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Chapter
8 Section 1
Warm-up:
1. Why do you think the United States is in financial
trouble today?
2. How should we pay off debt if it costs us more to live
then what we make?
3. What do you think will happen if we don’t take care of
our finances now?
Washington Takes Office
Chapter
8 Section 1
Objectives
• Explain why the new nation faced an economic
crisis.
• Identify the three parts of Hamilton’s financial
plan.
• Describe how Washington responded to the
Whiskey Rebellion.
Washington Takes Office
Chapter
8 Section 1
Learning Target
Students will be able to identify ways
George Washington dealt with the
financial crisis?
Success Criteria…
I know I’ve got it when I can explain Hamilton’s
Plan to pay off the nation’s debt and answer
questions about our nation’s debt today.
Washington Takes Office
Chapter
8 Section 1
How did President Washington set the
course for the new nation?
President Washington set precedents for
the nation by choosing top advisors to
form his Cabinet and by establishing the
court system.
Washington Takes Office
Chapter
8 Section 1
In April of 1789,
George Washington
began his term as
the first President of
the United States.
His inauguration
was held on April 30,
1789.
Washington Takes Office
Chapter
8 Section 1
Washington had several reasons to feel anxious as
he started his term as President.
The country
was divided
on many
issues.
His actions
would set a
precedent.
Washington Takes Office
The new
nation
depended on
him.
Chapter
8 Section 1
The first job of the President and the
Congress was to put a working government
in place.
Congress passed laws to set up the three
departments of the executive branch.
Treasury
State
Washington Takes Office
War
Chapter
8 Section 1
Washington appointed four well-known men as his
top advisors. This group later became known as
the Cabinet.
Alexander Hamilton
Secretary of the Treasury
Thomas Jefferson
Secretary of State
Henry Knox
Secretary of War
Edmund Randolph
Attorney General
Washington Takes Office
Chapter
8 Section 1
Washington also established a judiciary, or court
system.
Supreme Court
Circuit Courts
District Courts
Washington Takes Office
Chapter
8 Section 1
Washington also faced the challenge of
America’s significant debt.
The American
colonies
needed money
for the war.
The new
government owed
money to its
investors.
Americans and
foreigners bought
bonds to help the
war effort.
Washington Takes Office
Chapter
8 Section 1
The nation’s economic crisis was complicated by
the issue of speculators.
Speculators had
bought bonds
from the original
buyers for less
than they were
worth.
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If the government
paid its debt,
speculators
would make a
profit. Many
Americans
thought this was
unfair.
Chapter
8 Section 1
The new
government was
not collecting
enough money
to repay its
debt. It needed
new sources of
income.
Washington Takes Office
Chapter
8 Section 1
Washington Takes Office
Chapter
8 Section 1
Estimated Amount
The U.S. Currently
Owes 2014
The current government is still not
collecting enough money to pay its
debts.
$17,425,000,000,000.00
Washington Takes Office
Chapter
8 Section 1
$3,900,000,000,000.00
$18,155,307,000,000.00
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Projected Total
Income In The U.S.
For 2015
Estimated Amount
The U.S. Currently
Owes
Projected Estimated
Cost to Run the U.S.
Government in 2015
The current government is still not
collecting enough money to pay its
debts.
$3,180,000,000,000.00
Chapter
8 Section 1
Washington Takes Office
Chapter
8 Section 1
What is the annual salary of…
Member of the U.S. House of Representatives:
$193,400.-$223,500./Year
Member of the U.S. Senate:
$174,000.-$223,500./Year
Member of the U.S. Supreme Court:
$213,900.-$223,500./Year
Vice President of the U.S.:
$230,700./Year
President of the U.S.:
$400,000./Year
Washington Takes Office
Chapter
8 Section 1
Go to the following website and answer the questions on in your notebook.
www.usdebtclock.org
1. What do you see happening on this website?
2. How much does this debt clock say the U.S. owes?
3. Approximately how much does this debt equal per U.S. citizen?
How much per tax payer?
4. What will the projected national debt be in the year 2019?
5. How much will this equal to per U.S. citizen?
Click on State Debt Clocks in the top left corner…go to Wyoming...
6. What is the population of Wyoming?
7. How many people are unemployed in the state?
8. How many people receive food stamps?
9. What is the total state debt in Wyoming?
10. How much does this equal to per Wyoming citizen?
Washington Takes Office
Chapter
8 Section 1
Washington Takes Office
Chapter
8 Section 1
Secretary of the Treasury Alexander Hamilton
developed a plan to solve the financial crisis.
