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Formation of the Union, 1750-1829 by Albert Bushnell Hart
page 127 of 305 (41%)


49. THE UNITED STATES IN 1781.


[Sidenote: Army.]
[Sidenote: Territory.]

The task thrown upon Congress in 1781 would have tried the strongest
government in existence. An army of more than ten thousand men was under
arms, and must be kept up until peace was formally declared, and then must
be paid off. The territorial claims of the States and of the Union were
still in confusion. Virginia roused the suspicion of the small States by
making the promised cession in terms which Congress could not accept, and
the other States had made no motion towards yielding their claims.
Relations with the Indians were still confused. Superintendents of Indian
affairs had been appointed, and in 1778 a treaty was negotiated with the
Creeks; but the States, particularly Pennsylvania and Georgia, continued
to make their own arrangements with Indian tribes.

[Sidenote: Finances.]
[Sidenote: Commerce.]
[Sidenote: General weakness.]

The finances of the country seemed to have reached their lowest ebb. An
attempt was made to float a new issue of continental money at one dollar
for forty of the old bills The new obligations speedily sank to the level
of the old, and the country was practically bankrupt. The aid of the
French was all that kept the government afloat (sec. 43). The return of
peace was expected to restore American commerce to its old prosperity; but
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