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Political Parties
Groups formed because people disagree on how the government should run.
Cabinet
Advisory body to the president, consisting of the heads of the executive departments.
Judiciary Act of 1789
Legislation that established the federal judiciary, including 13 district courts and 3 courts of appeal.
John Jay
First Chief Justice of the United States.
Tariff of 1789
A tax on all imports entering the U.S. to generate revenue.
Bonds
Financial instruments issued by the government to borrow money.
Creditors
Individuals or institutions that are owed money, who might support the government.
Speculators
People who buy assets, such as bonds, at low prices in hopes of selling them at a profit.
Compromise of 1790
Agreement where the South accepted Hamilton’s financial plan in exchange for the capital being moved to the South.
Bank of the United States
A bank created in 1791 to manage national debt, issue bank notes, and promote trade.
Implied Powers
Powers not explicitly listed in the Constitution but deemed necessary to implement the government’s functions.
Enumerated Powers
Powers explicitly stated in the Constitution granted to the federal government.
Whiskey Rebellion
A 1794 uprising of farmers against a tax on whiskey, demonstrating federal authority.
Federalists
Political party led by Alexander Hamilton, supporting a strong national government and trade.
Democratic-Republicans
Political party led by Thomas Jefferson and James Madison, advocating for agrarianism and states' rights.
Agrarianism
Belief in the importance of independent farmers and agricultural interests.
North vs. South
Socioeconomic divisions caused by differing interests, such as industry versus agriculture.
Hamilton's Financial Program
Plan to stabilize the American economy through the issuance of bonds and the establishment of a national bank.
Madison's Opposition
Concerns about the constitutionality of the Bank of the United States, based on limited federal powers.
Commerce Concerns
Jefferson’s belief that excessive commerce could lead to the corruption of government by the wealthy.
Regional Economics
Variations in economic interests between regions, influencing political beliefs and party formation.
Strength of the New Government
Demonstrated by the federal response to the Whiskey Rebellion.
Strong National Government
Federalist belief in a centralized authority to handle national issues and economic interests.
Support for Agriculture
Democratic-Republican emphasis on farming and rural interests as the backbone of the economy.
Commercial Trust
Trust in the government's ability to manage finances by redeeming bonds at full value.
Northern Supporters
Federalists primarily supported by merchants and those in industrialized regions.
Southern Supporters
Democratic-Republicans primarily supported by farmers and agrarian interests in rural areas.
Washington's Troop Response
Action taken by President Washington to quell the Whiskey Rebellion, showcasing federal authority.
Political Divisions
Emergence of distinct political parties based on differing economic beliefs and regional interests.
The Impact of Speculation
Concerns that speculation benefits only those who could afford to buy low and profit at the expense of others.
Democratic Values
Core principles that informed the Democratic-Republican stance against excessive governmental control.