
Appendix 3- From Equilibrium to Disequilibrium
Revolutions
Sovereign Innovation - The Principal Issue on the Table
In most cases of sovereign innovation, the principal issue on the table is money. Charles I did all his innovations because he needed money and didn't want to call Parliament. When financial innovations fail to head off a coming financial crisis, often thanks to widespread resistance, those with money have enormous leverage over the sovereign. That's where revolutions can come from.
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