THE CONFEDERATIONChapter 5 Section 1
The Achievements of the Confederation Congress
In Nov. 1777, the Continental Congress adopted the Articles of Confederation and Perpetual Union a plan for a loose union of states under
the authority of Congress Written by John Dickinson
Articles of Confederation
Established a weak central government gave more power to the state gov’ts
Once a year each state sent a delegate to the Confederation Congress Could declare war, raise armies, and sign
treaties Could not impose taxes and regulate trade
Western Policies
Only way the Conf. Congress could make money was to sell land west of the Appalachian Mountains Land Ordinance of 1785=established a
method for surveying western lands Townships=six miles square
Divided into 36 sections=1 squared mile Northwest Ordinance (1787)
Created new territory N. of Ohio River and E. of Mississippi River Could eventually be divided into 3-5 states
Northwest Territory
Northwest Territory
Northwest Territory
Western Policies
Congress chose governor, a secretary, and three judges 5,000 adult males=territorial legislature Pop. reached 60,000=apply for statehood
Guaranteed certain rights Freedom of religion Property rights Right to trial by jury Free public education No slavery in the Northwest Territory
Success in Trade
After American Revolution, the British government imposed restrictions on American access to British markets Force Congress to negotiate trade
treaties w/ France, Holland, Prussia, and Sweden By 1790, trade in the U.S. was ↑ than
trade in the colonies before the Revolution
Congress Falters
Problems With Trade After Revolutionary War, inexpensive
British goods flooded U.S. markets driving Americans out of business
American states fought back with duties Weren’t all the same=British still imported
goods into U.S. States began establishing customs posts
on state’s borders Wanted to prevent British from exploiting
different trade laws
Congress Falters
Each state levied taxes on their own goods to raise money Causes problems with trade Each state was acting as their own
country=threat to unity of U.S.
Problems With Diplomacy Had problems with Britain and Spain
British Problems=British lenders couldn’t receive payment for loans before the A.R., Loyalist lands confiscated during A.R. weren’t returned=British upset
Congress Falters
British wouldn’t leave American soil (occupied land near Great Lakes)
Spanish Problems=territory dispute b/w Georgia and Spanish territory, Spanish cutoff the use of the Mississippi River= closed river to farmers, couldn’t transport goods Confederation Congress could do nothing=can’t
regulate trade and impose taxes
Economic Crisis End of the Revolutionary War and the
restraining of economic activity by the British led to severe recession
Congress Falters
Farmers most affected=had to borrow money to grow crops
Increased debt for the from the Revolutionary War left Congress and states in debt Issued bonds to wealthy merchants and planters
Wanted them redeemed in gold and silver States were encouraged to make paper
money=help people payoff debt Paper money wasn’t trusted=wasn’t backed by
gold and silver Cause inflation=decline in value of money
Lenders opposed this b/c they wouldn’t receive true amount they were owed
Congress Falters
In 1785, 7 states issued paper money Read pg. 161 second paragraph
People with property were upset=poor debt-ridden citizens controlled the gov’t These citizens were even being elected to
office
Shay’s Rebellion
Erupted in Massachusetts in 1786 Mass. raised taxes instead of issuing paper
money Taxes fell heavily on farmers=poor farmers in
western part of state Couldn’t pay taxes=loss of farm
Farmers in western Mass. Rebelled Closed down county courthouses=prevented
farm foreclosure Marched on state supreme court
Daniel Shays= a former captain in the Continental Army and now a bankrupt farmer, emerged as one of the leaders of the rebellion
Shay’s Rebellion
In January 1787, Shays and about 1,200 farmers headed to state arsenal Wanted to seize weapons and planned to
march on Boston Governor sent 4,000 volunteers and Gen.
Benjamin Lincoln to defend the arsenal Shays attacked and the militia defended
the arsenal 4 farmers were killed the rest scattered
Next day Gen. Lincoln arrived and ended the rebellion
Shay’s Rebellion
Shay’s Rebellion
A Call for Change
People with greater income and social status viewed the rebellion and inflation as signs that the republic was at risk Feared stronger state gov’ts
Would take from them and give to poorer people
Many people began to argue for stronger central gov’t Confederation failing to deal with
rebellion, trade, and diplomacy led to a call for change