Jean-Baptiste Colbert

Jean-Baptiste Colbert (August 29, 1619 – September 6, 1683) served as the French minister of finance for 22 years under King Louis XIV. He achieved a reputation for his work of improving the state of French manufacturing and bringing the economy back from the brink of bankruptcy; although - historians note - since Louis spent so much money (on luxury and wars) France actually became increasingly impoverished. Colbert worked to create a favourable balance of trade and increase France's colonial holdings. Historians of mercantilism consider Colbert a key figure.

Economic reform

With the abolition of the office of superintendent and of many other offices dependent upon it, the supreme control of the finances became vested in a royal council. The sovereign functioned as its president; but Colbert, though for four years he only possessed the title of intendant, operated as its ruling spirit, having had great personal authority conferred upon him by the king. One must not judge the career on which Colbert now entered without constant remembrance of the utter rottenness of the previous financial administration. His ruthlessness in this case, dangerous precedent as it gave, seemed perhaps necessary; the council could not respect individual interests. When he had severely punished guilty officials, he turned his attention to the fraudulent creditors of the government. Colbert had a simple method of operation. He repudiated some of the public loans, and cut off from others a percentage, which varied, at first according to his own decision, and afterwards according to that of the council which he established to examine all claims against the state.

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Much more serious difficulties met his attempts to introduce equality in the pressure of the taxes on the various classes. To diminish the number of the privileged proved impossible, but Colbert firmly resisted false claims for exemption, and lightened the unjust direct taxation by increasing the indirect taxes, from which the privileged could not escape. At the same time he immensely improved the mode of collection.

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Protectionism

Having thus introduced order and economy into the working of the government, Colbert, in a vast yet detailed plan, now called for the enrichment of the country by commerce. The state fostered manufactures in every way that Colbert could devise. The authorities established new industries, protected inventors, invited in workmen from foreign countries, and absolutely prohibited French workmen from emigrating. To maintain the character of French goods in foreign markets, as well as to afford a guarantee to the home consumer, Colbert had the quality and measure of each article fixed by law, punishing breaches of the regulations by public exposure of the delinquent and by destruction of the goods concerned, and, on the third offence, by the pillory. But whatever advantage resulted from this rule, the disadvantages it entailed more than outweighed them. Colbert prohibited the production of qualities which would have suited many purposes of consumption, and the odious supervision which became necessary involved great waste of time and a stereotyped regularity which resisted all improvements. And other parts of Colbert's schemes have met with still less equivocal condemnation.

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By his firm maintenance of the corporation system, each industry remained in the hands of certain privileged bourgeois; in this way, too, the system greatly discouraged improvement; while the lower classes found opportunities of advancement closed. With regard to international commerce Colbert suffered equally from lack of foresight: the tariffs he published protected commerce to an extreme. He did, however, wisely consult the interests of internal commerce. Unable to abolish the duties on the passage of goods from province to province, he did what he could to induce the provinces to equalize them. His régime improved roads and canals. Pierre Paul Riquet (1604 - 1680) planned and constructed the Canal du Midi under Colbert's patronage. To encourage trade with the Levant, Senegal, Guinea and other places, Colbert granted privileges to companies; but, like the more important French East India Company, all proved unsuccessful. The narrowness and rigidity of the government regulations chiefly caused this failure, as well as the failure of the colonies, on which Colbert bestowed so much watchful care.

Related Topics:
Corporation - Bourgeois - Province to province - Pierre Paul Riquet - Canal du Midi - Levant - Senegal - Guinea - French East India Company

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