Alexander Hamilton
By Ron Chernow
Publisher: Penguin Press, Inc., April 2004

Reviewed by: Kevin P. Quinn

In his new book, Ron Chernow attempts to set the achievement record straight on one of our lesser-known founding fathers, Alexander Hamilton. Chernow is obviously comfortable in telling the Hamilton’s story having written about other finance experts, John Rockefeller (Titan) and J.P. Morgan (the House of Morgan). Chernow’s Hamilton goes well beyond the brilliance and foresight of Hamilton in his work as our country’s first Secretary of the Treasury. In this biography, Chernow gives us a rich historical background of Hamilton’s imprint on the American Revolution, the establishment of our government and the establishment of our economic structure.

Setting up the book, Chernow points out information about Hamilton’s early life, learned only during the past century, and gives the reader a nice snapshot of Hamilton’s difficult upbringing in the West Indies. Born out of wedlock and orphaned at the age of 12, Hamilton and his brother James were left to the mercy and help of friends and family. Departing from his brother James, Alexander was taken in by the Thomas Stevens family and struck up a kindred relationship with Edward, a year Alexander’s junior. This relationship was the first real solid connection Hamilton had.

In his work as a clerk in the export trading firm of Beekman and Cruger, Hamilton gained an early and unique knowledge that would serve him well practically later in life. As a clerk, Chernow writes, Hamilton was educated in the “fast-paced modern world of trading ships and fluctuating markets.” Among other things, Hamilton’s work in the export business brought him into contact with the commodity markets, shipping and exchange rates, all useful tools that Hamilton would later deploy in his later work as Secretary of the Treasury to establish a market economy for America’s fledgling new government. These early lessons were to establish in Hamilton an ease in dealing with complex financial systems and varying markets. These qualities were not, perhaps with the exception of Benjamin Franklin, in the make-up of any of our other founding fathers.

A quick and fastidious learner, Hamilton soon gained recognition as a prolific writer in one of his first works where he describes a hurricane that ripped through St. Croix in the late 1700. The community and the Governor of the Island recognized the distinctive work from the teenage Hamilton with no formal education. Chernow tells us that, to ensure that Hamilton was properly educated, a subscription fund was collected to send him to North America. After attending Elizabethtown Academy, Hamilton sought to gain early admission to the well renowned Princeton College; Hamilton is rebuffed by Princeton and begins attendance at King’s College (now Columbia University). Throughout this period, Chernow gives a rich and lively history of Hamilton’s ambition and his need to “gain” ground for the lack of any early formal education.

Chernow gives us a great overview of the relationship and trust that George Washington placed in Hamilton. As Washington’s Aide-de-camp in the Revolutionary War, Hamilton forms perhaps his most significant and powerful relationship which provides him with significant influence in both constructing and implementing the early republic. During his tenure as Washington’s Aide-de camp, Hamilton proved himself most resourceful. Drafting orders and correspondence, dealing with Generals, obtaining supplies and keeping up morale were just some of the duties that Hamilton performed during this important part of American history. Despite all these tasks and responsibilities, Hamilton wanted to get back into battle. Against Washington’s wishes, Hamilton gets his wish and proves himself as a heroic and worthy General in the deciding battle at Yorktown. Reading this, some could say Hamilton was a “jack of all trades and master of all.”

With this background newly condensed and exposed in one place, Chernow goes on to show us how Hamilton contributed to our new government. Hamilton was the largest contributor to the Federalist papers, writing 51 of the 85 essays. Chernow’s chapter on this, Publius, is a spectacular overview of these important documents. As the first Treasury Secretary, Chernow documents Hamilton’s prolific report writing to Congress, bill drafting skills and sheer brass knuckle politicking to put his financial programs in place. Among others, Hamilton was the mastermind behind a bold new initiative to create federal instead of state debt. To get this done, for example, Hamilton cut a deal with Jefferson and Madison (his ultimate enemies), to relocate the capitol near Virginia (to assuage fear of federal government control and provide an economic benefit) in exchange for assumption of state debt by the federal government (higher, of course in the north, than the wealthier south).

Wielding his power and influence as Secretary of the Treasury, Chernow shows us where the extreme dislike arose between Hamilton and Jefferson, finally resulting in Washington interceding and requesting both parties to put aside their differences for the betterment of the young country. Despite his and Madison’s involvement in the Constitutional convention, Jefferson, as Secretary of State under Washington, had a very different view of how the new government was supposed to operate. As a “republican,” Jefferson envisioned a small agrian society controlled by wealthy landowners. An aristocracy built on slavery and wealthy landowners. Hamilton, on the other hand, viewed America as a potential industrial and financial power house. A meritocracy built on hard work, competition and immigration. These deep-seated beliefs brought forth the public and amazingly heated rivalry between Jefferson and Hamilton. However, as Chernow points out, it was Hamilton who wrote for the Federalist position, but it was Madison, not Jefferson himself, who wrote for the Republican view. In the end analysis, Hamilton’s view, articulately and brilliantly put forth in reports to Congress and Washington, won out. This bitter feud never subsided, but, over time, we see that it is Hamilton, not Jefferson, who was the visionary.

Unfortunately, Hamilton’s aggressive, take no prisoners attitude, finally killed him. Perhaps most well known for his duel with Arron Burr, Hamilton, as Chernow argues, could have avoided the duel. But, as Chernow shows us from his six other challenges to honor (literally fighting words in those days), Hamilton, unlike Jefferson, did not possess a quality of backing away from a fight. Unlike the apologies worked out in Hamilton’s other challenges, this final duel went forward. Living by the sword, Hamilton also died by the sword from Burr’s fatal gunshot in the early morning hours of July 11, 1804. Leaving behind his wife, Eliza Schuyler Hamilton, and seven children, Hamilton lived an amazingly full life by the age of only 49.

Kevin Quinn is a principal with the law firm of Hinman Straub P.C.

06/25/2004