Introduction
Governments have always struggled to keep currency in stability throughout history. Governments have an almost impossible task of managing the raising of taxes and borrowing capitals. Usually the result is perpetually turned to printing paper money to finance their increasing expenses. The subsequent inflations will damage the social construct, ruin economy’s, bring about revolution and, will bring dictatorship in them to their fall. The political economy of the French Revolution is a catastrophic sample of this process. With the many calamities in the world's history this one gained the attention of historians and writers as the French Revolution took its place in world history infamy. While attempting to study problems of the
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On June 29, 1777, Louis XVI named Necker director general of finances, and Necker soon became a prime minister. Historians differ about Necker's first ministry, some accuse him of unnecessary caution in introducing necessary reforms. Necker wanted to decrease public expenditures by such measures as dismissing unnecessary positions and by demanding higher payments from the private companies that had bought the right to collect indirect taxes. He also attempted to introduce some reforms in the inequitable system of taxation. Necker knew that the war effort was the main focus of the king, and not reform. Direct taxes to the people could not wait for reforms which Necker started towards the end of 1977. He understood the pressure that taxes put on the people and a total reform was a necessity. Necker went by the people and did not create new taxes, he also did not declare bankruptcy. As a last resort Necker turned to loans during the wartime efforts. He felt the price of war could be matched by reducing normal expenditures, which prevented an alternative to adding new taxes. Necker walked a fine line while dealing with the task of not interfere with the fiscal system so it would not cause a reduction in revenue. His reform on the tax system would eventually have to await the end of war. Necker created his plans and named it Compte rendu of 1781. He was the first finance minister to publicize revenue and expenses. Necker wrote drawn-out prefaces to all his reforms, decrees and announcements, this helped relay to the public the motives for each specific measure. Necker listened to public option more that his predecessors and his oppositions, which he was criticized for. His ideas for the purposes of the governments were defined. Another problematic area that Necker turned to was the royal households. Necker believed this was one of the first government department where reform should be
By 1791 their had been a constitutional monarchy with the revolutions mission complete, now major changes would have to be made to ensure that the country benefited from this change, but this would be hard, the church had already been abolished and its funds taken to resolve the spiralling debt problems. A lot of groups had been set up to fight the revolutionary committee including the Monarchiens and the Noirs. The main opposition came from ...
Beginning in mid-1789, and lasting until late-1799, the French Revolution vastly changed the nation of France throughout its ten years. From the storming of the Bastille, the ousting of the royal family, the Reign of Terror, and all the way to the Napoleonic period, France changed vastly during this time. But, for the better part of the last 200 years, the effects that the French Revolution had on the nation, have been vigorously debated by historian and other experts. Aspects of debate have focused around how much change the revolution really caused, and the type of change, as well as whether the changes that it brought about should be looked at as positive or negative. Furthermore, many debate whether the Revolutions excesses and shortcomings can be justified by the gains that the revolution brought throughout the country. Over time, historians’ views on these questions have changed continually, leading many to question the different interpretations and theories behind the Revolutions effectiveness at shaping France and the rest of the world.
Louis' ministers Turgot, Necker and Calonne all agreed that France needed reforming if it was to get out of the massive debt it had accumulated. In February of 1787, Louis called the Assembly of Notables as France was in dire need of tax reform due to its debt. Louis suggested tax reforms to bring government expenditure in line with government income but because he had lost his authority as a king, he could not persuade the first and second estates to agree with a tax reform and they did not wish to bear the burden of increased taxation. This showed Louis to be weak and unable to make decisions about France's future. Shortly afterwards on the 5th May 1789, the Estates General was called and Louis' absolute power over France was all but over. This was one of the main events that led to the start of the French revolution an...
In addition to this, the cost of running a government in general had gone up and the country needed more money. Because the king didn't have as much power to tax as he pleases, the government could make a firm and accurate taxation of the people. In France, the price of government had also gone up.
To deal with France’s economic impending doom Louis XVI called all of the nobles and those with significant wealth together and requested to borrow money from them. Because there was no legal way for the l...
The later 18th century was a time of crisis for the old regimes of Europe and their economic systems and political agitation sometimes breaking out into revolts. English Industrial Revolution vaulted Britain to the fore. France was the most powerful and the most typical of the old aristocratic absolute monarchies of Europe. (lower taxes off backs of lower classes).
The French revolution was also caused by a bad ruler and a bad economy. During the early 1780's a big percent of annual budget went towards king Louis XVI's lavish estate at Versailles. France also had no central bank, no paper currency, no ways of getting more money, and an out-dated tax system which only taxed the poor who had no money to begin with. Signs of revolution first appeared when the peasants stormed the fortress known as the Bastille looking for gun powder.
