51. The Problem Of Inflation Flashcards
Why was inflation a problem all over Europe?
Due to rising population
Why had England made inflation worse?
Debasement of coinage in the 1540s
What were prices particularly high for?
Grain, bread, meat, and cheese
What were food prices in 1561-1570?
Nearly 300% of what they had been in 1500
What were food prices in 1571-1580?
240% of what they were in 1500
What did the public blame price rises on?
Greedy individuals, especially those who enclosed land
What was blamed for inflation by 1571?
The influx of bullion from the new world
Was the influx of bullion really a problem?
Probably not in England
Who blamed the influx of bullion for inflation?
Sir Thomas smith in his commonwealth of England
Who benefitted from inflation?
Agricultural producers, larger and middling landowners, tenant farmers
Who suffered the most from inflation?
Landless labourers
What made inflation worse by the 1590s?
War and poor harvests
What did elizabeth and her advisers not understand as a cause of inflation?
Rising population
Who was elizabeth’s policies driven by the ideas of?
Sir Thomas Gresham
What did the government believe would ease inflation?
Replacing debased coins either good ones
When did the process start to replace debased coins?
1560
When had the old coins been called in by?
1561
What were the base alleys in the old coins used for?
To fill up potholes in the road
What happened when the new coins were circulated?
Prices didn’t go down
Where did the privy council raise loans from?
Antwerp
What did the loans from Antwerp lead to?
A fall in the value of the pound
Why was debasement favourable for the Queen?
Presented an image of stability and confidence
How did the government try to solve inflation to do with imports?
Reduced imports and enforced laws about what people could wear to reduce importing of luxury material, but it was unsuccessful
What was one form of price control?
Legislation
Why was legislation bad?
Enforcement was hard
What was the most significant legislative attempt to reduce inflation?
The statute of artificers, which allowed JPs to fix wages
What had a maximum price on it?
French wines only so didn’t reduce the household budgets of the poor
What did elizabeth try to enforce?
Fasting in lent and observance of Wednesday and Friday as fish days to conserve food stocks
What did elizabeth’s attempt to enforce fasting cause among puritans?
Causes protests from puritans as fasting was a Catholic practice
What was the book of orders?
Instructions sent to JPs that said there was to be no hoarding of grain and corn had to be sold in small quantities such as a bushel to make it more affordable
When was the book of orders?
1586
What did the government do about vagrants?
Punished them
What were the clergy told to preach about?
The evils of hoarding food and pray for better weather
