Bourbon Reforms: Centralization, Society, and Economy in 18th Century Spain

II.2 – Bourbon State Political Organization

The arrival of the Bourbons to the Spanish throne initiated a process of centralization and political unification, beginning with the Decrees of Nueva Planta.

The Nueva Planta decrees abolished the privileges of the kingdoms of the Crown of Aragon (Valencia, 1707; Aragon, 1711; Mallorca, 1715; Catalonia, 1716). The elimination of these charters was possible after Philip V’s victory over those territories, which he considered rebellious. At this time, all realms were governed by the charters of Castile; only Navarra and the Basque provinces maintained their autonomy.

A reorganization of government, marked by the centralization of power, supported the idea that the king was the sole repository of political power (absolute monarchy).

The King

At the cusp of power, the king’s person was sacred and inviolable; his power came directly from God. He held sovereignty without limitation in the exercise of legislative, executive, and judicial functions. With the Bourbons’ ascension to the throne, a modification to the system of succession was introduced: the Salic Law of French origin, which gave precedence to men over women, virtually excluding them from succession.

Secretaries of State Dispatch

These were forerunners of the current ministries, with clerks responsible for specific issues. Their number and functions varied throughout the century (Treasury, War, Navy, Justice, Indian Affairs, State). The secretaries were appointed and dismissed by the king.

Royal Councils

The royal councils lost power; some disappeared, and others were relegated to administrative and advisory roles (Consejo de Castilla).

Courts

The courts were only those of Castile, which retained a single function: the swearing of the Crown, along with those of Navarra.

Territorial Administration

(Same for all the kingdoms except for Navarra and the Basque provinces). The fundamental change was the division of the Spanish territory into provinces. In charge of the provinces were:

  • Captain-General: the head of the army and the entire administration.
  • The Court: a High Court of Justice that advised the captains-general.
  • Mayor: with economic functions, responsible for stimulating development.

This new territorial organization negated the existence of any decision-making body outside of the state capital, Madrid, since all persons who held any authority in the provinces were appointed or dismissed by the king.

Treasury

Reforms to the treasury system fell within the process of unification and administrative centralization. The old system was eliminated, and all taxes were collected in a common fund. Only Navarra and the Basque provinces retained their autonomy in financial matters.

The new tax system in the Crown of Aragon was based on the Cadastre. By removing the administrative autonomy of the kingdoms of the Crown of Aragon, the tax system was reorganized from scratch. The distribution of taxes was decided by taking into account rural and urban wealth (taxes that no one was exempt from paying) and the income from any work (nobles, clergy, and public officials were exempt from paying for this concept). To this end, the first land registry was created to evaluate wealth.

The Spanish government tried to implement a similar system in the Crown of Castile. As part of the project’s implementation in 1749, the Marquis de la Ensenada, Finance Minister under Fernando VI, ordered the assessment of existing wealth in the Crown of Castile (Cadastre of Ensenada), which caused severe criticism and strong opposition. Later, Charles III attempted to revive the Ensenada draft.


Population and Society

The seventeenth century had been a period of serious demographic crisis (emigration of young people to the Indies, the expulsion of the Moors in 1607). Towards the end of the century, there seemed to be a slight recovery. The eighteenth century was a period of increased population growth (according to the census of Floridablanca, 1787, the population was around 11 million). This population increase was not uniform throughout the peninsula; there was a demographic dominance of the periphery over the center, contrary to what had happened in previous centuries. Also important was the urban growth of cities such as Madrid and Barcelona, which exceeded 100,000, while the population remained largely rural.

The causes of this significant increase were high birth rates (42%), although many did not reach maturity due to the high infant mortality rate (25%), and a catastrophic decline in mortality. There were still periods of high mortality due to the incidence of epidemics and subsistence crises. The Old Regime continued.

Society

The Ancien Régime was an estate society based on birth, with a social hierarchy supported by privilege. Privilege was specified in a number of rights:

  • Various statutes.
  • Reservation of certain positions in the administration.
  • Social privileges, such as the right to honor.
  • Economic privileges, the most important being total exemption from taxes and the direct allocation of a portion of the income paid from the budget.
  • The right to court, assigned by the monarchy (direct authority of the lord over the peasants), which gave them power and wealth, raising some taxes, etc.

The key factor that differentiated the two privileged classes (nobility and clergy) was the concentration of wealth in their hands, but within these two strata, differences among their members were too big (headings and medium-large versus small nobility, high parish church hierarchy against the state level).

The unprivileged establishment groups were very different: most of the population were peasants, characterized by low income, frequent seasonal unemployment, poor harvests, defenseless against widespread poverty, and illiteracy.

In cities, the artisans were grouped into classes, reluctant to any change, free markets, and free competition, which they considered harmful to their interests.

The burghers were in favor of changes to end the old regime. They constituted a small but well-represented social group in secondary positions and integrated management in Economic Societies of Friends of the Country.

Poor, factory workers were disorganized and scattered.

Finally, the marginal sectors, poor, sick, criminals, beggars, and people without work or welfare, were aided by the Church.

Throughout the eighteenth century, there were several social conflicts, always in relation to the cost of living, especially after the liberalization of wheat prices. The most important were the mutiny of Squillace and the expulsion of the Jesuits.