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Economic Causes Of Shay's Rebellion Essay

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The economic problems that led to Shay’s rebellion began with the signing of the Treaty of Paris, which ended the revolutionary war and recognized America’s independence. America’s independence came with some unforeseen complications, since America was no longer a British colony they were cut out of many British markets including the Caribbean. Also many American merchants were in debt to British creditors and the creditors demanded cash payments with short deadlines and harsh punishments. This in turn caused American merchants to demand their money back from businesses who were in debt to them. These businesses then called for farmers and smaller businesses to pay back their debts. In addition to having to pay back their mounting debt farmers also had to pay taxes that were being raised by …show more content…

The men to whom the state owed money had great influence in legislator because many of them were either a part of it or had relatives who were. This caused the legislator to rule in favor of higher taxes to quickly pay back war debts with little consideration for farmers who were already struggling to pay back personal debt. Many farmers were forced to sell land, animals and machinery to pay back their debts which made greatly reduced their profits. Many other farmers were taken to court for debts they could not pay back and some were thrown in to debtors prisons. Originally farmers tried to work through the legislator asking for them to lower taxes and to print more paper money but the legislator met again and again each time ignoring the farmer’s requests. In 1782, Samuel Ely, a preacher gathered farmers together in Western Massachusetts and targeted the court house he was arrested but the spark was ignited. Steep inflation and a depression continued to make things economically hard for farmers and more and more were facing court penalties for being unable to pay debts. In 1786 a countywide convention was held to organize their grievances against the Massachusetts

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