The Constitution Era Summary

Challenges Facing the New Nation

• British Presence:
  • Great Britain initially honored their commitment to withdraw troops, but retained control over seven military posts beyond the original thirteen states.
  • This occupation was viewed as a affront to American national pride and a constant reminder of the government's inadequacy.
• Spanish Restrictions:
  • In 1784, Spain closed the lower Mississippi River to American commerce.
  • This action devastated American settlers west of the Appalachian Mountains whose livelihoods depended on river trade to transport goods to eastern and European markets.
  • The situation highlighted the need for a stronger central government capable of negotiating effectively with foreign powers.
• Trade Imbalances:
  • After the Revolutionary War, British merchants flooded the U.S. market with inexpensive manufactured goods.
  • Americans, eager to purchase these goods after wartime deprivation, heavily imported British products.
  • However, American exports to Britain remained low, resulting in a significant trade imbalance.
  • This imbalance worsened the post-war economic difficulties.
• Economic Instability:
  • From 1784 to 1786, the United States experienced severe economic hardship.
  • Congress struggled to raise funds due to the lack of authority to impose tariffs on imports.
  • The inability to pay national debts eroded public confidence, leading to unrest among unpaid veterans, private lenders, and foreign creditors.
  • Crop failures in some regions added to the economic distress.
• Failed Tariff Proposal:
  • In 1781, Congress proposed a 5 percent tariff duty to generate revenue and pressure Britain to ease trade restrictions.
  • Although most states agreed, Rhode Island's refusal to consent blocked the measure, as unanimous approval was required under the Articles of Confederation.
  • This defeat underscored the need to revise the Articles and grant more power to the central government.

Daniel Shays's Rebellion

• Background:
  • Massachusetts implemented high taxes to pay off state debts and maintain a stable currency.
  • These taxes disproportionately burdened farmers with moderate incomes, requiring them to pay about a third of their income annually.
  • Economic downturns and deflation led to foreclosures and imprisonment for debtors.
• The Uprising:
  • In the summer of 1786, western communities began forcibly preventing courts from convening to halt foreclosure proceedings.
  • Led by Daniel Shays, a Revolutionary War veteran, rebels marched on Springfield to prevent the state supreme court from meeting.
  • They also attacked the Springfield arsenal but were defeated by state troops, leading to the collapse of the rebellion.
  • Shays fled to Vermont.
• Reactions and Consequences:
  • Thomas Jefferson viewed Shays's Rebellion as a minor and necessary event for governmental health.
  • However, most affluent Americans saw it as "liberty run mad", with George Washington particularly concerned.
  • The rebellion highlighted the weakness of the central government, which was unable to provide assistance when Massachusetts requested it.
  • Private funds were used to suppress the uprising, underscoring the need for a stronger national authority.
  • The Massachusetts legislature eventually made concessions to address the rebels' grievances.

The Constitution

• Motivations for Reform:
  • There was a widespread desire to increase the power of Congress, but also a fear of creating an overly centralized government.
  • The amendment process under the Articles of Confederation required unanimous consent, proving to be ineffective.
• Annapolis Convention:
  • In March 1785, Virginia and Maryland representatives met to resolve a dispute over navigation on the Potomac River and proposed a conference of all states to discuss commercial problems.
  • The Annapolis Convention in September 1786 drew delegates from only five states, rendering it unable to propose meaningful changes.
• Alexander Hamilton's Role:
  • Alexander Hamilton, a strong advocate for centralization, proposed another convention in Philadelphia to address constitutional reform more broadly.
  • Hamilton believed that only drastic centralization could prevent national disintegration.
• Constitutional Convention:
  • Congress reluctantly endorsed Hamilton's proposal, and all states except Rhode Island sent delegates to Philadelphia.
  • The convention convened on May 25, 1787, with George Washington unanimously elected as its president.
  • Over four months, the delegates drafted a new framework for government: the Constitution.

The Constitutional Convention

• The Founders:
  • The delegates were remarkably talented, experienced in politics, and skilled in logic and debate.
  • They were aware of the historical importance of their task, with some comparing their opportunity to that of ancient lawgivers.
  • The founders were optimistic about their country's future, envisioning the establishment of a great empire.
• Key Principles:
  • The delegates agreed on the necessity of a federal system with independent state governments and a national government with limited powers.
  • They universally accepted the concept of republican government, drawing authority from the people and accountable to them.
  • A measure of democracy was considered essential, with citizens participating in the selection of lawmakers and leaders.
• Division of Power:
  • The framers aimed to prevent any single group from having unrestricted authority, viewing political power as a potentially dangerous force.
  • They believed in balancing the interests of different groups, protecting property rights, and preventing domination by any single state or faction.
  • Power was to be divided among different branches of government, each checking and balancing the others.
• Secrecy and Purpose:
  • The delegates agreed to keep the proceedings secret to avoid political posturing and ensure open discussion.
  • They decided to go beyond revising the Articles of Confederation and drafted an entirely new form of government.
  • This bold act was considered essential because, under the Articles, a single state could block any change.
  • Alexander Hamilton emphasized that the convention could only propose and recommend changes, with states retaining the power to ratify or reject them.

