American Revolution
Chapter 5 – The New Nation
Get in the bowl!
We won… we’re screwed
• The United States was effectively bankrupt by the mid-1780s due to the
costs of the Revolutionary War.
• The shortage of specie (remember the Currency Act of 1765?) meant it did
not take long to drain the American coffers of gold and silver. This made
their banknotes almost worthless.
• The decision of the Continental Congress to print too much paper money
(about $242 million) led to hyper inflation (a big drop in value) as did the
existence of counterfeit money.
And the Barmy Army sang “You’re paintings are copied and your money ain’t worth shit, Paul Revere you’re a massive git!”
Robert Morris
‘Financier of the revolution’
• Congress attempted to halt the economic collapse by appointing
Pennsylvanian merchant Robert Morris as ‘superintendent of finances’.
• Morris made three major changes: he ceased printing Continental
currency; he organised loans from French and Dutch creditors and issued a
new set of banknotes backed by the reserves and he persuaded congress
to establish the Bank of North America.
• These measures eased hyperinflation for a while.
• However, the United States of America was
still in deep trouble.
Robert ‘The Boss’ Morris
Unfulfilled promises
• After some brief relief provided by Morris’
effective policies, America’s currency situation
became dire by 1783 (the end of the
Revolutionary War).
• Troops leaving the Continental Army were
promised payment for their duty but this was
often unfulfilled. Privates and non-commissioned
officers had been promised $80 payment and
100 acres of land at the start of the war and this
had increased up to $750 in Virginia as soldiers
needed increased incentive to stay in the war.
• However, neither Congress nor the states were
able to pay. They offered banknotes but these
were worthless (one soldier used his to plaster
an injured leg).
Random soldier
Phooey Pennsylvanians
• Unpaid salaries were at the heart of many mutinies during
and after the war.
• In 1782 thousands of soldiers were camped in Pennsylvania
expecting payment and discharge. They were offered a
‘furlough’ (unpaid leave) and this made them angry.
• Some suggested that the public servants should give up their
salary (some things never change).
You can take your banknotes and shove them up your furlough…
Petition from Newburgh Officers
• The Congress bankruptcy not only affected
soldiers but officers too.
• When they were short of experience in 1777 the
Continental Army had offered lifetime pensions
at half-pay but by 1781 they often couldn’t pay
up.
• In late 1782 a section of the army was camped
on a field near Newburgh, New York. With
supplies failing to arrive soldiers were starving
and resorted to stealing geese from a local
farmer (and being punished for this).
• The officers held a meeting in March 1783 to
express their grievances. George Washington
showed his strong leadership again by
responding to the petitioners, calming some
down but not all.
Congress initially claimed they couldn’t read the
‘messy handwriting’. This claim was rejected.
The Newburgh Petition
• The Newburgh petition found support in Congress, particularly the
nationalists (who would become known as Federalists, more on that later)
who wanted a stronger central government who could tax and regulate
trade.
• In June 1783 almost 500 men marched on Philadelphia, gathering
regularly at Independence Hall to demand a hearing and harass the
delegates.
• Members of Congress drafted a secret request to Pennsylvanian state
leaders, asking them to call out the local militia to disperse the soldiers (it
was refused). So they moved their meetings to
Princeton, New Jersey.
• This activity led to genuine concerns of a potential
counter-revolutionary ‘coup’ which was labelled
the Newburgh Conspiracy.
The old American saying ‘when in doubt, bully’
continued at Independence Hall, Philadelphia
Society of the Cincinnati
• In May 1783 a group of influential war veterans formed a fraternity of
military officers.
• To be a member you needed to have served at least three years in the
Revolutionary War at lieutenant rank or higher.
• Washington was the president-general and all his rich/important mates
(Lafayette, von Steuben, Kosciuszko, Hamilton, Green, Jones etc.) were
members.
• Critics of the group claimed that it resembled a European knightly order.
These included John Adams and Thomas Jefferson who were excluded
because of their lack of military service.
Another American tradition –
elitist greed and nepotism!
