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Executive Intelligence Review, Volume 24, Number 28, July 4, 1997

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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, Webster Tarpley, William Wertz Associate Editor: Susan Welsh ne year ago, in our July 19, 1996 issue, EIR slammed the Lyons Managing Editors: John Sigerson, O Ronald Kokinda summit of the Group of Seven for having reached a new “Munich Science Editor: Marjorie Mazel Hecht Pact,” an agreement which would in no way stave off the financial Special Projects: Mark Burdman Book Editor: Katherine Notley collapse that the assembled leaders desperately hoped to avoid. Chat- Advertising Director: Marsha Freeman tering about the supposed benefits of “globalization,” they invited the Circulation Manager: Stanley Ezrol heads of four supranational institutions—the United Nations, Inter- INTELLIGENCE DIRECTORS: national Monetary Fund, World Bank, and World Trade Organiza- Asia and Africa: Linda de Hoyos Counterintelligence: Jeffrey Steinberg, tion—to participate in the summit, for the first time, on an equal Paul Goldstein Economics: Marcia Merry Baker, footing with leaders of sovereign nations. William Engdahl Lyndon LaRouche compared this to the meeting of Britain’s Nev- History: Anton Chaitkin Ibero-America: Robyn Quijano, Dennis Small ille Chamberlain and France’s Daladier with Hitler in Munich, in an Law: Edward Spannaus effort to prevent World War II. “It didn’t work,” he said. “Similarly, Russia and Eastern Europe: Rachel Douglas, Konstantin George this new Munich Pact of Lyons, is not going to work, either. It’s going United States: Kathleen Klenetsky to blow up in people’s faces.” INTERNATIONAL BUREAUS: Reading the current issue of EIR from that vantage-point, under- Bogota´: Jose´ Restrepo Bonn: George Gregory, Rainer Apel lines how very right we were. Buenos Aires: Gerardo Tera´n In Africa, the British-led oligarchy has carried out a resource- Caracas: David Ramonet Copenhagen: Poul Rasmussen grab in the past year, that has left hundreds of thousands of human Houston: Harley Schlanger corpses in its wake, as a deliberate policy (while they protect the Lima: Sara Maduen˜o Mexico City: Hugo Lo´pez Ochoa rhinos and the elephants). See International for an analysis of devel- Milan: Leonardo Servadio opments in Burundi, and a speech by Linda de Hoyos on how the New Delhi: Susan Maitra Paris: Christine Bierre British gameplan was carried out. Rio de Janeiro: Silvia Palacios Russia has plunged, with unbelievable rapidity, into an Inferno Stockholm: Michael Ericson Washington, D.C.: William Jones of economic and demographic breakdown. See Economics for reports Wiesbaden: Go¨ran Haglund by Rachel Douglas and Russian economist Stalina Belozerova. EIR (ISSN 0273-6314) is published weekly (50 issues) Now, seemingly out of nowhere, North Korea is stricken by except for the second week of July, and the last week of famine; millions of lives are threatened, while the British and their December by EIR News Service Inc., 317 Pennsylvania Ave., S.E., 2nd Floor, Washington, DC 20003. (202) U.S. assets play geopolitical games, and no relief is sent. 544-7010. For subscriptions: (703) 777-9451. World Wide Web site: http://www.larouchepub.com Yet, at the Denver summit of what is now the Group of Eight, e-mail: [email protected] European Headquarters: Executive Intelligence Review absolutely nothing was done to address these vital policy issues. Nachrichtenagentur GmbH, Postfach 2308, D-65013 Wiesbaden, Otto von Guericke Ring 3, D-65205 What basis is there for optimism, in such a world? Do as Christ Wiesbaden, Federal Republic of Germany Tel: (6122) 9160. Homepage: http://www.eirna.com did, in the image by Rembrandt on our cover: Throw the usurers out! E-mail: [email protected] Executive Directors: Anno Hellenbroich, Michael Liebig LaRouche’s contribution in this issue, “Not by Marketplace Alone!” In Denmark: EIR, Post Box 2613, 2100 Copenhagen ØE, is a profound discussion of statecraft, strategy—and optimism. Tel. 35-43 60 40 In Mexico: EIR, R´ıo Tiber No. 87, 5o piso. Colonia A final note: In accordance with our usual schedule, EIR will not Cuauhte´moc. Me´xico, DF, CP 06500. Tel: 208-3016 y 533- 26-43. be published next week. Our next issue will be dated July 18. Japan subscription sales: O.T.O. Research Corporation, Takeuchi Bldg., 1-34-12 Takatanobaba, Shinjuku-Ku, Tokyo 160. Tel: (03) 3208-7821. Copyright © 1997 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 Strategy Economics 17 Report from Rio 4 Russia’s borrowing binge Cardoso bets his nation at the may not buy social peace casino. While one Russian central bank representative compared Russia to a 75 Report from Bonn “vacuum cleaner, sucking up all It can be done, but must be done available resources on the market,” now. the country itself is being pulled downward into a maelstrom. 