The Long Johns on the Pointed Lesson of the South Sea Bubble

Here’s another razor-sharp piece of satire from the Long Johns, the late John Bird and John Fortune, though it’s set very firmly in the past. It’s from Raveemismail’s channel on YouTube, and has them performing their dialogue in period costume as an ordinary investor caught out by a predatory broker selling shares in the South Sea Bubble of 1720. This was a notorious financial scandal when shares were being sold in the South Sea Company. Very handsome profits were promised, the shares skyrocketed in value but there was absolutely nothing backing them up. The whole affair collapsed ruining people. The dialogue also mentions a similar scandal of 90 years previously, the tulipomania that hit the Netherlands where members of the respectable Dutch middle class bankrupted themselves buying tulips. This is obviously acutely relevant to similar crashes far more recently, like the subprime mortgages and the bankers’ crash. From the comments to the video it seems that it was also relevant to the way bitcoin and other cryptocurrencies were being pushed. It just shows that how relevant some incidents from the past still are in the 21st first century.

This is so much the case that one American investment house used to require its employees to read the book, Extraordinary Popular Delusions and the Madness of Crowds, written in the 19th century. The book discussed a series of historical and contemporary fads, from alchemy and the witch craze in the Middle Ages to the craze for people saying ‘Quoz’ in England at the time. And one of these was the South Sea Bubble. It’s a pity nobody took that piece of history more seriously, or we might have avoided the bankers’ crash, austerity, and nigh on 15 years of austerity and poverty inflicted on the poor and ordinary working people in order to keep the banks afloat and give more money to the already bloated rich.

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Tags: 'Extraordinary Popular Delusions and the Madness of Crowds', Alchemy, Austerity, Financial Crash, John Bird, John Fortune, Middle Ages, South Sea Bubble, The Long Johns, the Poor, the Rich, Tulipomania, Witchcraft, Working Class