 Other People's Money and How the Bankers Use It by Lewis D. Brandeis Reading by D. S. Harvey Chapter 1. Our Financial Oligarchy President Wilson, when Governor, declared in 1911, quote, The great monopoly in this country is the money monopoly. So long as that exists, our old variety and freedom and individual energy of development are out of the question. A great industrial nation is controlled by its system of credit. Our system of credit is concentrated. The growth of the nation, therefore, and all our activities, are in the hands of a few men who, even if their actions be honest and intended for the public interest, are necessarily concentrated upon the great undertakings in which their own money is involved and who, necessarily, by every reason of their own limitations, chill and check, and destroy genuine economic freedom. This is the greatest question of all, and to this, statesmen must address themselves with an earnest determination to serve the long future and the true liberties of men, end quote. The Pujo Committee, appointed in 1912, found, quote, Far more dangerous than all that has happened to us in the past in the way of elimination of competition in industry is the control of credit through the domination of these groups over our banks in industries, end quote. Quote, whether under a different currency system the resources in our banks would be greater or less is comparatively immaterial if they continue to be controlled by a small group. It is impossible that there should be competition with all the facilities for raising money or selling large issues of bonds in the hands of these few bankers and their partners and allies, who together dominate the financial policies of most of the existing systems. The acts of this inner group, as here described, have nevertheless been more destructive of competition than anything accomplished by the trusts, for they strike at the very vitals of potential competition in every industry that is under their protection, a condition which, if permitted to continue, will render impossible all attempts to restore normal competitive conditions in the industrial world. If the arteries of credit now clogged well nigh to choking by the obstructions created through the control of these groups are opened so that they may be permitted freely to play their important part in the financial system, competition in large enterprises will become possible and business can be conducted on its merits instead of being subject to the tribute and the goodwill of this handful of self-constituted trustees of the national prosperity. The promise of new freedom was joyously proclaimed in 1913. The facts which the Pujo Investigating Committee and its Able Council, Mr. Samuel Untermeyer, have laid before the country show clearly the means by which a few men control the business of America. The report proposes measures which promise some relief. Additional remedies will be proposed. Residents will soon be called upon to act. How shall the emancipation be wrought? On what lines shall we proceed? The facts, when fully understood, will teach us. The Dominant Element The dominant element in our financial oligarchy is the investment banker. Associated banks, trust companies, and life insurance companies are his tools. The railroads, public service, and industrial corporations are his subjects. Though properly but middlemen, these bankers bestride as masters America's business world so that practically no large enterprise can be undertaken successfully without their participation or approval. These bankers are, of course, able men, possessed of large fortunes, but the most potent factor in their control of business is not the possession of extraordinary ability or huge wealth. The key to their power is combination, concentration intensive and comprehensive, advancing on three distinct lines. First, there is the obvious consolidation of banks and trust companies. Sample complete. Ready to continue?