Describe the methods and policies Alexander Hamilton used to put the federal government on a sound financial footing?

Four Part Plan:

1. pay all of our debts( in full)

-funding in par:pay debts at 100% face value

-assumption=federal government takes all of the states' debts(all states are tied together)

-compromise: if all accept assumption clause, big change must occur: Capitol must be in South (Virginia, DC)

1. tax/tariff on all imports

-(long term view that America would become an industrial country) America would be successful

1. tax on whiskey

   -more taxation without representation, blames Hamilton

   -Whiskey Rebellion

   -is the government strong enough to maintain this tax?

   -Washington crushes revolt, 13,00 troops

   New Government is strong, they handled it

2. national bank

• store government money

• lend to industry

• Print money