Friday, July 1, 2016

Brexit: Bait and Switch Unplugged - by Gary North

The defeat of the "remains" on June 23 was one of the great days in my life. Yet I am an American. Why should I care?

Answer: because I have been opposed to the New World Order for over half a century. I have watched these clever people pull off the final phase of the most self-conscious bait-and-switch operation of the twentieth century. It has now begun to disintegrate. Brexit was the first stage of this disintegration.

The first phase began in England in the decade after the Boer War and before World War I. The central institution, literally and figuratively, was the Round Table Group. Begun in 1909, it was run by Lord Milner, who was funded by Cecil Rhodes. Its commitment was to the British Empire. It sought greater integration of the Commonwealth countries, plus the breakaway colony: the United States of America. This goal goes back to Rhodes, in whose honor the Rhodes Scholarships are named.
Phase two began shortly after World War I. John D. Rockefeller, Jr. was the main source of the funding in the United States. His agent ("bag man") was Raymond Fosdick, the brother of liberal Protestantism's pied piper, Harry Emerson Fosdick.


What was the bait and switch? This. Lure intellectuals and then politicians into a lobster trap of one-world government by means of the promise of greater wealth through free trade. Create free trade alliances that are in fact not free trade but rather trade managed by international bureaucrats. This is a combination of low tariffs and detailed regulations of production and distribution. Economic regulation favors large multinational firms that can afford lots of expensive lawyers. This regulatory system creates economic barriers against newer, more innovative, but under-capitalized competitors. In short, use the bait of greater national wealth to persuade national leaders into agreeing to a treaty-based international government that requires member nations to surrender much of national sovereignty. The final stage is the creation on centralized regional governments that absorb national governments into an immense international bureaucratic system that regulates most areas of life.

The arguments favoring free trade go back to David Hume in 1752, and later to his friend Adam Smith, whoseWealth of Nations (1776) presented a comprehensive case. Liberty is more productive than statist bureaucracy.
Free trade simply means that two people can legally agree to an exchange if they choose to. Simple. The idea of voluntary exchange is hated by those producers who cannot compete effectively, but the case is both logical and moral.

The reason why the Rockefeller Foundation paid F. A. Hayek, Wilhelm Röpke, and Ludwig von Mises to write books on international trade was to provide the economic bait.
Raymond Fosdick went on John D. Rockefeller, Sr.'s payroll no later than 1913. He went on Junior's payroll no later than 1916. He had met Fosdick in 1910. Fosdick was one of Woodrow Wilson's protégés at Princeton. A brief summary of his career is here. It does not cover his time at the Versailles Peace Conference, where he and Jean Monnet worked together in 1919 to create the League of Nations. It does not mention Monnet. It also does not cover his time as Junior's personal lawyer and advisor, 1920-1936. His brother Harry was on the board of the Foundation from 1917 on.

Another Wilson protégé was John Foster Dulles. He was the grandson of John Foster, Secretary of State under Harrison, known as "the fixer." He was also the nephew of Robert Lansing, Wilson's Secretary of State, who helped take the government into World War I. He was Secretary of State under Eisenhower. He was the defense attorney for Harry Emerson Fosdick in Fosdick's 1924 trial for heresy in the northern Presbyterian Church. He had been one of America's richest lawyers in the 1930's. He was a committed globalist. He was a deal-maker between American firms and the Hitler government until a revolt in his own firm got him to stop. He was an early promoter of the World Council of Churches, founded in 1948. He also presented a program in the 1930's for creating an international government funded by a low tax on international trade that would be created for the sake of huge firms -- his clients. They would be exempted from national tariffs.

These men were globalists. They proclaimed the doctrine of free trade, but always with this proviso: free trade was the bait for creating an international government with managed trade.


