Lords of Finance: 1929, the Great Depression, and the Bankers Who Broke the World (88 page)

Hill, A. V., 112, 112
n

Hindenburg, Paul von, 398, 400, 416, 418–19, 480

Hitler, Adolf

Beer Hall Putsch of, 184, 395

as chancellor, 480–81

conspiracies against, 484

and impact of Great Depression, 6

Norman’s views about, 488

rise of, 282, 395, 400, 402, 420

and Schacht, 2, 403,
478
, 481, 483–84, 485

hoarding, 391, 435, 437, 451

Hongkong and Shanghai Bank, 30

Hoover, Herbert

and banking crisis, 445, 446–47, 456

and British banking problems, 430–31

Durant meeting with, 343

and elections of 1932, 442

and initiatives to revive economy, 436–37

and interest rate cuts, 299, 300

internationalism of, 276

Keynes’s comments about, 275

Lamont letter to, 354

letter to Roosevelt from, 444

and Mellon, 440

Meyer appointed to Fed by, 367

Meyer’s letter to, 447

and moratorium on reparations and war debt, 4, 407–13

on origins of Depression, 466

personal and professional background of, 275

reaction to Great Crash by, 362–63

and Roosevelt, 446–47, 456

as secretary of commerce, 197, 275

and speculation, 275–76, 277–78, 279

and stock market, 278, 314, 343

and Strong, 276

and war debts, 140

House of Morgan.
See
J.P. Morgan & Co.

Hugenberg, Alfred, 395, 403

Hughes, Charles Evans, 140, 197, 209

Hull, Cordell, 452, 467

Hungary, 76, 121
n
, 196, 221, 301, 341, 410, 419

inflation

and funding for war, 76

and gold standard, 13, 14, 156, 165, 170

Keynes’s views about, 168, 339

and “real bills” theory of credit, 80

Inspectorat des Finances (France), 203, 247, 381

Inter-Allied Financial Delegates, 114

interest rates

and gold, 156, 341

and Keynes, 341

and role of central bankers, 11

and stock market bubble, 318, 323, 343

international central bank, proposals for, 381–82, 383, 492–94

International Monetary Fund (IMF), 495

International Trust Company, 387

Italy, 144, 198, 199, 208, 301, 341, 388, 410

James, George Roosa, 174, 447

Jay Cooke and Company, 351

Jekyll Island Club, 55–56

Jews

and divisions in international banking community, 9–10

in France, 266

in Germany, 3, 180, 183
n
, 395, 400, 418, 480, 483

as owners of banks, 386–88

in U.S., 9–10, 352, 386–88, 494

J.P. Morgan & Co.

and Bank of England, 426–27

bombing of, 211

British loans from, 228, 237, 426–27, 434

and consortium for rescue of stock market, 355–56, 360

and divisions within international financial community, 10, 136

and early years of Depression, 426–27

foreign government loans by, 205, 210, 214, 228, 237, 426–27

and France, 205, 214, 253

Gilbert offered partnership with, 328, 336

and gold standard, 462

income taxes of, 441

and Kidder Peabody rescue, 388

meeting (1914) at, 48–49

Norman meetings with, 383

and Panic of 1907, 52–53

and pound on gold standard, 227

power/reputation of, 5, 47, 210–11

and Roosevelt administration, 465

Schacht visit to, 41

and stock market panic, 355

Kennedy, Joseph, 311, 312, 342, 488

Keynes, John Maynard

appearance and personality of, 113

awards and honors for, 491

and Bank of England, 176, 429, 491

basic beliefs of, 166

Bloomsbury friends of, 112, 113, 165, 166, 169, 229, 491

and Bretton Woods Conference, 494–95

at Cambridge, 74, 110, 111, 164

and Churchill, 237

and coal industry, 238

and credit system, 170

and Cunliffe affair, 81

and currency, 99, 120

and Dawes Plan, 216

death of, 495

and debasement of German currency, 120

and devaluation of dollar, 471

on duration of war, 74

early career of, 110–11

on economy in 1930, 374–75

European financial reconstruction plan of, 131–32

and exchange rate policy, 264

on Federal Reserve Board, 338–39

financial affairs of, 111, 164–65, 338–39, 490–91

and French speculation concerns, 204–5

and gold standard, 112, 164–68, 170, 172, 176, 229–30, 233, 234, 235, 237, 239–40, 288, 338, 371, 375, 383–84, 429, 432, 473, 489, 491–92

