Changes

A weak and vacillating leader, Louis XVI proved incapable of pursuing any consistent policy. A series of finance ministers worsened the fiscal crisis, which led to louder and more urgent demands by supporters of liberal reforms. Turgot’s program—"No bankruptcy, no increase in taxes, no borrowing, but economy"—demanded stringent reforms, so he abolished some monopolies, tried to reform the extraordinarily wasteful system of farming the taxes (i.e. having private persons collect them for a fee), and drastically cut spending; he managed to reduce part of the public debt. In 1774 his restoration of free circulation of grain inside the country antagonized the grain speculators; it was followed by a crop failure and widespread bread riots, as Turgot's popularity plunged.  Turgot was ousted in 1776, and replaced by [[Jacques Necker]] as director of the treasury, who had the king's support.  

A weak and vacillating leader, Louis XVI proved incapable of pursuing any consistent policy. A series of finance ministers worsened the fiscal crisis, which led to louder and more urgent demands by supporters of liberal reforms. Turgot’s program—"No bankruptcy, no increase in taxes, no borrowing, but economy"—demanded stringent reforms, so he abolished some monopolies, tried to reform the extraordinarily wasteful system of farming the taxes (i.e. having private persons collect them for a fee), and drastically cut spending; he managed to reduce part of the public debt. In 1774 his restoration of free circulation of grain inside the country antagonized the grain speculators; it was followed by a crop failure and widespread bread riots, as Turgot's popularity plunged.  Turgot was ousted in 1776, and replaced by [[Jacques Necker]] as director of the treasury, who had the king's support.  

===American Revolution===

===American Revolution===

In spring 1776 Vergennes, the Foreign Secretary, saw an opportunity to humiliate arch-for Britain by supporting the [[American Revolution|American revolt]].  Louis XVI was convinced by [[Benjamin Franklin]] to send financial aid and large quantities of munitions, sign a formal treaty of alliance in 1778, and go to war with Britain. Spain and the Netherlands joined the French.  The Americans gained their independence, and the war ministry rebuilt the French army. However, the British sank the main French fleet in 1782 and France gained little from the Treaty of Paris (1783) that ended the war,<ref> France gained the colonies of Tobago and Senegal.</ref> except the war cost 1,066 million livres, financed by new loans at high interest (with no new taxes).  Necker however concealed the crisis from the public (explaining only that ordinary revenues exceeded ordinary expenses, and not mentioning the loans.) After he was forced from office in 1781 new taxes were levied.<ref>On finance see William Doyle, ''Oxford History of the French Revolution'' (1989) p 67-74 </ref>

In spring 1776 Vergennes, the Foreign Secretary, saw an opportunity to humiliate arch-foe Britain by supporting the [[American Revolution|American revolt]].  Louis XVI was convinced by [[Benjamin Franklin]] to send financial aid and large quantities of munitions, sign a formal treaty of alliance in 1778, and go to war with Britain. Spain and the Netherlands joined the French.  The Americans gained their independence, and the war ministry rebuilt the French army. However, the British sank the main French fleet in 1782 and France gained little from the Treaty of Paris (1783) that ended the war,<ref> France gained the colonies of Tobago and Senegal.</ref> except the war cost 1,066 million livres, financed by new loans at high interest (with no new taxes).  Necker however concealed the crisis from the public (explaining only that ordinary revenues exceeded ordinary expenses, and not mentioning the loans.) After he was forced from office in 1781 new taxes were levied.<ref>On finance see William Doyle, ''Oxford History of the French Revolution'' (1989) p 67-74 </ref>

 

===Financial crises===

===Financial crises===

Necker’s attempt to gain greater control over policy by courting public opinion was rebuffed at court, and he quit in May, 1781. Necker’s successors Charles Alexandre de Calonne (1783–87) had to  

Necker’s attempt to gain greater control over policy by courting public opinion was rebuffed at court, and he quit in May, 1781. Necker’s successors Charles Alexandre de Calonne (1783–87) had to