A
Time of Turbulence
And Breaking Alliances
9th August 2002
PAGE
URL
http://www.gulufuture.com/future/turbulence_z.htm
LaRouche Interviewed
Aug. 9 on
Argentine National Radio Station
Q: How does the situation in Argentina look from the outside world?
LaRouche: Argentina is faced
with being destroyed, but not only Argentina. Brazil is in a similar situation.
The entire area of the Americas below the U.S. border, is similarly threatened.
Every part. It's the same train, but the cars are arriving at different
times; and the United States is also on the road to destruction.
Q: If that is the case,
what's the danger the world faces, in light of the possibility that Bush
might order an attack against Iraq?
LaRouche: Well, this is now
being contested. There's much more resistance to this now than there was,
say, two weeks ago, and there is pressure inside the Bush administration
to reconsider, as there is from Europe.
Q: If the world were to
continue on this track, what is the likelihood of the world exploding
economically?
LaRouche: More than that,
it would explode if it were to continue on this track. Let me define what
the solution is, because that makes the crisis more clear.
To understand the present
world situation, you have to look back to the middle decades of the 14th
Century in Europe, when the Lombard banking system collapsed. At that
time, the Lombard bankers were able to enforce the collection of debts.
As a result, they had a dark age in which the population of Europe collapsed
by at least one-third. If the IMF conditions are not overturned now, a
similar fate to that of the "little dark age" of the 14th Century
will hit most of the world as a whole.
Therefore, the key today
is to not make the mistake of 14th Century Europe. It is the debts which
must suffer, not the nations.
Q: You often make references
to the question of a financial bubble. What precisely is that?
LaRouche: Well, what you
have istake three curves, which I've described many times. Since
1966, looking at the United States and the United Kingdomthe figures
for other countries are similar, but a little differentwe've had
an increase in financial aggregates, at the same time that the physical
aggregates of production are collapsing. This process has been funded
by the growth of monetary aggregates. So therefore, most of the financial
values upon which the debts are based, are fictitious. They have no physical
basis in reality.
As a result, the entire IMF
system is a gigantic financial bubble, like the John Law bubble in France
in the early 18th Century, and like the debt bubble that was built up
by the Lombard bankers in the 14th Century.
Recently, the rate at which
monetary aggregate has to be put in, as you see in the recent Brazil bail-out,
actually exceeds the amount of financial aggregates they're saving. Which
is what happened in Germany at a certain point, which led to the great
hyperinflation of Germany in 1923.
I think that you'll find
that, among inside circles in the United States, London and Europe today,
they presently agree generally that the present IMF system is hopeless.
It cannot be saved.
Q: What's the responsibility
or the role in this of the Federal Reserve in the United States?
LaRouche: The Federal Reserve
is implicity bankrupt. You have, for example, two U.S. banks which have
traditionally dominated South America. In former times, this was the Rockefeller
bank, Chase Manhattan, and Citibank. And you had a third factor behind
the scenes, J.P. Morgan. So, today, you have the consolidated CitiGroup,
controlled by Sandy Weill, who is not exactly the most honest man I've
ever known. And you have J.P. Morgan Chase. They are about to go under.
That's what the bailout for Brazil was actually for. That was not done
for Brazil or for Uruguay, but to rescue the U.S. banking system.
But the bailout won't work.
So therefore, the Federal Reserve system is bankrupt. So, if the United
States government is sane, and I have some indications that sanity might
take over the U.S. government, then the U.S. government will act as Franklin
Roosevelt acted. It will put the world banking system into a bankruptcy
reorganization, through agreements among governments. We will probably
freeze most of the debt, while ensuring a flow of credit to keep employment
and production and pensions going. And also launch an economic recovery.
And these are the only rational solutions available to the world at this
time.
Q: Mr. LaRouche, what
do you know about the possibility that they will try to collect Argentina's
foreign debt through national territory?
LaRouche: If they do that,
Argentina will disintegrate. If it's done to Argentina, it will set off
a chain reaction in which the entirety of South America will go into the
same crisis. There is no part of Ibero-America which could survive under
those conditions. That is absolutely morally forbidden. It would be the
beginning of a dark age for all humanity.
