Hamilton's Plan
The Opposition
The Compromise
Vocab
100
What was the first step in Hamilton's plan?
The government would buy up state and federal bonds.
100
Why didn't some think speculators deserved the money they "earned"?
Because they didn't have to work for it, they were just willing to take the risk.
100
What did the southerners want?
A new capital city farther in the south.
100
What does the word "precedent" mean?
It means to set an example for those to follow.
200
Why was the U.S. in debt in the first place?
They were lent money from countries and people for the Revolutionary War, but they couldn't pay them back.
200
Who led the opposition?
James Madison
200
Where would the capital stay for now?
Philadelphia
200
What is "national debt"?
The total money a government owes.
300
What was the second step in Hamilton's plan?
The government would sell new bonds to pay off the old ones.
300
Why were some against the plan?
They had already paid off their state debts and didn't want to help other states or the federal government pay off theirs.
300
Who was able to convince Congress to vote for their side?
Alexander Hamilton
300
What is a bond?
A certificate that promises to repay the money plus interest on a certain date.
400
Why did Hamilton think the national debt needed to be repaid?
So other countries would trust the U.S. and loan them money again.
400
Name a state from where most people wouldn't like Hamilton's plan.
Anywhere in the south.
400
When would the new capital be done?
1800
400
What is a speculator?
Someone willing to invest in a risky venture in the hope of making a large profit.
500
What was the last step in Hamilton's plan?
When the economy improved, the government would be able to pay off the new bonds.
500
Give the job of a person that would be against the opposition.
Bankers, investors, or any job in the money/business industry.
500
What was Hamilton's compromise?
If they accepted his plan, he'd have his fellow northerns vote for a new capital in the south.
500
What is a tax?
A mandatory contribution to revenue
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