How did Thomas Jefferson's view of the national debt differ from that of Alexander Hamilton?
Jefferson believed the government could add to the debt; Hamilton did not.
Jefferson wanted to pay off the debt; Hamilton did not.
Jefferson wanted to increase taxes to pay off the debt; Hamilton wanted to lower taxes.
Jefferson believed that the national debt should be reduced and ultimately eliminated. He saw debt as a burden on future generations and believed in fiscal responsibility. On the other hand, Hamilton believed that a national debt was necessary for the stability and growth of the country. He believed that a well-managed debt could be used to establish creditworthiness and promote economic development.
Additionally, Jefferson supported the idea of state sovereignty and limited government, and he believed that reducing the national debt would limit the power and influence of the federal government. Hamilton, on the contrary, believed in a strong central government and saw the national debt as a means to consolidate power and establish national unity.
In terms of taxation, Jefferson advocated for higher taxes to generate revenue and pay off the debt, while Hamilton believed in lower taxes to stimulate economic growth and maintain public support for the government. Jefferson viewed high taxes as a necessary evil in the short term, while Hamilton believed that lower taxes would lead to greater long-term prosperity.
Overall, Jefferson's approach was more focused on reducing and eliminating the national debt, limiting the power of the federal government, and promoting state sovereignty. Hamilton, on the other hand, believed in using the national debt strategically to strengthen the federal government, promote economic development, and maintain stability and unity.