The life and times of J.

Pierpont Morgan

John Pierpont Morgan was a philanthropist and art collector as well as one
of the countrys seminal financiers. His influence is still felt today, nearly a century after his death
on March 31, 1913. A few of his notable achievements include:
Financing industry. Drexel, Morgan & Co., a J.P. Morgan & Co. predecessor firm, financed
Thomas Alva Edisons research into a practical electric light bulb, and then helped his company
incorporate. Edisons company later merged with Thomson-Houston Electric and became known
as General Electric.
Morgan was also instrumental in the mergers that created U.S. Steel and International Harvester.
The railroad industry in the late 19th century was noted for overcapacity and rate wars that
threatened the system and financial markets. J. Pierpont Morgan recognized the dangers and
negotiated a truce between the countrys two largest railroad competitors, New York Central and
Pennsylvania Railroad. By the 1880s, Morgan had become the most influential railroad financier
in the U.S.
Calming panicked markets. Morgan intervened to quell a number of financial crises, most
notably the Panic of 1907. As global markets crashed, he convened New York Citys chief
bankers to provide liquidity to the U.S. federal government, staving off a global economic
collapse.
In 1895, following the panic of 1893, J.P. Morgan & Co. formed a syndicate to sell $65 million in
gold bonds for the U.S. Treasury that helped rescue the United States from a severe two-year
economic depression.
J. Pierpont Morgan died on March 31, 1913, at the age of 75, in Rome, Italy. He left his fortune
and business to his son, John Jack Pierpont Morgan, Jr., and his house and book collection to
the Morgan Library of New York. On the morning of his funeral, the New York Stock Exchange
was closed until noon, an honor generally reserved for heads of state.

John Pierpont Morgan

John Pierpont Morgan (1837-1913), the most powerful American banker of his time,
helped build a credit bridge between Europe and America and financially rescued the
United States government twice.
On April 17, 1837, J. P. Morgan was born in Harford, Conn. After 2 years at the
University of Gttingen in Germany, he entered the world of banking and commerce in
1857. In 1895 his firm, a private bank engaging in commercial as well as investment
banking, adopted its final name of J. P. Morgan & Company.
Early in the Civil War, Morgan lent money to a man who bought rifles from the Federal
government and resold them to it; this is the notorious Hall carbine affair, but there is no
evidence that Morgan was other than a creditor. Less than 2 decades later Morgan
became instrumental in the periodic reorganization of American railroads, emerging as a
decisive factor in railroading. He refinanced bankrupt railroads, acted to stabilize rates,
and consolidated competing lines. In addition, to protect individuals who purchased
railroad securities from his firm, Morgan placed his own representatives on the
railroads' boards of directors.

Financial Rescue of the Government

In 1893 America experienced a major economic downturn which, in conjunction with
questionable monetary policies (resulting from pressure from the silver inflationists),
put an impossible burden on the U.S. Treasury's gold reserve. President Grover
Cleveland's attempts to replenish the gold reserve were ineffective. In 1895 Morgan
played the role of central banker, sold government bonds for gold (half obtained abroad
through his foreign affiliates), and guaranteed to protect the gold reserve. Though
Morgan was charged with profiting exorbitantly and taking advantage of the dire straits
of the government, he never revealed the precise amount of his profits, so the validity of
such allegations is impossible to assess. His syndicate succeeded temporarily in its
objectives; public and private ends harmonized at a price which was probably not
excessive, considering the service rendered to the nation.

In 1901 a tremendous conflict opened between James J. Hill and Edward H. Harriman
for domination of the railroads west of the Mississippi and in the northern half of the
country. Morgan was allied with Hill, and in the course of this contest the price of
Northern Pacific stock shares jumped to astronomical heights. The compromise reached
was based on pooling all interests in the Northern Securities Company. When this
company was dissolved in 1904 as a consequence of successful prosecution under the
Sherman Antitrust Act, modern antitrust enforcement had been inaugurated.
Morgan founded the U.S. Steel Corporation in 1901. The culmination of a wave of
similar consolidations, it was the largest industrial concern of the time. U.S. Steel never
controlled the entire steel industry, and its share of the market has declined steadily.
Solving the Panic of 1907 represents Morgan's highest achievement; never again would
private power be vested with so large a public responsibility. When the panic hit, the
financial community of New York rallied around Morgan, and the Federal government
entrusted its funds to his disposition. He recruited brilliant lieutenants to investigate the
resources of the various New York banks and trust companies, determine which were
solvent, and act to save them. (There was no central bank, as the Federal Reserve
System was created only in 1913 as an after-math to the panic.) Morgan and his cohorts
were, for all practical purposes, the central bank.

