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Executive Intelligence Review, Volume 25, Number 16, April 17, 1998

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Executive Intelligence Review, Volume 25, Number 16, April 17, 1998 EIR Founder and Contributing Editor: Lyndon H. LaRouche, Jr. Editorial Board: Melvin Klenetsky, Lyndon H. LaRouche, Jr., Antony Papert, Gerald Rose, From the Associate Editor Dennis Small, Edward Spannaus, Nancy Spannaus, Jeffrey Steinberg, William Wertz Associate Editor: Susan Welsh Managing Editors: John Sigerson, n this issue, we feature breaking news developments in the fight for Ronald Kokinda I Science Editor: Marjorie Mazel Hecht a New Bretton Woods financial reorganization, and a major theoreti- Special Projects: Mark Burdman cal piece by Lyndon H. LaRouche, Jr., analyzing the principles of Book Editor: Katherine Notley Advertising Director: Marsha Freeman long-range economic forecasting that are required for such a reorga- Circulation Manager: Stanley Ezrol nization to succeed. INTELLIGENCE DIRECTORS: LaRouche and his wife recently concluded a visit to Rome, where Asia and Africa: Linda de Hoyos Counterintelligence: Jeffrey Steinberg, they addressed political and diplomatic leaders (see International). Paul Goldstein They had been there exactly one year ago, and what changes have Economics: Marcia Merry Baker, William Engdahl occurred worldwide, in that intervening period! Here is how History: Anton Chaitkin LaRouche characterized the financial and strategic crisis, and the Ibero-America: Robyn Quijano, Dennis Small Law: Edward Spannaus need for a New Bretton Woods reform, during his 1997 visit: “Most Russia and Eastern Europe: intelligent governments know there are alternatives to what is hap- Rachel Douglas, Konstantin George United States: Debra Freeman, Suzanne Rose pening. Most people in senior positions of experience know there are INTERNATIONAL BUREAUS: alternatives in practice, to what is going on now. But they will say, Bogota´: Jose´ Restrepo ‘It’s politically impossible to bring this about. The governments will Bonn: George Gregory, Rainer Apel Buenos Aires: Gerardo Tera´n never do it.’ Which means the captain will never let the passengers Caracas: David Ramonet off the Titanic. That’s the problem I face: how to get a solution.” Copenhagen: Poul Rasmussen Houston: Harley Schlanger Today, the problem is essentially the same one of political will. Lima: Sara Maduen˜o But, the potential for a positive shift, toward LaRouche’s policies, is Mexico City: Hugo Lo´pez Ochoa Milan: Leonardo Servadio much more apparent. As the LaRouches were speaking, Italian Prime New Delhi: Susan Maitra Minister Prodi was in Argentina, making statements in favor of a Paris: Christine Bierre Rio de Janeiro: Silvia Palacios New Bretton Woods. The onset of the so-called “Asian crisis” last Stockholm: Michael Ericson year, and its spread to other continents, awakened many policymakers Washington, D.C.: William Jones Wiesbaden: Go¨ran Haglund to the truth of what LaRouche has been saying. In his Feature in this issue, LaRouche elaborates the scientific EIR (ISSN 0273-6314) is published weekly (51 issues) except for the second week of July, and the last week of issues of policy which must now be grasped by those policymakers, December by EIR News Service Inc., 317 Pennsylvania Ave., S.E., 2nd Floor, Washington, DC 20003. (202) and other citizens. “Up to this time,” he writes, “no government of 544-7010. For subscriptions: (703) 777-9451. World Wide Web site: http://www.larouchepub.com the recent quarter-century, or other relevant leading institution of e-mail: [email protected] the same period, has yet become sufficiently competent to define European Headquarters: Executive Intelligence Review Nachrichtenagentur GmbH, Postfach 2308, adequately the policies needed, in the aftermath of the adoption of a D-65013 Wiesbaden, Otto von Guericke Ring 3, D-65205 Wiesbaden, Federal Republic of Germany New Bretton Woods monetary order. Tel: (6122) 9160. Homepage: http://www.eirna.com E-mail: [email protected] Executive Directors: Anno “Earlier, I have identified and summarized the essential features Hellenbroich, Michael Liebig In Denmark: EIR, Post Box 2613, 2100 Copenhagen ØE, of that matter, of long-range forecasting. We continue that discussion Tel. 35-43 60 40 here, extending it to its bearing on both the design and management In Mexico: EIR, R´ıo Tiber No. 87, 5o piso. Colonia Cuauhte´moc. Me´xico, DF, CP 06500. Tel: 208-3016 y 533- of a physical-economic recovery program.” 