genet, a
  French Republic, landed in Charleston, SC.
• He undertook to fit out privateers and otherwise
  take advantage of the Franco-American alliance
  he was soon swept away by the enthusiastic
  reception of the Jeffersonian Republicans.

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10-5-Washingtons Neutrality Proclamation

• He foolishly believed that the Neutrality
  Proclamation did not reflect the true wishes of
  the American people consequently embarked upon
  unneutral activity not authorized by the French
  alliance, such as recruiting armies to invade
  Spanish Florida and British Canada.
• Even Madison and Jefferson were disillusioned by
  his conduct.
• After Genet threatened to appeal over Washington,
  the president demanded his withdrawal and the
  Frenchman was replaced.

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10-6-Washingtons Neutrality Proclamation

• The Neutrality Proclamation clearly illustrated
  that self-interest is the basic cement of
  alliances.
• In 1778 both France and America stood to gain in
  1793 only France. Technically the Americans
  didnt flout their obligation because France
  never called on them to, but the American
  neutrality in fact favored France.
• If the Americans had entered the war at Frances
  side, the British wouldve blockaded the American
  coast and cut off urgently needed foodstuffs to
  the French.

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11-1 Embroilments with Britain

• The British had northern frontier posts in the
  U.S. for ten years even though it went against
  the peace treaty of 1783
• London government wanted to keep the fur trade
• It was very profitable
• The British also wanted to make an Indian buffer
  colony to keep the Americans in check
• They went about this by giving the Native
  Americans firearms and alcohol
• The Indians kept attacking the American pioneers

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11-2 Embroilments with Britain

• Mad Anthony Wayne defeated the northwest
  Indians in the Battle for Fallen Timbers
• The Indians left their weapons on the battle
  field
• Because of the Treaty of Grenville in 1795, the
  Indians stopped being allies with Britain and
  went to Ohio

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11-3 Embroilments with Britain

• British attacked the French Indies to provoke the
  Americans, out of their French-American
  allegiance, to defend it
• The Brits took 300 American merchant ships and
  threw hundreds of sailors into gross dungeons
• The Jeffersonian Americans wanted to fight the
  British for their liberties again, but the
  Hamiltonians thought this would be bad for
  Hamiltons financial plan

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(12-1) Jays Treaty and Washingtons Farewell

• President Washington sent Chief Justice John Jay
  to London in 1794 in a last effort to avoid war
• Angered the Jeffersons they believed that he
  would sell out his country
• Jay entered negotiations with weak cards, which
  were further sabotaged by Hamilton
• Hamilton feared war with England and supplied the
  British with the details of Americas bargaining
  strategy
• British promised to evacuate the chain of posts
  on United States soil
• There was little confidence in this, since this
  plan was made before in Paris in 1783 and still
  hadnt happened
• Britain also agreed to pay damages for the recent
  seizures of American ships
• They refused to agree to anything about future
  maritime seizures and impressments or about
  supplying arms to Indians
• They forced Jay to bind the United States to pay
  the debts still owed to British merchants on
  pre-Revolutionary accounts

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(12-2) Jays Treaty and Washingtons Farewell

• If the South agreed to this treaty, the planters
  would have to pay the major share of the
  pre-Revolutionary debts
• Federalist shippers were collecting damages for
  seizures on their ships
• Fearing that the treaty would lead to an
  Anglo-American alliance, Spain moved hastily to
  strike a deal with the United States
• Pinckneys Treaty of 1705 granted the Americans
  virtually everything they demanded, including
• Free navigation of the Mississippi
• Large disputed territory north of Florida
• After his second term, Washington decided to
  retire
• His farewell address in 1796 advised the
  avoidance of permanent alliances like the
  French Treaty of 1778
• He favored temporary alliances
• He left office in 1797 and was showered with
  Partisan abuse

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13-1 Bonny Johnny Adams becomes President

• Hamilton was the best member of the federalist
  party after Washington bowed out.
• Although his financial policies made him
  unpopular that he could not hope to be elected
  president.
• The federalist were then forced to John Adams,
  Washingtons vice president
• He was against Thomas Jefferson who later on
  became vice president
• Many regarded Adams with respectful irritation
• Hamilton hated Adams, he was part of the High
  Federalist and secretly plotted against the
  president.

