Encyclopedia of Early Modern History Online

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Sovereign default
(1,280 words)

1. Causes and consequences

A sovereign default in early modern history implied that a state could no longer pay its obligations. Although all early modern states regularly experienced difficulties in payments, the term “sovereign default” is usually reserved for those situations in which the state can no longer pay the interest (Interest [banking]) on most of its outstanding loans (CreditPublic credit). Such a default does not necessarily bring the dissolution of the state. The state is si…

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't Hart, Marjolein, “Sovereign default”, in: Encyclopedia of Early Modern History Online, Editors of the English edition: Graeme Dunphy, Andrew Gow. Original German Edition: Enzyklopädie der Neuzeit. Im Auftrag des Kulturwissenschaftlichen Instituts (Essen) und in Verbindung mit den Fachherausgebern herausgegeben von Friedrich Jaeger. Copyright © J.B. Metzlersche Verlagsbuchhandlung und Carl Ernst Poeschel Verlag GmbH 2005–2012. Consulted online on 02 October 2023 <http://dx.doi.org/10.1163/2352-0272_emho_COM_027931>
First published online: 2015
First print edition: 20180208



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