Taxation and Deadlock
On the night of July 14, 1789.
Louis XVI: "Why, it is a revolt."
Duc de la Rochefoucauld-Liancourt:
"No, Sire, it is a revolution."
In 1789 the French monarchy was, to
put it plainly, broke. The government of the richest country in
Europe had no money. The costs of helping the Americans win their
independence from England had been ruinous, but the intervention had
been successful. However, the treasury was empty. In 1787 Louis XVI
called a meeting of the nobility called the Assembly of Notables and
asked them for help in solving the financial problem. The nobles at
the assembly were so shocked at the extent of the debt that they
rejected any attempts to solve it. In desperation the government of
Louis XVI called a meeting of the Estates General, which had not met
since 1614, to ask it to levy new taxes. Instead of voting by each
member, the monarch allowed the Estates General to vote by Estate -
the three estates being the nobility, the Church, and the lower
classes. Since the Church was staffed by the younger sons of the
nobility, any vote on increased taxes on the nobility, the richest
class in France, would be two to one. The people of Paris, joined by
the elements of the army, stormed the Bastille, a symbol of royal
authority, on July 14, 1789.
I often think of this historical chain
of events when I hear of the budget deadlock between the
administration and the House of Representatives. We live in the
richest country on Earth and yet our government cannot raise enough
tax money to finance its programs. It must continually borrow. Yet
attempts to raise taxes are met with unyielding resistance. The
reason we have the deficit is that we didn't tax enough before 2012;
the political resolve simply was not there. Now the only answer that
one party will accept is cutting domestic programs antithetical to
its ideology, which a majority of Americans will not agree to.
Me included.
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