An Assessment
Morgan was preeminently suited to the world in which he lived. During the years of his
power the American economy grew at a prodigious rate. Morgan was one of the "vital
few" who made it happen. He was a superb organizer in an economy that was replacing
competition with concentration. He chose extremely able associates but reserved the
crucial decisions for himself. He earned his economic reward by linking those who
needed capital with those who had it to invest, whether in Europe or America. The
success of his endeavor actually lessened the investment banker's significance, as
enterprises became internally financed and less dependent on external financing.
As an art collector, Morgan avidly sought paintings, sculpture, and tapestries. He made
the Metropolitan Museum of Art in New York the equal of any museum in the world,
although he contributed to others, too. "The Morgan collections represent the most
grandiose gesture ofnoblesse oblige the world has ever known," wrote Aline B. Saarinen
(1957). He was a man of genuine taste. His death in Rome on March 31, 1913, left a

void, for his was a personal, not an institutional, power and hence not readily
transferable.
http://www.encyclopedia.com/topic/J.P._Morgan.aspx

Synopsis

Born on April 17, 1837, in Hartford, Connecticut, J.P. Morgan would later become one
of the most famous financiers in business history. In 1871, Morgan began his own
private banking company, which later became known as J.P. Morgan & Co., one of the
leading financial firms in the country. Morgan died on March 31, 1913, in Rome, Italy.
He was hailed as a master of finance at the time of his death, and continues to be
considered one of the country's leading businessmen.
Famous Financier

Financier, art collector and philanthropist John Pierpont Morgan, best known as J.P.
Morgan, was born on April 17, 1837, in Hartford, Connecticut. The son of a banker,
Morgan went into the family business and became one of the most famous financiers in
history. After working for his father, he started his own private banking company in
1871, which later became known as J.P. Morgan & Co.
His company became one of the leading financial firms in the country. It was so
powerful that even the U.S. government looked to the firm for help with the depression
of 1895. The company also assisted in thwarting the 1907 financial crisis.
During his career, his wealth, power, and influence attracted a lot of media and
government scrutiny. During the late 1800s and even after the turn of the century, much
of the country's industries were in the hands of a few powerful business leaders,
especially Morgan. He was criticized for creating monopolies by making it difficult for
any business to compete against his. Morgan dominated two industries in particular -he helped consolidate railroad industry in the East and formed the United States Steel
Corporation in 1901.
A crucial material in the extensive growth of the nation, U.S. Steel became the world's
largest steel manufacturer. The government, concerned that Morgan had created a
monopoly in the steel industry, filed suit against the company in 1911. The following
year, Morgan and his partners became the subject of a congressional investigation by the
Pujo Committee in 1912.

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Personal Life

Morgan had many interests beyond the world of banking. He enjoyed sailing and
participated in a number of America's Cup yacht races. He was an ardent art collector,
creating one of the most significant collections of his time. He later donated his art
collection to the Metropolitan Museum of Art, and his collection of written works to the
Morgan Libraryboth in New York City.
Morgan's first marriage to Amelia Sturges was brief. She died a few months after their
1860 wedding. Five years later, Morgan married Frances Tracy. The couple had four
children: John Pierpont Jr., Louisa, Juliet and Anne.
Morgan died on March 31, 1913, in Rome, Italy. At the time of his death, he was hailed
as a master of finance. Today, Morgan is considered one ofAmerica's leading
businessmen, and is credited for helping to shape the nation into what it is today.
http://www.biography.com/people/jp-morgan-9414735#personal-life

One of the most powerful bankers of his era, J.P. (John Pierpont)
Morgan (1837-1913) financed railroads and helped organize U.S.
Steel, General Electric and other major corporations. The Connecticut
native followed his wealthy father into the banking business in the late
1850s, and in 1871 formed a partnership with Philadelphia banker
Anthony Drexel. In 1895, their firm was reorganized as J.P. Morgan &
Company, a predecessor of the modern-day financial giant JPMorgan
Chase. Morgan used his influence to help stabilize American financial
markets during several economic crises, including the panic of 1907.
However, he faced criticism that he had too much power and was
accused of manipulating the nations financial system for his own gain.
The Gilded Age titan spent a significant portion of his wealth amassing
a vast art collection.

