Here are the simple facts of the great betrayal. Wilson and House knew that they were doing something momentous. One cannot fathom men's motives and this pair probably believed in what they were up to. What they did not believe in was representative government. They believed in government by an uncontrolled oligarchy whose acts would only become apparent after an interval so long that the electorate would be forever incapable of doing anything efficient to remedy depredations.
(AUTHOR'S NOTE: Dr. Pound wrote this introduction for the earliest version of this book, published by Kasper and Horton, New York, 1952. Because he was being held as a political prisoner without trial by the Federal Government, he could not afford to allow his name to appear on the book because of additional reprisals against him. Neither could he allow the book to be dedicated to him, although he had commissioned its writing. The author is gratified to be able to remedy these necessary omissions, thirty-three years after the events.)
For over four decades, physical economist Lyndon LaRouche has provided the intellectual and political leadership in the fight for a new international economic order for the planet, for the purpose of ending the historic imperial control of monetarism and unleashing mankind's creative powers as a species.
The profound impact of LaRouche's intellectual leadership is clearly reflected in the current actions being taken by the BRICS nations and others to create a new global financial architecture and strategic alliance among nations, with the recent establishment of the New Development Bank (NDB) and related developments.
A partial timeline of LaRouche's role in leading the fight for a new international economic order is chronicled below:
At a series of press conferences in April of 1975 in Bonn, Germany and in Milan, Italy, LaRouche presents his plan for “the immediate establishment of an International Development Bank as an agreement among the three principal world sectors—the industrialized capitalist sector, the so-called developing sector, and socialist countries.” He specifies that the immediate concentration of the investment thus made possible should be industrial development and expanded food production worldwide.
LaRouche predicts that the present, or then-existing, international monetary system of the I.M.F., would inevitably go bankrupt, and should be replaced by a different credit-creating institution, namely, an International Development Bank (I.D.B.), to facilitate long-term, low-interest credit for capital investment and capital-goods transfer from the industrialized sector to the so-called developing sector, in order to overcome the underdevelopment of Africa, Latin America, and large parts of Asia.
LaRouche issues a policy document for international circulation titled "IDB: How The International Development Bank Will Work" [PDF] in which he declared that two immediate, interconnected actions were imperative:
(1) The declaration of a commitment to sweeping financial reorganization of the world monetary system, involving an orderly process of debt moratoria and the establishment of an institution such as the proposed International Development Bank (IDB)
(2) Immediate commitment to enact, within each national sector of the capitalist world, these measures of emergency financial-reorganization legislation required to facilitate immediate economic recovery in conjunction with IDB efforts.
Within months, eighty-five nations, representing 2 billion people, meet in Colombo, Sri Lanka for the Fifth Summit of the Non-Aligned Movement and issue a unanimous declaration [pdf] calling for a new international economic order on August 19, 1976, identical in many regards to LaRouche's proposals spelled out in his policy document from the preceding year.
The declaration endorses both the establishment of a new international monetary and financial system to replace the International Monetary Fund and provide capital for Third World development through the creation of a Bank of the Developing Countries, as well as a debt moratorium for the least developed countries whose outstanding debts at the time made economic development for those nations impossible. The heads of state of the Non-Aligned nations declare that this summit represented:
"...a new step for the establishment of the new world economic order, and in particular, the essential element of such a new order, a new monetary and financial system."
In her keynote address to the summit, Sri Lankan Prime Minister Sirimavo Bandaranaike endorses the establishment of a development bank for the Third World:
"The developing countries are consistently denied the true value of their output by the vagaries of the international market and the manipulations of international finance. The developed countries have shaped the international financial system to suit their interests. Should we in the developing world sustain such a system? Should we not, instead attempt to develop a system all our own? ... One area of great promise, would be the establishment of a commercial bank — a Bank for the Third World — the bank of Asia, Africa, and Latin America. This would not be another non-aligned solidarity fund. It would be a genuine commercial bank and a truly multinational enterprise."
Immediately following the Colombo Summit, the Foreign Minister of Guyana, Frederick Wills, addresses the United Nations General Assembly in New York, on September 27, 1976, and calls for the establishment of a new international economic order through the creation of an international development bank and a debt moratorium for the developing world. Wills declared that "there can be no meaningful economic advance without the implementation of the New International Economic Order."