The Key Compromises

• Form of Government:
  • On May 30, 1787, the delegates voted to establish a national government with separate executive and judicial branches, along with a legislature.
• Powers of the National Government:
  • The central government was granted the power to levy taxes, regulate interstate and foreign commerce, raise and maintain an army and navy, and summon state militias to enforce laws.
  • The states were prohibited from issuing money, making treaties, and taxing imports or exports without Congressional approval.
  • This brought about a significant shift of power.
• Representation Debate:
  • Larger states, led by Virginia, advocated for representation in the national legislature based on population (Virginia Plan).
  • Smaller states wanted to maintain equal representation for each state (New Jersey Plan).
• The Great Compromise:
  • The delegates adopted the Great Compromise, which established a bicameral legislature.
    • The House of Representatives would have proportional representation based on population and be elected by popular vote.
    • The Senate would have two members per state, chosen by the state legislature.
• The Three-Fifths Compromise:
  • Northern and Southern delegates debated whether slaves should be counted for taxation and representation.
  • The Three-Fifths Compromise stipulated that "three-fifths of all other Persons" (slaves) would be counted for both purposes.
  • This compromise was a victory for the southern states, as direct taxes were rarely levied before the Civil War.
• Slave Trade:
  • A clause was added making it illegal for Congress to outlaw the African slave trade before 1808.
• Government Structure:
  • The final document, signed on September 17, established: a bicameral legislature, an executive branch (president and vice president), and a national judiciary (Supreme Court and lower courts). The House of Representatives was designed to represent ordinary citizens and was given the sole right to introduce revenue bills. The Senate was viewed as an advisory council representing the interests of the states and the wealthy.

Ratification by the States

• Constitutional Framework:
  • The Constitution created a powerful president with responsibilities for executing laws, commanding the armed forces, and overseeing foreign relations.
  • The president could appoint federal judges and other officials and had veto power over Congressional laws, subject to a two-thirds override.
  • Presidents were required to deliver periodic reports on the state of the union and recommend necessary measures.
  • The Electoral College was established to elect presidents, but the rise of political parties altered the electors' expected fragmentation.
  • A national court system was created to resolve disputes under U.S. laws and treaties.
  • Although the Constitution did not explicitly grant the right of judicial review, the courts soon began to exercise this power.
• Checks and Balances:
  • The Constitution expanded the powers of the central government while preserving the independence of the states.
  • Countervailing forces were built into the system to prevent misuse of power.
  • Key examples included: the separation of legislative, executive, and judicial functions; the president's veto power; Congress's power of impeachment; the Senate's ratification power; and the balance between Congress's war declaration power and the president's control of the armed forces.

Ratification Process

• State Conventions:
  • Inspired by Massachusetts's decision to submit its 1780 constitution to voters, the framers stipulated in Article VII that the Constitution be ratified by special state conventions.
  • This gave the Constitution legitimacy by representing the endorsement of the people.
• Federalists vs. Antifederalists:
  • Supporters of the Constitution called themselves Federalists.
  • Opponents were labeled Antifederalists.
  • Federalists were typically substantial individuals, professionals, well-to-do, and active in commerce.
  • Antifederalists often included small farmers, debtors, and those prioritizing free choice over power.
• Motives and Geography:
  • It is likely that most people did not support or oppose the new system for purely selfish reasons.
  • Geography played a significant role in the debate over ratification.
• Concerns and Assurances:
  • Some worried that a centralized republican system would not work in a large and diverse country.
  • Critics like Patrick Henry feared it would lead to monarchy.
  • The lack of explicit protections for civil liberties and states' rights raised concerns.
  • The promise of amendments guaranteeing these rights led to the disappearance of much of the opposition.
• Federalist Advantages:
  • Federalists excelled in political organization and persuasion, effectively countering arguments against the Constitution.
  • James Madison refuted claims that a centralized republican government could not function efficiently in a large country and argued for greater ability and sounder character in leaders managing national affairs.

Early State Actions

• Ratification:
  • Delaware ratified the Constitution unanimously on December 7, 1787, leading the way for other states.
  • Pennsylvania followed shortly after with a 2 to 1 majority.
  • New Jersey approved it unanimously on December 18, and Georgia did the same on January 2, 1788.
  • Connecticut ratified on January 9, 1788, with a vote of 128 to 40.
  • Massachusetts provided the first close contest, ratifying by a vote of 187 to 168 in early February after extensive debate; Maryland and South Carolina followed in April and May.
  • New Hampshire became the ninth state to ratify on June 21, 1788, making the Constitution legally operative. Virginia ratified soon after.
• New York:
  • New York politics were complex due to strong resistance to independence in 1776 and shifting factions among landowning and mercantile families.
  • New York City favored ratification, while rural areas opposed it.
  • The Antifederalists, led by Governor George Clinton, initially held a majority at the ratifying convention.
  • Alexander Hamilton supported the Constitution.

