This section is from the "Enduring Investments" book, by Roger W. Babson. Also see Amazon: Enduring Investments.
The question of enduring investments is not altruistic. It is rather the problem of getting the most out of this old world which we go through but once. We know from experience, that the greatest happiness and reward in life come from doing the greatest service for others. It is hard to understand how any one can feel puffed up over the fact that he has given the town a public library or a hospital, because he himself knows that the satisfaction which he gets from doing this amply repays him for the gift.
Generosity is commendable, but generosity in itself is not the end. It is simply the method. The goal of life is service in carrying out God's wishes. It remains for each one of us to decide for himself what means he will use. No set formula can be prescribed to fit all cases. As previously stated, the successful man who has already sufficient for his own needs, has four courses to choose from:
1. Run his business as before, but turn over the profits to his employees.
2. Reduce the selling prices of his product so the public gets the benefit of the profit.
3. Devote his profits to expanding his own or some other worthy enterprise.
4. Give his profits to charitable and educational work.
All of these courses have good points, but all of them if pursued exclusively would fail to accomplish the desired end. My own feeling is that a combination of all will make the best course. Take the first plan, for example. There is decidedly a limit to the pay which one can give one's employees with real profit to themselves. Sudden or unusual prosperity without the balance wheel of spirtual ideals, invariably will do a man more harm than good. A fair plan of profit sharing, or bonus distribution, which will stimulate each worker to give his best efforts and help him to support his family in a decent manner, is far healthier for both the worker and the business.
To cut selling prices to a cost basis may be all right if you are the only one in your line of business. If not, however, it would be unfair to smaller manufacturers or merchants who cannot yet afford to run their business without profit. Make sure that you are giving a good product at a price which is fair to the consumer and you have gone about as far as you can in this direction.
The third course is the one most commonly followed. I am not ready to find fault with it, at least as far as the principles involved are concerned. There is this trouble, however, that the man who uses all his profits to build more business, often loses the true perspective of life. The constant fight with harassing obstacles, together with the fact that business success is measured in terms of things and dollars, whets men's appetites for material rather than spiritual things. While to run an honest and productive business is one of the noblest achievements, it does not develop the spiritual side of men if followed exclusively.
How about the fourth course - namely, to give away profits for charitable or educational work?
There is more responsibility in giving away money than there is in spending it. You can do more damage to others through misguided charity than through selfish extravagance. On the other hand, if the cause is worth while, there is nothing which so develops the spiritual side of a man as wholehearted unselfish giving. The man who leaves pure charity out of his life misses a tremendous lot of fun. God made this old world on peculiar plans. One of these plans is that while He put into the hands of men almost everything they want, He asks that we turn back or dedicate a certain part of it distinctly to Him. Why? The reason is simple if we will but look and see how much happier and fuller is the life of the man who gives than of the one who does not.
For this reason isn't it true that we should give more attention to our investments, if they are to be made for eternity, in order that we may make them wisely? Unfortunately most of us seem to feel that the minute we give our money away our responsibility is ended and we depart feeling proud of ourselves for having made a present of something to God. No, Sir! We cannot afford to make poor investments for God any more than we can for ourselves! In fact, I believe the time will come when we shall look upon the things we gave to God as the prime investments which we have made.
No one can prescribe in a book what causes are most worth-while, as they change from month to month. There is one thing, however, of which we can be sure. The crying need of this hour is not more factories or materials, not more railroads or steamships, not more armies or more navies, but rather more religious education. The prosperity of our country depends on the motives and purposes of the people. These motives and purposes are directed in the right course only through religion. Legislation, bounties, force, are of no avail in determining a man's attitude toward life.
 
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