Executive Intelligence Review, Volume 29, Number 8, March 1, 2002
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EIR Founder and Contributing Editor: Lyndon H. LaRouche, Jr. Editorial Board: Lyndon H. LaRouche, Jr., Muriel Mirak-Weissbach, Antony Papert, Gerald From the Associate Editor Rose, Dennis Small, Edward Spannaus, Nancy Spannaus, Jeffrey Steinberg, William Wertz Editor: Paul Gallagher Associate Editors: Ronald Kokinda, Susan Welsh o, that’s not a typo on the cover. What’s “Cluster’s Last Stand”? Managing Editor: John Sigerson N Science Editor: Marjorie Mazel Hecht What’s a “Cluster-Bust”? To find out, read Lyndon LaRouche’s Special Projects: Mark Burdman speech to the Presidents’ Day weekend conference of the Schiller Book Editor: Katherine Notley Photo Editor: Stuart Lewis Institute and International Caucus of Labor Committees, our Fea- Circulation Manager: Stanley Ezrol ture story. INTELLIGENCE DIRECTORS: For the thousand people who attended the conference, and many Counterintelligence: Jeffrey Steinberg, Michele Steinberg more who tuned in over the Internet, this was an intense and uplifting Economics: Marcia Merry Baker, weekend of struggle over ideas. One woman’s response: “Do you Lothar Komp History: Anton Chaitkin realize that this was the longest time I have ever concentrated in my Ibero-America: Dennis Small life?” And an African journalist: “Your cause is, simply speaking, Law: Edward Spannaus Russia and Eastern Europe: sacred. In this time of insanity, it is enlightening to see such coura- Rachel Douglas geous, sane people. All I can say is, Americans should wake United States: Debra Freeman, Suzanne Rose up!” Many of the young people who attended stayed up all night for INTERNATIONAL BUREAUS: Bogota´: Javier Almario impromptu seminars on music and history—and somehow made it Berlin: Rainer Apel back the next morning for more. “How can we defeat the media Buenos Aires: Gerardo Tera´n Caracas: David Ramonet blackout of LaRouche?” they wanted to know. “Weren’t the Found- Copenhagen: Poul Rasmussen ing Fathers racists? If we build the Eurasian Land-Bridge, aren’t we Houston: Harley Schlanger Lima: Sara Maduen˜o imposing our values on other nations? How do you organize other Melbourne: Robert Barwick people? How do you organize yourself every day?” Mexico City: Marivilia Carrasco, Rube´n Cota Meza The speech to the conference by Zimbabwe’s Ambassador to the Milan: Leonardo Servadio United States, Dr. Simbi Mubako (see International), gave eloquent New Delhi: Ramtanu Maitra Paris: Christine Bierre testimony to the effect that the LaRouche movement is having world- Rio de Janeiro: Silvia Palacios wide. “We have learned that, after all, there is life after the IMF,” he Stockholm: Michael Ericson United Nations, N.Y.C.: Leni Rubinstein said. “We have learned that we should encourage everybody to join Washington, D.C.: William Jones the movement for the establishment of a New International Economic Wiesbaden: Go¨ran Haglund Order.” Many other nations, currently cowering before the blackmail EIR (ISSN 0273-6314) is published weekly (50 issues) threat of the International Monetary Fund and the “financial commu- except for the second week of July and the last week of December, by EIR News Service Inc., 317 Pennsylvania nity,” need to learn that lesson, fast. Ave., S.E., 3rd Floor, Washington, DC 20003. (202) 544-7010. For subscriptions: (703) 777-9451, or toll- Elsewhere in this issue, we have extensive coverage of the Anglo- free, 888-EIR-3258. World Wide Web site: http://www.larouchepub.com American drive toward war, notably against Iraq—and the backlash e-mail: [email protected] against that. Almost no one outside the United States supports the European Headquarters: Executive Intelligence Review Nachrichtenagentur GmbH, Postfach 2308, idea of war against Iraq: not even Kuwait, whose Defense Minister D-65013 Wiesbaden, Bahnstrasse 9-A, D-65205, Wiesbaden, Federal Republic of Germany said nervously on Feb. 20, “We do not interfere in the internal affairs Tel: 49-611-73650. Homepage: http://www.eirna.com E-mail: [email protected] Executive Directors: Anno of any country.” Even in Britain, there are establishment voices being Hellenbroich, Michael Liebig In Denmark: EIR, Post Box 2613, 2100 Copenhagen ØE, raised, denouncing Tony Blair for having gotten the U.K. into a mess Tel. 35-43 60 40 in Afghanistan which is only going to get worse in the months to In Mexico: EIR, Serapio Rendo´n No. 70 Int. 28, Col. San Rafael, Del. Cuauhte´moc. Me´xico, DF 06470. Tels: 55-66- come. 0963, 55-46-2597, 55-46-0931, 55-46-0933 y 55-46-2400. Japan subscription sales: O.T.O. Research Corporation, Takeuchi Bldg., 1-34-12 Takatanobaba, Shinjuku-Ku, Tokyo 160. Tel: (03) 3208-7821. Copyright 2002 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 Economics 4 Derivatives Write Epitaph for the Financial Markets Cover Since the collapse of Enron, new This Week revelations are warning that underneath the visible spectacle of large corporations going bankrupt, are tens of trillions of derivatives contracts, threatening to bring down the biggest banks in the world. 