and gold supply, 339

on Great Depression, 438–39, 503–4

health of, 490, 494–95

on impact of Great Depression, 4

and impact of World War I, 19

and inflation, 168, 491

and interest rates, 341

and international financial system, 491–92, 493

legacy of, 503–4

and Lloyd George, 113, 114, 115, 131–32

and Macmillan Committee, 371, 372

and May Report, 426

and Norman, 6, 168–69, 373, 491

and The Other Club, 237

at Paris Peace Conference, 114, 131, 170

and paying for the war, 112

personal background of, 110

personal life of,
154
, 165–66, 337

planning for post-World War II world by, 491–92

and public works programs, 481

reaction to Great Crash by, 369

and reparations, 109–10, 114–15, 118, 131–32, 143–44, 337

reputation of, 338, 491

role in international financial affairs of, 10

on Roosevelt, 490–91

on Royal Commisson on Indian Currency and Finance, 111

and stock market, 338–39

and Strong, 169–70, 338

and translating sums of money, 504

at Treasury, 112, 114

and unemployment, 489–90

U.S. criticisms by, 230

and U.S.-British relations, 143–44

and war debts, 169

world economy plan of, 115–16

during World War II, 491

writings of, 109–10, 111, 114–16, 164, 166, 167–68, 169–70, 172, 229, 230, 237, 263, 264, 337–38, 374–75, 489–90

on Young Plan, 337

Keynes, Lydia, 165, 337, 490, 494–95

Kidder Peabody, 388

Knickerbocker Trust Company, 52, 351

Kohler, Heinrich, 327

Kreuger, Ivar, 340, 397

Krupp, Gustav, 480

Kuhn Loeb, 10, 54, 210, 253, 296, 388

L’Affaire Caillaux, 61, 63, 66–67

Lamont, Thomas

as banker-statesman, 211

and banking crisis, 358–59, 437, 446, 447

and BUS rescue, 387

and Davison, 51, 211–12

and Dawes Plan, 209, 212–13, 214

and Germany economy, 407

and initiatives to revive economy, 438

internationalism of, 212

lifestyle of, 152

and meeting at J.P. Morgan & Co., 49

and moratorium on reparations and war debt, 407-8

and Norman, 5, 212–13, 383

offered partnership with Morgan, 212

optimism about economy of, 354

and Paris Peace Conference, 104, 106, 212

personal/professional background of, 211–12

and reparations, 104, 106

and Roosevelt, 446

and stock market, 313, 342, 355

and Young Conference (1929), 330

Lansing, Robert, 131

Laval, Pierre, 411, 412–13, 416, 417, 417
n

Lazard Frères, 10, 29, 367, 422–23

Le Circulaire Bleu (Banque de France), 70–71

Le Couteulx de Canteleu, Jean-Barthélémy, 84–85

leadership, and blame for Great Depression, 502, 503

League of Nations, 264

Leffingwell, Russell, 138, 313, 319, 388, 425, 462

Lehman, Herbert, 447

Lehman Brothers, 388

Lend-Lease, 491

Liberty Bonds, 94

Litvinov, Maxim Maximovitch, 468

Livermore, Jesse, 307, 307–8
n
, 309, 312

Lloyd George, David

and Bank of England meeting, 32

and Bank of England-government relations, 81

and Churchill, 222

and events leading to World War I, 29, 32

fall of, 140–41, 221

and Keynes, 113, 114, 115, 131–32

and Paris Peace Conference, 105, 107

post-war promises of, 161

and reparations, 105, 107, 116, 117, 118, 131–32

and Versailles Treaty, 116

Logan, James, 133, 134, 202

London, England

as center of international finance, 7, 19, 29–30, 130, 141, 159, 160, 167, 210, 424, 429

