America was economically weak and they didn't have a reliable source of revenue. They didn't have a lot of income coming in at the time and it got worse as the war went on. A British blockade had cut of European manufactures, disrupted the fishing industry, and British reduced trade in some states. Patriots, along with artisans and merchants, had to move to the country side and adapt to the new war economy. Later on in the war, America started having a financial crisis. States and the Continental Congress were afraid to raise taxes, so they had began to create new paper money to help finance the war. But with issuing so much paper money, the money itself ended up losing value. It wasn't until the Treaty of Paris that America got the money and supplies that it needed to keep funding the war and have a chance at victory. It wasn't until after the revolution that merchants began to rise back to the top in the economic ladder. They went up and replaced the Loyalists, supplanting a traditional economic elite. This shift helped with America's economic development in the years to
America was economically weak and they didn't have a reliable source of revenue. They didn't have a lot of income coming in at the time and it got worse as the war went on. A British blockade had cut of European manufactures, disrupted the fishing industry, and British reduced trade in some states. Patriots, along with artisans and merchants, had to move to the country side and adapt to the new war economy. Later on in the war, America started having a financial crisis. States and the Continental Congress were afraid to raise taxes, so they had began to create new paper money to help finance the war. But with issuing so much paper money, the money itself ended up losing value. It wasn't until the Treaty of Paris that America got the money and supplies that it needed to keep funding the war and have a chance at victory. It wasn't until after the revolution that merchants began to rise back to the top in the economic ladder. They went up and replaced the Loyalists, supplanting a traditional economic elite. This shift helped with America's economic development in the years to