Opposition to Taxes

American History Public Policy Analysis

 

Mr. Keville

Chittenango High School

 

Introduction:

You are a cabinet member in President Andrew Jackson’s administration.  A new tax on imports has drawn a great deal of controversy.  In order to make a well-informed response to the criticism he has asked you to look into President Washington’s response to opposition to the Whiskey Tax during his first administration.

 

 

Task:

You must write a two-page report that includes the following:

1-      A description of the problem Washington faced.

2-      An explanation of the causes of those problems.

3-      A description of the actions he took.

4-      A comparison of the positive and negative outcomes of his decision.

5-      An evaluation of whether or not his actions solved the problem you identified. 

6-      An evaluation of whether or not the opposition that Jackson faces is similar to Washington’s experience.

7-      Your recommendation to President Jackson based on your analysis.

 

 

Process:

You will go through the five steps of historic public policy analysis using this page and its links. 

            Step 1- Identify the Problem for Washington.

            Step 2- Gather the Evidence regarding the Whiskey Tax opposition.

            Step 3- Determine the Causes of the opposition.

Step 4- Evaluate the Policy that Washington implemented to address the opposition.

            Step 5- Identify the problem for Jackson.

            Step 6- Gather evidence regarding the opposition to the Tariff.

            Step 7- Draft your report for President Jackson.

 

 

Resources:

 

            The Tax

1-      Bradford House- An existing historic site in Pennsylvania

 

1-      Hamilton’s Tax & Rationale- This site explains why Hamilton chose an excise tax.

2-      Western PA actions- This site describes the actual actions of the PA farmers.

3-      Read the following article-

One nation.

 

With Liberty and Justice for all.

 

Nice words, but not everyone agreed with them. For example, in western Pennsylvania there was very little of what the eastern Americans called "money". There weren't any banks. And there certainly weren't any MAC machines. People exchanged goods and services by barter, and with little agreement on what tradable items were worth. That was because most tradable items were perishable. Whiskey was different. Properly stored, such as in a warehouse, whiskey lasted forever. Or close enough, anyway. A barrel of whiskey had a certain value and that could be banked on. You didn't need to actually carry a jug around with you, dispensing out some to the barber and some to the dry-goods merchant and so forth. If you had two barrels of whiskey stored at Col. Shreve's warehouse, for example, you could write what amounted to a check against a portion of that and use that check the same as we do with cash issued by the United States. The barber or storekeeper didn't need to cash your check in for whiskey, either. He could re-spend it or combine it with the notes of others, at least for local purchases.

 

In ordinary times, and considering how little attention the western frontier drew from the powerful coastal states, that was perfectly acceptable to everyone. But these weren't ordinary times. For one thing, as distilleries grew larger and serviced larger areas, the range that could be called "local purchases" grew beyond the immediate community. Secondly, the frontier population didn't unanimously think of itself as belonging to the new, single, federal United States. They provided their own defense, since they got little or none from the federal government. They provided their own social services. They provided their own legal systems. And through the use of whiskey as a medium of exchange, they provided their own monetary system and regulation of commerce. Not only that, but since whiskey was an easily obtainable resource, it provided a way for ordinary people to actually create wealth, independently of bankers, investors, or speculators. This last must have seemed very threatening to the investment-based establishment that dominated the eastern cities and the new federal government. The sovereignty of that government was being tested in many ways, and the independence displayed by the frontier areas was one that had to be faced and overcome. In 1791, less than two years after the Constitution was adopted, a tax was levied on distilled spirits. The tax was heavy, due at the point of origin (whether the whiskey was sold or stored) and could only be paid in United States currency, making it virtually impossible for distillers in the western territory to comply. There simply wasn't enough United States currency available to pay those taxes and that, of course, was the whole point. Many people believe the purpose of the tax had to do with morality and the "sinfulness" of alcohol. That's not likely. Prostitution isn't taxed. Gambling is taxed, but only at the normal rate for other investments and losses. Others believe the excise tax was levied in order to raise money to pay off the interest on the Revolutionary War debt,  and they're much closer to the truth, because that reason is specified in the text of the law itself. But many people then, and quite a few today, believe there was more to it than that. The less-educated may have become violently upset to see the new federal government using the same tactics they put their lives on the line to overthrow, but the more learned citizens understood that the tax's real purpose was to destroy the use of whiskey as a locally-created currency and producer of wealth. It was an open declaration by the federal government that it was in charge and would tolerate neither political nor economic independence among the individual states. The reaction in the western counties of Kentucky, Tennessee, Pennsylvania and Virginia was predictable... they simply ignored it.

