Peruzzi, secured on expected revenue from the wool tax. When this brought in too little and Edward could not repay, the drain on the Italian companies bankrupted them. The Peruzzi failed in 1343, the Bardi suspended a year later, and their crash brought down a third firm, the Acciaiuioli. Capital vanished, stores and workshops closed, wages and purchases stopped. When, by the malignant chance that seemed to hound the 14th century, economic devastation in Florence and Siena was followed first by famine in 1347 and then by plague, it could not but seem to
In the 14th century, the Peruzzi bank relied on anticipated income from the wool tax. However, when revenues fell short, King Edward was unable to repay, leading to financial ruin for the Italian companies involved. The Peruzzi failed in 1343, followed by the Bardi the next year, with their downfall triggering the collapse of the Acciaioli. This financial disaster caused widespread economic turmoil; businesses closed, wages plummeted, and consumer spending ceased.
As if the calamities of the century weren’t enough, Florence and Siena faced further hardships as the economic crisis was compounded by famine in 1347, followed by a devastating plague. The combination of these events painted a grim picture of life during this tumultuous time, as entire communities were left struggling under the weight of disaster.