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J.P. MORGAN: EARLY YEARS AND FAMILY
John Pierpont Morgan was born into a distinguished New England
family on April 17, 1837, in Hartford, Connecticut. One of his maternal
relatives, James Pierpont (1659-1714), was a founder of Yale
University; his paternal grandfather was a founder of the Aetna
Insurance Company; and his father, Junius Spencer Morgan (1813-90),
ran a successful Hartford dry-goods company before becoming a
partner in a London-based merchant banking firm. After graduating
from high school in Boston in 1854, Pierpont, as he was known,
studied in Europe, where he learned French and German, then
returned to New York in 1857 to begin his finance career.

Did You Know?

"Jingle Bells" was written by James L.

Pierpont, the uncle of famed financier J.P.
Morgan. The song, originally titled "The One
Horse Open Sleigh," was actually written
about Thanksgiving, and was considered a
failure when first published in 1857.
In 1861, Morgan married Amelia Sturges, the daughter of a wealthy
New York businessman. Amelia Morgan died of tuberculosis four
months after the couples wedding. In 1865, Morgan married Frances
Louisa Tracy (1842-1924), the daughter of a New York lawyer, and the
pair eventually had four children.
J.P. MORGAN: BANKING TITAN
During the late 19th century, a period when the U.S. railroad industry
experienced rapid overexpansion and heated competition (the nations
first transcontinental rail line was completed in 1869), Morgan was
heavily involved in reorganizing and consolidating a number of
financially troubled railroads. In the process, he gained control of
significant portions of these railroads stock and eventually controlled
an estimated one-sixth of Americas rail lines.
J.P. MORGAN: CONGRESSIONAL INVESTIGATION
During Morgans era, the United States had no central bank so he used
his influence to help save the nation from disaster during several
economic crises. In 1895, Morgan assisted in rescuing Americas gold
standard when he headed a banking syndicate that loaned the federal
government more than $60 million. In another instance, the financial
panic of 1907, Morgan held a meeting of the countrys top financiers at
his New York City home and convinced them to bail out various
faltering financial institutions in order to stabilize the markets.

Morgan initially was widely commended for leading Wall Street out of
the 1907 financial crisis; however, in the ensuing years the portly
banker with the handlebar mustache and gruff manner faced increasing
criticism from muckraking journalists, progressive politicians and others
that he had too much power and could manipulate the financial system
for his own gain. In 1912, Morgan was called to testify before a
congressional committee chaired by U.S. Representative Arsene Pujo
(1861-1939) of Louisiana that was investigating the existence of a
money trust, a small cabal of elite Wall Street financiers, including
Morgan, who allegedly colluded to control American banking and
industry. The Pujo Committee hearings helped bring about the creation
of the Federal Reserve System in December 1913 and spurred
passage of the Clayton Antitrust Act of 1914.
http://www.history.com/topics/john-pierpont-morgan

http://www.history.com/topics/john-pierpont-morgan/videos/the-rise-of-j-p-morgan
http://www.history.com/topics/john-pierpont-morgan/videos/the-men-who-builtamerica-from-rich-to-richer
http://www.history.com/topics/john-pierpont-morgan/videos/the-men-who-builtamerica-traits-of-a-titan

When John Pierpont Morgan arrived on Wall Street, it was a disorganized jumble of
competing interests and one of the many financial centers in a country still
struggling with the remnants of colonialism. When he left Wall Street, it was a tightly
knit group of big businesses that were leading one of the fastest growing
economies in the world. Much of the progress that Wall Street experienced at the
close of the twentieth century and the beginning of the twenty-first was due to the
influence of J.P. Morgan and the skill with which he wielded it.

