The Lancaster gazette. [volume] (Lancaster, Ohio) 1863-1886, 1864-09-08
Poor Il ;rhusd's Reasons for buying
United states Securities.

President /"
,-----e~. Ss--------3.-
Poor It wizards Reasons for buying
United states Securities.
The other day we heard q rich
neighbor say he had rather have rail-
road stocks than the U. S. Stocks, for
they paid higher interest. Just then
Poor Richard came up, and said that
be just bought some of Uncle Sans
three year notes, paying seven and
three -tenths pei cent. interest. My
rich friend exclaimed, "YouI I thought
you had no money to buy with
Yes" said Richard, II had a iittie
laid up, for you know it is well to hav6
something laid up against wet day,
and have kept a little of my earn
ings by me-" Now Poor Richard is
known to all the country around to bo
a very prudent and industrious, and
withal, wise man; for Richard never
learned anything he didn't know how
to make use of, and his wisdom and
prudence had become proverb. So,
when he took out his savings and
bought the notes, more than one was
surprised, and it was no wonder rich
Mr.. Smith asked why. So Poor
Richard, in very humble way-for
he never assumed anything-replied,
II suppose, Mr.. Smith, you know q
great deal better than l do what to do
with money, and how to invest; for
never had much, and all | got had
to work hard for. But | have looked
round good deal upon my neighgors;
and seen what they did with their
money and l will tell you some things
saw and what thought/of it. Ono
very rich man was always dealing in
money, and he made great deal, but
was never satisfied without high inter-
est. So he lent most of his money to
some people who he thought were very
rich, at a very high rate; and he Of
ten told how much he got, till one day
the people he lent to went to smash
He got back about ten cents on dol
lar of his money. know another old
gentleman, who had some bank stock
and he went to the bank and got ten
per cent. dividend. The President
and everybody said it was the best
stock in the country-paid ten por cent:
But what did the old man do but sell
+ his stock the next day! Why2 Why?
f said everybody. Because, 1t pays too
much dividend. And in six months the
bank went to smash Now, that 1
know to be fact. Well, Mr. Smith,
you say railroad stocks are best, be-
cause they pay high dividends2 Can
f you tell how long they will pay thcm7
ike railroads. I helped to build one,
and 90 in for useful things. Bat
tell you what knoU about them.-
One Third of the railroads don't pay
any dividend, and two thirds (and
some of them cracked up, too,) do not
f pay as much as Government stocks.
. Now that brings me to the Govorn-
a ment securities, and I will tell you why
| prefer them. | take it you will adj
nit, Mr.. Smith, that in the long run
! the Investment which is best should
f have these qualities: First, it should
, be perfectly secure: secondly that the
income should be uniform and permd-
nent-not up ono year and down the
next; and thirdly, that it should be
marketable, 80 when your wet day
comes, and you want your money. you
can get it back. And think these
Q notes or bonds have 60. these quali-
q ties moro than any other kind Of per-
sonal property you can name. Try
@ it.
"First, then, l have been looking
h, into that great book you call the Cen
sus Statistics. used to think it WASH t
worth much; but since began to
study it, l tell you, found out good
!. many things very useful for me to
know. I found out, by looking at the
|, crops, and the factories and shipping,
+ &C., that we Q don't mean the Rebel
!, Statcs) arc making a thousand mill
4 ions of dollars year more than we
q spend. SO you see that (since the in
crease of debt isn't half that we are
growing rich instead of poorer, as
~ John Bull and the croakers would
have us think. Then the debt will be
paid, anyhow, no matter how long She
. war is. Besides, did you ever hear OF
. II Government that broke before the
, people did? Look into your big his
: tories, Mr.. Smith, and you will find
the people break before the Govern
ments. Well. then, l call that stock
perfectly secure.
Secondly, you want the income
uniform and permanent. Well, | want
you to take up list of banks, rail-
y, roads, mines, insurance companies
~ anything you chooso-and tell me
-. (hOnor bright, nowD how many have
+ paid uniform income for ton or TWEEN
3 ty years. Not one in o hundred, Mr.
. Smith, and you know it.
y "Now hero is the government will
n n pay You without varying title. Now
70 ~ | like something that gives me my in
~ ~ come every year.
~ ~ "Thirdly, you want something which
o. ., is marketable any day in the year. Now
u u if you will ask any bank President
r. re 40 will tell you that Government stock
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