War Is A Racket (Feral House, 2003)

Sunday, October 12, 2008



War Is A Racket is a rare testimonial from a U.S. general who, as he puts it, "made the world safe for business interests", which grew out of his response to being approached by those same business interests to head a fascist coup to take over America (he turned the plotters in to the House Un-American Activities Committee).

"War is a racket. It always has been. It is possibly the oldest, easily the most profitable, surely the most vicious. It is the only one international in scope. It is the only one in which the profits are reckoned in dollars and the losses in lives. A racket is best described, I believe, as something that is not what it seems to the majority of the people. Only a small "inside" group knows what it is about. It is conducted for the benefit of the very few, at the expense of the very many. Out of war a few people make huge fortunes. In the World War [I] a mere handful garnered the profits of the conflict. At least 21,000 new millionaires and billionaires were made in the United States during the World War. That many admitted their huge blood gains in their income tax returns. How many other war millionaires falsified their tax returns no one knows."

"There are 40,000,000 men under arms in the world today, and our statesmen and diplomats have the temerity to say that war is not in the making. Hell's bells! Are these 40,000,000 men being trained to be dancers?"

"Take our own case. Until 1898 we didn't own a bit of territory outside the mainland of North America. At that time our national debt was a little more than $1,000,000,000. Then we became "internationally minded." We forgot, or shunted aside, the advice of the Father of our country. We forgot George Washington's warning about "entangling alliances." We went to war. We acquired outside territory. At the end of the World War period, as a direct result of our fiddling in international affairs, our national debt had jumped to over $25,000,000,000. Our total favorable trade balance during the twenty-five-year period was about $24,000,000,000. Therefore, on a purely bookkeeping basis, we ran a little behind year for year, and that foreign trade might well have been ours without the wars. It would have been far cheaper (not to say safer) for the average American who pays the bills to stay out of foreign entanglements. For a very few this racket, like bootlegging and other underworld rackets, brings fancy profits, but the cost of operations is always transferred to the people -- who do not profit."

"Take our friends the du Ponts, the powder people -- didn't one of them testify before a Senate committee recently that their powder won the war? Or saved the world for democracy? Or something? How did they do in the war? They were a patriotic corporation. Well, the average earnings of the du Ponts for the period 1910 to 1914 were $6,000,000 a year. It wasn't much, but the du Ponts managed to get along on it. Now let's look at their average yearly profit during the war years, 1914 to 1918. Fifty-eight million dollars a year profit we find! Nearly ten times that of normal times, and the profits of normal times were pretty good. An increase in profits of more than 950 per cent. Take one of our little steel companies that patriotically shunted aside the making of rails and girders and bridges to manufacture war materials. Well, their 1910-1914 yearly earnings averaged $6,000,000. Then came the war. And, like loyal citizens, Bethlehem Steel promptly turned to munitions making. Did their profits jump -- or did they let Uncle Sam in for a bargain? Well, their 1914-1918 average was $49,000,000 a year! Or, let's take United States Steel. The normal earnings during the five-year period prior to the war were $105,000,000 a year. Not bad. Then along came the war and up went the profits. The average yearly profit for the period 1914-1918 was $240,000,000. Not bad."

"A few profit -- and the many pay. But there is a way to stop it. You can't end it by disarmament conferences. You can't eliminate it by peace parleys at Geneva. Well-meaning but impractical groups can't wipe it out by resolutions. It can be smashed effectively only by taking the profit out of war. The only way to smash this racket is to conscript capital and industry and labor before the nations manhood can be conscripted. One month before the Government can conscript the young men of the nation -- it must conscript capital and industry and labor. Let the officers and the directors and the high-powered executives of our armament factories and our munitions makers and our shipbuilders and our airplane builders and the manufacturers of all the other things that provide profit in war time as well as the bankers and the speculators, be conscripted -- to get $30 a month, the same wage as the lads in the trenches get. Let the workers in these plants get the same wages -- all the workers, all presidents, all executives, all directors, all managers, all bankers -- yes, and all generals and all admirals and all officers and all politicians and all government office holders -- everyone in the nation be restricted to a total monthly income not to exceed that paid to the soldier in the trenches! Let all these kings and tycoons and masters of business and all those workers in industry and all our senators and governors and majors pay half of their monthly $30 wage to their families and pay war risk insurance and buy Liberty Bonds. Why shouldn't they? They aren't running any risk of being killed or of having their bodies mangled or their minds shattered. They aren't sleeping in muddy trenches. They aren't hungry. The soldiers are! Give capital and industry and labor thirty days to think it over and you will find, by that time, there will be no war. That will smash the war racket -- that and nothing else."

Posted by St. Drogo at 2:02 PM  

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