GOVERNMENT

After the war, the United States lost its "favored nation" status with the British Empire and was treated like any other non-allied nation competing in the mercantile system. In retaliation for its rebellion, all U.S. goods exported to any port in the British Empire had to be carried on British ships. This dealt a blow to the fledgling American shipping industry, since Britain was still America's main trading partner. In addition, some U.S. goods that competed with British-made goods were barred altogether. To help shore up its economy and keep production going, British merchants began flooding American markets with inexpensive goods that often competed with similar goods made in the United States. This drastically hurt local industries that couldn't compete with the more cheaply manufactured British goods. Analyze and explain in your own words the problem and any and all potential remedies to this situation. Be clear, concise and thoughtful in your responses.​