A New Government Begins Is the sun rising or setting?

In 1787 at a Constitutional Convention, Benjamin Franklin was waiting to sign a document that would hold the fate and destiny of our nation. As he stood, his eyes fell upon a carving on the back of George Washington's chair, a carving of half a sun. He stared thoughtfully at it for a minute, then proclaimed words that would be remembered forever, "I have often looked at that picture behind the president without being able to tell whether it was a rising or setting sun. Now at length I have the happiness to know that it is indeed a rising, not a setting sun."

Executive: George Washington  Precedent: guide for future leaders  Washington’s actions were going to be followed by future Presidents.  Vice President: John Adams  Can you think of a Precedent set by Washington that is followed today?  Want to know one that is not followed today?

The Cabinet: Departments  State, War, Treasury.  The Department heads are called Secretaries.  Jefferson, Hamilton, and Henry Knox.  Attorney General Randolph

Restoring the Nations Credit After the Revolutionary War. U.S. Still is in serious Debt. *Can’t effectively run the country *Can’t Repay war debts to… a)Individuals b)Foreign Nations c)State Governments

Alexander Hamilton “ As on the one hand, the necessity for borrowing in particular emergencies cannot be doubted, so on the other, it is equally evident that to be able to borrow upon good terms, it is essential that the credit of a nation should be well established.” What is Hamilton saying in the quote above?

Hamilton’s View of America

Hamilton’s Views:  Hamilton thought that the war debts must be paid off to establish good credit and faith in our new government.  Government should be controlled by the rich and well born.  The people who have the most invested in government should get the best return on their investment.  The Govt. needs the support of the business people to remain strong.

Hamilton on achieving success for the economy of the U.S… “ Industry is increased, commodities are multiplied, agriculture and manufacturers flourish: and herein consists the true wealth and prosperity of a state.” * Report on a National Bank, Dec. 13, 1790

Government Bonds:  Farmer buys a bond, a certificate issued by the government in exchange for a loan of money.  More and more of this bonds are sold.  Over time, bonds become almost worthless as they are not paid back.  Farmer decides to sell bond at fraction of a price to wealthy speculators.  Speculators demand that their “hard earned money” is paid back to them in full.  The farmer goes into debt, and the speculator gains wealth.

Hamilton’s Bank Proposal  Hamilton wanted to have a national bank. 1) Safe place to provide government funds. 2) Sound uniform currency. 3) Source for loans to assist the government in emergency or expansion. Hamiltonian Hangman: A national bank would provide??? ___ ___ ___ ___ ___ ___ ___ ___ ___

Answer??? S T A B I L I T Y

Hamilton vs. Jefferson  The Federalists, led by Adams & Hamilton, believed in a strong national government and industrial economy and were supported by bankers and business interests in the Northeast.  The Democratic Republicans, led by Thomas Jefferson, believed in a weaker national government and an agricultural economy. They were supported by farmers, artisans, and frontier settlers in the South.

Jefferson’s View of America

Election of 1800

Election of 1800:  Jefferson Wins!  For the first time, power is peacefully transferred from one political party to another.  Mudslinging:  Papers claimed that the election of Jefferson would cause the “teaching of murder, (and) robbery.”  Bibles and all other Books would be burned…

Election of 1800

Review Questions:  Who was in Washington’s first cabinet?  Why did Hamilton say all war time debts should be paid off?  What was the difference between Hamilton and Jefferson?  Who wins the election of 1800 and why was it significant?