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War debt and inflation significantly influenced the development of political institutions in the United States between 1776 and 1787 by prompting calls for stronger centralized governance. The economic turmoil, characterized by high debt from the Revolutionary War and rampant inflation, highlighted the weaknesses of the Articles of Confederation, which lacked the authority to levy taxes or regulate commerce. This unrest led to debates over federalism and the need for a more robust national government, culminating in the Constitutional Convention of 1787, where leaders sought to create a framework capable of addressing economic challenges and ensuring stability. Consequently, the need to manage war debt and control inflation played a crucial role in shaping the U.S. Constitution and its institutional structures.

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