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XYZ Affair
France (angered by Jay’s treaty and Britain’s favorable nation status) began attacking American shipping. Adam’s sent three representatives to negotiate a settlement but French agents (X, Y, Z) demanded a bribe before negotiations. Congress abrogated the French alliance and prepared for war but Adams never declared it (Federalists pushed for war but Republican sympathies remained with France). -
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Problems w AOC
The AOC afforded almost no power to the national government which led to lots of problems.
Congress had no power to impose taxes--financial crisis (national debt, inflation) No provision for a military = individual state forces (costly, ineffective, disorganized) Congress = no control over foreign affairs, so individual states began separately negotiating with foreign governments. Constant disputes between states. AOC failed. Revisions were in order. -
Shays' Rebellion
In an attempt to pay off the state debt, Massachusetts levied heavy taxes which resulted in deflation and foreclosures. This hit farmers particularly hard. Shays and a group of farmers rebelled against the government. The Mass. gov appealed to congress for help but congress had no legal power (under the AOC) to help. Private persons had to commission troops to put down the rebellion. -
The Constitutional Convention
Delegates assembled in Philly to revise the AOC, but decided to scrap it completely. They began a new document with some fundamental principles in mind:
-independent state gov and a federal gov
-central government had the right to levy taxes, regulate commerce, and maintain an army
-Great Compromise, Three-Fifths Compromise
-GW as President
The Constitution had to be ratified by 3/4 of the states -
Hamilton's Financial Plan
Hamilton wanted to assume state debts and establish a national bank. Southerners opposed assumption because northern states held most of the debt and southern states had already paid off most of their war debts. (Ham strikes a residency deal w the Virginians to settle this). Bank debate (strict vs. loose construction). Bank was a huge success. Ham hoped to shift the economy away from agriculture towards manufacturing and speculation. -
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American Shipping
The war created a high demand of American goods but British and French armies were attacking American shipping to prevent the opposing side from receiving goods. The British navy was proving detrimental to the American ships and Washington sent John Jay to negotiate with the British -
Proclamation of Neutrality
Stating that America was impartial in the French Revolution. Jefferson and the Republicans favored France; Hamilton and the Federalists favored England. -
Jay's Treaty
Although American indebtedness and fear of a Franco-American alliance disposed Britain to reach an agreement, the treaty favored Britain. American concessions: pre-revolutionary debts to England, limited trade with British West Indies, Britain would receive most favored nation status (no discriminatory duties) British concessions: agreed to evacuate posts in the west (still didn’t happen) British rejected Jay’s attempt to gain recognition of neutrality rights on the high seas -
Pinckney's Treaty
Spain (fearing an Anglo-American alliance) gives US right of deposit at New Orleans and free navigation of the Mississippi river -
Election of 1796
Jefferson vs. Adams. Adams won. Jefferson acted more as a leader of the Republican party than a VP during the term and undermined Adams every chance he got. -
Alien and Sedition Acts
Federalists, fearing that the Republicans would side with the French if war broke out, pushed a series of repressive measures through congress.
-increasing citizenship requirements
-granting the president authority to expel aliens
-making it illegal to spread malicious criticism towards government officials
-attempted to silence Republican newspapers -
Kentucky Virginia Resolves
Jefferson and Madison thought that the Alien and Sedition Acts were unconstitutional because they violated the first amendment. They said that a state could declare an act of congress unconstitutional. Neither state attempted to implement these resolves.