Enlightenment · Europe · Politics

1720

South Sea Bubble Bursts

September 1, 1720

The stock of the South Sea Company, having risen from one hundred and twenty-eight pounds to over a thousand in eight months on promises of Pacific trade, collapsed in weeks. Aristocrats, clergymen, and Isaac Newton himself were ruined. Parliament investigated. Walpole took power on a promise of stability. Britain learned the shape of its first financial crash.