The Chairman: John J. McCloy, the Making of the American Establishment

Ever wonder who was the chair of the "establishment" for a good part of the 20th Century. It was clearly John McCloy. Here's a short bio: grew up poor; graduated from Harvard Law School; became a partner at Cravath; was Under-Secretary of Defense (under Stimson) for FDR -- basically the number two guy (and the go-to-guy) in the War Department in WWII; was behind many good and bad decisions like internment of the Japanese (supported) and dropping of the atom bomb (opposed); became the allied ruler of Germany after the war (and was responsible for the democratization of the country); Chairman of the World Bank; Chairman of the Council on Foreign Relations; Chairman and CEO of Chase; Chair of President's Disarmament Committee; helped negotiate the Cuban Missile Crisis; served on the Warren Commission; knew every President personally from FDR to Bush. He is a complicated person who made many good and bad decisions -- Read this book.

As a lawyer, it's gratifying to see that a fellow lawyer, John McCloy, had such a key role in putting together post-WW II Europe, and it challenges my anti-FDR leanings to read this book, since McCloy was mainly a tool of FDR. Even though he was a Republican. Mr. Bird chronicles McCloy's life starting from humble New York beginnings, and establishes that you must understand the New York investment houses, the law firms they fed and controlled, and the European investments of those New Yorkers, to understand Mc Cloy. By the end of the book, we do.Bird has the gift of not saying too much, but telling you a lot. McCloy's dad dies, then his mom (hairdresser to the rich) keeps him in contact with Rockefellers and the like, and thru lots of hard work and sacrifice, she sees that John makes it into the exclusive schools with the same upper-crust people. He then becomes a lawyer, and does the dirty work for the unscrupulous bond salesmen who use the public's unsecured money to pay back the priority lenders to doomed projects, mainly railroads, before those same creditors send in the lawyers to repo the assets, and sell them to contolled companies which sell them again. This is all pre-New Deal, pre-SEC. Mc Cloy gets good at it and his skill at tennis leads him to play hard-ball on the tennis courts, as well as in the law courts, with big money NY types, which makes McCloy attractive to the law firms feeding off of the investment houses. At this point, a useful companion book to read would be Robert Sobel's history of the Dillon, Read investment house, which goes into more detail.McCloy ends up being detailed to the federal gov't during WW I and becomes an intelligence expert, and then has a key part in forming what becomes the CIA. He stays connected with the CIA for the rest of his life, while pinging and ponging out of the gov't, mainly on "commissions" and "panels" and he also gets tied up with the Council on Foreign Relations, which Bird convincingly describes as very powerful in its day.McCloy's career peaks when FDR appoints him to be high commissioner for post-WW II Germany, with plenary, Caesar-like powers, which McCloy exercises tactfully and with restraint. While also playing lots of tennis. This section of the book is very gripping, as Bird unwinds the CIA's role in funding anti-Soviet left-wing intellectuals to counter Soviet propaganda, and to make sure Germany does not intrepidly rush to unify too soon--before the die-hard old Nazi's of Germany's industrial establishment are neutralized by the passage of a generation.The European Community is also convincingly penetrated, below the acronyms and meetings which symbolize it for most contemporary students. Bird details how McCloy dealt with the treaties forming the EC, and how insuring Germany's non-reunification fit with putting other countries intot he coal and steel industries which Germany would need to becomea credible threat again.In th