Lesson 5.1: The New Government Finds Its Way PDF

z: In 1789, George Washington was inaugurated as the nation's first president under the new Constitution in New York City, then the U.S. capital. fat: TheNew Objectives De...

z: In 1789, George Washington was inaugurated as the nation's first president under the new Constitution in New York City, then the U.S. capital. fat: TheNew Objectives Describe how Washington's administration built the federal government. Government Finds Analyze Hamilton's plans for the economy and the opposition to them. Explain how a two-party system emerged in Its Way the new nation. In 1789, the leaders of the new federal govemment of the United Explain how territorial expansion brought Statesgathered in New York City.Besides ideals,they had very little Americans into conflict with the British and Constitutionwas clearon some to guide them. The newly ratified with American Indians. points but vague on others.Itwas alsoentirelyuntested.Those Describe American relations with Britain, France, and Spain. who had writtenthe Constitution,along with the new President, Analyze how the political parties' debates George Washington, knew ful well that a good startwould secure over foreign policy further divided them. the daring experiment in republican union. But earlymistakes could doom it. Key Terms administration Battle of Fallen precedent Timbers Cabinet tariff French Revolution JohnJay Creatinga New Government loose construction Affair The new government startedout with huge problems.Ithad strict construction Alien and Sedition inherited a national debt of $52 millionfrom the Confederation—a Whiskey Rebellion Acts huge burden fora nation with a farm economy and only about 3 political party Virginia and Democratic Kentucky millionpeople.With no navy and an army of only around 400 men, Republicans resolutions the United States was not respected by other countries.At New Little Turtle Aaron Burr Orleans, the Spanish closed the Mississippi River to American trade.Along the Great Lakes, the Britishkept fortswithin American territory. President Washington the new government Fortunately, enjoyed extraordinaryleaders.In 1789, the new electoralcollege unanimously elected George Washington as President of the United States.As a revolutionaryleader,Washington enjoyed widespread respect and popularity.Yet he took the difficult job reluctantly. GO ONLINE to access your digital course  About ten o'clockI bade farewell g CHECK UNDERSTANDING Why was setting up to Mount Vernon, to private life,and the Cabinet an importantprecedent? to domestic felicity, and with a mind oppressedwith more anxious and Addressing the Nation's painfulsensationsthan I have words to express, set out for New York. Debt Hamilton was tasked 7hth organizing the young —George Washington. Apr-E16, 1789 nation's immense debts and setting iton a course Massachusetts patriotJohn Adams was elected of economic security.A true Federalist, he believed ViceZesident Washington's administration, or that a strong, centralized government was necessary' the o±cials in the executive branch of government, to preserve the Union. As he developed his plans, at first consisted of just himself, Adams, and Hamilton faced fierceand vocal opposition from about a dozen clerks.Besides the newly elected Congress, Antifederalists, who feared that a strong national there were few other federal officers.There were aLso government would threatenstates' rightsand set rules to guide the administration. Quickly people's freedoms. Their struggles and debates made aftertaking office,Washington began setting clear that Vuo very differentviews of government :moortant precedents, or acts or statements that were emerging in the new nation. become traditions to be followed. Hamilton despised the nation's Hamilton's Plan economy as backv;ard.He wanted agricultural Buildingthe Court System TheConstitution to quickly develop a commercial and industrial caLed forone Supreme Court and several smaller ones, but intentionally left to Congress economy that could support a large federal the responsibility of organizing government along vhth a strong army and navy'. a federal court system. Madison, who had been elected to the House of He regarded the national debt of S52 rnillionand Representatives in the firstCongress, helped to the additional $25 million in debts owed by the pass the Judiciary Act of 1789. This act established individual states as assets. a judiciary, or a system of courts. The U.S. judiciary was made up of thirteen federal district courts, one foreach state. Three circuit courts would hear appeals from the state courts and a six-member Supreme Court would decide contested cases. The Supreme Court also served as a trial court in certain cases involvingstates or foreign affairs.The act also established the office of Attorney General to prosecute and defend cases on behalf of the federal government. Washington appointed John Jay as the