_Secretary of the Treasury: Funding._ His place as financier in United States history, 170; Jefferson's choice for secretary of treasury, 178, 179; hated by Federalists in Senate, 178; assigned to Treasury by public opinion, 179; doubts his abilities and chances of confirmation by Senate, 180; plans to move to New York, 180; refuses to accept until confirmed by Senate, 181; finally agrees to serve, 181; brings family to Washington and enters on duties, 181, 182; his thoroughness, 182; exhausts himself by his energy, 182; sketch of his financial career in Pennsylvania and in Congress, 183, 184; his one principle the extinguishment of debt, 184; publishes sketch of the finances in 1796, 184; publishes in July, 1800, "Views of Public Debt," etc., 184, 185; ability of these essays, 185; outlines policy of expenditures and receipts to Jefferson, 186; endeavors to systematize treasury statements, 186; points out economic reasons for increase of revenue, 187; urges specific appropriations by Congress and absence of departmental discretion, 187; urges reduction, both of debt and of taxes, 188; unable to work with other departments because of Jefferson's habits, 188; lack of elasticity in his plans, 189; embarrassed by complications in department, 189; his first report to Congress, 190; denies existence of any surplus, 190; explains plan for extinction of debt by 1817, 191; given authority by Congress, 192; table showing success of his measures, 192; in spite of Louisiana purchase, reduces debt by one third, 192, 194; dissatisfied with financial terms of Louisiana purchase, 193; novelty of his distinction between place of payment of interest and principal, 195; arranges that Louisiana debt shall not retard payment of old debt, 196, 197; his report of 1805, 107; proposes funding of outstanding obligations in 1807, 198; reports a full Treasury on occasion of threatened war with England, 198; discusses application of surplus to war expenses, 199; suggests methods of war taxation, 200; prefers war to embargo, 201; draws the embargo bill, 201; discusses its financial effect, 201, 202; confident attitude as to war loans, 202; his policy supported by Jefferson, 203; realizes that war will prevent reduction of debt, 203, 204; relies on customs, tonnage dues, and land sales for revenue, 204; reports deficiency owing to embargo, 204; forced to borrow, 204; reviews situation in 1811 with satisfaction, 205, 206; asks for increase of revenue in case of war, 206; proposes war loans, 207; and interest-bearing treasury notes, 207; insists on actual increased receipts, not apparent measures, 207, 208; on necessity of upholding credit, 209; receives authority from Congress, 209; submits war budget, 209, 210; his last annual statement in 1812, 211; reports need of new loans, 212;