Why would Spain have a law that prevented its colonists from trading with non-Spanish colonies?

Because the French wanted to trade with the merchants.

Explanation:

When the French first entered North America, their primary focus was on gaining wealth through the fur trade. They viewed Indians as trading partners, as important elements in acquiring the furs which would generate great wealth. So they wanted to trade with Merchants.

what are local authorities doing to fix the problem

explanation:

on this day in 1833, president andrew jackson announces that the government will no longer use the second bank of the united states, the country's national bank. a national bank had first been created by george washington and alexander hamilton in 1791 to serve as a central repository for federal fund