1790-1812, DE USH

1. Hamilton’s Economic Plan

  • What was it?

    • A comprehensive strategy to stabilize the young nation's finances and promote economic growth.

    • Three main parts:

      • Assumption of State Debts: Federal government assumes debts incurred by states during the Revolutionary War to unify the nation financially.

      • Creation of the National Bank: Establish the Bank of the United States to manage debts, issue a stable national currency, and promote commerce.

      • Excise Taxes and Tariffs: Raise revenue through taxes (e.g., whiskey tax) and tariffs on imported goods to protect domestic industries.

  • What did it aim to achieve?

    • Build national credit to attract foreign investment.

    • Strengthen federal authority over economic policy.

    • Encourage industrial and infrastructural development.


2. Emergence of Political Parties

  • What were the parties?

    • Federalists:

      • Key leaders: Alexander Hamilton, John Adams.

      • Beliefs: Strong central government, support for industry and trade, close ties with Britain.

    • Democratic-Republicans:

      • Key leaders: Thomas Jefferson, James Madison.

      • Beliefs: Limited central government, agrarian focus, close ties with France.

  • Why did they emerge?

    • Disagreements over Hamilton’s financial plan, foreign policy, and the extent of federal power.

    • Federalists favored a loose interpretation of the Constitution; Democratic-Republicans preferred a strict interpretation.


3. Washington’s Proclamation of Neutrality (1793)

  • Purpose:

    • Avoid entangling the U.S. in European wars, especially the conflict between Britain and France after the French Revolution.

    • Protect U.S. trade interests and maintain stability in the young republic.

  • Impact:

    • Set a precedent for American foreign policy of non-involvement in European conflicts.


4. Hamilton vs. Jefferson’s Political Visions

  • Hamilton:

    • Advocated for a strong central government to manage national affairs and promote economic growth.

    • Supported a loose interpretation of the Constitution, allowing for implied powers like creating a national bank.

    • Emphasized industry, trade, and urban development.

  • Jefferson:

    • Favored states’ rights and a small federal government to protect individual freedoms.

    • Advocated a strict interpretation of the Constitution to limit federal power.

    • Focused on an agrarian society with independent farmers as the backbone of the economy.

  • Major disagreements:

    • National Bank: Hamilton saw it as essential; Jefferson viewed it as unconstitutional.

    • Foreign Policy: Hamilton supported Britain; Jefferson sided with France.

    • Economic Focus: Hamilton emphasized commerce and industry; Jefferson valued agriculture.


5. Whiskey Rebellion (1794)

  • What was it?

    • Farmers in western Pennsylvania protested against the excise tax on whiskey, which they viewed as unfairly targeting rural economies.

  • Why did it happen?

    • Whiskey was a key commodity for farmers, used both for trade and as a currency substitute.

  • Outcome and significance:

    • President Washington mobilized federal troops to suppress the rebellion, showing the federal government’s ability to enforce laws.

    • Strengthened the authority of the federal government but also highlighted rural discontent with centralized policies.


6. Alien and Sedition Acts (1798)

  • Who passed them?

    • Enacted by the Federalist-controlled Congress under John Adams.

  • What were they?

    • Alien Acts:

      • Increased residency requirements for citizenship from 5 to 14 years.

      • Allowed the president to deport non-citizens deemed dangerous.

    • Sedition Act:

      • Criminalized criticism of the federal government, targeting Democratic-Republican opposition.

  • Impact:

    • Viewed as an abuse of federal power and violation of free speech.

    • Led to backlash against the Federalist Party.


7. Virginia and Kentucky Resolutions (1798-1799)

  • Who wrote them?

    • Virginia Resolution: James Madison.

    • Kentucky Resolution: Thomas Jefferson.

  • What were they?

    • Arguments that states had the right to nullify federal laws deemed unconstitutional.

    • Direct response to the Alien and Sedition Acts.

  • Legacy:

    • Early articulation of states’ rights and the principle of nullification.


8. Marbury v. Madison (1803)

  • What was it?

    • Supreme Court case that established the principle of judicial review.

  • Why did it happen?

    • William Marbury sued Secretary of State James Madison for refusing to deliver his judicial appointment (one of John Adams’ "midnight judges").

  • Outcome:

    • Chief Justice John Marshall ruled that the Supreme Court had the authority to declare laws unconstitutional.

    • Strengthened the judicial branch.


9. Louisiana Purchase (1803)

  • What was it?

    • U.S. purchased Louisiana Territory from France for $15 million, doubling the nation’s size.

  • Why did it happen?

    • France, under Napoleon, needed funds for European wars.

    • Jefferson sought to secure control of the Mississippi River and expand U.S. territory.

  • Expedition:

    • Led to the Lewis and Clark Expedition, which mapped the territory and explored its resources.


10. Embargo Act; Non-Intercourse Act; Macon’s Bill No. 2

  • Embargo Act (1807):

    • Prohibited all U.S. exports to pressure Britain and France to respect American neutrality.

    • Backfired, devastating the U.S. economy.

  • Non-Intercourse Act (1809):

    • Replaced the Embargo Act, allowing trade with all nations except Britain and France.

  • Macon’s Bill No. 2 (1810):

    • Reopened trade with Britain and France, promising to halt trade with one if the other respected U.S. neutrality.


11. War of 1812

  • Causes:

    • British impressment of American sailors.

    • Interference with American trade.

    • British support for Native American resistance.

  • Key events:

    • Burning of Washington D.C. (1814).

    • Battle of New Orleans (1815): Major U.S. victory led by Andrew Jackson.

  • Outcome:

    • Treaty of Ghent (1814) ended the war without territorial changes.

    • Fostered American nationalism and weakened Native American resistance.


12. Development of National Culture

  • Republican Virtue:

    • Emphasis on morality, education, and civic responsibility to sustain a democratic republic.

  • American System:

    • Proposed by Henry Clay.

    • Aimed at uniting the country economically through:

      • Protective tariffs to promote industry.

      • A national bank to stabilize the economy.

      • Infrastructure improvements like roads and canals.