1783 Treaty of Paris
•
•
•
•
The 1783 Treaty of Paris formally ended the Revolutionary War, two years after the major
battles had ended.
Negotiations were left to American diplomats in France, particularly Benjamin Franklin,
John Adams and John Jay.
By late 1782 these men had developed a set of terms that were extremely favourable to
the United States.
This included:
- British recognition of the United States of America;
- A surrender of British territory between the Appalachian Mountains and Ohio River;
- Drawing of borders between the US and British-occupied Canada to the north;
- Fishing rights on the coast of Newfoundland,
- honouring of debts from before the revolution;
- American states ‘encouraged’ to compensate
Loyalists for land and property seized in the revolution;
- Both nations to enjoy access to the Mississippi River.
All done? Lets drink wine and laugh at the French
1783 Treaty of Paris
• These generous terms sparked an angry response in London.
The British slave trader Richard Oswald (negotiator for Britain)
was accused of conceding too much and gaining too little.
• The treaty was voted down three times in February 1783,
resulting in a ‘no confidence’ vote and leaving Britain without
a Prime Minister for a month.
• However, in the end, they were sick of the war so signed the
treaty, which was considered a significant victory for America
and its diplomats.
The French came out with stuff all from the treaty
Washington is the bestest
• On the evening of 4 December 1783
George Washington attended his
final mess dinner in New York. Only
four of his fellow generals attended
(most had returned to their native
states).
• Firstly, Washington asked for money
for expenses (which he received in
paper bonds) and then resigned his
position.
• By surrendering his military
command he opened up the
possibility for a democratically
elected leader (him) rather than
taking on a military ruler position as
was the usual trend at that time (see
Napoleon, France) or even to
become an American monarch.
• Washington returned home to
Mount Vernon for Christmas.
At a ceremonial dinner in 1783 George Washington
farted, creating enough natural gas for the USA to justify
avoiding the Climate Change issue for centuries to come.
I’m a loyalist… I’m screwed
• American’s who were loyal to the British crown during the war were faced
with a dire predicament.
• They were often persecuted (even assaulted) an at risk of losing their land
and possessions (even though the Treaty said they shouldn’t).
• Then again perhaps this was fair enough because the Crown had a policy
of confiscating the property of traitors too.
• So, Loyalist land was forfeited to the state and used to fund continental
loans. Laws were passed banishing the loyalists and they were also
declared guilt of crimes (see New York, 1779). In Virginia they were
labelled ‘enemy aliens’. In Massachusetts they passed the Banishment Act
of 1778.
Cows loyal to the throne were bullied mercilessly
On yer bike!
• The end of war and Treaty of Paris
briefly raised hope of improvement
for Loyalists.
• The negotiation of fair
compensation showed concern for
the fate of Loyalists but it was only
‘recommended’ that they be paid
for lost property (so they weren’t).
• An exodus of Loyalists ensued with
between 80,000 and 100,000
Loyalists leaving the US. Some went
to England or the West Indies and
many went to Canada (usually with
only some of their possessions).
They went here
I’m a native… I’m screwed
•
•
•
•
•
•
•
Most Native American’s supported the British during the
Revolutionary War and were left in a vulnerable position
following the American victory (many tribal leaders had to
be told who won).
The Treaty of Paris contained no statements about Britain’s
‘Indian’ allies, leaving them with a choice to submit to the
American’s or fight.
The American’s saw the natives as traitors (somewhat
unfair) and an obstacle to western expansion.
This led to hostility towards ‘Indians’ in the frontier areas.
Eventually the Confederation Congress developed a more
sensible policy by negotiating with the tribes (eventually
allocating ‘reserves’ for them to live on).
Despite this, conflict (sometimes supported by the British)
continued with the outbreak of the Northwest Indian War
in 1786.
American’s continued to push westwards, with the lure of
cheap land outweighing the dangers of conflict. In October
1786 ‘Logan’s Raid’ destroyed Shawnee villages in Ohio,
just part of the ‘scorched earth’ approach of frontier
militias.
This marker recognises yet
another example of the
American’s being greedy and savage .
