Revolution that marks the transition from feudal to capitalist society, 1789
Towards the end of the 18th century France was in deep crisis. The state finances were depleted as a result of French participation in the North American war. Industry was developing, but the new capitalist class (bourgeoisie) was barred from political power. Government was in the hands of the feudal class, which continued unabashed high-level luxury spending even when the people were starving.
In 1787 the controller general of finances assembled representatives of the aristocracy, the church and a few bourgeois and proposed a solution to the state's financial problems by increasing taxes of the privileged classes. The assembly refused and suggested to organize a meeting of the Estates-General, a body consisting of representatives of the aristocracy, the church and the commoners ("Third Estate") which had not met since 1614. After months of unrest king Louis XVI had the Estates-General convened for 5 May 1789, preceded by elections of 300 representatives for the aristocracy, 300 for the church and 600 for the Third Estate.
At its first meeting the Estates-General could not resolve whether voting was by head or by Estate. The third Estate met on 20 June on its own, declaring that it would remain in session until it had given France a new constitution. The king apparently accepted this and asked the other two Estates to join the meeting and form a National Constituent Assembly but began preparation for its dissolution by gathering troops around Paris.
Fearing that troops were about to enter Paris the people stormed the Bastille (France's state prison) on 14 July 1789 to get into the armoury and take up arms. The aristocracy and the church could no longer hold on to feudal positions, and on 4 August the National Constituent Assembly declared the end of the feudal regime and the abolition of the tithe (the landlord's part of the harvest). On 26 August it published the "Declaration of the Rights of Man and of the Citizen". When the king refused his signature under the decrees of 4 and 26 August the people marched to the king's residence in Versailles on 5 October and took the royal family to Paris.
The National Constituent Assembly proceeded to dismantle the feudal regime. It confiscated the extensive land holdings and other properties of the Church and used the amount raised to consolidate the state finances. It introduced a new administation and a new justice system, in which all judges were elected.
The feudal system, in which a small class of aristocrats receives a large percentage of the fruit of peasant labour for luxury consumption, developed in many civilizations. In the European civilization it had become a hindrance for the development of society. The industrial age required the use of labour not for luxurious consumption but for rapid accumulation of capital. Removal of the aristocracy from power had become a necessity, but the bourgeoisie required the help of the peasants and workers to achieve it. For a short but crucial time in history these classes were united under the banner of the Revolution and its motto Liberté, Égalité et Fraternité (Freedom, Equality and Brotherhood).
France honours its Revolution through a public holiday, Bastille Day on 14 July.