Louisiana
Having been claimed by the French in 1682, the Mississippi River Delta had a slow beginning under French rule. Upper Louisiana, also known as Illinois had prospered with fur trappers having established trading posts during the 17th century. With the defeat of the Iroquois, settlers from Canada and to a lesser extent Acadia having settled the regions East of the Mississippi (the present day states of Illinois, Kentucky, Ohio, Michigan, Indiana, and Wisconsin). In 1717 Upper Louisiana is separated to be governed as Haute-Louisiane, but will eventually be called Illinois.
Lower Louisiana was administered by the Mississippi Company beginning in 1684. However, the company was unsuccessful in its mandates and hampered by wars in Europe, the region was often ignored by the French crown. In 1686, the first trading posts were founded in Arkansas, however, the first settlement on the Gulf Coast wouldn't occur until 1699 with the settlement of Biloxi by 260 Canadians. In 1701 this was followed by Fort Saint-Jean (New Orleans) and in 1702 with Fort Condé (Mobile, AL).
Most of the earlier Canadian settlers were simply trappers and traders with little interest in farming. Most hoped they would find silver, gold and other riches as the Spanish had done in New Spain. With the beginning of the War of Spanish Succession, Swiss Regiments were sent to protect Fort Maurepas in Biloxi and Fort Condé. Throughout the war, the area became a haven for privateers and generally languished.
With peace returning to Europe after the War of Spanish Succession, Lousiana again became a French priority. On September 14, 1712, a wealthy Toulouse merchant, Antoine Crozat (marquis du Châtel) was granted control of Lower Louisiana and given a 15-year trading monopoly over the area. However, having invested little in the region, he gave up control of the Mississippi Company in 1717. The most notable achievements of the Crozat period was the expedition by Canadian born Louis Juchereau de Saint-Denis in 1713-1714. He founded Fort Rosalie (Natchez, MS), and Fort Saint-Jean Baptiste des Natchitoches along with Fort Le Dout (Wood County, Texas).
Meanwhile, in France Scottish financier and friend of Philippe d'Orléans, regent of France John Law acquired control of the Mississippi Company and renamed it the Compagnie d'Occident (Company of the West). Having founded the Banque Générale in 1716, his short rule of the Lower Louisiana would create one of the largest financial bubbles in French history.
John Law
During his control of the Mississippi Company, John Law was granted a tobacco trading monopoly over the colony in September of 1718. It was hoped that the tobacco farms of the Ohio River region would begin exporting tobacco down the Mississippi River. To that effect, plans for a new settlement at the mouth of the Mississippi are established with levees being built in 1717. The new settlement is founded in 1718 as La Nouvelle-Orléans (New Orleans), named after his benefactor the Regent of France and Duke of Orléans. In 1718, 800 settlers arrived from France in a single day, doubling the settlement's population. Despite being destroyed by a hurricane in 1722, the city was rebuilt and in 1723 it became the capital of Louisiana. By 1727 La Nouvelle-Orléans is a thriving port and is home to over 3,000 people.
Part of the Mississippi Company's mandate is to settle 6,000 Europeans and 3,000 slaves in Lower Louisiana by 1742. To that effect, John law's company begins to ship people of questionable repute, mostly from Paris to Louisiana. Between 1717 and 1721 7,020 French settlers arrive in Louisiana, of these 1,278 are convicts. Women are also recruited, mostly prostitutes from the infamous La Salpêtrière in Paris and in September of 1719 they are chained together with criminal men and sent to the ports of embarkation. It was said that Paris was cleaned of most of its rabble and adventurers with over 5,000 during peak year of 1721.
However, to recruit more Europeans, the Company of the West began to advertise along the Rhine River in Germany and Switzerland. In 1720-1721 more than 10,000 Germans were recruited as settlers, however only 2,000 actually ended up settling in Louisiana. The Germans proved to be some of the most productive settlers as they began farming along the Mississippi River, 25 miles north of New Orleans. This was in contrast to most of the French recruits who were often unfamiliar with farming or unwilling to farm and preferred to settle in the towns.
In 1706, the first African slaves are brought to the region from the Caribbean and in 1716 the first slaves are imported directly from Africa. Most come from the Senegambia region and introduce cultivation of rice in Louisiana. However, they have a high mortality rate and the importation of slaves will continue to increase so that by 1725 there are 6,000 African slaves in Louisiana.
