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Chapter 8Chapter 8New Republic New Republic and the Rise of Partiesand the Rise of Parties

17891789--18001800Vernon Maddux 19

A Three Cent piece before the Civil War showing the extent of local currency.

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Washington elected Nov. 1788Washington elected Nov. 1788Scheduled to be sworn in March, GW does not arrive in New Scheduled to be sworn in March, GW does not arrive in New

York City until April 1789.York City until April 1789.Washington’s primary job is to set precedents for future executives.He invents the “Cabinet.”He chooses “Mr. President.”– Tired and infirm, he chooses dignity over

approachability.He backs controversial Alexander Hamilton as first Treasury Secretary.He establishes federal departments and appoints the first judges to federal district and the Supreme court.He proposes new rules for revenue and international trade.He would serve two terms,

establishing the precedent.

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Forging the New GovernmentForging the New GovernmentAlexander Hamilton is the most important man in WashingtonAlexander Hamilton is the most important man in Washington’’s cabinet.s cabinet.

Revolutionary War Hero, Brilliant, Arrogant, a war aide and close friend to George Washington.As Treasury Secretary– Public Credit his first priority.

Hamilton creates the First National Bank system. He establishes the National Debt. In only a few years, he pays off all Revolutionary War debt.

Opposition to Hamilton’s policies and taxes came primarily from Jefferson’s Democratic-Republicans and Anti-Federalists.

Alexander Hamilton 1757-1804

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HamiltonHamilton’’s First National Banks First National BankNo. 2131 This Ten Dollar Bill issued March 19 1792 could be used to pay federal taxes.

The First Bank of the United States is established by Congress in 1792 and immediately issues, through the Federal Mint in Philadelphia, 10 dollar notes trying to create a national currency. The people rejected the paper money.The First Bank of the US was granted power to operate until 1811. With six branches, it served as the U.S. Treasury's fiscal agent, and the central bank for the United States government.

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WashingtonWashington’’s United Statess United States3,929,214 (1790 census)New England (Federalist). – Religious, Pro-British-uniform

and peaceful.Mid-Atlantic (mixed)– Pluralistic, cosmopolitan.

Slave South (Jeffersonian)– Pro French. Utterly dominated

by wealthy backcountry “Slavocrats.”

Far West (Jeffersonian)– Anti-French, anti-British, anti-

Spanish, anti-Indian. Fastest growing and most restless.The 1789 United States

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The Whiskey Rebellion 1794 The Whiskey Rebellion 1794 The first test of the Federal governmentThe first test of the Federal government’’s will.s will.

Irritated by absentee landlords, Indian attacks, few federal courts; and limited access to the Mississippi River, Pennsylvania farmers attacked government officials after the imposition of a high federal excise tax on their homemade whiskey. President Washington ordered Daniel Morgan to lead 13,000 troops into western Pennsylvania. 40 farmers were jailed; the leader, lawyer David Bradford escaped to Spanish West Florida (Louisiana).

Pennsylvania Whiskey Anti-Tax Flag 1794

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22ndnd Federalist AdministrationFederalist AdministrationJohn Adams John Adams PresidentPresident 17971797--18011801

Foreign problems faced by the young US:1796. Pirate threats in the Mediterranean Sea result in Congress re-starting the Navy and authorizing six new frigates. 1794 -1799 Revolutionary France– 1794. Genêt Affair (Washington).– 1797. XYZ Affair (Adams-next slide). – 1798-99 Quasi-War in Caribbean.

1798. Attack N. Africa Barbary Pirates.– Alien & Sedition laws issued.

1799. Jefferson’s own political crisis.1800. Federalist power ends with the election of Thomas Jefferson.

John Adams 1735-1826

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XYZ Affair XYZ Affair 17971797--17981798

During the Revolutionary War the U.S. signed an alliance with France that promised full trade and unlimited military support. – 1794. The French rebellion destroyed

Louis XVI’s government and resulted in a war with Britain. The Rebel French officials demanded the US attack British ships per the 1783 Treaty of Paris.

– 1795. John Jay's Trade Agreement with England aroused French Foreign Minister Talleyrand’s anger and he demanded a bribe just to meet US ministers.

1796. Pres. Washington refused, citing the U.S. had no navy to fight.1797. Pres. Adams refused saying the Paris accord was invalid because the French government that signed the agreement no longer existed

Foreign Minister Charles Maurice de Talleyrand

1754-1838

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1797. In Paris, Talleyrand had demanded a 1797. In Paris, Talleyrand had demanded a bribe just to meet with the American diplomats.bribe just to meet with the American diplomats.

Talleyrand demanded $250,000 to be paid to three middlemen (X, Y, Z) to meet with the American diplomats.Charles C. Pinckney (Sc), John Marshall (Va) and Elbridge Gerry (Nj) refused Talleyrand’s demand and were expelled from France. – This created a great uproar when

reported in the U.S. newspapers.1798. Without notice, the French government instituted a Quasi Waragainst the US- attacking American ships along the southern U.S. coast and in the Caribbean Sea. Charles Cotesworth Pinckney

Founding Father 1746-1825

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U.S. Navy U.S. Navy ““SuperSuper”” Frigates Frigates and and Adams and Congress authorized these ships to fight the Barbary pAdams and Congress authorized these ships to fight the Barbary pirates irates

but found them very effective against the French and the Britishbut found them very effective against the French and the British..

The first three: USS United States, 44 guns, launched July 10 1797 Philadelphia, Capt. John BarryUSS Constellation, 36 guns, launched 7 Sept 1797 Baltimore, Capt. Thomas Truxtun. USS Constitution, 44 guns. launched July 2, 1798 Boston Naval Yard, Capt. Samuel Nicholson.

