If you’re like many Americans (or theatre fans from around the world, for that matter), the cast album of Lin-Manuel Miranda’s Broadway musical Hamilton is still playing in your home and car nonstop. It tells the story of Alexander Hamilton, an immigrant who came to America during the fight for independence from Great Britain, who ended up playing a critical role in shaping the United States government and economy. The popularity of Miranda’s musical has caused people from all over to re-study the history of America’s beginnings, along with introducing the masses to a new type of musical theatre.
Since Hamilton was heavily involved in developing America’s banking system, and since one of our writers is a huge fan of the musical, we didn’t want to throw away our shot to write about the founding father on our blog. Let’s go!
Alexander Hamilton was born in the British West Indies, where he began working at age 11 as an assistant bookkeeper in a mercantile. He learned to keep financial records and gained experience in international commerce. Impressed by his ambition and an eloquent letter he wrote about a hurricane that destroyed his town, Hamilton’s employer gathered a pool of money to send him to the mainland for a proper education.
Hamilton arrived in New York in 1773 at age 16. He enrolled in King’s College (present day Columbia University), but he left before graduating to join forces with the Patriots in protest of British control of the colonies. He fought in several battles during the Revolutionary War and then in 1777, General George Washington hired Hamilton as his aide-de-camp. Hamilton became a trusted advisor to the General for the next five years, handling his correspondence, composing strategic reports, and rallying supplies and funds for the war. But all the while, his head was full of fantasies of fighting in the war, which he believed would help him rise above his station once the war was over.
In 1781, Washington granted Hamilton permission to lead a charge against the British during the Battle of Yorktown. It was a victorious endeavor that soon resulted in British surrender and later, peace treaties that officially marked the end of the war.
After the war, Hamilton remained focused on his career. He believed that American states were too divided and required a strong central government in order to truly achieve independence. Hamilton left his post as Washington’s advisor in 1782 to study law. After passing the bar, he established a practice in New York City and was involved in cases that helped create the judicial review system. But politics and public service continued to call to him.
Hamilton served as a New York delegate at the Constitutional Convention in 1787, where he promoted his agenda for a stronger federal government under a new constitution. He became a major proponent for the constitution, collaborating with James Madison and John Jay to write the Federalist Papers in defense of the document. The constitution was ratified in 1788 and Washington was elected the first president of the United States in 1789.
Washington then appointed Hamilton as the first Secretary of the Treasury. It was a daunting job since the fledgling nation had accrued large amounts of domestic and foreign war debt. Hamilton set out to create economic policies that would rid the nation of debt and promote the central government. Some of the policies he proposed included initiating the payment of federal war bonds, having the federal government assume states’ debts, and instituting a federal system for taxation under which government revenue would be based on custom duties.
Additionally, Hamilton proposed a national bank and after Congress’ approval in 1791, the Bank of the United States was created. The bank was able to lend money to the government in order to pay off state debts. Additionally, the bank issued the first American paper money, promoted businesses by extending credit, and offered government subsidies to manufacturers to help them compete with European imports.
Hamilton had also planned to establish a US Mint under the Treasury Department, but it ended up being established under the State Department in 1792. However, the mint was eventually transferred to the Treasury in 1873.
Some of Hamilton’s beliefs and policies were controversial during that time period, and he had many disagreements with other cabinet members. State loyalists were fearful of a central government holding so much power and fought back against the federal assumption of state debts. Thomas Jefferson became one of his main adversaries when it came to political and economic pursuits. Jefferson claimed that Hamilton’s bank exceeded the powers of the constitution, while Hamilton believed it to be necessary in order to strengthen the country’s economy. The disagreement between these two men led to a fracture deep enough to create the nation’s first political parties, with Hamilton leading the Federalist party and Jefferson leading the Democratic Republican party.
In 1790, Hamilton was able to reach a compromise with the opposing party that called for the nation’s capital to be transferred to a new site built near the Potomac River in return for Congress approving policies that supported a central government over states’ rights.
Hamilton resigned as Secretary of the Treasury in 1795, after single-handedly creating a more secure economy. Even after he returned to law, he remained an important figure in the field of politics. During the election of 1800, Thomas Jefferson and Aaron Burr tied in a vote for the presidency. Though he never saw eye to eye with Jefferson, Hamilton endorsed his campaign, believing him to be the lesser of two evils and trusting him to not abuse the power of the presidency. Burr, who was once a friend of Hamilton’s, lost the election to Jefferson. Later, Burr ran for the New York governorship and again lost after Hamilton spoke out against his ability to be a political leader.
Enraged and convinced that Hamilton was to blame for his career failures, Burr challenged him to a duel. Both men arrived in Weehawken, New Jersey early on the morning of July 11, 1804, pistols in hand. Burr’s shot fatally wounded Hamilton; he died the next day in his New York home. Hamilton’s wife, Elizabeth Schuyler, dedicated her remaining 50 years to preserving Alexander’s legacy.
Alexander Hamilton may not be a name quite as recognizable as some of the other founding fathers, but he is remembered as the architect of our country’s banking and economic system. His work placed America on an equal financial footing with many European nations, and created the foundation for our modern capitalist economy. It’s only fitting that he’s pictured on the US ten dollar bill, one of very few Americans who never held the presidency to be featured on US currency. And though you may not remember much about Hamilton from your history classes, the highly successful Broadway musical is reminding everyone about how Hamilton started as an orphan immigrant and became a founding father of the United States of America.
To own your own piece of American history, we recommend the 2017 American Silver Eagle produced by the US Mint. It’s a beautiful silver coin that would make Hamilton proud.
Are you a fan of Hamilton the musical? There are several lyrical references scattered throughout this article. See how many you can find!
Scott Taylor says
Funny, is it not, that Hamilton stays on the ten dollar bill while Jefferson, who opposed the central bank, is being removed from the twenty dollar bill.
ProvidentMetals.com says
Our economy would not be what it is today without Hamilton’s influence, so it makes sense that he’ll remain on the ten dollar bill.