During his life, Morgan played many roles: banker, financier, robber baron and hero.
In this article we'll take a look at the life of Wall Street's most famous banker.
The Family Business
When J.P. Morgan was born on April 17, 1837, in Hartford, Conn., there was very
little doubt that his future lay in banking. His father, Junius Spencer Morgan, was a
partner in a bank run by another American, George Peabody.
Morgan was brought up knowing he would take his father's place, shuttling from the
U.S. to Britain, peddling U.S. bonds to London investors. Most of these bonds were
state and federal offerings and, at this period in history, a much higher risk than
government bonds from European nations. (To learn more about European and
American investments, see American Options Investors: Should You Go Euro?)
Upon his retirement, George Peabody left the bank completely in the hands of
Junius, even removing his name from it. In 1864, J.S. Morgan & Co., the first
Morgan bank, made its debut. By this time, J.P. Morgan had finished his European
education and was learning his future trade as his father's New York agent while his
father tended the more important London end of the business.
Taking the Helm
Morgan began to take over his father's responsibilities following the DrexelMorgan merger. The Drexel-Morgan merger extended the scope of business,
strengthened international ties, and added to the capital that the bank was able to
loan.
As his father faded to the background, Morgan took an increasing role
in underwriting companies for public offerings. He took a great interest in the
railroad, holding shares, handling offerings, financing, and even placing Morgan
employees on the company boards. With the importance of the railroad growing
throughout the continent, Morgan picked an excellent time to expand both his
bank's wealth and his personal power. (Keep reading about this in How The Wild
West Markets Were Tamed.)
At the cusp of the twentieth century Morgan, Wall Street and the U.S. government
were becoming increasingly worried over the U.S.'s status as a debtor nation. Wall
Street had a firm belief that a stable currency was needed before the U.S. could
crawl out of the hole. It was Morgan that Wall Street sent to the White House to

discuss matters with the president. This led the American people to believe that
Morgan was the kingpin of Wall Street, and also gave a focus for their wrath over
the adoption of the gold standard - seen as a death knell for farmers in a largely
agrarian nation. He was the robber king among the robber barons. (To learn more
about debtor nations, read What Is The Balance Of Payments?)
The Great Reorganizing
Morgan, Cornelius Vanderbilt, John D. Rockefeller and all the other robber barons
shared two beliefs: cutthroat competition was ruinous, and combination and size
could reduce competition while increasing efficiency. Morgan used his personal
power and reputation to encourage the formation of trusts and mergers within
industries where he saw ruinous competition.
Although he will always be remembered for trying to create a steel monopoly in the
form of U.S. Steel, many of the other large players Morgan helped to create were
beneficial to the economy. General Electric (NYSE:GE) and International Harvester
(now Navistar International) (NYSE:NAV) helped the U.S. advance technologically
and helped the agricultural sector that Morgan was often accused of strangling
through his rail trusts. (Keep reading about these barons in The 5 Most Feared
Figures In Finance and Monopolies: Corporate Triumph And Treachery.)
J.P. Morgan's perceived power was much greater than the actual wealth he
controlled. The Morgan bank simply didn't have the size to underwrite public
offerings or handle bond issues without help from the growing financial sector.
Morgan's reputation, however, meant that any time his bank was part of
a syndicate, it was reported as if Morgan was personally steering the offering.
Morgan's growing prestige helped him in an age when the offering bank's
reputation mattered more than the stock fundamentals. This cemented the public's
perception of Morgan as a figurehead for all of Wall Street.
When things were bad, Morgan was accused of suppressing the economy. When
things were good, Morgan was thought to be lining his pockets. Morgan's personal
power came at a very high public price.
The Panic
J.P. Morgan was hated and respected in almost equal measure at the beginning of
the 1900s. In 1907, however, he tipped his hand and gave the government and the
general public a reason to fear. On March 25, 1907, the NYSE began to plummet

on an unprecedented streak of panic-selling. This odd event soon corrected itself,

