Western Kansas world. [volume] (WaKeeney, Kan.) 1885-current, 1908-02-22
FINANCED CIVIL WAR.
How Jay Cooke Saved the Union by
the Use of Printers Ink.

How Jay Cooke Saved the Union by
the Use of Printers Ink.
When the president recently offered
many million dollars worth of Pana-
ma canal bonds to the people, and
they were Immediately taken up, the
public looked on the proceeding as a
regular one in national finance
As a matter of fact it is relatively a
modern idea. The first man who did
this, Jay Cooke. but recently laid
down life's work
Jay Cooke was a financier as bold
and ingenious as any country ever
produced. He was a giant among the
pigmies of Wall street. He financed
the civil war, placing loan after loan,
for hundreds of millions each, when
other men were SO discouraged and
pessimistic they could do nothing to
win the peoples money from it's hiding
places, to be used for the support of
the government.
Jay Cooke was the pioneer in offer
ing government bonds direct to the
people through newspaper advertising,
the method by which many great loans
have been floated since his time.
He was a great believer in the
power of the press. With him, as
with Napoleon, it was the fourth es-
tate, a power to be reckoned with.
When the treasury was given au-
thority by congress in February, 1862,
to issue $500, 1000, 900 bonds, payable
in 20 years, but redeemable after five
years, with interest at per cent,
there was not a man at Washington,
not even the great Lincoln, who could
see way clear to float them.
Cooke was appointed the govern
ment's subscription agent. His cam
paign for placing the bonds was begun
in accordance with a method which he
used in placing all the subsequent is
sues, to appeal directly to the people
through the press, to arouse their
patriotism, give them courage and con-
fidence.
He was the first f1nancier in this
country who knew how to talk di-
rectly to the people.
Never before in the history of this
country. or of any other, had so great
press campaign been inaugurated as
that of Jay Cooke
Advertisements were placed in every
important journal in the north, a staff
Of writers was employed to turn out
articles suited to the press in general,
on financial topics, all having for their
end the restoration of confidence and
the selling of the new bonds, which
were known as the '-5-20s.'
In addition to this a corps of clever
men was employed to see editors and
talk with them, setting them right
ON matters relating to the govern
ment's financial policy in which they
might hold views unfavorable to the
loan.
Editors, both German and English,
were appealed to on the broad ground
of patriotism to write optimistica1ly
about the governments ability to stand
the drain of the war.
Work of this character is to-day
known as press work." and the men
who perform it as press agents"
The press agent, who thus originated
with Cooke, so far as the field of
finance is concerned, is now a recog
nized factor in every business comm
nifty, and as necessary to the banker
as to the theatrical manager.
Cookies ability to use printers ink
surpassed that of all the bankers of
his time. He knew how advertise
ments should be written, he had the
psychologist knowledge to make every
point tell. His advertising was sane,
sound and conservatives; his articles
were of value to the papers that
printed them
Through these means he breathed
confidence into the people who had
money to invest, and saved the day
when the nations unpaid bills on ac-
count of the army alone were i'm the
hundreds of millions.
One. of the most effective of MI.
Cookies advertisements appeared in
the form of talk on investments, I'M
der the title THE Best Way to Put
Out Money at Interest"
had their money boarded, chiefly in
gold, which was selling at a great
premium. He knew that his talk must
be direct and his offer tempting to
bring that gold out of it's hiding place.
His broadside made great hit. In
terest was aroused in the bond issue
by this means, as one of a hundred EN-
ployed to the same end, until the issue
was going like hot cakes
Mr.. Cooke followed up his BEST
Way broadside with another under
the head of Interesting Correspon-
dence on the Five-Twenty Loan"
This afforded an opportunity. in the
form of letters, to bring out the A b C
of the loan. A supposed investor asked
questions about it, how much interest
it paid, what kind Of money would
~ oooo-<ad Sr for he Hop1c