1. America under the Articles of Confederation
A Partial Success

2. Powers of the Articles could request money from states but not tax
Could declare war but not raise armies
Could negotiate treaties with other nations and Indians
Couldn’t regulate interstate trade
Had several departments
War
Post Office- Franklin
Finance- Robert Morris
Foreign Affairs- John Jay

3. Dealing with Western Land
Land Ordinance of 1785
“old Northwest”
surveyed and sold western lands to pay national debt
Divided into 36 sq. mile townships
Sold in 640 acre lots for 1$ a acre
One lot per township to build a school and hire a teacher

4. A Vital Law Northwest Ordinance (1787)-
organized gov. for territories & provided a method to become equal states when pop. reached 60,000
Guaranteed natural rights
Outlawed slavery in the territories

5. Weaknesses- Financial
Worthless paper money
Awful credit
Market flooded by British imports forcing American businesses into bankruptcy
States put tariffs on each other depressing trade

6. Weaknesses- Dealing with other Nations
Denied foreign markets for trade
Problems with Spanish & English in west
Couldn’t make states pay debts owed foreign nations
Barbary Pirates began to seize American ships for ransom

7. Weaknesses-Maintaining Order
Newburgh Conspiracy (1783)- army officers threatened coup over not being paid
Wanted to overthrow Congress and establish a monarchy
Stopped by Washington

8. The Final Straw Shay’s Rebellion (1786)
farmers in western Massachusetts rebel over foreclosures and lack of paper money
Led by Daniel Shays
Congress is unable to take any action
People fear anarchy
Put down by militia led by Benjamin Lincoln
Demonstrated that the Articles were too weak