How Did Alexander Hamilton Shaped American Government

Alexander Hamilton was a brilliant man who had a keen insight on economic policies. He was a member of President Washington’s Cabinet and was the secretary of treasury. Hamilton always had an affinity towards the British Government because he believed that there government was well- run, and this affected the way he thought about economic engagement. Hamilton was an advocate for a federalist government, a government centered on a strong central government that made the main decisions for the country. The federalist ideals and the love for Britain shaped his political decisions, and that is what caused him to create his revolutionary economic strategy for the United States. His strategy had five key components, each one an integral piece to unify the country under a …show more content…
Hamilton also believed there should be an increase on tariffs to encourage local development. Around 1790, the U.S was not a manufacturing giant however many other nations were. Britain had similar industries the United States had, but the quality of their goods were often superior. This encouraged the wealthy, like the Southerners that wanted luxury items, to buy from outside the country. The common items were decent within the U.S, but the luxury items were not as well-made compared to Europe. Hamilton feared that that the country would be dependent upon other countries for goods and not self- reliant. If the country were dependent, then many goods would have to be imported instead of exported. This, Hamilton realized, would cause a decrease in economic growth as the U.S would be spending a large amount of its capital out of the country instead of into, weakening the U.S’s economy and only benefitting others. A large import tax would remove the incentive to buy from other areas