5. Why do you think the Embargo Act was bad for the U. S. economy?

It failed to improve the American diplomatic position, highlighted American weakness and lack of leverage, significantly (and only) damaged the American economy, and sharply increased domestic political tensions. Both widespread evasion of the embargo and loopholes in the legislation reduced its impact on its targets.

Explanation:

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Economically, the embargo devastated American shipping exports and cost the American economy about 8 percent in decreased gross national product in 1807. With the embargo in place, American exports declined by 75%, and imports declined by 50%—the act did not completely eliminate trade and domestic partners.

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