In 1859, Frederick Douglass delivered a lecture in which h explained America's success as the effect of men's drive to conquer each new frontier they were faced with, whether it was the mysterious West, or the struggle for land and resources. They used theses invisible walls as motivation to fuel their drives in building a new nation from nothing. Thus the American Dream was born. These men, those who, born with none of the advantages/privileges of others yet managed to become great successes through their own hard work and determination, became known as Self Made Men. Rugged, independent, and driven: they became pioneers of their time. They lead the way in progress and innovation during the Gilded age.
One of history's best know examples of a Self Made Man is Andrew Carnegie, the Steel king . Born in Scotland to hand loom weavers, his family immigrated to America when the mechanization of the cotton industry put them out of work. They settled down in Allegheny, PA where Carnegie worked as an errand boy in a textile mill to support his financially struggling family. He soon gained a job in a telegraph office where he proved himself dedicated when he memorized addresses and names. When his father died he was left the sole supporter of his family at age 20. With little education, Carnegie taught himself at the library and night school. While in the telegraph industry, he proposed new ideas that increased profit in Railways and communication. He invested in sleeping cars, earning $5000 revenue. He founded two successful companies including Keystone Bridge Co., building iron bridges,and Keystone Telegraph Co. which he merged with the Atlantic Telegraph Co. He then traveled between the US and Europe selling Bridge Bonds. Later he took an interest in the steel industry. He invested in the Bessemer method of steel manufacturing and founded what later became Carnegie Steel where he introduced open hearth steel production and the use of steel in Railroads and skyscrapers. Eventually after accumulating a fortune from his exploits he retired, selling Carnegie Steel to J.P. Morgan for $500 million, making him the richest man in the world. During his career Carnegie spent little money on himself. By the end of his life he had donated 90% of his fortune to his philanthropic endeavors , founding various Institutions and Universities in the advancement of education and technology. One could say that Carnegie was indeed a Self made man, if one considers his rise from a low social status with little education. Most of his investments were the result of his own ingenuity and inventiveness, as he saw the trends of the economy which allowed him to successfully move from telegraphs, Railroads, bridges, and eventually to steel. However one can't overlook the help he received from his many business partners and investors. Also it was not without the hard labor of his many workers, often underpaid, that he was able to achieve his fortune. Even early on he had the help of the government in the form of the library and night school he learned from. So in terms of intelligent moves and dedicated work ethic, he was a Self made man but it was not without the help of the community and the economic system itself.
If Carnegie was the epitome of honest hard work and philanthropy, J.P. Morgan was the embodiment of shrewd micromanaging and manipulation. Born into a successful banking family Morgan had all he needed to become a successful businessman. At a young age he joined his father's banking company where he quickly rose to brokering sugar in Cuba and Louisiana. He opened an office in New York managing American investments for English clients and foreign exchange. During the Civil War Morgan oversaw the foreign exchange of gold, and after it's end helped refinance the government's war debt. His firm became leading in government bonds. Morgan became a major player in the raising of the huge capital for Railroad projects. He rose to power when he took control of the largest railroad company in the country. In his investments he managed the establishment of many companies including General Electric, Federal Steel , US Steel, and International Harvester. By this time Morgan had become the most important financier in the country, controlling ½ the country's mileage in railroads. In his attempt to stabilize the US economy he linked the railroads to each other, all of those to banks, and banks to insurance companies, building the nation's first real working economic system. Like Carnegie, Morgan was a revolutionary economic tycoon of his time. Through his careful selection of qualified staff , he ensured the success of his company and it's many branches, headed by a specialized board of directors. However his success was not only the product of his shrewd business tactics, but the exploitation of his workers who suffered long hours for extremely low pay. In his personal life Morgan spent his riches as a private collector of illuminated manuscripts and native American pieces, building his own personal library to house his collection. He also was benefactor to various organizations including a church, an art museum, a public library , and various hospitals in New York. In terms of rising from nothing to be successful Morgan was not a self made man. It was through his own corporate genius however that he was able to manipulate the economy to his favor to amass his fortune, so in this way he was largely self made. One must remember however that all his achievements were the result of exploiting the achievements, ideas, and work of others, including the government, workers, other leading industrialists of the time. So his success was not entirely due to his own hard work and pursuits.
The debate continues over whether economic capitalists such as these were “greedy and corrupt” Robber Barons, taking advantage of the system , or “innovative and enterprising” Captains of Industry, bringing new ideas and prosperity to the economy. One could argue that both Carnegie and Morgan could fall into either of these categories. If Carnegie was to be labeled as one or the other it his actions make it easier for one to mark him a Captain of Industry. His fortune came not from the corruption of the system or unreasonable exploitation of workers, but from smart business choices and investments. His fortune was made off of his own ideas, intelligence , and steadfast determination. Conversely J.P. Morgan falls more into the category of Robber Baron. His tactics for success revolved more around profiting off the exploits, ideas, and work of others. His fortune was made by directing and managing the amassed fortunes of others. He played off of the bankruptcy and financial struggles of others, such as the Northern Pacific Railroad Company and off of the retirement of other rich industrialists such as Rockefeller, Vanderbilt, and Carnegie. In the end it all comes back to the same thing: an opinion as each case could be argued either way.
