Scripture References:
st. 1-3 = Ps. 98
st. 2 = Ps. 96:11-12
st. 3 = Gen. 3:17-18
Isaac Watts (PHH 155) wrote this text as a paraphrase of Psalm 98. He published it in his Psalms of David Imitated (1719) under the heading “The Messiah's Coming and Kingdom.” The paraphrase is Watts' Christological interpretation.
Consequently, he does not emphasize with equal weight the various themes of Psalm 98. In stanzas 1 and 2 Watts writes of heaven and earth rejoicing at the coming of the king. An interlude that depends more on Watts' interpretation than the psalm text, stanza 3 speaks of Christ's blessings extending victoriously over the realm of sin. The cheerful repetition of the non-psalm phrase "far as the curse is found" has caused this stanza to be omitted from some hymnals. But the line makes joyful sense when understood from the New Testament eyes through which Watts interprets the psalm. Stanza 4 celebrates Christ's rule over the nations.
Liturgical Use
Christmas Day, but also at any other time of year in relation to Psalm 98. Raised eyebrows at singing "Joy to the World!" in July will lower as soon as the relationship to Psalm 98 becomes clear.
--Psalter Hymnal Handbook
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Joy to the world, the Lord is come [nigh]. I. Watts. [Ps. xcviii.] First published in his Psalms of David, &c, 1719, in 4 stanzas of 4 lines, as the 2nd pt. of his version of Psalm 98. T. Cotterill gave, in the first edition of his Selection, 1810, a much altered version of text, which was repeated in the authorized edition of 1820 with the repetition of stanza i. as stanza v. This arrangement is known by st. ii., which reads, "Ye saints, rejoice, the Saviour reigns," &c. Bickersteth's arrangement in his Christian Psalmody, 1833, also in 5 stanzas; but the added stanza (iii.) is from Watts's version of the first part of the same Psalm. Both of these texts have been repeated in later collections. In addition there are also the following: (1) "The Lord is come; let heaven rejoice," in Hall's Mitre Hymn Book, 1836; and (2) "Joy to the world, the Lord is nigh," in the Irvingite Hymns for the Use of the Churches, 1864. In its various forms, but principally in the original, it is in use in most English-speaking countries. It has also been translated into several languages, including Latin, in E. Bingham's Hymnologia Christiana Latina, 1870, "Laetitia in mundo! Dominus nam venit Iesus!"
--John Julian, Dictionary of Hymnology (1907)