promotion to teachers who take the university’s summer courses, and will cause the high school pupils to aspire to that university. Once a year he will attend the convention of the National Educational Association, and will elect as president a man who is a graduate of Mr. Morgan’s university, and also a member of Mr. Morgan’s church, and a reader of Mr. Morgan’s newspaper, and of Mr. Morgan’s university’s president’s educational journal, and a patron of Mr. Morgan’s university presidents’ life insurance company, and a depositor in a bank which pays him no interest, but sends his money to the Guaranty Trust Company for Mr. Morgan to loan at a high rate of interest. And when the Republican party, of which Mr. Morgan (or a partner) is a director, nominates the president of Mr. Morgan’s university for vice-president of the United States, Mr. Morgan’s bishop will bless the proceedings, and Mr. Morgan’s newspapers will report them, and Mr. Morgan’s school superintendent will invite the children to a picnic to hear Mr. Morgan’s candidates’ campaign speeches on a phonograph, and to drink lemonade paid for by Mr. Morgan’s campaign committee, out of the funds of the life insurance company of which Mr. Morgan’s university president is director. Such is the system of the interlocking directorates; such is, in skeleton form, that department of the plutocratic empire which calls itself American Education. And if you don’t believe me, just come along and let me show you—not merely the skeleton of this beast, but the nerves and the brains, the blood and the meat, the hair and the hide, the teeth and the claws of it. CHAPTER VI THE UNIVERSITY OF THE HOUSE OF MORGAN The headquarters of the American plutocracy is, of course, New York City. Here are the three central banks, and here the hundred and twelve corporations have their offices, and the interlocking directors roll about in their padded limousines and collect their gold eagles and half-eagles with the minimum of trouble and delay. According to the Pujo Committee, the banks and trust companies of New York, all interlocked with the House of Morgan, had over five billion dollars’ worth of resources, which was nearly one-fourth of the bank resources of the country. This did not include the House of Morgan itself, which was, and is, a private institution. These figures, of course, seem puny since the world war; in that war the House of Morgan alone is reputed to have made a billion dollars from its war purchases for the British government, and if the Pujo Committee were to inquire at the present time it would find the banking resources of New York City somewhere between fifteen and twenty-five billions of dollars.