Pay all federal and
state debts
The
government
would:
Create a national
bank
Impose a high tax
on imported goods
Washington Takes Office
Chapter
8 Section 1
Many Southerners opposed Hamilton’s plan for
the government to repay state debts.
Hamilton
believed his
plan would
encourage
future investors.
Southerners
thought each
state should
repay its own
debts.
Southerners supported Hamilton after Congress
agreed to build the new capital city in the South.
Washington Takes Office
Chapter
8 Section 1
In 1791, Congress created the National
Bank. Americans disagreed over whether the
Constitution gave government this power.
Supporters pointed
out that the
Constitution gave
Congress the power
to make all laws
“necessary and
proper” for fulfilling
its duties.
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Opponents believed
a national bank was
unconstitutional,
because it was not
specifically
addressed in the
Constitution.
Chapter
8 Section 1
Congress did not pass Hamilton’s tariff plan. In
1791, it imposed a tax on all U.S. whiskey.
This led to a
farmer’s revolt
known as the
Whiskey Rebellion.
Washington sent
troops to end the
revolt.
Washington Takes Office
Chapter
8 Section 1
Objectives
• Explain why the new nation faced an economic
crisis.
• Identify the three parts of Hamilton’s financial
plan.
• Describe how Washington responded to the
Whiskey Rebellion.
Washington Takes Office
Chapter
8 Section 1
Cool-Down:
1. Why do you think the United States is in financial
trouble?
2. How should we pay off debt if it costs us more to live
then what we make?
3. What do you think will happen if we don’t take care of
our finances now?
Washington Takes Office
Chapter
8 Section 1
Assignment:
On the Left-side page next to your Debt Clock Questions…
Write a letter to Congress…
Explain what you think should be done to deal with the
financial crisis in the United States right now. Include ways
that the current crisis affects you and your family personally,
and your concerns for the future.
Follow the instructions on the next couple of slides.
Washington Takes Office
Chapter
8 Section 1
Write a letter to Congress explaining your feelings about the financial crisis in
the United States and what you think should be done to deal with it.
Think Locally:
It’s usually best to send your letters to the representative from your local Congressional
District or the senators from your state. Your vote helps elect them—or not—and that fact
alone carries a lot of weight. It also helps personalize your letter.
Letters should be 3 paragraphs and should include the following…
1.
Say who you are and why you are writing. List your credentials and include your name and address.
2.
Provide more detail. Be factual not emotional. Provide specific rather than general information about
how the topic affects you and others.
3.
Close by requesting the action you want taken: a vote against or for a bill, or a change in general policy.
*The best letters are courteous, to the point, and include specific supporting
examples.
Washington Takes Office
Chapter
8 Section 1
Date:
The Honorable (full name)
(Room#) (Name) Office Building
United States Senate
Washington, DC 20510
Greeting…
Dear Senator/President/Representative (Name),
Paragraph 1:
Say who you are and why you are writing. List your credentials and include your name and address.
Paragraph 2:
Provide more detail. Be factual not emotional. Provide specific rather than general information about how the topic affects you
and others.
Paragraph 3:
Close by requesting the action you want taken: a vote against or for a bill, or a change in general policy.
Closing… (Choose one of the following)
Cordially,
Sincerely Yours,
Truly Yours,
Your Name:
Your Address:
Washington Takes Office
Chapter
8 Section 1
Addressing Members of Congress
To Your Senator:
The Honorable John Barrasso
307 Dirksen Senate Office Building
United States Senate
Washington, DC 20510
The Honorable Michael B. Enzi
or 379A Russell Senate Office Building
United States Senate
Washington, DC 20510
To Your Representative:
The Honorable Cynthia M. Lummis
113 Cannon House Office Building
United States House of Representatives
Washington, DC 20510
____________________________________________________________________
Addressing The President:
The Honorable Barack Obama
The White House
1600 Pennsylvania Avenue NW
Washington, DC 20500
Washington Takes Office
Chapter
8 Section 1
Terms and People
• inauguration– a ceremony in which the
President takes the oath of office
• precedent– an example to be followed by
others in the future
• bond – a certificate issued by a government for
an amount of money that the government
promises to pay back with interest
• speculator– a person who invests in a risky
venture in the hope of making a large profit
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Chapter
8 Section 1
Terms and People (continued)
• unconstitutional – contrary to what is
permitted by the Constitution
• tariff – a tax on imported goods
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