...... .............Larouche Online Almanac

Published: Tuesday, Oct. 25, 2005

Volume 4, Issue Number 43

This Week You Need To Know:


Globalization, The New Imperialism
by Lyndon H. LaRouche, Jr.

October 9, 2005
By traditional standards, the accelerating degeneration of the U.S. military-political occupation of Iraq, has already entered the terminal phase of the currently failed war policies of the U.S. George W. Bush, Jr. Administration. The global strategic situation of the moment can be brought into focus by saying simply that the presently advanced state of degeneration of the U.S. military operations in both Iraq itself and the adjoining region, interacts with a threatened early disintegration of the world's present IMF monetary-financial system.

We have entered a time during which only the combined dumping of the policies of the current Bush Administration, and the launching of first steps toward a new world monetary-financial system akin to that of the original Bretton Woods system, could prevent the otherwise inevitable early plunge of the planet as a whole into a new dark age.

We have entered a time in world history, when any different remedy than that which I have just recommended, were the wishful dream of self-damned fools.

To rational elements among the more well-informed circles of the planet, as one month follows another, the evidence to that effect is now more and more painfully clear...

...more ............ ...pdf version


The Economy
World and Nation-State
Proposed Rail Development Corridors in the Indiana-Ohio-Pennsylvania Industrial Belt

Recent LaRouche Webcasts*

"Rediscovering America: The Lessons of LaRouche's Famous Oct. 12, 1988 Forecast" Oct. 12, 2005
Sept. 16, 2005
Emergency Webcast,
"Pulling This Nation Together Now!"
Sept. 3, 2005
"LaRouche Addresses Urgent Changes in Economic and Monetary Policy"
Short video (WMA format)
June 16, 2005
April 7, 2005
*Sponsored by LaRouchePAC

This Week in History

November 1-7, 1932

Roosevelt and Hoover Close the 1932 Presidential Campaign

On Nov. 5, 1932, Franklin Delano Roosevelt closed his campaign for President with a speech at Madison Square Garden in New York City. His opponent, incumbent President Herbert Hoover, had spoken in the same location five days earlier. The difference in philosophical outlook between the two men was striking, and offered a clear choice to the American people.

Herbert Hoover had become an American celebrity after World War I, praised as the "Great Engineer," who had overseen relief efforts in war-torn Belgium. Although he was orphaned early in life, he had managed to accumulate a small fortune by means of what he viewed as hard work and individual responsibility. His perspective on the "American System," which he cited often in his speeches, was that the greatness of America depended on rugged individualism and decentralized government.

Therefore, Hoover did not believe that government action could or should be used to end economic depressions. By "letting nature take its course," he had greatly magnified the effects of the stock-market crash of 1929. This policy was more than agreeable to his murderous Secretary of the Treasury Andrew Mellon, who advised Hoover: "Let the slump liquidate itself. Liquidate labor, liquidate stocks, liquidate the farmers, liquidate real estate. It will purge the rottenness out of the system."1

Therefore, in his State of the Union address on Dec. 2, 1930, President Hoover had told the Congress and the country that, "Economic depression can not be cured by legislative action or executive pronouncement. Economic wounds must be healed by the action of the cells of the economic body—the producers and consumers themselves. Recovery can be expedited and its effects mitigated by cooperative action. That cooperation requires that every individual should sustain faith and courage; that each should maintain his self-reliance; that each and every one should search for methods of improving his business or service; that the vast majority whose income is unimpaired should not hoard out of fear but should pursue their normal living and recreations; that each should seek to assist his neighbors who may be less fortunate; that each industry should assist its own employees; that each community and each state should assume its full responsibilities for organization of employment and relief of distress with that sturdiness and independence which built a great Nation." President Hoover insisted that relief for the unemployed must be locally and privately financed.

By 1932, local municipalities and states were finding it absolutely impossible to organize enough employment or to relieve the distress of millions of undernourished and homeless American citizens. Joseph Heffernan, the Mayor of Youngstown, Ohio, wrote a magazine article in May of 1932, which described that city's battle to help its citizens, and called for Federal intervention to restore the economy: "Never had Youngstown suffered such a shock to the spirit which had made it one of the great industrial centres of the world. Another winter was approaching. The numbers of the unemployed had increased and suffering had grown acute. Many heads of families had not earned a penny in two years. Landlords clamored for their rents and sought evictions. Thousands of the city's water bills were unpaid, and officials were torn between their desire to be charitable, their fear of disease if the water were cut off, and the city's urgent need of money. Property owners could not pay their taxes, and delinquencies became appalling. As in Cleveland, we adopted the slogan, 'Pay your taxes, so the hungry can be fed,' and the words meant just what they said, for by this time the private charities were swamped, desperate, and bankrupt."

