The Rise of Political Parties and the Era of Jefferson

AP US History· difficulty 4/5

Hamilton's Financial Program (1790-1791) Proposal Purpose Fund debt at par Establish U.S. credit Assume state debts Tie states to nation Bank of U.S. Stable currency, credit Excise on whiskey Revenue source Protective tariff Encourage manufacturing Opposed by Jefferson, Madison

Hamilton's financial program is best understood as an effort to:

  • A

    Reduce federal power by transferring debts to the states

  • B

    Eliminate the Bank of England's influence in U.S. trade

  • C

    Strengthen the federal government and align wealthy interests with its success

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  • D

    Expand the agrarian economy at the expense of merchants

Explanation

By funding debts, creating a national bank, and taxing to support credit, Hamilton sought a strong central government linked to commercial elites—provoking Jefferson's opposition.

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