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      **********************


     The Occult Technology of Power

                 **********

              A Project of the
          Society for Illuminating
            the Sources of Power

                 **********

^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^

The Occult Technology
  of Power, 64 page Paperback Edition $8.95
  Copyright 1974 by Alpine Enterprises
                    PO Box 766
                    Dearborn, Michigan 48121

  All Rights Reserved for Printed Editions
  E-text editions may be distributed without limit
  as long as the address of the Copyright Holder
  or publisher is included.  Print-outs from e-text
  are not allowed.


  Published by:
  Alpine Enterprises
  PO Box 766
  Dearborn, MI 48121    (Include $2.00 postage and handling fee)

  ISBN 0-55950-009-3

  Library of Congress
    Card Catalog Number 88-083670

  For further information, sources, comments, & discussion write:

                     Alpine Enterprises
                         PO Box 766
                     Dearborn, Ml 48121

^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
                         To My Son

". . . the world is governed by very different
personages from what is imagined by those who are
not behind the scenes."
                -Benjamin Disraeli
                 (Earl of Beaconsfield)

   In this thin volume you will find the transcripts of your
initiation into the secrets of my empire Read them again
not for the arcane knowledge which is now second nature
you, hut in order to re-experience the shock and awe you felt
twenty years ago when at age thirty the fabulous scope of
my power was revealed to you by my trusted, and now
mostly departed advisors. Remember the surprise, to the
point of disbelief, with which you beheld the invisibly
delicate, but invincible chains of deceit, confusion, ar
coercion with which we finance capitalists enslave this chaotic
world. Remember the feats of will and strategy that have
been required to retain our position. Then, inspect your
retinue carefully.  Your heir must be equal to and eager for
the task much as you were.  Choose him carefully.  As I lie
here waiting for the end I can afford to relish the thought
our empire lasting forever as I never dared while in charge.
Rational power calculations, so easily disrupted by the thrill
of power, are now entirely in your hands.

           "Know!--Will--Dare--and be Silent!"
                          Aleister Crowley

^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^

                THE TRANSCRIPTS

   My Introduction to your Initiation

1. Professor A. on the Role of Fraud in Nature

2. Professor Q. on Occult Knowledge as
   the Key to Power

3. Professor M. on the Economics of
   Central Banking

4. Professor B. on the Functions of the Central
   Bank in the Mature Finance Capitalist System

5. Professor G. on Social and Business Legislation
   and Policy

6. Professor D. on the Role of Public Education

7. Professor X. on Prestigious Associations and
   Secret Societies

8. Professor Y. on Covert Operations
   and Intelligence

   My Closing Remarks

   Afterword by the Transcriber

     Sources:

     Indispensable Thoughts on History, Economics, Politics,
     Philosophy, and Human Nature

     The Left on the Ruling Class

     The Right on the Conspiracy Theory of History

^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
                  MY INTRODUCTION TO
                    YOUR INITIATION

"Man is a rope stretched between the animal and
the Superman a rope over an abyss. "

"I teach you the Superman. Man is something to be
surpassed."
               -Friedrich Nietzsche


"Self reverence, self-knowledge, self-control these
three alone lead to sovereign power."
               -Alfred Lord Tennyson


"And nothing, not God, is greater to one than one's
self is. "
               -Walt Whitman


"Do what thou wilt shall be the whole of the law."
               -Aleister Crowley
                The Book of the Law

   My Son, the time has arrived to make formal what you
have confidently awaited for some years. Of all your
brothers, sisters, and cousins, as well as the offspring of my
close allies, I have chosen you to be heir to my empire. All
the trust funds, foundations, and accounts through which my
empire is controlled shall pass into your hands upon my
retirement. All my alliances, understandings, and enmities
with my handful of peers around the globe shall gradually
become yours. Over the next twenty years we shall collaborate
closer and closer, you and I, until, we finally act as one.

   For ten years you have toured my empire in a succession
of managerial assignments and are now familiar with the
outward operations of my crucial banking, foundation, gov-
ernmental, and think tank organizations. Until now, my ad-
visors and I have deflected your questions as to how and if
my diverse operations and holdings, which seem autonomous
and even contradictory, are integrated into an organic whole
to serve the dynasty's interests. The fact that you asked
these questions, rejecting my carefully nurtured public image
as an idle, coupon clipping philanthropist, was a major
factor in the high esteem in which I hold you. Most of your
competitors found puppet leadership in any one of my organi-
zations so awesome and gratifying that they immediately
eliminated themselves from the contest for the top position
which you have won. Such men of limited vision are neces-
sary for my success. They bend unconsciously to the subtle
pressures to which I expose them. They can be led in any
direction I choose by simple-minded rationalizations aimed at
their vanity without being privy to my motives which would
be short lived secrets in their undisciplined and envious
minds .

   Most important in your selection as my successor,
however was your psychological nature which has been
faithfully reported to me over the years by my associates
many of whom have advanced psychological training. A man
in my position must have total mastery over his emotions.
All actions affecting the power of the dynasty must be taken
on the basis of coldly reasoned power calculations il the
dynasty is to survive and prosper at the expense of its
subjects and rivals. All power is impossible to those whose
pursuit is ruled by sentimentality, love, envy power-lust
revenge, prejudice, hatred, justice, alcohol, drugs, or sexual
desire. Sustained power is impossible to those who repress
all their irrational longings into their subconscious only to
have them return in compulsive, out of control behavior that
inevitably leads to their ruin. Although often clothed in the
rationalizations of power calculation, compulsive behavior is
at root, the emotionalism of a frightened child, desperately
projecting his inner agony into a reality he is afraid to under
stand, much less master.

   Although you now must begin to pursue it consciously you
have already displayed the alienation from your emotional
nature that is so essential to achieving real worldly power.
You must recognize your emotional nature as a primitive
survival mechanism that was appropriate for the jungle and
perhaps useful to common men, but useless for the tasks that
confront us finance capitalists. Attachment to what you do,
just because you do it, is the primary psychological
characteristic of ordinary mortals. Such cognitive dissonance
spells disaster for us. Our emotional mechanism makes our
lives worth living, but is no guide to the occult arts of
intrigue. So, continue to gratify your senses and emotions
fully at your leisure. As long as the empire prospers you will
have the resources to indulge in systematic gratification
which will leave your irrational urges sated and, therefore,
powerless. You will never be in the unenviable position of the
middle class strivers who must, from lack of resources,
repress their emotional natures if they are to attain any
power whatever during their lives. Typically, they end up
taking their pleasure from the victories and cruelties of their
struggle. Thus, their end ceases to be power and they event-
ually defeat themselves with reckless behavior in pursuit of
dominant thrills.

   I have brought you into seclusion with my most trusted
advisors in order to inaugurate a new phase of your instruct-
tion. Your formal training in the "official" political-economic
world is now complete. This weekend will mark the begin-
ning of your training in the occult technology of power that
lurks behind outer appearances. As your tutors will explain,
"occult" or secret knowledge is the basis of all power in
human society, so I use the word "occult" advisedly, in its
pristine usage. As I am sure you are aware by now, produc-
tivity in itself does not secure power and therefore does not
secure the gratifications of life. After all, slaves can be
productive. None of my organizations in which you served so
well are concerned with advancing the techniques of satisfy-
mg human needs and desires. Rather, all are dedicated to the
surreptitious centralization of productive, but especially
coercive, efforts in my hands or in creating the intellectual
climate in which such veiled control would be tolerated in tb
future. I destroy or paralyze productive efforts that cannot
be ensnarled in my web

   After a break Professor A. will take the floor in order to
put finance capitalism into full biological perspective. His
short talk will be followed by similar abbreviated summaries
by his six associates, all of whom you know well. The rest of
the weekend will be devoted to forthright fielding of your
questions.


                           **1**
                    PROFESSOR A. ON THE
                  ROLE OF FRAUD IN NATURE


"Are we not all predatory animals by instinct? If
humans ceased wholly from preying upon each
other, could they continue to exist?"
             -Anton Szandor LaVey


    "Nature, to be commanded must be obeyed "
             -Francis Bacon

    Organisms typically base their success primarily on de-
ception and rely on actual force or mutually advantage-
ous trade (symbiosis) as little as possible. This should be
nearly self-evident, but is generally overlooked due to the
moral codes we elitists foist on our subjects. Let me give a
few examples in case the moral culture has to some extent
impaired your powers of objective observation. Camouflage
is universal among predators and victims alike. Blossoms
imitate fragrances and colors which are sexually attractive to
certain insects in order to effect pollination. Dogs bark fero-
ciously and feign attack on enemies of whom they are, in
fact, terrified. The Venus Fly Trap plant lures flies to their
deaths. Men proclaim their altruism to others and even
themselves while they selfishly scramble for personal advan-
tage. If you doubt that fraud is normal in nature you should
read section 3 of the first chapter of Robert Ardrey's, The
Social Contract for a wealth of fascinating examples. (Of
course Ardrey fails tn grasp the full application to contempor-
ary human society of his brilliant insights into man's animal
nature.)

