Finance Flashcards
What were the main weaknesses financially in 1661?
- Pays D’Etat- meant wealthier provinces often paid less because they could deliberate over how much tax they paid.
- The estates. 1st and 2nd were exempt from tax. 1st only had to pay the don gratuit every 5 years.
- Venality-only have short term benefits. Created venal nobles. Made more people exempt from taxes.
- Corruption.
- Tax collection methods were flawed.
- Agriculture upon which the French economy was based was subject to seasonal fluctuations.
- Loans with high interest rates.
What were the four ways the government could acquire funds?
- Revenue from leasing royal land.
- Direct tax-Taille falling mainly on the peasants.
- Indirect taxes such as aides (drink), traits and gabelles (salt tax).
- Loans.
When did Dragonnades take place?
- From 1681.
- They secured 30,000 conversions in the first year, they were encouraged by the authorities and brutalities were allowed.
What did Colbert make Louis do at the beginning of every year?
- Account how much money he had and subtract expenditures etc.
- No other monarchs did this personally.
What did Colbert do to reduce the number of young people going into religious service?
Raise the age at which they could commit their life to the church.
How many children did you have to have to be exempt from tax?
Colbert made it so that families with ten children were exempt from tax.
What did Colbert have done with criminals?
- Had them sent to the gallies.
- Even after their sentence was up, if they were able bodied they couldn’t leave unless their relatives bought them out.
What were the names of the taxes Louis used later in his reign that meant he could tax the privileged?
- The Capitation and the Dixieme taxes. These extended the direct taxes to individuals previous exempt from the fiscal demands of the state.
- The Dixieme in particular, was introduced in 1710 and was an attempt at a short term and fairly immediate injection of funds to pay for the damaging continuation of the War of Spanish Succession.
Did the Taille remain an affective form of tax throughout Louis’ reign?
No the amount collected by the Taille actually declined throughout much of the early part of Louis XIVs reign, with a much greater reliance placed on forms of indirect taxation and especially the gabelle.
In 1661 how much of royal finance did the Taille account for?
60%
How much did the Pays d’état contribute?
The Pays d’état made up 1/4 of the tax capability however only paid 1/6 of the tax. This was because the Pays d’etat had the ability to negotiate the amount of tax collected.
How many intendants were there?
33 for the 34 generalities of France.
How much was earned from the sale of Venal offices?
- 2 million livers was annually earned through the sale of Venal Offices.
- This was a cash payment in return for tax exemption. This was unsustainable, as 45000 posts were created in the 17th century meaning that a high number of wealthy businessmen were brought out if tax altogether.
How much debt was France in after the 30 years war?
451 million livers causing debt interest to be 1,600,000 every year.
What were some financial difficulties due to agriculture?
- Agriculture made up 90% of the economy and was subject to seasonal variations such as the poor harvest of 1691.
- Farmers also were under pressure due to the Taille, which resulted in a shortage of animals as more wheat farming.
