The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1906-09-02
The Panic of 81

Sage would probably have continued
In public life had the general prosper
ity OF the nation gone az that time.
Certainly the panic OF 1857. which
came the year after the close OF his
second term. exercised a profound in
huenCe upon his actions. He was just
beginning 20 get rich. and he realized
that he couldn't attend 10 his own
and the public business at the same
time.
He had made such large investments
in the la Crosse Railroad, now the
Chicago. Milwaukee and St Paul. then
IN process Of construction that his en-
tire fortune OF $4,000 or 10000 would
be Jeopsrded by disaster 10 the road
through the panicky conditions. In or
der TO protect the loans he had already
made he became the owner Of prac-
ticaIly all the stock I'm the system. II
was because OF his railroad complIca-
tions that. IN 1861. he began 10 operate
IN Wall street The third period OF his
life as a constructive nnancler was
now we'll under way.
This period and the last in his life.
during which he was a money lender.
pure and simple. the most extensive
IN the world, probably, and devoted
wholly to the boarding Of interest.
were less sharply divided than the 9th
ers But during all the years that he
was apparently nothing but an accum-
ulator he maintained his interest IN
his horses.
This was never shown more interest
ingly than one day a few years ago,
when Wall Street was fairly boiling
under the pressure OF unusually high
rates for money. A writer Of "spe-
Clals" detailed to do a human interest
story on Uncle Russell" went 20 his
office. but finding the anteroOm crowd
ed with news reporters waiting 20 get
his views on the situation backed
out" discouraged. In the corridor ne
met man named Lawson, an old
friend of Sage, locally famous for
his ability TO drive four and skin
hand teams. The writer told La wson
his trouble.
Go and tell sage's clerk you have
my riughone cure" said Lawson.
Hell see you. He's been t-ying 70
get II for thirty years"
Lawson then wrote out a formula,
the writer did as suggested, and the
scheme worked. Sage let him into his
office and, having copied the formula,
got TO talking about the horses he had
owned. The talk lasted hours. the
writer got his STORY" and Sage did
not start for his Long Island summer
home tin two trains later than usual.
Meanwhile the news reporters cooled
their heels IN the anteroom, and final
" had to return to their city editors
empty handed. More than that, several
men who called upon the fnancier that
afternoon 10 talk about loans were
turned away that Sage might talk
a bout his horses.
The life OF Levi p. Morton. now
eiEhty-two. ex-Representative in Con-
gress, eX-diplomat. ex-Vice President.
and ex- governor. has been almost as
sharply divided as was that Of Russell
Sage.
But Mr.. Morton took pains 70 get
rich before he went into public life.
Sage's first impulses were TO serve the
public: his inordinate love OF money
came rather late in life: Morton APP
pears not to have thought about poll
tics at all until after he had packed
away a fortune.
Mortors father, a New England
Congregational minister, planned 10
send him 20 college. and did send the
boys elder brothers Levi saw how
il would pinch the family were he 10
take a college course. and declined. He
worked IN a country general store.
went 10 night school. and became
agent for one Esterbrook IN the con-
duct OF a store at Hanover. y. H.,
the seat Of Dartmouth College. He
went there with two trunks. which
obtained the stock in trade OF the
store. as we'll as his wardrobe. he
built M a business Of $1Oe.OOO a year
before he left Hanover.
Al the beginning he entered into all
sorts OF small enterprises. One year
he furnished the graduating class with
suits 0f hl9CI clothes on contract.
Meanwhile Estorbrcol1. who had sew
eral enterprises besides the store at
Hanover. failed. and one Of the credi-
tors, named Beebe, set Morton up IN
business for himself. After a while
Morton went &c Boston and went in
business with Beebe. the firm name
being Beebe. Morgan & Co. The Nor
gan in the concern was Junius s,
father OF J. Pierpont, who is not alto
getheF out OF the running at the pres
INT day. Then, In 1854, after he had