The major problem with the plan of government created by the Articles of Confederation was the lack of power that was given to the federal government. The colonists were afraid of creating a government that had too much power because of the issues they had with the British government. Thus, the government was unable to levy taxes, couldn’t require people to join the military, and had no unified currency. As a result, many problems occurred.
During the time the Articles of Confederation was our plan of government, we had serious economic problems. Because there was no unified currency, people lost confidence in our money system. Some people wouldn’t accept the paper currency because both the state government and the federal government issued it. As a result, inflation occurred. We also went into debt, and the federal government was limited in how it could respond to this issue.
We had a difficult time dealing with issues caused by the actions of foreign governments. Our military was weak and small. The federal government couldn’t require people to join the military. As a result, other countries pushed us around.
Since the federal government had so little power, it caused many problems for our new country. Eventually, people realized changes were needed, and the Constitution was written to replace the Articles of Confederation.