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All Western lands were given up to the Articles of Confederation. Need to organize it, etc.

1. Land Ordinance of 1785:

-Created a system of townships which provided for orderly sale and settlement of land in Northwestern territory.

-Funds from the sale of one section of land to be designated for schools in the area.

Set the rules for creating new states.

Creates 3-5 new territories in Northwest

Population of 5,000 may elect Assembly

Population of 60,000 may petition for statehood

Bill of Rights provided

Slavery outlawed

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From 1781 to 1788

Government created by the Articles:

John Dickinson of Pennsylvania wrote the Articles of Confederation.

- Consisted of only a Confederation Congress

- Each state had only one vote

- Laws passed by 2/3rd's majority and amendments had to be unanimous.

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"Consisted of only a Confederation Congress"

Not having an executive branch/judicial branch is a weakness because there is no separation of power.

"Each state had only one vote"

Large states perhaps will be underrepresented and small states will be over-represented.

"Laws passed by 2/3rd's majority and amendments had to be unanimous."

There is not much flexibility especially towards change

They saw safety in this.

"Could not levy direct taxes.
Could only ask states for
contributions."
"No army! - Had to rely on state militias for defense."

- Won't leave Ohio because they do not have power to stop anyone.

"Could not regulate interstate and foreign trade."

- They are still there because of money and they cant leave.

"Could not levy on tariffs on imports and exports."

- France has to have 15 different trade deals with 15 different states. Virginia powerhouse state, North carolina could put up trade restrictions from South Carolina and put taxing on them. This just made everyone else tax and put up trade barriers as well.

"Get 9 states to agree to a law and all 13 to amend the Articles."
"13 different currencies

- There's no centralized unified currency. Some dollars are going to be worth more than others. It was a hassle.

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Power to:

-Declare war and make peace.

-Borrow money

- Establish a postal system

- Manage Indian affairs

- Settle disputes between states.

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Financial:
Unpaid war debts and states issued worthless paper money. Congress had to ask for donations from states to meet their needs.

Foreign:
"Newburgh Conspiracy"   - inability to meet its financial obligations to the military.

Domestic:

Shay's Rebellion:
Summer of 1786 in Massachusetts
-Uprising was over high state taxes, imprisonment for debt, and lack of paper money.
- Lack on institutional response to uprising.
+ Confederation Congress was unable to prevent and appeared helpless and ineffective,
* Alarmed many Nationalists and spurred a call for a meeting to reform the Articles.

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[Treaty of Paris: 1783]

" British would recognize the existence of the U.S as independent."

"Mississippi River would be the western boundary."

"Americans pay debts owed to British merchants and honor loyalist claims for property confiscated."

Unity:
Kept the country together until a strong government was  created.
Adjustment of Land Claims:
- The Land Ordnance of 1785
-Northwest Ordnance 1787

The Congress succeeded in having states surrender their western land claims to the national government and created the Northwest Territory.