When John Maynard Keynes was seven years old (1890) his father authored a volume entitled the Scope and Method of Political Economy. The Keynesian method of double entendre was developed by the elder Keynes to a fine art. An economist who could write a 370 page book studded with marxist-like metaphors without once mentioning the name of Marx must be credited at being a master of skillful literary concealment. J.N. Keynes talent of assuming a respectable posture within an academic sanctuary while chipping away at the edifice of private enterprise, was passed on to his son. John Neville Keynes managed to smuggle in the marxist theme that, Schemes of socialism, moreover, as distinguished from pure communism, do not necessarily involve the entire abolition of free exchange.
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The elder Keynes book was required reading among Fabian socialists and was listed for sale in the official organ of the American Fabian Society under the listing, Recommended books on Socialism and Social Reform.(7) Thus John Maynard Keynes was nurtured on socialism and atheism practically from his mothers milk.
At the age of 21 Keynes was taken in hand by G. Lowes Dickinson, the effete Fabian socialist at Cambridge University. There he was joined by Leonard Woolf, a life long Fabian and G.E. Moore the philosopher of the Fabian Society of socialists.
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The chronology of John Maynard Keynes association and activity with Fabian socialism is unbroken from 1904 until his death.
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In spite of his public record as a socialist, Keynes was appointed as an aid to Prime Minister David Lloyd George during the Paris peace talks with Germany in 1919. During this period he was asked by the Fabian socialists to head their London School of Economics.
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At the end of 1919, Keynes wrote The Economic Consequences of the Peace of which a special edition was published bearing the imprint of the British Fabian Society. This special edition was distributed among socialists both in England and the United States. It was at this time that the Fabian socialists began to pass off Keynes as a capitalist economist.
(from a letter to his mother in 1917
Well, the only course open to me is to be bouyantly
bolshevik; and as I lie in bed in the morning I reflect with a good deal of satisfaction that, because our rulers are as incompetent as they are mad and wicked, one particular era of a particular kind of a civilization is very nearly over.
(from a letter to his mother in 1918
My most amusing job just lately has been to invent a new currency for Russia. Dudley Ward and I have been spending a great deal of time on the details, as we have had to design the notes, get them printed, choose the personnel, answer conundrums and do the whole thing from top to toe. We hope to have the plan launched on the world in two or three weeks time.
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In 1919 Nicolai Lenin issued a wildly enthusiastic panegyric on Keynes book, The Economic Consequences of the Peace. He declared, Nowhere has the Versailles Treaty been described so well as in the book by Keynes.(14) The fat was in the fire and Keynes pro-bolshevism was in danger of being publicly established. Keynes as a covert leftist partisan posing as a defender of capitalism was in jeopardy.
Lenin later manipulated one of his adroit propaganda side-steps by quoting Keynes and utilizing his material and at the same time damning him as, a ruthless opponent of Bolshevism. This saved Keynes for the role as an anti-bolshevik figure among influential circles in Great Britain. It was a brilliant deception and indicated a skillful close-order drill in left-wing political cover-up. Lenin, of course, was well apprised of Keynes bolshevik sympathies. The red cells at Cambridge University were in close contact with the Fabians and a full dossier on Keynes was available to the Soviet leaders.
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This ruthless opponent of Bolshevism was allowed to move freely throughout the Soviet Union in 1925 and again in 1928 with his Russian born wife. If Lenins accusation had any serious intent then Keynes and his wife would have naturally been barred at the red frontier. Otherwise they would have been shot since these were the years of the Red Terror where even menshevik socialists were being executed by the thousands.
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In 1926 Keynes emphasized his pro-bolshevik position by writing that he was on the extreme left as compared to Sidney Webb the head of the Fabian socialists in Britain.(18) Keynes subsequent organization of the International Monetary Fund in cooperation with Soviet representatives and American Soviet spies (1945-46) demonstrates his continuing Soviet associations even towards the end of his life.
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In 1928 on his way back from the Soviet Union Keynes had a long conference with the German economist Hjalmar Schacht. Keynes reported that he and Schacht agreed on Keynesian policies. Thirty-four months later Schacht joined hands with Hitler and utilized Keynesian methods to socialize the German nation for a war economy. When World War II began Keynes declared, that Britain would have to employ all of the weapons of Dr. Schacht.(19) Later Keynes reiterated that, the various recipies devised by Dr. Schacht for Germany would have to be applied by Britain. . . .(20) The Fabian socialists pondered over the Keynesian nature of Hitlerian economics. As mentioned before, Mussolini saw in Keynes projections the basic economic weapons with which to shore up his Fascist System. Earl Browder while still National Secretary of the Communist Party of the United States also realized that Keynes furnished the perfect battering ram with which to topple the system of free enterprise thereby laying the groundwork for an American Soviet system. Hitler, Mussolini and the communists all found Keynesian formulas equally acceptable as a means of expediting totalitarian rule.
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Extraordinary efforts have been made to deny Keynes connections with Fabian socialism. There has been an almost hysterical chant insisting that Keynes was anti-socialist and anti-bolshevik. Actually Keynes periodic surfacing as a pro-Soviet partisan is much more recognizable than the records of such notorious Soviet agents as Alger Hiss and Harry Dexter White.
Keynes tie-in with Fabian socialism is so extensive that it is difficult to compress the record within the confines of a few pages. Even a thousand page book would not exhaust Keynes Fabian trail.
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When American Fabian socialists within the New Deal found need to organize another spontaneous point of pressure the deception was pulled off again. Schlesinger boasted that when Keynes visited the United States in 1934, Keynes found others in Washington more receptive. Steered around by Tugwell, he met a number of younger men and told them to spenda monthly deficit of only $200 million, he said, would send the nation back to the bottom of the depression, but $300 million would hold it even and $400 million would bring recovery. A few days later he sent Roosevelt the draft of another New York Times article entitled agenda for the President. (25) The sequence of multi-layered trickery was carried off with the dispatch of a smooth confidence game. First Keynes conspired with Fabians in Washington to establish policy pressures from within the administrative bureaucracy. This was done behind F.D.Rs back. Next he conspired with the president to plant a so-called independent article. F.D. Roosevelt went over this material with Keynes beforehand. Next Keynes arranged with the leftists in the New York Times to put over this piece of manufactured news onto the public as an exclusive feature. In this intricate maneuver everyone was deceived in some measure, except the Fabian socialist center.