Definition of Mississippi Scheme in US English:

Mississippi Scheme

noun

French History
  • A financial scheme operated between 1717 and 1720 by the Scottish banker, John Law (1671–1729), as a measure to reduce the French public debt, which failed when speculation in the stock of the Compagnie de la Louisiane ou d'Occident, which controlled French trade and colonization in North America, led to an uncontrolled rise and subsequent crash in share prices.

Origin

Mid 18th century; earliest use found in Laurence Sterne (1713–1768), writer and Church of England clergyman.