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The American Nation
Chapter 9
Launching the New
Government, 1789–1800
Copyright © 2003 by Pearson Education, Inc., publishing as Prentice Hall, Upper Saddle River, NJ. All rights reserved.
The American Nation
Chapter 9: Launching the New Government, 1789–1800
Section 1:
Washington Takes Office
Section 2:
Creating a Foreign Policy
Section 3:
Political Parties Emerge
Section 4:
The Second President
Copyright © 2003 by Pearson Education, Inc., publishing as Prentice Hall, Upper Saddle River, NJ. All rights reserved.
Washington Takes Office
Chapter 9, Section 1
• What steps did Washington take to make
the new government work?
• 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?
Making the New Government Work
Chapter 9, Section 1
First Inauguration
Washington was inaugurated on April 30, 1789. A presidential
inauguration is the ceremony in which the President takes the
oath of office. The first inaugural was a simple affair.
First Cabinet
Congress created five departments to help the President. The
heads of the departments made up the Cabinet. Members of the
Cabinet advised the President and directed their departments.
Washington set a precedent, or an example for others to follow,
by choosing well-known leaders to serve in the Cabinet.
The Judiciary Act
In 1789, Congress passed the Judiciary Act, which set up the
federal court system. Washington named John Jay the first Chief
Justice of the United States.
Time in Office
Washington set another precedent when he decided not to run
for a third term. Not until 1940 did any President seek a third
term.
The Nation’s Debt
Chapter 9, Section 1
Hamilton’s Plan for the Economy
Chapter 9, Section 1
The problem
• The United States had a huge national debt—the total amount of money
that a government owes to others. The national government and state
governments had borrowed by issuing bonds—certificates that promise to
repay the money loaned, plus interest, on a certain date.
The debate
• Hamilton—the federal government must repay both federal and state debts
by buying up the old bonds and issuing new ones. The United States must
repay all debts so it won’t lose the trust of investors.
• Madison—Hamilton’s plan would reward speculators—people who invest
in a risky venture in hopes of a large profit. They shouldn’t make a big
profit on the war. Besides, most southern states have already paid their
debts. Other states should do the same.
The compromise
• Hamilton promised to support putting the nation’s capital in the South if
southerners agreed to his plan for repaying state debts.
Hamilton’s Plan for the Economy
Chapter 9, Section 1
Bank of the
United States
to encourage
economic growth
• The government deposited
money from taxes in the Bank.
• The Bank issued paper money to
pay the government’s bills and
make loans to farmers and
businesses.
Tariff, or tax, on
foreign goods
to make imported
goods more
expensive than
American-made
goods
Hamilton and many northerners
wanted a high tariff to protect
American goods from foreign
competition. Southern farmers
opposed a high tariff. Congress
passed a tariff, but it was lower than
the tariff Hamilton wanted.
Causes and Results of the Whiskey Rebellion
Chapter 9, Section 1
Causes
• To raise money for the
Treasury, Congress
approved a tax on all
liquor made and sold in
the United States.
• Backcountry farmers grew
corn. It was easier to get
their product to market if
they turned their corn into
whiskey first. They hated
the tax on whiskey. They
rebelled, marching in
protest and tarring and
feathering tax collectors.
Results
• Washington called up the
militia and sent them to
put down the rebellion.
The rebels fled back to
their farms. The national
government had shown
that it would act firmly in
times of crisis. It also
showed that violence
would not be tolerated.
Section 1 Assessment
Chapter 9, Section 1
To help President Washington carry out his duties, the first Congress
a) passed the Judiciary Act.
b) created the Bank of the United States.
c) created five departments whose heads made up the Cabinet of
advisors.
d) agreed to place the nation’s capital near his home along the Potomac.
Hamilton thought the national government should pay off both national and
state war debts because
a) it showed the government would act firmly in a time of crisis.
b) if it didn’t, it would lose the trust of future investors.
c) it was not fair for speculators to make a profit on the war.
d) it would protect local industry from foreign competition.
