Spain in the 1700s: From War of Succession to Enlightened Despotism
The War of Succession and the Treaty of Utrecht
The death of Charles II in 1700, without an heir, triggered the War of Succession between the Bourbons and the Habsburgs. European powers like Holland and England aimed to prevent the emergence of a dominant power. Within Spain, Castile supported the Bourbons, hoping for centralized rule and balanced burden-sharing, while Aragon backed the Habsburgs to preserve its privileges. Charles II had named Philip of Anjou, grandson of Louis XIV, as his heir. While initially accepted, Louis XIV’s interference in Spanish affairs led to war in 1702, reaching Spain in 1705 when Aragon rebelled against Philip V and supported the Habsburg claimant, Archduke Charles. Charles’s subsequent election as Holy Roman Emperor shifted the European balance of power, prompting Britain to push for peace. The war in Spain concluded with the Treaty of Utrecht in 1714, following fierce Catalan resistance. Philip renounced his claim to the French throne, Spain ceded European territories to Austria (Netherlands and Italy), vital enclaves to England (Gibraltar and Menorca), and granted commercial rights (Asiento) that broke its American trade monopoly. These losses allowed Spain to focus on domestic issues, abandoning its resource-draining imperialist policies. The Treaty of Utrecht established a new European balance of power centered around Vienna and Paris.
Dynastic Change and the Early Bourbons
The change in dynasty ushered in absolutism, concentrating power in the monarch, answerable only to God. The new French dynasty introduced administrative reforms, strengthened royal authority, and stimulated economic activity. Philip V (1700-1746) had a long reign, briefly interrupted by his son Louis I’s abdication in 1724. He unified Spain’s administration with the Decrees of Nueva Planta and focused on rebuilding the navy. His second marriage to Elizabeth Farnese led to an aggressive foreign policy. Fernando VI (1746-1759) initiated an era of neutrality. His minister, the Marquis of Ensenada, launched reforms including treasury reorganization, a proposed cadastre for a flat tax (blocked by privileged classes), naval expansion, improved relations with American colonies, and intellectual initiatives like the Academy of Medicine, the Astronomical Observatory, and a new map of Spain. These measures paved the way for Carlos III’s enlightened despotism.
Centralized Monarchy and State Reform
Early Bourbon absolutism centralized administration through the Nueva Planta Decrees, abolishing Aragon’s autonomy and imposing Castile’s model. Navarra and the Basque Country retained their fueros for supporting Philip V. Kingdoms were integrated into Castile. Councils lost power or were abolished, their functions transferred to Secretaries of State. The territory was divided into provinces, each led by a Captain General (military) and an Intendant (judicial and economic). Salic Law, barring female rulers, was introduced. Financial improvements resulted from reforms and reduced spending on European territories. The crown sought to control the Church’s political influence, culminating in the expulsion of the Jesuits. The Bourbons established undisputed royal authority.
Enlightened Despotism under Carlos III
Carlos III practiced enlightened despotism, implementing reforms for progress and welfare without undermining the Old Regime’s social and political foundations. His motto was “Everything for the people, but without the people.” Key reforms included free trade with the Americas, ending Cádiz’s monopoly and challenging British and Dutch trading companies; royal factories for luxury goods to reduce imports; Jovellanos’ agricultural report, highlighting land distribution and devaluation issues (largely ignored due to the French Revolution); Economic Societies of Friends of the Country to improve farming; control over the Church, culminating in the expulsion of the Jesuits and seizure of their assets; dignifying professions; building irrigation canals and roads; urban sanitation; and promoting education and science through Royal Academies, museums, and research centers (Botanical Garden, Astronomical Observatory).
Foreign Policy in 18th Century Europe
Following the Treaty of Utrecht, Spain shifted its focus to the Atlantic. The shared Bourbon dynasty fostered closer ties with France, both viewing Great Britain as a rival. This alliance manifested in the Family Compacts (1733, 1743, and 1761), drawing Spain into conflicts with Britain over Atlantic trade routes. Philip V sought to regain Mediterranean influence and Italian possessions, acquiring Naples, Sicily, and Parma. Fernando VI maintained neutrality, focusing on military modernization. Carlos III joined the Third Family Compact to protect American territories, leading to Spain’s involvement in the Seven Years’ War. Spain ceded Florida in the Treaty of Paris but regained it and Menorca during the American Revolutionary War. Initially joining a coalition against revolutionary France, Charles IV later allied with Napoleon through the Treaties of San Ildefonso (1796 and 1800) against Britain, culminating in the disastrous Battle of Trafalgar (1805) and the destruction of the Franco-Spanish fleet.
Bourbon Policy in America
The Bourbons implemented administrative changes in America to enhance control and economic output. The Council of the Indies lost power to secretaries, and the Casa de Contratación was dissolved in 1790. Two new viceroyalties (New Granada and Río de la Plata) were created from Peru, adding to the existing viceroyalties of New Spain and Peru. A regular army was established, and American municipalities were granted powers similar to those in Spain. Commercial companies, like the Caracas Company of Guipúzcoa, were founded. In 1735, the fleet system was replaced by the register system, allowing individuals to ship goods on licensed vessels from Cádiz. The decrees of 1765 and 1778 authorized free trade, ending Cádiz’s monopoly and boosting industry and commerce, particularly in Catalonia. While American trade increased, the market favored peninsular industry, leading to the export of mostly foreign goods and widespread smuggling.
The Enlightenment in Spain
The Enlightenment, a European movement, aimed to modernize the economy, culture, and society within the absolutist framework. It emphasized progress, happiness, and nature, relying on the monarchy for reform and the Church for moral support. Economic goals included tariff protectionism, abolishing primogeniture, and land ownership reform. Reason was seen as the key to progress. Enlightenment thinkers criticized Old Regime institutions, idleness, inherited privileges, and clerical unpreparedness, while defending liberalism and the dignity of labor. Economic Societies of Friends of the Country promoted industry, agriculture, trade, science, and education. Research centers were established. Prominent figures included economists like Campomanes and Jovellanos, essayists like Cadalso, Olavide, and Feijoo, and poets and playwrights like Moratín.