I’m a slave… I’m screwed (mostly)
•
•
•
•
The experiences of African-American’s after the treaty often depended on
where they lived, with people in the northern states being less likely to keep
slaves.
In Pennsylvania, slavery had declined prior to 1775 and continued to do so.
Pacifist groups like the Quakers campaigned against slavery. Benjamin Franklin
became their leader after returning from Europe in 1785 (even though he had
owned slaves in the past). This campaigning led to the ‘Gradual Abolition of
Slavery’ Act of 1780.
Other northern states adopted a similar
approach, except for Rhode Island who
actually increased its slave-trade (selling
many to the southern states).
Emancipation was blocked in New York,
due to the fear of Negro’s being free moreso
than a desire to keep slaves (why do you
think this would have been an issue?).
It was a start
I’m a slave… I’m screwed (mostly)
• However, most of the slaves (about 80%)
lived in the southern states who were not
as keen on the emancipation movement.
• Virginia had banned the slave trade and
allowed the voluntary freeing of slaves,
with leaders like Jefferson (a slave owner)
condemning the trade. However, with
more than a third of its population made
up of slaves, emancipation was a risk
(economically and socially) so the proposal
to end slavery was unsuccessful.
• After the war, slaves who had been owned
by Loyalists were sold to new owners,
while others fled.
The fear of freed slaves ‘fighting back’
was a real concern for their masters
Ignoring the treaty
• The Treaty of Paris was a success for the
new USA, granting them sovereignty, land
and rights as a new nation.
• However, the terms of the treaty were not
universally followed.
• One problem was that most American
states ignored the fifth and sixth articles
regarding Loyalists and their property,
while merchants and businessmen also
ignored the fourth article regarding prerevolution debts to British merchants.
• Britain, believe that the ‘united’ states
would soon disintegrate into smaller
confederacies continued to be present in
the western territories with George III
ordering troops to remain in the northwest and British troops encouraging local
tribes to attack American settlers.
As with the Versailles Treaty of WW1
‘winning’ a treaty isn’t always as good
as it sounds.
Britain fights back
• A major economic problem for the
new USA was that the British
refused to negotiate a new
commercial (trade) treaty.
• In July 1783 colonial governors in
the British West Indies received
orders to cease trading with
American ships, cutting off their
access to profits and critical goods
(including molasses). They also
stopped buying American products.
• This led to an American trade deficit
of 2.7 million pounds by 1784.
Fort Mackinac (yackity yack)
Finding trading partners
• Now free from British controls (mercantilism),
American merchants sought out new trading
partners.
• They turned to the French, who were in a
desperate economic situation and not keen to
risk losses by allowing newcomers into their
markets.
• It was also difficult to trade with Spain, who
had gained control of New Orleans in the
south-west. The Spanish had signed a separate
treaty to have access to the Mississippi but in
1784 they decided to block the river mouth to
non-Spanish ships and also encouraged native
tribes to resist frontier settlements in South
Carolina and Georgia. Were they trying to take
advantage of a weak USA?
European empires deliberately
made trading difficult, hoping
the USA would collapse.
Pirates!
• American trading ships also ran into
trouble when faced with Barbary
pirates near Africa.
• Previously they would have been left
alone because of their connections
with Britain and France.
• The American’s tried to bribe the
pirates but, as Thomas Jefferson
warned, this only led to more attacks!
Pirates also made trading difficult
A lack of unity?
• Without a strong economic link (the Articles of Confederation formed only
a ‘league of friendship’) the states continued to negotiate their own trade
deals separate of congress.
• Delegates of Congress were rightly concerned that having separate deals
would generate tension and rivalry. In April 1784 Virginia and Maryland
proposed an alteration to the Articles of Confederation suggesting that
congress should have sole authority for regulating trade.
• However, no other state would ratify the proposal suggesting that the
United States were not united at all. The United States were now involved
in a trade war with the British, French and Spanish empires and Congress
had little control over the economy.