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Section 1 Assessment
Chapter 9, Section 1
To help President Washington carry out his duties, the first Congress
a) passed the Judiciary Act.
b) created the Bank of the United States.
c) created five departments whose heads made up the Cabinet of
advisors.
d) agreed to place the nation’s capital near his home along the Potomac.
Hamilton thought the national government should pay off both national and
state war debts because
a) it showed the government would act firmly in a time of crisis.
b) if it didn’t, it would lose the trust of future investors.
c) it was not fair for speculators to make a profit on the war.
d) it would protect local industry from foreign competition.
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Creating a Foreign Policy
Chapter 9, Section 2
• How was American opinion divided over
the French Revolution?
• Why did Washington want the nation to
remain neutral in foreign affairs?
• Why was it difficult for the United States to
remain neutral?
American Opinions of the French Revolution
Chapter 9, Section 2
The French Revolution
• In 1789, the French rebelled against their king. The peasants and the
middle class paid heavy taxes, while nobles paid none. Reformers
wanted a constitution to limit the king’s power and protect basic
rights.
American Views Favoring the French Revolution
• Americans knew what it meant to struggle for liberty.
• France had been their first ally.
• Americans admired the Marquis de Lafayette, who had fought with
them in the American Revolution.
• Jefferson: The French had the right to use violence to win freedom.
American Views Against the French Revolution
• The revolution turned violent. The king, queen, and tens of thousands
of others were executed.
• Hamilton and Adams: Democracy can’t be created through
widespread violence.
Washington Wanted to Keep the Nation Neutral
Chapter 9, Section 2
• Following the French Revolution, wars broke out
between France and England.
• Washington had to decide on a foreign policy—the
actions that a nation takes in relation to other nations.
• Washington knew the United States had signed a
treaty with France that made the two countries allies.
He worried that the United States could not honor the
treaty and still remain neutral, or not take sides.
• After much debate, Washington issued the Neutrality
Proclamation, which stated that the United States
would not support either side in the war. It forbade
Americans from aiding either side.
Difficulties Over Neutrality
Chapter 9, Section 2
• Warring European nations seized American ships.
• John Jay negotiated a treaty with Great Britain. Jay’s
Treaty said:
• Britain had to pay damages for seized American
ships.
• Britain agreed to give up its forts in the West.
• Americans had to pay debts owed to British
merchants.
• Many Americans protested Jay’s Treaty because it did
nothing to protect the rights of neutral American ships.
• When Washington retired, in his Farewell Address he
advised Americans to stay out of European affairs.
Section 2 Assessment
Chapter 9, Section 2
Many Americans turned against the French Revolution when
a) John Jay got the British to sign a treaty.
b) Thomas Jefferson condemned the revolution.
c) the French started seizing American ships.
d) the revolution became increasingly violent.
President Washington’s foreign policy proclamation said that
a) in the European conflict, the United States would support France.
b) in the European conflict, the United States would remain neutral.
c) in the European conflict, the United States would support Britain.
d) individual Americans could make up their own minds and aid either
side.
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Section 2 Assessment
Chapter 9, Section 2
Many Americans turned against the French Revolution when
a) John Jay got the British to sign a treaty.
b) Thomas Jefferson condemned the revolution.
c) the French started seizing American ships.
d) the revolution became increasingly violent.
President Washington’s foreign policy proclamation said that
a) in the European conflict, the United States would support France.
b) in the European conflict, the United States would remain neutral.
c) in the European conflict, the United States would support Britain.
d) individual Americans could make up their own minds and aid either
side.
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Political Parties Emerge
Chapter 9, Section 3
• Why did many Americans distrust the idea
of political parties?
• How did the views of Hamilton and
Jefferson differ?
• Why did political parties develop?
• How did the election of 1796 increase
political tensions?
Many Americans Distrusted Political Parties
Chapter 9, Section 3
• Americans had seen how factions, or opposing
groups within parties, worked in Britain. Members
of factions were often more interested in personal
gain than in public good.