"The IMF and the Bretton Woods monetary system must give way to alternative structures like international development banks... The crippling problem of debt and the servicing of debt has assumed a special urgency. Developing countries cannot afford to depart from their basic and fundamental demand made in Colombo earlier this year calling for measures of cancellation, rescheduling, and the declaration of moratoria. We cannot afford to mortgage the future of unborn generations to the obligations of burdensome capital repayments and crushing debt servicing. The time has come for a debt moratorium."
In his capacity as a presidential candidate for the U.S. Labor Party in the 1976 Presidential elections, Lyndon LaRouche celebrates the historic decisions made by the Non-Aligned Movement at the Colombo Summit saying:
"We have succeeded in mobilizing 85 countries and 2 billion people around our program. That is what I have worked for all my life. Our small organization has accomplished what many termed impossible. We must use our victory at Colombo to organize the American working class behind our program. They want to do something but the average person lacks the sense of how to fight. Colombo changes this prescription. Colombo has shown these forces what can be done on a world scale with a cadre of a handful of people... The United States will have to integrate itself into the International Development Bank (IDB)."
In a two-part special report called "The Struggle For Indian Freedom: A New Program" [Part 1, Part 2], LaRouche states that India can lead the Non-Aligned Movement in declaring a debt moratorium as a "strategic weapon," as well as establishing the International Development Bank to promote world economic development: "The first contribution India must make in this battle is to lead the developing countries, in concert with leading Third World nations, in a declaration of moratoria on the payment of all debt to the bankrupt monetarist institutions of the IMF-World Bank and their aid consortia. The freezing of unpayable debts to the monetarists is not only morally imperative but is the strategic weapon we must wield to open the way to the establishment of a new monetary system. As the 1975 programmatic document, The International Development Bank, proposed, the central task of a New World Economic Order is to facilitate the greatest possible flow of technologies and industrial process from the advanced sector into the developing sector."
The year before her stunning comeback victory as Prime Minister of India, Indira Gandhi delivers the first of several exclusive interviews to LaRouche's Executive Intelligence Review magazine. In the interview, conducted at her home in New Delhi, Gandhi strongly defends a return to the non-aligned foreign policy of her father Jawaharlal Nehru, and insists that only a policy of aggressive government support for investment in science and technology can save India from crushing poverty:
"...Science and technology, this is essential to fight poverty. It is ridiculous to say that you can solve rural problems without science and without industry; you simply can't. In our scheme of things, there is no conflict between agriculture and industry; they complement one another."
In another interview with EIR immediately after her victory in the 1980 elections, Prime Minister Indira Gandhi elaborates on her development policy:
"India is a developing country, and development has been rather uneven. It is obvious that where there is industry it is much easier for that area to grow and for people to get more jobs. We have a program for developing backward areas and we have made progress in it... We have to encourage investment to increase production, we have to build up the distribution system for essential commodities... We have to take up again the special programs for the poorest and weaker sections of the population."
The Fusion Energy Foundation, an international association of scientists founded by Lyndon LaRouche, holds an international conference in Paris titled "The Industrialization of Africa" on the subject of a New International Economic Order as the indispensable precondition for the development of the African continent. The proceedings of the conference are published in a book [pdf] whose preface declares: "The purpose of this present book is to make the ideas and conceptions accessible to a broader leadership and, thereby, to make it an active element in the present conflict over the New World Economic Order... The purpose is to demonstrate, in concrete form, a perspective for the development of the entirety of Africa as an alternative to Malthusian polices... to launch the industrialization of Africa in the context of the New World Economic Order in the 1980s."
Lyndon LaRouche authors a paper for the conference titled The Myth About Equilibrium Economics which contains a section called "The Hamiltonian New World Economic Order" in which he elaborates the Hamiltonian principles underlying his original IDB proposal. This document is a follow-up to a report LaRouche authored the previous year titled The Theory of the European Monetary Fund, in which he stated: "The success of the United States has been based on the same essential 'dirigist' policy outlined in the IDB proposal. This policy was articulated in Treasury Secretary Alexander Hamilton's 1791 Report on Manufactures... The crucial feature of Hamilton's Report on Manufactures is his proof that the sole source of wealth of nations is technological, capital-intensive advances in the productive powers of labor."
