1. The Constitution in Action
Washington unanimously selected as president by Electoral College, April 30, 1789
John Adams selected as Vice-President

2. Presidential Issues Use of Mississippi River
Protection of people’s rights
Government finances (DEBT)
World Opinions

3. Presidential Happenings
Organizes a Cabinet
Secretary of State – Thomas Jefferson
Secretary of Treasury – Alexander Hamilton
Secretary of War – Henry Knox
Attorney General – Edmund Randolph
Judiciary Act of 1789
Passed by Congress, establishes Federal Court System
Supreme Court, Chief Justice (John Jay), 5 Associate justices
13 District Courts and 3 Circuit Appeals Courts

4. The Bill of Rights Concession to the Anti-Federalists
Steered by James Madison
First Ten Amendments to the Constitution added in 1791
9th and 10th deal specifically with the powers of the government and the people
9th - Unenumerated Rights – people have rights that are not listed in the Constitution
10th - powers not Delegated to the federal Gov’t. are Reserved for the states

5. Alexander Hamilton "Father of the National Debt"
Goal – establish a sound financial base for the country, bind the wealthy to the new country
How – 1. Pay off all war debts at face value
2. Impose a Protective & Revenue Tariff that will protect and promote American industry
3. Create a National Bank for tax deposits, supplier of sound currency and loans for business interests

6. Opinions Vary Supported by Northern Merchants
Opposed by Southern Anti-Federalists led by Thomas Jefferson
Compromise – Debts will be paid off, the capital will be built along the Potomac River (Assumption Bill) on land donated by Virginia & Maryland
Tariffs are lower than Hamilton wished, in place Congress will place an Excise Tax on Whiskey (Rebellion)

7. The Bank – A Constitutional Issue
Jefferson – bank was not Constitutional, based on a word for word view of the Constitution or literal / strict construction, Amendment X, would favor the rich and wealthy interests
Hamilton – bank is “necessary and proper”, read between the lines or a loose/ broad construction view of the Constitution, Article I, Section VIII paragraph 18, bank will be depository of government funds, promote business through stable currency and loans, Bank is chartered in 1791 for 20 years

8. Political Parties
Cabinet infighting between Jefferson & Hamilton leads to countries first political parties
Belief that Hamilton’s plans are hurting states rights
Jefferson supporters are known as Democratic- Republicans, today’s Democrats
Hamilton supporters are known as Federalists, today’s Republicans

9. Homework
Read pages 192 to 198 stop at The Impact of the French Revolution…