The year 1720 is memorable in the history of England, as seeing the abnormal growth and consequent explosion of the greatest swindle of comparatively modern times, and one of the most colossal frauds of any time, the South Sea Scheme, which has been best known since as the South Sea Bubble. Its story has been told so often, and in so many ways, that it is hardly necessary to dwell upon it here; but as, though nearly every one has heard of the scheme, there are but few who know anything about it, we may as well give once again a short _résumé_ of its business operations. It was started by Harley in 1711, with the view of paying off the floating national debt, which at that time amounted to about £10,000,000. A contemporary writer says: “This debt was taken up by a number of eminent merchants, to whom the Government agreed to guarantee for a certain period the annual payment of £600,000 (being six per cent. interest), a sum which was to be obtained by rendering permanent a number of import duties. The monopoly of the trade to the South Seas was also secured to these merchants, who were accordingly incorporated as the ‘South Sea Company,’ and at once rose to a high position in the mercantile world. The wondrously extravagant ideas then current respecting the riches of the South American continent were carefully fostered and encouraged by the Company, who also took care to spread the belief that Spain was prepared, on certain liberal conditions, to admit them to a considerable share of its South American trade; and as a necessary consequence, a general avidity to partake in the profits of this most lucrative speculation sprang up in the public mind. It may be well to remark in this place, that the Company’s trading projects had no other result than a single voyage of one ship in 1717, and that its prominence in British history is due entirely to its existence as a purely monetary corporation. Notwithstanding the absence of any symptoms of its carrying out its great trading scheme, the Company had obtained a firm hold on popular favour, and its shares rose day by day; and even when the outbreak of war with Spain in 1718 deprived the most sanguine of the slightest hope of sharing in the treasures of the South Seas, the Company continued to flourish. Far from being alarmed at the expected and impending failure of a similar project--the Mississippi Scheme--the South Sea Company believed sincerely in the feasibility of Law’s Scheme, and resolved to avoid what they considered as his errors. Trusting to the possibility of pushing credit to its utmost extent without danger, they proposed, in the spring of 1720, to take upon themselves the whole national debt (at that time £30,981,712) on being guaranteed 5 per cent. per annum for seven and a half years, at the end of which time the debt might be redeemed if the Government chose, and the interest reduced to 4 per cent. The directors of the Bank of England, jealous of the prospective benefit and influence