New nation faces challenges Flashcards
Problems with treaties/why important (Britain)
Treaty of paris 1783-could not force Britain to turn over forts on american side of great lakes. why important: (these protect valuable land & fur trade routes)
problems with trade/why important (Britain) #1
Britain closed many ports to US shipping West indies. Why important( american ships traded great deal with west indies
Problems with trade/why important (Britain) #2
Britain forced US to pay high tariffs. Why important- US merchants had to raise prices to cover the cost of tariffs- cost was passed onto consumers who had to pay higher prices for goods.
What kind of stuff did Britain force us to pay high tariffs on?
rice, tobacco, tar, oil.
Problems with treaties/ why important (Spain)
1784 spain closed lower mississippi river to US shipping-violation of treaty of paris 1783. why important- congress tried to work out an agreement but the plan did not pass Congress- Spain broke off negotiations
Problems with trade/why important(Spain)
Could not use Mississippi River for trade. why important- Western farmers & merchants were furious they used mississippi river to send goods to eastern and foreign markets
Tariff
taxes on imports and exports
Interstate Commerce
trade between 2 or more states (which congress didnt have)
inflation
increase in prices & services combined with reduced value of money
Depression
low economic activity with rise in unemployment
commerce
trade
name as many effects (impacts) of closed markets as you can
!. Had to hire British ships to transport goods - VERY EXPENSIVE!
- American exports dropped
- Farmers could no longer export goods to British West Indies
- British goods flowed freely into the US
- British merchants could sell manufactured products in US at lower prices than US goods (hurt local business)
3 economic problems and there effects
Trade among states —>made trade difficult for merchants whose business crossed state lines, war debts—->INFLATION, weak economy—> DEPRESSION
Shays rebellion
uprising of farmers to protest high taxes & heavy debts
shays rebellion cause & effect
cause: high taxes on land and heavy debt caused farmers in 3 western countries in massachusetts to form
effect: Farmers shut down supreme court in springfield, massachusetts. forces were defeated by Massachusetts state troops and put in prison. state freed most of the rebels, including shays