d unpaid. This the Americans alleged
was a mere pretext; the real object of their retention being the
monopoly of the fur trade; and to the mischievous influence exercised
by these posts over the Indian tribes, was attributed much of the
hostile disposition manifested by the latter along the Western
frontier.

While these brooding causes of anxiety existed at home, the foreign
commerce of the Union was on a most unsatisfactory footing, and
required prompt and thorough attention. It was subject to maraud, even
by the corsairs of Algiers, Tunis and Tripoli, who captured American
merchant vessels and carried their crews into slavery; no treaty
having yet been made with any of the Barbary powers excepting Morocco.

To complete the perplexities which beset the new government, the
finances of the country were in a lamentable state. There was no money
in the treasury. The efforts of the former government to pay or fund
its debts, had failed; there was a universal state of indebtedness,
foreign and domestic, and public credit was prostrate.

Such was the condition of affairs when Washington entered upon his new
field of action. As yet he was without the support of constitutional
advisers, the departments under the new government not being
organized; he could turn with confidence, however, for counsel in an
emergency to John Jay, who still remained at the head of affairs,
where he had been placed in 1784. He was sure of sympathy also in his
old comrade, General Knox, who continued to officiate as secretary of
war; while the affairs of the treasury were managed by a board,
consisting of Samuel Osgood, Walter Livingston, and Arthur Lee. Among
the personal friends not in office, to whom Washington felt that he
could safely have recourse for aid in initiating the new government,
was Alexander Hamilton. It was also a great satisfaction to
Washington, on looking round for reliable advisers at this moment, to
see James Madison among the members of Congress: Madison, who had been
with him in the convention, who had labored in "The Federalist," and
whose talents as a speaker, and calm, dispassionate reasoner; whose
extensive information and legislative experience destined him to be a
leader in the House. Highly appreciating his intellectual and moral
worth, Washington would often turn to him for counsel.

The moment the inauguration was over, Washington was made to perceive
that he was no longer master of himself or of his home. "By