The Knickerbocker, Vol. 22, No. 3, September 1843Various
General
The Knickerbocker, Vol. 22, No. 3, September 1843
Various
Periodicals
THERE was no subject which Rufus had more at heart, than to
connect with the farm a place of trade for his company and such
of the neighboring farmers as chose to benefit by it. Brought up
in a country store himself, he felt a thorough disgust for the
extortions, tricks, and lures of the class calling themselves
country merchants. He knew well that the largest profits are almost
invariably put upon the most useless articles; that every inducement
is held out to the vain and weak to buy; the temptation of credit,
the fanciful adjustment of flimsy fabrics to catch the eye and
bewilder the fancy of ignorant servant maids; that what an article
will fetch is the price of it, and not what it is really worth.
If any one doubts these statements, let him inquire, and he will
find that flour pays hardly any profit at all; that sugars, teas,
and most of the heavy articles, are sold in the country store at
barely enough to pay the cost of transportation, clerk-hire, and
store-rent. How then does the merchant amass his gains? By the sale
of wines and liquors, which he manufactures himself from alcohol;
by selling at exorbitant profits things which cost him scarcely any
thing; by obtaining mortgages on the farms for his store accounts,
and ultimately getting the land into his possession for half its
value.
To obviate these evils, and to secure a fair price for the products
of the farm, and to be able to buy at a reasonable profit; to secure
the young and giddy against temptation; he drew up a plan which he
submitted to a number of the farmers in his neighborhood, who began
to show themselves favorably disposed toward him. The main features
of the plan were these: A capital of ten thousand dollars was
divided into shares of one hundred dollars, and these shares were
to be taken up by individuals; no person being allowed to hold more
than four shares. Each share was to have one vote in the affairs of
the concern.
When all the shares should be taken up, the company were to hire a
person who, under a board of directors, was to manage the store. He
was to buy and sell goods at such prices as the board should allow;
exchange goods for produce, and carry on the general business of
a country store as usual, only that the interest so many had in
the store should secure them against exorbitant prices and unjust
profits. Every holder of a share became so far the merchant; and
if he paid a profit upon the goods which he bought, a part of the
profit belonged to him. So in selling produce at the store; if he
demanded an unjust price, he was robbing himself as well as others;
and thus honest prices and profits were made his interest as well as
duty.
Public-domain text, read in full here on John Shaqi.
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