CARTELS, FASCISM AND PEACE

...ye New Leader has keen one of the Arst publications m Aaeriea in exposing cartels...

...But the threat dis»s exist, and stupidity on the part of the United Nations can make it very real...

...Historically the cartels arose, ia all countries, whether the word be called tmet...

...L. M.O...

...But the Kilgore report talks of "utakiug it possible for private enterprise to function ia a free and competitive manner," In a world where all countries, especially those on the continent, are beading towards a statedirected system as the only means at steering through the economic whirlpools shesd, the Kilgore Committee cemea up with a dodo...

...A miner aspect is the nature sf this "international authority...

...In oae ether aspect the Kilgore report betrays what I would charitably call a certaia aairete...

...Kilgore wants to turn the clock back and start at scratch...

...You St not cure fascism by stripping a country it its industrial equipment, and allowing its people to stai ve...

...The ho|H-s of avoiding another world war lie no longer with Germany—for its future is aa a minor piece at the chess tournament played by the Big Three...

...A Hook by Kerala and Welsh of the Justice Department...

...They have supplemented that scheme with proposals l»y Prof...

...It is being set by a .victorious and Anaacielly-domtnant America in the food conferences, the oil agreements, the aviation parleys, the shipping talks, the rubber aad tin discusaions, the wheat, sugar, and coffee palavers anil other conclaves in which international trade agreements will be signed by governments...

...The fear that Nazis will go underground an I carry on "war without »ml" preparing for the next win Id wai- is a real one Their task will be ditlicult, for they will have less mass support than the antifascist underground has had, and no aid from outside...

...things will contribute to the strength of the Yulure Nazi underground...

...Their strength anil success will dtpcml on United Nations policy...

...Germany today is policed *J terror...

...In infill years, however, the cartel prebiem is often confused with the problem of tiertnany and with the problem of fascism...

...The Kilgore report, however, in its proposed solution far the cartel problem is only fronting for a political group which seeks to make the partition and absorption of Germany the springboard of a certain kind of |>ower politics...

...Srhuuize Kurp* threatens that the Nasi underground will revive the medieval Feme, secret terroristic organization responsible for 'lot political murders during the Weimar Republic "Any Get mini judge who pronounces a sentence (against a Naafi) dictated by the enemy will be hanged in the ni'^ht," the Nazi oijtau warns...

...The Feme combined features of the Mains, the Ku Klu* Klan, the GPU, and the Gestapo...

...To liquidate German industry however, as the Kilgore report proposes, is to create an economic vacuum in the heart of Europe which can only cause chaos...

...These men, thinking exclusively in national and of how to destroy German competition (cer•Wy aot that of making a socisl revolution) proposed ***¦ solution...

...Nor will there be opportunity ml conditions for rapid movement snd concealment in vaat spaces, in German forests snd mountain...

...Whether there are forces which can build a demoGermany remains to be seen...

...Important American industrialists ¦"tad the position, as did the Russians...

...ful Europe, can b.' created only by liberal, labor, and socialist forges irithin Germany, encouraged and supported by Britain and the United States and France...

...you only allow the fescists a theme of rei-uurhe and fan the flames of new hates...

...Guerilla warfare alao ia auxitiary to the regular front, coordinated with it...

...It is not the existence of German industry but of German industrialists m (,eisun fascists thst creates competition ami wai...

...Mass unemployment, the transfer of heavy industry to devastated count lies, long occupation of Germany by the United Nations, a military dictatorship, a vengeful peace, the biiiniliatii.il of /¦'/ German* without discrimination - ,llie...

...d *HJT what is the net effect of the Kilgore report...

...monopoly or cartel, out ef a desire of competing enterprises to stabilise and seek security by rigging tbs aaarket...

...Hence the .danger of protrscted Nazi guerilla warfare has b-n exaggerated...

...on whether Germany ia dismembered...

...The proposals received support from •jjrious places...

...Civilian warfare Is anathema to the Prussian military mentality and to Nazis...

...A large part of the recent agitation on cartels and the "hard pence" propaganda is directly'' traceable to pro-Russian sources To liquidat.- German industrialists and lascists is to help democratic forces in Germany to emerge...

...Cartels, ss we hsveknewataem, are devicia through which iaoaotfial arms reotrirt production ia order to keep price* high and reap exorbitant proata...

...on whether (1 riiiany stages an economic recovery under democratic auspices...

...CARTELS, FASCISM AND PEACE The Kilgore Report Adds to Confusion on What to Do With Postwar Germany By Daniel Bell r Jtlf Kikpee" Ceaunittee this weak issued « report | «a mternntieanl cartels, let ia art eel fact it JL aad little te say en the real problem...

...The idea is not new *aA Was advanced about two years ago by Dutch Am•swador Loudon and,Walter Lippmann in a series of (*Mins...

...This was (roe of the h'figlfiii too, altliough in icieiit months t li y hive tended to shift their | isition with the influential London Tunis and the prescient F. A. Voigt 61 Tiirnl ,rt h Centniy and .{Iter talking of Incorporating postwar Gei many into a bloc to lial:tnci- tile preponderant poAei of Russia on the conlineiil The ^Russians have tM'cn the most enthusiastic pro policies of the "destroy German industry" scheme, for th y stand to he the greatest gainers on the continent...

...So what is the act gain...

...They have gotten "know-how" on industrial processes...

...The economic pattern of the peace ia being set now...

...It masks the political-aims of certain groupa...