76 Australia Dossier High Court rips Constitution. Rembrandt’s etching of “Christ Driving the Money- 6 The deformation of the Changers from the Temple.” structure of industrial 77 From New Delhi employment in Russia A small step forward. 28 ‘Not by marketplace A report by Stalina Belozerova of alone!’ the Russian Academy of Sciences to 88 Editorial Michael Novak, Calvinist? Lyndon a Moscow seminar of the Schiller Ecology today: worse than Hitler. H. LaRouche, Jr. evaluates the Institute of Science and Culture. strategic issues referenced by Joseph Cardinal Ratzinger’s recent 10 Currency Rates statement on the World Council of Photo and graphics credits: Pages Churches and certain Protestant 11 Rees-Mogg echoes EIR on 7, 56, 57, 59-63, EIRNS/John cults. “The statement is not merely factually accurate,” LaRouche Tony Blair as a new Sigerson. Page 13, courtesy of Ramsay MacDonald China Pictorial. Pages 21, 25, 47, writes, “but addresses a matter of highest strategic concern.” EIRNS/Christopher Lewis. Pages 12 China builds transport 29 (Novak, Robertson), 43, 51, EIRNS/Stuart Lewis. Page 55, 65, 30 Ratzinger: World Council system for the future, looks Bundesbildstelle/Bonn. Page 68, of Churches aids for cooperation EIRNS/Philip Ulanowsky. Page 71, subversives A German-Chinese seminar on EIRNS/Andrew Spannaus. transport and logistics, in Munich, provided important insights into China’s development programs, and pointed toward the kind of long- term cooperation between industrial and developing countries, needed to get out of the economic depression. 15 Asia gears up for space exploration 18 Business Briefs Volume 24, Number 28, July 4, 1997 Feature International National 20 Jospin stuns London by 48 London uses food weapon 80 Denver ‘Summit of Eight’: defense of the nation-stateto starve out North Korea a Mad Hatter’s tea party France’s new Prime Minister Lionel With 24 million North Koreans The Summit of the Eight leaders Jospin is standing up to thefacing imminent starvation, the accomplished nothing, in the face of Maastricht monetarists, especially cold-blooded geo-strategists from a rapidly crumbling financial his fellow socialist Britain’s TonyLondon, and their Pentagon and system. Blair, and overthrowing the anti- State Department co-thinkers, are nation-state rampage of his socialist blocking anything but token 82 GOP fractures over predecessor Franc¸ois Mitterrand— “humanitarian aid.” Gingrich’s leadership including Mitterrand’s Entente The neo-cons are “losing it” and Cordiale with Margaret Thatcher. 50 Mexico’s Ca´rdenas is as blaming it all on Newt. fascist as the IMF 24 Economists denounce This candidate for Mexico City 83 Christian pharisees target ‘monetarist’ EMU mayor is swiftly becoming known China, Sudan as the “Kabila of Mexico.” The economic fraud of the The very “Project Democracy” European Monetary Union has been gang that overthrew countries in the called by 331 European economists 52 London marcher lords 1980s is now operating under a new from 14 nations, who have signed prepare final solution for cover—stopping “religious an open letter to heads of state. Burundi persecution.” 54 London’s plan for 84 Congressional Closeup destroying Africa Linda de Hoyos addresses a June 18 EIR seminar in Washington, D.C. 86 National News 64 Pope John Paul II brings message of inspiration to his native Poland Excerpts from his speeches and homilies during his ten-day visit, where he confronted the social dislocation that plagues the former Communist countries. 68 An Armenian view of Iran’s transformation An eyewitness report by newspaper editor Haik Babookhanian. 70 British launch new phase of their attack against the Italian nation On the model of the Basque ETA, Italy’s Liga Veneta-Lega Nord separatists may be the “legal” cover for armed terrorists, which bears the trademark “made in London.” 78 International Intelligence EIREconomics Russia’s borrowing binge may not buy social peace by Rachel Douglas There was a moment of psychological truth on Russian televi- physical economic recovery in Russia, the cash infusion will sion the other night, when Viktor Shenderovich’s influential be spent, fire-brigade fashion, on attempts to secure social “Kukly” (“Puppets”) satire show portrayed President Boris peace for some more months, paying overdue wages and sti- Yeltsin on an outing with the young first deputy premiers, pends to retirees, state-sector workers, and the military. Boris Nemtsov and Anatoli Chubais. Calling each other “Anatole, Bob, and Big Bob” for the occasion, the puppets The debt grows representing the three decided to “go to the source”—mean- “Russia is similar to a vacuum cleaner, sucking up all ing, to London! To the accompaniment of the Beatles’ song available resources on the market,” Russian Central Bank “Yesterday,” they went boating on the Thames.
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