Washington’s Presidency

1. Washington’s Presidency Unit 3, Lesson 2

2. Essential Idea • America became economically stable but politically divided under Washington, and it faced foreign policy challenges.

3. Congress’ First Actions • Cabinet: • Congress created a group of advisers, the cabinet, to assist Washington • Secretary of State- Thomas Jefferson • Secretary of Treasury- Alexander Hamilton

4. Congress’ First Actions • Judiciary Act of 1789: • Created the federal court system • Established district courts, appeals courts, and the Supreme Court

5. Congress’ First Actions • Bill of Rights: • James Madison wrote the Bill of Rights • These amendments protect individual rights and limit the federal government’s power • Major Amendments: • 1st- Freedom of expression • 4th- No warrantless searches • 5th- Due process of law, no double jeopardy, freedom from self-incrimination, eminent domain • 6th- Speedy public jury trial, right to lawyer • 10th- Powers not listed for federal government are reserved for states • The Bill of Rights

6. Funding the Government • Economic Issues: • Federal government needed a strong economy and to raise revenue to fund itself • Tariffs: • Tariffs are taxes on imported goods • Tariffs raise money to pay for the government • Tariffs helped the economy by protecting American businesses from foreign competition • However, foreign countries put tariffs on American exports • The plan: • Alexander Hamilton developed an economic plan for the country

7. Hamilton’s Financial Plan • Part 1: • Tariffs and excise taxes • Details: • Tariff of 1789- Congress passed this tariff on foreign imports • Congress also passed an excise tax on whiskey • This paid for the government and Hamilton’s financial plan • Reactions: • North favored it because it protected American businesses • South and West were angry because their exports were taxed by other countries • South and West were hit hardest by whiskey tax

8. Hamilton’s Financial Plan • Part 2: • Pay back war bonds • Details: • The government paid back money citizens had loaned (war bonds) to pay for the Revolutionary War • Reactions: • North favored this since they owned most war bonds • South and West mad because taxes that hurt them were used to pay back Northern-owned bonds

9. Hamilton’s Financial Plan • Part 3: • Assumption of state debts • Details: • Federal government paid debts states owed • Reactions: • North favored this since they were in the most debt • South and West did not like giving the federal government more power

10. Hamilton’s Financial Plan • Part 4: • Bank of the United States • Details: • The BUS managed the country’s economy, national debt, and national currency • Reactions: • North favored this and owned the most stock in the BUS • South and West thought the BUS was unconstitutional

12. Political Parties Form • Disagreement over Hamilton’s Plan • Political Parties Form: • Debate over Hamilton’s financial plan, especially the BUS, split Congress into the first political parties • These parties were similar to the past Federalist and Anti-Federalist groups

13. Federalist Party • Party: • Federalist • Leader: • Alexander Hamilton • View on Hamilton’s Plan: • Favored Hamilton’s plan • Government Power? • Strong federal, weak states • Location of Supporters: • North • Types of Supporters: • Urban, wealthy, businessmen • Vision for country: • Economy based on manufacturing and commerce (trade)

14. Democratic-Republican Party • Party: • Democratic-Republican • Leader: • Thomas Jefferson • View on Hamilton’s Plan: • Opposed Hamilton’s plan • Government Power? • Weak federal, strong states • Location of Supporters: • South and West • Types of Supporters: • Less wealthy, farmers • Vision for country: • Economy based on agrarianism—small independent farms

15. The Whiskey Rebellion (1794) • The Whiskey Rebellion: • Western farmers were angry over whiskey tax • They terrorized tax collectors and disputed courts • Government Response: • George Washington PERSONALLY led 15,000 FEDERAL troops to crush the rebellion

16. Significance of Whiskey Rebellion • Significance: • Such action was impossible under the Articles of Confederation • Stopping the Whiskey Rebellion proved the strength of the new Constitution

17. American Foreign Policy Issues • Events in Europe: • The French Revolution, inspired by the American Revolution, got out of hand • France declared war on Britain • America traded with both countries • Political Reactions: • Federalists supported Britain due to their strong central government • Democratic-Republicans supported France due to their weak central government

18. American Foreign Policy Issues • Washington: • Decided on foreign policy of NEUTRALITY • America would not pick a side but would TRADE with both countries • British Reaction: • Neither Britain or France liked neutrality • Impressment- Britain captured American trade ships and kidnapped sailors • Britain also used their forts in western America to give Indians weapons to attack settlers with • Washington sent John Jay to Britain to avoid war

19. Jay’s Treaty • The Treaty: • Jay’s Treaty • Terms: • Britain could continue impressment • Britain agreed to give up forts in America (but did not) • Britain gave America “most favored nation” trading status (important) • Reactions: • Americans were furious with the terms • France and Spain worried that America was getting closer with Britain

20. Pinckney’s Treaty • The Treaty: • Pinckney’s Treaty • Terms: • Settled boundary between America and Spanish Florida • Spain let America use Mississippi River and New Orleans for trade • Reactions: • Relationship between Spain and America improved • Americans were happy due to new land and trade

21. Westward Expansion • American Settlers: • Settlers wanted to move to the fertile farmland in the Northwest Territory • Native Americans: • Indian tribes reacted angrily, formed a confederacy, and attacked settlers • Conflict and Compromise: • Battle of Fallen Timbers- American forces finally defeated Indian forces • Treaty of Greenville- drew a line to divide American territory into land for settlers and Indians