Part 2: Short term causes

Deficit

When expenditure is greater than the income

Who was Jacques Necker?

A Genevan banker who was in charge of France's finances on a number of occasions.

Why was Jacques Necker so popular?

Becuase he has the ability to raise loans, thereby avoiding the creation of new taxes

Pays d'états

Areas that had local representative assemblies of the three estates that contributed to the assesment and collection of royal taxes

Estates-General

Elected representatives of all three estates of the realm.

When would the Estates-General be summoned

During times of extreme national crisis.

When was the last Estates-General meeting?

1614

Notables

Rich, powerful individuals; the elite who controlled the political and economic life of France.

Politicisation

A process in which people who were previously unconcerned with politics take an active interest in political issues which affected their daily lives.

What were the four main short-term causes of the French Revolution?

- Foreign policy

- Financial crisis

- Political crisis

- Economic crisis

Who was Charles Alexandre de Calonne?

A controller-general who drew up an ambitious reform plan to deal with the financial problems of the monarchy (was rejected by the assembly of the Notables)

Which two empires did France lose during the 7 Year War?

North America (Canada) and India

What empires were retained by France after the 7 year war

Profitable sugar-producing islands of Martinique and Guadeloupe

What was the negative effects on France after the American War?

The war cost a great deal of money and, in the short term, worsened the already weak financial situation of the crown

What did French soldiers demand after they fought in the American War?

Liberty and democracy

In terms of numbers, how was the French government going bankrupt?

Revenue for 1786 would be 475 million livres, while expenditure would be 587 million livres, making the deficit 112 million

How many livres did the deficit of France increase to?

126 million livres in two years - twenty per cent of total expenditure

How did WAR contribute to the deficit and financial crisis in France?

The cost of helping American colonists to defeat the British government in the War of Austrian Succession, the Seven Years' War, and the American War of Independence was expensive (1066 million livres)

How did Jacques Necker finance France's wars?

Raising loans baby !!

How did TAX contribute to the deficit and financial crisis in France?

The Crown was not receiving much of the tax revenue, and until it recovered control of its finances, no basic reforms could occur.

How did Fleury and (his successor) Calonne undo Necker's work after his dismissal in 1781?

They resumed the practice of selling offices (which many Necker abolished) and borrowed much more heavily than him.

vingtiéme

income and property tax

What was the FIRST part of Calonne's plan to reform France's tax system?

Replace the capitation and the vingtiéme on landed property by a single land tax. This would affect all landed properties and all estates, regardless of the use of the land. No exemptions

What was the SECOND part of Calonne's plan to reform France's tax system?

Stimulating the economy to ensure that future tax revenues will increase. He wanted to abandon controls on the grain trade and abolish internal custom barriers (prevented the free movement of grain from different areas of France)

What was the THIRD part of Calonne's plan to reform France's tax system?

Restore national confidence so that new loans for the short term can be raised.

What did Calonnes achieve with his tax sustem reformation?

That the parlements would less likely to oppose the registration of his measures and that it would display national unity and consensus.

What was the obvious body to approve Calonne's reforms?

The estates-general (becuase they were the representation of the nation)

Why did the Estates-General reject Calonne's ideas?

His plan was too unpredictable

What did the Notables agree to in the Calonne reformation plan?

They were not opposed to all change and agreed that taxation should be externed to all.

Why did King Louis dismiss Calonne?

There was too great a strength of opposition to him

Who replaced Calonne after he was dismissed in April 1787

Loménie de Brienne (a notable)

What new reforms did Brienne introduce following Necker's earlier plans?

- An end to venal financial officials

- a new central treasury

- laws codified in a printed form accessible to those who needed to consult them

- educational reform

- religious toleration

- reforming the army to make it more efficient and less expensive

Why were Brienne's reforms rejected for registration

He presented them to the Parliament of Paris, and only the Estates-General (who represented the whole nation) could consent to any new taxes

What caused the poor harvest in 1788?

Very wet springs and freak hailstones

What do poor harvests in pre-industrial societies lead to?

massive unemployment

What did the rise of food prices

lead too?

- Lower demand for manufactured goods; more income had to be spent on food

- significant increase in the price of bread (key staple food)

By what percentage did the price of bread increase during the winter of 1788-9

88%

How much did the industrial production sector fall by in 1789?

50 percent

Eden Treaty (of 1786)

The treaty that allowed imports of British goods, including textiles at reduced rates of import duties

How did the Eden Treaty affect the industrial production sector of France?

Further affected them as they were already suffering economic hardship

Who did ordinary people blame for making the situation of France worse?

Tithe-owners and landowners

What did Tithe-owners and landowners accused of?

Hoarding graina nd raising prices during times of shortage, contributing to the lack of food

When were food riots most frequent?

During spring and summer, when grain prices were at their peak

Why did the politicization begin?

Many ordinary people (rural and urban) believed that the economic crisis was the fault of the nobility. This led them to take action in politics.

What was the cause of the aristocratic revolt, and why?

When King Louis exiled the Parlement to Troyes (August 15), it proved to be the most violent opposition the government had faced yet

What did nobles do during the aristocratic revolt?

They met at unauthorized assemblies to discuss action in support of the parliaments.

What was the clergy's reaction during the aristocratic revolt?

They too sided with the parliament, breaking the long tradition of loyalty to the crown. It condemned the reforms and voted a don gratuit (voluntary contribution of royal finances) of less than a quarter of the amount requested by the Crown.

When did the royal treasury become empty?

August 1788

Why did King Louis call Necker back?

Louis believed that he was the only one who could restore the government's credit and raise new loans.

What was the response of Necker when King Louis called him back into office?

He would try to raise new loans (and abandon his predecessor's reform plan), but would do nothing until the Estates-General held a meeting

What did the crisis show about King Louis?

It showed the limitations of royal power. Although Louis was in theory, an absolute ruler, in reality he was unable to impose his government's reforms on the state.