Vermont watchman and State journal. [volume] (Montpelier, Vt.) 1836-1883, 1851-12-04
The South sea Bubble.

The history Of the British South Sea
Bubble IS pregnant With instruction to the
muIutudes who are unwilling TO earn their
bread hv the sweat of their brow" mt
hope toohtaiu wealth by some sudden stroke
Of fortune
In III. the debt ofGreat Britain amouu-
ted to $50 .0O00 A company of mer-
Chants took th> debt upon themselves gov
eminent agreeing 90 pay them interest upon
IL ior certain time. The monopoly of
the trade TO the Pacific, then called the
South Seas, was granted to them, aud they
were Incorporated under the name of the
4" South Sea Company"
Al this time the most visionary ideas we're
held Of the vast riches Of Western America.
Glowing tales OF the inexhaustible treasures
Of the gold and silver mines Of Mexico cap
u'ated the English people They thought
1t was only necessary To send cargoes Of
cotton and woollen goods TO the coast, to lie
repaid a hundred fold, N gold and silver IN
gots, by the natives
The company, then, which had the ex.
elusive right of this lucrative trade could
not fail TO rise rapidly in public favor--and
all pressed forward TO secure a share of the
coming wealth.
The most eXtravagant rnmors were circu-
lated by interested persons. Treaties with
Spain we're spoken Of TO further tie inter-
esis Of the company Mexico was 10 empty
her gold mines into the ayarlcious bosom
Of Eagland, and silver would become as
plentiful as iron. Every hundred pounds
invested with the Company, would produce
frfu.lra.fs J.. D.
Some opposition was mace 90 tie scheme
100 Parliament by lar-sighted statesmen, but
The maddcnug infaiuation had infected even
that body, and the patronage of the gov
eminent was eventually secured. The
frenzy for speculation began to rage to an
extraordinary degree, The whole nation
turned Stockholders Exchange Alley was
blocked up by crowds, and the vicinity was
impossible from the number Of carriages.
In order to IAN the flame and make 1t a
source OF still greater profit tie company
would declare large dividends, aud then I'M
medIalely open their books for new snbscrip-
tons. Such was the frantic eagerness of
all ranks To speculate in these funds that
Ia a few hours Of one day nearly foriy-eight
millions Of dollars was subscribed for stock
ANiiANoNHAAi bAiN tiZtlN llllillNA- TIE III
ordinate thirst for gold infected all classes
oisociety. Hundreds Of new stock campa-
MES sprung up, like Jonahs gourd, aud like
II, persisted IA a night. Many thousands
invested their whole fortunes Nilh the South
Sea Company. Widows and orphans pos
sessng annuiues, exchanged them for stock.
TINS continued rising in value, oil 1t reach
ed premium of one Thousand per cent
The bubble was then full blown and rea-
dy to burst. Uuer ruin was impending over
half the nation The alarm was given
when It was understood that the most prom
lnenl managers had sold out their shares -
a general panic followed Every effort to
restore confidence proved Ruthless, and with
IN eight months from the time OF IFS crea-
ton, this monsirous fabric of fraud, credu-
hly and iuialaauon had fallen forever.
Its crafty directors had amassed unmense
wealth by selling out when the fever was at
its height
When the bubble burst, there were notes
Of the company IN circulation to the amount
OF more than one thousand millions Of dol
lars The Consideration was inexpressIble
the rage of the swinGled people intense
beyond description
Hundreds OF families were ruined-the
wealthy became beggars-aud the working
classes lost their hard earnings through the
bankruptcy of their employers. Mulutuaes
saw starvation staring them IN the face
The voice Of woe and imprecatlon resound-
ed throughout the land
Parliament was Immediately summoned
aud the members acclaimed with much
warmth, Lord Moleswouh declared, that
" he looked upon the coniryers and execu-
tors OF the vIllainous South Sea scheme as
the PARTICLES of their country; aud he
should be satisfied to see them tied IN sacks
and thrown into the Thames" But the
Government was itself by no means free
from guilt. Two ministers Of State sever.
al members of Parliament. aud many oI
the nobility were deeply implicated The
Prince OF Wales had cleared immense sums
by his specula,ions. Investigations into the
affairs OF the company disclosed scenes OF
iniamy, and instances of fraud and cor
ruption disgraceful to the morals of the Of
tenders, and to the lntellecls OF their dupes.
Parliament afforded partial relief to the
general distress by wrestling from the delin-
quenis portion of their ill-goiten gains
and divided /, among the sufferers. But il
was long before public credit was restored
and the South Sea Bubble" remains the