Yet despite the massive suffering, President Hoover transformed the Constitutional principle of promoting the general welfare into a call for "self-help." In his speech at Madison Square Garden, Hoover claimed that "our opponents are proposing changes and so-called new deals which would destroy the very foundations of our American system." Continuing his microscopic view of humanity, he dropped his earlier reference to people as "the cells of the economic body" in favor of talking about a society that was "absolutely fluid in freedom of the movement of its human particles." The President claimed that any expansion of government expenditure to reverse the Depression and relieve suffering was nothing but "yielding to sectional and group raids on the Public Treasury," and announced proudly, "This I stopped."

'People Aren't Cattle...'

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Links to articles from
Executive Intelligence Review,
Vol. 32, No. 42
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Globalization, The New Imperialism
by Lyndon H. LaRouche, Jr.

October 9, 2005
By traditional standards, the accelerating degeneration of the U.S. military-political occupation of Iraq, has already entered the terminal phase of the currently failed war policies of the U.S. George W. Bush, Jr. Administration.1 The global strategic situation of the moment can be brought into focus by saying simply that the presently advanced state of degeneration of the U.S. military operations in both Iraq itself and the adjoining region, interacts with a threatened early disintegration of the world's present IMF monetary-financial system.

LaRouche Warned Congress To Confront Auto Crisis
While Lyndon LaRouche repeatedly warned Congress this year to take emergency action to save the auto sector, as a crucial component of U.S. strategic machine-tool capability, no significant action was taken. Here are his key statements.


A New 'Halloween Massacre' Will Sink Cheney-Rumsfeld
by Jeffrey Steinberg

On Oct. 31, 1975, President Gerald Ford announced a Cabinet shakeup that would soon come to be known as the 'Halloween Massacre.' Ford fired National Security Advisor Henry Kissinger, replacing him with Gen. Brent Scowcroft (Kissinger retained his post as Secretary of State). He fired CIA Director William Colby and replaced him with George H.W. Walker Bush, and he fired Defense Secretary James Schlesinger and replaced him with his White House Chief of Staff, Donald Rumsfeld. Rumsfeld's deputy, Richard Cheney, moved up to be the Chief of Staff.

Top Republican Evokes Eisenhower, Blasts 'Cheney-Rumsfeld Cabal'
by Edward Spannaus

A scathing attack on the Cheney-Rumsfeld 'cabal' that is running the current Administration, and high praise for Presidents Dwight Eisenhower and GeorgeH.W.Bush, were delivered on Oct. 19 by Col. Larry Wilkerson (ret.), who served as chief of staff for former Secretary of State Colin Powell from 2001 to early 2005. Wilkerson's statement, delivered at the New America Foundation in Washington, was taken as representing the thinking of a section of traditionalist Republicans, and at least some of the Bush 41 circle.

LaRouche Continues Dialogue With Congress
A number of questions sent to Lyndon LaRouche after his Oct. 12 webcast, by Congressional and other leading Washington figures, and his answers, appear below. The webcast appeared in last week's EIR, and is archived in video at www. larouchepac.com.

Veterans Administration and the Nation
The Policy Fight Over VA Benefits

by Pamela Lowry

The current right of American veterans to quality health care is being whipsawed between the Base Realignment and Closure (BRAC) Commission recommendations for closing military health facilities, and the Capital Asset Realignment for Enhanced Services (CARES) recommendations for shutting down veterans' hospitals and clinics. And this comes at a time when the collapse of health care in general, and its escalating costs, are forcing many veterans to leave private sector health providers, and enter the military or veterans systems.

  • Close VA Hospitals As Flu Pandemic Threatens?
    by Patricia Salisbury

    The Bush/Cheney Administration is still pushing ahead the VA CARES process (Capital Asset Realignment for Enhanced Services) which threatens to close and/or downsize VA hospitals throughout the country—even as the Administration acknowledged the looming threat of an avian flu pandemic which could sicken 50-100 million people if it strikes the United States.


Derivatives Trader Refco Files for Bankruptcy
by Lothar Komp

Another earthquake is hitting the worldwide casino of financial derivatives. This time it is not just a single hedge fund, which has lost the money of its customers in high-risk financial speculation. Rather, a financial institution has collapsed that represented the intersection point for access to the futures exchanges in New York, Chicago, London, and Singapore for thousands of clients, among them innumerable hedge funds.

