on the horizon from concerned banks abroad, so he agreed to the terms as well as a 3 % interest charge and in the process Morgan made nearly $16 million for himself and the other bankers involved. Morgan was seen as a hero, someone who had saved the nation from failure, in reality he only did it to save himself. If he hadnt made the deal his bank would have collapsed along with the others and in doing so he had made a large sum of money for himself just for organizing the contract. He indeed helped the nation but for the benefit of who, his wallet? (2)Another example of Morgans cunning way of making money was the panic of 1907; when once again he was called on to preserve the nation from a finical plunge. Financial historians say, Morgan almost single-handedly rescued the American economy from disaster.(7) President Roosevelt had relentlessly pursued many trusts and busted them up one right after another; this led to an economic downturn in 1906. Many blamed this on the aggressive attitude toward the railroads/[trusts], that made it impossible for them to borrow [money]. Instead of lightening the pressure on the trusts Roosevelt claimed to subject all large trusts to federal control. Not long after his statement, on March 12th the Dow Jones was at 86.53, March 13th it closed at 83.12, and on the 14th the market crashed, losing 8.3% of its value, and it didnt slow down for the six months proceeding. (6) This again started a panic and runs on banks and trusts. After this debacle J. P. stepped in once again noticing that his bank and well being also were in a state of panic and that his expertise could save the day and maybe even give him leverage for his ever growing trusts. He called a meeting of all of his Wall Street friends and collogues and devised a plan to once again bail out the U. S. government before the crisis went any further; at that point the Dow was bottoming out at 53.00. It was said that Morgan called the men int...
