Millionaire by Janet Gleeson Summary

Millionaire chronicles the rise and fall of John Law, an 18th-century Scottish financier who revolutionized France’s economy by introducing paper money and speculative trading. The book explores how Law’s Mississippi Company sparked Europe’s first stock market bubble, creating millionaires overnight before collapsing into financial chaos. Gleeson reveals how Law’s innovations laid the groundwork for modern finance while exposing systemic risks of speculation.

This book suits history enthusiasts, economics students, and readers fascinated by financial crises. Its blend of biography and economic analysis appeals to anyone interested in the origins of stock markets, speculative bubbles, or the psychological drivers behind economic booms and busts. Fans of narrative nonfiction will appreciate Gleeson’s vivid storytelling about greed, power, and innovation.

Law pioneered paper money as a replacement for gold-backed currency, established central banking principles, and created the Mississippi Company—a precursor to modern corporations. His ideas about credit systems and speculative investment reshaped France’s economy, though his policies also triggered hyperinflation and the infamous Mississippi Bubble collapse.

The term was coined during the Mississippi Bubble frenzy (1717–1720), when early investors in John Law’s Mississippi Company saw unprecedented returns. Speculators who bought shares in the company’s ventures in French Louisiana became Europe’s first mass cohort of millionaires before the bubble burst.

The bubble burst due to overvaluation of Mississippi Company shares, rampant speculation, and hyperinflation from excessive paper money printing. When investors rushed to convert paper wealth into gold, France’s reserves proved insufficient, causing economic panic and Law’s downfall.

Gleeson presents Law as a visionary but flawed genius—a gambler and duellist who grasped money’s abstract potential yet underestimated human greed. While his theories influenced modern banking, his inability to control speculation led to disaster, leaving a cautionary tale about financial innovation without oversight.

The Mississippi Bubble mirrors modern crises like the 2008 housing crash or cryptocurrency volatility, illustrating how speculative mania, lax regulation, and faith in “new paradigms” repeatedly destabilize economies. Gleeson emphasizes how Law’s story underscores enduring tensions between innovation and risk.

Critics argue Law exacerbated wealth inequality by enriching elites while bankrupting France’s treasury. His reliance on paper money without adequate backing and suppression of dissent during the bubble are viewed as reckless. Historians debate whether his ideas were超前于时代 or fundamentally flawed.

After fleeing England following a murder conviction, Law convinced France’s regent, Philippe d’Orléans, that paper money could revive the nation’s post-Louis XIV debt crisis. His successful stabilization of currency value through the Banque Générale (1716) earned him unprecedented political power.

The company monopolized French colonial trade and became a vehicle for converting national debt into company shares. Law marketed Louisiana as a land of untapped riches, driving speculative investment. Share prices rose 60-fold before collapsing, wiping out fortunes.

With expertise in financial history and prior works like The Arcanum, Gleeson combines rigorous research with narrative flair. Her experience at Sotheby’s and Bonham’s auctions informs her analysis of value perception—a key theme in Law’s paper money experiment.

The book offers timeless insights into financial psychology, regulatory challenges, and the societal impact of economic disruption. As cryptocurrencies and speculative assets resurge, Law’s story serves as a primer on recognizing—and avoiding—history’s repeating patterns.