• xmlui.mirage2.page-structure.header.title
    • français
    • English
  • Help
  • Login
  • Language 
    • Français
    • English
View Item 
  •   BIRD Home
  • LEDa (UMR CNRS 8007, UMR IRD 260)
  • LEDa : Publications
  • View Item
  •   BIRD Home
  • LEDa (UMR CNRS 8007, UMR IRD 260)
  • LEDa : Publications
  • View Item
JavaScript is disabled for your browser. Some features of this site may not work without it.

Browse

BIRDResearch centres & CollectionsBy Issue DateAuthorsTitlesTypeThis CollectionBy Issue DateAuthorsTitlesType

My Account

LoginRegister

Statistics

Most Popular ItemsStatistics by CountryMost Popular Authors
Thumbnail

Financial Institutions and Liquidity of Public Debt in England [1694 – 1720]

de Boyer des Roches, Jérôme; Bentemessek, Nesrine (2011-06), Financial Institutions and Liquidity of Public Debt in England [1694 – 1720], 28th GdRE Annual International Symposium on Money, Banking and Finance, 2011-06, Reading, Royaume-Uni

View/Open
Bentemessek KahiaNesrine.pdf (301.2Kb)
Type
Communication / Conférence
Date
2011-06
Conference title
28th GdRE Annual International Symposium on Money, Banking and Finance
Conference date
2011-06
Conference city
Reading
Conference country
Royaume-Uni
Pages
24
Metadata
Show full item record
Author(s)
de Boyer des Roches, Jérôme
Bentemessek, Nesrine
Abstract (EN)
The methods England took to restructure its public debt during the British Financial Revolution consisted of improving liquidity. Accordingly, the State sought to reestablish its solvability by basing its debt on tax revenues as well as to homogenize it, reduce its cost and improve the functioning of the primary and secondary markets of the debt. Finally, it favored the creation of new institutions, i.e., the establishment of companies with stocks whose commercial and/or financial activities would be connected to its debt. The Bank of England and the South Sea Company, created in July 1694 and September 1711 respectively, are two prime examples of this. In this article, we highlight the role of these two financial institutions in the process of the creation of liquidity through the restructuring of the national debt. We establish the fundamental differences between the financial experiments led by these two establishments. Indeed, if the project of converting the titles of national debt into shares of the South Sea Company led to the creation of the South Sea Bubble, the circulation of short-term government bonds (exchequer bonds) by the Bank of England after 1707 constituted an unrivaled financial success. Finally, we discuss the diverging commentaries of Hume (1752), Steuart (1767) and Smith (1776) on these financial experiments.
Subjects / Keywords
Public debt, liquidity; Bank of England; South Sea Company
JEL
B11 - Preclassical (Ancient, Medieval, Mercantilist, Physiocratic)
B12 - Classical (includes Adam Smith)
G21 - Banks; Depository Institutions; Micro Finance Institutions; Mortgages
N23 - Europe: Pre-1913

Related items

Showing items related by title and author.

  • Thumbnail
    Financial Institutions and Liquidity of National Debt in England [1694 – 1720] 
    de Boyer des Roches, Jérôme; Bentemessek, Nesrine (2010) Communication / Conférence
  • Thumbnail
    Dette publique, Banque d'Angleterre et taux d'intérêt : 1694-1800 
    de Boyer des Roches, Jérôme (2006) Article accepté pour publication ou publié
  • Thumbnail
    Bank rate, profit of enterprise, risk premium and promoter’s profit in Marx and Hilferding 
    de Boyer des Roches, Jérôme (2015) Communication / Conférence
  • Thumbnail
    Cause and effect in the gold points mecanism : a criticism of Ricardo's criticism of Thornton 
    de Boyer des Roches, Jérôme (2007) Article accepté pour publication ou publié
  • Thumbnail
    Endogenous money and shareholders' funds in the classical theory of banking 
    de Boyer des Roches, Jérôme (1998) Article accepté pour publication ou publié
Dauphine PSL Bibliothèque logo
Place du Maréchal de Lattre de Tassigny 75775 Paris Cedex 16
Phone: 01 44 05 40 94
Contact
Dauphine PSL logoEQUIS logoCreative Commons logo