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 he graph on our cover, well known to regular readers of EIR as Managing Editor: John Sigerson T Science Editor: Marjorie Mazel Hecht Lyndon LaRouche’s “Triple Curve” schematic, presents an air-tight Special Projects: Mark Burdman proof of LaRouche’s diagnosis, that the current financial and mone- Book Editor: Katherine Notley Photo Editor: Stuart Lewis tary system is bankrupt beyond repair. It shows the hyperbolic rate of Circulation Manager: Stanley Ezrol growth of financial and monetary aggregates, and the corresponding INTELLIGENCE DIRECTORS: downward plunge of physical economic production. Counterintelligence: Jeffrey Steinberg, Michele Steinberg This hyperbolic function represents a phase shift, an absolute Economics: Marcia Merry Baker, limit at which a collapse occurs—unless the world’s nations inter- Lothar Komp History: Anton Chaitkin vene to replace the existing, terminally diseased system with a new, Ibero-America: Dennis Small healthy one. As our Economics section documents, we have now Law: Edward Spannaus Russia and Eastern Europe: reached the point shown on the schematic, at which the growth of Rachel Douglas monetary aggregates soars above the financial paper, and the econ- United States: Debra Freeman, Suzanne Rose omy is set for hyperinflation. INTERNATIONAL BUREAUS: Bogota´: Javier Almario As LaRouche has argued since the Sept. 11 irregular warfare Berlin: Rainer Apel attacks on the United States, this collapse dynamic is what is propel- Buenos Aires: Gerardo Tera´n Caracas: David Ramonet ling the crazed financier oligarchy to carry out desperate actions to Copenhagen: Poul Rasmussen try to save its own power. Houston: Harley Schlanger Lima: Sara Maduen˜o In our Jan. 11 issue, LaRouche’s article, “Zbigniew Brzezinski Melbourne: Robert Barwick and September 11,” laid out his analysis of the ongoing coup d’e´tat Mexico City: Marivilia Carrasco, Rube´n Cota Meza against the U.S. Constitution. Our Feature this week supplies docu- Milan: Leonardo Servadio mentary elaboration: profiles of some of the key geopolitical lunatics New Delhi: Susan Maitra Paris: Christine Bierre whose ideology lies behind the drive for a “clash of civilizations.” Rio de Janeiro: Silvia Palacios Anybody who still believes the fairy tale that Osama bin Laden was Stockholm: Michael Ericson United Nations, N.Y.C.: Leni Rubinstein the mastermind of the terror attacks, should read, in their own chilling Washington, D.C.: William Jones words, what Brzezinski and his cohorts have to say, about their plan Wiesbaden: Go¨ran Haglund to destroy the sovereignty of all nation-states—including the United EIR (ISSN 0273-6314) is published weekly (50 issues) States. except for the second week of July and the last week of December, by EIR News Service Inc., 317 Pennsylvania LaRouche’s view is increasingly widely endorsed abroad (see Ave., S.E., 3rd Floor, Washington, DC 20003. (202) 544-7010. For subscriptions: (703) 777-9451, or toll- International), even as the American public continues to be free, 888-EIR-3258. World Wide Web site: http://www.larouchepub.com brainwashed by a media cartel controlled by the oligarchy itself. e-mail: [email protected] In a message to patriots of Argentina and Brazil dated Jan. 17, European Headquarters: Executive Intelligence Review Nachrichtenagentur GmbH, Postfach 2308, LaRouche gave us all our marching orders: to “outflank the utopian D-65013 Wiesbaden, Bahnstrasse 9-A, D-65205, Wiesbaden, Federal Republic of Germany warriors”—Brzezinski and company—“by using our weapon, eco- Tel: 49-611-73650. Homepage: http://www.eirna.com E-mail: [email protected] Executive Directors: Anno nomic growth, against their weapon, lunatic destruction. If we do not Hellenbroich, Michael Liebig In Denmark: EIR, Post Box 2613, 2100 Copenhagen ØE, find the courage to defend economic growth against the demands that Tel. 35-43 60 40 we dismantle essential elements of our economies, we, by our own In Mexico: EIR, Serapio Rendo´n No. 70 Int. 28, Col. San Rafael, Del. Cuauhte´moc. Me´xico, DF 06470. Tels: 55-66- negligence, would have surrendered already to the utopian reign of 0963, 55-46-2597, 55-46-0931, 55-46-0933 y 55-46-2400. Japan subscription sales: O.T.O. Research Corporation, general destruction of humanity as a whole.” 