-
National Debt
Hamilton's biggest problem is paying off debt from The Revolutionary War. The United States owed about $11.7 million to foreign countries and about $40.4 million to U.S citizens. When the United States went to war, they raised by bonds. Bonds are certificate of debt that carry a promise to buy back the bonds at a higher price. That was Hamilton's idea. -
States' Debts
The states owed $25 million for Revolutionary War expense. Hamilton wanted the federal government to pay for $21.5 million. He thought by doing this it would help the Federal Government. But the south did not want to help the Federal Government and other states. They thought that this action was unfair. Hamilton knew that he needed the help of the South. -
Moving Capital
Hamilton was a smart man. He knew he had something to bargain with. The Southern officials wanted to change the nations capital. It was currently in New York. The south thought that it gave the northern states too much power having the capital in New York. They thought it gave the Northern states to much influence over National Policy. -
Differing Views
Hamilton wanted a strong, successful government for the "mass of the people" and the upper class citizens. Jefferson disagreed with Hamilton's decisions on this subject. But Jefferson thought that the people should rule themselves. -
Economic Differences
Hamilton and Jefferson disagreed on many subjects. Another one was the Country''s economy and how it will grow. Hamilton wanted to promote manufacturing and business. He suggested that the government should give out an award to companies that made excellent products. Jefferson believed that farmers where the most independent voters. They did not not depend on other people. -
Hamilton's Plans for a National Bank
Hamilton wanted to make a national bank so that the governments money could be protected safely. Hamilton also thought they should make a national mint. That is where they deposit coins and make them. Hamilton knew that the people who wanted to protect sates would react strongly to this idea. He suggested that it to a 20 year plan. And after the plan was up Congress could decide if they wanted to keep the bank. -
Jefferson Opposes the Bank
Both Jefferson and Madison thought that his plans for the economy gave to much power to the government. They also thought that the Constitution did not let them create/build a bank. They thought that the constitution restricted to much from the People.