A New Nation

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A New Nation

• Chapter 8

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Washington Leads a New Nation

• Chapter 7 1

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The First President
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The First President

• George Washington was elected as the first
  president of the US.
• John Adams became the first vice president.
• Many Americans feared a president would try to
  become king, but they trusted Washington.
• Washington said the president should be addressed
  as Mr. President.

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John Adams
George Washington
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• Congress set up 3 departments in the executive
  branch and President Washington appointed people
  to head those departments.
• State Department
• Handles relations with foreign countries
• Thomas Jefferson was the first Secretary of State
• Condoleezza Rice is the current Secretary of
  State

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• Treasury Department
• Handles financial matters
• Alexander Hamilton was the first Secretary of
  Treasury
• Henry M. Paulson, Jr. is the current Secretary of
  Treasury

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• War Department
• Provides for the nations common defense
• Henry Knox was the first Secretary of War
• Robert Gates is the current Secretary of Defense

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• Congress also created the office of attorney
  general to handle the govt legal affairs
• Edmund Randolph served as the first Attorney
  General

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• Together these departments became known as the
  Executive Cabinet.
• The Executive Cabinets job is to assist the
  President make critical decisions concerning the
  country.

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Hamilton and National Finances

• Chapter 7 2

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National Debt
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National Debt

• As secretary of the treasury, Alexander
  Hamiltons biggest challenge was paying off the
  national debt from the Revolutionary War.
• A national debt is owed by the US.
• The US owed about 11.7 million to foreign
  countries and about 40.4 million to US citizens.

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• Hamilton wanted to pay the foreign debt
  immediately and gradually repay the total value.
• During the war, the govt raised w/ bonds.
• Bonds are certificates of debt that carry a
  promise to buy back the bonds at a higher price.
• Bondholders who needed sold their bonds for
  less than the original value to speculators.
• Speculators are people who buy items at low
  prices.

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• The 2nd part of his plan caused disagreements b/c
  paying full value would allow speculators to make
  a profit.
• Thomas Jefferson thought this idea cheated
  bondholders who had sold their bonds at low
  prices.

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States Debts
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States Debts

• The states owed 25 million for Revolutionary War
  expenses.
• Hamilton wanted the federal govt to pay for
  21.5 million of this debt. He believed that
  this action would help the federal govt.
• The S., however, did not want to help the federal
  govt pay the debts of other states.

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• Hamilton knew in order to get his plan passed, he
  would need the help of southern representatives.
• Hamilton met w/ southern representatives and
  promised the moved the capital from the N. to the
  S.
• The compromise worked!! The capital was moved
  from Philadelphia to land between Maryland and
  Virginia.
• This land is known as Washington D.C.

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Jefferson Opposes Hamilton
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• Alexander Hamilton believed in a strong federal
  govt.
• Thomas Jefferson wanted to protect the powers of
  the states.
• Their conflict reflected basic differences in
  their opinions about democracy.
• Hamilton had little faith in the people and
  thought they could not make their own decisions
  unless they were wealthy. Jefferson, on the
  other hand, believed that it was the right of all
  people to rule the country.

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• Hamilton and Jefferson also fought over how the
  countrys economy should grow.
• Hamilton wanted to promote manufacturing and
  business. In addition, he wanted to pass higher
  tariffs.
• Jefferson worried about depending too much on
  business and manufacturing. He believed that
  farmers would be the most effective by this.
• A final disagreement between Hamilton and
  Jefferson was over the start of a national bank.

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• Hamilton wanted to start a national bank where
  the govt could safely deposit its money. The
  bank would also make loans to the govt and
  businesses.
• Both Jefferson and James Madison believed that
  Hamiltons plan gave too much power to the
  federal govt.
• Jefferson wrote to President Washington to stop
  the development of the national bank. However,
  Washington and Congress agreed w/ Hamilton and in
  1791 the Bank of the US was created.

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Challenges for the New Nations

• Chapter 7 3

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The Whiskey Rebellion
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The Whiskey Rebellion

• Alexander Hamilton placed a tax on whiskey. His
  actions led to a rebellion in the west.
• Many farmers used the surplus corn to make
  whiskey. They used this whiskey to trade for
  other goods they needed.
• 500 farmers w/ swords, guns, and pitchforks
  attacked tax collectors and burned down buildings.

