The Jefferson Era
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Jefferson and Albert Gallatin, secretary of the treasury, reduced the national debt and cut down on military expenses. Jefferson also limited the number of federal government workers
Government got rid of most federal taxes. They only collected customs duties, or taxes on imported goods
the Spanish allowed American goods to move freely in their territory. In 1802, the Spanish suddenly changed their policy, no longer allowing American goods to move into and beyond New Orleans
Government got rid of most federal taxes. They only collected customs duties, or taxes on imported goods
the Spanish allowed American goods to move freely in their territory. In 1802, the Spanish suddenly changed their policy, no longer allowing American goods to move into and beyond New Orleans
Jefferson learned that Spain and France had secretly agreed to transfer the Louisiana Territory to France. Jefferson believed that France had also gained Florida in its secret agreement with Spain.
Congress authorized Robert Livingston, the new minister to France, to offer as much as $2 million for New Orleans and West Florida in order to gain control of the territory even though they did not have authorization to buy the whole territory. After a few days of negotiation, the parties agreed on a price of $15 million |
The expedition had another goal: finding and mapping the fabled Northwest Passage, a water route across North America. In order to trade with Asia
The Louisiana Purchase troubled Federalists in the Northeast. They feared the westward expansion would weaken New England's power in political and economic affairs In 1785 the ship Empress of China returned to New York from China. The ship's cargo of tea and silk sold for a profit. The chance for similar profit inspired others to follow in the Empress of China's wake. Soon, American merchant ships were sailing to China and India, as well as South America, Africa, and lands along the Mediterranean Sea. In the mid-1790s, France and Britain were at war. French and British merchant ships stayed to avoid capture by their enemies. American merchants took advantage of this opportunity. |
When Britain violated America's neutral rights, Jefferson banned some trade with Britain
Congress passed the Embargo Act in December 1807. The embargo of 1807 was a disaster. With ships confined to their harbors, unemployment rose in New England. Without European markets, the South could not sell its tobacco or cotton In 1810 Congress passed a new trade law. It would permit direct trade with either France or Britain, depending on which country first lifted its trade restrictions, or limits, against the United States In spite of that promise, the French continued to seize and sell American ships. the Federalist belief in a strong national government. They favored trade, western expansion, the energetic development of the economy The War of 1812 helped the United States to gain its economic independence. As a result of the war, Americans became less reliant on Europe for products and developed more of their own manufacturing the difficulty of paying for the war led to the creation of a new national bank, the Second Bank of the United States |