USH Economic Issues - Era of Good Feelings

Envisioned an America of small farmes

Thomas Jefferson

Agrarian economy

Based on agriculture

Believed the economy should be a mix of agriculture, industry (manufactured goods), and commerce (businesses buying and selling goods and services)

Alexander Hamilton

Industrialization

The shift from agrarian economy to an industrial economy

Capitalism

Requires individuals or individuals as part of companies to own their resources

Adam Smith

Wrote the Wealth of Nations which emphasizes people should be free to compete to create better and cheaper goods and services

Secretary of The Treasury

Appointed to Alexander Hamilton by Washington

Secretary of State

Appointed to Thomas Jefferson by Washington

• Supported tariffs (taxes on imports) to pay off the nation’s debt

• Used the necessary and proper clause (elastic clause) to establish the national bank

Hamilton

Opposed Hamilton’s plan and wanted state banks instead

Jefferson

The Whiskey Rebellion

Occurred when Hamilton wanted to levy a whiskey tax on farmers in Pennsylvania, Maryland, Virginia, and North Carolina

Washington’s administration

Showed it could enforce the nation’s law

Proclamation of Neutrality

Made by Washington and states the US should not get involved in foreign conflicts

Settlers and Native Americans

Washington believed settlers would move westward and the settlers and Native Americans could not live together peacefully

Washington’s farewell address

Emphasized 3 things

1. The US should stay neutral and avoid permanent alliances with other nations

2. He believed good government is based on religion and morality

3. He warned that political parties would cause people to work for their specific interests, rather than for the public good

Political parties

Warned by Washington that they would cause division and conflict and create opportunities for tyrannical leaders

Avoid choosing favorite allies

Washington warned to avoid doing this in order to avoid becoming entangled in foreign conflicts (the French Revolution) that could weaken the US

Foreign policy

Federalists: neutrality with good relations with Britain; supported Jay Treaty

Democratic-Republicans: Opposed Jay Treaty and supported the French Revolution

Economic Policy

Federalists: Wanted to grow manufacturing and industry, supported tariffs supported by the wealthy and business people

Democratic-Republicans: Believed in an agricultural economy, Opposed tariffs, and supported states’ rights

National Banks

Federalists: YES

Democratic-Republicans: NO

Interpretation of the Constitution

Federalists: Loose constructionists

Democratic-Republicans: Strict constructionists

The Sedition Act

Allowed the government to arrest people who said or printed negative, false statements about the president or the government

(Pres. John Adams)

The Alien Act

Gave the government the power to arrest and deport foreigners it viewed with suspicion

(Pres. John Adams)

The Alien and Sedition Acts

Used to silence people who opposed them

Jefferson and Madison saw it as abuses of power

(Pres. John Adams)

The Virginia and Kentucky Resolutions

Produced by Jefferson and Madison which claimed a state did not have to obey or enforce a federal law if believed to be unconstitutional

Gave the state legislatures the power to nullify federal law

(Pres. John Adams)

The XYZ Affair

An attempt by French officials to bribe American diplomats

Louisiana Purchase

Doubled the size of the US

(Pres. Thomas Jefferson)

Lewis and Clark expedition

Mapped the Louisiana territory and led to the establishment of the Oregon Territory

(Pres. Thomas Jefferson)

Oregon Trail

Helped the US move settlers west

(Pres. Thomas Jefferson)

Embargo Act of 1807

Stopped trade with Britain and hurt the American economy

(Pres. Thomas Jefferson)

Barbary pirates

Defeated by the US which demonstrated the United States’ ability to defend its interests overseas

(Pres. Thomas Jefferson)

The Marshal Court

• Strengthened the power of the federal government

• Marbury v. Madison established judicial review which allows the Supreme Court to determine if laws are unconstitutional

Domestic Issues

• Congress outlawed the international slave trade in 1807

• The Twelfth Amendment required the president and vice president to run together on the same ticket.

Causes of the War of 1812

1. Impressment of American sailors (cartoons)

2. Sectional differences between the north and south over trade with Britain (New England opposed the war and southerners and westerners supported the war because they were fighting Native Americans who were encouraged to attack the Americans)

3. Conflict with Native Americans and Tecumseh

Consequences of the War of 1812

• The US could defend itself and protect its interests

• Kept the Mississippi River and the frontier open which encouraged more western migration

• The Federalist Party was destroyed by its opposition to the war

• American Indians were unable to stop westward expansion.

The Era of Good Feelings

Created nationalism or pride and unity

The Adams-Onis Treaty

Required Spain to five up Florida and any claim in Oregon. It set the boundary between the Louisiana Purchase and Spanish land in the west

The Monroe Doctrine

Claimed the US would defend against European nations recolonizing North and South America