Week 18- Taxation and the central economy

Question 1

What issues of taxations did Napoleon inherit?

Answer 1

Any improvements in tax collection were offset by the cost of maintaining the army and the Empire.
There were issues with the collection of taxes, with collectors often taking some of what they collected.

Question 2

What was the structure of banking before Napoleon?

Answer 2

There was no central bank

Question 3

What was the impact of there being no central bank?

Answer 3

A bank would provide uniform administration of tax distribution and reduce the need for high-interest loans.

Question 4

What system of trade did Napoleon inherit?

Answer 4

Trade was very complex due to the different taxes on trade throughout France and the inflation of paper money.

Question 5

What was the agricultural system of France by 1800?

Answer 5

Agricultural techniques were much less advanced than Britain who were already undergoing industrialisation.

Question 6

Which tax, inherited from the Directory did Napoleon keep?

Answer 6

Contribution foncière, a land tax that provided the bulk of government revenue.

Question 7

Which tax did Napoleon keep from the Consulate?

Answer 7

The contribution personelle mobilière, a tax on personal property in urban areas.

Question 8

How effective was the contribution personelle mobilière?

Answer 8

Only brought in a small amount of revenue and was sometimes costly.

Question 9

When did Napoleon’s officials begin drawing up a new land register?

Answer 9

1807

Question 10

What was the role of the land register?

Answer 10

Measured the value of land to calculate the land tax which was the most effective source of revenue.
Made the collection of land tax fairer.

Question 11

How effective was the land register?

Answer 11

Took longer than expected, only a fifth of the country had been assessed by 1815.

Question 12

What was an octroi?

Answer 12

In September 1803, towns and cities could levy an octroi on consumer goods entering their administration.

Question 13

What was the impact of an octroi?

Answer 13

Allowed Napoleon to directly help local towns and cities to develop, rather than just Paris.

Question 14

How was tax collection assessed?

Answer 14

Tax collectors and inspectors were appointed for each département.
Their tax receipts were subject to the inspection of the central government.

Question 15

How was accounting of state revenue and expenditure administered?

Answer 15

The Cour des Comptes was created in September 1807.

Handled state finances and kept accounts of income and authorised the release of money.

Question 16

What was the impact of the Cour des Comptes?

Answer 16

Allowed a gathering of statistics and data from different départements.
Gave a better understanding of France’s economy to introduce more effective reforms.

Question 17

When did Napoleon establish the Bank of France?

Answer 17

January 1800

Question 18

What was the role of the Bank of France?

Answer 18

Provided credit both for the government and entrepreneurs.
Produced and controlled a national currency of gold and silver coins.
Controlled sale of government bonds so that Napoleon could guarantee loan repayments.

Question 19

How did the influence of the Bank of France spread across France?

Answer 19

From 1808, sub-branches of the Bank were set up in towns where trade was growing.
Created a sense of structure and allowed more control.

Question 20

How did Napoleon tackle the issue of inflation?

Answer 20

He declared metal coinage the only legal tender.

These coins would hold value ensuring long-term security.

Question 21

When did Jean-Antoine Chaptal become Minister of the Interior?

Answer 21

1802

Question 22

What changes did Chaptal enforce?

Answer 22

Establishment of a Bureau of statistics, Establishment of Chambers of Commerce, Establishment of Chambres Consultatives de Arts et Manufactures

Question 23

What was the Bureau of Statistics?

Answer 23

Gather data from the départements on population, agriculture, commerce and industry.

Question 24

What was the impact of Chaptal’s reforms?

Answer 24

Encouraged products of the French industry which helped towards industrialisation.
Increased mechanisation of mass-production of consumer goods.
The wool industry increased its yield by 400% in 1812.

Question 25

Where and when were Chambers of Commerce and Chambres Consultatives de Arts et Manufactures established?

Answer 25

Commerce- 23 of the largest cities in 1802.

De Arts et Manufactures- 150 of the smaller urban areas in 1803.

Question 26

How did Napoleon encourage the trade of luxury goods?

Answer 26

Napoleon promised peaceful relations to those countries that supplied France with goods at lower prices.

Question 27

What was the impact of buying goods from foreign manufacturers at a low price?

Answer 27

Impacted French producers who could not compete with these foreign manufacturers.
Depreciated the market in other countries as they were not getting as much money for their goods.
Benefited French consumers who had a disposable income and could get goods at a lower price.

Question 28

What were ‘replacement crops’?

Answer 28

The government encouraged the growth of ‘replacement crops’ to avoid dependence on colonial production.

Question 29

What was the impact of ‘replacement crops’?

Answer 29

January 1813- Sugar import was prohibited to stimulate the French sugar industry.
The targets of production were not met.