Jefferson was re-elected President in 1804. He was himself doubtful about the desirability of a second tenure, but the appearance at the moment of a series of particularly foul attacks upon his private character made him feel that to retire would amount to something like a plea of guilty. Perhaps it would have served his permanent fame better if he had not accepted another term, for, owing to circumstances for which he was only partly to blame, his second Presidency appears in history as much less successful than his first.

Its chief problem was the maintenance of peace and neutrality during the colossal struggle between France under Napoleon and the kings and aristocracies of Europe who had endeavoured to crush the French Revolution, and who now found themselves in imminent peril of being crushed by its armed and amazing child.

Jefferson sincerely loved peace. Moreover, the sympathy for France, of which he had at one time made no disguise, was somewhat damped by the latest change which had taken place in the French Government. Large as was his vision compared with most of his contemporaries, he was too much soaked in the Republican tradition of antiquity, which was so living a thing in that age, to see in the decision of a nation of soldiers to have a soldier for their ruler and representative the fulfilment of democracy and not its denial. But his desire for peace was not made easier of fulfilment by either of the belligerent governments. Neither thought the power of the United States to help or hinder of serious account, and both committed constant acts of aggression against American rights. Nor was his position any stronger in that he had made it a charge against the Federalists that they had provided in an unnecessarily lavish fashion for the national defence. In accordance with his pledges he had reduced the army. His own conception of the best defensive system for America was the building of a large number of small but well-appointed frigates to guard her coasts and her commerce. It is fair to him to say that when war came these frigates of his gave a good account of themselves. Yet his own position was a highly embarrassing one, anxious from every motive to avoid war and yet placed between an enemy, or rather two enemies, who would yield nothing to his expostulations, and the rising clamour, especially in the West, for the vindication of American rights by an appeal to arms.

Jefferson attempted to meet the difficulty by a weapon which proved altogether inadequate for the purpose intended, while it was bound to react almost as seriously as a war could have done on the prosperity of America. He proposed to interdict all commerce with either of the belligerents so long as both persisted in disregarding American rights, while promising to raise the interdict in favour of the one which first showed a disposition to treat the United States fairly. Such a policy steadily pursued by such an America as we see to-day would probably have succeeded. But at that time neither combatant was dependent upon American products for the essentials of vitality. The suppression of the American trade might cause widespread inconvenience, and even bring individual merchants to ruin, but it could not hit the warring nations hard enough to compel governments struggling on either side for their very lives in a contest which seemed to hang on a hair to surrender anything that might look like a military advantage. On the other hand, the Embargo, as it was called, hit the Americans themselves very hard indeed. So great was the outcry of the commercial classes, that the President was compelled to retrace his steps and remove the interdict. The problem he handed over unsolved to his successor.

That successor was James Madison, another Virginian, Jefferson's lieutenant ever since the great struggle with the Federalists and his intimate friend from a still earlier period. His talents as a writer were great; he did not lack practical sagacity, and his opinions were Jefferson's almost without a single point of divergence. But he lacked Jefferson's personal prestige, and consequently the policy followed during his Presidency was less markedly his own than that of his great predecessor had been.

Another turn of the war-wheel in Europe had left America with only one antagonist in place of two. Trafalgar had destroyed, once and for all, the power of France on the sea, and she was now powerless to injure American interests, did she wish to do so. England, on the other hand, was stronger for that purpose than ever, and was less restrained than ever in the exercise of her strength. A new dispute, especially provocative to the feelings of Americans, had arisen over the question of the impressment of seamen. The press-gang was active in England at the time, and pursued its victims on the high seas. It even claimed the right to search the ships of neutrals for fugitives. Many American vessels were violated in this fashion, and it was claimed that some of the men thus carried off to forced service, though originally English, had become American citizens. England was clearly in the wrong, but she refused all redress. One Minister, sent by us to Washington, Erskine, did indeed almost bring matters to a satisfactory settlement, but his momentary success only made the ultimate anger of America more bitter, for he was disowned and recalled, and, as if in deliberate insult, was replaced by a certain Jackson who, as England's Ambassador to Denmark in 1804, had borne a prominent part in the most sensational violation of the rights of a neutral country that the Napoleonic struggle had produced.

