Why Louis XVI imposed more taxes on France ?
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France helped 13 American colonies to gain indepence from their common enemy Britain.
These wars added more than a billion livres.
The lenders who gave state credit, now wanted 10 percent interest on loans.
So, the French government was obliged to spend an increasing percentage of it's budget on the intrest alone.
To meet the regular expenses, such as the cost of maintaining an army, the court, offices etc the state was forced to increase taxes.
Yet this measure was successful so the French society was divided into 3 estates, where only the third estate paid taxes.
These wars added more than a billion livres.
The lenders who gave state credit, now wanted 10 percent interest on loans.
So, the French government was obliged to spend an increasing percentage of it's budget on the intrest alone.
To meet the regular expenses, such as the cost of maintaining an army, the court, offices etc the state was forced to increase taxes.
Yet this measure was successful so the French society was divided into 3 estates, where only the third estate paid taxes.
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Answer:
- long years of war had drained the financial resources of France.
- added to this was the cost of maintaining an extravagant court at the immense place of Versailles
- under the rule of Louis XVI France helped 13 American colonies to gain their independence from the common animal Britain.
- the war added more than a billion livers to dept had already rising to more than 2 billion livers.
- landers who gave the state credit now begin to charge 10% interest on the loans.
- to meet its regular expenses such as the cost of maintaining an army the, running government offices all universities the state was forced to increase taxes.
- the French government was obliged to spend an increasing percentage of its budget on interest replacement alone.
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