until half of the national debt
had been paid off by this swindling transaction.

The nation was furious. A panic spread among all classes; the bank had
no money with which to redeem its notes; the shares fell almost to
nothing; and universal bankruptcy took place. Those who, a few days
before, fancied themselves rich, now found themselves poor. Property
of all kinds fell to less than its original value. Houses, horses,
carriages, upholstery, every thing, declined in price. All were
sellers, and few were purchasers.

But popular execration and vengeance pursued the financier who had
deceived the nation. He was forced to fly from Paris. His whole
property was confiscated, and he was reduced to indigence and
contempt. When his scheme was first suggested to the regent, he was
worth three millions of livres. He had better remained a private
banker.

The bursting of the Mississippi bubble, of course, inflamed the nation
against the government, and the Duke of Orleans was execrated, for his
agency in the business had all the appearance of a fraud. But he was
probably deluded with others, and hoped to free the country from its
burdens. The great blunder was in the over-issue of notes when there
was no money to redeem them.

Nor could any management have prevented the catastrophe.

[Sidenote: Fatal Effects of the Delusion.]

It was not possible that the shares of the company should advance so
greatly, and the public not perceive that they had advanced beyond
their value; it was not possible, that, while paper money so vastly
increased in quantity, the numerical prices of all other things should
not increase also, and that foreigners who sold their manufactures to
the French should not turn their paper into gold, and carry it out of
the kingdom; it was not possible that the disappearance of the coin
should not create alarm, notwithstanding the edicts of the regent, and
the reasonings of Law; it was not possible that annuitants should not
discover that their old incomes were now insufficient and less
valuable, as the medium in which they were paid was less valuable; it
was not possible that the small part of society which may be called
the sober and reasoning part, should not be so struck with the sudden
fortunes and extravagant enthusiasm which prevailed, as not to doubt
of the solidity of a system, unphilosophical in itself, and which,
after all, had to depend on the profits of a commercial company, the
good faith of th