Dawes Plan meetings in, 208–9

in mid–1920s, 217–18

in post-World War I years, 135

Strong visits to, 92, 136

London Stock Exchange, 30, 49, 270

Long Island (Mills house), central bankers meeting on, 296–98, 300, 308, 326

Luther, Hans, 184–85, 214, 405, 414–16, 418

McAdoo, William, 57, 94

MacDonald, Ramsay, 208, 212, 213, 214, 221, 409, 410, 426, 428

McFadden bill (U.S.), 444

McKenna, Reginald, 234, 235, 237, 371

Macmillan Committee (Great Britain), 423–24

Macmillan, Hugh, Lord, 371

McReynolds, Samuel D., 467, 468

Manufacturers Trust Bank, 386–87

Marcus, Bernard, 385–86, 387–88, 389

Martin’s Bank, 26, 82

Marx, Karl, 448

Marx, Wilhelm, 214

May Committee (Great Britain), 425–26

Mellon, Andrew

appointed ambassador to Great Britain, 440

art collection of, 315, 364–65

criticisms of, 439–40

and Dawes Plan, 209

European travels of, 262–63

and Fed rate cuts, 299

and Fed System tensions, 356

and French economy, 255, 262–63

French negotiations of, 412–14

“gentlemen prefer bonds” admonition of, 316

and Hoover, 440

impeachment hearings concerning, 439–40

and initiatives to revive economy, 436–37

Justice Department indictment against, 440
n

and moratorium on reparations and war debt, 408, 412–14

and Moreau, 315

Norman meeting with, 382

personal life of, 315

reaction to Great Crash by, 364

as secretary of the Treasury, 296

and stock market, 314–15, 324

and war debts, 140, 142, 257, 315

Mellon, Paul, 142

Mendelssohn (Paris banking house), 42

merchant banks.
See
commercial/merchant banks

Mexico, 212, 423, 498, 498
n
, 500

Meyer, Eugene, 367–68, 368
n
, 369, 391, 436, 439, 445, 446–47, 458, 465

Midland Bank, 136, 156, 234

Miles, Basil, 134, 138, 139

Miller, Adolph, 174, 175, 274–79, 294, 299, 300, 314, 320, 324, 368, 391, 445

Miller, James, 292

Millerand, Alexandre, 206

Mills, Ogden L., 296, 364, 408, 410, 417, 440, 446, 453, 454

Ministry of Finance (France), 67, 86, 249, 250, 380

Mitchell, Charles E., 312, 323, 355, 357, 387, 437, 440–41

M.J. Meehan and Company, 343

M.M. Warburg and Company, 404

Moley, Raymond, 446, 453, 456, 461, 462, 470, 473

moratorium, on reparations and war debts, 407–14, 417

Moreau, Aimé Hilaire Émile

ambitions of, 68, 247

appearance of,
62
, 259

awards and honors for, 68, 247, 380

at Banque d’Algérie et Tunisie, 61, 67–68, 86–87, 247

Banque de France appointment of, 254, 264

and BIS, 369

and blame for Great Depression, 501, 502–3

and Caillaux, 63, 65, 86, 249, 267

and currency problems, 263, 264–65, 267, 268–69

death of, 487

disillusionment of, 486

and divisiveness at Banque de France, 267–68

early career of, 64–65

and exchange rate, 264, 376

and France as world financial center, 287–89

and French-British relations, 287, 486

and French- German relations, 330, 335

and gold reserves, 379

and gold standard, 288–89, 292

and Harrison, 319

and interest rates, 288–89

at La Frissonaire, 68

and Mellon, 315

and Norman, 259–61, 269, 287, 288, 291, 292, 301–2, 380

personal life of, 63–64, 247–48

personality/character of, 7, 68

and Poincaré, 267

and politics, 264, 336

power and prestige of, 2, 7, 8

and Quesnay, 264
n

reaction to Great Crash by, 369

as reflection of national psyche, 8

and reparations, 331

resignation of, 380–81

retirement of, 2, 486

and Romania funding, 301, 302

and Rouvier, 65, 66, 67

as Royalist, 486–87

and speculation, 289
n

and Strong, 258–59, 294–95

during World War II, 486

and Young Conference/Plan, 331, 332, 334, 335, 336, 369

Moret, Clément, 5, 381, 392, 416, 433, 435, 466, 469, 477

Morgan Grenfell, 29, 232, 352

Morgan, J. Pierpont, 9, 47, 47
n
, 49, 51, 52–54, 55, 211, 212, 296, 437

Morgan, Jack, 9–10, 48, 49, 211, 330, 332, 359–60, 388, 425, 428

Morgenthau, Henry, 459, 470, 472, 473, 494, 495

Morocco, 43, 67, 247

Morrow, Dwight, 49, 51

Napoleonic Wars, 75, 84–86, 160–61, 210

National Assembly (France)

and Banque de France scandal, 241, 243

and Banque de France–government relationship, 247

and Caillaux, 248–49

and collapse of French government, 256

and U.S.-French relations, 259

and war debts, 259, 263

National Bank of Belgium, 435

National Bureau of Economic Research, 350

National Business Conference, 348

National City Bank, 49, 54, 210, 312, 323, 355, 357, 387, 437, 440

National Defense Bonds, 203

National Industrial Recovery Act, 457

National Monetary Commission, 54

National Mutual Insurance Company, 338