Tag Archives: 1721

30 August 1721

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The Great Northern War between Sweden and Russia ends in the Treaty of Nystad.

The Great Northern War (1700–1721) was a major conflict in Northern and Eastern Europe that involved a coalition of several countries, including Russia, Denmark-Norway, and Saxony-Poland-Lithuania, against the Swedish Empire. The primary objective of the war was to challenge the dominant position of Sweden in the region and to redistribute territorial control among the major powers.

Swedish Dominance: In the late 17th century, Sweden was one of the most powerful countries in Europe, with control over large territories around the Baltic Sea, including parts of modern-day Finland, Estonia, Latvia, and northern Germany. The Swedish Empire had a formidable military, and its dominance was seen as a threat by neighboring powers.

The Anti-Swedish Alliance: The war began in 1700 when a coalition of countries—primarily Russia, Denmark-Norway, and Saxony-Poland-Lithuania—decided to challenge Sweden’s supremacy. The coalition was led by Tsar Peter I of Russia, King Frederick IV of Denmark-Norway, and King Augustus II of Poland-Lithuania.

Early Swedish Victories: Initially, Sweden, under King Charles XII, was highly successful. Charles defeated Denmark and Saxony-Poland-Lithuania and launched a campaign against Russia, culminating in the Battle of Narva in 1700, where the Swedish army won a significant victory over the Russians despite being heavily outnumbered.

Turning Point: The tide began to turn in favor of Russia after the disastrous Swedish invasion of Russia in 1708-1709. The harsh winter, coupled with strategic Russian tactics such as the scorched earth policy, culminated in the decisive Battle of Poltava in 1709, where the Swedish army was decisively defeated. This marked a significant turning point in the war.

Russian Ascendancy: After the Battle of Poltava, Russia gained the upper hand. Over the next decade, Russia, under Peter the Great, systematically pushed back the Swedes and captured several key territories, including the Baltic provinces.

End of the War: The war officially ended with the Treaty of Nystad in 1721. As a result of the treaty, Sweden lost significant territories to Russia, including Estonia, Livonia (part of modern-day Latvia and Estonia), and parts of Finland. This marked the end of Sweden as a major power in Europe and the rise of Russia as a dominant force in Northern and Eastern Europe.

3 April 1721

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Robert Walpole becomes, in effect, the first Prime Minister of Great Britain, though he himself denied that title.

Robert Walpole is widely considered to be the first Prime Minister of Great Britain, although the term “Prime Minister” wasn’t formally used during his time. He served as de facto head of government from 1721 to 1742. Born on August 26, 1676, in Norfolk, England, Walpole came from a wealthy landowning family.

Walpole entered politics in the early 18th century, rising through the ranks of the Whig Party. He became a Member of Parliament (MP) in 1701, and his political acumen and skillful management of relationships helped him ascend to prominence. Walpole served in various ministerial positions before being appointed as First Lord of the Treasury and Chancellor of the Exchequer in 1721, effectively making him the most powerful figure in the British government.

During his time in office, Walpole implemented various economic reforms, including policies aimed at reducing the national debt and promoting trade. He also pursued a pragmatic foreign policy that sought to maintain peace and stability in Europe, particularly in relation to the ongoing conflicts between Britain and its European rivals.

One of Walpole’s most notable achievements was his ability to navigate the complex political landscape of his time, which included managing the relationship between the monarchy and Parliament. He cultivated support among MPs through patronage and skillful negotiation, earning him the nickname “the Great Manager.”

However, Walpole’s tenure was not without controversy. He faced criticism for his handling of issues such as government corruption and the South Sea Bubble financial crisis of 1720. Despite this, he managed to maintain a firm grip on power for over two decades, earning a reputation as a skilled politician and administrator.

Walpole’s dominance in British politics eventually waned, and he resigned from office in 1742 following a series of political defeats. He was later created the Earl of Orford in recognition of his service to the country. Robert Walpole died on March 18, 1745, but his legacy as the first de facto Prime Minister of Great Britain remains significant, marking a crucial development in the evolution of the British political system.

6 January 1721

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The Committee of Inquiry on the South Sea Bubble publishes its findings.

The South Sea Bubble of 1720 was one of the first but by no means the last or the worst of capitalism’s great bubbles. As with all the others, it made some rich and impoverished many. In a single year, obsessive trading in the stocks of Britain’s South Sea Company increased the price from just over £100 to almost £1,000 per share. Before 1720 was out, the price had plunged to well below its starting-point.

The South Sea Company, founded to consolidate and reduce state debt and to have a monopoly trade in the South Seas – the Spanish-controlled territory of Latin America had managed to disguise the fact that it could not turn a profit on either venture. The former because the dividend returns promised to investors outstripped the interest the Crown was prepared to pay. The latter because, for most of the life of the South Sea Company, Britain was at war with Spain and – consequently – the chances that Spain would grant extensive trade rights within its own sphere of influence to a British company were, shall we say, remote. The bubble brought share trading into disrepute. Traders and investors alike were seen as venal and corrupt, seeking something for nothing – the solid something reflected in the bubble’s shimmering surface.