Source: The Federalist debate for dummies
Calling in the debts and taxes
• By 1785 the economic slump continued in many parts of the United States. The
revolution had promised peace, prosperity and stability for all Americans but
this wasn’t the case.
• Congress passed on responsibility for paying ex-soldiers to the states, who
rarely delivered. The states, for their part, were very reluctant to send money to
congress.
• With many people in debt, state governments encouraged their creditors to
pursue these debts. In Worcester County, Massachusetts there were 4789 legal
actions against debtors between 1784 and 1786, affecting almost one-third of
adult males. This was four times as many as the 1770 to 1772 figure.
• On top of this the states imposed high taxes to cover their costs (sounds
familiar?), so people were again upset and struggling to pay their bills.
This graph shows how the US economy
improved post-constitution. Coincidence
or correlation?
Shays Rebellion
• New Massachusetts Governor James
Bowdoin introduced a fifteen-year program
of increased taxes and also restricted
voting to property owner meaning that
residents were taxed more and
represented less than they had been
before the revolution.
• In August 1786 Daniel Shays property was
allegedly seized by a debtors court. Shays,
an ex-captain of the Continental Army,
joined others in protesting the state’s debt
recovery regime.
• In September 1786 he led several hundred
men in a march on the Springfield court,
forcing it to close. This continued
throughout Massachusetts.
America v America developed
into Patriot v Patriot
Shays Rebellion
• In January 1787 Shay’s led another assault,
backed by 1200 men, on the federal arsenal at
Springfield, Massachusetts.
• General Benjamin Lincoln (also a Revolutionary
War veteran) rebuffed his petition and gave an
order to attack.
• The rebels fled to the north-east, were
defeated and Shays was branded a traitor and
sentenced to death (he was later granted a
governor’s pardon).
• The rebels underwent trials involving
humiliation and public retraction.
‘Come at me brah’
- Lincoln, 1787
The Articles of Confederation
• It has been argued that the Articles of
Confederation, aimed at maintaining the
independence of the thirteen states,
contributed to America’s political instability.
• Jensen suggests that this might be unfair
because it doesn’t take into account all the
other factors (war, depression etc.) that
would have made the success of any
constitution difficult.
• Most historians are critical because the
Articles failed to build a sense of national
unity or central control. This is evident in the
way that the states conducted themselves
with the Congress being described as a ‘head
without a body’.
Source: Why the Articles were
crap for dummies
The Articles of Confederation
• Morris argues that the lack of support offered by the selfinterested states to the central government allowed the British
to bully the United States with their trade policies.
• Beard argues that the ‘idealism’ of the revolution was
replaced with a focus on commercial interests. With
philosophers like Jefferson, Paine and Sam Adams being
replaced by men of property, trade and finance. Many of these
men were annoyed by taxes but had no desire to separate
from the British before the revolutionary war.
Source: Why the Articles were
crap for dummies
The Articles of Confederation
• Jensen reminds us that the Articles had
encountered opposition from the start, with
federalists arguing for stronger national
controls and the states being reluctant to do
so.
• The Progressive interpretation is that it was
not government (or the Articles) that was
the problem but the overall circumstances
of the time.
• Nevertheless, the apparent failure of the
‘Articles of Confederation’ led to the need
for a new constitution.
Source: Why the Articles were
crap for dummies who need
pictures to read stuff
Significance of Shay’s Rebellion
• The Shay’s incident inspired further uprisings in
Massachusetts and nearby states.
• With public opinion on the side of the rebels,
politicians were under pressure to help debtstricken farmers by lowering taxes and easing the
laws related to debt repayment.
• Some historians view Shay’s Rebellion as evidence
of the incompetence of state and national
governments and others as revolutionary activity
as part of a wider class struggle. Szatmary suggests
that the rebellions contributed to the growth of
federalism saying that ‘the uprising… has a historic
significance much deeper than that of a regional
chronicle… the crisis atmosphere engendered by
[rural] discontent strengthened the resolve of the
nationalists and shocked some reluctant localists
into accepting a stronger national government’.
Shay’s Rebellion inspired
stone masons to make
better gravestones because
this one is rubbish