In France, the Mississippi Company becomes of great interest to those with capital to invest. With the authorization of the French Crown, John Law issues more shares of the company. In January of 1719 the bank he had founded in 1716, Banque Générale, is acquired by the French Crown as Banque Royale and begins to issue paper money as legal tender. The first shares of the Mississippi Company are also issued at 500 livres each. In May of that year, Law acquires Compagnie des Indes orientales and Compagnie de Chine, effectively controlling all French trade outside of Europe. With speculation that great wealth will come from Louisiana, shares reach 10,000 livres by December of 1719. In January of 1720, John Law becomes Controller General and Superintendent General of Finance in France, effectively controlling France's finances. Shares of the Mississippi Company reach 15,000 livres.
However, the shares of the Mississippi Company are backed by nonexistent assets (the mineral treasures and wealth of agricultural wealth of the colony). By the summer of 1720 with over 600,000 shares issued, the price begins to tumble. In September share prices are down to 2,000 livres and by December 1,000 livres. By the end of 1720 the Duke of Orleans revokes the charter, and John Law was dismissed from his positions. Also in December, John Law flees France. In 1721 the Mississippi Company compes under bankruptcy protection and is forced to reorganize with share prices falling to their original price of 500 livres. Only in 1723 would Louis XV grant the privileges to raise new capital for the company.
Meanwhile, in Illinois tobacco prices are have been in a slump since 1713. During this period, land holdings are increased amongst the wealthiest seigneurs. Controls to ensure the quality of tobacco produced are introduced and hemp production also becomes important in region. By 1732 tobacco prices recover and will remain high for the next 40 years, increasing the wealth and power of the tobacco planters along the Ohio River.
Lower Louisiana remains under company control until 1731. It is that year where New France's administration is reorganized with a Viceroy in Quebec and four subservient governors and intendants in Plaisance, Newfoundland, Détroit, Illinois, Port Royal, Acadia and La Nouvelle-Orléans in Louisiana. Each colony has a governing council subservient to the Sovereign Council in Quebec.
After the fall of John Law, Lousiana continues to grow, albeit at a slower pace. Cotton is introduced in Louisiana in 1721, however its production will remain unimportant for the next seventy years. Indigo becomes the primary cash crop of the region, with rice and corn being important. The German pioneers are particularly successful, and one area that prospers is Rosalie (Natchez, MS). In 1727, the last large shipment of women of ill repute arrives in the colony. To aid them, Ursuline nuns are sent to Louisiana and a large convent is constructed in New Orleans in 1734.
Ursuline Convent in New Orleans
Having been claimed by the French in 1682, the Mississippi River Delta had a slow beginning under French rule. Upper Louisiana, also known as Illinois had prospered with fur trappers having established trading posts during the 17th century. With the defeat of the Iroquois, settlers from Canada and to a lesser extent Acadia having settled the regions East of the Mississippi (the present day states of Illinois, Kentucky, Ohio, Michigan, Indiana, and Wisconsin). In 1717 Upper Louisiana is separated to be governed as Haute-Louisiane, but will eventually be called Illinois.
Lower Louisiana was administered by the Mississippi Company beginning in 1684. However, the company was unsuccessful in its mandates and hampered by wars in Europe, the region was often ignored by the French crown. In 1686, the first trading posts were founded in Arkansas, however, the first settlement on the Gulf Coast wouldn't occur until 1699 with the settlement of Biloxi by 260 Canadians. In 1701 this was followed by Fort Saint-Jean (New Orleans) and in 1702 with Fort Condé (Mobile, AL).
Most of the earlier Canadian settlers were simply trappers and traders with little interest in farming. Most hoped they would find silver, gold and other riches as the Spanish had done in New Spain. With the beginning of the War of Spanish Succession, Swiss Regiments were sent to protect Fort Maurepas in Biloxi and Fort Condé. Throughout the war, the area became a haven for privateers and generally languished.
With peace returning to Europe after the War of Spanish Succession, Lousiana again became a French priority. On September 14, 1712, a wealthy Toulouse merchant, Antoine Crozat (marquis du Châtel) was granted control of Lower Louisiana and given a 15-year trading monopoly over the area. However, having invested little in the region, he gave up control of the Mississippi Company in 1717. The most notable achievements of the Crozat period was the expedition by Canadian born Louis Juchereau de Saint-Denis in 1713-1714. He founded Fort Rosalie (Natchez, MS), and Fort Saint-Jean Baptiste des Natchitoches along with Fort Le Dout (Wood County, Texas).
Meanwhile, in France Scottish financier and friend of Philippe d'Orléans, regent of France John Law acquired control of the Mississippi Company and renamed it the Compagnie d'Occident (Company of the West). Having founded the Banque Générale in 1716, his short rule of the Lower Louisiana would create one of the largest financial bubbles in French history.