Lyndon LaRouche releases a program to transform India into an industrial superpower at a conference sponsored by Executive Intelligence Review and the Fusion Energy Foundation. Greetings to the conference are sent by Indian Prime Minister Indira Gandhi, who says:
"Since 1947 India has made considerable progress in science and technology. The world now recognizes the versatility and capability of our industries. Our aim is to make our country self-reliant... It is appropriate to assess our progress now and to look into the future. My good wishes to the conference on India's industrial development being held by the European Fusion Foundation and the Executive Intelligence Review."
In April, Lyndon and Helga LaRouche travel to India where they meet with Prime Minister Indira Gandhi for the first time, along with several members of parliament, leading scientists, industrialists and economists. While in New Delhi, LaRouche addresses the Indian Council of World Affairs, as well as the Institute for Defense Studies and Analysis, and the Jawaharlal Nehru University School of International Studies. LaRouche then travels to Bombay to tour the Bhabha Atomic Research Center. LaRouche's speech to the Indian Council on World Affairs is titled "A New Approach to North-South Relations" in which he states that the program adopted at the Non-Aligned summit in Colombo must be the basic model for achieving a new world economic order, and declares: "I propose that the developing nations, and the spokesmen of them, make a unilateral statement to this effect: that there will be international cooperation on East-West/North-South development interrelatedly; that conditions of political stability and peace be premised upon the mutual self-interests of the parties in promoting economic development."
LaRouche Meets With President of Mexico López Portillo in Mexico City
Immediately after returning from his meeting with Indira Gandhi in India, Lyndon LaRouche travels to Mexico City to meet with President of Mexico López Portillo on May 27, 1982. At a press conference at the presidential palace Los Pinos following the meeting, LaRouche proposes that the nations of Ibero-America unite to deploy a "debt bomb" against the City of London to force a restructuring of the world economic system as the means to ushering in the New International Economic Order. Multiple leading Latin American newspapers publish stories on May 28 covering LaRouche's proposal.
LaRouche Issues "Operation Juárez" Proposal for Nations of South America
Immediately following his meeting with Mexican President José López Portillo, LaRouche issues a major policy document titled "Operation Juárez" [PDF] in which he develops on his original proposal for an International Development Bank in the context of the debt crisis facing South America. LaRouche proposes that the nations of Ibero-America to use their collective strategic leverage as debtor-nations to unite in a common bloc and unilaterally declare a restructuring of their debts and the establishment of a new monetary order. The formation of an international development bank among these nations, would serve "as a coordinating agency for planning investments and trade-expansion among the member-republics," LaRouche says. "This bank will soon become one of the most powerful financial institutions in the world." he declares. "If a sufficient portion of the Ibero-American nations enter into such an agreement, the result is the assembly of one of the most powerful economies in the world from an array of individually weak powers... The Ibero-American continent could rapidly emerge as a leading economic power of the world, an economic super-power."
President López Portillo Demands New International Economic Order at UN
In August of 1982, President Lopez Portillo acts on LaRouche's proposals as contained in Operation Juárez by adopting credit controls on Mexico's currency, nationalizing the Mexican banking system, and announcing a debt moratorium on Mexican debt. On October 1, he addresses the United Nations General Assembly, where he declares:
"The most constant concern and activity of Mexico in the international arena, is the transition to a New Economic Order... It is imperative that the New International Economic Order establish a link between refinancing the development of countries that suffer capital flight, and the capital that has fled... Let us not continue in this vicious circle: it could be the beginning of a new medieval Dark Age, without the possibility of a Renaissance....We cannot fail. There is cause to be alarmist. Not only the heritage of civilization is at stake, but also the very survival of our children, of future generations and of the human species."
LaRouche in Rome: 'The Theory of the New World Economic Order'
Lyndon LaRouche delivers a speech on October 20 in Rome titled 'The Theory of the New World Economic Order' [PDF] in which he says "I shall summarize the scientific basis for the establishment of a New World Economic Order." LaRouche states: "My chief personal role in the effort to establish a just new world economic order has been to apply my special skills as an economist to design policy-structures of economic and monetary policies." LaRouche elaborates the scientific theory behind his Operation Juárez proposal, specifying "potential relative population density" as the necessary measure for the performance of economies, and states:
"We define economic science as a study of the manner in which the use of technological progress maintains and increases this potential relative population density."
