Early America (1789-1860). Main Ideas Washington & the new national government Managing national debt & banks Political parties Expanding west Conflict.

Early America (1789-1860)

Main Ideas

• Washington & the new national government• Managing national debt & banks• Political parties• Expanding west• Conflict & change

Washington & the New National Government

• Question to consider:– What steps did Washington take to make the new

government work?

Washington & the New National Government

• Washington inaugurated April 30, 1789• Setting up an executive office– Congress created three Cabinet departments to

help the President:– Members of the Cabinet advised the President

and directed their departments. Washington set a precedent by choosing well-known leaders to serve in the Cabinet:• Thomas Jefferson = Sec. of State• Alexander Hamilton = Sec. of Treasury• Henry Knox = Sec. of War

Washington & the New National Government

• Setting up a judicial branch– The Constitution created a judicial branch but did not

specify its format – Judiciary Act of 1789 created the Supreme Court, along

w/ a circuit of federal and district courts• Appeal process:

– decisions made by a state court could be appealed to a federal court on constitutional issues

• Federal supremacy: – federal laws > state laws

– Marbury v. Madison judicial review (S. Court can declare laws & acts of Congress “unconstitutional”)

Managing National Debt & Banks• Questions to consider:– What was Hamilton’s plan to reduce the nation’s

debt and build the economy?– What were the causes and results of the Whiskey

Rebellion?

Managing National Debt & Banks• The problem– The U.S. had a huge national debt—the total amount

of money that a government owes to others. – The national & state governments had borrowed by

issuing bonds—certificates that promise to repay the money loaned, plus interest, on a certain date.

• Hamilton’s plan– Establish a national bank funded by the gov’t AND

private investors– Buy up old bonds, issue new ones to keep trust of

investors & have money for debt repayment

Managing National Debt & Banks• The Debate

– Madison argued that Congress could not make a national bank if the Constitution didn’t set one up; plus many southern states had already paid THEIR debts

– Strict vs. loose interpretation of the Constitution• Strict: if the Constitution doesn’t say it, you can’t do it• Loose interpretation: How does the “necessary and proper”

clause fit in?– Congress can make any laws or set up institutions that

are “necessary and proper” for the country

• The compromise– Hamilton promised to support putting the nation’s capital in the

South if southerners agreed to his plan for repaying state debts.

Managing National Debt & Banks• Whiskey Rebellion– Causes

• To raise money for the Treasury, Congress approved an excise tax – tax on a product’s manufacture & sale – on whiskey

• Farmers who grew corn said was easier to get their product to market & make a profit if they turned their corn into whiskey.

– What did they do?• They rebelled, marching in protest and tarring and feathering

tax collectors.

– How did the federal gov’t respond?• Sent 13,000 militiamen (national army) to squash the

rebellion

Political Parties

• Many competing views in early America led to creation of separate parties – groups with similar ideologies and political goals

• Federalists – called for a strong central gov’t (Hamilton)

• Democratic-Republicans – wanted strong state gov’t (Jefferson)– Theory of this party is called “Jeffersonian

republicanism”

Political Parties• Election of 1800 – 1st time P & VP had the same

number of votes – tie-breaker• Election of 1824 – rift in the Republican party– “Jacksonians” accused another republican, Henry

Clay, of helping the other party win (he was appointed Sec. of State by Adams); corruption scandal

– Clay & his faction became the National Republican Party

– Jackson & his faction became the Democratic Party• Spoils system = hiring supporters and friends to

government positions

• Presidents– Jefferson (pg. 75, 113-114)– Madison (pg. 114)– Monroe (pg. 116-117)– Jackson (pg. 123-126)