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13-2 Bonny Johnny Adams Becomes President

• Hamilton hated Adams, he was part of the High
  Federalist and secretly plotted against the
  president.
• Adams inherited a violent quarrel with France- a
  quarrel whose gunpowder lacked only spark

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14-1 Unofficial Fighting with France

• France was outraged by Jays Treaty
• Viewed as the first step toward an alliance with
  England
• French warships seized American merchant vessels
  in outrage
• XYZ Affair
• John Adams sent envoys to France who were met by
  X, Y, and Z who bribed the envoys simply to
  converse with Talleyrand
• The envoys would not have anything to do with
  this, and went home where they were applauded for
  their steadfastness

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14-2 Unofficial Fighting with France

• Americans wanted war with France
• Adams stayed neutral because he knew that war
  equaled disaster
• Navy Department was created and US Marine Corps
  was established
• Undeclared hostilities raged over the West Indian
  seas from 1798-1800 when American privateers
  captured French ships

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15-1 Adams Puts Patriotism Above Party

• France wanted no war, and realized they would be
  adding another enemy to their list by fighting
  the U.S.
• Therefore they let it be known that if the U.S.
  would send a new minister, he would be received
  with proper respect.
• Adams saw the advantages that a war w/France
  would bring him his party, but put the well
  being of his country ahead of him
• Sent to the Senate the name of new minister to
  France
• Americans arrived in Paris and met w/Napoleon
  Bonaparte
• Was eager to free his hands of the American
  squabble

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15-2 Adams Puts Patriotism Above Party

• Convention of 1800 signed in Paris
• France agreed to pay the damage claims of
  American shippers
• John Adams smoothed the path for the peaceful
  purchase of Louisiana Territory three years later
• If America had entered into a war w/ France,
  Napoleon wouldnt have sold Louisiana to Jefferson

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16-1 Federalist Witch Hunt

• Federalists gained from the anti-French sentiment
  and passed laws through Congress designed to
  muffle or minimize their Jeffersonian foes.
• First of these laws was aimed at supposedly
  pro-Jeffersonian aliens
• Congress raised the residence requirements for
  aliens who desired to become citizens from five
  to fourteen years
• Two more laws aimed at aliens dealt a heavy blow
  to undesired immigrants
• The President had the power to deport dangerous
  foreigners (in time of peace or war), or imprison
  them.

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17-1 The Virginia (Madison) and Kentucky
(Jefferson) Resolutions

• The Jeffersonians refused to take the Alien and
  Sedition Laws, and Jefferson himself feared that
  Federalists would rid of constitutional
  guarantees, or worse, rid of his political party.
• He wrote a series of legislation that Kentucky
  approved in 1798-99, and friend James Madison
  wrote another series of legislation that Virginia
  approved.

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17-2 The Virginia (Madison) and Kentucky
(Jefferson) Resolutions

• They stressed the compact theory, which had the
  13 states creating the government under a
  contract regarding its jurisdiction, and
  individual states were the final judges in
  Congress.
• Their legislation nullified the Sedition and
  Alien Laws.
• No other states followed.

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17-3 The Virginia (Madison) and Kentucky
(Jefferson) Resolutions

• Federalists argued that the people, NOT the
  states, made the compact up, and that it was up
  to the Supreme Court to nullify legislations
  passed by Congress. That was finally adopted in
  1803 by the Court.
• Neither of them wanted to break up the union, but
  Jefferson wanted to nullify the Federalist abuses.

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18-1-Federalists versus Democratic-Republicans

• Federalists-headed by Alexander Hamilton
• They advocated rule by the best people
• Distrusted full-blown democracy considered it
  the fountain of all mischiefs
• Feared that the uneducated common folk would be
  easily swayed
• Sometimes called Hamiltonians
• Supported a strong central government that could
  protect the estates of the wealthy, quickly crush
  uprisings, and that would own the states

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18-2- Federalists versus Democratic-Republicans

• Federalists
• Believed that government should support
  free-enterprise, not interfere with it
• Were mostly merchants, manufacturers, and
  shippers
• Were pro-British in foreign affairs
• Still harbored Loyalist sentiments (only some)
• Recognized that foreign trade with England was
  very important

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18-3-Federalists versus Democratic-Republicans

• Thomas Jefferson was the leader of the
  anti-Federalists
• He appealed to the middle class and
  under-privileged people (laborers, artisans, and
  shopkeepers)
• Anti-Federalists demanded a weak central
  government
• They believed that the best government was one
  that governed the least

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18-4-Federalists versus Democratic-Republicans

• Anti-Federalists
• Believed that the bulk of the power should be
  held by the states
• Believed that central authority was to be kept at
  a minimum through strict interpretation of the
  Constitution
• Felt that international debt was to be paid off
  as soon as possible
• Insisted on no special privileges for different
  classes
• Strongly believed in rule of the people

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18-5-Federalists versus Democratic-Republicans

• Jefferson believed that not all people should be
  able to vote for government
• He believed only the educated white males should
  have the say, but also believed the others could
  be taught
• Also felt that voters should be required to own
  some amount of land
• Anti-Federalists were pro-French