The Democratic-Republican Party, also referred to as the Jeffersonian Republican Party, was an American political party founded by Thomas Jefferson and James Madison in the early 1790s that championed liberalism, republicanism, individual liberty, equal rights, decentralization, free markets, free trade, agrarianism, and sympathy with the French Revolution. The party became increasingly dominant after the 1800 elections as the opposing Federalist Party collapsed.
The Democratic-Republican Party originated in Congress to oppose the nationalist and economically interventionist policies of Alexander Hamilton, who served as Secretary of the Treasury under President George Washington. The Democratic-Republicans and the opposing Federalist Party each became more cohesive during Washington’s second term, partly as a result of the debate over the Jay Treaty. Though he was defeated by Federalist John Adams in the 1796 presidential election, Jefferson and his Republican allies came into power following the 1800 elections. As president, Jefferson presided over a reduction in the national debt and government spending, and completed the Louisiana Purchase with France.