Federalist or Democratic Republican?

Although he badly wanted to retire after the first term, Washington was unanimously supported by the electoral college for a second term in 1792. Throughout both his terms, Washington struggled to prevent the emergence of political parties, viewing them as factions harmful to the public good. Nevertheless, in his first term, the ideological division between Jefferson and Hamilton deepened, forming the outlines of the nation's first party system. This system was composed of Federalists, who supported expansive federal power and Alexander Hamilton, and the Democratic-Republicans, followers of Thomas Jefferson's philosophy of states' rights and limited federal power. Washington generally backed Hamilton on key issues, such as the funding of the national debt, the assumption of state debts, and the establishment of a national bank.

Throughout his two terms, Washington insisted on his power to act independent of Congress in foreign conflicts, especially when war broke out between France and England in 1793 and he issued a Declaration of Neutrality on his own authority. He also acted decisively in putting down a rebellion by farmers in western Pennsylvania who protested a federal whiskey tax (the Whiskey Rebellion of 1794). After he left office, exhausted and discouraged over the rise of political factions, Washington returned to Mount Vernon, where he died almost three years later.

Historians agree that no one other than George Washington could have held the disparate colonies and, later, the struggling young Republic together. To the Revolution's last day, Washington's troops were ragged, starving, and their pay was months in arrears. In guiding this force during year after year of humiliating defeat to final victory, more than once paying his men out of his own pocket to keep them from going home, Washington earned the unlimited confidence of those early citizens of the United States. Perhaps most importantly, Washington's balanced and devoted service as President persuaded the American people that their prosperity and best hope for the future lay in a union under a strong but cautious central authority. His refusal to accept a proffered crown and his willingness to relinquish the office after two terms established the precedents for limits on the power of the presidency. Washington's profound achievements built the foundations of a powerful national government that has survived for more than two centuries.