CodalSearch this book — or all of Codal…⌘K
Projects
Sign inStart a book
nydus/The History of the Great American FortunesPublic

This work examines the origins of large American fortunes by analyzing the social and industrial systems that facilitate their accumulation. The author seeks to move beyond both celebratory narratives and sensationalist critiques to provide a factual, systemic interpretation of how these vast concentrations of wealth are formed.

Page 266 of 340
Table of Contents

CHAPTER IX

He became his own manufacturer and jobber. Thus he was complacently able to supply his department store with many goods at cost, and pocket the profits that otherwise would have gone to jobber and manufacturer. In, however, the very act of making three sets of profits, while many other stores made only one set, Field paid his employees at the retail store rate; that is to say, he paid no more in wages than the store which had to buy often from the jobber, who in turn, purchased from the manufacturer. With this salient fact in mind, one begins to get a clear insight into some of the reasons why Field made such enormous profits, and an understanding of the consequent contrast of his firm doing a business of $50,000,000 a year while thousands of his employees had to work for a wretched pittance. He could have afforded to have paid them many times more than they were getting and still would have made large profits. But this would have been an imbecilic violation of that established canon of business: Pay your employees as little as you can, and sell your goods for the highest price you can get.

266