The new super-frigates were immensely more powerful than

Revolutionary War ships.

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TheThe QuasiQuasi--WarWar with France with France March 27 1798March 27 1798––1799 1799 ““Millions for defense, but not one cent for tribute.Millions for defense, but not one cent for tribute.””

1798, Feb. A French warship attacked and captured two American merchant ships near Charleston, Sc.

1798, March. Outraged, Congress ordered three of the new frigates, Constellation, Constitution and United Statesto sail immediately to protect the American merchant fleet.

USS Constitution 1798-2006

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End of the End of the Quasi WarQuasi War

1798. Along the East Coast and in the Caribbean Sea, dozens of American merchant ships are seized by the French navy.US frigates attacked and captured 70 French warships and several forts.Adams and Talleyrand both avoid an official declaration of war.1799. Adams, to the intense disgust of Federalist leader Hamilton, peacefully ends the conflict. – Sept 1800, Treaty of Mortefontaine

a.k.a. “Convention of 1800,” brings peace and greatly improved commercial relations between the U.S. and France which is now firmly controlled by Napoleon Bonaparte. Napoleon Bonaparte

1769-1821

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Nov. 1800: The First Partisan ElectionNov. 1800: The First Partisan ElectionFederalists want strong defense, strong central government (Washington, Adams, Hamilton).Jeffersonian “Democratic Republicans” advocate a weak central government, low taxes, strong state governments (Jefferson, Madison, Monroe).1800. Jefferson wins the last old- style election in which the runner up, Aaron Burr becomes the Vice President.

Thomas Jefferson 1743-1826

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Trouble: Indians and the Trouble: Indians and the Emergence of Political PartiesEmergence of Political Parties

Effect of French Revolution on the US.– Adams and the Federalists are appalled

by the bloody executions of the French monarchy by the French republicans.

– At the same time, Jefferson and the DR’s are elated at the overthrow of king Louis XVI and the nobility.

1800. Nov. The First partisan Presidential election: Jefferson defeats Adams but is immediately distracted by Tecumseh who attacks the Ohio Frontier. News comes that Barbary Pirates have captured the Philadelphia, a powerful new American warship.Jefferson’s 1st problem: how to secure the American frontier- two factions emerge.

Tecumseh 1768-1813

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Vice PresidentVice President Aaron Burr Aaron Burr 18001800--18041804

Brilliant, ruthless, abrasive, a Revolutionary War army officer; he knew Benedict Arnold as a friend.1804 July 11. Burr challenged his rival Alexander Hamilton to a duel at Weehawken, NJ, mortally wounding the Federalist champion.1807 Feb. 20. President James Madison orders Burr arrested at Richmond for Treason.1807 June 24. Indicted by Chief Justice John Marshall, on Sept. 1 Burr is acquitted but permanently disgraced.

Aaron Burr 1756-1836

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Securing the Securing the Frontier Frontier War drums War drums along the Ohio Riveralong the Ohio River

1763. Background. The Ottawas are dismayed by the French withdrawal. Led by Pontiac they capture Ft Detroit, Ohio. 1764. Pontiac’s force is increased by the Munsees, Wyandottes, Senecas, Delawares and Shawnees. These Ohio Valley Native Americans wage a year-long war on all British outposts and many American settlements.Pontiac signed a treaty in 1766 and was murdered in 1769 – his legacy of tribes uniting against the Americans lived on. The leadership role is assumed by Tecumseh and his brother the Prophet.1800-13. Tecumseh organizes a confederation that fights the Americans after the British pull back in 1783.

Pontiac 1720-1769

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Burr under JeffersonBurr under Jefferson’’s Saddles Saddle1770. Graduated New Jersey College (Princeton), orphan son of distinguished scholars and politicians. Outstanding intellect but self- absorbed and devious. Raised in Philadelphia by the Tory family of Benedict Arnold’s wife.A conspirator against Washington, collaborator of Benedict Arnold and Gen. James Wilkinson.1807. Indicted for traitorous acts against the United States, acquitted-disgraced1812. Daughter Theodosa vanishes at sea.1836, Sep. 14. His 3rd Wife wins her divorce on the day he dies. Aaron Burr ‘s daughter Theodosa by his first wife

vanished on the Patriot near Cape Hatteras in 1812.

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Other Traitors Other Traitors and Scandalsand Scandals

During the Revolution, James Wilkinson served under Benedict Arnold in Boston and at Montreal during the Invasion of Canada.1797. Appointed by Adams, he was first CIC of the US army after Washington. 1801. Sent to New Orleans by Jefferson, he became a paid spy for the Spanish.1803. Bribed by Burr he was part of a Spanish scheme to form a private republic in Old Southwest vs the U.S.1806 Jefferson learned of Wilkinson’s treachery but permitted him to continue as CIC to avoid scandal.1811. President Madison court-martialed Wilkinsonfor corruption in Louisiana 1814 he is kicked out of the army for incompetence in the war of 1812.James Wilkinson

1757-1825

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The Wealth of Nations The Wealth of Nations by Adam Smithby Adam Smith(A handbook (A handbook ““How ToHow To”” on American Capitalism)on American Capitalism)

A Scottish economist, Smith is the most influential proponent of capitalist economics even though he published his work in 1776 during the earliest phases of the British industrial revolution. Smith is still cited as in support of arguments for an unregulated economy--the less government interferes with business, the more prosperous a nation will be-this is his theory.