Helga LaRouche in Paris: New World Economic Order to Stop New World War
On the eve of the 7th Non-Aligned Movement summit in New Delhi, India, Lyndon and Helga LaRouche address an international audience in Paris to signal support for the creation of the New World Economic Order from within the industrialized world. The conference is attended by Frederick Wills, former Foreign Minister of Guyana, as well as diplomats, scientists, and political leaders from over fifty countries. Helga LaRouche tells the conference, "The gigantic struggle which marks the battle for the New World Economic Order is nothing less than the fight for the survival of the human race, and a fight for the principle of the inviolability of human dignity and the rights of all peoples on this planet." Helga LaRouche elaborates the strategy detailed in LaRouche's Operation Juárez, stating:
"There is only one way the poor and the weak can force the world to reason: the developing countries should form a debtors' cartel, to force through a controlled reorganization of the world economic system, and the New World Economic Order... In the next few weeks, at the summit of Non-Aligned nations, or shortly afterward, a group of developing nations must drop the debt bomb. On a certain day, Day X, these countries must announce together their incapacity to pay their debts, and, appealing to the self-interest of the industrialized nations, propose a controlled, global, reorganization of debts, and the creation of a New World Economic Order, as Lyndon LaRouche has suggested in the document 'Operation Juárez.'"
Indira Gandhi Hosts Non-Aligned: "New Economic Order or Nuclear War"
Prime Minister Indira Gandhi hosts the 7th Summit of the Non-Aligned Movement in New Delhi, India, where she warns, "Humankind is balancing on the brink of the collapse of the world economic system and annihilation through nuclear war" and calls for the convening of "an international conference on money and finance for development." She specifies that such a conference "should suggest comprehensive reforms of the international monetary system [to] facilitate the mobilization of developmental finance for investment in vital areas of food, energy and industrial development." Prime Minister Gandhi also calls for "a major debt restructuring exercise," stating that the "debt problem of developing countries has assumed an unprecedented dimension." She appeals to the 100 heads of state present to seize the "marvelous opportunity" before them, saying: "The eyes of the world are upon us. Let us decide here to usher in a New International Economic Order, to call for an International Conference on Money and Finance for Development."
The 'New Delhi Appeal' which is adopted by the 100 world leaders present, representing almost half of humanity, echoes Indira Gandhi's warnings of "the threat of a worldwide nuclear catastrophe" as well as her demands for an international conference on finance for development: "A thorough-going restructuring of the existing international economic order through a process of global negotiations is necessary. Non-aligned countries are committed to strive for the establishment of the New International Economic Order based on justice and equality. We propose the immediate convening of an international conference on money and finance for development, with universal participation, and a comprehensive restructuring of the international monetary and financial system."
Lyndon LaRouche's call for debtor-nations to unite and unilaterally declare a restructuring of their debts, as specified in his "Operation Juárez," pervades the debate at the summit, and is raised notably by the President of Nicaragua, Daniel Ortega, who calls for the establishment of "a common organization of debtor countries" to conduct "joint efforts and actions that would induce the creditors to seriously consider the necessity of a new international economic order." Ultimately, the Economic Declaration of the summit states: "It is essential to secure a cancellation of the external debt owed to developed countries by the least developed countries."
Ronald Reagan Announces the Strategic Defense Initiative (SDI)
On March 23, 1983, only days after the summit in New Delhi, President Ronald Reagan shocks the world by announcing the Strategic Defense Initiative (SDI), calling on the scientific community to "turn their great talents now to the cause of mankind and world peace; to give us the means of rendering nuclear weapons impotent and obsolete." The policy unveiled in this historic announcement had been discussed for months in back-channel negotiations with Soviet representatives, which Lyndon LaRouche conducted personally at the behest of leading members of Reagan’s national security team.