There seemed no chance of peace from any conciliatory action on the part of Great Britain. The sole chance hung on the new President's inheritance of Jefferson's strong leaning in that direction. But Madison was by no means for peace at any price; and indeed Jefferson himself, from his retreat at Monticello, hailed the war, when it ultimately came, as unmistakably just. For a long time, however, the President alone held the nation back from war. The War Party included the Vice-President Munroe, who had been largely instrumental in bringing about the Louisiana purchase. But its greatest strength was in the newly populated West, and its chief spokesman in Congress was Henry Clay of Kentucky.

This man fills so large a space in American politics for a full generation that some attempt must be made to give a picture of him. Yet a just account of his character is not easy to give. It would be simple enough to offer a superficial description, favourable or hostile, but not one that would account for all his actions. Perhaps the best analysis would begin by showing him as half the aboriginal Westerner and half the Washington politician. In many ways he was very Western. He had a Westerner's pugnacity, and at the same time a Westerner's geniality and capacity for comradeship with men. He had to the last a Westerner's private tastes—especially a taste for gambling—and a Westerner's readiness to fight duels. Above all, from the time that he entered Congress as the fiercest of the "war hawks" who clamoured for vengeance on England, to the time when, an old and broken man, he expended the last of his enormous physical energy in an attempt to bridge the widening gulf between North and South, he showed through many grievous faults and errors that intense national feeling and that passion for the Union which were growing so vigorously in the fertile soil beyond the Alleghanies. But he was a Western shoot early engrafted on the political society of Washington—the most political of all cities, for it is a political capital and nothing else. He entered Congress young and found there exactly the atmosphere that suited his tastes and temperament. He was as much the perfect parliamentarian as Gladstone. For how much his tact and instinct for the tone of the political assembly in which he moved counted may be guessed from this fact: that while there is no speech of his that has come down to us that one could place for a moment beside some of extant contemporary speeches of Webster and Calhoun, yet it is unquestionable that he was considered fully a match for either Webster or Calhoun in debate, and in fact attained an ascendancy over Congress which neither of those great orators ever possessed. At the management of the minds of men with whom he was actually in contact he was unrivalled. No man was so skilful in harmonizing apparently irreconcilable differences and choosing the exact line of policy which opposing factions could agree to support. Three times he rode what seemed the most devastating political storms, and three times he imposed a peace. But with the strength of a great parliamentarian he had much of the weakness that goes with it. He thought too much as a professional; and in his own skilled work of matching measures, arranging parties and moving politicians about like pawns, he came more and more to forget the silent drive of the popular will. All this, however, belongs to a later stage of Clay's development. At the moment, we have to deal with him as the ablest of those who were bent upon compelling the President to war.

Between Clay and the British Government Madison's hand was forced, and war was declared. In America there were widespread rejoicings and high hopes of the conquest of Canada and the final expulsion of England from the New World. Yet the war, though on the whole justly entered upon, and though popular with the greater part of the country, was not national in the fullest sense. It did not unite, rather it dangerously divided, the Federation, and that, unfortunately, on geographical lines. New England from the first was against it, partly because most of her citizens sympathized with Great Britain in her struggle with Napoleon, and partly because her mercantile prosperity was certain to be hard hit, and might easily be ruined by a war with the greatest of naval powers. When, immediately after the declaration of war, in 1812, Madison was put forward as Presidential candidate for a second term, the contest showed sharply the line of demarcation. North-east of the Hudson he did not receive a vote.

The war opened prosperously for the Republic, with the destruction by Commander Perry of the British fleet on Lake Ontario—an incident which still is held in glorious memory by the American Navy and the American people. Following on this notable success, an invasion of Canada was attempted; but here Fortune changed sides. The invasion was a complete failure, the American army was beaten, forced to fall back, and attacked, in its turn, upon American soil. Instead of American troops occupying Quebec, English troops occupied a great part of Ohio.