Hamilton's financial plan

Definition

Hamilton's financial plan refers to a series of economic measures proposed by Alexander Hamilton, the first Secretary of the Treasury under President George Washington. The plan aimed to stabilize and strengthen the economy of the newly formed United States, including establishing a national bank and assuming state debts.

Related terms

National Bank: A central bank established by Alexander Hamilton as part of his financial plan, which would serve as a repository for federal funds and provide loans to stimulate economic growth.

Assumption of debt: One aspect of Hamilton's financial plan that involved the federal government taking responsibility for paying off all state debts incurred during the American Revolution.

Jeffersonian Republicans: Led by Thomas Jefferson, this political faction opposed many aspects of Hamilton's financial plan and favored an agrarian society over industrialization.