Volume 8, Number 2, January 13, 1981



Book Review

by Paul Gallagher

The stakes in the fight for Italy’s “heavy lira”: Review of A “Gaullist” Solution for Italy’s Monetary Crisis by Lyndon H. LaRouche, Jr.

Dateline Mexico

by Josefina Menendez

Obregón won, not Zapata.

Middle East Report

by Robert Dreyfuss

Not so simple, Mr. Reagan.

Energy Insider

Some policy clues.


The BIS Makes a 1981 Power Grab

by David Goldman

David Goldman on the implications of the new curb on Germany’s international lending.

Documentation: An interview with Federal Reserve Governor Henry A. Wallich.

International Credit

by Renée Sigerson

The specter of the 1930s.

Domestic Credit

by Richard Freeman

When the economy snaps, let go.


by Kathy Burdman

Squabble of the titans.


by Susan B. Cohen

Dairy to test Reagan farm policy.

World Trade

by Mark Sonnenblick


by Alice Roth

Swiss to dump dollars for gold.

Currency Rates

China’s Economic Chaos

by Richard Katz

An overview of the current situation and Deng Xiaoping’s strategy.

A Wicker Caravan in New York

Business Briefs

Special Report

Central American Trap Set for the Reagan Administration

by Dennis Small

How the Trap Was Set

by Timothy Rush

Nicaragua’s Ordeal: Eyewitness Account

Jesuits Run Both Sides in Salvador

by Carlos Wesley

Cuba Declares War on Advanced Sector

by Gretchen Small

Soviet Faction Backs Latin Insurrections

by Rachel Douglas

The first in a series of reports on U.S.S.R. factions by Soviet Sector Editor Rachel Douglas.

A Jesuit Controller on Cuba and Central America

The Battle over Mexico’s Foreign Policy

by Elsa Ennis

Documentation: López Portillo versus Castañeda.

Mexico: Christian Democrats Start Socialist Party

by Dolia Pettingell


Kissinger Sets Up a Mideast ‘Arc of Crisis’

by Robert Dreyfuss

Robert Dreyfuss on the “shuttle” reprise.

Qaddafi’s African Bridgehead

by Douglas DeGroot

Douglas DeGroot on Libyan incursions into Black Africa.

Nigeria: The Plan For Disintegration

by Mark Burdman

Sudan: Trigger for U.S.-Soviet Conflict

Fifth Republic, Giscard d’Estaing under Attack from All Sides

by Dana Sloan

The French electoral race poses a threat against the republic’s strong presidency.

Documentation: Recent press blasts against Giscard and the French system of government.

International Intelligence


Momentum Grows Against Volcker’s Credit Policy

by Barbara Dreyfuss

An update on industry, union, farm and legislative action.

Documentation: Statements and resolutions from the United Autoworkers, New York unionists, a Pennsylvania auto dealers’ spokesman, a Washington State congressman, and Sen. Howell Heflin of Alabama.

The Liberals’ Darling

by Kathy Murphy

Not just Kissinger, but various Democratic operatives primed Alexander Haig’s rise, and continue to do so.

Allen and Kirkpatrick: A Foreign-Policy Problem

The designates as National Security Adviser and United Nations ambassador have unhealthy backgrounds, too.

National News