Economic Causes Flashcards
What can be regarded the immediate cause of the uprising?
The critical financial situation in France.
Ever since the previous King Louis, France had been _____ with enormous ____.
Burdened
Debts
What effect did the tax collectors have on national debt?
Only one third of tax collected were actually paid into State coffers and because of this national debt continued to increase.
What in terms of trade was harmful to the finances of the state?
The numerous customs barriers within France, and the high duties on export articles restricted trade. The lack of free trade was harmful for the state of finances.
What environmental disaster helped ruin the French economy?
Bad harvests throughout France.
What effect did the reduction of industrial activity have?
Huguenots responsible for the prosperity of these industries fled. The loss of so many skilled workers was a great blow to the economic progress of France.
Why was the Palace of Versailles considered an economic cause?
It cost the equailavent of R60 million. Many loans were taken to pay for this and taxes had to be levied to meet interest on these loans.
Which war cost the French a lot?
The American War of Independence. This involvement cost France the equivalent of R100 million rands, at a time when the country could least afford such and was on the verge of bankruptcy.
What did the financial crisis lead to?
The summoning of the States-General.
Why was Turgot the Minister of Finance dismisses? (3)
- Turgot wanted to tax upper classes
- Reducing spending of nobility
- Introduce free trade.
Why was Necker the next minister of finance dismissed?
He recommended a policy of strict economy and showed how the nobility wasted the state’s money and how ordinary people were exploited.
Who was the third Minister of Finance?
He spent lavishly in order to create an impression of prosperity in France. He was dismissed when he attempted to tax the nobility.
When Necker returned what did request? And what did the king agree?
He requested the States-General be summoned, it had last been assembled 175 years before in 1614. The king had to agree France was bankrupt
