Impending Westerosi financial implosion? What are the results?

[The Fattest Leech]

The Iron Throne is busy with many things including trying to deal with impending winter, invasions and raiders, some food supplies getting low and no gold paired with being in huge financial debt to the Iron Bank. Basically, trying to keep up with the demands in Band-Aids because everyone who looks at it gets cut. The bank has come knockin' on the IT door but Cersei is refusing to answer at the moment until the "rebellions are quashed." Cersei does "alleviate" some of the crown's debt by allowing the High Septon to reform the Faith Militant... but we all know Cersei isn't really known for making good, long-term decisions Petyr Baelish was good at making it seem like the throne had money even when there was none.

In AGOT the debt was more than 6 million gold dragons, but I admit, I am not sure what it is by the end of ADWD. I know it has gotten much worse since the War of Five Kings.

1. Well, now Stannis has a loan and Jon/Night's Watch has a loan... how is anyone in Westeros going to pay it back, because the Iron Bank takes its dues and no one has a real solid plan just yet.

2. What will it mean for the economy and smallfolk of Westeros?

3. Who do you see rebuilding the crown's coffers, or do you think the entire structure of the Seven Kingdoms is about to change fundamentally in a big way?

Side Note: Does anyone else think Justin Massey is about to betray Stannis which could lead to his final death? Justin is now supposed to be on his way to Braavos with Stannis's new found wealth to hire some sellswords.

[The Drunkard]

I think the debt to the Iron Bank is often overstated. In AGOT the crown owed three million to the Lannisters, one million to the Faith, and the last two million was to the Tyrells, Iron Bank and several trading cartels combined. Proportionally the IB debt is small, and their reaction to Cersei is more based on principle than necessity.

Assuming that the eventual winner (if their is one) doesn't belong to the Lannister-Tyrell alliance, I can imagine them voiding the debts to the Lannisters and Tyrells, and Cersei as you said already covered the Faith debt, so that's more than 2/3 of the debt gone without a coin spent. As to the rest, the Iron Throne should have an immense income given the land under its control (Aerys had an overflowing treasury fwiw), so I expect it will be able to meet the remaining debt without too much trouble, as long as it doesn't have another king notorious for spending or corrupt Master of Coin.

I'm unsure what it will mean for the smallfolk.

On 1/19/2016 at 6:59 AM, The Fattest Leech said:

Side Note: Does anyone else think Justin Massey is about to betray Stannis which could lead to his final death? Justin is now supposed to be on his way to Braavos with Stannis's new found wealth to hire some sellswords.

Nah. I was a bit dubious of him while on the march, but the sample chapter confirmed his loyalty. If he was a coward or disloyal opportunist he would've jumped on the chance to leave without a second thought, but instead he repeatedly argued against going, suggesting that his place is fighting beside Stannis or that Stannis himself should go. He just seems like a defeatist/realist about their chances.