first Chief Justice of the Supreme Court. Creating the President's Cabinet Oneof Washington's most important precedents was the formationof a Cabinet, or the group of federal leaderswho headed the major departments of the executivebranch and advised the President.The first fourexecutive departments were the departments of Stat*,Treasury, and War, and the AttorneyGeneral. The State Department, led by Thomas Jefferson, conducted foreign policy The War Department gupervised nationaldefense. The Secretary of the Treasury,Alexander WASHINCTONAND HIS CABINET. Hamilton, managed the nation's finances.Nominated by the President, the Cabinet Washington's Cabinet included some of the nation's members were approved by the Senate. In 1907, the most respected statesmen of the era. (from left) George Cabinet was Washington, Henry Knox, Alexander Hamilton. Thomas recognized by law. officially Jefferson, and Edmund Randolph. 5.1 The New Government Finds Its Way 167  Rather than pay down those debts using they had bought up notes issued by the Congress cash reserves, he meant to fund them by selling or by the states.Those notes had lostmost of their government bonds, which would pay annual interest value but the merchants had bought them anyway as to the holders.Such bonds delightedinvestors, who an investment. Because they paid only a fractionof welcomed an opportunity to reap annual profits. the originalvalue of the notes, and because Hamilton value,the merchants proposed paying them at full To pay the annual interest on the bonds, Hamilton would profitunder Hamilton's plan.But to pay proposed new excise taxes and high tariffs,or those debts, the federal government would tax the taxes on imported goods, to raiserevenue forthe American people,who were mainly farmers. federalgovernment and protect strugglingAmerican manufacturers from foreigncompetition. He also asked Congress to charter a Bank of the United States that Southern States Oppose Hamilton's Plan The southern states,which were overwhelmingly could regulate state banks, strengthen the national had done a better job of paying their agricultural, govemment, and ensure that business interestswere ovm debts.Why, southerners wondered, shouldthey closelyaligned väth those of the government. pay federaltaxes to bail out the northern states?And Promoting Commerce and Industrial Growth why should their tax dollarsflow into the pockets of creditors in the Northeast? Opposition to Hamilton's Hamilton saw three great benefits from his system. First,itwould establish the nation 'sfinancial plans grew steadilyin the South. making credibility, iteasier to borrow money in the To justifyhis ambitious program, Hamilton support from future.Second, itwould buy political interpreted the Constitution broadly, relyingon the wealthiestAmericans, which Hamilton believed its "implied powers" and its clause empowering was essentialforthe govemment's Third, stability. Congress to enact laws for the "general welfare.' itwould enrich investors,who could then build new His broad interpretation,or loose construction, ships, wharves, storehouses, and factories. including Jefferson and Madison. appalled his critics, In otherwords, his plan would promote the They favored a strict construction or limitingthe accumulation of capitalneeded forcommercial and federal government to powers explicitlygranted by growth. industrial They opposed Hamilton'splans the Constitution. Hamilton'sprogram was intended to redistribute for assuming state debts. Fearing that a national wealth in two ways: from farmers to merchants and bank would benefit the North at the expense of the from the South to the North. About eighty percent South, they also argued that the Constitution did not of the nation'sdebt was owed to merchants in the authorizeCongress to charterone. seaport citiesof the Northeast. During the 178()s, THE DEBT PROBLEM 1789—1791 AMOUNT OF MONEY AMOUNT OF MONEY THE TOTAL INCOME ITCOST TO RUN THE UNITED STATES OWED UNITED STATES GOVERNMENT RECEIVED $4,269,000 $77,228,000 $4,419,000 TOTAL DEBT: $81,497,000 Source: Historical Statistics of the United States Analyze Data How would you explain the debt problem facing the new government? 168 TOPIC 5 TheEarlyRepublic  HAMILTON'S PLAN NATIONAL DEBT NATIONAL STATES' HAMILTON'SPLAN DEBT DEBT CONTROVERSY 1790 The rn*rity of bærks in z S:va NtRh. MLLION $25 Original holders TneSmh Hadtn nor feared fie national governmett could not z goods than pay them back. Many Only I northem increasirg sold them to investors state versus 3 the cost of for 10 to 20 cents southemstates goo±. on the dollar. had already m paid their Revolutionary Ther$ority War debts. bcæd Source_Digital History Sources: Digital History: Federal F.eser;e Sank orcCongres >> Analyze Information Which region of the United States mostly benefited from Hamilton's plan? Justify your response. Hamilton Compromises As Americans aligned compact and of higher value.Rural farmers hated