The main reason for the formation of the two political parties was because of the disagreement between both domestic issues and foreign affairs. In 1808 was when everything basically hit the fan. One prime example was The Revolution of the 1800, power switching from Federalists (Adams) to Democratic- Republicans (Jefferson). The tables were turned and the feud was just beginning. Every time while looking into this issue the phrase “I told you so” tends to pop up, only because the whole formation of political parties was already addressed in the “Farewell Address”. George Washington specifically stated that they stay away from the formation of political parties, but no one heaved his warning leading to the problems caused. Main reasoning for the formation of two political parties was because of the disagreement between both domestic issues and foreign affairs.
One of the leading causes to the formation of political parties was the difference of opinions of solutions to domestic issues, which consisted of the formation of the Bank of the United State, taxes on whiskey, and the tariff on imported goods. Only benefitting the rich leaving the poor out in the cold. The main cause for revolutions which were much needed. With the national bank it was intended to stabilize the economy but only benefiting one side of the scale and leaving out the bottom half, and the same thing with the tariff placed on the imported goods. The first example of a domestic issue was the formation of the Bank of the United States. Under the presidency of Jackson he wanted to form a bank of the United States. The purpose of the bank was to stabilize the economy. Although with the good comes the bad, it mainly only benefitted the rich and not the poor. They also wanted to place a tariff on imported goods, it would protect the industry but it also made things expensive which was a negative. The placed taxes on whiskey which was to help pay off debt, but just like the others it affected the lower class dramatically; it was very bad for the farmers who make whiskey to make money for the house.
Foreign affairs were also a cause to the formation of two political parties, Federalists wanted it one way and Democratic-Republicans wanted it another. Who was right or wrong, you must decide. In 1807 Jefferson, a Democratic-Republican passed a law called the Embargo act. It prohibited American merchant ships from sailing to any foreign port. Seeing as though the United States was Britain’s largest trading partner, Jefferson thought that the British would stop violating the rights of neutral nations. Although this plan backfired leading them into economic hardships. In the French Revolution which was during Washington’s presidency, generally asked his self whether he should give U.S support to France, France’s enemies, or neither but little did he know that question would have to answered real soon.
In 1793 President Washington believed that the young nation wasn’t strong enough to engage in a European war, therefore creating the Proclamation of neutrality, keeping America neutral from the French Revolution. Many citizens and political figures were outraged by this neutrality seeing as though they’d been in a strong alliance with France and they’d basically be burning a bridge between them.