Final answer:
The Peace Treaty of 1778 is a misnomer; the correct treaty is the Treaty of Paris, 1783, which ended the American Revolutionary War and recognized U.S. independence.
Step-by-step explanation:
The Peace Treaty of 1778 refers to a misconception; the actual peace treaty that ended the American Revolution was the Treaty of Paris, 1783. The treaty was a result of diplomatic negotiations in Paris and included several nations with vested interests. However, specifically regarding the American Revolutionary War, representatives from Great Britain and the United States finalized the Treaty of Paris in September 1783. It recognized the independence of the United States and set its boundaries. Key negotiators for the United States were Benjamin Franklin, John Adams, and John Jay, while David Hartley signed on behalf of Britain's King George III.
The Treaty of Paris was vital in establishing peace and setting the foundation for the new nation's future. However, it is important to note that even though the treaty signaled the end of the war, many of its articles were not strictly followed, and issues with Britain's recognition of American sovereignty continued, eventually contributing to the War of 1812. As a separate matter, Jay's Treaty and its outcomes, as well as the Treaty of Mortefontaine with France, also shaped the post-Revolutionary War relationship between the United States and Europe.