...The most prophetic remarks after the last war wore made by John Maynard Keynes in his Economic Ceneeeueneei of the Peace...

...The question it what you are going to do about it Here the Kilgore report develops political myopia sad forgets the word fascism...

...Thia ii the ateei framework of the peace...

...that cartels ¦ad restrictions on productive capacity will be ended •sly when the profit system goes...

...A progressive Germany, requisite to a peac...

...The Nazis also threaten to send prominent prisoners, such as King Leopold and Stalin's son Jacob, to Japan by aubmarine, to be held aa hostages in case the United Nations carry out the pledge to punish war criminals who fail to cscspe when the debacle comes...

...Who is te constitute this "international suhority...

...For what it says is that SI loss aa (jet-man tndnttry extttn there will be Gelatin imperialism, that we tthould not be misled into believing thai "German aggression is the preoccupation solely of political fanatics...

...The German armed forces m vsr had these qualities or traditions...

...written a year and a hall ago, actually made cartels a German invention, and the latent in s series of pan-German schemes dating back almost to the lime of Tacitus...

...But the) have considerable support among the decl.vs.ied elements, particularly the proletariunizrd middle class, and some w'orker following, as will aa support by the Junkers...

...A German revoluwas possible at the end of the last wsr becsuse ••petition parties were legal and a majority of the ¦Wtal Democratic Party had swung over, st Kautsky •h to an anti-war position...

...Added to this confusion of late have been Russia'* political schemes for the utilization of German industry So, the entire I omnium.I propaganda has adopted a "Vansitlartisl" line and poses a false inane of a "hard or soft peace " This liberal <onfusion on the imic hand, and the cloud of pio Russian propaganda on the other, now seems to have merged into the Senatorial Kilgore Committee report on (artels Daniel Kell...

...To delist it we need the aid of anti-Nazi forces within Germany...

...any Is be stripped of its industries and placed an international authority...

...In Germany after driest nfany if not most civilians will be sick snd disgusted with the Nszis...

...The ward cartels has cease rata the Asaerieaa Jargon through the energetic activity of the Iteosrtaaeat of Justice, first aader Thartaaa Arnold and now aader Wendell Berge...

...It is to confuse the problem of fascism with the problem of Germany...

...we still do not know what lies behind the G*s*ea wall...

...All such thrests sre partly blnlf...

...Varga for German labor to work ten years in Russia (although German Generals and Counts ami exNazi* are given privileged positions in the Free Germany Committeel...

...But Clemenceau •stktd far revenge and the hopes for a United Ststes sf Europe went up in the smoke of French nstional T—aim...

...They have indoctrinated the tierman youth...

...In thia aenae, the ftght against rsrtels i« part of any progressive movement...

...It is merely a pawn in the moves...

...The fact that German industrialists supported Hitler ss4 key German induatrial rings like the Kink anil Maaaesmann trusts waxed rich under fascism is an old titry...

...The through-going purge of Nazis and Junkers and othtr reactionaries and the physical and moral disarmament of their followers csnnot be efficiently accomplished by United Nations armed forces without the cooperation of democratic internal forces...

...American •rttlisU backed the idea...

...why not destroy Gentian competition...

...why should .they now .share *•» profits with German cartels...

...Keynes warned then that tat balkmnizatfon of Europe could only lead to new nationalist trade struggles, that the only solution was • Mahneatof economy in which Europe would be treated •> a producing and consuming unit...

...Whst I fiend ia my investigations, and what I hold to be a basic fact, is that cartel deals are an int grai part <*f tm industrial system under which we live...

...The word, ^ p^aogsndistically caricatured ia the public's mind, „ her* used aa a Wind far what it actually a pelitiont __,|,-fr of Ike-German problem...

...Preponderant economic pswer in this American don.i nated world is hold by industrial groups that weald gaia by the destruction of German industry...

...The only solution tor the "German problem'1 is peaceful democratic social revolution which will use industry to raise the standard of living rather than prepare fcr war...

...Will fhe Notii Go Underground...

...The nub of the Kilgore report is an analysis of the intimate connections between the German cartels and the Nasi Stste and a recommendation that an hnternaiional authority should take over economic controls Held by Nazi cartelists, destroy the < ai tel system in Germany "snd mske it possible for private enterpiise U function in a free and competitive manntr...

...The Kilgore report ia a feint serosa the hoard...

...In France, Kuasia, Italy, China, Yugoslavia, nearly'every peassnt ur city worker wss resdy to risk his life to aid the gueril'as, U» hide them, to feed them...

...Effective guerilla warfare depends on popular aupport, initiative, sp...

...In another aspect, its preoccupation with Ceiauo cartels principally blinds it to the new kind of eewTSBWSt cartelization which is emerging all over the world...

...everything must be centralized, regimemed, orderly...

...ntaneity and elasticity...

...Cermnny't Matter Han...

...To put the example in psychological terms, as the Vansittarlisls arc so prjne ta do, you cannot cure a psychopath by bulling him in a aetraitjacket...

...New Leader associate editor, analyzes the consequences of the hiltore report in tke accompanying article...

...In early 1942 this writer jHntirl a aeries of articles on the tie-ups between s*taderd Oil snd I. G. Parben months before the Trubmb sal lat* r the Bone Committees brought them to tat country's attention Another series explored the asrosTt and Reingten deals, while in 1940 in Common •esse this writer was the Arst to expose the KruppQeBersJ Electric tie-up on tungsten csrbide...