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duration: 2 Hour and 19 Minute

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Dinner Table Bargain - Establishing America

00:00:59

The 1st Congress of the newly established United States is hopelessly deadlocked on two critical issues. James Madison and the Southern states are pushing to move the seat of government from New York City to a location on the Potomac River outside of Virginia; an idea rejected by Northerners. Alexander Hamilton leads the Northern states, who want to create a national bank and pay off the state’s debts from the American Revolution. Southerners oppose the assumption of debt, fearing the idea of a strong centralized national government. Thomas Jefferson invites Hamilton and Madison to dinner at his estate and helps broker a compromise; Southerners will not block legislation on the assumption of state debts, if Northerners support the relocation of the seat of government. Passage of the Residence and Funding Acts of 1790 establishes U.S. credit at home and abroad, which allows Thomas Jefferson, as president in 1803, to finance the Louisiana Purchase.

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