To what purpose these Loans were opened by the late Directors, I need not mention: Every one knows, that without them they could never have perfected their Scheme, as they used to term their Villainy. It was not enough for them to have raised their Stock to such a Price, as to have been only able to have discharged their Agreement with the Government; they had larger Views, they were to satisfy their own Avarice, and could not therefore give too great an imaginary Value to their Stock. These Managers (unhappily for us) set out with the good opinion of Mankind: they were esteemed too wise to be deceived themselves, and too honest to deceive their Friends. Thus qualified for Mischief, they soon began it: they soon intoxicated the Brains of all they talked with, gave them wild Notions of the rising Value of their Stock, and persuaded them at any rate to put themselves in Fortune's way: Having with great Art and Industry gained a Credit to their Stock, they immediately upon it took in the first Subscriptions; but these Subscriptions having drawn a great Quantity of Money into their hands, they apprehended the rising Spirit of the Stock might soon be checked for want of Money, and their Project by it injured: For even then the Species of our Nation was not infinite, it was therefore necessary to contrive some Means to carry on quick Circulations of it: and the Means contrived was to issue Money on these Loans. The Success they had we all remember; the Price increased prodigiously, and, if I am not mistaken, above £100 per Cent. in a Day. And indeed this Success was very probable: for these Loans served two Ends at once of the greatest moment to their Schemes: While they furnished the unhappy Borrowers with Money to purchase Stock with, they gave fresh Credit to the Stock, and raised the Price: For when the Directors, who must be supposed to know what they were doing, had put so great a confidence in their Stock, as to lend such Sums upon the Security of that alone, others might with good reason take courage, and trust it too. And their Cunning upon this occasion was very extraordinary, for they were not contented with the Credit they gave to their Stock by this Act, which was a tacit Declaration that they knew it to be intrinsically worth as much or more than what they ventured to lend on it; but they were diligent in private Companies to confirm Men in such Opinion of it, by a constant Ridicule of the Bank for their pitiful and cautious Loan of £100 per Cent. To this Step are greatly owing all our Misfortunes: The most Prudent now began to blame themselves for the most unjust Suspicions they had entertain'd of so good a Project. A Man of moderate Fortune now seem'd poor by the Vast Riches all about him had so suddenly acquired. All grew impatient and uneasy, who were not in this Stock, the Managers were idolised, and only they were happy, who had Directors for their Friends. The Merchant, who thro' a long Diligence and great Variety of Hazard had gained a small Estate, grew mad to see so many idle Fellows enrich themselves within a day or two. The honest Country Gentleman, who by good Management and wise economy had been an Age in paying off a Mortgage, or saving a few small Portions for his younger Children, could not bear the big Discourse and Insults of this New Race. Both laid aside their Prudence, and at last became unhappy Converts to South Sea: Both were persuaded now to use their Diligence, and recover that time their Disbelief had lost them. The one despised his Trade, and sold his Effects, at any rate, to try his Fortune: The other mortgaged what he could, or sold it for a little stock or Third Subscription: And now both are undone, both Beggars. I should think Cases of such Distress as these could not be reflected on without even Humanity itself becoming painful; and yet, whether it proceeds from such Cases being frequent and daily seen, or from an Hardness of Heart, which Providence for a Judgment has suffered to fall on us, I know not; but such Cases are scarce pitied by us: Every one still pursues his own Interest, and seems to grudge the Expense even of a few Shillings, to save thousands from Destruction.
SIR ROBERT WALPOLE AS PRIME MINISTER (1721-1741).
I.
By Lord Hervey.
Source.—John, Baron Hervey (1696-1743), Memoirs, 1848. Vol. i., pp. 23-25.
No man ever was blessed with a clearer head, a truer or quicker judgment, or a deeper insight into mankind; he knew the strength and weakness of everybody he had to deal with, and how to make his advantage of both; he had more warmth of affection and friendship for some particular people than one could have believed it possible for any one who had been so long raking in the dirt of mankind to be capable of feeling for so worthless a species of animals. One should naturally have imagined that the contempt and distrust he must have had for the species in gross, would have given him at least an indifference and distrust towards every particular. Whether his negligence of his enemies, and never stretching his power to gratify his resentment of the sharpest injury, was policy or constitution, I shall not determine: but I do not believe anybody who knows these times will deny that no minister ever was more outraged, or less apparently revengeful. Some of his friends, who were not unforgiving themselves, nor very apt to see imaginary faults in him, have condemned this easiness in his temper as a weakness that has often exposed him to new injuries, and given encouragement to his adversaries to insult him with impunity. Brigadier Churchill, a worthy and good-natured, friendly, and honourable man, who had lived Sir Robert's intimate friend for many years, and through all the different stages of his power and retirement, prosperity and disgrace, has often said that Sir Robert Walpole was so little able to resist the show of repentance in those from whom he had received the worst usage, that a few tears and promises of amendment have often washed out the stains even of ingratitude.
In all occurrences, and at all times, and in all difficulties, he was constantly present and cheerful; he had very little of what is generally called insinuation, and with which people are apt to be taken for the present, without being gained; but no man ever knew better among those he had to deal with who was to be had, on what terms, by what methods, and how the acquisitions would answer. He was not one of those projecting systematical great geniuses who are always thinking in theory, and are above common practice: he had been too long conversant in business not to know that in the fluctuation of human affairs and variety of accidents to which the best concerted schemes are liable, they must often be disappointed who build on the certainty of the most probable events; and therefore seldom turned his thoughts to the provisional warding off future evils which might or might not happen; or the scheming of remote advantages, subject to so many intervening crosses; but always applied himself to the present occurrence, studying and generally hitting upon the properest method to improve what was favourable, and the best expedient to extricate himself out of what was difficult. There never was any minister to whom access was so easy and so frequent, nor whose answers were more explicit. He knew how to oblige when he bestowed, and not to shock when he denied: to govern without oppression, and conquer without triumph. He pursued his ambition without curbing his pleasures, and his pleasures without neglecting his business; he did the latter with ease, and indulged himself in the other without giving scandal or offence. In private life, and to all who had any dependence upon him, he was kind and indulgent; he was generous without ostentation, and an economist without penuriousness; not insolent in success, nor irresolute in distress; faithful to his friends, and not inveterate to his foes.
II.
By Horace Walpole.
Source.—Horace Walpole's Reminiscences, Works, 1798. Vol. iv., p. 271.
It was an instance of Sir Robert's singular good fortune, or evidence of his talents, that he not only preserved his power under two successive monarchs, but in spite of the efforts of both their mistresses to remove him. It was perhaps still more remarkable, and an instance unparalleled, that Sir Robert governed George the first in Latin, the King not speaking English, and his minister not German, nor even French. It was much talked of, that Sir Robert, detecting one of the Hanoverian ministers in some trick or falsehood before the King's face, had the firmness to say to the German, "Mentiris, impudentissime!"