   Human mental prowess and communicative powers have
merely provided superb elaboration on nature's old theme of
fraud and added its own distinctive feature: self delusion.
Primitive animal hierarchies are based on bluff and bluster,
and each member is well aware of and accepts, at least tem-
porarily, its position in the hierarchy. The same wild enthu-
siasm and fascination for dominance and submission rages in
human hearts. However, fraud is taken one step further. Not
only is fraudulent bluff and bluster used to achieve
dominance but fraudulent altruism and collective institutions
are used to conceal dominance once achieved. Human hier-
archies, in contrast to the animal variety, are best sustained
when the members are deluded regarding the oppressive na-
ture, or better, even the very existence of the hierarchy!

   Visible rulers are highly vulnerable. Thus we see visible
rulers claiming to be representatives of God, the common
good, the material forces of history, the general will (either
through vote or intuition), tradition, or other intellectual
"spooks" that serve to lessen the envy of the ruled for the
rulers. Encouraging such self delusions among the masses of
the ruled is universal for visible governments. However, such
spooks are little protection for the leaders of such systems
against their sophisticated elite rivals and no protection
against men like your father. The Roman Empire was
unquestioned by the mass of its subjects for centuries, but
the Emperors lived in constant fear of coup and assassina-
tion .

   By embracing deception wholeheartedly at every level,
finance capitalism, or rule through money, has fashioned
the ultimate system yet devised for the secure exercise of
power. Men like your father, the hidden masters of finance
capitalism, govern those who govern, produce, and think
through invisible financial tentacles, the operations of which
will be elucidated later by my colleagues. Dominance in all
aspects of society is surreptitiously accomplished while the
great majority of the ruled, and even most of the visible
leaders, believe themselves to be fairly autonomous, if
harried, members of a pluralistic society. Nearly everyone
believes major decisions to be the vector sum of autonomous
pressures exerted by business, labor, government, consum-
ers, social classes, and other special interests. In fact, the
vectors of societal power are carefully balanced by us so that
any net movement is in a direction chosen by us. The only fly
in the ointment is the occasional, but extremely messy,
interferences by competing financial dynasties. This discon-
certing problem will not be a major topic for this weekend.

   I now yield to Professor Q. who will elucidate the central
secrets of your father's immense money power.


                             **2**

                     PROFESSOR Q. ON OCCULT
                        KNOWLEDGE AS THE
                          KEY TO POWER


"The theory of aggregate production which is the
point of the following book, nevertheless can be
much easier adapted to the conditions of a totalitar-
ian state than the theory of production and distribu-
tion of a given production put forth under conditions
of free competition. . ."
                             John Maynard Keynes
                             Forward to the German
                             Edition of the
                             General Theory
                             September 7, 1936


   Throughout history, secure ruling elites arise through se-
cret, or occult knowledge which they carefully guard and
withhold from outsiders The power of such elites or cults
diminishes as their occult knowledge is transformed into
"scientific" knowledge and vanishes as soon as it becomes
"common sense." Before analyzing the secrets of the finance
capitalist money cult let us glance for historical perspective
at occult astronomy, the oldest source of stable rule known to
man of which astrology is hut the pathetic remnant.

   As soon as men abandoned the life of wandering, tribal
hunters to till the soil they needed to predict the seasons.
Such knowledge was required in order to know when to
plant, when to expect floods in fertile valleys, when to expect
rainy seasons, and so on. Months of back breaking work were
wasted by the unavailability of the calendar, a convenience
we take for granted. The men who first studied and grasped
the regularities of sun, moon, and stars that presage the
seasons had a valuable commodity to sell and they milked it
to the fullest at the expense of their credulous fellowmen.
The occult priesthoods of early astronomers and mathemati-
cians such as the designers of Stonehenge, convinced their
subjects that they alone had contact with the gods, and thus,
they alone could assure the return of planting seasons and
weather favorable to bountiful harvests. The staging
(predicting) of solar and lunar eclipses was particularly
effective in awing the community The general success
resulting from following the priesthood's tilling, planting,
nurturing, and harvesting time tables insured the priest-
hood's power. Today's Christmas holiday season continues
the tradition set by ancient priesthoods, who conducted
rituals on the winter solstice to reverse the retreat of the sun
from the sky.  Their invariable success was followed by wild
celebrations.  Popular knowledge of seasonal regularities was
discouraged by every manner of mysticism and outlandish
ritual imaginable.  Failures in prediction were blamed on sins
of the people and used to justify intensified oppression.  For
centuries people who had literally no idea of the number of
days between seasons and couldn't count anyway, cheerfully
gave up a portion of their harvests, as well as their most
beautiful daughters, to their "faithful servants" in the priest-
hoods .

   The power of our finance capitalist money cult rests on a
similar secret knowledge, primarily in the field of economics.
Our power is weakened by real advances in economic science.
(Fortunately, the public at large and most revolutionaries
remain totally ignorant of economics.  However, we estab-
lished money lords have been able to prolong and even
reverse our decline by systematically corrupting economic
science with fallacious and spurious doctrines. Through our
power in the universities, publishing, and mass media we
have been able to reward the sincere, professorial cranks
whose spurious doctrines happen to rationalize in terms of
"common good" the government supported institutions, laws,
and economic measures upon which our money powers
depend. Keynesianism is the highest form of phoney
economics yet developed to our benefit. The highly centraliz-
ed, mixed economy resulting from the policies advocated by
Lord Keynes for promoting "prosperity" has all the
characteristics required to make our rule invulnerable to our
twin nemeses: real private competition in the economic arena
and real democratic process in the political arena. Laissez-
faire or free market, classical economics was our original at-
tempt to corrupt economic science Its beautiful internal con-
sistency blinded economists for many years to the fact that it
had virtually nothing to do with current reality. However,
we are so powerful today that it is no longer possible to
conceal our imposing institutions with the appearances of free
competition Keynesianism rationalizes this omnipotent state
which we require, while retaining the privileges of private
property on which our power ultimately rests. Although the
interim reforms advocated by Marx in his Communist
Manifesto such as central banking, income tax, and other
centralizing measures can be corrupted to coincide exactly
with our requirements, we no longer allow Marxist move-
ments major power in developed countries. Our coercive in
institutions are already in place. Any real steps toward com-
munism would mean our downfall. Of course, phoney
Marxism is an excellent ideological veil in which to cloak our
puppet dictators in underdeveloped areas.

   Secondarily, the power of the lords of money rests on an
occult knowledge in the area of politics and history. We have
quite successfully corrupted these sciences. Although many
people are familiar with our secrets through such books as
1984 by the disillusioned George Orwell, few take them seri-
ously and usually dismiss such ideas as paranoia. Since real
politics is motivated by individual self-interest, history is
viewed most accurately as a struggle for power and wealth
We do our best to obscure this self-evident truth by
popularizing the theory that history is made by the imper-
sonal struggles between ideas, political systems, ideologies,
races, and classes.  Through systematic infiltration of all
major intellectual, political, and ideological organizations,
using the lure of financial support and instant publicity, we
have been able to set the limits of public debate within the
ideological requirements of our money power

   The so-called Left-Right political spectrum is our creation.
In fact, it accurately reflects our careful, artificial polariza-
tion of the population on phoney issues that prevents the
issue of our power from arising in their minds. The Left
supports civil liberties and opposes economic or entrepre-
neural liberty. The Right supports economic liberty and op-
poses civil liberty. Of course neither can exist fully (which is
our goal) without the other. We control the Right-Left
conflict such that both forms of liberty are suppressed to the
degree we require Our own liberty rests not on legal or
moral "rights," but on our control of the government
bureaucracy and courts which apply the complex, subjective
regulations we dupe the public into supporting for our
benefit .

   Innumerable meaningless conflicts to divert the attention
of the public from our operations find fertile ground in the
bitter hatreds of the Right/Left imbroglio. Right and Left are
irreconcilable on racial policy, treatment of criminals, law
enforcement, pornography, foreign policy, women's lib, and
censorship to name just a few issues. Although censorship in
the name of "fairness" has been useful in broadcasting and
may yet be required in journalism, we generally do not take
sides in these issues. Instead we attempt to prolong the
conflicts by supporting both sides as required. War, of
course, is the ultimate diversionary conflict and the health of
our system. War provides the perfect cover of emergency
and crisis behind which we consolidate our power. Since
nuclear war presents dangers even to us, more and more we
have resorted to economic crisis, energy shortages, ecological
hysteria, and managed political drama to fill the gap. Mean-
ingless, brushfire wars, though, remain useful.

