Part 7 – Blood-Money.
Ok so far so good.
Now that you know a little about the Banks and how they started
( the principles of modern Banking , the history of banks can be traced longer back
in time than the Roman Empire )
Remember this from Chapter 6 :
1: A real currency depreciation caused by the enormous expenditure on arms and war,
( Isn’t it what we do right now in a little smaller scale )
Togeather with a constantly growing in public debt.
Ok have this in your head when we turn our time to the First World War :
The First World War started with the murder in Sarajevo 28. jun 1914
Jugoslavia and Hungary, long bitter enemies, were almost at each other’s throats.
Italy was ready to jump in. But France was waiting. So was Czechoslovakia.
All of them are looking ahead to war.
But who does relly start wars ?
We all know the story from the school-books but do you know this story ?
Well listen now carefully :
In the First World War a handful of people garnered the big profits of the conflict.
At least 21,000 new millionaires and billionaires were made in the United States during the World War.
That many admitted their huge blood gains in their income tax returns.
How was that possible ? Well who makes the profits ?
The World War, has cost the United States some 52,000,000,000 $ .
The normal profits of a business concern in the United States are 6, to 12 percent.
But war-time profits – That is another matter – 60 , 120 , 200 and even 900 per cent clear income
to their own pockets.
But who was those people ? Industrial owners , yes the rich capitalists bourgeoisie , those private
people own all the materials and rescources used in the war ( It’s the same in Europe )
The du Ponts (weapon company),
Before the War period – 1910 to 1914 were $6,000,000 a year.
Within the War period – 1914 to 1918. 58.000.000 $ a year profit.
An increase in profits of more than 950 per cent.
Bethlehem (Steel company),
Well, their 1910-1914 yearly earnings averaged $8,000,000.
Then came the war. And, like loyal citizens, they turned to War Machine making.
Well, their 1914-1918 average was 49.000.000 $ a year!
United States Steel.
The normal earnings during the five-year period prior to the war were
105.000.000 $ a year. Then came the war and up went the profits.
The average yearly profit for the period 1914-1918 was 240.000.000 $ .
Anaconda, ( Copper Company ).
Average yearly earnings during the pre-war years 1910-1914 of 10.000.000 $ .
During the war years 1914-1918 profits went up to 34.000.000 $ per year.
Utah Copper. ( Copper Company )
Average of 5.000.000 $ per year ( 1910-1914 ).
Jumped to an average of 21.000.000 $ yearly profits for the war period.
Let’s group these five companies ,with three smaller
The total yearly average profits of the pre-war period (1910-1914) were 137.480.000 $ .
Then came the war. The average yearly profits for this group grow to 408.300.000 $ .
Central Leather Company were 3.500.000 $ .
That was approximately 1.167.000 $ a year.
Well, in 1916 Central Leather returned a profit of 15.000.000 $ .
Just a small increase of 1,100 per cent. That’s all.
The General Chemical Company averaged a profit for the three years before the war of a
little over 800.000 $ a year. Then came the war, and the profits jumped to
12.000.000 $ . Oh only an increase in about 1,400 per cent.
International Nickel Company.
from a average of 4.000.000 $ a year to 73.000.000 $ yearly.
Not bad ? An increase of more than 1,700 per cent.
American Sugar Refining Company
2.000.000 $ a year for the three years before the war.
In 1916 a profit of only 6.000.000 $ was recorded.
It has been estimated by statisticians and economists and researchers that the war
cost United States 52.000.000.000 $ . Of this sum, 36.000.000.000 $ was expended
in the actual war itself. This expenditure yielded 16.000.000.000 $ in profits
This 16.000.000.000 $ profits It is quite a tidy sum. And it went to a very few.
Ok every time the countries go to war some very rich people gain a lot of value ,
The capitalists bourgeoisie own all the worlds rescources and they have so much value
that they even control the worlds Government’s.
In the next chapter we will have a close look at how they do this.