See video: A Brief History of LaRouche's SDI
LaRouche had proposed beginning in 1977, in a pamphlet titled "Sputnik of the Seventies" [PDF] that an international crash program to develop a space-based missile defense system based on new physical principles would provide the economic driver to fuel global development. The pamphlet proposed "long-range economic and scientific collaboration with the Soviet Union among other nations, which will eliminate the danger of world obliteration" and emphasized the "tremendous revolutionary industrial implications available to this nation and the world if the political will of the United States forces a recommitment to technological progress in the form of an International Development Bank (IDB) and its national concomitant, the Third National Bank."
On March 24, LaRouche greets Reagan's announcement saying:
"There is, at last, hope that the thermonuclear nightmare will be ended during the remainder of this decade... The words the President spoke last night can never be put back into the bottle. Most of the world will soon know, and will never forget that policy announcement. With those words, the President has changed the course of modern history. Today I am prouder to be an American than I have been since the first manned landing on the Moon. For the first time in 20 years, a President of the United States has contributed a public action of great leadership, to give a new basis for hope to humanity's future to an agonized and demoralized world. True greatness in an American President touched President Ronald Reagan last night; it is a moment of greatness never to be forgotten."
LaRouche Meets With Indira Gandhi in India for Second Time
On July 13, as part of a tour of several nations in Asia, Lyndon and Helga LaRouche have their second meeting with the Prime Minister of India, Indira Gandhi. Ten days later, Indira Gandhi inaugurates a new heavy water nuclear reactor at Kalpakkam, saying:
"Our science, particularly nuclear science, is dedicated to development, the achievement of freedom from want, and the provision of essentials and an honorable life for the masses. We are to make the deserts bloom."
In the weeks following, LaRouche issues a special report titled "A 50-Year Development Policy for the Indian-Pacific Oceans Basin" [PDF] proposing three projects for the development of the Pacific region: 1) a canal through the Kra isthmus of Thailand, 2) a new sea-level canal across the Panamanian isthmus, and 3) the expansion and improvement of the Suez Canal. LaRouche specifies that the preconditions for developing the Pacific basin are the "required reforms of the international monetary system specified in Operation Juárez" which would create "a new international economic order not inconsistent with the monetary and economic policies of the American System. The paradigm for a republican monetary order is the statement of policies set forth in U.S. Treasury Secretary Hamilton's famous Reports to the Congress, on credit, a national bank, and manufactures."
Lyndon LaRouche Addresses Conference in Bangkok on Kra Canal
Lyndon LaRouche travels to Thailand in October 1983 to address the first of several conferences in Bangkok on building the Kra Canal, jointly sponsored by EIR, the Fusion Energy Foundation, and the Thai Ministry of Communications. This conference is followed by another in October of the following year for which LaRouche writes a policy paper titled "The Pivotal Role of Thailand in the Economic Development of Southeast Asia" [PDF] in which he states:
"The prospect of establishing a sea-level waterway through the Isthmus of Thailand, ought to be seen not only as an important development of basic economic infrastructure both for Thailand and the cooperating nations of the region; this proposed canal should also be seen as a keystone, around which might be constructed a healthy and balanced development of needed basic infrastructure in a more general way."
Schiller Institute Founded: Adopts Declaration of Inalienable Rights of Man
Helga Zepp-LaRouche founds an international strategic and cultural organization, the Schiller Institute, named after the German 'Poet of Freedom' Friedrich Schiller. In describing the intended purpose of the Schiller Institute, Helga LaRouche states:
"Let us enter into the solemn pledge to work to end for all time every form of imperialism, and that means above all that we must bring about a just world order that will make possible the urgently necessary development of the southern hemisphere."
The international Schiller Institute adopts 'The Declaration of the Inalienable Rights of Man' as its founding document, based on the US Declaration of Independence, which asserts:
"The history of the present International Financial Institutions is a history of repeated injuries and usurpations, all having in direct object the establishment of an absolute Tyranny over these States; They have refused their Assent to our plans of development, the most wholesome and necessary for the public good; They have forbidden their Banks to engage in business of immediate and pressing importance for us, and in equal terms; They have dictated to us terms of trade and relations of currency, that have relinquished our Rights as Equals in the World Community, a Right inestimable to them and formidable to tyrants only; They have overthrown legitimate governments repeatedly, for opposing with manly firmness their invasions on rights of the people; They have endeavored to prevent the necessary population increase for industrialization of these States..."
