As young Alexander Hamilton’s visionary proposal, began taking the form of concrete laws, there were many in the Congress who opposed the new laws. This group, led by prominent members like Jefferson, gradually brought about a split within the Congress.

Supporters of Hamilton’s program were called the federalists. While the opposition group called itself the Republicans. In time these two groups developed into two district political parties. The federalists represented the interests of the businessmen and traders; while the Republicans defended the interests of the big farmers and the rights of the states over the union. The Republicans feared that Hamilton’s proposals would affect the interests of farmers. Their supporters mainly included both small and big farmers, as well as city workers.

On the other hand, Hamilton’s group drew its strength from public creditors, bank shareholders, businessmen and merchants. This group advocated a strong union, which should, if necessary decide over the affairs of the state.

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Table of Contents

4.0 - Chronology of Major Events in this Period
4.1 - The Hamilton Reports
4.2 - About the Constitution
4.3 - Emergence of Political Parties
4.4 - Foreign Affairs
4.5 - The XYZ Affair
4.6 - The Louisiana Purchase
4.7 - The War of1812
4.8 - Points to Remeber

Chapter 5