Decent Essays

Finally, Independence, what’s next? This question addresses what many Americans felt following their independence from Britain. After the Revolutionary War, the infant nation struggled to develop the democratic nation that is situated today. The creation of the government was a major task that will help establish the basic functions of the national government and ensure the success of the nation. The Articles of Confederation was notably the first system of government that was proposed and implemented. It was drafted by Congress in 1777, spelling out the official set of laws to govern the United States of America. Between 1780 to 1791 was a critical time for the Americans because many problems they faced directly affected the future of …show more content…

the lengthy and costly war stripped not only the state treasuries but also the private wealth. The Congress was left with only two options: either to print more money or acquire loans to meet the budget deficit. In effect, they did both but relied heavily on printing money since it seemed like an easier option. $209 million of notes was printed by the states and the Congress released more than $240 million in an effort to fund the war. Unfortunately, their attempt to stabilize the economy backfired. It worsened and led to hyperinflation. “’bills of promise had begun to lose their value almost as soon as they hit the streets… A paper Continental dollar was worth about five percent of a silver dollar (Alphahistory).’” The national government’s paper currency, the Continental, was virtually worthless which eventually led to bankrupt for the country and its states. The United States had no currency nor a successful bank to regulate it. The economy was in the slump, prices were increasing, and the inflation was only overcomplicating and hurting the nation.

The damage on the economy also led to other problems In the country. The nation faced many internal threats such as the Shays Rebellion. The Article of Confederation was the first, official written constitution of the newly formed nation. Famously, it was the first attempt to create the national government. The constitution had its strengths; Congress was able to declare war, deal with Natives and foreign affairs,

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