   We promote phoney free enterprise on the Right and
phoney democratic socialism on the Left. Thus, we obtain a
"free enterprise" whose "competition" is carefully regulated
by the bureaucracy we control and whose nationalized enter-
prises are controlled directly through our government. In this
way we maintain a society in which the basis of our power,
legal titles to property and money, remain secure, but in
which the peril of free, unregulated competition is avoided
and popular sovereignty is nullified. The democratic process
is a sitting duck for our money power. Invariably we
determine the candidates of the major parties and then
proceed to pick the winners. Any attempts at campaign
reforms simply put the rules of the game more firmly under
our government's control.

   Totalitarianism of the fascist of communist varieties is no
danger to us as long as bastions of private property remain
to serve as our bases of operation. Totalitarian governments
of both Right and Left, because of the vulnerability of their
highly visible leaders to party rivals, can be manipulated
easily from abroad. Primarily, totalitarian dictatorships ef-
ficiently prevent new money lords that could challenge our
power from arising in whole continents, civilizations, and
races.

   Perhaps a few words on ideology proper are in order
before I conclude. The only valid ideology, of course is
rational egoism, that is, the maximization of the individual's
gratification by whatever means prove practical. This
requires power over nature, especially, when possible, power
over other humans who are the most versatile and valuable
tools of all. Fortunately, we do not have a society of egoists.
Money lords would be impossible in such a society as the
mental spooks and rationalizations by which we characteris-
tically manipulate and deceive would be a laughing stock
Under such circumstances a policy of live and let live or true
"laissez-faire" anarchy might be the only alternative
Certainly a hierarchical order would be difficult to maintain
by force alone. However, in the current era, while minds are
yet in the thrall of altruistic collectivistic, and divine
moralistic spooks, the egoist's rational course is to utilize
such spooks to control others.

   The next speaker, Professor M., will detail the key in-
stitution of our power: Central Banking.


                             **3**
                      PROFESSOR M. ON THE
                         ECONOMICS OF
                        CENTRAL BANKING

   "It (a bank) can take the depositors' goods, the
goods that it holds for safekeeping, and lend them
out to people on the market. It can earn interest on
these loans, and as long as only a small percentage
of depositors ask to redeem their certificates at any
one time, no one vs the wiser.  Or, alternatively, it
can issue pseudo warehouse receipts for goods that
are not there and lend these on the market. this is
the more subtle practice. the pseudo receipts will
be exchanged on the same basis as the true receipts,
since there is no indication on their face whether
they are legitimate or not.

   It should be clear that this practice is outright
fraud."
                -Murray Rothbard
                 Man, Economy, and State

"The bold effort the present bank has made to
control the Government, the distress it has wantonly
produced,. . ., are but premonitions of the fate
that awaits the American People should they be
deluded into a perpetuation of this institution (The
Bank of the United States), or the establishment of
another like it. ''

               -Andrew Jackson
                December 2, 1834

   As you have a doctorate degree in economics from a great
university I will touch as lightly as my verbosity allows
on facts accepted by economic "science" and proceed to occult
aspects of Central Banking.

   Since the division of labor is the key to all human achieve-
ment and satisfaction, a system of exchange is crucial. Barter
is hopelessly complicated. A command economy, in which
each does and receives what be is told, is also hopelessly
cumbersome and fails to take advantage of individual initia-
tive, ability, and concrete knowledge. A medium of
exchange, money, is the obvious solution. (Even our highly
centralized economies on the socialist model now enthusias-
tically embrace money as an indispensable simplifying tool in
their economic planning.)

   When left to themselves people of a given geographical
area settled upon a durable luxury commodity, usually gold
or silver, to use as money. Because money is a store of value
as well as a medium of exchange, people saved part of their
gold income rather than spending it all. This gold was often
stored in the vaults of a local goldsmith, the precursor of the
modern banker, for safe keeping. The depositor received a
receipt that entitled him to an equal quantity and quality of
gold on demand from the goldsmith. At some point the
goldsmith realized that there was no reason he could not loan
out some of the gold for interest as long as he kept gold on
hand sufficient to meet the fairly predictable withdrawal
rate. After all, be simply promised to pay on demand, not
bold the gold as such. Better yet, be could simply issue more
receipts for gold than be bad gold and the receipts, renamed
notes, could circulate freely among the populace as money.
However, be soon found that there was a definite limit set on
this process by reality. Not all the extra notes issued
circulated forever among the public. The rate of note re-
demption began to increase rapidly as the receipts passed
into the hands of people unfamiliar with his reputation and
especially when competitive goldsmiths, always eager for
more gold reserves, came into possession of his notes. To
prevent a disastrous run on his gold reserves, note issuance
had to be kept within bounds. But the spending power of
over-issuance was a grave temptation. Especially relished was
the power over governments, industry, and merchants that
the miraculous loan power of the goldsmith could obtain.
Many succumbed to temptation, overextended themselves
and brought ruin to their depositors while others slowly
became wealthy bankers by pursuing conservative loan policies.

   At this point, according to economic "science," Central
Banks are instituted to protect the public from periodic
financial catastrophe at the hands of unscrupulous fractional
reserve bankers. Nothing could be further from the truth.
Central Banks are established to remove the limitation on
over issuance that reality places on competitive banking
systems. As early as ancient Babylon and India, Central
Banking, the art of monopolizing the issuance of money, had
been developed into a perfect method for looting the general
public. Even today many bankers copy the traditions of the
earlier exploitive priesthoods and design their banks to re-
semble temples! Defenses of Central Banking are simply part
of the deception that lies at the heart of all power elites.

   Let us look at the way a new Central Bank is created
where none has existed previously. We bankers approach the
Prince or ruling assembly (both of whom always want more
money to fight wars or to curry favor with the people and,
typically, are ignorant of economics) with a compelling
proposal: "Grant our bank a national Charter to regulate
private banking and to issue legal tender notes, that is, force
our notes to be accepted as payment for all debts, pubic and
private. In exchange we will provide the government all the
notes it prudently requires at interest rates easily payable
with existing taxes. The increased government purchasing
power thus created will simultaneously assure the power an
prestige of the currently precarious nation and stimulate the
sluggish, credit starved economy to new heights of
prosperity. Most important the violent banking panics and
credit collapses caused by unscrupulous private bankers will
be replaced by our even handed, beneficent and scientific
management of money and banking. Our public spirited
expertise will be at the disposal of the state while we remain
independent enough of momentary political pressures to
assure sound management."

   For a while this system seems to work remarkably well
with full employment for everyone. The government an
public does not notice that we issuers of the new notes are
using the notes we create out of thin air to surreptitiously
build economic empires at the expense of established
interests. Because of the legal tender laws, few of the new
notes issued by the Central Bank are returned for
redemption in gold. In fact, private banks and even a few
foreign banks may begin to use the Central Bank's notes as
reserves for further issuance of credit. Soon enough, though,
prices begin to rise as the added notes increase demand
relative to the quantity of goods and services. As the value
of their savings decline more and more foreigners in
particular begin to question the value of the Central Bank's
notes and start to demand redemption in gold. We, of course
do not take responsibility for the rampant inflation when it
comes.  We blame inflation on evil speculators who drive up
prices for personal gain, as well as the greed of organized
labor and business who are promptly made subject to wage
and price controls. Even the consumer can be made to feel
guilty for agreeing to pay the high prices! Mistaking
symptoms for causes the government accepts the banker's
analysis of the problem and continues to give the Bank free
reign in monetary policy.

   By slowing the rate of note issuance periodically,v the
ultimate crisis stage is postponed until many decades after
the original Central Bank Charter was granted. Before the
rapidly dwindling gold reserves on which faith in our Bank
depends is exhausted we abruptly contract our loan volume
to private industry and government as well.  With the
contraction of the money supply a great deflationary crash
begins in earnest with all its attendant unemployment, bank-
ruptcies, and civil strife. We do not take responsibility for
the depression. We blame it on evil hoarders who are
refusing to spend their money and the prophets of doom who
are spoiling business confidence. The government accepts
this analysis and leaves monetary policy in our hands. If
things go well we bankers channel the fury and unrest into
puppet movements and pressure groups that carry our
agents into full control of the government. Once in charge we
devalue our outstanding bank notes in terms of gold and
make them inconvertible for all but possibly foreign Central
Banks and begin plans to restore a "prosperity" that will be
totally ours.

   When lucky, we are able to confiscate the gold of private
citizens as punishment for hoarding during the climax of the
depression.