Hamilton's Financial Plan

• Structure:
  • The Constitution established a two-house legislature, an executive branch, and a national judiciary.
  • The House of Representatives was intended to represent the masses. The Senate was seen as representing the interests of the states and the wealthy.
• Key Players:
  • Washington took office as president in 1789 and established the practice of consulting department heads for advice, forming a presidential cabinet.
  • He appointed Hamilton as secretary of the treasury, Jefferson as secretary of state, Knox as secretary of war, and Randolph as attorney general.
  • Washington meticulously avoided interfering with Congress and stressed the dignity of the presidential office.
  • Congress established the State, Treasury, and War Departments, as well as a Judiciary Act to create federal courts.
• Bill of Rights:
  • Congress prepared a list of amendments known as the Bill of Rights, guaranteeing freedoms of speech, press, and religion, reaffirming the right to trial by jury, and guaranteeing the right to bear arms.
  • The Tenth Amendment reserved powers not delegated to the federal government to the states or the people.
• Taxation:
  • One of the first acts of Congress in 1789 was to exercise its power to tax by levying a 5 percent tariff on foreign products and higher rates on specific goods.
• Hamilton's Role:
  • In October 1789, Congress tasked the secretary of the Treasury, Hamilton, with straightening out the nation's finances and stimulating economic development.
  • Hamilton was a complex and ambitious figure with contradictions in his character.
  • Hamilton insisted on a strong national government and wished to reduce states to mere administrative units.

Report on Public Credit

• Key Points
  • The United States needed capital to develop its resources, requiring a commitment to meet all financial obligations fully.
  • Was a plan for the federal government to borrow money to pay its debts and those of the states.
• Opposition and Compromise
  • Many opposed Hamilton's proposal, favoring divided payments to the original holders of securities.
  • Hamilton argued the speculators earned their benefit by taking risks.
  • This plan deliberately favored the rich to gain their support for the government.
  • Northern states held most of the national debt, and Southern states had already paid off much of their debt.
  • In July 1790, Hamilton reached a compromise with Madison and Jefferson, exchanging Southern support for locating the capital on the Potomac River.
• Bank of the United States Proposal
  • Congress should charter a national bank. This institution would provide safe storage for government funds, serve as an agent for the government, and issue bank notes.
  • The bank could finance business enterprises and promote economic growth.
  • The Bank of the United States would be partly owned by the government, with 80 percent of the stock sold to private individuals.
• Concerns and the Implied Powers Doctrine
  • This proposal also benefited the wealthy commercial class.
    Hamilton's cleverness: government balances would earn dividends for rich investors; public funds would be invested in the bank; control would be in private hands.
  • Despite controversy, the bill passed Congress in February 1791.
  • Washington hesitated to sign it due to questions about its constitutionality; nowhere did the Constitution authorize Congress to charter corporations or engage in banking. Hamilton defended the bank's legality using the doctrine of "implied powers", arguing that if a logical connection existed between the bill and powers in the Constitution, the bill was constitutional. Jefferson disagreed, arguing that Congress could only do what the Constitution authorized.

Foreign Relations

• Washington's Reaction:
  • Washington accepted Hamilton's view and signed the bill, but politicians historically adopt flexible interpretations of the Constitution based on their preferences.
  • The Bank of the United States succeeded from the beginning, with investors eagerly buying its stock.
• Report on Manufactures(Hamilton):
  • He proposed government tariffs, subsidies, and awards to encourage American manufacturing to transform the U.S. from an agricultural nation into one with a complex, self-sufficient economy.
  • Although Congress did not enact the scheme, many of his tariffs to law in 1792.
  • The reforms facilitated a financial and economic transformation.
• Western Issues:
  • The British retained posts on American soil.
  • Western Indians resisted white settlement north of the Ohio River. In 1790-91, the Miami chief Little Turtle defeated Generals Harmar and St. Clair, leading Congress to authorize a regular army of 5000 men. By 1792, Indians drove whites into beachheads at Marietta and Cincinnati.
• Whiskey Tax:
  • Hamilton imposed an 8 cents a gallon excise tax on American-made whiskey in 1791 to pay for state debt assumption, angering Westerners who relied on whiskey production because the government agents could snoop into private affairs.