themselves eitherwith Hamilton or with Madison the excise tax on whiskey, which reminded them of and Jefferson,debate heated up. Jefferson declared the British taxes that had led to the Revolution. In that Hamilton's system "flowed from 1794, farmers resisted the tax by intimidating and principles adverse to liberty and... calculated to undermine attacking tax collectors. and demolish the republic." Jefferson and Madison Hamilton welcomed the opportunity to insisted that Hamilton was betraying the American demonstrate the nevv power of the nation by Revolution to establish a "kingly government. suppressing the Whiskey Rebellion. Washington They pointed to Great Britain,where factories agreed, observing, "We had given no testimony made owners wealthy but kept most of the workers to the world of being able or willing to support our in poverty. Fearing that industrial development led government and laws." Under Hamilton 'scommand, to greater inequality, they concluded that America 12,000 militiamen marched west into the troubled needed to keep a farm region. The rebellionquickly dissolved.Rather than economy in order to sustain the Republic. resistsuch overwhelming force,most rebels stayed In 1791, by a narrow home or ran away. Hamilton arrested twenty suspects, vote, Congress approved full funding of the federal debt, the implementation but only two were convicted. Jefferson mocked that of new excise taxes, and the creation of a national "an insurrectionwas announced and proclaimed and bank. But in " order to get southerners to agree to the armed against, but could never be found. assumption of state that in debts, Hamilton promised ten years the g IDENTIFY CENTRAL IDEAS Whatwerethe key national capital would move southward to the banks of the Potomac River, between Maryland components of Hamilton's plan? and Virginia. To honor the firstPresident, who was reelectedin 1792, the new capital became known as Washington, District of Columbia. Political Divisions Lead to The Whiskey mountains made Rebellion In westernPennsylvania, Two Parties itdifficultto transport bulky The Whiskey Rebellionhighlightedthe growing bushels of grain to eastern markets. So people division in American politics.The fedetal distilled theirgrain into whiskey, which was.more government, headed by Washington and Hamilton. 5.1 The New GovernmentFinds Its Way 169  Meanwhile sought to secure itspower and authority. republic. Despite these intentions, politicians the opposition,led by Madison and Jefferson, eventually formed two parties: the Federalists,led grew stronger. by Hamilton and John Adams, and the Democratic Republicans, led by Jeffersonand Madison. This The Whiskey Rebellion Stirs Debate The party was also know as the Republicans. Whiskey Rebellion,and itsoutcome, fueled Northerners, especially merchants, tended to disagreement. The Federalistsblamed the rebellion favor the Federalists,who promoted industry and in part on a set of political clubs known as the trade. In contrast, southerners, especially farmers, Democratic Societies.The clubs had formed to voted mainly forthe Democratic Republicans oppose the Federalists.Although these clubs were because they believed the country'seconomy should Washington denounced them smalland scattered, be based on agriculture.Despite these regional as "the most diabolicalattempt to destroy the divisions,Federalistsand Democratic Republicans " best fabric of human government and happiness. could be found in every social class,in every type Jeffersonand Madison defended the societies, of community, in every region, and in every state. fearing that aristocracy would triumph ifleaders Politicalelections were closely contested most of were immune from constant public scrutinyand the time. They were alarmed that the Federalists criticism. two Presidents and most of the The first had sent so many troops to suppress popular governors, state legislators,and congressmen dissent in western Pennsylvania. As debate over the were Federalists.Their early electoralsuccess rebellioncontinued, the two sides gradually emerged indicated that they were able to attract a majority as distinctpoliticalgroups. of voters. Voters credited the Federalists with the new Constitutionand with the nation'sincreased Political Parties Emerge The authorsof the during the 1790s. prosperityand stability Constitutionwanted to avoid organized political But many people continued to support common parties, or groups of people who seek to win the Democratic Republicans. They worried that elections and hold public officein order to shape the Federalistswould concentrate wealth and government policy.They deemed these groups power in the hands of the eliteand that the federal to be "factions"that threatened the unity of a government would hold too much power. Democratic Political Parties in the Fourth Congress, 1795—1797 House of Representatives Senate Federalist Democratic Republican Sources: U.S. House of