   Once the old order is subdued during the chaos of the
crash and desperation of the depression, the field is open for
our full finance capitalist system to be realized. If the money
lords behind the Central Bank can avoid lapsing into political
and economic competition among themselves a new and
lasting order can be established. A war timed for this period
of consolidation provides the perfect excuse for the regimen-
tation required to crush all opposition.

   Professor B., a former Chairman of a Central Bank, will
explain the functioning of the Central Plank in the typical,
fully developed finance capitalist system.

                             **4**
                      PROFESSOR B. ON THE
                        FUNCTION OF THE
                      CENTRAL BANK IN THE
                        MATURE FINANCE
                       CAPITALIST SYSTEM

"We are undone, my dear sir, if legislation is still
permitted which makes our money, much or little,
real or imaginary, as the moneyed interests shall
choose to make it."
                -Thomas Jefferson


"From now on depressions will be scientifically
created."
                -Congressman Charles A.
                 Lindberg, Sr.-1923


   In its pristine form a Central Bank is a private monopoly
of a nation's money and credit issuance supported by the
coercive power of the state. That the Central Bank be direct-
ly in our hands is vital until our new order is firmly
established throughout the governmental, business, intellect-
ual and political spheres of society. After our order is
consolidated, formal nationalization of the Central Bank with
great fanfare is usually advisable in order to dispel any
lingering suspicion that it is operated for private gain. Of
course only loyal agent.s of the dynasty are allowed to obtain
high offices in the Bank and our power remains intact.
Obvious private monopolies are always the targets of sharp
reformist agitators. Only the most paranoid, however, can
see through the public facade to the private monopoly of the
nationalized or quasi-nationalized Central Bank.

   The Central Bank is the primary monopoly on which all
our monopoly power depends. The occult power of the
Central Bank to create money out of nothing is the fountain-
head that fuels our far flung financial and political empire. I
will make a quick survey of a few of the ways this secret
money power is brought to bear.

   Basically, the power of our Central Bank flows from its
control over the points of entry into the economy of new.
inflationary money which it creates out of thin air. Ordinar-
ily, bills of exchange, acceptances, private bonds, govern-
ment honds and other credit instruments are purchased by
the Central Bank through specially privileged dealers in
order to put the new money, often only checking accounting
entries, into circulation. The dealers are allowed a large
profit since they are fronts operated by our agents. Our pur-
chase of government securities pleases the government, as
our purchase of private debt pleases private debtors. As a
quid pro quo to assure "good management" our agents are
given directorships, managerial posts, and offices in the cor-
porations and government's so benefitted. As the addiction to
the narcotic of inflationary easy credit grows and grows we
demand more and more control of our dependent entourage
of governments and corporations. When we finally end the
easy credit to "combat inflation" the enterprises and govern
ments either fall directly into our hands, bankrupt, or are
rescued at the price of total control.

   Also, we ruling bankers control the flow of money in the
economy through the wide authority of the Central Bank to
license, audit, and regulate private banks. Banks that loan to
interests outside the loyal entourage are "audited" by the
Central Bank and found to be dangerously overextended.
Just a hint of insolvency from the respected Central Bank
authorities is enough to cause a run on the disobedient bank
or at least dry up its vital lines of credit. Soon the banking
establishment learns to follow the hints and nods of your
father's agents at the Central Bank automatically.

   Further, the periodic cycles of easy money and tight
money that we initiate through our control of the Central
Bank cause corresponding fluctuations in all markets. Our
inner circle knows in advance the timing of these cycles and,
therefore reaps windfall profits by speculating in commodity,
stock, currency, gold, and bond markets. Monopolistic stock
and commodity Exchanges are a vital adjunct to our power
made possible by our Central Bank power. We do not allow a
fair auction market to exist, but make a great show of
"tough" government regulation to create a false sense of
confidence among small investors. With the aid of our regula-
tory charade and financial power we are able to maintain
Exchanges tailored to our entourage's need to manipulate
stock prices at the expense of independent investors. Our
privileged specialists on the floors of our Exchanges, aided
by the propaganda of our financial press and brokerage
houses, continually play on naivete and greed to drain the
savings of the unwary into our coffers. The stock, commodi-
ties, and securities held in trading accounts by the Exchange
and brokerage houses provides us with a clout far beyond our
own actual holdings with which we can manipulate prices and
win proxy fights for corporate takeovers.

   Little danger to our lucrative racket exists from public
spirited regulation. Our manipulations are so complex that
only the most brilliant experts could comprehend them. To
most economists our Exchange operations appear to be
helpful efforts to "stabilize" the market. We ruling bankers,
if able to keep peace among ourselves, become richer and
richer as time passes without the annoyance of exerting
productive effort of benefit to others.

   The next speaker, Professor G. will discuss the secrets of
social legislation and policy that do so much to cement our
power.



                       **5**
               PROFESSOR G. ON SOCIAL
                   AND BUSINESS
               LEGISLATION AND POLICY


"There is no proletarian, not even a Communist,
movement, that has not operated in the interests of
money, in the direction indicated by money, and for
the time being permitted by money--and that
without the idealists among its leaders having the
slightest suspicion of the fact. "
            -Oswald Spengler
             Decline of the West

"Also at the (SDS) convention, men from Business
International Roundtables .... tried to buy up
some radicals. These are the world's leading indus-
trialists and they convene to decide how our lives
are going to go .....
We were also offered Esso (Rockefeller) money.
They want us to make a lot of radical commotion so
they can look more in the center as they move to
the left."
            -James Kunen
             The Strawberry Statement:
             Notes of a College
             Revolutionary

  The danger to our system clearly is not that the "people"
will spontaneously rise up and dispossess us. The "peo-
ple" never initiate anything. All successful movements are
led from the top, usually without the knowledge of the move-
ment, by men like your father with vast resources and
brilliant plans. The real danger arises in the upper-middle
classes. Occasionally, these people make vast fortunes
through some brilliant technological innovation in their
business or through the favor of local politicians that escape
our influence. Because of their ignorance of the reality of our
power, however, the new rich usually fall easily into our
hands. For instance, they seldom realize until too late that
the dozens of loans they may owe to apparently independent
banks can be called simultaneously with a mere nod from
your father. Graver danger is presented by those whose
enterprises are so successful as to be self-financing. Since
the advent of the corporate income tax truly self-financing
corporations are extremely rare. Most disquieting is when
these upstarts acquire the covert or open support and advice
of your father's major international antagonists. This is par-
ticularly dangerous in countries with long democratic tradi-
tions where it is difficult to make our arbitrary rulings stick.

   The best solution is to enact comprehensive taxes and
business regulations in the name of the common good. Such
measures reduce the incidence of significant upstart competi-
tion to manageable levels. This policy, of course, strangles
innovation and productivity. Reduction of the GNPs in
countries under your father's control would be acceptable in
the interests of secure power under the pretext of conserva-
tion, ecology. or no-growth stability except that if carried too
far your father's clout vis-a vis his international rivals would
be impaired. The most difficult problem for the money lord is
determining the level of social and economic freedom he
dares allow for the sake of his international power. Only
method is to maintain a home base of carefully monitored,
relative freedom on which to base the economic and military
strength required to maintain an empire of totalitarian dic-
tatorships abroad. The following measures, however, are
found necessary by nearly all money lords:

1. Steeply Graduated Income Tax. Income tax does not affect
us because our money was accumulated before the tax was
imposed and most of it is now safely protected in our
network of tax exempt foundations. Foundation income and
capital can legally be used to finance the bulk of our social,
economic, literary, and even political propaganda. In a pinch
it is easily diverted to illegal uses. Expensive "studies"
required by our profitable economic operations can be legiti-
mately financed through foundations.

   To the middle classes, however. income tax makes life
into an endless treadmill. Even the most productive find
themselves unable to accumulate significant capital. They are
forced into the clutches of our Central Bank entourage for
injections of the inflationary credit which we are privileged
to create out of nothing. The self-financing wealth of the
legendary 19th Century robber barons and early Twentieth
Century tycoons is no longer possible. Although your grand
father owed his start to just those wide-open conditions, he
was among the first of the super-rich to advocate the
erection of the tax wall that is now in place. Please note that
in democratic countries eternal vigilance is required to
prevent our tax shield from being riddled with loop holes by
conniving legislators, who are usually of the tax oppressed,
upper-middle class origins themselves.