Q: What's the view of
the Democratic Party with regard to the crisis in this region, and what
differences are there with the Republican Party?
LaRouche: The Democratic
Party has some of the worst fascists in the world in it, typified by Michael
Steinhardt, one of the financial backers of Senator Joe Lieberman, who
is one of the worst. You have some of the same types in the Republican
Party, so what I'm trying to do is make a revolution in the Democratic
Party, while also cooperating with sane people in the Republican Party.
I'm trying to pull together
a combination among people, which can walk into the White House and get
a change of policy, because that's what is absolutely necessary. Anything
else will be a catastrophe.
Q: What is the relationship,
as you see it, between London and New York, and concretely, is that the
location of the hidden powers that govern the world?
LaRouche: Not exactlyit
is and it isn't. You have an international English-speaking oligarchy,
which is based in the United States, Canada, the United Kingdom, Australia
and New Zealand. They're pretty nasty, but on the present issues, they're
divided. The British are against what is being proposed for an Iraq war,
even though Blair says he's for it. Continental Europe and Russia are
against this. There's a big opposition to this within the United States.
So, in the present crisis, you have a picture where the United States'
authority, while still powerful, is disintegrating internationally.
We've entered a period of
extreme turbulence, where many of the agreements and alliances are breaking
up. And we're in a period where new kinds of alliances, of cooperation
are likely. Not certain, but likely.
Q: After the dollarization
of certain countries in South America, such as Ecuador, did their situations
improve or worsen?
LaRouche: It's worsened.
For example, in Brazil, the dollarization of their debt is the leading
cause of catastrophe in that country.
Q: A related question
is, do you see any forces in the State Department, CIA or elsewhere, that
are financing any form of military uprising against democracy?
LaRouche: There's a general
tendency, especially among the so-called Utopian crowd in the United States.
To make it simple: that anybody in the United States or elsewhere who
is presently allied with Ariel Sharon in Israel, would be part of such
an operation. Those are the guys who would do it.
Q: So then, there is a
real concrete danger that there are forces who could finance such a thing?
LaRouche: They wouldn't have
to finance it. They'd just do it!
Q: Thank you for this
interview, but one last question. What are your views regarding Hugo Chavez
in Venezuela, Fidel Castro in Cuba, and also Colombia?
LaRouche: Actually, Fidel
Castro is much more durable than the others are, for some strange reasons.
Castro is like a chameleon; he's changed his colors many times. He's also
been in desperate situations, but managed to change his colors at the
right time.
Chavez and Venezuela are
in deep trouble. There are some good qualities of people gathered around
Uribe, the new president of Colombia, but I wouldn't assume that all of
them are good, however. But Colombia has a greater survival potential
right now than Venezuela does, although I would hope it would improve
in Venezuela. Obviously the problem in Colombia is the drug problem. You
have to get this drug factor out of the situation, or under control, or
you cannot have a country in Colombia.
Q: Very good. Thank you
very much, Mr. LaRouche. Finally, what is your advice, or perhaps suggestions,
as to what Argentina should do to get out of this current situation, which
has driven more than half of its population into poverty?
LaRouche: Well, there are
things that can be done. But to do them, Argentina needs allies from abroad.
I've been looking at the Mercosur factor, for example. Unfortunately,
when the president of Peru then, [Alberto] Fujimori, made his speech at
the conference [of South American heads of States], they couped him immediately
afterwards.
But the present situation
in Argentina, Uruguay, Paraguay, and Brazil, in particular, is really
a problem for Europe, too. This can blow up the Spanish economy, which
could set off a chain reaction through all of Western Europe. So, if governments
are sane, they have to ally with Argentina, to give a solution for reconstruction
of Argentina, and to put some of this debt under reorganization.
You have to think about the
security of the population and institutions of Argentina. If that population
is not kept alive, and if the institutions are not saved, you will have
a situation very much like what happened with the Lombard banks' foreclosure
on England at the beginning of the dark age of the 14th Century.
I
think Argentina just has to reach out, to find co-thinkers in other countries
to build a coalition that can put enough pressure on to get a solution.
GuluFuture
HomePage
|