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  1. Deseribe the different perspectives of llamilton’s financial plan in the graphic organizer below.
  2. Where and why was the capital relocated?

Ask by Potter Murray. in the United States
Jan 25,2025

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5. Different Perspectives on Hamilton’s Financial Plan

Alexander Hamilton’s financial plan was viewed differently by various groups:
  • Federalists: Supported it, seeing it as a way to strengthen the federal government and promote economic growth.
  • Democratic-Republicans: Opposed it, fearing it favored northern interests and expanded federal power.
  • State Governments: Had mixed feelings, benefiting from debt assumption but resenting increased federal influence.
  • Merchants and Financiers: Generally supported it for its economic benefits.
  • Farmers and Agrarians: Skeptical, concerned it favored industry over agriculture.

6. Relocation of the Capital

Where: From Philadelphia, Pennsylvania, to Washington, D.C.
Why: To balance regional interests, symbolize national unity, and establish a neutral, federal-controlled center for the government.

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Alexander Hamilton’s financial plan was a game changer in the early years of the United States. Some viewed it as a catalyst for economic growth and stability, believing it would help establish credit and consolidate the nation’s debt under federal control. Critics, however, saw it as favoring wealthy Northern elites at the expense of Southern agrarians, creating tension between the regions and leading to debates about federal power versus states’ rights.
The capital was relocated from Philadelphia to Washington, D.C., primarily as a political compromise to gain Southern support for Hamilton’s financial plan. Southern leaders were uneasy about the concentration of power in the North and sought a more neutral ground that would symbolize unity and fairness. This move also ingrained a sense of national identity into the fledgling government, as Washington, D.C., was established specifically to serve as the nation’s capital.

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