The model was Zollverein of 1833. Most German principalities were brought into a free trade zone: no tariffs inside the zone, and high tariffs against imports. This worked. The Wikipedia entry is correct: "The foundation of the Zollverein was the first instance in history in which independent states had consummated a full economic union without the simultaneous creation of a political federation or union." In 1871, Bismarck succeeded in transforming this free trade zone into a national political union: Germany.
Jean Monnet fully understood this strategy. He was the behind-the-scenes promoter of the European Coal and Steel Community in 1951. France's Robert Schuman was the front man. Says Wikipedia:
The European Coal and Steel Community (ECSC) was an international organisation serving to unify certain Continental European countries after World War II. It was formally established in 1951 by the Treaty of Paris, which was signed by Belgium, France, West Germany, Italy, the Netherlands and Luxembourg. The ECSC was the first international organisation to be based on the principles of supranationalism, and would ultimately lead the way to the founding of the European Union.

The ECSC was established by treaty. Treaties are the key to this strategy. Voters have no say in treaties.

Partly in the aim of creating a United States of Europe, two further communities were proposed, again by the French. A European Defence Community (EDC) and a European Political Community (EPC). While the treaty for the latter was being drawn up by the Common Assembly, the ECSC parliamentary chamber, the EDC was rejected by the French Parliament. President Jean Monnet, a leading figure behind the communities, resigned from the High Authority in protest and began work on alternative communities, based on economic integration rather than political integration.

Next came the treaty of Rome in 1957: The European Economic Community.
Step by step, decade by decade, European nations moved into the lobster trap.

Most of this is public knowledge. All you need is Wikipedia. But you must know where to look.
The Treaty of Rome, the original full name of which was the Treaty establishing the European Economic Community has been amended by successive treaties significantly changing its content. The 1992 Treaty of Maastricht established the European Union with the EEC becoming one of its three pillars, the European Community. Hence, the treaty was renamed the Treaty establishing the European Community (TEC).
When the Treaty of Lisbon came into force in 2009 the pillar system was abandoned, and hence the EC ceased to exist as a legal entity separate from the EU. This led to the treaty being amended and renamed as the Treaty on the Functioning of the European Union (TFEU).

In 1973, the Conservative Party under Edward Heath took Great Britain into the European Community (EC). This was "three international organisations that were governed by the same set of institutions. These were the European Coal and Steel Community (ECSC), the European Atomic Energy Community (EAEC or Euratom), and the European Economic Community (EEC)." There was no European Union. Not yet.
In 1975, the Labour government under Harold Wilson authorized a referendum. About 25 million people voted.Two-thirds voted yes. There was no referendum on joining the European Union when the EU was created by the Maastricht Treaty in 1993.


It was after the 1975 referendum that Enoch Powell, the nation's leading opponent, gave an interview on this momentous vote. It has been reprinted here. It is simply prophetic.

Powell: You have two events, if I may say so, slightly confused. One was the Conservative Party conference where I said I would never assent to the act of abnegation involved in Britain joining the Common Market; and a meeting in East Ham in September 1971 when I said it will not happen. I am still convinced it will not happen. I am convinced that the people of this country cannot be absorbed into a European state.
Day: But you said we would not go into the Common Market, and we did go into the Common Market, and are not just as wrong now as you were then?
Powell: No sir, the British people do not mean it because they have still not been able to credit the implications of being in the Common Market. They still think they will be a nation. They still think they will govern and tax and legislate for themselves. They are mistaken. It's not the fault of many of the pro-marketeers that they are mistaken, but it is the thing, so incredible to them, that I am not inclined to blame them overmuch. But they will learn.

On June 23, 2016, the British electorate confirmed Powell's prediction. They took the nation out of the lobster trap.
Now, by the grace of God through referendums, the lobster trap will fall apart.


That is why, at 3 a.m. on June 24, one of the best days of my life began. The dreams of Cecil Rhodes, Lord Milner, Jean Monnet, John D. Rockefeller, Jr., Woodrow Wilson, Raymomd Fosdick, John Foster Dulles, Robert Schuman, Edward Heath, Harold Wilson, and David Cameron were smashed on the rocks of the June 23 referendum.
It could not have happened to a more deserving bunch of hucksters.