The document ends by declaring:
"We, therefore, the Representatives of the Peoples of the World, do solemnly declare... that all human beings on this planet have inalienable rights, which guarantee them life, freedom, material conditions worthy of man, and the right to develop fully all potentialities of their intellect and their souls. That therefore a change in the present monetary and economic order is necessary and urgent, to establish justice among the peoples of the world..."
Prime Minister Indira Gandhi Assassinated in New Delhi, India
On October 31, 1984, the Prime Minister of India, Indira Gandhi, is assassinated at her home in New Delhi. Lyndon LaRouche writes:
"This morning, at 9: 18 a.m., New Delhi time, assassins of a London-based terrorist cult murdered one of the greatest world leaders of our generation. India's Prime Minister Indira Gandhi. My wife and I, who loved her dearly, can not find words adequate to express our personal grief. If India is destabilized as a result of this assassination, the effects could become quickly as dangerous as the murder of the Austrian Archduke Francis Ferdinand, on June 28, 1914, the incident which triggered World War I."
Three days before her assassination, Mrs. Gandhi stated in a press interview with United Press International:
"If I were to die serving my country, I would be very proud... I feel I have to fight evil, I have to fight what is wrong, but you cannot be bothered about what is happening to you in consequence. You have to go on with your job."
Helga LaRouche: 'Indira Gandhi Memorial Summit' for a New Economic Order
On January 15, Helga Zepp-LaRouche addresses a 10,000 person 'March For The Inalienable Rights of Man' in Washington, D.C., organized by the Schiller Institute in honor of Martin Luther King, Jr.'s birthday, to call for the convening of an Indira Gandhi Memorial Summit between debtor and creditor nations "to implement a rapid program for massive debt renegotiation for a new, just world economic order." Helga LaRouche told the rally:
"We have created a new movement, a movement for the Inalienable Rights of Man, for all people on our planet; and we will not stop fighting until a new, just world economic order has been created... I have a dream today that all men shall become brothers."
Schiller Institute Conference in Rome: A New Just World Economic Order
At a conference in November attended by 800 people sponsored by the Schiller Institute in Rome, Italy, Helga Zepp LaRouche delivers the keynote titled "The New Just World Economic Order: Humanity's Only Chance for Survival," stating: "Only when we take the highest ideal of humanity as the point of departure for our efforts, will we be able to have a just world order based upon a community of national sovereign republics, progress among all peoples, and thus, peace."
The conference is also addressed by numerous political, religious, and scientific leaders from Europe, Africa, South America, and the United States, who adopt a resolution addressed to Pope John Paul II, stating:
"The Schiller Institute, gathered in Rome to celebrate the 1,600th anniversary of the conversion to Christianity of St. Augustine, the father of European and African civilization, sends greetings to His Holiness Pope John Paul II, requesting him to continue to exercise his religious leadership and moral authority in the present crisis of humanity to cast out the forces of usury and to favor the creation of a just New World Economic Order for all nations."
LaRouche Publishes Program for 'The Integration of Ibero-America'
In 1986, the LaRouche movement publishes a 340-page book-length special report in Spanish, named La Integración lbero-Americana as an elaboration of LaRouche's Operation Juárez, specifying great projects for the development the continent, including the construction of an interoceanic sea-level 'Second Panama Canal' [PDF]. The introduction of the book states:
"During the Malvinas War, in May 1982, U. S. economist Lyndon H. LaRouche, Jr. traveled to Mexico to meet with President Jose Lopez Portillo and other important political leaders. Some of them asked him to write out his proposal for dealing with the problem of the foreign debt. Three months later, the historic essay Operation Juárez was published, in which LaRouche takes up the old integrationist idea, and poses the necessity of immediately forming a Debtors' Club and an Ibero-American Common Market... This book intends as its primary purpose to contribute to the realization of that longed-for integration, demonstrating both the feasibility and the conceptual grounding for the Ibero-American Common Market. Its more detailed elaboration will be the task of that successful integrationist movement that we also seek to awaken and consolidate."
