Hamiltons Financial Plans (oct 18, 1790 – aug 28, 1800)
Description:
Wanted to strengthen the central government by having the national government assume state debt
Wanted to shape public finance policies to favor the wealthy so that they are more likely to lend to the government → federal government would thrive → land owning class would get richer → prosperity would trickle down
Hamilton’s 5 point plan to pay off debt:
Assume state debts
States with a lot of debt (like Massachusetts) were happy and states with little debt (like Virginia) were pissed because they didn’t want to have to pay off another states’ debts
Create a national debt
Which also would unify the states
Create a national bank
Collect taxes
Create unified coin currency
Impose whiskey tax
Impose high tariffs (duties on foreign goods)
Which helps domestic industry expand
Protectionism: people are more likely to buy domestic products because they are cheaper than international ones
Added to timeline:
US History
Date:
