Frehen R., Goetzmann W. and Rouwenhorst G. (2009) Why invest in the bubbles?

August 31, 2009

Frehen, Rik, William Goetzmann and Geert Rouwenhorst (2009) “New Evidence on the First Financial Bubbles”, Yale international Center for Finance, Working Paper 04, 24p.

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Why did investors decide to bet on the various companies that would form the three 1720 bubbles in France, England and the Netherlands? (p.1). How did these bubbles affect companies which unlike the Compagnie des Indes and the South Sea Company were neither involved in the Atlantic trade nor in public finance?

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De Vries J. (2005) The Dutch Atlantic economies

July 9, 2009

De Vries, Jan (2005) “The Dutch Atlantic Economies”, in  Peter A. Coclanis, ed., The Atlantic Economy During The Seventeenth And Eighteenth Centuries: Organization, Operation, Practice, And Personnel, Columbia, SC: University of South Carolina Press, p.1-10.

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Initial forays

The Dutch started venturing outside the European waters in the late 16th century. This first Dutch Atlantic economy was built upon small private commercial partnerships (partenrederijen) drawn up usually for the duration of the voyage and led by an active partner who participated to the trip (p.2). Read the rest of this entry »