In later years he declined an interest in the firm which would have made him a millionaire.  I told him one day that some of the young men who had been given an interest were now making much more than he was and we had voted to make him a partner.  This entailed no financial responsibility, as we always provided that the cost of the interest given was payable only out of profits.

“No,” he said, “I don’t want to have my thoughts running on business.  I have enough trouble looking after these works.  Just give me a h—­l of a salary if you think I’m worth it.”

“All right, Captain, the salary of the President of the United States is yours.”

“That’s the talk,” said the little Welshman.[35]

[Footnote 35:  The story is told that when Mr. Carnegie was selecting his younger partners he one day sent for a young Scotsman, Alexander R. Peacock, and asked him rather abruptly: 

“Peacock, what would you give to be made a millionaire?”

“A liberal discount for cash, sir,” was the answer.

He was a partner owning a two per cent interest when the Carnegie Steel Company was merged into the United States Steel Corporation.]

Our competitors in steel were at first disposed to ignore us.  Knowing the difficulties they had in starting their own steel works, they could not believe we would be ready to deliver rails for another year and declined to recognize us as competitors.  The price of steel rails when we began was about seventy dollars per ton.  We sent our agent through the country with instructions to take orders at the best prices he could obtain; and before our competitors knew it, we had obtained a large number—­quite sufficient to justify us in making a start.

So perfect was the machinery, so admirable the plans, so skillful were the men selected by Captain Jones, and so great a manager was he himself, that our success was phenomenal.  I think I place a unique statement on record when I say that the result of the first month’s operations left a margin of profit of $11,000.  It is also remarkable that so perfect was our system of accounts that we knew the exact amount of the profit.  We had learned from experience in our iron works what exact accounting meant.  There is nothing more profitable than clerks to check up each transfer of material from one department to another in process of manufacture.

The new venture in steel having started off so promisingly, I began to think of taking a holiday, and my long-cherished purpose of going around the world came to the front.  Mr. J.W.  Vandevort ("Vandy”) and I accordingly set out in the autumn of 1878.  I took with me several pads suitable for penciling and began to make a few notes day by day, not with any intention of publishing a book; but thinking, perhaps, I might print a few copies of my notes for private circulation.  The sensation which one has when he first sees his remarks in the form of a printed book is great.  When the package came from the printers I re-read the book trying to decide whether it was worth while to send copies to my friends.  I came to the conclusion that upon the whole it was best to do so and await the verdict.