Saute the bacon in a large saute pan in 1 Tbsp olive oil over medium-low heat until it is lightly browned. Don't let it get crisp. Remove to a paper towel-lined dish.

Dry the beef with paper towels. Bring the pan up to medium-high and just before the oil is smoking add the beef in small batches and brown in the hot oil. Brown it on all sides. Remove to a casserole dish. Preheat oven to 325F.

In the same pan brown the carrots and onions. Add them to the casserole dish along with the beef. Toss the meat and vegetables with salt, pepper, and flour.

Mix the tomato paste with half a cup of the wine so that it will easily mix in. Pour that onto the meat mixture followed by the rest of the wine, garlic, and herbs. Top off the casserole now with beef broth and add in enough just to cover the beef. Add the bacon. Place in the oven and let simmer slowly for 2 1/2-3 hours.

While the stew is cooking prepare the mushrooms and onions. Take the onions and cut a small x into the bottom of each onion.

Bring a large pot of water to the boil and place onions in for 20-30 seconds. Remove and rinse in cold water to cool. Cut the small root end off and carefully peel the onions. Set aside.

For the mushrooms add the 1 Tbsp. olive oil and 2 Tbsp. butter to a large frypan and heat on high. When the butter foam starts to subside add the mushrooms. Toss and shake the pan for 4-5 min. During this time the mushrooms will first absorb the fat and after a few minutes, it will reappear. Cook until lightly browned and then remove from heat.

When the meat is done, take it from the oven and skim off the fat and pour the contents through a sieve over a saucepan. You should have about 2 1/2 cups of liquid, if you have more boil it down rapidly, if you have less add some beef broth.

Bring the sauce up to a simmer. Mix the flour and butter together to form a paste. Remove the pan from the heat and add the paste whisking to incorporate. Return the pan to heat and add the pearl onions. Cook for 15-20 or alternatively has the onions cooked in water for the same time. Stir occasionally until the sauce is thick. Adjust seasoning with salt and pepper.

Add the mushrooms to the meat mixture in a clean casserole if desired. Pour the onions and sauce over. Serve in individual bowls garnished with chopped parsley.