The American Revolution created a large national debt with millions owed to the French and Dutch governments. Individual states were also heavily in debt. Individual investors who purchased war bonds worried that they would never be able to reclaim their investment.
Each state created its own currency which was rejected by other countries in favor of gold and silver. The financial security of the new nation was threatened by a lack of hard currency backed by gold or silver. Congress took steps to repay the debt and stabilize the new American economy.
How did the American Revolution change the way Americans attempted to satisfy their basic needs and wants?
Check for Understanding
Students will answer the following question and support their answer with evidence from the document:
What economic situation did the US find itself in after the Revolutionary War and what steps did the Congress take to alleviate this problem?