LaRouche Forecasts October 'Black Monday' Stock Market Crash
In May 1987, Lyndon LaRouche issues a press release titled "Global Financial Crisis Predicted For October" [PDF] in which he states that, under the conditions of "a continuation of the foolish international monetary policy" of the U.S. government," an October crash would be very probable." LaRouche identifies the IMF "conditionalities" regime under which debtor nations are forced to devalue their currency in order to obtain new lines of credit, "turning a poor debt-repayment possibility by these countries, into an impossible one, in each case." LaRouche states:
"A 'zero-economic-growth mafia' inside the IMF and World Bank bureaucracies, acting with U.S. government support, has been collapsing the internal economies and world trade of both developing and Western industrialized nations, while piling up the financial obligations of both developing and industrialized nations. We have been increasing nations' obligations to pay debt, while destroying their means for paying that debt."
Precisely on schedule, on October 19 (now known as 'Black Monday'), stock markets across the planet crashed, with the Dow Jones losing almost a quarter of its value in a single day. LaRouche issues a statement titled "October Financial Crisis Happened On Schedule" [PDF] in which he situates the crash in the context of the failure to enact his Operation Juárez program:
"During the spring of 1982 I warned the world that a 'debt bomb' was about to explode in Central and South America. I forecast the explosion to begin during the period of August and September that year. At the request of leaders of some nations of Central and South America, in June of that year, I wrote a detailed report, titled Operation Juárez, explaining the nature of the crisis, and detailing the measures which both these nations and the U.S. government must take... President Lopez Portillo acted as my Operation Juárez report specified. The world was saved for another month. The governments of Argentina and Brazil promised to support Mexico's policy, but both later broke that promise. The Reagan administration rejected my Operation Juarez option, and moved to crush and loot Mexico, and to proceed to loot every nation of Central and South America... For this five years, we have paid a terrible price. What could have been the easily manageable 'debt bomb' crisis of 1982, has been pyramided into the biggest financial crisis in history."
LaRouche in Bretton Woods: "A New International Economic Order"
The Schiller Institute sponsors a conference in Bretton Woods, New Hampshire titled "A New Just World Economic Order: Development Is The Name For Peace" on January 30-31, 1988. In attendance is Frederick Wills, former Foreign Minister of Guyana, who delivers a speech titled "The History of the Fight for the New World Economic Order" [PDF] relating how he first became acquainted with Lyndon LaRouche and his idea for an International Development Bank. Wills declares: "It is time to return to the fundamental appreciation that money and monetary systems are the servants of humanity."
Helga LaRouche also speaks on "The Dignity of Man in a New World Economic Order," and Lyndon LaRouche delivers the keynote, titled "The Tasks of Establishing an Equitable New International Monetary Order" [PDF] in which he describes the history of his Operation Juárez proposal, and elaborates how the President of the United States can act to create a new international monetary system to replace the post-1971 Bretton Woods system:
"As President, I would have most of the so-called "Third World" leaders meet, and settle immediately the question of restructuring and reorganization of debt. Once the United States government has entered into such an agreement with a group of developing nations on restructuring and reorganizing of their external debt, and expansion of their import capacity, and conditions of new volumes of loans for economic development, the rest of the world just has to go along with it. And, thus we would have, in effect, the basis for a new monetary system."
LaRouche in Berlin Forecasts Reunification of Germany
On October 12, 1988, Lyndon LaRouche delivers a press conference in West Berlin "on the subject of prospects for the reunification of Germany," asserting that "the world has now entered into what most agree is the end of an era. The state of the world as we have known it during the postwar period is ended." LaRouche states: "The economy of the Soviet bloc is a terrible, and worsening failure... The Soviet bloc economy as a whole has reached the critical point, that, in its present form, it will continue to slide downhill from here on." Therefore, LaRouche says, "the time has come for early steps toward the re-unification of Germany, with the obvious prospect that Berlin might resume its role as the capital."
LaRouche elaborates a program for the cooperative development of Eastern Europe as an engine for creating a new economic system:
"Let us say that the United States and Western Europe will cooperate to accomplish the successful rebuilding of the economy of Poland. There will be no interference in the political system of government, but only a kind of Marshall Plan aid to rebuild Poland’s industry and agriculture. If Germany agrees to this, let a process aimed at the reunification of the economies of Germany begin, and let this be the punctum saliens for Western cooperation in assisting the rebuilding of the economy of Poland."