2. Business Regulation. When upstarts slip through our
financial tentacles and tax shields, perhaps with the aid of
outsiders, a second line of defense becomes vital licensing in
the crucial area of broadcasting has proven particularly
necessary. This makes serious upstart-led mass political
challenge impossible. Harassment by bureaucrats armed with
arbitrary and voluminous industrial safety regulations is a
new and increasingly effective technique. Security registra-
tion requirements, "to protect the small investor," can cause
fatal delays in an upstart's ability to raise capital on the stock
market. Ecological considerations are easily perverted to
stymie the plans of those who would upset the stability of
our carefully planned system.

   Anti-trust law, however, is our ultimate weapon. The
handy doctrine of "pure and perfect" competition which we
have fostered in our universities is ideally suited to convict-
mg any successful competitor, at our discretion. If the
competitor charges a lower price than ours he is accused of
"unfair competition" aimed at driving us from the field to
impair future competition. If he asks the same price as we
he is open to the charge of collusion. If he charges more than
us, he is obviously exploiting his "monopoly power" at the
expense of the consumer. Fortunately, the rulings of our
bureaucrats are so complicated that even when successfully
appealed in court many years elapse before the ruling is
rendered. By then our goals are often achieved through
harassment.

   Product quality, safety, and testing regulations are
excellent methods by which we insulate our established
industries from potential competition. Beside raising the
costs of entry into the auto business, for instance, the cost of
"safety" can be passed to the consumer along with a healthy
profit mark-up.

3. Subsidies, Tariffs, and Foreign Aid. Although direct sub-
sidies can occasionally be procured for our entourage of cor-
porations by appealing to the masses' desire to preserve jobs,
this exploitive technique is usually too obvious. Tariffs are
easily passed, but lead to retaliation against our foreign
holdings. Foreign aid and soft (sure to be defaulted) govern-
ment guaranteed loans, however, fill the bill perfectly under
modern conditions. Foreign aid maintains our empire of for-
eign dictators abroad while providing guaranteed, highly
profitable sales to our corporations at home base. Foreign aid
should always be contingent on the purchase of goods,
usually military hardware, that only our entourage of firms
can provide. Few have the courage to oppose such altruistic
aid to the "starving masses" of the "third world."

4. Centralization of Power. Real division of power between
national, state, and local government is dangerous to our
system. When local politicians have real autonomy, even in
limited spheres, they can do much to enable upstarts to
challenge our power. Our program is to bring all levels of
government under our sway through such innovations as
federal aid, revenue sharing, high federal taxation, and
regional government.

5. Alliance with the Lower Classes. In order to keep our
valuable regulatory machinery in place and under our control
we must have the mass support of the numerous lower
classes against our vigorous, but scarce middle-class rivals.
The best method is to provide the lower classes with sub-
sidies at the expense of the middle class. This creates a
mutual hatred that prevents the middle class from appealing
effectively to the lower classes for support. Social security,
free health care, unemployment benefits, and direct welfare
payments, while doing nothing for us directly, create a de-
pendent class whose support for our critical measures can
easily be made part of a package deal. Please note also that
the major labor unions began with our financing and are led
to this day by leaders of our choosing. No one can rise to or
remain at the top of a rough and tumble union without our
financial backing. In spite of their rebellious rhetoric, bought
union leaders are the source of our power over the manage-
ment of firms with widely held stock. Unions are the ultimate
weapon for destroying otherwise invulnerable, self-financing
rivals. Further, downward flexibility of wages and prices
which obtains without widespread unionization would in-
crease the ability of the economy to survive without our aid
during the economic crises we create.

   Bread and circuses are as useful today as in Roman times
for mobilizing the mob against our staid adversaries. Next,
Professor D. will describe our education policies.


                             **6**
                      PROFESSOR D. ON THE
                         ROLE OF PUBLIC
                           EDUCATION

   "In our dreams we have limitless resources and the
people yield themselves with perfect docility to our
molding hands. The present educational conventions
fade from our minds, and unhampered by tradition,
we work our good will upon a grateful and respon-
sive rural folk . . . The task we set before ourselves
is a beautiful one, to train these people as we find
them to a perfectly ideal life just as they are. So we
will organize our children into a little community and
teach them to do in a perfect way the things their
fathers and mothers are doing in an imperfect way
in the home, in shop, and on the farm."
             -The objective of Rockefeller
              "philanthropies" stated by him and
              Gates in Occasional Letter No. 1 of
              Rockefeller's General Education Board.


"A general state education is a mere contrivance for
molding people to be exactly like one another; and
as the mold in which it casts them is that which
pleases the predominant power in the government-
whether this be a monarch, a priesthood, an aristoc-
racy, or the majority of the existing generation--in
proportion as it is efficient and successful, it estab-
lishes a despotism over the mind, leading by natural
tendency to one over the body."
             -John Stuart Mill


   In order to maintain our system of power, the institution
of universal public education is indispensable. The an-
archy of private education in which any manner of dangerous
ideas could be spread cannot be tolerated. Thus we make
private education financially impossible to all but the few
mostly the elite offspring of our financial entourage, by means
of burdensome taxation and regulation. The primary purpose
of public education is to inculcate the idea that our crucial
institutions of coercion and monopoly were created for the
public good by popular national heroes to blunt the past
power of the malefactors of great wealth. Crucial is to create
the impression that, although the people have been exploited
in the past, today the wealthy are at the mercy of an all-
powerful government which is firmly in the hands of the
people or do-gooding liberals.

   For those of more sophistication who reject this Pollyanna
view of reality, we promote the "liberal reformer mentality"
which holds that a new era of reform is on the verge of
crushing forever the last vestiges of money lordism. Of
course, the reforms, after taking shape as a bewildering
myriad of regulatory agencies and taxes, are found to be
ineffective in subordinating our power to the popular will,
whereupon we stir up another era of progressive reform.

   Our contrived Left-Right spectrum which our compulsory
education helps to make universal is valuable in assuring that
this charade does not get out of hand. The Pollyannas in the
middle are neither dangerous nor useful in this endeavor.
What is needed is a feeble, but persistent right-conservatism
to moderate and emasculate the liberal reforms. Conserva-
tives tend to resist all the advances in centralized, govern-
ment power that we lead the liberals to see as necessary in
order to totally end the "undemocratic" power of money in
society. Conservatism would rather promote a "pluralism" of
competing interests in which money is the medium of compe-
tition than risk the excesses of "big government," When
"liberal" reforms show signs of exceeding our intentions and
actually threaten to place our key institutions in the hands of
the people, we can always count on the conservatives to
defend our power under the illusion that they are defending
the legitimate rights of "free-enterprise capitalists." On the
rare occasions when conservatives call for subjecting our
enterprises to laissez-faire competition, we can count on the
dominant liberal reformers to insist on more government
interference, unaware of our desire for such, in effect, self-
administered regulation.

   The Right has such a fear of the Left's dream of democra-
tic collectivism and the Left such a hatred for what it sees as
the Right's elitist, rugged individualism that there is little
danger that they will ever join forces to overturn our govern-
ment-backed monopolies even though we violate the ideals of
both left and right.

    Centralization of control at the state, or preferably
national level, assists in building the climate of opinion we
require in public education. Failing to obliterate local control,
other methods nearly as effective are available. Our over-
whelming financial clout in the publishing industry can induce
relatively uniform textbook selection. Further leverage can
be created by promoting teacher colleges and teaching
machines. National teacher's associations and unions are also
an excellent power base from which to foster our programs
of indoctrination.

    With our great influence in publishing and publicity we
are able to, selectively popularize educational theorists whose
views are incidentally beneficial, compatible, or at least not
in conflict with our own goals. This way we obtain sincere,
energetic activists to propagate our desires without having to
reveal our motives or even existence. We do not want an
educational system that produces hard-driving individuals
bent on amassing great wealth and power. Therefore, we
discourage education that would develop the potential powers
of students to their fullest.  "Liberal" education that stresses
knowledge for its own sake or even sophistry and sterile
mental gymnastics is of no danger to us. "Relevant,"
vocational, or career oriented education also poses no danger
to our power. Education that prepares students to accept a
cog-like existence in our military-industrial-social-welfare-
regulation complex is ideal. Progressive education with its
stress on "social adjustment" also produces the conformity
we require of our subjects. Emphasis on competitive sports
may produce a certain amount of disruptive competitiveness
among the participants, but primarily has the effect of
creating life-long voyeuristic spectators who will enthusias-
tically sublimate their competitiveness into endless hours of
following college and professional sports on the boob tube.
Space spectaculars and dramatic political infighting are also
marvelous diversions with which to occupy the masses.

   Anyone seeking social change will gravitate to the field of
education. Our strategy is simple: Let only those succeed
whose influence would be compatible with our power. En-
courage all who would develop the passive or receptive mode
of existence. Discourage all who promote the aggressive or
active capacities. Build a great cult of salvation through end-
less education, touting it as the "democratic" path to success
Deride the frontal approach to success of the "outmoded';
rugged individualist.