but it signaled to the financial community that all was not right on the stock
exchange. Morgan was 70, semi-retired, and on vacation while the irregularities
increased through the summer and into the fall. By October 1907, a crisis was
clearly brewing. On October 19, Morgan traveled to New York to try to avert the
financial disaster.
Morgan used his considerable connections to gather everyone involved in the U.S.
economy. Even the U.S. Treasury threw $25 million behind Morgan's efforts to
increase liquidity and keep the market afloat. (Find out more about this in A
Nightmare On Wall Street.)
From his office, Morgan sent messengers to exchanges and banks, making certain
that no till closed, but that the rate at which cash could be drained from the system
was slowed. Money counters were instructed to double-count at a slow pace,
religious leaders were called on to preach calm in their sermons, and company
presidents and bankers were all locked in Morgan's library. In the locked room,
Morgan was able to force all involved to agree to a plan. Basically, they would
create liquidity to shore up the financial world much like the federal government
does now in similar situations. This plan then received presidential approval, and
the panic subsided.
Recognizing that only an aging banker sat between the U.S. and financial disaster,
the government quickly moved to reform the banking industry and built up
the Federal Reserve System to avert crises in the future.
Pujo Committee
The Panic of 1907 was Morgan's finest moment. In the aftermath, he was praised
as well as getting his usual helping of blame. His obvious manipulation of the
economy only worsened the general public's opinion of him as the "Robber King" of
Wall Street. Rather than being left to his retirement, Morgan was called to the Pujo
Committee, a government investigation into money trusts. In the course of his
testimony, John Pierpont Morgan gave voice to what was then an unspoken
banker's code. Among other things, he reinforced the Old World concepts of
character and moral responsibility being a banker's guiding principles. Whether this
was a noble principal, it became clear that a gentleman's arrangement between the
big banks on Wall Street was controlling a vast amount of the nation's credit.

Death
Following the hearings, Morgan's health began to fail. He was an old man and his
many ailments had as much to do with his declining health as any stress put on him
by the committee. With his decline, however, the age of gentleman's business, or
baronial rule as seen by his detractors, was over on Wall Street. On March 31,
1913, the hero of the Panic of 1907 and the alleged kingpin of Wall Street died in a
hotel room in Rome. Today, we speak of entities, corporations and multinationals
dominating Wall Street. Never again will one man, neither the chairman of the Fed
nor the leader of a nation, wield so much power over the financial world. This, like
Morgan himself, has its good and bad points.

Read more: The Kingpin Of Wall Street: J.P.

Morgan http://www.investopedia.com/articles/economics/08/jp-morgan-kingpin-wallstreet.asp#ixzz3piSM1bQ5

Frederick Lewis Allen, The Great Pierpont Morgan (1949)

John Kennedy Winkler, Morgan the Magnificent: The Life of J. Pierpont Morgan (1930)
The History Channels miniseries on the entrepreneurs who built America in
the second half of the 19th century portrays J.P. Morgan as a greedy robber
baron. For those unfamiliar with that term, a robber baron was (according
to my dictionary) an unscrupulous plutocrat, esp. an American capitalist
who acquired a fortune in the late nineteenth century by ruthless means.
In this post Id like to introduce you to Morgan and his work. In my next post
Ill provide an assessment of how we should view Morgan.
John Pierpont Morgan, unlike Vanderbilt and Rockefeller, was born into a
financially well-off family. His father grew in power to direct J.S. Morgan &
Company (formerly Peabody & Company), which had international offices in
London and Paris. According to Jonathan Hughes and Louis P. Cain, authors
of American Economic History, J.S. Morgan & Company was a leading

European merchant banking house which financed a $50-million loan to

the French in 1870 at the time of the Franco-Prussian War.
When Pierpont (as he was called) took over the family business after his
fathers death, he moved the direction of the company from financing more
secure and confident loans to riskier venture capital loans. The History
Channel presents the strong relationship between Morgan and Thomas
Edison, the investor of the incandescent light bulb. According to the History
Channel, Morgan wanted to be like the other great entrepreneurs of his day
by joining that highest echelon. But he didnt have a product or business
that was able to offer something to the masses like Vanderbilt, Rockefeller
or others could. That is, until he met Edison.
Edison was the inventor, Morgan the investor. To show people the wonders
of electricity, Morgan had an electrical system installed in his own home.
People were amazed and soon enough, the city of New York was powered
by Edisons design. Morgans next goal was to be able to power the whole
country.
He thought that there was no competition from this new industry, but one
of Edisons workers, Nikola Tesla, resigned because Edison ignored his
successful invention of alternative current (AC). Edison thought it was too
dangerous and impractical; Edison used direct current (DC) which moved at
a lower voltage. This resignation led to some marketplace competition
between Morgan and the Westinghouse Co. (the organization that bought
and paid Tesla for his work).
Morgan lost some big projects such as the Worlds Fair in Chicago and the
Niagara Falls Power Plant to Westinghouse Co., which infuriated him. He
bought more stock in Edison General Electric to have a majority share, fired
Edison, converted over to AC, and formed a merger with Thomas-Houston
Electric Company to create General Electric.