Representatives;U.S. Senate Analyze Data Based on what you know about the earlyrepublican Chart BOUNCE to Activate government, were state legislatures likely controlled more by Democratic Republicans or by Federalists?How can you tell? 170 TOPIC 5 TheEarlyRepublic  American Indians in the Northwest Territory, c. 1787 BRITISH NORTH AMERICA w s Sioux Onta o Iroquois Miami 200 mi o 200 km Ohio Albers Conic Equal-Area Projection Maps Why was the Miami nation especially opposed to U.S. settlement on the Northwest Territory? Republicans wanted the states to hold more power arms and ammunition to the Miami Indians and relative to the federalgovernment. They and many their allies,who were actively resisting American voters also believed that the Democratic Republican expansion into their lands. Party offered more social mobility. In 1790, American Indians led by the war chief Little Turtle defeated a small force sent by President IDENTIFY Identifythe key differences between Washington to stop attacks against settlers. In 1791 theFederalistsand the Democratic Republicans. in the Ohio Valley, British guns helped a confederacy of many American Indian nations, again led by Little 'IUrtIe,to crush a larger American force commanded Domestic and Foreign by General Arthur St. Clair. But the tide turned in August 1794 when federal Affairs troops led by General Anthony Wayne defeated In addition to building a government, making peace the American Indian confederacy at the Battle of With American Indians, and maintaining control Fallen Timbers, named for the fallen trees that over expanded borders, the young United States had covered the battle site. Wayne's decisive victory to establish itself in the international community forced the American Indians to accept his peace during a volatile time. By 1793, Britain and France terms. In the Tieaty of Greenville, American Indian had resumed war, and it became difficult for the leaders ceded most of the present state of Ohio to the United States to stay neutral. Debate over America's U.S. government. This also opened the Northwest response to a war and to a revolution in France Territory to settlement. affected the nation's foreign policy as well as its domestic structure. Americans and the French Revolution While the British were helping American Indians take a Settlementin the Northwest Territory Although stand against the United States, the young nation the Treaty of Paris had granted the United States struggled to chart a steady course in the area of a vagt new territory west of the Appalachians, the foreign policy. In 1789,Americans welcomed news Britishkept their forts on the American side of the of the French Revolution, an uprising in France. Great Lakes. Hoping to limit American settlement Grateful for French help during the American in the Northwest Territory, the British provided Revolution, many Americans now saw the French 5.1 The New GovernmentFinds Its Way 171  as fellow republicans in a hostile world of aristocrats seizures added to American outrage at the British and kings. In 1793, however, leaders of the French policy along the new nation's western frontier. Revolution began executing thousands of opponents, including the French king and his family.They also Treaties Maintain Peace To avoid war with declared war on the monarchies of Europe, including Britain,Washington sent Chief Justice John Jay Great Britain. to London to negotiate a compromise with the In response, Americans divided along party British.In the Jay Treaty of 1794, the British gave lines.The Democratic Republicans regrettedthe up theirfortson American soil,but they kept most executions but stillpreferredthe French Republic to of their restrictionson American ships. The treaty its monarchist foes. Jefferson regarded the French also required Americans to repay prewar debts to the British.Washington and the Federalists favored Revolution as "the most sacred cause that ever man was engaged in." But the Federalistsdecided that this compromise, but the Democratic Republicans were bloody anarchists denounced the Jay Treaty as a sellout.After a heated the French revolutionaries out to destroy religion and social order. They debate, the Senate narrowly ratifiedthe treaty, suspected that the Democratic Republicans meant to keeping the peace. do the same. In 1795, the United States also signed a treaty with Spain. American settlersneeded to move their Washington Declares Neutrality By 1793,Britain goods down the Mississippi River to New Orleans, and France were at war. Both American political where they could be shipped to markets in the parties agreed that the United States was too weak East. But, Spain controlled the Mississippi River to participatein the war and too dependent on trade and New Orleans. To ensure a free flow of trade,an väth Britain,which provided nearly 90 percent of American diplomat, Thomas Pinckney, negotiated American imports. That trade generated most of the a favorabletreatywith