Read "Historical Perspectives: What Caused Political Parties?" on pages 142-143. What are the two prevailing views on why parties formed in the early republic?

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If you are talking about United States politics at the beginning of the nation, then prevailing views on why parties formed in the early republic were that since the beginning there were two different views of how to form a government for the United States.

One side was known as the Federalists, led by people like Alexander Hamilton, Jhon Jay, and James Madison. They believed in a strong central government for the new nation. On the other hand, there were the Antifederalists like Thomas Jefferson, who opposed a strong central government because they thought it could derive into tyranny, as had been the case of the English monarchy.

Indeed, that is what President George Washington feared and the reason why he did not support the formation of parties, because they could lead to a divided nation.