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Artificial Intelligence, Alexander Hamilton, and The Funding Act of 1790…
March 13, 2025 by GuyHeilenman · Leave a Comment
“A jack of all trades, a master of none” is often how I feel in my role as the overseer of life at Timothy Hughes Rare & Early Newspapers. Since collectible reporting covers nearly every topic under the sun (politics, religion, flight, exploration, literature, social issues, war, and more), it is impossible to know everything about everything. Even the areas which are personal favorites are more than enough to drive my quest to be a life-long learner. One such topic involves the early years of American and the “Founding” of The United States. Still, my nearly 7 decades of knowledge-absorption still leaves me wanting. A case in point was recently brought to the surface by a set of 4 issues covering The Funding Act of 1790. I knew the father of the Act was largely Alexander Hamilton and that it was an essential step in the early formation of the U.S., but beyond these basic elements, I admittedly knew little. Since our desire when describing collectible items is to be as accurate as possible, whenever I/we would be presented with a knowledge gap “back in the day”, our bookshelves full of resource material was essential – but cumbersome. Then the internet came alive and our ability to gather information was drastically reduced – especially once we gathered a repertoire of reliable sources. BUT NOW…
The question of the day: “How reliable/accurate is AI?” Only time will tell, but I thought it might be fun to seek a little input as it relates to the topic at hand. I did a basic (“think”) search on Grok (Elon Musk’s AI) for: “Why was the 1790 Funding Act so significant?” The response was:
The 1790 Funding Act was a landmark piece of legislation in United States history, playing a pivotal role in shaping the young nation’s financial and political landscape. Proposed by Alexander Hamilton, the first Treasury Secretary, the act addressed the massive debt accumulated during the Revolutionary War by consolidating state debts under federal control and funding them at full value. Its significance can be understood through several key aspects:
(by John Trumbull)
### 1. **Debt Consolidation and Federal Authority**
The act allowed the federal government to assume the debts of individual states, centralizing financial responsibility. This move stabilized the economy by creating a unified approach to debt management. While controversial—some states that had already paid off their debts opposed subsidizing others—it strengthened the federal government’s authority over the states, marking a shift toward a more centralized system.
### 2. **Establishment of National Credit**
By issuing bonds to pay off old debts and funding them through tariffs and excise taxes, the Funding Act established the United States as a credible borrower. This was critical for gaining the trust of international creditors and investors, laying the foundation for future economic growth. It demonstrated that the U.S. could honor its financial obligations, a vital step for a fledgling nation.
### 3. **Foundation for a National Economy**
The act was a cornerstone of Hamilton’s broader financial vision, which included creating a national bank to manage government finances and issue currency. By addressing the debt crisis and introducing federal taxation, it set the stage for a stable, centralized financial system. This stability was essential for the nation’s economic development and influenced future fiscal policies.
### 4. **Political Impact**
The Funding Act deepened the divide between Federalists, who favored a strong central government, and Democratic-Republicans, who worried about federal overreach. This ideological conflict shaped early American politics and highlighted the act’s role in defining the balance of power between federal and state governments.
In summary, the 1790 Funding Act was significant because it marked the federal government’s first major step into financial governance, resolving the post-war debt crisis while establishing the U.S. as a financially credible nation. It solidified federal authority, built a foundation for economic stability, and influenced the political and economic trajectory of the United States for decades to come.
How did Grok do? Did it miss anything of critical significance?
If so, perhaps you would like to review Grok’s “DeepSearch“.
I’ll admit, AI makes me more than a little nervous; however, if properly constrained… Ok, I’d still be more than a little nervous.
Thoughts?
George Washington and the Hebrew Congregation in Savannah… 1790…
October 7, 2022 by LauraH · Leave a Comment
At times, when I sit down to write a blog post, I feel woefully inadequate to add anything to what has been said within the issue I’m seeking to highlight. Such is the case with one of my favorite issues we have ever held here at Rare Newspapers. On July 1, 1790, the MASSACHUSETTS SPY OR THE WORCESTER GAZETTE published a letter: “Address from the Hebrew Congregation of the city of Savannah, in Georgia, to the President of the United States”, signed in type by: Levi Sheftall, President, on behalf of the Hebrew Congregation. This letter is so beautifully written and expresses a sentiment which must have been a balm to the anxious souls of Jews throughout the United States of America. Rather than quote a piece or paraphrase, please indulge me with a reading of the letter in its entirety. Hopefully, you will also breathe a calming sigh of relief as you visualize the readers from over 200 years ago.
Gentlemen,
I thank you with great sincerity for your congratulations on my appointment to the office, which I have the honor to hold by the unanimous choice of my fellow-citizens: and especially for the expressions which you are pleased to use in testifying the confidence that is reposed in me by your congregation.
As the delay which has naturally intervened between my election and your address has afforded an opportunity for appreciating the merits of the federal-government, and for communicating your sentiments of its administration—I have rather to express my satisfaction than regret at a circumstance, which demonstrates (upon experiment) your attachment to the former as well as approbation of the latter.
I rejoice that a spirit of liberality and philanthropy is much more prevalent than it formerly was among the enlightened nations of the earth; and that your brethren will benefit thereby in proportion as it shall become still more extensive. Happily, the people of the United States of America have, in many instances, exhibited examples worthy of imitation—The salutary influence of which will doubtless extend much farther, if gratefully enjoying those blessings of peace which (under favor of Heaven) have been obtained by fortitude in war, they shall conduct themselves with reverence to the Deity, and charity towards their fellow-creatures.
May the same wonder-working Deity, who long since delivering the Hebrews from their Egyptian Oppressors planted them in the promised land—whose providential agency has lately been conspicuous in establishing these United States as an independent nation—still continue to water them with the dews of Heaven and to make the inhabitants of every denomination participate in the temporal and spiritual blessings of that people whose God is Jehovah.
G. Washington
All I can say is, “Wow!”