Not only did Morgan invest and loan to businesses, but he bailed out
organizations from their troubling predicaments. In 1895 he was a part of
providing the U.S. Treasury with 3.5 million ounces of gold in exchange for a
30-year bond. Also, he was a part of a major bailout of New York banks
during the Panic of 1907.
Morgans risks of investing and loaning money played a crucial role in
expanding the United States during the progressive era. Hes often seen as
one of the greedy robber barons, someone who uses their money to
suppress the poor from moving out of their unwanted social state. Morgan
was responsible for the increase in the wealth gap between the rich and the
poor; he exemplifies all the problems with capitalism. In my next post, I will
expose the shortcomings of these rhetorical arguments against Morgan.

J.P. Morgan financed the acquisition of Carnegie Steel (and subsidiaries) much the
way we still do it today:

Using creative financing, he essentially created the capital out of thin

air.

Before you start pondering that statement too hard, I must stress that he did not
sell Carnegie on lies or cast a spell on him, and my description is just semantics.

But take a moment, and put yourself in J.P. Morgan's shoes. Its 1901, and your
essentially the most powerful banker in the world. Hell, you bailed out the US
Government not once, but twice. But even you don't have enough assets, with
partners, to come up with $400m in liquid cash to purchase Carnegie Steel. Nor,
frankly speaking, would you want to. He would have to essentially destabilize parts
of the economy (through the sale of some of his other companies assets), just to

raise the money.

And unlike today, he couldn't simply walk down the street and ask J.P. Morgan
Chase for a loan (haha sorry bad pun). Most banks simply did not have that kind of
capital to float to anyone, including J.P. Morgan. None of the banks were truly that
big, yet.

What J.P. Morgan did do, and what he was incredibly well known for, was the use
of creative financing. And he used it to create one of the largest trusts the world has
ever seen: US Steel Trust.

He knew Carnegie, to an extent, wanted out. The strikes over the years had
intensified, government prosecution against large companies was heating up and
frankly, he was getting older. He had enough liquid cash to live for hundreds of
years, without ever needing to see the money from the sale of the company. Most of
his fellow partners at Carnegie Steel were also well off. And at the end of the day,
Carnegie just wanted to know his company would be well cared for after his own
death.

Knowing this and knowing the underlying business financials, especially when
combined with Federal and Consolidated Steel (other companies Morgan had
acquired), J.P. Morgan offered to buy the company for $480m. Charles Schwab
would later report the entire deal was secured essentially by the verbal agreement of
Carnegie and Morgan.

Carnegie's personal share amounted to roughly $225 million, to be paid in 5% - 50

year Gold Bonds. That is the creative financing.

Morgan essentially borrowed just under half of the money to buy Carnegie Steel
- from Carnegie himself.

The remaining purchase amount went to Carnegie's partners, many of whom took

stock in the newly formed US Steel Trust (in lieu of bonds and/or cash). I don't
believe the exact financing structure has ever been made public (different set of
rules at the time), but I'd gamble the partners taking stock settled another 35% of
the financing structure, leaving Morgan with just under $87 million to raise. A
much more realistic number than $480m, and an amount he could produce
himself, if necessary. (Studying Morgan, however, I'm confident it was OPM - Other
Peoples Money.)

Morgan's new company personally delivered these bond certificates to Carnegie's

Trustee, who in turn had to build a special vault just to hold all of the paper. It's
wildly reported that Carnegie never once went to see them, or had any desire at all
to even touch them. I'm not sure if that is in fact true, but I've seen it cited close to a
hundred times at this point.

And at the end of the day, J.P. Morgan had to secure those bonds with gold before
their issuance. In theory at least. Don't, however, underestimate the fact that
Morgan practically controlled the entire US banking industry at this point. Frankly
speaking, he could have issued those bonds without a single bar sitting in his vaults,
and no one at the time would have dared stop him. Even the US Government
couldn't have stopped him. (Almost no banking regulations and no Federal Reserve
at the time. Morgan hadn't gotten around to doing that yet).

