Economic Challenges Post-Revolutionary War

The Articles of Confederation, America's first founding document, lacked the power to tax, enforce laws, or maintain a standing army, leaving the national government weak. Post-revolution, economic struggles and debt issues arose, leading to Shay's Rebellion, where farmers protested foreclosures. This highlighted the need for a stronger central government, resulting in the creation of the US Constitution.

What was a major limitation of the Articles of Confederation?

• It gave too much power to the national government.

• It required unanimous consent for amendments.

• It could not enforce laws or maintain a standing army.

• It allowed states to print their own money.

Why did many men take out loans during the Revolutionary War?

• To keep their farms operational while they were fighting.

• To invest in new businesses.

• To buy weapons for the war effort.

• To pay off existing debts.

How did the states sometimes respond to the demands of creditors after the war?

• By providing loans to creditors.

• By increasing taxes on debtors.

• By ordering creditors to forgive debts.

• By confiscating debtor properties.

What was one consequence of the states refusing to provide more money to the government?

• The government increased taxes.

• The government printed more money, leading to inflation.

• The government borrowed more from Britain.

• The government sold land to raise funds.

What was one of the financial challenges faced by the new nation after the war?

• Trade surplus with Europe.

• Debt from loans taken during the war.

• Excessive gold reserves.

• Overproduction of agricultural goods.

What was a significant impact of the economic crisis on farmers who fought in the revolution?

• They gained more political power.

• They were able to expand their farms.

• They lost their property and voting rights.

• They received government subsidies.

Who led the rebellion to prevent foreclosures on farms?

• Alexander Hamilton

• Daniel Shay

• Thomas Jefferson

• George Washington

What did Shay's Rebellion reveal about the national government under the Articles of Confederation?

• It was highly efficient in dealing with uprisings.

• It had strong support from all states.

• It was unable to maintain order and enforce laws.

• It was too powerful and oppressive.

What was the outcome of the weaknesses revealed by Shay's Rebellion?

• The Articles of Confederation were strengthened.

• The states gained more power over the national government.

• A new constitution was drafted to create a stronger central government.

• The rebellion was completely ignored by the government.

What was the fate of Daniel Shay after the rebellion?

• He moved to Europe.

• He ended his life in poverty.

• He was elected to Congress.

• He became a wealthy landowner.