• Political parties could be a threat to national
unity. They could lead to “jealousies and false
alarms.”
The Views of Hamilton and Jefferson
Chapter 9, Section 3
Issue
Hamilton’s Views
Jefferson’s Views
Manufacturing
or farming
Thought the government
should encourage
manufacturing and trade.
Favored cities and
merchants.
Thought farmers were the
backbone of the nation.
Feared manufacturing would
concentrate power in the
hands of a few wealthy
Americans.
Federal or state
power
Federal government should
have greater power than
state governments. A strong
federal government would
increase commerce and
keep the peace.
A small federal government
would protect individual
freedom. A strong federal
government might take over
powers the Constitution
gave to the states.
The Views of Hamilton and Jefferson
Chapter 9, Section 3
Issue
Hamilton’s Views
Jefferson’s Views
Strict or loose
interpretation of
the Constitution
Preferred a loose
interpretation of the
Constitution. Believed the
Constitution gave Congress
the power to make all laws
“necessary and proper” to
carry out its duties. The
Bank of the United States
was necessary.
Preferred a strict
interpretation. Any power
not specifically given to the
federal government
belonged to the states. The
Bank of the United States
was unconstitutional, or not
permitted by the
Constitution.
Britain or France
Wanted close ties with
Britain.
Wanted close ties with
France.
Why Political Parties Developed
Chapter 9, Section 3
• Hamilton and Jefferson clashed in private.
• Jefferson and James Madison decided to
organize the supporters of their views. They met
with leading New York politicians.
• Leaders in other states organized to support
either Hamilton or Jefferson. Jefferson’s
supporters called themselves Democratic
Republicans. Hamilton’s supporters were called
Federalists.
• Newspapers began to take sides.
• The two political parties took part in the election
of 1796.
Why Political Parties Developed
Chapter 9, Section 3
Federalists
vs.
• Were led by Alexander Hamilton
• Believed wealthy and well educated
should lead nation
• Favored strong central government
• Emphasized manufacturing,
shipping, and trade
• Favored loose interpretation of
Constitution
• Were pro-British
• Favored national bank
• Favored protective tariff
Republicans
• Were led by Thomas Jefferson
• Believed people should have
political power
• Favored strong state governments
• Emphasized agriculture
• Favored strict interpretation of
Constitution
• Were pro-French
• Opposed national bank
• Opposed protective tariff
The Election of 1796
Chapter 9, Section 3
Republican Candidates
Thomas Jefferson for President
Aaron Burr for Vice President
vs.
Federalist Candidates
John Adams for President
Thomas Pinckney for Vice President
The Winners
• John Adams for President
• Thomas Jefferson for Vice President
Section 3 Assessment
Chapter 9, Section 3
One issue the first political parties clashed over was
a) which should be stronger—the central government or the state governments.
b) whether the United States should expand beyond its original borders.
c) whether George Washington should be permitted to retire.
d) whether the Supreme Court should be allowed to declare laws unconstitutional.
In 1796, the person with the most votes became President, and the person with the
second highest number of votes became Vice President. One problem this caused in the
election of 1796 was that
a) the votes had to be counted twice.
b) candidates for President and Vice President had to run together on the same
ticket.
c) the views of the opposing candidates were the same.
d) the people chosen as President and Vice President were from opposing parties.
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Section 3 Assessment
Chapter 9, Section 3
One issue the first political parties clashed over was
a) which should be stronger—the central government or the state governments.
b) whether the United States should expand beyond its original borders.
c) whether George Washington should be permitted to retire.
d) whether the Supreme Court should be allowed to declare laws unconstitutional.
In 1796, the person with the most votes became President, and the person with the
second highest number of votes became Vice President. One problem this caused in the
election of 1796 was that
a) the votes had to be counted twice.
b) candidates for President and Vice President had to run together on the same
ticket.
c) the views of the opposing candidates were the same.
d) the people chosen as President and Vice President were from opposing parties.
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The Second President
Chapter 9, Section 4
• How did John Adams handle the conflict
with France?
