_No Power to regulate Trade_.--In the second place, Congress had no power to regulate trade with foreign nations, or between the states. This proved a most serious evil. The people of the United States at that time had few manufactures, because in colonial days Parliament would not allow them. All the china, glass, hardware, cutlery, woolen goods, linen, muslin, and a thousand other things were imported from Great Britain. Before the war the Americans had paid for these goods with dried fish, lumber, whale oil, flour, tobacco, rice, and indigo, and with money made by trading in the West Indies. Now Great Britain forbade Americans to trade with her West Indies. Spain would not make a trade treaty with us, so we had no trade with her islands, and what was worse, Great Britain taxed everything that came to her from the United States unless it came in British ships. As a consequence, very little lumber, fish, rice, and other of our products went abroad to pay for the immense quantity of foreign-made goods that came to us. These goods therefore had to be paid for in money, which about 1785 began to be boxed up and shipped to London. When the people found that specie was being carried out of the country, they began to hoard it, so that by 1786 none was in circulation. %170. Paper Money issued.%--This left the people without any money with which to pay wages, or buy food and clothing, and led at once to a demand that the states should print paper money and loan it to their citizens. Rhode Island, New York, New Jersey, Pennsylvania, North and South Carolina, and Georgia did so. But the money was no sooner issued than the merchants and others who had goods to sell refused to take it, whereupon in some of the states laws called "tender acts" were passed to compel people to use the paper. This merely put an end to business, for nobody would sell. In Massachusetts, when the legislature refused to issue paper money, many of the persons who owed debts assembled, and, during 1786-87, under the lead of Daniel Shays, a Revolutionary soldier, prevented the courts from trying suits for the recovery of money owed or loaned.[1] [Footnote 1: Read McMaster's _History of the People of the United States_, Vol. I., pp. 281-295, 304-329, 331-340; Fiske's _Critical Period of American History_, pp. 168-186.]