DF does seem to have said very little about pagan magic but there are some snippets in one of her papers that might help to indicate her views on one aspect of it. The following paragraphs are from The Brocken Tryst, Part II, Occult Review, Vol 56, August 1932, pp 102-107. The main thrust of the article was an assessment of an experiment proposed to be carried out by Harry Price (National Laboratory of Psychic Research) using a manuscript of which DF doubts the validity. Despite that, the following may be of interest to those interested in her views on paganism, albeit her available publications appear to indicate that her views on some matters may have changed with time.
‘Now Pan and his congeners are the givers of frenzy, the crudest form of the divine inebriation. In psychological terms, Pan equates with the abreaction. The he-goat, grossest of beasts, represents the most primitive form of the libido. Whoever performs the Rite of the Goat intends to liberate the most atavistic aspect of the unconscious mind. The analogy is natural and obvious to anyone who is acquainted with the manners and customs of billy-goats, just as the Cockney child, seeing pigs fed to the first time, exclaimed, “No wonder they call ‘em pigs!”
The goat-formula, then, is a form of unrepression........
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There is always a basement to the house of life, and different temperaments abreact their primitive aspects in different ways, as psychology has shown us. Some arrive at a working compromise which would scandalise the Alliance of Honour, but nevertheless enables life to be carried on. Other develop neurotic traits of one kind or another. The ancient pagan systems found a place for the Rite of the Goat; the non-Christian faiths understand its significance and deal with it after their own fashion. Protestant Christianity alone knows nothing whatever about it and makes no attempt to deal with it, except by the blind and inadequate method of repression.
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When we consider the general tendency of social life since the war, with its breaking-down of all restraints and inhibitions, we shall see that the formula of the goat rite is not an inappropriate one for the present age, and that we are entering one of the periods when the woe-water of libido is beginning to rise. It is a period of unrepression, like the Elizabethan Age and the Age of Pericles. These periods of the breaking down of inhibitions are also periods of creative activity and a great vitality of the human spirit, for the higher aspect of Pan is Dionysus.
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For be it noted that the goat is Pan, and the beautiful young man is Dionysus, Balder, Quetzlcoatl, or any other beautiful youthful god. The Blocksberg formula, therefore, represents the sublimation of the sex force from a lower to a higher arc, its idealization, as it were; and it teaches a very important Mystery truth, which modern psychology is just beginning to suspect. It teaches that the loftiest spiritual force has its roots in the primitive and cannot be cut off from them without withering. The presence of the goat in the rite indicates that the sex forces will be stimulated and called into activity; the presence of the virgin indicates that they will be kept under control and sublimated, and that the rite will not end in an orgy’.