• Why did the Federalist party split?
• How did the Alien and Sedition acts raise
the issue of the rights of states?
• What role did Congress play in the
election of 1800?
John Adams and the Conflict With France
Chapter 9, Section 4
•
•
•
•
•
•
•
France objected to Jay’s Treaty. The French said it favored
Britain.
French ships began to seize American ships.
Adams sent diplomats to Paris to discuss the rights of neutral
nations.
The French foreign minister sent three agents to offer the
Americans a deal. The agents asked for a $250,000 bribe and a
$10 million loan to France before they would talk.
Adams told Congress. Because he called the French agents X,
Y, and Z, the incident became known as the XYZ Affair.
The country would not pay the bribe, but Adams refused to ask
Congress to declare war on France.
Instead, Adams strengthened the navy by building frigates,
fast-sailing ships with many guns.
The Federalist Party Splits
Chapter 9, Section 4
Hamilton and his
Federalist supporters
wanted a war with
France.
• War with France would
weaken the Republican
party.
• War would force the
United States to build
up its military forces.
This would increase
federal power.
Adams and his
Federalist supporters
wanted to avoid war
with France.
• Adams wanted to keep
the country out of
European affairs.
• He sent American
diplomats to France.
The new French leader
agreed to stop seizing
American ships.
The Alien and Sedition Acts and States’ Rights
Chapter 9, Section 4
During the crisis with France, Federalists passed the
Alien and Sedition acts.
Alien Act
• The President could expel any alien thought to be
dangerous to the country.
• The number of years immigrants had to wait to
become citizens was raised from 5 to 14.
Sedition Act
• Sedition means stirring up rebellion against a
government. Under this law, citizens could be fined or
jailed for criticizing the government or its officials.
The Alien and Sedition Acts and States’ Rights
Chapter 9, Section 4
Jefferson and the Republicans opposed the Alien and Sedition
acts. Jefferson argued that states had the right to nullify, or
cancel, a law passed by the federal government. Kentucky and
Virginia passed resolutions supporting Jefferson’s view.
Kentucky and Virginia resolutions
• These resolutions claimed that each state “has an equal
right to judge for itself” whether a law is constitutional.
• If a state decides a law is unconstitutional, the state can
nullify that law within its borders.
• These resolutions raised the issue of states’ rights. Does
the federal government have only those powers listed in the
Constitution? If so, the states possess all other powers.
Congress and the Election of 1800
Chapter 9, Section 4
• Republicans backed Thomas Jefferson for
President and Aaron Burr for Vice President.
Federalists supported John Adams.
• Republicans won the popular vote.
• In the electoral college, Jefferson and Burr each
received 73 votes.
• The election went to the House of
Representatives to decide.
• After four days and 36 votes, the House chose
Jefferson as President and Burr as Vice
President.
Section 4 Assessment
Chapter 9, Section 4
Federalists angered the Republicans when they passed the Alien and Sedition
acts, which said that
a) American diplomats could not pay bribes to foreign agents.
b) foreigners could never become citizens.
c) under certain circumstances, citizens could rebel against the
government.
d) citizens could be jailed for criticizing the government or its officials.
The issue of states’ rights raises questions about
a) whether the federal government should have a strong military force.
b) the President’s power to expel aliens.
c) whether Kentucky and Virginia had the right to pass resolutions.
d) which powers belong to the federal government and which belong to
the states.
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Section 4 Assessment
Chapter 9, Section 4
Federalists angered the Republicans when they passed the Alien and Sedition
acts, which said that
a) American diplomats could not pay bribes to foreign agents.
b) foreigners could never become citizens.
c) under certain circumstances, citizens could rebel against the
government.
d) citizens could be jailed for criticizing the government or its officials.
The issue of states’ rights raises questions about
a) whether the federal government should have a strong military force.
b) the President’s power to expel aliens.
c) whether Kentucky and Virginia had the right to pass resolutions.
d) which powers belong to the federal government and which belong to
the states.
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