Debt Policy Under Constraints: Philip II and Genoese Bankers

Table 1: Types of revenues Cortes Non Cortes Ordinary Share Fixed contributions (alcabalas, servicios) 27% Temporary contributions 8% 24% Other revenues 22% Silver from the Indies 19% Taxes set Crown by the Extraordinary Share Shares of revenues varied over time. The table presents averages for the entire tenure of Philip II (1556-1598). Temporary contributions include servicio ordinario and extraordinario and the millones (which were in place only between 1591 and 1996). Other revenues include "arbitrios" and Church revenues (on average 17 per cent). Negotiations in the Cortes were on the two items of the first line in the table. 1 2 3 Date Bankers 08/01/1575 Esteban Lomelin Ducats Disbursement 859 Madrid (feria, october 1574) 4 5 6 7 09/01/1575 Juan and Pablo Sauri 09/01/1575 Lucian Centurion and Agustin Spinola 01/02/1575 Fucar 02/02/1575 Bernabé Centurion 02/02/1575 Simon Lercaro 14/02/1575 Juan de Curiel de la Torre 8 9 28/02/1575 Esteban Lercaro and Pablo Sauri 01/03/1575 Nicolas de Grimaldo 10 02/03/1575 Nicolas de Grimaldo 222 Sicily (Palermo or Messina) 11 12 13 104 Madrid 17 Flanders 107 4 galleys and Besançon 17 18 04/03/1575 Esteban Grillo 04/03/1575 Esteban Grillo 05/03/1575 Lorenzo Lomelín (Nicolao y Agustin Lomelin) 14/03/1575 Esteban Grillo 19/03/1575 Licenciado Miguel de Mena 19/03/1575 Alonso de Salinas, (citizens of Burgos) 03/1575 Antonio Fucar y sobrinos 04/04/1575 Nicolas de Grimaldo 19 20 11/04/1575 Juan Curiel de la Torre 19/04/1575 Nicolas de Grimaldo 21 22 23 24 25 14/05/1575 25/05/1575 14/06/1575 08/07/1575 23/07/1575 14 15 16 Nicolas de Grimaldo Esteban Lercaro and Pablo Sauri Esteban Lercaro Juan Curiel de la Torre Nicolas de Grimaldo 68 Spanish galleys 79 Madrid mercury 103 Italy and Madrid 61 Milán 536 Cartagena and Madrid (ferias in 1574) 78 Spanish galleys 1.077 Flanders and Italy Repayment In the same ferias, in Sevilla, the banco of Pedro de Morga, sales of titles (villas), fleet of 1576... Sales of offices, some in 1576 Fleet in 1575, 76 y 77 Increase of alcabalas Increase of alcabalas, thirds 2 and 3 in 1575 Feria of Augustt in Besançon and Chambery Increase of alcabalas 1575 Alcabalas in 1575 (first and second: 168.750.000 mrs) 3 tercio 112.500.000 mrs Alcabalas in 1575, 2 y 3 tercio, half for each third of 46.875.000 mrs Increase of alcabalas 1576 Increase of alcabalas 1576 Alcabalas in 1576 and others 133 Flanders 57 Madrid (feria october 1574) 323 Flanders Increase of alcabalas 9 Germany 40 Partly reiumbursement of a loan for galleys 212 Besançon y Madrid 465 Flandes y otros banqueros Madrid 154 Madrid (50) and Genoa 48 Spanish galleys 16 Madrid (feria October 1574) 587 Flanders 107 Flanders Letters of credit in Germany and Madrid Increase of alcabalas Increase of alcabalas Increase of alcabalas 1576 Alcabalas 1575 Different persons and increase of alcabalas 1576 Increase of alcabalas 1576 Increase of alcabalas 1576 Fleet, alcabalas 1576, and others Fleet 1575 Table 2: Asientos issued in 1575 The total of the asientos is of 5,382.455 ducats. One ducat is equal to 375 maravedis (mrs). The asientos that specified bankers’ payments in kind (galleys, mercury, with a total of about 560,000 ducats) are included. Direct revenues from customs and monopolies are put together under “Farms”. Note that high variability of the revenues from the Indies that are represented in actual numbers by points and in a 3-year moving average by a curve. The Millones are included in the servicios-for the years 1591-1596. Amounts are in million ducats (nominal). Figure 1: Revenues The amounts of the debt service are collected from different sources in the years that are represented by circles. The dates of the payment stops are marked by vertical lines. Figure 2: Debt service and ordinary taxes (in million ducats) 32 40 revenues (encabezamiento) 30 35 Murcia revenues (encabezamiento) 28 26 30 Burgos 25 24 juros service 22 20 20 15 18 juros service 10 16 14 1550 1555 1560 1565 1570 1575 1580 1585 1590 1595 5 1550 1600 1555 1560 1565 1570 1575 1580 1585 1590 1595 1600 8 Cadiz 7 6 5 revenues (encabezamiento) 4 juros service 3 2 1 1550 1555 1560 1565 1570 1575 1580 1585 1590 1595 1600 Figure 3: Service of juros and funding taxes (encabezamientos) for Burgos, the Figure region 1: Ordinary Revenues maravedis=1/375 ducat) of Murcia and(inCadiz (in thousands of ducats) Sources: Juros service: AHN, Consejos Juros, leg. 1777. Encabezado: Pilar Zabala and AGS, Contaduría Mayor de Cuentas !"#época, leg. 173.# Figure 4: Debt service and ordinary taxes (deflated and per capita)