John Law
During his control of the Mississippi Company, John Law was granted a tobacco trading monopoly over the colony in September of 1718. It was hoped that the tobacco farms of the Ohio River region would begin exporting tobacco down the Mississippi River. To that effect, plans for a new settlement at the mouth of the Mississippi are established with levees being built in 1717. The new settlement is founded in 1718 as La Nouvelle-Orléans (New Orleans), named after his benefactor the Regent of France and Duke of Orléans. In 1718, 800 settlers arrived from France in a single day, doubling the settlement's population. Despite being destroyed by a hurricane in 1722, the city was rebuilt and in 1723 it became the capital of Louisiana. By 1727 La Nouvelle-Orléans is a thriving port and is home to over 3,000 people.
Part of the Mississippi Company's mandate is to settle 6,000 Europeans and 3,000 slaves in Lower Louisiana by 1742. To that effect, John law's company begins to ship people of questionable repute, mostly from Paris to Louisiana. Between 1717 and 1721 7,020 French settlers arrive in Louisiana, of these 1,278 are convicts. Women are also recruited, mostly prostitutes from the infamous La Salpêtrière in Paris and in September of 1719 they are chained together with criminal men and sent to the ports of embarkation. It was said that Paris was cleaned of most of its rabble and adventurers with over 5,000 during peak year of 1721.
However, to recruit more Europeans, the Company of the West began to advertise along the Rhine River in Germany and Switzerland. In 1720-1721 more than 10,000 Germans were recruited as settlers, however only 2,000 actually ended up settling in Louisiana. The Germans proved to be some of the most productive settlers as they began farming along the Mississippi River, 25 miles north of New Orleans. This was in contrast to most of the French recruits who were often unfamiliar with farming or unwilling to farm and preferred to settle in the towns.
In 1706, the first African slaves are brought to the region from the Caribbean and in 1716 the first slaves are imported directly from Africa. Most come from the Senegambia region and introduce cultivation of rice in Louisiana. However, they have a high mortality rate and the importation of slaves will continue to increase so that by 1725 there are 6,000 African slaves in Louisiana.
In France, the Mississippi Company becomes of great interest to those with capital to invest. With the authorization of the French Crown, John Law issues more shares of the company. In January of 1719 the bank he had founded in 1716, Banque Générale, is acquired by the French Crown as Banque Royale and begins to issue paper money as legal tender. The first shares of the Mississippi Company are also issued at 500 livres each. In May of that year, Law acquires Compagnie des Indes orientales and Compagnie de Chine, effectively controlling all French trade outside of Europe. With speculation that great wealth will come from Louisiana, shares reach 10,000 livres by December of 1719. In January of 1720, John Law becomes Controller General and Superintendent General of Finance in France, effectively controlling France's finances. Shares of the Mississippi Company reach 15,000 livres.
However, the shares of the Mississippi Company are backed by nonexistent assets (the mineral treasures and wealth of agricultural wealth of the colony). By the summer of 1720 with over 600,000 shares issued, the price begins to tumble. In September share prices are down to 2,000 livres and by December 1,000 livres. By the end of 1720 the Duke of Orleans revokes the charter, and John Law was dismissed from his positions. Also in December, John Law flees France. In 1721 the Mississippi Company compes under bankruptcy protection and is forced to reorganize with share prices falling to their original price of 500 livres. Only in 1723 would Louis XV grant the privileges to raise new capital for the company.
Meanwhile, in Illinois tobacco prices are have been in a slump since 1713. During this period, land holdings are increased amongst the wealthiest seigneurs. Controls to ensure the quality of tobacco produced are introduced and hemp production also becomes important in region. By 1732 tobacco prices recover and will remain high for the next 40 years, increasing the wealth and power of the tobacco planters along the Ohio River.
Lower Louisiana remains under company control until 1731. It is that year where New France's administration is reorganized with a Viceroy in Quebec and four subservient governors and intendants in Plaisance, Newfoundland, Détroit, Illinois, Port Royal, Acadia and La Nouvelle-Orléans in Louisiana. Each colony has a governing council subservient to the Sovereign Council in Quebec.
After the fall of John Law, Lousiana continues to grow, albeit at a slower pace. Cotton is introduced in Louisiana in 1721, however its production will remain unimportant for the next seventy years. Indigo becomes the primary cash crop of the region, with rice and corn being important. The German pioneers are particularly successful, and one area that prospers is Rosalie (Natchez, MS). In 1727, the last large shipment of women of ill repute arrives in the colony. To aid them, Ursuline nuns are sent to Louisiana and a large convent is constructed in New Orleans in 1734.
Ursuline Convent in New Orleans