Chapter 8:
Because a number of states made it a condition of their ratification of the Constitution, a bill of rights was the first item on the new Congress's agenda. Divisions remained even after that, however, especially with regard to the policies of Treasury Secretary Alexander Hamilton, who sought to stabilize the government's finances and establish its credit, build its power, ally wealthy entrepreneurs with it, and promote commercial expansion abroad and economic development at home; his most ambitious project was the creation of a national bank. America also continued to be involved in European affairs; the French Revolution and ensuing wars in Europe engendered much conflict and debate among Americans. But despite violations of its neutral rights and English impressments of American sailors, America's only direct diplomatic involvement with any European powers was the Jay Treaty with England (1794) and the Pinckney Treaty (Treaty of San Lorenzo) with Spain (1795). When President Adams in 1797 attempted to ease diplomatic relations with France, the XYZ affair brought the countries to undeclared naval war. The fear this caused led to passage of the Alien and Sedition acts as well as the Naturalization Act. But the impetus for these acts was domestic as well as foreign: the Federalists (Adams was one) felt besieged and threatened; in disarray, they lost the presidency to the Anti-Federalists and Thomas Jefferson in the "Revolution of 1800."
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