J. P. Morgan

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J. P. Morgan
Born	April 17 1837(1837-04-17)[1] Hartford, Connecticut
Died	March 31 1913 (aged 75) Rome, Italy
Children	Louisa Pierpont Morgan, John Pierpont "Jack" Morgan, Jr., Juliet Morgan and Anne Morgan
Parents	Junius Spencer Morgan and Juliet Pierpont

John Pierpont Morgan (April 17, 1837 – March 31, 1913) ^[2] was an American banker, donater, and art collector who was skilled in managing and handling money. Because he was such a good banker, he became one of the richest men of his time ^[3] and created the well-known bank, JPMorgan Chase, which is the one of the oldest banks in the world that still exists. ^[4]

Contents 1 Childhood 2 Career 2.1 Beginnings 2.2 Later on 2.2.1 The Panic of 1893 3 Enemies 4 Legacy (what he is known for) 5 Notes 6 References

[change] Childhood

J.P. was brilliant, taking many classes in mathematics to prepare himself for jobs in commerce. In 1852, Morgan was 15 years old, and sadly got sick with rheumatic fever. ^[5] JP got better later on, but he was deformed from birth and his changed looks affecting the way people saw him. JP's character as strong and confident for his deformity to be a burden. He asserted the force of his character over the ugliness of his face. JP hated being around others and having his picture taken; all of his professional portraits were retouched. ^[6][7][8]

[change] Career

[change] Beginnings

When JP was 20 years old, he became a banker in his dad’s London office and later went to Duncan, Sherman & Company in New York City. As time went on, he continued moving between companies while growing his business. He did very good as a banker and partnered with many, many other companies. When he took over troubled businesses, he followed his own process of reorganizing them known as “Morganization”. He made sure he was always in charge of the business so his business would do well. He renamed his company to J.P Morgan & Company in 1895. It was one of the most powerful banks in the whole world. ^[9]

[change] Later on

JP was a very busy man. He took control of the railroad companies and helped finance and reorganize railroads all over the US, working them to be the best they can be. He also later bought the Ley Land Line of Atlantic Steamships and other boat lines, which later included the White Star Line, who made the Titanic. JP also merged several steel companies to form the United States Steel Corporation. Morgan also financed manufacturing and mining businesses and controlled banks, insurance companies, and communications systems. JP became one of the richest men in the world while he helped the US economy and resources.^[10]

[change] The Panic of 1893

During the Panic of 1893, which was a big drop in the US economy because there was a shortage on the gold supply, US president Grover Cleveland asked Morgan to loan $65 million in gold. JP said it was okay and he saved the US treasury. ^[11] JP also, by creating the US steel corporation, allowed the US to compete economically with the rest of the world.

[change] Enemies

Morgan’s enemies attacked him for his loan terms on gold that was lent to the US government during the 1895 crisis, for the way he solved the panic of 1907, for hurting the Hartfort RR company by causing money problems, and turning the US steel corporation into a monopoly (by trying to take control of the making of bridges, ships, RR cars, rails, wire, nails, and other markets.). ^[12]

[change] Legacy (what he is known for)

JP Morgan was a great American, forever changing its economy. He was one of the richest men in the world (if he wanted to, he and all his partner companies could have bought all the land owned by all of the 22 US states west of the Mississippi river at that time (worth about $22.245 billion)). He did this through horizontal integration, buying many companies and taking them over, usually becoming monopolies. Horizontal integration is when a company tries to sell a type of product in many markets. The JP Morgan Company still runs today under the name of JPMorgan Chase owned by stockholders. Today, it is one of the oldest banks in the world and a leading bank in the world. ^[13][14]

[change] Notes

[change] References

• Atwood, Albert W. and Erickson, Erling A. "Morgan, John Pierpont, (Apr. 17, 1837 - Mar. 31, 1913)," in Dictionary of American Biography, Volume 7 (1934)
• Auchincloss, Louis. J.P. Morgan : The Financier as Collector Harry N. Abrams, Inc. (1990) ISBN 0-8109-3610-0
• Brandeis, Louis D. Other People's Money and How the Bankers Use It. Ed. Melvin I. Urofsky. New York: Bedford Books, 1995. ISBN 0-312-10314-X
• Bryman Jeremy, J. P. Morgan: Banker to a Growing Nation : Morgan Reynolds Publishing (2001) ISBN 1-883846-60-9
• Carosso, Vincent P. The Morgans: Private International Bankers, 1854-1913. Harvard U. Press, 1987. 888 pp. ISBN 978-0674587298
• Carosso, Vincent P. Investment Banking in America: A History Harvard University Press (1970)
• Chernow, Ron. The House of Morgan: An American Banking Dynasty and the Rise of Modern Finance, (2001) ISBN 0-8021-3829-2
• Fraser, Steve. Every Man a Speculator: A History of Wall Street in American Life HarperCollins (2005)
• Garraty, John A. Right-Hand Man: The Life of George W. Perkins. (1960) ISBN 978-0313201868
• Geisst; Charles R. Wall Street: A History from Its Beginnings to the Fall of Enron. Oxford University Press. 2004. online edition
• John Moody; The Masters of Capital: A Chronicle of Wall Street Yale University Press, (1921) online edition
• Morris, Charles R. The Tycoons: How Andrew Carnegie, John D. Rockefeller, Jay Gould, and J. P. Morgan Invented the American Supereconomy (2005) ISBN 978-0805081343
• Strouse, Jean. Morgan: American Financier. Random House, 1999. 796 pp. ISBN 978-0679462750