the Spanish, who fearedthat federalrevenue, which came primarilyfrom tariffs an Anglo-American alliancemight threaten their and only secondarilyfrom excise taxes. American possessions. Pinckney's Treaty guaranteed Ifthe United States entered the conflict,it could Americans free shipping rights on the Mississippi bankrupt the federal government. In 1793, President River and access to New Orleans. The treatyalso Washington, therefore,issued a proclamation of established the northern boundary of Spanish American neutrality, which became a foundation of Florida. American policytoward Europe untilthe twentieth The removal of British forts,victories over century.The powerful Britishnavy tested that American Indians,and secure access to New Orleans neutralityby seizing American ships trading with encouraged thousands of Americans to move the French coloniesin the West Indies.Those westward. By 1800, nearly 400,000 Americans lived Jay's Treaty & Pinckney's Treaty JAY'S TREATY (U.s.& BRITAIN) PINCKNEY'S TREATY (U.s.& SPAIN) Americans must settle pre-Revolutionary war debts to British Americans can temporarily store goods tax-free in merchants. New Orleans. British must leave the Northwest Territory by June 1, 1796. Americans can freely navigate the Mississippi Riverin British must pay claims made against them by U.S. merchants. Spanish territory. United States given trading privileges with England and the Southern boundary of the United States set at 310N British West Indies. latitude. Mississippi River open to both countries. Each country must prevent Indians within its borders from attacking the other country. Prohibited supplying food and weapons to privateersowned by British enemies in U.S. ports. Both countries can navigate the seas freely. Joint commissions must settle territorial boundaries between both countries. Source: Encyclopædia Britannica Analyze Information What effectdid these two treatieshave on U.S. trade and commercial interests? 172 TOPIC 5 TheEarlyRepublic Election of 1796 % Electoral Vote Candidate (Party) (48.9) (51.1) John Adams (Federalist) 68 votes 71.votes Thomas Jefferson (Democratic-Republican) Source: American PresidenCy Project >> Analyze Data What do these electionresultssuggest about the balance of political power in the United States in 1796? beyond the Appalachian Mountains. By sellingland to these settlers,the federal government g IDENTIFY CENTRAL IDEAS Why did the British gained revenue that helped to pay off the national debt. support American Indian resistance to westward expansion in the United States? Washington's Farewell In 1792, Washington had won reelectionwithout opposition, but he declined to run again in 1796. In ailing health, he Foreign Policy Affects longed to escape the politicalturmoil to his beloved plantation, by returning Mount Vernon. He also Domestic Politics recognized that the young The Federalist candidate, John Adams, narrowly nation needed him to set an example by walking defeated Thomas Jefferson in the 1796 presidential away from power, proving thathe was no king. election.The nation voted along regional lines, His voluntary retirement after two terms set a precedent with Jefferson winning most of the southern honored by allPresidents untilthe 1940s. electoralvotes and Adams carrying almost allof the northern states. Due to an awkward feature of the Washington retired with a record of astounding Constitution, Jefferson, as the second place finisher, achievements. On the frontier,the American Indians had been defeated, became Adams's Vice President. the western lands opened to settlement,and the Whiskey rebels suppressed. He had kept the Adams Confronts France Althoughhonestand nation out of the war in Europe. dedicated, Adams could also be stubborn and A booming foreign trade boosted tariffs, which pompous. Lacking tact,he made few friends and funded the government and the national debt. many enemies. Those foes included Hamilton, who Many historians have concluded that without had retired from public office but who tried to control Washington's skillful leadership, the nation may not the Federalist Party and the national government have survived the harsh tests of the early 1790s. In a from behind the scenes. His meddling weakened the farewell address, Washington offered sound political Adams administration. advice for his successors, calling on them to temper A French crisis brieflyunified the nation. The Jay their political strife in favor of national unity and Treaty of 1794 had offended the French as a betrayal to avoid "entangling alliances" that might lead to of their 1778 treaty of alliance with the United States. overseas wars. To show their irritation,in 1796 the French began 5.1 The New GovernmentFinds Its Way 173  seizingAmerican merchant ships.Adams sent envoys to Paris to negotiate peace. But three French officials—known in code as X, Y, and Z demanded humiliating terms, including $250,000 in bribes. Adams