Whiskey Rebellion

• Rebellion in Pennsylvannia:
  • Resistance was high in western Pennsylvania, where agents were prevented from collecting the whiskey tax.
  • In the summer of 1794, 7000 rebels converged on Pittsburgh but were dispersed by federal artillery.
• Federal Response:
  • President Washington mustered nearly 13,000 militiamen to enforce the law; the rebellion was quelled.
• Battle of Fallen Timbers:
  • More significant than the militia was General Anthony Wayne's victory over the Indians at the Battle of Fallen Timbers in Ohio, opening the region western settlement.

Federalists and Republicans

• Origins
  • The emergence of national political parties occurred after the Constitution provided no mechanism for nominating candidates filled. Washington unified the government, but Hamilton and Jefferson had disagreements which led to partisan division. Hamilton's supporters were Federalists, and Jefferson's were Republicans.
• Ideologies:
  • Federalists were anxious, and Republicans favored a dictatorship based on mob-rule.
• Key Issues
  * After trading the assumption of state debts for a capital on the Potomac, Jefferson agreed with Hamilton. Hamilton's proposed National Bank benefited northeastern commercial classes at the expense of southern and western farmers. Two Treaties Open Up the West

International Relation Treaties

• Jay's Treaty (1795):
  • The British agreed to leave forts in the West, pay American ship owners some compensation, and open some colonies to American ships, however, Jay's Treaty committed the United States to paying pre-Revolutionary debts still owed British; nothing was said about the British compensating slaveowners for formerly enslaved people they had "abducted" during the war in the South.
  • Resulted in popular outcry.
    • It marked Anglo-American relations regularization.
• Pinckney's Treaty (1795):
  • Spain granted the United States free navigation of the Mississippi River and the right to unload cargo at New Orleans.
  • Accepted the American version of the boundary between Spanish Florida and the U.S.
  • Ended the pressures of European countries in the region, temporarily.
• The Treaty of Greenville (1795):
  • Twelve tribes surrendered sections of their lands.
  • Ended struggles that had consumed revenues for years.
• Impact:
  • Paved a foundation for settlers to head west, Kentucky became a state in 1792, and Tennessee in 1796.

Washington's Farewell

• His Concerns Were:
  • He deplored the effects of party and warned against entanglements with foreign affairs.
  • Washington urged the people to avoid both "inveterate antipathies" and "passionate attachments" to any foreign nation.
  • permanent alliances" should be avoided, although "temporary alliances for extraordinary emergencies" might sometimes be useful.

John Adams as President

• Washington's Impact
  • Washington's Farewell Address had little impact, as people saw it as a signal.
    Jefferson was the only Republican candidate for the office of President. The Federalist party nominated John Adams for the top office. It was discovered that some Federalist electors only voted for Pinckney
• Conflict
  • Adams had to work with the Virginian president. Without Washington for guidance, Federalist politicians were divided.

The XYZ Affair

• French Attacks
  • French attacks occurred on American shipping in order to influence the 1796 election when Adams took office. As a result, Adams appointed three to negotiate, but they were met with agents Talleyrand sent to demand a bribe.
• Declaration
  • The Americans refused. American honor was insulted. Later, Adams found himself a national hero.
• Build Up
  • Congress created a Nav Department. Washington came out of retirement as Hamilton was second in command.
• Moderation:
  • While Republicans did not appreciate Adams's moderation, other Federalists persuaded themselves, and there was the danger of subversion when Adams decided to call for war.

The Alien and Sedition Acts

• Issued by Federalists against opposition.
• Alien Enemies Act: President could arrest or expel aliens in declared war.
• Alien Act: President could expel aliens considered dangerous.
• Naturalization Act: Extended residence requirement for citizenship from five to fourteen years.
• Sedition Act: Illegal to publish criticism of government officials.

Kentucky and Virginia Resolutions

• Agreements from Thomas Jefferson:
  • Though he did not object to state sedition laws, he believed that the Alien and Sedition Acts violated free speech.
  • He and Madison drew up resolutions (Kentucky and Virginia Resolves), arguing that the laws were unconstitutional because the Constitution was a compact made by states, and they had the right to judge for themselves, they could declare a law passed by Congress unconstitutional.
  • The significance was to support Jefferson's campaign for president.
    Matthew Lyon of Vermont, holding tongs, and Roger Griswold of Connecticut, come to blows in Congress. After denouncing Adams's call for war against Spain, Lyon was convicted of violating the Alien and Sedition Acts. While serving a four-month jail sentence, he was reelected.
• Results of the Resolves:
  • Talleyrand discovered how vehemently Americans reacted at his attempt to make money so Adams was notified that the new negotiators would be properly received.
  • Hamilton wanted the states at war with Spain, and the government would control Americans, sweeping across Louisiana and the Floridas. But Puritan John Adams resisted, but ultimately the Franco-American treaties was the most resistant point.
  • The issue of the Kentucky and Virginia Resolves would loom large in the next century.