Chapter 3: Economic Problems & royal finance

Question 1

Name some strengths of the Ancien Regime’s economy

Answer 1

• trade with colonies quadrupled so trade ports were prosperous
• transport was improving

Question 2

Name some weaknesses of the Ancien Regime’s economy relating to environmental problems

Answer 2

• harvest failures in the mid-1780s
• poor infrastructure meant there was a lack of connected canals to transport goods throughout France
• reliant on agriculture

Question 3

Name some weaknesses of the Ancien Regime’s economy relating to international factors

Answer 3

• Foreign competition = British textile industry cause trade slump and unemployment in France
• France was involved in many wars eg. Seven Years War, American Revolutionary War which caused national debt

Question 4

Name some weaknesses of the Ancien Regime’s economy relating to economic factors

Answer 4

• existing debt = in 1783, debt was 3.3 billion livres
• fraud = no uniform code of weights and measures so widespread fraud and corruption
• limitations of taxation income = privileges of 2 estates reduced amount of taxable income

Question 5

When was Turgot finance minister?

Answer 5

1774 - 1776

Question 6

When was Necker finance minister?

Answer 6

1777 - 81 & 1788-89

Question 7

When was Calonne finance minister?

Answer 7

1783-1787

Question 8

How did Turgot succeed as a finance minister?

Answer 8

• cut royal expenses
• govt. departments submit expenses to controller-general (reduce spending)
• removal of pensions
• reform tax farming system (increase efficiency)

Question 9

How did Turgot fail as a finance minister?

Answer 9

• indirect taxes on land opposed by 2nd estate
• free trade on grain (1774) was opposed and abandoned after the bad harvests, the grain price went up, causing the ‘flour war’ riots in 1775
• ‘six edicts’ (1776) suppressed offices, guilds etc. and abolished ‘corvee royale’

Question 10

How did Necker succeed as a finance minister?

Answer 10

• reduce household expenses
• appoint salaries officals
• remove vingtieme
• restructured financial administration
• “Compte de Rendu” (1781)

Question 11

What were the consequences of Turgot’s changes?

Answer 11

• Paris Parlement had 2 remonstrances against ‘six edicts’ and lit de justice because nobles, who Antoinette favoured, opposed it, this lead to Turgot resigning
• reduced deficit
• negotiate low interest loan with Dutch bankers (1776)

Question 12

What was wrong with Necker’s ‘Compte du Rendu’ (1781)?

Answer 12

• inaccurate so France could get more loans as they were suggesting they were more financially stable than they actually were
• King and courtiers saw it as a breach of royal protocol

Question 13

What were the consequences of Necker’s introduction of salaried officials?

Answer 13

• reduced corruption

- no more venal offices so vital source of credit lost

Question 14

How did the ‘Compte de Rendu’ negatively impact Calonne, and by extension, France?

Answer 14

• Paris Parlement was less willing to endorse borrowing high interest loans as they believed the country was more financially stable

Question 15

Name 2 changes introduced in Calonne’s 1786 reform package?

Answer 15

• land tax & removal no vingtieme
• provincial assemblies
• no corvee royale
• remove controls on grain trade

Question 16

How people react to Calonne’s reform package?

Answer 16

• 1st and 2nd estate ministers blocked reform package

- taxing church was highly controversial