Question

Hamilton expected that the revenue to pay the interest on the national debt would come from

A. sales taxes and licensing fees
B. customs duties and excise tax
C. income and property taxes
D. western land sales and foreign loans
E. foreign aid

Answer 1

Hamilton anticipated that customs duties and excise tax would generate the revenue needed to cover the interest on the national debt, aligning creditors with the nation's future. The correct answer is option B.

Step-by-step explanation:

Alexander Hamilton expected that the revenue to pay the interest on the national debt would come primarily from customs duties and excise tax. Hamilton's financial plan involved the federal government selling bonds and having a steady revenue stream to pay the interest on these bonds. By focusing on customs duties and excise taxes, Hamilton aimed to build creditworthiness and loyalty among the wealthy creditor class, which would then invest in the nation's future.