Congress had no way to collect taxes to pay off pre-war debts. This led to chaos and anarchy when soldiers that hadn't been paid marched on Philadelphia, and Congress had to flee to Princeton New Jersey (Document C). Each State had it's own money, but there was no national money system. Since the money had no value from state to state, the people began to use the barter system of trade. This reduced the amount of trade and importation of goods. There was very little economic progress and growth during this period, even though the population was increasing. (Document B). Self interest of the states and of individuals added to the cause of the problems. For example, John Jay tried to create a treaty with Great Britain that would have been bad for the merchants of the United States but it would have paid off the war debt. His loyalty was not to the people of his state. (Document
Congress had no way to collect taxes to pay off pre-war debts. This led to chaos and anarchy when soldiers that hadn't been paid marched on Philadelphia, and Congress had to flee to Princeton New Jersey (Document C). Each State had it's own money, but there was no national money system. Since the money had no value from state to state, the people began to use the barter system of trade. This reduced the amount of trade and importation of goods. There was very little economic progress and growth during this period, even though the population was increasing. (Document B). Self interest of the states and of individuals added to the cause of the problems. For example, John Jay tried to create a treaty with Great Britain that would have been bad for the merchants of the United States but it would have paid off the war debt. His loyalty was not to the people of his state. (Document