Louis XVI and France's Financial Troubles Quiz
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Questions and Answers

What did Louis XVI find upon ascending the throne of France?

  • A surplus of financial resources
  • An empty treasure (correct)
  • A flourishing economy
  • A strong military

Why did the French government have to spend an increasing amount of its budget on interest payments?

  • To decrease the taxes on the Third Estate
  • To fund the maintenance of government offices
  • Due to lenders charging high interest rates on loans (correct)
  • To support the American colonies in gaining independence

Which palace was known for its extravagance during Louis XVI's reign?

  • Palace of Louvre
  • Palace of Versailles (correct)
  • Palace of Tuileries
  • Palace of Fontainebleau

What was the main reason for France's increasing debt during Louis XVI's rule?

<p>Maintaining an extravagant court at Versailles (D)</p> Signup and view all the answers

Which estate in French society had to bear the burden of paying taxes in the eighteenth century?

<p>Third Estate (A)</p> Signup and view all the answers

What impact did France's involvement in assisting the American colonies have on its finances?

<p>Increased the national debt by over a billion livres (D)</p> Signup and view all the answers

What was the financial impact on France due to its assistance to the American colonies in gaining independence?

<p>It added more than a billion livres to the existing debt. (B)</p> Signup and view all the answers

Why did lenders who previously gave credit to the French state start charging 10 percent interest on loans?

<p>To compensate for the financial losses incurred during the war. (D)</p> Signup and view all the answers

What was the primary reason for France being forced to increase taxes during Louis XVI's reign?

<p>Maintenance of an extravagant court at Versailles. (A)</p> Signup and view all the answers

How did France's involvement in assisting American colonies affect the state's budget in terms of interest payments?

<p>It required a significant portion of the budget just for interest payments. (C)</p> Signup and view all the answers

What burden did only the members of the Third Estate have to bear in French society during the eighteenth century?

<p>Paying the majority of taxes. (A)</p> Signup and view all the answers

How did maintaining an army contribute to France's financial challenges under Louis XVI?

<p>It required a substantial portion of the state's budget. (B)</p> Signup and view all the answers

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