1. Chapter 8.1 Washington takes Office

2. I. First President
April 1789 Washington traveled to New York, the nations capital to begin his term as president
The U.S. was excited to have him as president since he was a war hero with great leadership qualities

3. A. The Executive Branch
The constitution only provided an outline to run the country so Washington’s first job was to organize government
Congress began setting up gov. jobs like treasury, state dept, war dept. etc… the president would assign a leader or secretary for each department and of course they were war friends of Washington, this group
will become the presidents cabinet

4. B. Establishing the Judiciary
The court system was created which was made up of 6 justices who ran the court system
Lady Justice represents our judicial
System. She is blindfolded to show that
Our gov. does not look at the social or
Economic status of a person and she is
Holding the scales to show the weighing
Of both or 2 sides of a story

5. II Nations first major economic crises
The revolution left the new country in debt
They owed nearly 52 million which the gov. tried to pay back by issuing bonds to be purchased with the promise of repayment with interest
Many invested in America because they showed promise by winning the war but they also were taking a big risk

6. The new government was running on nothing, they couldn’t even afford to pay to move the president to the capital, Washington had to borrow money from his friends

7. II. Hamilton’s Financial Plan
Alexander Hamilton the Treasurer created a 3 part plan for the United States
1. Government would pay all state and national debt
2. they would open a national bank for gov. funds
3. They would impose high taxes to raise money for the government

8. A. Paying Debt
Paying this would be hard but Washington wanted the world to know that the U.S. was good on their word that they pay their debts
Many states helped by paying their own debts especially in the south, how ????
For this the U.S. was planning on building a new capital in the South (what could this be related too)

9. B. A National Bank
Second part of Hamilton’s plan was creating a national bank
This would protect the U.S. money and allow them to issue more paper money for the people
Many feared that this was giving to much power to the gov. but Hamilton pointed out that the Constitution states that they can do “whatever is necessary and proper” for the safety
and benefit of the country

10. C. High Tariff Tax
Final part of Hamilton’s plan was to tax on all imported goods which would raise more money for our government
This helps the industrial north but not the farming south because they make their own goods

11. III. The Whiskey Rebellion
In 1791 Congress created a tax on whiskey that was made and sold in the U.S. Since it was a popular drink they decided to make money off the Americans
This does just the opposite and creates a terrible revolt against the leaders of the country

12. Many back country farmers made extra money by making the whiskey from the corn they grow
They resented the tax and compared this to the British rule in the revolution
They also refused to pay the tax
They rebelled and even burned down homes of those trying to collect the tax
This becomes known as the Whiskey Rebellion

13. Washington responds quickley
He sent a Militia to Pennsylvania to control the rebels
When the rebels heard of the 13,000 troops coming they scattered and ran knowing what kind of man Washington was
This was the first test of leadership and Washington makes good on his name and handles it, also shows that rebells wont be tolerated

14. Ticket Out the Door!!!!
What issues led to the first major national economic crises and how did the U.S. try to get out of this?
Compare and contrast to our economic issues today???