The Humbugs of the World · Chapter
Part IV: Money Manias explained
This chapter explores historical financial frauds and speculative manias, including John Law's Mississippi Scheme, the New York and Rangoon Petroleum Company fraud, and various lottery and book swindles, illustrating how greed and gullibili
What happens
This chapter explores historical financial frauds and speculative manias, including John Law's Mississippi Scheme, the New York and Rangoon Petroleum Company fraud, and various lottery and book swindles, illustrating how greed and gullibility drive monetary deceptions.
Free preview opens on this chapter — companions, themes, and character notes appear beside the text.
Narrative arc
Story tension across the book — this chapter sits in Rising action.
- Setup
- Escalation
- Breaking point
- Aftermath
- Closing
This chapter serves as the dramatic climax because it shifts from exposing specific humbugs to delivering a un…
Full beat labels and climax notes unlock in the reader.
Follow the arc while readingThemes in this chapter
- Gullibility and Human Nature
The chapter illustrates how human greed and credulity fuel speculative manias and financial frauds.
- Cultural and Historical Context
Provides historical examples of money manias, including the Mississippi Scheme and petroleum frauds, within their cultural and economic settings.
Characters to notice
- John Law
Architect of the Mississippi Scheme, a massive speculative bubble.
- New York and Rangoon Petroleum Company
A fraudulent petroleum company scheme.
- Sir John Blunt
Speculative figure associated with financial manias.
Key passages
“John Law's Mississippi Scheme”
John Law's speculative financial scheme involving the Mississippi Company, which led to a massive bubble and collapse.
Central example of a money mania driven by speculation.
“New York and Rangoon Petroleum Company”
A fraudulent company that sold shares in a non-existent petroleum venture.
Illustrates 19th-century stock swindles.
