With the end of the war and the Versailles Treaty, which required severe war reparations from Germany, the way was paved for a leader in Germany such as Hitler. Wilson brought to the Paris Peace Conference his famous "fourteen points," with point fourteen being a proposal for a "general association of nations," which was to be the first step towards the goal of One World Government-the League of Nations.
Wilson's official biographer, Ray Stannard Baker, revealed that the League was not Wilson's idea. "...not a single idea--in the Covenant of the League was original with the President." Colonel House was the author of the Covenant, and Wilson had merely rewritten it to conform to his own phraseology.
The League of Nations was established, but it, and the plan for world government eventually failed because the U.S. Senate would not ratify the Versailles Treaty.
Pat Robertson, in "The New World Order," states that Colonel House, along with other internationalists, realized that America would not join any scheme for world government without a change in public opinion.
After a series of meetings, it was decided that an "Institute of International Affairs", with two branches, in the United States and England, would be formed.
The British branch became known as the Royal Institute of International Affairs, with leadership provided by members of the Round Table. Begun in the late 1800's by Cecil Rhodes, the Round Table aimed to federate the English speaking peoples of the world, and bring it under their rule.
The Council on Foreign Relations was incorporated as the American branch in New York on July 29, 1921. Founding members included Colonel House, and "...such potentates of international banking as J.P. Morgan, John D. Rockefeller, Paul Warberg, Otto Kahn, and Jacob Schiff...the same clique which had engineered the establishment of the Federal Reserve System," according to Gary Allen in the October 1972 issue of "AMERICAN OPINION."
The founding president of the CFR was John W. Davis, J.P. Morgan's personal attorney, while the vice-president was Paul Cravath, also representing the Morgan interests. Professor Carroll Quigley characterized the CFR as "...a front group for J.P. Morgan and Company in association with the very small American Round Table Group." Over time Morgan influence was lost to the Rockefellers, who found that one world government fit their philosophy of business well. As John D. Rockefeller, Sr. had said: "Competition is a sin," and global monopoly fit their needs as they grew internationally.
Antony Sutton, a research fellow for the Hoover Institution for War, Revolution, and Peace at Stanford University, wrote of this philosophy: "While monopoly control of industries was once the objective of J.P. Morgan and J.D. Rockefeller, by the late nineteenth century the inner sanctums of Wall Street understood the most efficient way to gain an unchallenged monopoly was to 'go political' and make society go to work for the monopolists-- under the name of the public good and the public interest."
Frederick C. Howe revealed the strategy of using government in a 1906 book, "Confessions of a Monopolist": "These are the rules of big business...Get a monopoly; let society work for you; and remember that the best of all business is politics..."
As corporations went international, national monopolies could no longer protect their interests. What was needed was a one world system of government controlled from behind the scenes. This had been the plan since the time of Colonel House, and to implement it, it was necessary to weaken the U.S. politically and economically.
During the 1920's, America enjoyed a decade of prosperity, fueled by the easy availability of credit. Between 1923 and 1929 the Federal Reserve expanded the money supply by sixty-two percent. When the stock market crashed, many small investors were ruined, but not "insiders." In March of 1929 Paul Warburg issued a tip the Crash was coming, and the largest investors got out of the market, according to Allen and Abraham in "None Dare Call it Conspiracy."
With their fortunes intact, they were able to buy companies for a fraction of their worth. Shares that had sold for a dollar might now cost a nickel, and the buying power, and wealth, of the rich increased enormously.
Louis McFadden, Chairman of the House Banking Committee declared: "It was not accidental. It was a carefully contrived occurrence...The international bankers sought to bring about a condition of despair here so that they might emerge as rulers of us all."
Curtis Dall, son-in-law of FDR and a syndicate manager for Lehman Brothers, an investment firm, was on the N.Y. Stock Exchange floor the day of the crash. In "FDR: My Exploited Father-In-Law," he states: "...it was the calculated 'shearing' of the public by the World-Money powers triggered by the planned sudden shortage of call money in the New York Market."
The Crash paved the way for the man Wall Street had groomed for the presidency, FDR. Portrayed as a "man of the little people", the reality was that Roosevelt's family had been involved in New York banking since the eighteenth century.
Frederic Delano, FDR's uncle, served on the original Federal Reserve Board. FDR attended Groton and Harvard, and in the 1920's worked on Wall Street, sitting on the board of directors of eleven different corporations.
Dall wrote of his father-in-law: "...Most of his thoughts, his political 'ammunition,'...were carefully manufactured for him in advance by the CFR-One World Money group. Brilliantly... he exploded that prepared 'ammunition' in the middle of an unsuspecting target, the American people--and thus paid off and retained his internationalist political support."
Taking America off the gold standard in 1934, FDR opened the way to unrestrained money supply expansion, decades of inflation--and credit revenues for banks. Raising gold prices from $20 an ounce to $35, FDR and Treasury Secretary Henry Morgenthau, Jr. (son of a founding CFR member), gave international bankers huge profits.
FDR's most remembered program, the New Deal, could only be financed through heavy borrowing. In effect, those who had caused the Depression loaned America the money to recover from it. Then, through the National Recovery Administration, proposed by Bernard Baruch in 1930, they were put in charge of regulating the economy. FDR appointed Baruch disciple Hugh Johnson to run the NRA, assisted by CFR member Gerard Swope. With broad powers to regulate wages, prices, and working conditions, it was, as Herbert Hoover wrote in his memoirs: "...pure fascism;...merely a remaking of Mussolini's 'corporate state'..." The Supreme Court eventually ruled the NRA unconstitutional.