Jochen Sanio: Should Hedge Funds Be Regulated?
[T]he advance text of a speech given by Jochen Sanio, president of the German Federal Financial Supervisory Authority, at the 'Top Ten Financial Risks to the Global Economy' Conference organized by the Global Markets Institute (Goldman Sachs), and held on Sept. 22, 2005 in New York City. It reflects an ongoing discussion within the banking community which seldom reaches the media in the United States.

Greenspan Shrugged
LaRouche vs. Greenspan: An 18-Year Fight Over Financial Derivatives

Alan Greenspan, an acolyte in the cult of Ayn Rand, was appointed chairman of the Federal Reserve Board in August 1987, shortly before the 'Black Monday' crash of Oct. 19. From that perch, he has for 18 years overseen the deregulation of the American financial system, allowing financial derivatives to run wild, overwhelming the physical economy, and bringing the world to the precipice of economic-financial collapse. As the following chronology shows, every step of the way, Lyndon LaRouche and EIR have been warning of the consequences of these disastrous policies. Up to now, the Congress and the American people have, in general, not listened, preferring to chase the 'riches' that have come with the biggest speculative bubble in history. The time in which to implement a change in policy—back to the American System—is running out.

Germany Will New Government Re-Industrialize?
by Rainer Apel

The coming Grand Coalition government of Christian Democrats (CDU-CSU) and Social Democrats (SPD) will not take office before late November, because special conventions of the three coalition parties will first have to approve the program and the composition of the cabinet. Although important questions, such as economic policy orientation, have still not been conclusively discussed by the coalition parties, it is generally expected that by mid-November the party conventions will give their go-ahead for the coalition agreements, so that CDU party chairwoman Angela Merkel can be elected by the majority of the Federal parliament—in which the CDU, CSU, and SPD combined have more than two-thirds of the seats.


The Neo-Cons Are British Liberal Imperialists
by Mary Burdman

British Prime Minister Tony Blair proclaimed the end of the sovereign nation-state, in his speech to the United Nations General Assembly on Sept. 12. In his short address, Blair demonstrated why Lyndon LaRouche is so emphatic that now is the time to end the pernicious influence of the British 'Liberal Imperialists' on the United States. Vice President Dick Cheney and his cohorts are now under huge pressure in Washington, but to defeat the neo-conservatives, their policies have to be dug out at the root. And the roots are the policies of the 19th-Century Liberal Imperialists, who used free trade, 'gunboat diplomacy,' and national liberation fronts to get global reach—and to set the stage for the world wars of the 20th Century.

  • LaRouche: Blair the Fascist
    In his Oct. 12 international webcast, Lyndon LaRouche elaborated on Tony Blair's pedigree, in response to a question on Angela Merkel and the neo-cons in Europe.
  • Palmerston, Canning, And Tony Blair
    Tony Blair, who so loves to babble about 'progressive' change and his goverment's great reforms, is unquestionably the heir to the British imperial hawks, led by Lord Palmerston. Blair's New Labour government has taken the United Kingdom to war more often than any other leadership since World War II.

Science Behind the Killer Earthquake:
Why South Asia Must Be Prepared
by Ramtanu Maitra

A devastating earthquake on Oct. 8 flattened most of the western part of the disputed state of Jammu and Kashmir, belonging to Pakistan. The earthquake, which registered 7.6 on the Richter scale, struck during the morning when children were in schools. Thousands of children were killed, wiping out almost the entire next generation in this area. As of now, officially, the death toll is above 30,000, but due to landslides and roadblocks, many remote villages remain out of reach and incommunicado. It is a certainty that the death toll will turn out to be much higher.

  • Report From the UN:
    Earthquake Toll Mounting
    by Leni Rubenstein

    Since South Asia was struck by a major earthquake Oct. 8, this disaster area—mainly Pakistan—continues to be the first item at the daily noon briefing at the U.N., and for good reasons. The massive destruction of major towns and entire villages (UNICEF estimates that 140,000 schools have been destroyed), the very difficult mountainous terrain, the approaching winter weather, and the enormous damage to roads, water, and sanitation make this the most difficult disaster to respond to in recent memory, according to a report from the World Health Organization (WHO).


LaRouche: `The Immortality of Martin Luther King'

Lyndon H. LaRouche, Jr.

speaks to the Martin Luther King Day Prayer Breakfast in Talladega County, Alabama on Jan. 19, 2004


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