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 13 A Short History of ‘Chapter 11’: Model for a Cover Bankrupt Economy This Week Under traditional English “rule of law”—modelled on Roman law— contracts are considered sacrosanct, LaRouche’s Typical and debts must be repaid at all Collapse Function costs. In opposition to this is the shows a critical American System of political point of instability, economy, which emphasizes the at which the Constitutional principle of the hyperbolic growth general welfare—and which was of money-printing used, during the 1930s, to carry out outstrips that of the a thorough-going revision of U.S. financial aggregates 4 LaRouche Points To His 1995 ‘Triple Curve’ it is supporting, bankruptcy law. Edward Spannaus leading to Forecast of Today’s Collapse reports. hyperinflation. U.S. On Jan. 12, 2002, Lyndon LaRouche, the only economist economic data show who has accurately forecast the collapse of the U.S. and 16 LaRouche: Why We Need that point, forecast world economy, reviewed the six years since his “Triple Bankruptcy by LaRouche in Curve Collapse Function” was put forward. 2000, has now been Reorganization passed. 7 LaRouche ‘Typical Collapse Function’ 22 Big Three Auto Shutdown, Confirmed by U.S. Economy, 1996-2001 Layoffs: The First of Many To Come 24 Is Japan Now Facing a ‘Reverse Pearl Harbor’? Photo and graphics credits: Cover, EIRNS. Page 14, National Archives. Page 18, FDR Library. Page 23, EIRNS/Michael Leppig. Page 31, Kenyon College website. Page 33, UNESCO/ Claude Bablin. Pages 37, 50, 65, 38, EIRNS/Stuart Lewis. Page 39, UN/S. Lewin. Pages 41, 42, EIRNS. Page 46, Princeton Weekly Review. Page 53, IDF/Ra’anan Cohen. Page 58 (Macapagal-Arroyo), Malacanang Photo. Page 58 (Ramos), DOD photo/R.D. Ward. Page 63, Rome Sammarino website. Page 66 (Zepp-LaRouche), EIRNS/Christopher Lewis. Page 66 (Stoiber), Bavarian state government website. Page 69 (Lieberman), Lieberman website. www.larouchepub.com Volume 29, Number 3, January 25, 2002 Feature International National 26 ‘Open Conspirators’ 50 Opposition to ‘Osama Did 68 Joseph Lieberman, The Behind September 11 Coup It’: Impact of LaRouche’s ‘New Empire’ Presidential Plot Thesis Candidate To understand what was reallyWith what Lyndon LaRouche called Al Gore’s former Vice Presidential behind the Sept. 11 terror attacks, “the policies of Sept. 11” now the candidate, Sen. Joe Lieberman, you have to know the history of thesubject of increasing American effectively announced his utopian Anglo-American political debate over what to do next, a Presidential candidacy, promoting faction fathered by the utopian One-growing number of leading the religious warfare agenda of the World strategist, H.G. Wells. observers around the world are “clash of civilizations,” a bid for a publicly challenging the “Osama new “imperialist” U.S. foreign did it” story underlying those policy, and a call for a new Cold policies so far. War. PROFILES 52 War Cabal Shifts Its Sights 70 Sept. 11 Will Split To Iran Trilaterals’ Meeting 29 William Yandell Elliott 54 India Contemplates 71 Russia General Decries ‘Limited War’ To Stop Faction’s Genocidal Aims 34 Robert Strausz-Hupe´ Cross-Border Terrorism 37 Sir Henry Alfred Kissinger 57 Marines and Mini-Coup Departments Hit the Philippines 41 Zbigniew Brzezinski 72 Editorial 59 Colombia: ‘Peace’ With Pursuing Evil-Doers, Or Doing 44 Samuel P. Huntington Terrorists Disintegrates Good? 47 Bernard Lewis 61 Venezuela: Jacobin Fascism Defends Dying Neoliberalism 63 Pope John Paul II: Pursue the Common Good in Argentina, Mideast 64 South Africans Host Mideast Peace Talks 66 Germany: Election Alternative To Establishment’s Failure Correction: In the transcript of Henry Kissinger’s Chatham House speech published in EIR, Jan. 11, 2002, an editor’s interpolation on p. 50 misidentified George Canning (1770-1827). He was a British Prime Minister. EIREconomics LaRouche Points To His 1995 ‘Triple Curve’ Forecast of Today’s Collapse On Jan. 12, 2002, speaking to a California workshop recruit- top curves up. ing young volunteers to his campaign, Lyndon LaRouche re- The second version—in which I dealt with the phenome- viewed the six years since his “Triple Curve Collapse Func- non of the [United States as the] “importer of last resort,” last tion” was put forward. Subheads have been added to his year [see EIR, Jan. 19, 2001]—was based on the fact that, as presentation. we emphasized in various reports done by Richard Freeman and others, we’d reached the point, already during the period At the end of 1995, I was a guest at a Vatican conference of the 2000 election campaign, that we were in a Weimar type generally on health care. And as a contribution to the record of of hyperinflationary process. that conference, I produced a short report on related problems, and submitted a diagrammatic representation of the essence The Weimar Germany Example of my report, as to where the world economy—Europe, the Remember that in Germany, the hyperinflation really United States, and elsewhere—were going; and how this started several years before—about 1921—before the famous would affect health care.