   Before yielding the floor to Professor X., who will discuss
the role of secret societies and prestigious clubs, I would like
to comment on the demise of religious education as a vehicle
for social control. Religion, in its time, was a remarkable
weapon for inculcating subservience, altruism, and self-abne-
gation among our subjects. We did not give up this weapon
voluntarily. Your grandfather, for one, supported the Baptist
faith well after most finance capitalists had turned wholly to
secular ideologies. However, a trend toward rationality in
human affairs plods along inexorably quite outside the reach
of our power. Only in our totalitarian dictatorships can this
trend be quashed entirely. In the semi-open societies in
which our money power is based, the forces of reason can
only be impeded and diverted. Some have theorized that,
eventually, widespread rational egoism will overturn our
order. I am confident that secular faiths and just plain confu-
sion will suffice to sustain our power for many centuries to
come.

                              **7**
                         PROFESSOR X. ON
                           PRESTIGIOUS
                         ASSOCIATIONS AND
                         SECRET SOCIETIES


"Every compulsion is put upon writers to become
safe, polite, obedient, and sterile. In protest, I de-
clined election to the National Institute of Arts and
Letters some years ago, and now I must decline the
Pulitzer Prize. "
            -Upton Sinclair


"It is useless to deny, because it is impossible to
conceal, that a great part of Europe--the whole of
Italy and France and a great portion of Germany, to
say nothing of other countries--is covered with a
network of these secret societies, just as the super-
ficies of the earth is now being covered with rail-
roads."
            -Benjamin Disraeli
             (Earl of Beaconsfield)
             July 14, 1856

   In preserving and protecting our grasp on nations we
must exert veiled control of all major opinion molding
associations and especially prestigious clubs which attract the
leaders in various fields and do so much to influence the dis-
pensing of commanding positions in government and
business. Associations of the leading scholars, businessmen,
writers, religionists, artists, bureaucrats, newsmen, ideolo-
gists, publishers, broadcasters, and professional men as well
as special interest groups representing laborers, farmers,
consumers, racial minorities, and so on must be subtly kept
under the broad limits of our sway. Since membership dues
and fees are never sufficient to support their ambitious ac-
tivities, voluntary, non-profit organizations are easy prey for
the nearly unlimited financial resources of our entourage.
However, our real motive, to further our political and econo-
mic power, must not be revealed in the process. Our policies
must be laboriously rationalized in terms compatible with
prevalent ideologies and moralities or the material advantage
of the groups involved. Leaders of such groups are remark-
ably quick to accept our rationalizations when financial
support is extended. We engage in outright bribery only as a
last resort, and then, only in extreme cases. Our long-range
interests are better served by temporarily postponing a
policy victory than by risking exposure of our power by at-
tempting outright bribery. In fact, clumsy bribery and intim-
idation attempts are characteristic of our foolish nouveau
riche opponents.

   As an example, if we decide that federal rather than state
chartering or licensing of corporations would further our
control over the economy, we would not simply order
politicians and opinion leaders to support our desires. Cor-
porations not relishing central control would be suspicious
that something was afoot and might expose our plot. Our
strategy would be as follows: 1. Sacrifice one of our less
competent management teams in a well-publicized corporate
scandal in order to focus attention on the "widespread
problem of corporate corruption under current, lax regula-
tions." 2. Through well-funded agents, thrust into the public-
ity spotlight intellectuals or groups who already support
federal licensing as a piecemeal step toward socialism. (One
can find pre-existing supporters for nearly any measure with
sufficient effort.) 3. After the issue is before the public, offer
to support through foundations the "objective" study of the
federal licensing proposals being discussed with an eye
toward proposing legislation. Often, simultaneous support for
studies by disreputable, irrational groups who will oppose the
proposal is useful as well. Provide no platform for
well-reasoned opposition. 4. When a ground swell of support
appears to be building provide the interested lobbying organ-
izations with plenty of funds to grease the palms of politi-
cians. The enactment of the federal licensing law thus
appears as the will of society. Last ditch opposition automa-
tically appears mean spirited, obstructionist, reactionary, and
paranoid, serving only to discredit our opposition.

   In our fully developed system of finance capitalist thought
control and promotion control, our hierarchy of prestigious
associations is capped by a single prestige society: The
Council of World Affairs. This organization is a front for the
secret society of which your father is head. This secret
society is made up of the people who have spoken, plus six
others not present. You are replacing Professor Q. who is to
retire shortly. Eventually you will replace your father. We
thirteen are your father's advisors and only confidants. All
other agents are misled as to the bulk of our objectives and
motives. Their knowledge is restricted to the details required
by their assignments. The penalty for disloyalty is death.

   The Council is invaluable for propagating our policy deci-
sions to our entourage without revealing our motives and
strategy. In many instances, policy can he successfully sold
to our entourage and thus transmitted to the multitudes by
merely airing it along with appropriate rationalizations in a
single awe-inspiring session of the Council. The informal
power of the Council is such that our policy manipulations are
usually attainable without the clumsy exercises in brute
power that invariably snag the independent power seekers.
The Council is at the heart of what is called the Establish-
ment and we are at the heart of the Council.

   At the Council's inception, we worked hard to attract the
successful of all fields with all the prestige that our money
power could buy. We had to work hard convincing the
independent, self-made Council members to move in harmony
with our policy objectives. We had many failures. Now
everything is changed. Membership is no longer a reward for
success as much as it is a prerequisite for major success.
Without Council membership only the most outstanding can
achieve national prominence. With membership, glaring
mediocrities, with the "right" attitudes, achieve prominence.
In fact. mediocrities are much more adapted to propagating
our policy rationalizations and less likely to detect and oppose
our ulterior motives. A power lusting mediocrity is not likely
to judge his benefactors too harshly or inquire diligently into
the nature of the power structure that brought him what he
fears was undeserved success. The vanity of even idealistic,
committed humanitarians militates against such a course.

   The Council is now a giant employment agency of loyal-
ists ready to parrot our public line from the commanding
posts of government, foundations, broadcasting, industry,
banking, and publishing. Although Council members are en-
couraged to take sides and bicker over the diversionary
issues we create to entertain and enfeeble the populace, their
solidarity in defending our power structure, root and branch,
when pressed is a sight to behold! And to think that most see
themselves as righteous defenders of the public good while
they dismiss whispered rumors of our power structure as
"kooky paranoia."

   Classical secret societies with elaborate circles within
circles no longer play a major role in finance capitalist power
structures. Most wide membership secret societies have
degenerated into middle class excuses for escaping the wife
and kids once a month for the company of men. But secret
societies were a major weapon of our bourgeoisie forebearers
in their struggle with the old feudal order of kings and
princes. Under authoritarian despotism of the old style, the
secret society was the only place a free thinking man could
express himself. Through threats of exposure, loyalty oaths,
patronage, deception, and rewards we bound such malcon-
tents into a fierce force for our revolution. The multitude of
degrees, occult mumbo-jumbo, and vague humanitarianism
concealed the real goals of our secret societies from the bulk
of the membership. The roles of the "Illuminated" Masonic
Lodges in European revolutions were decisive in our final
victory over the old order.

   I now yield the floor to Professor Y. who will discourse
on the real "secret societies" the Modern Finance Capitalist
State:  the National Security Institutions and Intelligence
Agencies.



                             **8**
                     PROFESSOR Y. ON COVERT
                   OPERATIONS AND INTELLIGENCE


   In our fully developed state-capitalist systems we have found absolute
control of governmental intelligence gathering and covert operations to be
vital.

   Besides providing a valuable tool in our struggle with rival dynasties,
such control is now an integral and necessary part of our day to day
operations. Large intelligence communities are inevitable, given the
system of all encompassing governments which we have imposed upon the
world during our ascent to power. Our power would be short-lived indeed if
the pervasive influence and power of these iron-disciplined intelligence
agencies fell into the hands of mere politicians, especially those beyond
our control.

   We do not allow intelligence agencies to pursue the "national
interest," the way the public conceives "spies" to operate. Politicians
cannot be permitted to divert the power and influence of our intelligence
community from the esoteric requirements of our Money Power to petty
political struggles.

   Neither nationalistic aspirations of races and peoples nor ideological
visions of intellectuals for humanity can be allowed to pervert
intelligence and covert operations. Our rationalizations, both within the
intelligence community and to the public at large, must be diverse and
flexible, but the intelligence community must further without exception
the inexorable goals we have set for humanity.

   No crisis is more serious for our Money Power than an attempt by a head
of government to assume personal control of intelligence and operations or
to by-pass existing agencies by setting up parallel ones. Such intrusions
must be met decisively. Although a contrived scandal to remove the
offending politician from office is the first line of defense, we dare not
shrink from assassination when necessary.

