Some might say that, but it more truly fits into a misrepresentation of Hamilton's true motivation.
I don't think that there is one in 100 students today that can explain banking, particularly as it was used by Hamilton and his statist friends.
In 1790, Alexander Hamilton recommended indiscriminate assumption of individual state debt, and the creation of national debt.
Why? Good will? Of course not!
At issue was the fate of debt certificates or notes issued by the Continental Congress and the states during the Revolution.
These notes had circulated as money and had, by their rapid multiplication, quickly lost value. Speculators bought them up at depressed values (10% or less of face value), expecting a new federal regime with enhanced taxing powers to pay off the notes at rates closer to face value.
These proposals, funding – creation of new public debt in the course of paying off the old debt, and assumption, federal payment of state debts, were the heart and soul of Hamilton's nationalist movement.
The logic was impeccable: By the mid-1780s, the states were sopping up their debts by retiring them at rates close to their actual market value. If this process were finished, there would be less reason for nationalists in the Confederation Congress to press for a new taxing power (the impost). It became critical for the advocates of centralized government to put through a new plan of government as soon as possible. They had succeeded and were now addressing, through funding and assumption, one of their key goals.
Aside from redistributing wealth from the general public to bondholders, and between different classes of bondholders, assumption was meant to hasten “the reduction of the State governments….”
Hence, one Senator said,
“Hamilton’s spokesmen scarce disguise their design, which is to create a mass of debts which will justify them in seizing all the sources of Government, thus annihilating the State Legislatures and creating an empire on the basis of consolidation.”
Hamilton, just like John Adams and the rest of their party, were moving toward dismantling the basis of the Constitution.....liberty, justice, states rights, and equality before the law.
One of my relatives killed Hamilton. He thought it was the right thing to do at the time.