The Third Estate & the financial crisis

The Third Estate made up the overwhelming majority of the French population. Unlike the other estates, the Third Estate was divided by vast differences in occupation, level of education, and wealth. Another part of the Third Estate consisted of skilled craftspeople, shopkeepers, & other wage earners in the cities. In the 18th century, a rise in consumer prices that was greater than the increase in wages left these urban groups with a decline in buying power. The struggle for survival led many of these people to play an important role in the revolution. The bourgeoisie, or middle class, was another part of the Third Estate. Social conditions, then formed a long-range background to the French Revolution. The immediate cause of the revolution was the near collapse of government finances. The French economy suffered periodic crisis and in spite of the economic problems, the French government continued to spend enormous sums on costly wars and court luxuries. On the verge of a complete financial collapse, the government of Louis XVI was finally forced to call a meeting of the Estates-General to raise new taxes.

Information found in Book, Pages 548 & 549