   Perhaps the most accurate overview of our intelligence community can be
achieved by visualizing it as a "nationalized secret society." Our
predecessors, in their struggle against the old order of kings and
princes, had to finance secret societies such as the Illuminati, Masons,
German Union, etc. out of their own pockets.

   At great expense and risk such secret societies were able to infiltrate
the major governmental and private institutions of the nations that our
noble predecessors targeted for take over by the Money Power. Such
bureaucratic take-overs are expensive and time consuming. They can be
considered complete only when promotions, raises, and advancements are no
longer based on objective service to the stated organizational objectives,
but are in the hands of the infiltrating group and its secret goals.

   How much easier it is for us, the inheritors of a fully developed
state- capitalist system! By appealing to "national security" we are able
to finance and erect secret societies of a colossal scope, far beyond the
wildest dreams of our path breaking predecessors. Besides the benefits of
public financing reaped by these "nationalized secret societies," we
obtain a decisive advantage from the fact that these our "spook"
operations are sanctioned by law!

   Maintaining discipline, loyalty, and secrecy is no longer solely a
matter of propaganda, blackmail, patronage, and intimidation. Although
these remain important tools, especially in emergency cases, ordinary
discipline among initiates (now called agents) can be encouraged by
appealing to patriotism and can be enforced in courts of law by
prosecuting "national security violations."

   As massive as our intelligence community has become in itself, we still
operate strictly on the finance capitalist principle of leverage. Just as
a rational finance capitalist never owns more stock in a corporation than
the bare minimum required for control, intelligence operatives are placed
only in as many key positions as are required to control the target
organizations. Our goal, after all, is agent control of all significant
organizations, not intelligence community member ship for the entire
population.

   The organizational pattern of baffling "circles within circles,"
characteristic of classical secret societies, is retained and refined by
our intelligence community. That "one hand not know what the other is
doing" is essential to the success of our operations. In most cases, we do
not allow the operatives themselves to know the ultimate, and when
possible, even the short-range objectives of their assignments.

   They operate under "covers" that disguise our goals not only from the
public and target groups, but from the agents themselves. For instance,
many agents operating under "left cover" are led to believe that the
agency, or at least their department, is secretly, but sincerely motivated
by socialistic ideology. Thus, they assume that the intelligence agency's
ultimate goal is to guide left-wing groups in "productive" directions,
even though they cannot always see how their own assignment fits into
those assumed goals.

   Other "left-cover" agents, those with right-wing predilections, are
encouraged to believe the agency is simply "monitoring" violence prone,
subversive groups in order to protect the public. When such agents are
asked to participate in or even lead radical activity they assume that the
ultimate objective is to fully infiltrate and destroy the organization for
the good of the country. This is very seldom the case. We waste little or
no money protecting the "public" or defending the "nation."

   Agents operating under "right-cover" are handled in symmetrical
fashion. Agents with right-wing prejudices are encouraged to believe the
agency is right-wing. Left-prejudiced agents are asked to operate under
"right- cover" in order to "monitor" dangerous rightist organizations.
Most intelligence agents remain blithely ignorant of the big picture which
is so clear to us from our spectacular vantage point. Very few have enough
information or intelligence to reason out how their specific and sometimes
baffling assignments promote the legislative, judicial, operational and
propaganda needs of our Money Power. Most would never try. They are paid
too much to think about such things.

   Agents with a "gangster-cover" are of two types. First, there is the
sincere gangster that draws his salary from an intelligence agency. He b
led to believe that the gangland "Godfathers" control the government
agency for their own purposes. Actually, the situation is the opposite.
The agency controls the gangster for other purposes. Second, is the
sincere crime fighter who is led to believe that the agency is at tempting
to infiltrate and monitor the gangsters as a preliminary step to
destroying organized crime. Such "upstanding" agents commit many crimes in
their zeal to rid the country of organized crime!

   To envision how we operate in this lucrative field, let's briefly look
at the mechanics of dope smuggling. Police and customs officials are told
to leave certain gangsters alone, even when transporting suspicious
cargoes. This is made to seem perfectly proper since it is well known that
secret police infiltrators of organized crime must participate in crimes
in order to gain the confidence of gangsters.

   What customs agent would want to upset a carefully laid plan to
"set-up" the underworld kingpins of dope pushing! But the agent, as well
as the police who cooperate, are mistaken in believing that the purpose of
the assignment to help smuggle dope is ultimately to smash organized
crime. If he could see the big picture, as we can, the agent would see
that practically all our dope is smuggled by federal intelligence agents
and secret police! How ever could such a volume be transported safely?
Real harassment and prosecution is reserved for those who enter the field
without our approval.

   Here is our organized crime strategy: On the one hand we pass laws to
ensure that mankind's favorite pastimes (vices) are illegal. On the other
hand, we cater to these "vices" at a huge monopoly profit with complete
immunity from prosecution.

   A new and growing methodology of our intelligence community is psycho
and drug-controlled agents. Properly, these are referred to as "behavior
modified" agents, or, in the vernacular, "zombies." With the use of
hypnotic drugs, brain washing, sensory deprivation, small group
"sensitivity" training, and other behavior modification techniques, the
scope of which was hinted in the movie "Clockwork Orange," complete
personalities can be manufactured from scratch, to the specifications of
value structure profiles we design by computer to suit our purposes. Such
personalities are quite neurotic and unstable due to defects in our still
developing technology, but still useful for many purposes.

   The primary virtue of "zombies," of course, is loyalty. Agents that are
subconsciously programmed for the assignment at hand cannot be conscious
traitors. All a "zombie" can do is reveal how compulsive and psychotic he
is with regard to his "cause." Even to trained psychologists he simply
appears to be the proverbial "lone nut." Although the "zombie" may have
memories of psychotherapy at a government agency when questioned under
hypnosis, this is unlikely to raise suspicion in the mind of
court-appointed psychologists. After all, "lone nuts" should be kept in
insane asylums and subjected to psychotherapy! At most, the government
hospital will be reprimanded for letting a loony loose before he was
cured.

   Until our techniques can be perfected the use of "zombies" must be
restricted to "national dramas" designed to justify the growing power of
our centralized governments over the lives of our people. Most suicidal
radicals and "crazies" who so mysteriously avoid arrest for years at a
time are "zombies" conditioned to terrorize the public in the name of some
irrational ideology. After repeated doses of such terror, the public is
conditioned to accept the necessity of our intrusive police- state with
very little objection.

   The way is clear for an accelerated program of behavior modification
research to be conducted mostly at public expense in the name of mental
health and rehabilitation. Such research can be conducted with little
complaint in prisons, refugee camps, drug rehabilitation centers,
government hospitals, veterans hospitals, and even public schools and day
care centers. Mental institutions, methadone maintenance centers, and
prisons are fertile fields for recruiting the deranged or drug addicted
persons most suitable for "zombie" conversions. Of course, only a few of
our most trusted agents actually participate in the creation of "zombies."
The brilliant researchers and experimenters who make most of the
break-throughs earnestly believe that their techniques are destined
strictly for the betterment of mankind.

   Inevitably, a fraction of the population objects to behavior
modification as an infringement of man's "sacred" free-will even if they
are convinced that our intentions are benign. We carefully leak a few
scandals to satisfy such persons that our experiments are being kept
within bounds and that excesses are being stopped. Our artificial scandals
exposing the "excesses" of coercive psychology are carefully designed to
make the researchers seem incompetent and clumsy to the point of maiming
and killing their "patients." This effectively conceals the fantastic
strides we have made toward total behavioral control. Great things are
going to be possible in the future.

   I now return the floor to your father for his concluding remarks.


                      MY CLOSING REMARKS


   My son, you surely have many questions about my strategy in the
seemingly momentous economic and political crises that are shaking
national and international affairs. You and I will begin handling them in
detail shortly. For tonight, let me be brief. Most of the current national
upheavals are stage-managed to consolidate our monopoly position in
government and business against the continual nuisance of economically
competent, but politically naive competitors. Likewise, most international
crises are managed to exert pressure on our obstreperous, reluctant puppet
dictators in underdeveloped areas. These events are fairly easy to manage.
I expect to place such management in your hands as soon as possible.

