Where Did They Get Their Wealth ?

The following is an extract from a pamphlet, “The Origin of Great Private Fortunes,” by Gustavus Myers, published by Charles H. Kerr and Co., Chicago. It is summarised from the larger work, “History of the Great American Fortunes,” by the same author.

Many fanciful descriptions have been written of the origin of these great fortunes. Usually these narratives are so much alike, so consistent in their alluring and gorgeous colouring, that the suspicion naturally occurs that well-regulated press agencies are doing their effective work. Always it is skilfully explained how these great magnates amassed their immense fortunes by industry, thrift and ability. It is further glibly explained how they created wealth and were, therefore, signal benefactors of the human race. If, incidentally, some hundreds of millions of dollars adhered to their hands, that was only the just reward of their prodigious labours.

Flowery phrases, of course, explain nothing. It is facts that count, and facts alone; and somehow it is to be invariably noted that facts are lacking in these seductive eulogies. No explanation is ever offered as to how the magnate’s got their first millions. After a man gets a few millions, it is comparatively easy, as the present system goes, to get more. But—and this is the crucial point—how does he contrive to gather in his first millions ? It does not suffice, also, to say airily that on such and such a date he acquired this railroad or that plant. What we want to know is how he obtained the resources with which to do it, and what methods he used. None of the eulogies tell us this.

To indulge in glittering statements is easy, but they leave us no more informed than we were before. They simply inebriate us with words, while all the time we are hungering for the actual facts.

If we stop to reason a moment it becomes evident that the exercise of industry, thrift and ability does not produce fortunes of hundreds of millions of dollars. Tens of millions of people work very hard, save money (when they can) and lead temperate and useful lives. But they have no fortune, except bad fortune. Vast numbers literally live from hand to mouth; they begin life in poverty, and after a lifetime of toil, end it in poverty. Others manage to acquire a little competence which is always precariously threatened by being out of work, sickness or business disaster. Obviously, if industry, thrift and ability produced great wealth, America’s working people would all have multi-millionaire fortunes.

This explanation, it is clear, does not hold, and cannot, for a second, stand the test of reason and experience.

Even, however, if one does not give serious thought to the matter, a striking circumstance is of itself sufficient to make him suspicious of the usual run of explanations. If our magnates are so honest and honourable and such pure and lofty patriots and philanthropists, why should they be so sensitive to criticism ? Why should they be so eager to purchase eulogy by contributions to charities and colleges and universities, and by owning or subsidising so many newspapers, periodicals and magazines ?

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