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Basically, it was a ideological difference. The republicans believed in the decentralized government based on state and local power. To this end, members such as Thomas Jefferson advocated restraint in the exercise of federal power over the state authority.

Alexander Hamilton, on the other hand believed in the strong central government that could impose national policy upon the state for the good of the country. Hamilton's policy about the national debt also breed great resentment and distrust by the republicans.

In particular, the republicans though he was a power-hungry ever since he managed to push through the federal governments assumption of all state debts incurred during the revolution. Republicans felt that tying the fate of the federal government to the wealthy colonial businessmen who loaned the states most of the money during the war, gave the federal government too much power and influence in local politics. Because the businessmen were tied to the future of the government, the republicans saw this maneuver as undercutting local dissent against federal government power.

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Q: Why the republicans disagree with the principles expressed by Hamilton?
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