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How did american war of independence …

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How did american war of independence add more debt to france

    • Posted by Mangesh Dalal 5 years, 8 months ago

    CBSE > Class 09 > Social Science
    • 1 answers

    Yogita Ingle 5 years, 8 months ago

    1. The French treasury was already drained out in the reign of Louis XVI in 1774 due to wars and maintenance of the ornate court at the palace of Versailles.
    2. In addition to this, France assisted the thirteen American colonies to get independence from Britain.
    3. This increased the debt to another one billion livres. Hence the moneylenders started charging a higher rate of interest of upto 10 per cent.
    4. This made the French government to spend further on interest payments alone.

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