The South Sea Company and Britain's Economic Rise

South Sea Company

Joint stock company formed in 1711 to funnel profits made from the slave trade after the asiento in order to maximise their profits

Asiento

Right to sell enslaved Africans to Spanish colonies.

National Debt

Debt owned by government borrowing from banks.

Bubble

Rapidly inflated share prices leading to financial collapse.

Share Price

Value of a company's shares, peaked at £1000.

Insider Dealing

Corrupt practices by company employees for profit.

Dividend

Payment to shareholders from company profits.

Bubble Act

1720 law requiring royal charter for new companies.

Economic Significance 1688-1730

Period of wealth accumulation and capitalism establishment.

Establishment Capitalism

Economic system controlled by private owners for profit.

Colonial Policies

Led to conflicts for trade advantages among nations.

Nine Years' War

Conflict from 1688-97, England vs. France.

War of Spanish Succession

1701-13 war marking Britain's rise in power.

Bank of England

Established in 1694 to manage national debt.

Promissory Notes

Early form of credit, promises to pay later.

Speculation

Investing money in hopes of profitable returns.

Credit System

Enabled borrowing money for long-term business projects.

Industrial Revolution

Period of significant industrial growth in Britain.

Colonial Expansion

Creation of colonies for resources and trade.

Gibraltar

Strategic territory gained by Britain in 1713.

Royal Navy

Dominant naval force protecting British trade routes.

Economic Impact of Wars

Increased national debt and stimulated business growth.

Slave Trade

Key factor in wealth creation for Britain.

Plantocracies

Societies reliant on plantation economies and slavery.

Wealth Accumulation

Process of gathering significant financial resources.

European Conflicts

Wars driven by competition for colonies and trade.

Chancellor of the Exchequer

Top government official responsible for economic policy.

Economic Democracy

Emergence of political democracy linked to economic power.