1. Chapter 5.2 Key Terms & People  Tariffs: taxes on imports or goods  Interstate commerce: trade between two or more states  Inflation: occurs when there are increased prices for goods and services combined with the reduced value of money  Depression: A period of low economic activity combined with a rise in unemployment  Daniel Shays: poor farmer and Revolutionary War veteran  Shays’ Rebellion: farmer’s protest of high taxes and heavy debt

2. #1: What problems did the U.S. experience with Spain and Great Britain? Great Britain- refused to hand over forts, closed ports to U.S. ships, set higher tariffs Spain- closed Mississippi to U.S. shipping

3. #2: What were the difficulties with interstate commerce? Lack of regulation and lack of cooperation between states made trade difficult from some merchants

4. #3: Why was access to the Mississippi River so important for the Americans? The Mississippi River was a critical trade route.

5. #4: What was the cause of inflation in America? Some states began printing large amounts of paper money and very little could be done.

6. #5: How did Massachusetts tax policy affect farmers? Heavy taxes forced farmers to sell their land or else go into debt and risk imprisonment

7. #6: What was Shay’s Rebellion? The uprising of Massachusetts farmers in 1786. Led by Daniel Shays, hundreds of men shutdown the Supreme Court in Springfield, MA. The state government ordered the farmers to stop the revolt under the threat of capture and death.

8. #7: How did Shays’ Rebellion lead to a call for change in the United States? The rebellion convinced many that the Articles of the Confederation were too weak.

9. #8: Why did Hamilton and Madison call for a Constitutional Convention? They needed to discuss the weaknesses of the Articles of Confederation. Poor attendace at Annapolis Convention

10. #9: CHART- Problems faced either Domestically or International? Domestic No power to regulate interstate commerce Could not help states keep order Could not stop inflation International  Could not pass tariffs  Could not enforce treaties