 

The next step was for the federal government to become more demanding, singling out the most readily-accessible of the disobedient areas, the western Pennsylvania counties of Fayette, Westmoreland, Allegheny, and Washington. And when the local courts refused to enforce the federal law, United States treasurer Alexander Hamilton knew he had a problem that required immediate attention. By 1794 western Pennsylvania was ready to pull out of the union. The farmers, who had already gotten physical with some tax collectors and had taken that anger out on public and private property, were ready to march on Pittsburgh with pitchforks and squirrel rifles. And legislators and justices were ready to consider alliances with Britain or Spain as an alternative to any further association with the hated federalists.

 

George Washington was president of that federalist country, and he chose to pay the folks living on and around his old property a little visit. Just to remind them that we're all in this together and that they should work to help make our country strong instead of entertaining such destructive thoughts. To help him make his point clear, he brought along a few friends -- about 13,000 of them, armed to the teeth with the best weapons that excise-tax-raised money could buy. With Washington leading (the only time an acting American president has ever lead an army into battle), this militia numbering more soldiers than was needed to fight the Revolutionary War marched west across Pennsylvania. Through Harrisburg they marched, and through Carlisle, all the while sending out messengers with deals and threats to try and prevent a bloody confrontation. They reached Bedford and the Allegheny Mountains and stayed there while Washington set up command in the home of Colonel David Espy. The Espy House, as it was known then and now, was built around 1766 and is the oldest building in Bedford. The town sort of grew up around it. It's a two-story house and still in use, with living quarters upstairs and most of the ground floor taken up by the aptly-named Washington Bakery. The bakery has been there since before 1906.

 

 

4-      Overview- This site gives a comprehensive report on the whole drama of the Whiskey Rebellion.

5-      Background and Tax of 1828- The actual text of the Tariff of 1828 and a brief background description.

6-      Jackson’s Proclamation- Zoom in and begin reading Jackson’s words to understand his view of the issues- try to avoid conclusions about what he should do.

 

7-      South Carolina Moderate- a view held by some as a way to bring the tax issue to a peaceful resolution.

8-      What can Jackson do- use this site as a way to think about possible solutions to the nullification crisis.

 

 

Evaluation:

 

Your final report must be organized as a persuasive report from a cabinet member to President Jackson, advocating some sort of policy decision regarding the Nullification Crisis.  The format should be in 12 point font, times new roman, double spaced, with 1” margins all the way around.  Use footnotes to indicate which sources you are referencing throughout your.  The following rubric will be the basis for your grade on this project.  

 

Category

20

16

8

4

2

Use of Sources

Incorporates information from all 9 sources

Incorporates information from 7 sources

Incorporates information from 5 sources

Incorporates information from 3 sources

Uses only one source for information

Content

 Clearly addresses all 7 aspects of the task

Addresses 7 tasks vaguely or clearly addresses 5 tasks

Addresses 5 tasks vaguely or clearly addresses 3 tasks

Addresses 3 tasks vaguely or clearly addresses 2 tasks

Addresses only or two aspects of the task with little clarity

Organization

Cabinet report is logically organized to argue a policy decision

Cabinet report argues a policy decision but lacks logical sequence

Report follows a logical sequence but does not argue a policy decision

Is not written as a cabinet report but as a research assignment only

Does not argue any policy decision and does not follow any logical sequence

Length

Two-three full pages

One and a half pages

One page only

Half page report only

Less than half a page

Format

1- 12 point font
2- Times New-     Roman
3- Double- Spaced
4- 1" Margins all around

Only one format requirement missing

Two format requirements missing

Three format requirements missing

Follows no format guidelines at all

 

 

Conclusion:

            You have your task- make sure that your recommendations are thoughtful and based on the research you conduct as you look at Washington’s response to the Whiskey Rebellion in Pennsylvania.  America is counting on you!!!

 

 

The NYS Standards:

 

S1.3B              

Students gather and organize information about the important achievements and   contributions of individuals and groups living in New York State and the United States.

 

S1.4B              

Students understand how different experiences, beliefs, values, traditions, and motives cause individuals and groups to interpret historic events and issues from different perspectives.

 

S1.4D              

Students describe historic events through the eyes and experiences of those who were there.

 

S1.3A              

Students complete well-documented and historically accurate case studies about individuals and groups who represent different ethnic, national, and religious groups, including Native American Indians, in New York State and the United States at different times and in different locations.

 

S1.3B              

Students gather and organize information about the important achievements and contributions of individuals and groups living in New York State and the United States.