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The domain began in [[1702]] to "borrow" heavily from its retainers' [[stipends]]. As in many other domains, these so-called ''[[kariage]]'' (lending upwards) payments were not repaid for decades, if at all, and so in practice constituted severe cuts to retainer income. In the case of Yonezawa, these ''kariage'' payments were repeated, sometimes increased, numerous times over the course of the 18th century, and no repayments were made to the retainers until [[1828]]. A [[1791]] budget reveals that in that year, over 4,000 retainers received on average a measly five ''koku'' each for the year. As a result, many samurai turned to artisanal craft manufacturing, or other by-employments.<ref>Ravina, 74-75.</ref>
 
The domain began in [[1702]] to "borrow" heavily from its retainers' [[stipends]]. As in many other domains, these so-called ''[[kariage]]'' (lending upwards) payments were not repaid for decades, if at all, and so in practice constituted severe cuts to retainer income. In the case of Yonezawa, these ''kariage'' payments were repeated, sometimes increased, numerous times over the course of the 18th century, and no repayments were made to the retainers until [[1828]]. A [[1791]] budget reveals that in that year, over 4,000 retainers received on average a measly five ''koku'' each for the year. As a result, many samurai turned to artisanal craft manufacturing, or other by-employments.<ref>Ravina, 74-75.</ref>
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Meanwhile, taxation rates and harsh punishments exacted against those unable to pay drove tens of thousands of peasants to flee the domain, leaving much agricultural land unused, and severely diminishing the already strained tax base.<ref>Ravina, 76.</ref>
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Meanwhile, taxation rates and harsh punishments exacted against those unable to pay drove tens of thousands of peasants to flee the domain, leaving much agricultural land unused, and severely diminishing the already strained tax base.<ref>Ravina, 76.</ref> Taxation on [[lacquer]], one of the domain's chief cash crops, had a similar impact. Though a flourishing cash crop in the early 17th century, by the 1640s-50s, the domain had begun increasing taxes on lacquer (in copper ''[[currency|me]]'' per tree), and by [[1689]] had established a domainal monopsony, meaning growers could only sell to the domain, not to any other buyers; this gave the domainal government considerable power over prices. Taxes continued to be increased, and despite official prohibitions on the destruction of lacquer trees, and even mandates on individuals maintaining a certain number of trees, villagers found a variety of ways to resist or evade the obligations, and the taxes, and counter to the government's intentions, lacquer production declined.<ref>Ravina, 81.</ref> The domain implemented similar policies regarding flax, which not only drove peasants away from producing flax, but actually led to all-out protests in [[1760]].<ref>Ravina, 83.</ref>
    
===Reforms & Recovery===
 
===Reforms & Recovery===
The problem became so severe that the eighth ''daimyô'', [[Uesugi Shigetada]], seriously considered turning over the domain to the shogunate. Instead, he resigned his position as ''daimyô'' in favor of [[Uesugi Harunori]], who then began to reform the domain's administration and to revive its economy. He introduced strict disciplinary measures, and ordered the execution of several ''karô'' (advisors) who opposed his plans. In order to finance castle repairs imposed upon his domain by the shogunate, Harunori asked his retainers to agree to a reduction of their stipends, for the good of the domain. As a result of various other measures he took in the 1790s, many of them at the advice of [[Nozoki Yoshimasa]], Yonezawa became fairly prosperous, and did not suffer as much as many other areas did in the famines which swept Japan in the [[Great Tenmei Famine|Tenmei]] era (1781-9), and the [[Tenpo famine|Tenpô]] era (1833-1836).  
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The domain's financial/economic problems became so severe that the eighth ''daimyô'', [[Uesugi Shigetada]], seriously considered turning over the domain to the shogunate. Instead, he resigned his position as ''daimyô'' in favor of [[Uesugi Harunori]], who then began to reform the domain's administration and to revive its economy. He introduced strict disciplinary measures, and ordered the execution of several ''karô'' (advisors) who opposed his plans. In order to finance castle repairs imposed upon his domain by the shogunate, Harunori asked his retainers to agree to a reduction of their stipends, for the good of the domain. As a result of various other measures he took in the 1790s, many of them at the advice of [[Nozoki Yoshimasa]], Yonezawa became fairly prosperous, and did not suffer as much as many other areas did in the famines which swept Japan in the [[Great Tenmei Famine|Tenmei]] era (1781-9), and the [[Tenpo famine|Tenpô]] era (1833-1836).  
    
Population growth returned, much of the land that had laid idle came into cultivation again, and by [[1823]], the domain's subjects were able to pay their taxes in full for the first time in many decades.<ref>Ravina, 79.</ref> In 1830, the shogunate formally declared Yonezawa to be a choice example of a well-governed domain.
 
Population growth returned, much of the land that had laid idle came into cultivation again, and by [[1823]], the domain's subjects were able to pay their taxes in full for the first time in many decades.<ref>Ravina, 79.</ref> In 1830, the shogunate formally declared Yonezawa to be a choice example of a well-governed domain.
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