1. Hamilton v Jefferson
USH 1.6

2. I. Two parties
The two party system started with Alexander Hamilton and Thomas Jefferson
Both supported ratifying the Constitution
Both served in Washington’s cabinet
Hamilton was Secretary of Treasury
Jefferson was Secretary of State
Differences started w/Hamilton’s economic plan

3. II. $43 Million Hamilton wanted to issue bonds
Scoreboard
Hamilton – 1 Jefferson – 0
II. $43 Million
Hamilton wanted to issue bonds
Jefferson and James Madison didn’t want to pay off bondholders
Many original owners had sold them dirt cheap
Most of the people getting paid were cheating the government
Congress approved the plan

4. II. $43 Million Hamilton wanted the gov’t to assume the states’ debts
Scoreboard
Hamilton – 2 Jefferson – 0
II. $43 Million
Hamilton wanted the gov’t to assume the states’ debts
Northern states said yes b/c they owed a lot
Southern states said no b/c they had already paid off much of theirs
Compromise reached said gov’t would assume debts AND capital would move south (Washington DC)

5. Scoreboard
Hamilton – 3 Jefferson – 0
II. $43 Million
Hamilton wanted to start a national bank to hold revenues and a source of loans to spur growth
Jefferson & Madison said the Const didn’t specifically allow Congress to do so
Hamilton said “necessary and proper” clause allowed Congress to do things to help the US
Congress and Washington said yes

6. II. $43 Million Hamilton wanted a protective tariff
Scoreboard
Hamilton – 3 Jefferson – 1
II. $43 Million
Hamilton wanted a protective tariff
Tax to raise the price of imports to protect US industries
Jefferson thought US depended on farmers and didn’t want to promote industry
Congress did not pass the tariff

7. II. $43 Million Hamilton wanted to tax whiskey
Scoreboard
Hamilton – 4 Jefferson – 1
II. $43 Million
Hamilton wanted to tax whiskey
Raise revenue and control drinking habits
J & M supported farmers turning grain into liquor for transport
Whiskey Rebellion was western PA farmers attacking tax collectors
Washington personally led troops

8. III. Federalists Supported Hamilton Wanted strong central gov’t
Mostly wealthy northerners w/few rich southern plantation owners
Loose interpretation of the Constitution
Wanted to expand trade and industry

9. IV. Democratic-Republicans
Supported Jefferson and Madison
Limited central gov’t
Strong state gov’t
Supported by “common man”
Strict interpretation of Constitution
Opposed industrialization
Modern Democrats

10. V. Foreign Policy
When French Rev turned violent, Jefferson & Madison still supported it
Thought Declaration of the Rights of Man was similar to the Declaration of Independence
Hamilton still supported England in their fighting of France

11. V. Foreign Policy
Alien and Sedition Acts were designed to silence opposition of the Adams administration
John Adams was a Federalist
The Acts stopped Dem-Reps from speaking out.