The Emergence of The The Emergence of The Two Party SystemTwo Party System

Alexander HamiltonAlexander Hamilton

Hamilton’s VisionHamilton’s Vision

The Rise of Political PartiesThe Rise of Political Parties

Enter Alexander Hamilton

• Washington appoints Washington appoints advisors based on advisors based on ability to run ability to run government government departments and calls departments and calls them to provide advice them to provide advice on a regular basis on a regular basis

• Alexander Hamilton is Alexander Hamilton is appointed Secretary of appointed Secretary of Treasury and Jefferson Treasury and Jefferson is the Secretary of is the Secretary of

Enter Alexander Enter Alexander HamiltonHamilton

• Intelligent, articulate Intelligent, articulate but an elitistbut an elitist

• Serves as an aide-de- Serves as an aide-de- camp to Washingtoncamp to Washington

• A staunch Federalist A staunch Federalist he supports a strong he supports a strong national governmentnational government

• Wants the nation to be Wants the nation to be ruled by an “aristocracy ruled by an “aristocracy of wealth and talent”of wealth and talent”

Enter Alexander Enter Alexander HamiltonHamilton

• He is an elitist and believes that America’s aristocracy should rule

• Hamilton believes that the common man cannot be trusted in positions of government and power

• He believes that only the elites are capable of running a government but, he does not trust them with power as well

The Money Question

• Hamilton is appointed as Secretary of Treasury, Hamilton is appointed as Secretary of Treasury, he proposes a national bank which is supported he proposes a national bank which is supported by Congress. Washington is hesitant to support by Congress. Washington is hesitant to support it.it.

• Hamilton argues that Constitution gives Hamilton argues that Constitution gives government “implied powers” to do what is government “implied powers” to do what is necessary for the country.necessary for the country.

• Jefferson disagrees with Hamilton, stating the Jefferson disagrees with Hamilton, stating the Constitution does not say anything about Constitution does not say anything about creating a national bank.creating a national bank.

• Washington is swayed by Hamilton and a Washington is swayed by Hamilton and a national bank is created and is a successnational bank is created and is a success

Hamilton and Jefferson

The Money Question

• Washington is Washington is swayed by swayed by Hamilton and a Hamilton and a national bank is national bank is created and is a created and is a successsuccess

• Jefferson strongly Jefferson strongly opposed it and opposed it and feared that a feared that a precedent of precedent of federal supremacy federal supremacy had been sethad been set

Hamilton’s Report on Public Credit

• Hamilton proposes Hamilton proposes that debt would be that debt would be funded by the funded by the government to government to maintain the “honor maintain the “honor and prosperity of and prosperity of the United States”the United States”

• The success on this The success on this plan rested on the plan rested on the success of a tariffsuccess of a tariff

Hamilton’s Hamilton’s Report on Report on ManufacturesManufactures

• Hamilton wants the Hamilton wants the nation to become more nation to become more economically and economically and industrially diverseindustrially diverse

• He proposes tariffs on He proposes tariffs on foreign goods and that foreign goods and that government take an government take an active role in laying the active role in laying the ground work for the ground work for the economy of the nationeconomy of the nation

The Rise of Political Parties

• Both Jefferson and Both Jefferson and Hamilton greatly Hamilton greatly disagreed on disagreed on fundamental issues fundamental issues and would become and would become leaders of two leaders of two different types of different types of political thoughtpolitical thought

• Their disagreement Their disagreement over a National Bank over a National Bank will be the divisive will be the divisive issueissue

The Rise of Political Parties

• JeffersonJefferson• Opposes a Bank of Opposes a Bank of

the United Statesthe United States• Support the Support the

French RevolutionFrench Revolution• Supported the Supported the

FrenchFrench• Favored the Favored the

farmer farmer

• HamiltonHamilton• Supported a Bank Supported a Bank

of the United of the United StatesStates

• Is against the Is against the French RevolutionFrench Revolution

• Supported the Supported the BritishBritish

• Supports business Supports business and the wealthyand the wealthy