Asset prices rising far beyond their intrinsic value, driven by speculation.
An unprecedented speculative bubble in the Netherlands during the 1630s where prices for tulip bulbs reached extraordinary levels before collapsing.
Agreements to buy/sell an asset at a set price on a future date.
An asset's actual underlying worth.
A prominent Dutch physician and civic leader whose name coincidentally resembled the tulip; he observed the phenomenon as a contemporary.
A Scottish economist and financier who engineered the Mississippi Bubble in 18th-century France.
The joint-stock company granted a trade monopoly with French Louisiana, whose shares were at the center of the speculative bubble.
A scheme to allow holders of government debt (bonds) to exchange them for shares in a company.
Money in the form of coins, typically gold or silver, as opposed to paper currency.
Bank-issued money whose convertibility depended on confidence and reserves rather than full specie backing.
Using borrowed funds to increase investment potential, which amplifies both gains and losses.
A general increase in prices and a fall in the purchasing value of money, often caused by an increase in the money supply.
The actual underlying worth of an asset, based on its fundamentals.
A French nobleman who was an early investor in the Mississippi Company but grew wary of the bubble.
A British joint-stock company at the center of a massive speculative bubble in 1720, driven by a scheme to take over the national debt.
Exchanging government debt (bonds) for shares in a private company.
The tendency for individuals to follow the actions of a larger group, often irrationally.
The anxiety that one might miss out on a perceived opportunity, often driving irrational investment decisions.
British legislation intended to regulate the formation of new joint-stock companies, which inadvertently helped burst the wider speculative bubble.
The First Lord of the Treasury during the South Sea Bubble, who played a key role in managing the crisis and its aftermath.
A key director of the South Sea Company and a principal architect of the debt conversion scheme.
A renowned English writer and journalist who observed and commented on the social and economic frenzy of the South Sea Bubble.
A rapid and unsustainable increase in the price of land, driven by speculation rather than fundamental value.
A term for the state banks selected by the U.S. Department of Treasury to receive surplus government funds in 1833, after Andrew Jackson vetoed the recharter of the central bank.
The 7th President of the United States, whose populist policies, particularly his war against the Second Bank of the United States, were a major factor in the lead-up to the panic.
The central bank of the United States from 1816 to 1836, which served to regulate the nation's credit and money supply.
An executive order issued by President Andrew Jackson in 1836 requiring that payment for government land be made in gold or silver (specie).
A situation where a large number of bank customers withdraw their deposits simultaneously due to fears of the bank's insolvency.
The 8th President of the United States, who took office just as the Panic of 1837 began and had to manage its economic fallout.
Debt instruments used by companies, like railroads, to finance large-scale projects.
The process where a financial institution (like Jay Cooke's) guarantees the sale of securities to investors, taking on the risk.
The risk that the failure of one financial institution or part of the market can trigger a cascading collapse throughout the entire system.
A prominent American financier who was a key figure in financing the Civil War and the post-war railroad boom. His firm's collapse triggered the Panic of 1873.
The premier stock exchange in the United States, which was forced to close for ten days during the panic.
A prolonged period of economic stagnation and deflation in the United States and Europe that began in 1873 and eased at different times across countries, lasting into the late 1870s and beyond in Europe.
The state of being without a job while actively seeking work; a key measure of the human cost of a depression.
A sustained decrease in the general price level of goods and services, which increases the real burden of debt and can stifle economic activity.
The total demand for all goods and services in an economy.
A situation where the supply of goods in an economy exceeds the demand for them, often leading to falling prices.
Widespread public discontent, often manifesting as protests, riots, and labor strikes, which were common during the Long Depression.
The first U.S. Commissioner of Labor, whose work provided crucial data on the impact of the depression on workers.
A French economist whose theories offered insights into the potential causes of the depression, such as a mismatch between supply and demand.
A speculative bubble in the late 19th century driven by the massive and often over-leveraged expansion of the American railroad network.
A monetary system where a country's currency has a value directly linked to a specific quantity of gold.
An 1890 U.S. law that required the Treasury to buy a set amount of silver, which led to a depletion of the government's gold reserves.
A situation where a large number of bank customers withdraw their deposits simultaneously due to fears of the bank's insolvency.
The 22nd and 24th President of the United States, who had to navigate the Panic of 1893 and the subsequent depression.
The dominant American financier of the Gilded Age, whose private banking syndicate loaned gold to the U.S. government to prevent a default in 1895.
A protest march by unemployed workers from the United States, led by Jacob Coxey, who marched on Washington D.C. in 1894.
A major nationwide railroad strike in the summer of 1894 that was a pivotal moment in U.S. labor history.
The methods and institutions used to fund large-scale industrial corporations.
Shares of ownership in a corporation, sold to the public to raise capital.
Debt instruments issued by corporations to raise capital, effectively a loan from investors to the company.
A specialized branch of banking focused on underwriting new securities (stocks and bonds) and advising on corporate mergers and acquisitions.
A position of ownership in a company, held by an investor or another company.
Legal structures used in the Gilded Age to consolidate control over multiple companies, often creating monopolies.
We use cookies to analyze website traffic and optimize your website experience. By accepting our use of cookies, your data will be aggregated with all other user data.