George Washington served as the first President of the United States and helped establish the structure and powers of the executive branch. He appointed the first Cabinet, including Alexander Hamilton as Secretary of Treasury and Thomas Jefferson as Secretary of State. Hamilton and Jefferson disagreed over the interpretation of Congressional authority, with Hamilton favoring a loose interpretation allowing more federal power and Jefferson preferring a strict interpretation reserving more powers for states. Washington's presidency established many precedents and saw the emergence of the first political parties in the United States.

1. President Washington
transforms the ideas of the
Constitution into a real
government.
George Washington
1st President of the United States

2.  State court decisions may be appealed to federal courts
 Judiciary Act of 1789
• Creates Supreme Court
• 3 circuit courts
• 13 district courts

3.  Washington Shapes the Executive Branch
 Washington elected first president of U.S. in 1789
 Executive branch is president, vice president
 Congress creates State, War, Treasury
Departments
President Washington (far right) meets with his first Cabinet:
(from left to right) Henry Knox, Thomas Jefferson, Edmund
Randolph (with back turned), and Alexander Hamilton.

4.  Alexander Hamilton becomes Secretary of Treasury
 Washington adds Attorney General
 These Department heads are Cabinet

5.  Hamilton and Jefferson in Conflict
 Hamilton:
• Strong central government led
by wealthy/educated
 Jefferson:
• Strong state, local government;
• People’s participation
 Hamilton has Northern support; Jefferson
has Southern/Western support
ALEXANDER HAMILTON
1755–1804
THOMAS JEFFERSON
1743–1826

6.  Hamilton’s Economic Plan
• U.S. owes millions to foreign countries,
• Private citizens
 Plan
• Pay foreign debt with money collected from excise
taxes and protective tariffs
• Create a National Bank
• Assume states’ debt
 Some Southern states have paid debts, against taxes to
pay for North

7.  Plan for a National Bank
 Hamilton proposes Bank of the United States:
• Funded by government/ private investors
• Issue paper money/handle taxes

8.  Disagreement over Congressional authority to
establish bank
 Debate begins over strict and loose interpretation of
Constitution
 Strict interpretation (Jefferson):
If it doesn't specifically say you can then you can't.
 Loose interpretation (Hamilton):
If it doesn't specifically say you can't then you can.

9.  The District of Columbia
 To win Southern support for his
debt plan, Hamilton suggests:
moving nation’s capital from
NYC to South
 Washington, D.C. planned on
grand scale; government seat by
1800Pierre L’Enfant
proposed a federal
capital of spacious,
tree-lined boulevards,
symbolizing the
freedom of the
young republic.

10.  Split in Washington’s cabinet leads to first U.S.
political parties
 Federalists and Democratic-Republicans
 Jefferson’s allies: Democratic-Republicans
 Hamilton’s allies: Federalists
 Two-party system established as two major parties
compete for power

12.  Protective tariff
• Import tax on goods produced overseas
 Excise tax
• Charged on product’s manufacture, sale, or
distribution

13.  Whiskey Rebellion
 Pennsylvania farmers refuse to pay excise tax on
whiskey (which Hamilton called a luxury but they
called a necessity). They used whiskey as a medium of
exchange in a barter system (like money)
 Beat up federal marshals, threaten secession, no major
loss of life
 Federal government shows it can enforce laws by
sending in militia

14.  Whiskey Rebellion:
A group of rebels
taking part in the
Whiskey Rebellion
tar and feather a
tax collector.

15.  Events in Europe sharply divide American public
opinion in the late 18th century.
French revolutionaries storm the Bastille
in Paris, France, on July 14, 1789.

16.  Reactions to the French Revolution
• Federalists pro-British
• Democratic-Republicans pro-French
 Washington declares neutrality, will not support either
side

17.  Jay’s Treaty
• Chief Justice John Jay
makes treaty with Britain,
angers Americans
• British evacuate posts in
Northwest, may continue
fur trade
• British do not agree to stop
seizing ships and sailors
United States
northern region
circa 1794

18.  Treaty with Spain
 Pinckney’s Treaty of 1795, or Treaty of San Lorenzo,
signed.
 Spain gives up claims to western U.S.
 Florida-U.S. boundary set at 31st parallel
 Mississippi River open to U.S. traffic

19.  Fights in the Northwest
 Miami tribe chief, Little Turtle, defeats
U.S. army
 Battle of Fallen Timbers
• General Anthony Wayne defeats
Miami Confederacy at Fallen
Timbers
 Miami sign Treaty of Greenville
• Give up southern 2/3 of Ohio
• Get less than actual value for land
The Miami war chief Little Turtle
negotiates with General Anthony Wayne.

20.  During his farewell address, Washington gave the
nation two pieces of advice:
1. Do not enter into permanent entangling alliances
2. Do not create political parties.
 While we ignored the second piece of advice, we
managed to stay neutral through the first several
presidents