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• This protest was known as the Whiskey Rebellion.
• President Washington personally took 13,000
  soldiers to crush the rebellion.
• The rebellion collapsed as soon as the army
  crossed the Appalachian Mts.

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Struggle Over the West
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Struggle Over the West

• The govt faced problems w/ Native Americans in
  the W.
• On many occasions, Native Americans turned to
  Britain and Spain for help.
• The 2 European nations jumped on the chance to
  prevent further American settlement.
• Washington signed treaties w/ Indians concerning
  lands in the west, yet many Americans ignored the
  treaties and moved onto the Indian lands.

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The French Revolution
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The French Revolution

• At first, many Americans cheered and supported
  the French overthrowing the govt.
• The French had helped the Americans gain their
  independence and their revolution seemed to
  embody many of the ideals of the American
  Revolution.
• However, this changed when the war became bloody,
  attacked religion and had a disregard for
  citizens liberties.

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• In 1793, France and Britain went to war. People
  in the S. sided w/ France while people in the N.
  sided w/ Britain b/c they traded w/ Britain.
• President Washington issued the Proclamation of
  Neutrality which
• Prohibited American citizens from fighting in the
  war
• Barred French/British warships from American
  ports
• Closed American seaports

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• The British began seizing American ships that
  traded w/ the French and made the merchants join
  the British navy.
• When the US made peace with the Native Americans
  in the W., the US and Britain signed the Jays
  Treaty. Jays Treaty did the following
• Britain agreed to withdraw from American soil
• Pay damages for ships they seized
• Allow American ships to trade w/ British colonies

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• The US even signed a treaty with Spain known as
  Pinckneys Treaty.
• In the treaty, Spain gave America access to the
  Mississippi River and destroyed their forts on
  American soil.

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Washingtons Farewell
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Washingtons Farewell

• Washington served 8 yrs as president and
  announced he would not run again for another 4
  yrs.
• Before Washington left the presidency, he issued
  the Farewell Address.
• In his address, Washington
• Said political parties are EVIL
• Do not have permanent alliances w/ foreign
  nations (dont trust foreign countries)
• Stay out of European affairs, let them handle
  their own business (mind your own business)

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John Adams Presidency

• Chapter 7 4

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The Election of 1796
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Election of 1796

• The election of 1796 began a new era in US
  politics.
• For the 1st time, more than 1 candidate ran for
  president.
• Political parties had begun to form. Despite
  Washingtons warnings about political parties,
  the rivalry between 2 parties dominated the 1796
  election.

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• Alexander Hamilton found the Federalist Party,
  which supported the federal govt and big
  businesses.
• Thomas Jefferson and James Madison found the
  Democratic-Republican Party, which wanted to
  limit the power of the federal govt.
• In the end, John Adams defeated Thomas Jefferson
  and became the 2nd president of the US.

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• Many people did not like John Adams b/c they saw
  him as cold and distant.
• However, they respected him b/c of his hard work,
  honesty, and intelligence.

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XYZ Affair
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XYZ Affair

• Early in his administration, Adams faced a
  problem w/ France.
• The French did not like the treaty the US signed
  w/ Britain. They viewed it as the US assisting
  the British in their war.

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• President Adams, wanted to avoid war w/ France.
  Therefore, he sent delegation to Paris to try to
  resolve the issue.
• The French foreign minister refused to meet w/
  the Americans.
• Instead, he sent 3 agents who demanded a bribe
  and a loan for France from the US.
• Adams referred to the 3 agents as X, Y, and Z,
  this became known as the XYZ Affair.
• The President urged congress to declare war on
  France.

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• Congress responded by creating the Navy
  Department and built warships.
• They also appointed George Washington as
  commanding general.
• Congress, however, never really declared war on
  France.
• Instead, the US and France fought an undeclared
  war naval battle.

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Alien and Sedition Acts
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Alien and Sedition Acts

• B/c the US had a lot of immigrants, they wondered
  if a war broke out w/ France, who would all the
  immigrants support.
• As a result, the US passed the Alien Act.
• Gave president the power to deport aliens he
  considered dangerous
• Made it difficult for immigrants to become
  citizens
• Made individuals live here 14 yr instead of 5 yrs
  to become citizens of the US

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• Congress also passed the Sedition Act.
• Made it a crime to speak, write, or publish
  false, scandalous and malicious criticism of
  the govt, Congress or the president.