“Yes, sir,” replied the secretary, “the Commercial State.”
“Very well, get the president, Mr. Colson, on the wire.”
A few moments later Ames had purchased from the Commercial State bank its note against the Ketchim Realty Company for ten thousand dollars. “I thought Ketchim would be borrowing again,” he chuckled, when he had completed the transaction. “His brains are composed of a disastrous mixture of hypocrisy and greed. I’ve thrown another hook into him now.”
At nine forty-five Ames left his private office and descended in his elevator to the banking house on the second floor. He entered the directors’ room with a determined carriage, nodding pleasantly to his associates. Taking his seat as chairman, he promptly called the meeting to order.
Some preliminary business occupied the first few minutes, and then Ames announced:
“Gentlemen, when the State of New York offered the public sixty millions of four per cent bonds last week, and I advised you to take them at a premium of six per cent, you objected. I overruled you, and the bank bought the bonds. Within forty-eight hours they were resold at a premium of seven per cent, and the bank cleared six hundred thousand. A fair two days’ business. Now let me suggest that the psychology of this transaction is worth your study. A commodity is a drug on the market at one dollar, until somebody is willing to pay a dollar and a half for it. Then a lot of people will want it, until somebody else offers a bid of two. Then the price will soar, and the number of those who covet the article and scramble for it will increase proportionably. Take this thought home with you.”
A murmur of admiration rose from the directors. “I think,” said one, “that we had better send Mr. Ames to Washington to confer with the President in regard to the proposed currency legislation.”
“That is already arranged,” put in Ames. “I meet the President next Thursday for a conference on this matter.”
“And if he proves intractable?” queried another.
“Why, in that case,” returned Ames with a knowing smile, 111 “I think we had better give him a little lesson to take out of office with him––one that will ruin his second-term hopes––and then close our bank.”