Formation of political parties
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The Federalists, led by John Adams and Alexander Hamilton, typically believed in a strong national government and commercial economy. They were supported by bankers and business interests in the Northeast.
The Democratic-Republicans, led by Thomas Jefferson, believed in a weak national government and an agricultural economy. They were supported by farmers, artisans, and frontier settlers in the South.
The presidential election of 1800, won by Thomas Jefferson, was the first American presidential election in which power was peacefully transferred from one political party to another.