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    War Is a Racket: Smedley Butler’s Explosive Whistleblow

    33 min
    |
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    Mar 6, 2026
    PoliticsHistorySociety

    Explore the shocking transformation of Major General Smedley Butler from decorated war hero to anti-war whistleblower as he exposes how corporate greed and industrial profits drive global conflict.

    War Is a Racket: Smedley Butler’s Explosive Whistleblow

    Best quote from War Is a Racket: Smedley Butler’s Explosive Whistleblow

    “

    War is a racket. It is the only one in which the profits are reckoned in dollars and the losses are reckoned in lives, conducted for the benefit of the very few at the expense of the very many.

    ”

    This audio lesson was created by a BeFreed community member

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    War is a racket book

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    Frequently Asked Questions

    Butler defines a racket as something that is not what it seems to the majority of people. In the context of war, he argues that while the public sees a "crusade for democracy" or national defense, the reality is a business scheme conducted for the benefit of a small inside group at the expense of the many. He specifically notes that war is the only international racket where profits are reckoned in dollars and losses are reckoned in lives.

    During the war, many companies saw their profits skyrocket by hundreds or even thousands of percent. For example, the du Ponts' yearly profits jumped from $6 million to $58 million, and companies like Central Leather and International Nickel saw increases of over 1,100%. Butler also highlights massive waste, such as the government spending $1 billion on airplane engines that never saw battle and purchasing millions of mosquito nets for use in France, where there were no mosquitoes.

    Butler proposes a radical three-part plan to end war profiteering. First, he suggests "conscripting capital" by limiting the salary of all industrial executives, lobbyists, and military leaders to $30 a month—the same as a soldier in the trenches. Second, he advocates for a "limited plebiscite" where only those of military age who would actually do the fighting are allowed to vote on a declaration of war. Third, he suggests a "defense only" policy that legally restricts the Navy and Army from traveling more than a few hundred miles from the U.S. coastline.

    The bedside test is a mental exercise Butler suggests for parents to help them see through war propaganda. He encourages mothers and fathers to look at their sleeping sons and consider whether any "well-worded war speech" or "beautiful ideal" is worth having that child killed or crippled in a foreign land. It is a call for individuals to prioritize the lives of their loved ones over the "war hysteria" generated by those who profit from conflict.

    Butler argues that the U.S. entered the war primarily to protect the massive loans made by American bankers to the Allied powers. He claims that an Allied commission informed the President that if the Allies lost, they would be unable to repay billions of dollars in debt. Consequently, the war became a "bailout" for the "inside group" of bankers and speculators, disguised as a fight for democracy.

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    Key Takeaways

    1

    The General Who Exposed the Racket

    0:00
    0:10
    0:20
    0:34
    0:51
    2

    The Inside Track on a Global Scheme

    1:03
    1:36
    2:06
    2:45
    3:11
    3:44
    4:14
    4:51
    3

    The Sky Is the Limit for Blood Gains

    5:16
    5:48
    6:18
    6:42
    7:09
    7:39
    8:04
    8:29
    8:52
    4

    Buckboards and Wooden Ships

    9:15
    9:37
    10:04
    10:32
    11:03
    11:29
    11:50
    12:18
    12:39
    5

    The Human Accounting of the Dead

    13:07
    13:37
    14:07
    14:40
    15:04
    15:35
    16:01
    16:34
    16:56
    6

    Taking the Profit Out of the Racket

    17:22
    17:44
    18:11
    18:40
    19:07
    19:32
    19:59
    20:26
    20:51
    7

    The Money Behind the Changing Mind

    21:13
    21:37
    21:59
    22:23
    22:47
    23:14
    23:40
    24:07
    8

    A Defense No Rat Could Creep Through

    24:29
    25:01
    25:25
    25:50
    26:09
    26:38
    27:02
    27:27
    9

    The Mothers and the Bedside Test

    27:47
    28:08
    28:34
    29:02
    29:32
    29:55
    30:22
    30:49
    10

    A Legacy of Integrity and Whistleblowing

    31:05
    31:30
    31:58
    32:22
    32:43
    33:09
    2:06
    33:40

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