Carnegie knew this, and essentially had to take Morgan at his word. And
Morgan's word, built over years of finely tuned dealings and
sophisticated transactions, was for all practical purposes, better than
gold itself.
www.quora.com/How-did-J-P-Morgan-finance-480-mn-to-pay-AndrewCarnegie
https://books.google.com.ec/books?
id=lMIj2jtuAmUC&pg=PA59&lpg=PA59&dq=jp+morgan+relaciones+carnegi
e&source=bl&ots=o2bdfaAZj4&sig=yb7hauXHKZ6VqnS9rJK7SklQVxY&hl=es
&sa=X&sqi=2&ved=0CCUQ6AEwAmoVChMI5vT1mLDhyAIVCZUeCh3XrANM
#v=onepage&q=jp%20morgan%20relaciones%20carnegie&f=false

http://teslablog.iaa.es/los-personajes
Frederick Lewis Allen, The Great Pierpont Morgan (1949). Of considerably
less value are John Kennedy Winkler, Morgan the Magnificent: The Life of J.
Pierpont Morgan (1930), and Herbert Livingston Satterlee, J. Pierpont
Morgan: An Intimate Portrait (1939).

J.P. Morgan & John D. Rockefeller The

Original Banksters
By John A. Heffern Jr

J.P. Morgan and Company, like many big businesses today, was
not satisfied with its already huge profits and success. J.P.
Morgan took what he could and soon realized through mergers
and acquisitions of new companies, he could corner and
manipulate the free market. We haven't seen a conglomerate of
this scale in our time since Microsoft was broken down by the
Department of Justice in 1998.
In business, in the late 1800's, the level of wealth one could
obtain reached never before seen heights. Two of the most
famous names in the business world in the early 1900's were J.P.
Morgan and John D. Rockefeller. These names were synonymous
with success. Each respectively sat atop a very well-structured
and tightly controlled empire he had worked tirelessly to create.
Rockefeller and Morgan clashed on many fronts in the business
world. They were powerful on their own, but combined,
untouchable. They agreed on this key idea regarding monetary
reform: the imporance of an increased "elasticity" of the money
supply. They agreed they would both benefit if they worked
together to push for and collaborated on this reform movement.
They could make exorbitant amounts of money from the
creation of a centralized system that was able to expand money
and credit as much as they wished. Decorated economist Murray
Rothbard explains in his book, A History of Money and Banking in
the United States, that Morgan and his fellow bankster John D.
Rockefeller realized, "the only way to establish a cartelized
economy, an economy that would ensure their continued

economic dominance and high profits, would be to use the

powers of the government to establish and maintain cartels by
coercion. In other words, to transform the economy from roughly
laissez-faire to centralized and coordinated statism."
Under the guise of an entity to promote fairness and competition
in business, Morgan and Rockefeller created an organization to
ensure the dominance of their monopoly. It has gone through
many stages and been called many things, but at the end of the
day, what they created was the Federal Reserve.
In a business sense, for Morgan and Rockefeller, it was
undoubtedly a genius plan. To the public, it appeared as though
this new watch dog organization could ensure the free market
thrives. Behind the scenes, the newly formed group would be
able to control price cutting by rival companies and competitive
business practices. This was an opportunity to stint the growth
of competitors and tighten their stranglehold on the markets in
America.
None of this happened overnight. A decade's worth of work
would be necessary before the fruits of their labor began to
morph into what we know today as the Federal Reserve.
Countless elections and schmoozing of government officials
occurred. However, the government officials were not the only
crowd the banksters needed to win over. The glue that held this
movement together was the intellectuals. The nation's
intellectuals were and still are the "professional opinion-molders
in society." It just so happened the nation's top minds were
eagerly awaiting a new challenge.
Rockefeller and Morgan both knew they needed to avoid going
up against the one entity left that had the power to dismantle
their empire the U.S. government. By figuring out a way to
empower the government with a new agency, they were able to
streamline the movement and get the support they needed at
every level.

http://www.economicpolicyjournal.com/2012/05/jp-morgan-john-drockefeller-original.html