Option 1 states that the Americans raised the slogan, `No taxation without representation` during the American War of Independence. This statement is correct. The slogan is associated with the opposition of American colonists to the taxes imposed on them by the British government, which they believed was unjust since they had no representation in the British Parliament.

Option 2 states that American merchants resorted to boycotting British products during the American War of Independence. This statement is also correct. American merchants played a crucial role in the movement against British policies by boycotting British goods, which served as a form of economic protest against British control and unfair taxation.

Therefore, both statements in option 3 are correct. The American colonists did raise the slogan `No taxation without representation` and American merchants did participate in a boycott of British products during the American War of Independence.

No alert is needed as the provided answer is correct.