broke off negotiations. Called the XYZ Affair, the insult roused public sentiment against France. In 1798, the Federalist majority in Congress expanded the army and authorized a small navy, which won some surprising victories over French warships. To pay for the expanded military,Congress imposed unpopular taxes on stamps and land. The Alien and Sedition Acts The Federalists exploited the war fever by passing the controversial Alien and Sedition Acts in 1798. The AlienAct authorized the President to arrest and deport non- citizens who criticized the federal government. immigrants supported Because most non-citizen the Democratic Republicans, the Federalistsmade it difficult for them to become citizens. The Sedition Act made it a crime for citizens to publicly criticize the federal government. Arguing that criticism undermined trust in the government, the Federalists A 1798 cartoon shows a fightthat broke out in used this act to silence Democratic Republican Roger Griswold (with cane) Congress between Federalist and Democratic Republican Matthew Lyon (with tongs). opposition. Cartoons What isthe cartoon's Analyze Political view The Sedition Act did allow juries to acquit How can of Congress during the Adams administration? defendants who could prove the literal truth of their you tell? statements. But that stillput the burden of proof on the defendants, reversing the tradition of presumng someone innocent until proven guilty In the end, the federalgovernment convicted ten men ofsedition, including those in Massachusetts who erected a liberty pole comparing the Federalists to the Loyalists who had supported the British king. Virginia and Kentucky Respond Lntwo legislatures Democratic Republican states, the state passed controversial resolves in response to the acts. 1799. Written by Jefferson and Madison in 1798 and the Virginia and Kentucky resolutionsdeclared the Sedition Act unconstitutional. The resolves even hinted that states had the power to nullify Though this federal laws that were unconstitutional. the doctrine of nullification threatened to dissolve Instead, union, no other state legislatures adopted it. the the presidential election of 1800 would decide balance of federal power and states' rights. theSedition The Election of 1800 By1800, Act and the new federaltaxes had become very had unpopular. Sensing that trend, in 1799 Adams suspended expansion of the army and sent new A 179B political cartoon depicts the outcome of the diplomats to France to seek peace. Those moves XYZAffair. Analyze Political Cartoons What view angered many Federalists,including Hamilton. does this cartoon suggest about the French treatment of the United States? 174 TOPIC 5 The EarlyRepublic  Election of 1800 Disputed Territory NH Democratic Republican 16 12 Federalist 14 MA Indiana 32 Territory NY 8 24 RI Terr. w 8 of O 18 Spanish Territory DE VA 6 KY 42 MD 8 Democratic Republican 10 TN Federalist 10 sc NC Candidateand Party Electoral Democratic Republican 16 Vote Terr. South GA 16 Federalist 8 DemocraticRepublicanCandidates of Ohio R. 8 Thomas Jefferson 73 Miss. Terr. Aaron Burr 73 Federalist Candidates panj Florid John Adams 65 Charles Pinckney 64 John Jay 1 >> Analyze Maps Which regions mostly supported Federalists?Which regions preferredDemocratic Republicans? worked to undermine Adams's lost the heated reelection.Adams election to Jefferson. g ASSESSMENT Jeffersonand his running mate, Aaron Burr, 1. Summarize What was the Judiciary Act of tied.The voters had meant for Jefferson to become 1789, and how did it help shape the federal Presidentand Burr to become Vice President. But government as we know it today? because the Constitution did not then allow a distinctionbetween 2. Summarize What methods did Alexander electoral votes, the House of Representativeshad to decide between the two. Hamilton use to balance the national debt? Hamilton preferred Jefferson, so in early 1801 the 3. Interpret Why did southern states Federalist congressmen allowed Jefferson to become overwhelmingly oppose Hamilton's plan to President.This peaceful transfer of power from one balance the national debt? party to another set a valuable precedent. To avoid another electoralcrisis, in 1804 the Constitution 4. Identify Central Issues What were the was amended to Democratic Societies, and how did American require electors to vote separately forPresident and leaders respond to them? Vice President. Offended by Hamilton's criticism,Burr killedhim in a duel in 1804. 5. Analyze Information What was the XYZ Affair g CHECK UNDERSTANDING What was the and what were its implications for American doctrine of nullification? foreign policy? 6. Connections to Today George Washington's Cabinet consisted of four leaders to head four executive departments. How has today's executive Cabinet changed from Washington's time? How has it remained the same? GO ONLINE to access this biography:John Adams 5.1 The New GovernmentFinds Its Way 175