How Napoleon Tried to Bankrupt Britain — And Bankrupted Himself Instead

Napoleon knew he couldn't invade Britain (the Royal Navy was too strong). So, he decided to starve them. This is the story of the Continental System—the first attempt in history at "Total Economic Warfare."

In 1806, Napoleon issued the Berlin Decree, declaring that the British Isles were in a state of blockade. His plan was simple: "A Nation of Shopkeepers" relies on customers. If he could close every port in Europe to British ships, the British economy would collapse, their banks would fail, and they would sue for peace without a single French soldier crossing the Channel.

It was a brilliant theory. In practice, it was a disaster.
By trying to blockade the supplier of the world's cheapest and best goods, Napoleon accidentally created the world's largest black market. He turned fishermen into millionaires, allies into enemies, and eventually forced himself into the disastrous invasion of Russia—all to enforce a trade ban that wasn't working.

In this video, we analyze the economics of the blockade. We explain how British smugglers used the tiny island of Heligoland to pump goods into Europe, how the "Orders in Council" allowed Britain to counter-blockade the world, and why the Continental System ended up hurting the French economy more than the British.


In this video, we breakdown:
• The Berlin Decree (1806): The moment Napoleon outlawed tea, sugar, and British cloth across the entire continent.
• The "Smuggler's Paradise": How the British used fake flags, bribeable customs officers, and offshore islands to bypass the French police.
• The "Boots" Irony: The embarrassing fact that Napoleon's own army had to wear boots made in Britain because French factories couldn't produce them fast enough.
• The Russian Break: Why the Tsar finally said "Enough" to the economic pain, triggering the 1812 invasion that destroyed Napoleon's empire.


Disclaimer: This video was created with the assistance of AI tools and is provided for informational and educational purposes only. It is a historical analysis of the economic warfare strategies used during the Napoleonic Wars.

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