26-43. Japan subscription sales: O.T.O. Research Corporation, Takeuchi Bldg., 1-34-12 Takatanobaba, Shinjuku-Ku, Tokyo 160. Tel: (03) 3208-7821. Copyright © 1998 EIR News Service. All rights reserved. Reproduction in whole or in part without permission strictly prohibited. Periodicals postage paid at Washington D.C., and at an additional mailing offices. Domestic subscriptions: 3 months—$125, 6 months—$225, 1 year—$396, Single issue—$10 Postmaster: Send all address changes to EIR, P.O. Box 17390, Washington, D.C. 20041-0390. EIRContents Departments Economics 19 Banking 13 Mexico tries to save the Citicorp-Travelers merger is illegal. banks with a hyperinflationary bailout 50 Report from Bonn A ship pre-programmed to sink. 15 Peru’s banking system faces imminent crash 51 From New Delhi Time to expand relations with 16 Opposition grows against China. privatizing Banco de la Nacio´n in Argentina 52 Australia Dossier U.S. Secretary of the Treasury Henry Morgenthau opens a session at the Bretton Woods International British interests target the largest British intelligence asset on trial. Monetary Conference in Bretton Woods, New Hamp- bank in the country. shire, in 1944. The flags of the 44 nations which 53 Dateline Mexico attended surround the dias. 17 Argentina’s BNA: a symbol Wanted for treason: Samuel Ruiz. of hope 4 Calls for New Bretton President Carlos Pellegrini (1890- 72 Editorial Woods mount, as crisis 92) founded the Bank of the It’s just the stock market—not worsens Argentine Nation to finance internal reality. The debate over what to do with the development and provide cheap bankrupt world financial system has credit to productive enterprises. reached a new intensity, as Italian Photo and graphics credits: Prime Minister Prodi and other 20 Business Briefs Cover, courtesy of the Mount world leaders back LaRouche’s call Washington Hotel and Resort. Page for a New Bretton Woods system. 6, Wayne Barwick. Pages 23, 24, The financial oligarchy, however, is 29-35, 39, EIRNS/John Sigerson. demanding a hyperinflationary bailout. Corrections: In the April 10 EIR 6 Australians for LaRouche interview with LaRouche Democrat Ron Wieczorek, there were a few 8 Russian spotlight on minor errors: The average corn LaRouche’s policies price at the Mt. Vernon elevator is $2.05 (not $2.50). South Dakota is in the top six states for millionaires 9 Roosevelt’s appeal to per capita (not billionaires). A Congress to pass the hospital in Mitchell (not Sioux Bretton Woods agreement Falls) is the new area law Excerpts from President Franklin enforcement center. The city of Delano Roosevelt’s “Message to Pierre (not Chamberlain) had eight Congress Urging Adoption of the teenage suicides in the last two and Bretton Woods Agreements.” a half years. On April 8, Wieczorek was 12 China’s ‘New Deal’ for certified by the South Dakota railroads, energy Secretary of State as a candidate for the Democratic Party nomination for Congress in the June 2 primary. Volume 25, Number 16, April 17, 1998 Feature International National 22 The principles of long- 44 LaRouches mobilize in 56 Will the treason faction range forecasting Italy for a New Bretton wreck the Republican “To forecast,” writes Lyndon H. Woods Party? LaRouche, Jr., “one must Lyndon and Helga LaRouche Beyond the prospects of a concentrate on both the physical- addressed a meeting on a New Republican mid-term loss of the economic aspect, with its immediate Bretton Woods financial House majority, there are other connections to matters of principles reorganization, held at the Hotel signs of far-reaching problems in of physical science, but also the Nazionale in Rome. The briefing the GOP. generationally oriented social- was attended by Members of cultural processes. We have a Parliament, economists, journalists, 58 DOJ puts Starr on the spot significant, but secondary interest in and diplomats. in payola scandal the relatively more transient Documentation: Excerpts from The case of David Hale, the “well- opinions as such, but a great deal of Lyndon LaRouche’s speech to the tampered” witness. interest in what the London Rome meeting on April 2. Tavistock Institute would prefer to identify as cultural ‘mind-set,’ or 61 Conference takes up threat ‘cultural paradigm shifts:’ the 49 Conspiracy of silence on of biological and chemical axiomatic hypotheses which tend to Diana’s murder warfare predetermine what opinions will be The shift from a campaign of A window on the debate over how engendered, by the unfolding of a continuous disinformation, aimed at to deal with the threat of biological certain direction in combined, boosting the official French police and chemical weapons of mass interacting, cultural and physical- claim that the murders of Princess destruction, from terrorist economic developments over, Diana, Dodi Fayed, and Henri Paul organizations and/or foreign usually, the span of a generation or were the result of drunk driving by governments, was opened at a two.” Paul, to a media blackout, was conference in Baltimore. triggered by revelations that threatened to blow apart the entire 62 U.S. biowarfare defense cover-up effort. doesn’t measure up A report on the Baltimore 54 International Intelligence conference by Dr. John Grauerholz. 65 The recommendations of the Defense Science Board Excerpts from the keynote speech to the conference by Donald Latham, a member of the Defense Science Board. 68 Congressional Closeup 70 National News EIREconomics Calls for New Bretton Woods mount, as crisis worsens by Marcia Merry Baker and Gail Billington As we go to press, finance officials from around the world are Asian debt crises, the autumn 1997 bailout-bank privatization about to gather in Washington, D.C.
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