Settlement of the trans-Appalachian territories proved difficult, in part due to the resistance of Native Americans and the neighboring foreign powers of Great Britain and Spain.

The success of Britain's Southern strategy, along with pressure from America's French allies, convinced Virginia to cede its claims north of the Ohio River, and Maryland finally ratified the Articles in January 1781.

[7] After the American victory at the Battle of Yorktown in September 1781 and the collapse of British Prime Minister North's ministry in March 1782, both sides sought a peace agreement.

The treaty granted the United States independence, as well as control of a vast region south of the Great Lakes and extending from the Appalachian Mountains west to the Mississippi River.

The treaty was designed to facilitate the growth of the American population and create lucrative markets for British merchants, without any military or administrative costs to Britain.

[19] Following the conclusion of the Revolutionary War, which had provided the original impetus for the Articles, Congress's ability to accomplish anything of material consequence declined significantly.

As both Congress and the government of Massachusetts proved unable to suppress the rebellion, former Secretary of War Benjamin Lincoln raised a private army which put an end to the insurgency.

[39] Robert Morris, appointed as superintendent of finance in 1781, won passage of major centralizing reforms such as the partial assumption of state debt, the suspension of payments to military personnel, and the creation of the Bank of North America.

[40] In 1783, Morris, with the support of congressmen such as Madison and Alexander Hamilton, won congressional approval of a five percent levy on imports, which would grant the central government a consistent and independent source of revenue.

[41] As the Revolutionary War came to an end, the officers and enlisted men of the Continental Army became increasingly disgruntled over their lack of pay, as Congress had suspended payment due to the poor financial state of the central government.

The officers hoped to use their influence to force the states to allow the federal government to levy a tariff, which in turn would provide revenue to pay the soldiers.

Washington's speech defused the brewing Newburgh Conspiracy, named for the New York town in which the army was encamped, but dissatisfaction among the soldiers remained high.

The small, poorly equipped army would prove powerless to prevent squatters from moving onto Native American lands, further inflaming a tense situation on the frontier.

[52] In order to attract Northern settlers, Congress outlawed slavery in the Northwest Territory, though it also passed a fugitive slave law to appease the Southern states.

The 1784 closure of the Mississippi River by Spain denied access to the sea for the exports of Western farmers, greatly impeding efforts to settle the West, and they provided arms to Native Americans.

[34] Adams, serving as the ambassador to Britain, called for a retaliatory tariff in order to force the British to negotiate a commercial treaty, particularly regarding access to Caribbean markets.

However, Congress lacked the power to regulate foreign commerce or compel the states to follow a unified trade policy, and Britain proved unwilling to negotiate.

Americans had long recognized the importance of navigation rights on the Mississippi River, as it was the only realistic outlet for many settlers in the trans-Appalachian lands to ship their products to other markets, including the Eastern Seaboard of the United States.

[85] Southerners, led by James Monroe of Virginia, opposed the provision regarding the Mississippi and accused Jay of favoring Northeastern commercial interests over western growth.

[92] John Adams, as ambassador to the Netherlands, managed to convince the small country to break its alliance with Britain, join the war alongside France, and provide funding and formal recognition to the United States in 1782.

[93] The Barbary pirates, who operated out of the North African states of Morocco, Algiers, Tunis, and Tripoli, posed a threat to shipping in the Mediterranean Sea during the late 18th century.

[97] Despite growing feelings of nationalism, particularly among younger Americans, the efforts of federalism to grant Congress greater powers were defeated by those who preferred the continued supremacy of the states.

The federalist call for a constitutional convention was bolstered by the outbreak of Shays' Rebellion, which convinced many of the need for a federal government powerful enough to help suppress uprisings.

[101] Though there was not a widespread feeling in the population that the Articles of Confederation needed major reform, the leaders of each state recognized the problems posed by the weak central government.

With the attendance of powerful and respected leaders like Washington and Franklin, who helped provide some measure of legitimacy to the convocation, the delegates agreed to pursue sweeping changes to the central government.

[103] During the convention, Madison and James Wilson of Pennsylvania emerged as two of the most important advocates of a new constitution based on the Virginia Plan, while prominent opponents to the final document would include Edmund Randolph, George Mason, and Elbridge Gerry.

The delegates of the convention also sought to limit the democratic nature of the new constitution, with indirect elections established for the Senate and the office of the President of the United States, who would lead the executive branch.

Members of both camps held wide ranges of views; for example, some Anti-Federalists like Luther Martin wanted only minor changes to the Articles of Confederation, while others such as George Mason favored a less powerful version of the federal government proposed by the Constitution.

[122][123] The Federalists performed well in the concurrent House and Senate elections, ensuring that both chambers of the United States Congress would be dominated by proponents of the federal government established by the Constitution.

[128] Gordon Wood suggests that it was the idea of the Revolution and the thought that it would bring a utopian society to the new country that made it possible for people to believe they had fallen instead into a time of crisis.