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Funding and Assumption
The Federalists, lead by Hamilton, see it as a way to stimulate the economy, show unity and encourage investments by taking on credits. Jefferson, who lead the Democratic-Republicans, see it as a way to benefit only the rich and the north and also as a plan that is way too open for corruption. -
National Bank
Federalist saw it as a way to stimulate economy through commerce and trade. Democratic-Republicans thought it would centralize the federal government's power too much in the northern states which would lead to the southern states being undermined and nearly powerless. -
Before the First Party System
Majority of Americans saw political parties as dangerous and separative. However, due to conflicting ideas in the ways of governing and managing the problems of the U.S., the First Party System slowly emerged. Hamilton's Federalist party advocated for a centralized government, were mostly northern city merchants and followed the example of British ruling. The Democratic-Republicans were against the British, were southern farmers and pushed for stronger state governments. -
Tariffs
Federalists saw it as a way to increase the country's revenue in order to aid in the rebuilding process after the revolution. Democratic-Republicans thought that it would cause more conflict based on past experiences when the people protested against the tariffs placed on goods by the British. -
The Whiskey Rebellion
Washington, supported and encouraged by the Federalists, ultimately shut down the rebellion with an overwhelming army of 12,000 soldiers. Democratic-Republicans were enraged by Washington's actions and thought that the Farmer's rebelling against the tax on whiskey was justified because the people had the right to rebel to a law that they see is unjust. -
Jay's Treaty
Federalists wanted to negotiate peace with Britain and put aside the issue of British impressment on U.S. ships in turn for peace. Democratic-Republicans was angered by the treaty because they wanted all British influence out of the country and Jay's treaty. First treaty that showed the clear division between the two parties during the vote. -
Adam's Administration
Washington stepped down and John Adams replaced him as president. This change in presidency secured the Federalist majority in the government for Adams' term and increased the rivalry between the two parties. -
Alien and Sedition Acts
Federalists ratified the act to break up the growing Democratic-Republican party and to increase federal power. The Democratic-Republicans saw the acts as a direct attack and worked to declare the law unconstitutional. -
Kentucky and Virginia Resolutions
A direct response from the Democratic republicans to the Alien and Sedition Acts. They claim that the states should be able to declare a federal law null and void if they saw it fit. Their main goal was to strengthen the authority of the states government. -
The Election of 1800
It was the first election in which parties were of great importance. The results of the election, which was Jefferson as president and Burr as vice-president, marked a shift from a previously Federalist government to a Democratic-Republican government. During Jefferson's term, the number of Federalists in the government were reduced. -
The Louisiana Purchase
Although Jefferson was concerned that the Louisiana purchase would be unconstitutional, he went through with the plan anyway to increase U.S. territory and solve the problems with the western farmers and also to take control of the Mississippi river which is crucial for trade. Some Federalists opposed it because it shifted power to the Democratic-Republicans due to the new states being more agricultural based. -
Embargo Act
The British were taking U.S. ships and abducting seamen which caused Jefferson and Congress to pass the embargo act, stopping trade with Britain which also in turn affected U.S. economy, especially merchants. Connecticut and Massachusetts, who were mostly merchants and mostly Federalists, opposed the embargo act due to this and smuggling became active. This conflict resulted in Connecticut and Massachusetts declaring the embargo act illegal and threatening to secede from the union. -
Hartford Convention
A secret meeting held by Federalists in Hartford, Connecticut. It was in order to discuss the War of 1812 which was taking a serious toll on the nation's economy. They thought the war was unnecessary. The result were the lost of support for the Federalist party which eventually lead to the party's end. The U.S. once again had a one party system.
