The story opens with a blunt confrontation: a university dean, Mr. Halloway, demands that sociology professor Wilton Caswell justify his department's existence in terms of revenue. Halloway's language is aggressively practical—he dismisses Latin degrees as mere decoration and equates sociology with socialism, a word he claims scares off wealthy donors. Caswell, described with white hair bristling and nostrils dilated like a war horse, initially defends his field through established applications in business and government, but Halloway cuts him off, ruling out any mention of the New Deal as politically toxic. The tension between academic theory and commercial utility is set from the first exchange.

A Formula Tested in Watashaw

The narrative shifts when Caswell reveals his department's work on "open system mathematics" for analyzing institutional accretion. Halloway, still skeptical, demands a demonstration. The test unfolds in the fictional town of Watashaw, where a charity organization begins applying the formula. The early results show a steady increase in membership through amalgamation with other groups, each merger preserving the original constitution's promise of advantages for new members. By the fifth month, the organization has added a baby-sitting service and influenced the school board to add a nursery school, freeing more women for activity. The expansion is methodical, almost clinical, as the club absorbs real estate agents and their ideas, shifting from pure charity toward profit-oriented planning.

From Charity to Corporation

By the sixth month, the club's ambitions have outgrown its original mission. A mass meeting approves slum clearance, rehousing, and rezoning, with plans to attract new industries. Crucially, the profit from rising property values is funneled back to club members through the same distribution mechanism used for membership fees. The organization files to incorporate as the Watashaw Mutual Trade and Civic Development Corporation, pulling in the Chamber of Commerce. Halloway, reading the newspaper reports, chuckles at a local politician's flowery oration and subsequent honorary membership. He sees the experiment as a triumph—proof that Caswell's formula can give businessmen a handle on organizations. Yet his amusement at the politician's co-option hints at a blindness to the potential consequences.

The Dean's Blind Spot

Halloway's perspective dominates the excerpts, and his satisfaction is unsettling. He views the Watashaw test purely as a fundraising tool, imagining "gratitude alone would bring money into the university in carload lots." When he calls Caswell to celebrate, the professor responds with studied disinterest, claiming to have been busy with student papers. Caswell's chill suggests a deliberate distance from the experiment's outcome, perhaps a quiet discomfort with its success. Halloway interprets this as pique over their earlier argument, but the reader may sense a deeper unease. The dean's focus on financial gain blinds him to the social upheaval the formula has unleashed—a pattern of growth that, as the title warns, resembles a snowball effect.

The excerpts break off before revealing the final outcome of the Watashaw experiment, but the trajectory is clear: a mathematical model for institutional growth, when applied without ethical constraints, transforms a charity into a profit-driven corporation. Readers should watch for how the story resolves the tension between Halloway's commercial ambitions and Caswell's academic detachment, and whether the snowball effect can be stopped once set in motion.