Chapter 9
Launching a New Republic
Pages 310 - 335
Washington’s New Government
Washington inaugurated in New York City
2nd place - John Adams = Vice President
Sets precedents
* Actions that
become standard
practice
Congress Acts
Had to set up Courts
Federal Judiciary Act
* Six member Supreme Court
* Created lower courts
* Established a Chief Justice
John Jay, 1st Chief Justice
President’s Cabinet
State Department
* Foreign Relations
War Department
* Nation’s Defense
Precedent set by Washington
Treasury Department
* Economy
Justice Department
Postal Service
Washington’s Top Advisors
Henry Knox
Secretary of War
Edmund Randolph
Attorney General
Samuel Osgood
Postmaster General**
Thomas Jefferson
Secretary of State
Alexander Hamilton
Secretary of Treasury
Financial Woes
Owed approximately $52 million
Hamilton: Must pay back
Three Step Financial Plan
1) Pay debts
2) Raise revenue
3) National Bank
How Banks Work
Deposits
Purchases
Loans
Hamilton’s Plan in Action
Called for tariffs
* Raise money
* Build businesses
National Bank
* Provide loans
* Issue bank notes
* Keep government money
Interpreting the Constitution
Strict Interpretation Thomas Jefferson
* Limited federal power
* Against national bank
Loose Interpretation Alexander Hamilton
* More federal power
* For national bank
* Elastic Clause
Northwest Territory
Native Americans seek independent nation
- British support
Little Turtle wins battles
“Mad Anthony” Wayne sent
Battle of Fallen Timbers
Northwest Territory
Treaty of Greenville, 1795
Native Americans cede land to U.S.
PRECEDENTS SET
Washington will fight
Natives will be forced out
Whiskey Rebellion
Corn = major backcountry crop
Whiskey = made from corn; easier to transport
Tax levied on whiskey
Farmers get angry
Whiskey Rebellion
Washington sends 13,000 troops in
Rebellion is crushed
Twenty leaders arrested
PRECEDENT SET
Federal power to enforce laws
French Revolution
Started in 1789
Soon turned violent
Other European nations
* Fear spread of revolt
* War throughout Europe
France and Britain
French = Allies from the Revolution
Britain = Top trading partner
Washington remains neutral
Jefferson quits
Britain attacks American ships
Treaties with Europe
Jay’s Treaty
* U.S. and Great Britain
* British pay for ships
* Leave Ohio Valley
Pinckney’s Treaty
* U.S. and Spain
* U.S. can use Mississippi R
& port of New Orleans
* Sets border with Florida
Washington Retires
Eight years in office
Washington’s Farewell Address
Warned against…
1) Political parties
2) Foreign alliances
Political Parties Forming
HAMILTON
* Favors Britain
* Strong central government
* Trade
* Manufacturing
* “Loose”
MADISON
* Favors France
* Strong state governments
* Farming
* “Strict”
First Political Parties
Hamilton = Federalists
Top Candidate: John Adams
Madison = Democratic-Republicans
Top Candidate: Thomas Jefferson
Election of 1796
Adams wins; Jefferson 2nd (VP)
XYZ Affair
Problems in Europe persist
Americans sent to France
France asks for bribe
* Americans refuse
Public outrage towards France
Alien and Sedition Acts
Alien: Immigrants (not citizens)
Sedition: Speaking out against government
Tried to quiet criticism of government
What rights are broken?
Kentucky and Virginia Resolutions
Jefferson (KY) and Madison (VA)
Principle of nullification
* States could cancel federal laws
Started over Alien & Sedition Acts
* Used by South to
secede before Civil War