Carnegie proposed that the best way of dealing with the new phenomenon of wealth inequality was for the wealthy to redistribute their surplus means in a responsible and thoughtful manner. Carnegie also argues against wasteful use of capital in the form of extravagance, irresponsible spending, or self-indulgence, instead promoting gospel of wealth andrew carnegie pdf administration of said capital over the course of one’s lifetime toward the cause of reducing the stratification between the rich and poor.
As a result, the wealthy should administer their riches responsibly and not in a way that encourages “the slothful, the drunken, the unworthy”. The only schooling he received was from the local grammar school. Even his radicalism can be tied to his Scottish roots. Due to their radicalism, the Carnegies moved to Antebellum America in 1848. His father lost nearly everything he owned, and never recovered from the shock of his poverty, so Carnegie’s mother supported the family until he, himself, was able to become the primary breadwinner, and support the family.
He felt indebted to his mother for the rest of his life, which contributed to his determination to succeed, and his generosity with his money later in life. Carnegie didn’t marry until after his mother died. Many of his fellow capitalists financed their various business ventures with watered-down stocks. This is not how Carnegie chose to conduct his business. All of his early organizations were either partnerships or associations. He chose to focus on the vertical integration of a single industry, specifically the steel industry.
Most others made their profits by creating a horizontal monopoly. He worked hard to control entire industries, rather than parts of many. By 1890, Carnegie was a multi-millionaire. At the age of 35, Carnegie decided to limit his personal wealth and donate the surplus to benevolent causes. He was determined to be remembered for his good deeds rather than his wealth.