Necker proved to be powerless as tax-revenue dropped quickly.
A first loan of thirty millions (1,200,000 livres), voted 9 August, had not succeeded; a subsequent loan of eighty millions (3,200,000 livres), voted the 27th of the same month, had been insufficient.
Credit was wrecked, according to Talleyrand; for Mirabeau "the deficit was the treasure of the nation" as it had made many changes possible.
In September the treasury was empty.
According to Marat the whole famine was the work of one man, accusing Necker of buying up all the corn on every side, in order that Paris had none.
Talleyrand, the bishop of Autun proposed "national goods" should be given back to the nation.
In November 1789 ecclesiastical possessions were confiscated.
Necker proposed to borrow from "Caisse d'Escompte", but his intention to change the private bank into a national bank as the Bank of England failed.
A general bankruptcy seemed certain.
Mirabeau proposed to LaFayette to overthrow Necker.
On 21 December 1789 a first decree was voted through, ordering the issue (in April 1790) of 400 million assignats, certificates of indebtedness of 1,000 livres each, with an interest rate of 5%, secured and repayable based on the auctioning of the "Biens nationaux".
Once the assignats were paid, they had to be destroyed or burnt.
 Jean-Paul Marat was nearly arrested for his aggressive attacks against Necker, and was forced to flee to London.
On 10 March 1790, on the proposition Pétion, the administration of the church property was transferred to the municipalities.
In the past few months Étienne Clavière lobbied for large issues of assignats representing national wealth and operating as legal tender.
 For daily life smaller denominations were needed and extended to the whole of France.
On 17 April 1790, the new notes of 200 and 300 livres were declared legal tender but their interest was reduced to 3%.
The assignats would compensate for the scarcity of coin and would revive industry and trade.

In May 1790 the feudal and ecclesiastical properties were sold against assignats.
Constitutional monarchists such as Maury, Cazalès, Bergasse and d'Eprémesnil opposed it.
The deputies in the Convention prepared a surety for future issues of paper money (on 19 June, 29 July).
In July, Necker proposed, as the only means, a patriotic contribution of a fourth of the revenue, to be paid at once.
Half of the taxes over the preceding year were still not received.
People who earned more than 400 livres were invited to go to their municipality and fulfill their duty.
As it was not the final cure he asked his friends, the Geneva "banquiers", to pay the arrears the Assembly turned it down.
The political scene came to be dominated by "clamorous spectators, passionate judges, and ungovernable agitators".
Necker was continuously attacked by Jean-Paul Marat in his pamphlets and by Jacques-René Hébert in his newspaper.
Count Mirabeau, who played a decisive role in the Assembly, accused him of complete financial dictatorship.
For Mirabeau, to express doubts in the assignats, was to express doubts in the revolution.

At the end of August the government was again in distress; four months after the first issue the money was spent.
Montesquiou-Fézensac, the teacher of Mirabeau, presented a report in the Assembly.
Assignats should be used not only for payment of church property.

Necker himself argued at the National Assembly on 27 August that the assignats were a paper money which would bankrupt France.
Talleyrand had also attacked them on the grounds that they risked the same fate as Law's schemes.
Camus stressed what he believed was the lesson of American experience of paper, which had undermined metal money and sent prices spiralling.
Condorcet and Dupont de Nemours argued that the assignats would drive out silver and other forms of coin, raise prices relative to paper, and thereby dangerously restrict commerce.
All of these writers preferred the issue of treasury bills at interest through the Caisse d'Escompte, a revised tax-system, and increased loans.

Montesquiou had massively exagger
Necker proved to be powerless as tax-revenue dropped quickly. A first loan of thirty millions (1,200,000 livres), voted 9 August, had not succeeded; a subsequent loan of eighty millions (3,200,000 livres), voted the 27th of the same month, had been insufficient. Credit was wrecked, according to Talleyrand; for Mirabeau "the deficit was the treasure of the nation" as it had made many changes possible. In September the treasury was empty. According to Marat the whole famine was the work of one man, accusing Necker of buying up all the corn on every side, in order that Paris had none. Talleyrand, the bishop of Autun proposed "national goods" should be given back to the nation. In November 1789 ecclesiastical possessions were confiscated. Necker proposed to borrow from "Caisse d'Escompte", but his intention to change the private bank into a national bank as the Bank of England failed. A general bankruptcy seemed certain. Mirabeau proposed to LaFayette to overthrow Necker. On 21 December 1789 a first decree was voted through, ordering the issue (in April 1790) of 400 million assignats, certificates of indebtedness of 1,000 livres each, with an interest rate of 5%, secured and repayable based on the auctioning of the "Biens nationaux". Once the assignats were paid, they had to be destroyed or burnt.  Jean-Paul Marat was nearly arrested for his aggressive attacks against Necker, and was forced to flee to London. On 10 March 1790, on the proposition Pétion, the administration of the church property was transferred to the municipalities. In the past few months Étienne Clavière lobbied for large issues of assignats representing national wealth and operating as legal tender.  For daily life smaller denominations were needed and extended to the whole of France. On 17 April 1790, the new notes of 200 and 300 livres were declared legal tender but their interest was reduced to 3%. The assignats would compensate for the scarcity of coin and would revive industry and trade.
In May 1790 the feudal and ecclesiastical properties were sold against assignats. Constitutional monarchists such as Maury, Cazalès, Bergasse and d'Eprémesnil opposed it. The deputies in the Convention prepared a surety for future issues of paper money (on 19 June, 29 July). In July, Necker proposed, as the only means, a patriotic contribution of a fourth of the revenue, to be paid at once. Half of the taxes over the preceding year were still not received. People who earned more than 400 livres were invited to go to their municipality and fulfill their duty. As it was not the final cure he asked his friends, the Geneva "banquiers", to pay the arrears the Assembly turned it down. The political scene came to be dominated by "clamorous spectators, passionate judges, and ungovernable agitators". Necker was continuously attacked by Jean-Paul Marat in his pamphlets and by Jacques-René Hébert in his newspaper. Count Mirabeau, who played a decisive role in the Assembly, accused him of complete financial dictatorship. For Mirabeau, to express doubts in the assignats, was to express doubts in the revolution.
At the end of August the government was again in distress; four months after the first issue the money was spent. Montesquiou-Fézensac, the teacher of Mirabeau, presented a report in the Assembly. Assignats should be used not only for payment of church property.
Necker himself argued at the National Assembly on 27 August that the assignats were a paper money which would bankrupt France. Talleyrand had also attacked them on the grounds that they risked the same fate as Law's schemes. Camus stressed what he believed was the lesson of American experience of paper, which had undermined metal money and sent prices spiralling. Condorcet and Dupont de Nemours argued that the assignats would drive out silver and other forms of coin, raise prices relative to paper, and thereby dangerously restrict commerce. All of these writers preferred the issue of treasury bills at interest through the Caisse d'Escompte, a revised tax-system, and increased loans.
Montesquiou had massively exagger
Jacques Necker