Why Party Politcs Developed After 1789 in the United States Essay

The creation of the first national bank in the United States was of utmost importance in setting precedence for how much power the constitution actually grants the government. The debate over whether to create a national bank raised many questions over the constitution that hadn’t been tested before. It also raised questions about what the government can do when the constitution has no written clause on a certain subject. In looking at the arguments from Alexander Hamilton, James Madison, and Thomas Jefferson regarding a national bank, people can find out more about how some of the leading founders of the Constitution wanted to see the United States government run.

At this time the government was funding its debt through private banks such as the Bank of North America and the Bank of New York. Not satisfied with the structure of American banking, Hamilton reported to Congress the need to establish a National Bank in December of 1790. The Senate created a committee to study Hamilton’s proposal. On the committee were men who shared Hamilton’s ideas in fiscal matters, and that of a strong federal government. One of the members, General Schuyler, was Hamilton’s father in law. It was of no surprise that a bill arose out of the committee supporting Hamilton’s plan to incorporate a Bank of the United States.

George Washington himself wanted to avoid a party system in America. Unfortunately, even when saying this he was part of the beginning of one of the first parties in United States politics. There have been many different parties surface since the beginning of the American political system. They all have different thoughts, policies, and motivations. Each party has come and gone, some have made significant contributions and others have not. The first split, and beginning of the party system, came with the differentiation between the Federalists and the Democratic Republicans. These two parties were extremely different in thought, design, and status of people involved. This paper, will deal with

3. What was Hamilton’s plan for debt reconciliation? Hamilton suggested funding the debt by selling government bonds, and further proposed that state debts be assumed by the national government. Why was Madison opposed to it? Madison believed that Hamilton's plan "was betraying the ideas of the American Revolution."

In the book Hamilton’s Blessing, Gordon uses economic history and theory to explore the start, rise and decline of the United States debt. Gordon opens his book by stating that this country was born in debt, and this debt has become so high that concerned individuals no longer think of it. Throughout the book, he traces the history of the national debt dating back from 1791, when the central bank of the United States was created, up to modern days. The intellectual architect of this creation was Alexander Hamilton, the first Treasury Secretary as well as a central figure who had a deep impact on the economic development of the United States. The title of the book clearly recalls Hamilton's statement that a national debt, "if not excessive,

30, Alexander Hamilton writes all about taxes and taxation in this essay. He has much to say about taxes and the good that they are doing in shaping the nation. He believes that the power to collect taxes when necessary is extremely important for the governmental success. Recently, someone tried to pick apart this essay and state that some senators had the power to limit that excessive amount of spending that the goverment has been up to lately. However, this essay came back into play and proved that idea wrong. Everything was set back into place because of Hamilton's brilliant

“In spite of the founders’ fears, two major-political factions – the Federalists and the Anti-Federalists were formed even before the Constitution was ratified.” Sidlow, 2015, P 143) Federalists wanted stronger national government and Anti-Federalist (Jefferson Republicans) wanted states’ rights and feared government could become too powerful. In the election of 1796 was the first time candidates from different political party systems held strongly opposed party principles and this time period defined political life as we know it. For the next twenty years the Jefferson Republicans dominated American Politics. In the 1820’s the Jefferson Republicans split into two groups, supporters of Andrews Jackson called their party the Democrats, and the other group called themselves the National Republican Party (Whig Party). During the 1840’s and 1850’s Democrats and Whigs competed for the White House and the two party system fully emerged

Despite the fact the founding fathers advised contrary to the establishment of political factions as the Constitution withstood the ratification process, a rift amongst men in President George Washington’s cabinet instituted the move toward the conception of political party. During the time period between 1791 and 1833, a two-party system had begun that demonstrated the philosophy of the Federalists and Democratic-Republicans. Although these two political groups were unyielding in their original ideas and beliefs, both had to change a few of their initial standpoints on numerous topics as they dealt with the truth of the government.

After Washington became president, people started forming political parties based on how they thought the government should be run. Washington did not like the idea of the country being divided into “factions,” as he called them. But the problem was that this was happening

Since the birth of the country, there have been many influences on its development. The economy in particular has been an area of great importance. Many people have been factors in the growth of the United States’ economy. Perhaps the earliest and most influential of these was Alexander Hamilton. As shown in his effective policies, such as assumption of Revolutionary War debts, practical taxation, formation of the National Bank, and views on manufacturing, Hamilton was a dominant force from the beginning. During his term as secretary of the treasury, he acted with the power and commanding force of a Prime Minister. None of the other founding fathers

The United States began as a weak, newborn nation that grew into a large, self-supporting country with a governing body unique to this time period. As the government grew and the nation prospered, the rise of leaders and political figures came about and with this, conflicting principles and ideology spawned, thus creating the first of the political parties; the Federalists and the Democratic-Republicans. Although the Federalists and the Democratic-Republicans ideology and stances on the power of the federal government, domestic economic policies and the group of constituents they represented differed vastly, members of both parties often compromised their own beliefs for the nation’s best interest as a whole.

Though both Alexander Hamilton and Thomas Jefferson served as members of President Washington’s cabinet, the two held very different views on the newly founded U.S. government, interpretation of its constitution, and the role of the “masses” in that government. These conflicting views would develop in two political parties, the Federalists led by Hamilton and the Democratic-Republicans led by Jefferson. Although both political parties presented enticing aspects, Hamilton’s views were much more reasonable and fruitful when compared Jefferson’s views; idealistic and too strict in reference to the constitution.

In the American nation, he developed love of regulation, efficiency and organization. Hamilton strongly showed that America must possess credit for the development of government operations, trade, industry and business activities. He stressed the importance of the central government to take over the debts of the state that were unpaid in the Revolutionary period (Scott, 2008). The central government was endorsed by the American Constitution to charge and collect taxes as well as pay liabilities (Robertson, 2005). Such operations can be professionally handled by a central bank. Therefore, Hamilton was characterized by thinking creatively and critically as he observed the potential of the trade industry’s immense power (Pancake, 1974).

The national debt has always been a major issue in and for the United States. In the past the nation was faced with this deficit as they were required to borrow money from foreign nations and its citizens as the government needed money to build up its empire. The nation obtained money from its citizens in the form of bonds which the government promised to pay back. Distrust accumulated when the government was unable to pay these bonds back. When Alexander Hamilton was appointed Secretary of the Treasury, he composed a resolution to the debt issue. This resolution, according to our textbook was to develop a more commercial/industrial economy as opposed to the agricultural based economy that was prevalent at the time. Hamilton viewed the debt as an asset. To further elaborate on Hamilton’s plan; he decided to fund debts by selling bonds which paid annual interest to holders, in order to pay these bonds Hamilton also proposed new tariffs and excise taxes. Hamilton’s plan would benefit the economy in 3 essential ways, by establishing a sense of economic credibility, earning support from wealthy citizens which would aid stability issues and benefit the nation as a whole in the future, and entice investors; similar to buying support from wealthy citizens would aid the nation as investors could build/fund utilities and resources for the nation. Hamilton’s plan would also redistribute wealth from farmers to merchants and from the South to the North. Naturally, Hamilton’s plan was

American history is filled with ups and downs. Starting out with only 13 colonies, America forcibly removed themselves from the one of the strongest empires in the world. Battling against political reform, the subtraction of resources from the motherland, the debt accrued by colonists, and the bank wars, America struggles to create a self-sustaining country.