The Articles of Confederation created a nation that was "a league of friendship and perpetual union,” but the state governments had most of the power under the Articles, with little power given to the central government. Congress, for example, had to rely on the states for its funds and to carry out its official orders. Because of this, the central government could not accomplish much because it had limited authority over states or individuals in America.

The following were challenges in governing the new nation under the Articles of Confederation:

• Congress (the central government) was made up of delegates chosen by the states and could conduct foreign affairs, make treaties, declare war, maintain an army and a navy, coin money, and establish post offices. However, measures passed by Congress had to be approved by nine of the 13 states.
• Congress was limited in its powers. It could not raise money by collecting taxes and had no control over foreign commerce; it could pass laws but could not force the states to comply with them. The government was dependent on the cooperation of the various states to carry out its measures.
• The articles were nearly impossible to change, so problems could not be corrected.

In the words of George Washington, the government created by the Articles of the Confederation was "little more than a shadow without the substance." There was clearly a need for a stronger central government, so leaders from throughout the newly formed states met at the Constitutional Convention in 1787 to address that issue, and the Constitution of the United States of America was drafted to replace the Articles of Confederation.

The American colonies fought for independence from Great Britain during the American Revolutionary War (1775-1783). After winning their freedom, the former colonies needed to create a new system of government. The first system created was known as the Articles of Confederation and was adopted on November 15, 1777; they were finally ratified, or officially approved, by the last of the 13 American states, Maryland, in 1781 and became the ruling document of the new nation.

The Articles of Confederation represented the first example of a shared system of government made between the 13 former colonies that were now free American states. The powers of the individual states and the Continental Congress needed to be defined for the new country; there was a need for unity among the new states that were created as a result of the American Revolution. This need led Congress to give the task of drafting a Federal constitution to John Dickinson, a politician who was active in Pennsylvania and Delaware.

This Federal constitution was called the Articles of Confederation and was submitted to the Second Continental Congress on July 12, 1776. Several revisions were made, and the document was adopted by the Congress on November 15, 1777. In its final form, the Articles of Confederation consisted of a preamble and 13 articles. The document kept the feature of voting by states, but taxes were based on the value of buildings and land and not by a state’s population. The Articles also specified that no state would lose territory for the benefit of the country and that all 13 states had to agree to any changes of the Federal Government’s power.