New Nation, 1781-1787: Articles of Confederation Era | United States history | Paris Peace

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In October, 1781, General Cornwallis surrenders his redcoats at Yorktown, Virginia. Parliament and Prime Minister Lord North realize the war is over. Formal negotiations for peace begin at Paris.

The United States becomes an independent nation formally in 1783 after the Peace of Paris is signed. The peace terms give the United States land from the Atlantic to the Mississippi River.

Britain retains Canada, and Spain retakes Florida. The United States agrees to repay British debts from before the war. British redcoat garrisons leave Savannah, Charleston, Wilmington, and New York City. The British ships carry up to 100,000 loyalists and runaway slaves to Nova Scotia, Canada, Britain, and British India.

Western expansion occurs in Vermont, Kentucky, Tennessee, and Georgia. The Ohio country is held in check by the British at Fort Detroit, who are supplying native nations like the Miami and Shawnee. Daniel Boone trailblazes through Kentucky, with many following through the Cumberland Gap.

A major crisis for the new nation is financial. The Articles of Confederation does not give Congress the power to tax citizens directly. Interstate trade is hampered by duties. Washington's Continental Army has not been paid; however, Washington is able to ease tensions at Newburgh, New Jersey.

Thomas Jefferson helps to pass legislation about the Northwest Territories. The new territories will be divided into townships.

Daniel Shays, a Revolutionary War veteran, sides with rebels in western Massachusetts in 1787. Many farmers have been jailed for debt. The rebels attempt to secure the arsenal at Springfield, Massachusetts. However, Benjamin Lincoln's state militia put down the rebellion.

Shays' Rebellion, as well as the ongoing debt crisis, convince many Americans like Alexander Hamilton and James Madison that the Articles of Confederation need amendments.

Congress agrees to hold a new Convention in Philadelphia in 1787. Delegates return to Philadelphia to form a new government, just as they had during the era of the Continental Congress.

A film by Jeffrey Meyer