Perfectly suited for the office, Hamilton would create a lasting legacy as Secretary of Treasury. Hamilton�s first accomplishment was to have the national government assume the state debts in order to establish firm national credit. In doing this, Hamilton created the National Debt, which we still have today. Hamilton believed, as do many modern economists, that a properly managed dept would strengthen the economy rather than weaken it (Bailey 193). Hamilton�s next project was to create a National Bank, which would validate currency and stabilize the economy. This plan faced fierce opposition from then Secretary of State Thomas Jefferson. Jefferson believed that the federal government could do nothing that was not explicitly defined in the Constitution. Hamilton argued that the government needed to interpret the Constitution as it would best serve the people. Jefferson�s theory became known as strict interpretation while Hamilton�s idea was termed loose interpretation. To support his theory, Hamilton wrote the Document of Implied Powers, in which he stated that government had implied powers as granted by the Constitution. This document was later upheld by the Supreme Court. Hamilton won the debate and Washington signed a bill creating the first national Bank of the United States. Hamilton believed that all men were driven by personal motive and the secret to being a successful leader was to find how to use that motive for the common good. This belief made him an incredibly effective debater and negotiator.
Hamilton also created excise taxes and custom duties, which supported American merchants and trade, but hurt farmers and common citizens. Disagreement over this spawned the first political parties. The Jeffersonian Republicans supported the agrarian lifestyle, strict interpretation of the Constitution, states rights, and rule by the common man. Once an ally of Hamilton, Madison threw his support to Jefferson, and the Republicans slowly began to gain control of the government. Hamilton�s conservative Federalists supported loose interpretation of the Constitution, a powerful national government, and rule by the rich and able. Hamilton�s support in congress began to wane and personal financial problems began to surface. These two dilemmas, coupled with a highly publicized affair led Hamilton to resign from Treasury Secretary in 1795.
Hamilton remained a prominent lobbyist and led his party into the first major political race, the election of 1796. Jefferson received the Republican nomination and John Adams opposed him as the Federalist Candidate. Hamilton probably would have been the candidate if not for his habit of making more enemies than friends. Hamilton supported Adams only because of his hatred of Jefferson, but their relationship was a weak one, and this conflict help to lead to the demise of the Federalists. Adams� presidency was a trouble one, and just before the election of 1800, Hamilton publicly criticized Adams, practically securing a Republican victory. Republicans Jefferson and Burr tied for the presidency and Hamilton sent his support to his archenemy Jefferson, who won the election. Hamilton�s idea of loose construction did shine through into Jefferson�s presidency, when he made the Louisiana Purchase. Hamilton supported the act, though he was one of the only Federalists who did.
Hamilton�s pattern of attacking politicians would eventually cost him his life after he engineered the defeat of Aaron Burr in his bid for New York governor in 1804. Burr challenged Hamilton to a duel. Hamilton accepted the challenge but refuse to fight, as his son had recently been killed in a duel. Burr mortally wounded Hamilton, ending the life of one of our most prominent and ingenious founding fathers.
Forging a lasting legacy, Hamilton achieved much during his short life. Hamilton was instrumental in forming the Constitutional Convention and his Federalist Papers secured the ratification of the new government. Not only that, the Federalist Papers are viewed as the best explanation of our government. He may be best remembered, though, for his tenure as Treasury Secretary. Hamilton created the ideas of a National Debt, a National Bank, and protective tariffs, just to name a few. By creating the Federalist Party, Hamilton helped foster the current system of American politics. The Constitution has survived for over 200 years, and this longevity would probably not have happened without Hamilton�s idea of loose construction. Alexander Hamilton single handily created the United States� credit, securing the future of this great nation. Alexander Hamilton, though born as an illegitimate child in the West Indies and killed in a duel at the age of forty-nine, will be remembered as a founder of the new nation and one of the most innovative statesmen of his time. Today, his dream lives on with the New Federalist Party.
Bibliography
Bailey, Thomas A. Kennedy, David M. and Lizabeth Cohen. The American Pageant. Boston: Houghton Mifflin Company. 1998.
O�Brien, Steven. Alexander Hamilton. New York: Chelsea House Publishers. 1989.
Schachner, Nathan. Alexander Hamilton. New York: MrGraw-Hill Book Company, Inc. 1952.
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