   The real challenge lies in dealing with my international peers. These
are the real crises since they are crises of my power structure, not just
of my subject populations and puppets. In the vast chess game with my
peers there are no rules and no proven tactics. Mutual vulnerability,
alone, limits the conflict. My peers and I have labored for decades to
erect a world government and banking system under which we could all share
finance capitalism's millennium without the nightmare of internecine
warfare. With the advent of nuclear war a new world order seemed
particularly desirable. I say ostensibly we have labored for world
government because none of us are sure the others will ever voluntarily
surrender sovereignty to the group. The schedule set after the last World
War has not been met. So far, the world government idea has served mainly
to enthuse collectivist intellectuals, and secondarily to veil each
finance capitalist's maneuvers for supremacy from the rest.

   The future course of finance capitalism is difficult to predict. Our
empires are too fragile to risk all-out battles for supremacy among
ourselves. Our power would dissipate to second echelon wealthy during the
struggle. Yet we continue to chip away at rival empires on the premise
that offense is the best defense. On the other hand, purely political
leaders are helpless before our money power. When Caesars arise, they are
of our making.

   Perhaps our system will simply remain much as it is, secure on the
national level and disturbingly pluralistic at the international level,
until reason and egoism have developed among our populations to such an
extent that our occult technology of money power becomes obvious to all
who think and must yield to either anarchy or a more advanced form of
deception


                          AFTERWORD
                      BY THE TRANSCRIBER

         "The names of some of these banking families are
          familiar to all of us and should be more so. They in-
          clude Baring, Lazard, Erlanger, Warburg, Schroder,
          Seligman, the Speyers, Mirabaud, Mallet, Fould,
          and above all Rothschild and Morgan."
          --Dr. Carroll Quigley
            Tragedy and Hope


   Any resemblance of these characters to persons living or
dead is purely coincidental. Any resemblance of their meth-
odology to that of real ruling elites is purely intentional. The
extent to which I represent or exaggerate the self-conscious,
intentional power technology of real politico-economic rulers
and their unity is for the reader to decide after studying
available empirical evidence.

   I am providing a bibliography of relevant historical works
to aid the curious reader. I have included no works written
from spurious pluralistic suppositions no one seems to
consider pluralism as a proposition requiring evidence since
they are flooding the market. Unfortunately, many works
listed affirm that ideas rather than individual struggles for
wealth and power propel history; that is, they view the elites
they observe ruling the world as ideologically motivated.
Thus we have the spectacle of the Right claiming that major
finance capitalists such as the Rockefellers or Rothschilds are
"communist" conspirators or "socialists." On the other hand,
we see the I,Left claiming that the same people are bent on
imposing laissez -faire capitalism, or in a slightly more
realistic vein, are fanatical proponents of fascism. Virulent
white racism is another ideology foolishly ascribed to the
ruling class by the Left. This opinion is nicely balanced by
the charge from the Right that the elite wants to "mongrel-
ize" and thus submerge the white race. As usual the elite,
completely free of prejudice, supports both sides of this
battle for its own ends.

   As should be clear by now, I believe that finance capital-
ists (Ferdinand Lundberg has dubbed them finpols, or
financial politicians) are understandably attempting to make
their power as extensive as possible without incurring the
severe risks which plague pubpols (public politicians).
(It seems that only the most daring finpols are willing to take
on the additional risks of pubpoldom, perhaps only because
they are denied the reins to the family's fortune by more
privileged relatives.) Pubpols lose their privacy and thus
their right to sexual impropriety in addition to incurring vul-
nerability to electioneering and worse in "democratic" coun-
tries. In most areas of the world the lot of the pubpols is
even worse. Purge, assassination, and armed coup are regu-
lar events. While totalitarianism of Right or Left at home
eliminates the shield of secure private property desired by
finpols, laissez--faire is likewise rejected out-of-hand as hell-
on-earth by enlightened power-seekers.

   Egoism, mitigated only by the reality of circumstance, is
the motive to realistically attribute to healthy elites. An elite
under the spell of mental spooks could not hold sway for
long. Although finpol statism is increasingly a crisis for its
victims, there is as yet no evidence that the elite itself is in
serious crisis. Even inflation, the current crisis for the
powerless, is simply another crisis to be managed toward the
end of consolidating, extending, and refreshing elite power.
No doubt the depression which must inevitably follow will be
managed to even better effect at the expense of the masses.

   I have classified the bibliography into the categories Right
and Left. In each list I begin with the most objective works
and proceed to the works most infected with mental spooks
and emotional hysteria. These books should be read for
empirical data, not theoretical insight. A list of less ideologi-
cally biased works is provided as well. I quote and recom-
mend authors, not to imply support for my scenario where
there is none, but to credit a few of those who have provided
grist for my thoughts.



                     BIBLIOGRAPHY


     "We are much beholden to Machiavelli and others,
     that write what men do, and not what they ought to do.

                 -Francis Bacon



    Indispensable Thoughts on History, Economics, Politics,
                  Philosophy, and Human Nature.

Murray N. Rothbard, Economic Determinism and the Con-
   spiracy Theory of History Revisited, Audio-Forum.
   America's Great Depression, Nash, 1972.

Carroll Quigley, Tragedy and Hope Macmillan, 1966

Gabriel Kolko, The Triumph of Conservatism, Quadrangle

Carroll Quigley, The Evolution of Civilizations.

Anton Szandor LaVey, The Satanic Bible, Avon Books, 1969.

Arkon Daraul, Secret Societies, Citadel Press, 1962.

Count Egon Caesar Corti, The Rise of the House of Roths-
   child, The Reign of the House of Rothschild, Cosmopolitan
   Book Corp., 1928.

Max Stirner, The Ego and His Own, Libertarian Book Club,
   1963.

Robert Ardrey, The Social Contract, Dell Publishing, 1970.

Friedrich Nietzsche, Beyond Good and Evil: Prelude to a
   Philosophy of the Future, Random House, 1966.

George Orwell, Animal Farm, New American Library

Niccolo Machiavelli, The Prince, Encyclopedia Britannica,
   1955.

Ludwig von Mises, Theory and History, Arlington House,
   1969. Human Action, Henry Regnery, 1966.

James J. Martin, Revisionist Viewpoints, Ralph Myles Pub-
   lisher, 1971.

Committee on Government Operations-U.S. Senate, Dis-
   closure of Corporate Ownership, U.S. Government Print-
   ing Office, 1974.

Antony C. Sutton, Wall Street and the Bolshevik Revolution,
   Wall Street and FDR, Arlington House, 1975.



                 The Left on the Ruling Class

Gabriel Kolko, The Triumph of Conservatism, Quadrangle
   Books, 1967.

Richard Ney, The Will Street Gang, Praeger Publishers,
   1974.

Ferdinand Lundberg, The Rich and the Super-Rich, Lyle
   Stuart, 1968. America's 60 Families, Vanguard, 1938.

William G. Domhoff, Who Rules America? Prentice Hall,
   1967. The Higher Circles. Random House, 1970.

Matthew Josephson, Money Lords, New American Library,
   1973. The Robber Barons. Harcourt Brace & Co., 1934.

George H. Shibley, The Money Question, Stable Money Pub-
   lishing Co., 1896.

Jules Archer, The Plot to Seize the White House, Hawthorn
   Books, 1973.

William Hoffman. David: Report on a Rockefeller, Dell Pub-
   lishing, 1972.

Joel Andreas, The Incredible Rocky, North American Con-
   gress on Latin America, 1973.

Gustavus Myers,  The History of the Great American Fortunes
   1907



         The Right on the Conspiracy Theory of History

Antony C. Sutton, National Suicide, Arlington House, 1973.

Charles A. Lindbergh, Sr., The Economic Pinch, Dorrance &
   Company, Inc., 1923, Reprinted by Omni Publications.

Louis T. McFadden, Collective Speeches of Congressman
   McFadden, Omni Publications, 1970.

H.S. Kenan, The Federal Reserve Bank, The Noontide Press,
   1968.

Gary Allen, None Dare Call It Conspiracy , Concord Press,
   1973. Richard Nixon - The Man Behind the Mask,
   Western Islands, 1971. The Rockefeller File, '76 Press,
   1976.

Dan Smoot, The Invisible Government, The Dan Smoot Re-
   port, Inc., 1962.

W. Cleon Skousen, The Naked Capitalist, The Author, 1970.

Taylor Caldwell, Captains and Kings, Fawcett Publications,
   1973.

John Robison, Proofs of Conspiracy, 1798, Reprinted by
   Western Islands.

Nesta Webster, Secret Societies and Subversive Movements,
   Christian Book Club, 1967.

A. N. Field, The Truth About the Slump, 1931, Reprinted by
   Omni Publications, 1962.

William Robert Plumme, The Untold History, The Committee
   for the Restoration of the Republic, 1964.

June Grem, Karl Marx: Capitalist, Enterprise Publications,
   1972.

Emanuel Josephson, Rockefeller Internationalist: Man Who
   Misrules the World, Chedney Press, 1962.

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