What was Alexander Hamilton's plan for reducing the nation's debt?
Alexander Hamilton-Secretary of the Treasury-responsible for straightening out the nation's finances
The United States had a large national debt
national debt-the total sum of money a government owes
Why was the United States in debt?
Foreign debt-money owed to France and Spain
Domestic debt-money owed to Americans
The United States borrowed money from Americans in order to pay for the American Revolution.
bonds-a paper promising to repay a loan at a cetain time, including interest
1. Pay back all federal and state bonds
2. Combine all state and federal debts into one national debt. Now the entire county would work to eliminate the debt.
Southerner's like James Madison did not like the plan because most Southern states had paid their debt and most speculators, who got rich from the plan, lived in the North.
If southerners agreed to support the plan, the United States capital would be moved from New York to the South.