rival.

{181}

So fell the Federalist party from power. It had a brilliant record in
legislation and administration; it had created a new United States; it
had shown a statesmanship never equalled before or since on the
American continent; but it ruined itself by endeavouring openly to
establish a system of government founded on distrust of the people, and
modelled after British precedents. For a few years, England and the
United States approached nearer in government and policy than at any
other time. But, while in England a large part of society--the
nobility, gentry, middle classes, the professions, the church, and all
strong political elements--supported Pitt in suppressing free speech
and individual liberty, the Federalists represented only a minority,
and their social principles were abhorrent to the vast majority of the
inhabitants of the United States.

The Republican party, which conquered by what Jefferson considered to
be a revolution no less important than that of 1776, represented a
reaction to the old ideals of government traditional in colonial
times,--namely as little taxation as possible, as much local
independence as could exist, and the minimum of Federal authority.
Jefferson professed to believe that the conduct of foreign relations
was the only important function of the central government, {182} all
else properly belonging to the States. So complete was the Republican
victory that the party had full power to put its principles into
effect. It controlled both Houses of Congress, and was blessed with
four years of peace and prosperity. Thomas Jefferson, for all his
radicalism in language, was a shrewd party leader, whose actions were
uniformly cautious and whose entire habit of mind favoured avoidance of
any violent change. "Scientific" with the general interests of a
French eighteenth-century "philosopher," he was limited in his views of
public policy by his education as a Virginia planter, wholly out of
sympathy with finance, commerce, or business. Under his guidance,
accordingly, the United States government was subjected to what he
called "a chaste reformation," rather than to a general overturning.

All expenses were cut down, chiefly at the cost of the army and navy;
all appropriations were rigorously diminished, and all internal taxes
were swept away. Since commerce continued active, there still remained
a surplus revenue, and this Gallatin, the Secretary of the Treasury,
applied