7 South Korea’s Kim Gets Bush To Back Silk Road 16 After the Collapse of Enron: Next Comes the 9 Ibero-America and the Cluster-Bust! World Land-Bridge Lyndon H. LaRouche, Jr.’s keynote speech to the Presidents’ Day weekend conference of the Schiller 15 Colombia’s Pastrana Institute and International Caucus of Labor Committees, Breaks With the FARC in Reston, Virginia. “We’ve come to a momentous weekend, as I promised you, when I issued the title for today’s remarks: The Enron crisis would be ‘Cluster’s Last Stand.’ That we are now on the weekend of the Great Cluster-Buster; the day that the walls fall down. Not that the falling is completed today, but, to many people around the world who are paying attention, it’s obvious that this financial system, as a whole, is in the process of disintegrating.” The solutions—the Eurasian Land-Bridge, the New Bretton Woods—are on the table. “All it requires, at this point, is . a leader of vision and understanding, who’s Photo and graphics credits: Cover design, Alan Yue; (Custer’s Last willing to break glass, the glass imprisonment of popular Stand) www.arttoday. Pages 5, 22 opinion, and say: ‘We are going to Hell. Would you like (except chorus), 45, 66 (O’Neill), to survive? Will you join me in surviving?’ And, what I EIRNS/Stuart Lewis. Pages 10, 12, need from you, and from many other people, is a simple, 13, 26, 31, EIRNS. Page 17, ‘Yes. We want to do it.’ ” EIRNS/Gene Schenk. Page 22 (chorus), EIRNS/Suzanne Klebe. Page 34, Courtesy of Walter Simon. Page 40, Courtesy of General Atomics. Page 43 (Blair), Digital Photo/Remy Steinegger; (Mugabe) UN Photo. Page 47, Afrique Relance´/United Nations website. Page 53, White House photo/Paul Morse. Page 55, (Fischer), EIRNS/ Christopher Lewis; (Ve´drine), photographic service of Minister Hubert Ve´drine. Page 58, NSIPS/ Per Wa¨hlin. Page 66 (Hamilton), National Archives. www.larouchepub.com Volume 29, Number 8, March 1, 2002 Science & Technology International National 32 New Nuclear Designs 42 British Colonialists Misfire 64 On Presidents’ Day, Ready To Power Economicin Zimbabwe LaRouche Is the American ReconstructionAs Zimbabwe’s March 9-10 Leader In America, Russia, and Southelections approach, Africa’s former During the long weekend of Feb. Africa, companies have designedcolonial masters, led by Britain, 16-18, Presidents’ Day, Democratic new nuclear reactors—small,have so accelerated their war of Presidential pre-candidate Lyndon inherently safe high-temperaturepropaganda and manipulation LaRouche was simultaneously the modules, ideal for industrializingagainst the Zimbabwe government, center of attention and leadership at underdeveloped regions. Marjoriethat they run the risk of losing some a national conference of his U.S. Mazel Hecht reports.of their control elsewhere in Africa. political movement, and in the press of a number of other nations. 33 South Africa’s PBMR Is 44 Zimbabwe Under Siege Moving Ahead A speech by Dr. Simbi Mubako, the 65 Bush’s Budget Seeks Ambassador of Zimbabwe to the British-Style ‘Reform’ 34 Russia’s GA Reactor To United States. Burn Weapons Plutonium 68 Pakistan: Little Substance An interview with Walter Simon. 47 UN Adviser Tells the Hard in Musharraf’s U.S. Visit Truth About Africa 36 General Atomics’ GT- 69 Maryland Teachers Fight MHR48 Sharon’s Two-Front War Bush’s Testing Policy Against Peace 70 Congressional Closeup Interviews 50 The Truth Sticks: Sharon Is a Liar 34 Walter Simon Mr. Simon is a nuclear engineer and 52 Washington Is Heading for Senior Vice President for Reactor a New Iraq War Projects at General Atomics in San Diego. He is in charge of the joint 54 Europeans Oppose ‘Axis of program GA has with Russia to Evil’ Line build a nuclear reactor, which will use weapons-grade plutonium as 56 Afghanistan Plants a fuel. Bumper Opium Crop 57 In Memoriam: John Departments Erickson (1929-2002) 72 Editorial 59 On the Passing of John What’s Really at Stake in Zimbabwe. Erickson By Lyndon H. LaRouche, Jr. 60 OIC, EU Unite vs. Clash of Correction: In last week’s issue, an Civilizations Crowd editorial error was introduced into the article “Scalia Backs Feudal 62 Cambodia: UN, NGOs Law Against Democracy,” by Endanger Peaceful Marianna Wertz (p. 79). Scalia told Recovery the Pew Forum, “The Constitution I apply is not living but dead or, as I put it, ‘enduring.’” EIREconomics Derivatives Write Epitaph For the Financial Markets by John Hoefle It has been said that by the time you see the termites eating as a form of insurance policy; someone who owns a bond your kitchen table, your entire house is gone.