The French Revolution evokes many different emotions and controversial issues in that some believe it was worth the cost and some don't. There is no doubt that the French Revolution did have major significance in history. Not only did the French gain their independence, but an industrial revolution also took place. One of the main issues of the Revolution was it's human costs. Two writers, the first, Peter Kropotkin who was a Russian prince, and the other Simon Schama, a history professor, both had very opposing views on whether the wars fought by France during the Revolution were worth it's human costs. Krapotkin believed that the French Revolution was the main turning point for not only France but for most other countries as well. On the other hand, Schama viewed the French Revolution as unproductive and excessively violent.
...search for a way to relieve the national debt, however policies by financial ministers like Jacques Neckler and Charles Alexandre de Calonne increased the debt even more. Louis would attempt to evoke the Assembly of Notables, which consisted of nobles, and later the Estates-General, which consisted of peasants, to ease the economic burden. However, both assemblies were shocked and disgruntled with the poor economy, and revoked the power of the King, leading to the French Revolution and forever abolishing absolutism from France.
Marking a significant beginning stage of the economic downturn was the Seven Years’ War, a battle that saw few positive achievements, but several losses both in terms of land and money, which had been acquired through loans that would establish France’s first significant debt. The reign of Louis XVI would further this debt, while also creating a greater divide between the estates of France by placing the heavy burden of repaying much of the new debt on the poorest class of France, the Third Estate. Participation in another war, only ten years prior to the French Revolution would create even more debt for France as they entered the American War of Independence, again with funding from loans that would need to be paid soon thereafter. Throughout this period of debt creation within France, society worsened in many ways due to the inability of the nation, from royalty to the Third Estate, to evolve economically, socially and agriculturally. With this overall sense of decline throughout France, a nearly unanimous desire amongst France’s Third Estate, the most populous, was to pa...
During the eighteenth century, France was one of the richest and prosperous countries in Europe, but many of the peasants were not happy with the way France was being ruled. On July 14, 1789, peasants and soldiers stormed the Bastille and initiated the French Revolution. This essay will analyze the main causes of the French Revolution, specifically, the ineffectiveness of King Louis XVI and Marie Antoinette, the dissatisfaction of the Third Estate, and the Enlightenment. It will also be argued that the most significant factor that caused the French Revolution was the ineffective leadership of King Louis XVI and Marie Antoinette. The first and main reason for the French Revolution was the terrible leadership of King Louis XVI and Queen Marie Antoinette.
The essential cause of the French revolution was the collision between a powerful, rising bourgeoisie and an entrenched aristocracy defending its privileges”. This statement is very accurate, to some extent. Although the collision between the two groups was probably the main cause of the revolution, there were two other things that also contributed to the insanity during the French revolution – the debt that France was in as well as the famine. Therefore, it was the juxtaposing of the bourgeoisie and the aristocracy as well as the debt and famine France was in that influenced the French Revolution.
Economically, he forged France's economy out from the fire of revolution. Napoleon recognized that economic reform was essential to increase employment and restore confidence in the government's ability to foster economic growth. In 1800 he established the Bank of France. Modeled after the Bank of England, it was used to promote industry. As a result, the franc became the most stable currency in Europe. The Bank of France proved to be significant in the stabilization of the economy. This stabilization was necessary to be able to increase income and ensure the security of the nation. Furthermore, Napoleon refined tax collection by demanding 5% of every citizen's income and there were no tax exemptions based on class. Hundreds of officials were appointed to collect taxes on income and property. In 1880, 660 million francs were collected, exceedingly more than pre-revolutionary times. With more income, the government could spend on various social programs for the people.
They said that not one official in power was corrupt, but that the whole system of government needed some change. Eventually, when the royal finances were expended in the 1780's, there began a time of greater criticism. This sparked the peasants notion of wanting change. Under the Old Regime in France, the king was the absolute monarch. Louis XIV had centralized power in the royal bureaucracy, the government departments which administered his policies. Together, Louis XIV and the bureaucracy worked to preserve royal authority and to maintain the social structure of the Old Regime.
The bad living conditions of France and its depressed economy was one of the primary drivers for the French Revolution. The people of France were so poor that they had no shoes to wear and no food to eat. The poverty of France breaks its economy at its root. The economy got so bad that “By December 1788, there was a nationwide revolt against food shortages and rising prices, which continued to spread till the summer of 1789, when there was another bad harvest”(Todd 528). One ...