The Fall of Berlin Wall Presents Opportunity for New Era
Within one year of LaRouche's forecast of the coming reunification of Germany, mass demonstrations in Leipzig and other cities in East Germany lead to the lifting of emigration restrictions for people wishing to leave the G.D.R. on November 9, 1989. Numerous border crossings are opened, including the Berlin Wall, thus marking the end of the 'Iron Curtain' division between East and West.
Lyndon LaRouche immediately commissions a policy study to elaborate his proposals from the previous year to use the modernization of Eastern Europe as the "locomotive" for the economic development of Eurasia. The concept takes the form of the "Productive Triangle" linking together Paris, Berlin, and Vienna through high-speed rail, thus creating an integrated high-density 320,000 square-kilometer industrial development zone, spiraling out into eastern Europe via transport, energy, and communication development corridors. LaRouche elaborates the proposal in a policy paper composed the following year, "The Economic Development of Eastern Europe" [PDF] in which he counterposes his 'Productive Triangle' program for development to the shock therapy plan, which he asserts is merely a different form of the same model of 'primitive accumulation' that brought down the Soviet state.
Helga LaRouche Initiates International Campaign for 'Productive Triangle'
Special reports on LaRouche's 'Productive Triangle' program are published in every major European language, and Helga Zepp-LaRouche launches an aggressive speaking tour campaign throughout Europe, addressing conferences in numerous capitals including in many Warsaw Pact and other Soviet countries newly gaining their independence, including Hungary and Poland, while representatives of the Schiller Institute host seminars on LaRouche's program across eastern Europe, including in Czechoslovakia, Belarus, and Ukraine, as well as nearly every country in Western Europe.
Helga LaRouche issues a statement in which she says Germany has the opportunity to function as the locomotive for the world economy, both of the East and "above all for the development of the Southern Hemisphere," finally rising to the moral challenge of realizing a new, just world economic order:
"Germany, the heart of Europe, must be the locomotive which raises the economic development of the whole of Europe to a qualitatively new level. The program of the 'Productive Triangle,' proposed by the U.S. economic scientist Lyndon LaRouche, is the crucial key to this. A high-speed rail system will not only connect the Paris-Berlin-Vienna triangle, but, simultaneously, will enclose a region with the greatest immediate growth potential, as far as industrial and labor capacities are concerned. The rapid expansion of infrastructure and, especially of a productive Mittelstand in industry and agriculture can initiate a new economic miracle here, which, through new industrial corridors, will soon be able to reach the whole of Eastern Europe, the not-so-developed regions of Western Europe, and also the Soviet Union. The great expanse of Europe, with the "Productive Triangle" as its core, will make possible such a great increase in productivity and in the output of capital goods, that it will function as the locomotive for the world economy — not only for the infrastructure and industrial development of the East, but above all for the development of the Southern Hemisphere. Our answer to this question of whether we will finally develop the countries of the so-called Third World, will decide ultimately whether or not we meet the great moral challenge of the twentieth century... It has to become the identity of a sovereign Germany, that it is the place from which emanates the practical realization of a new, just world economic order."
Schiller Institute: Productive Triangle Cornerstone of New Economic Order
In March 1991, the Schiller Institute convenes a conference in Berlin on the 'Productive Triangle' program, attended by representatives from numerous newly independent eastern European nations and not quite yet independent republics of the Soviet Union, including Hungary, Czechoslovakia, Poland, Latvia, Lithuania, Russia, Armenia, Bulgaria, and Croatia. In a message to the conference, Lyndon LaRouche calls for "a sphere of cooperation for mutual benefit among sovereign states" to unite Eurasia. The conference adopts a resolution, the 'Berlin Declaration,' which calls for the nations of Europe to seize the "unique historical opportunity" presented by the end of the disappearance of the Iron Curtain, and states:
"We strive for a just, new economic order, which secures peace, in that all peoples are given the same opportunities for economic and social development. For, development is the name for peace."
Productive Triangle Concept Extended to 'Eurasian Landbridge'
Following the official dissolution of the Soviet Union, Lyndon LaRouche expands the concept of the 'Productive Triangle' to include the former Soviet territories in Russia and central Asia, and stretch all the way to the Pacific coast of China and Russia. This proposal, which becomes known as the 'Eurasian Landbridge,' concentrates on three 'development corridors' spanning the Eurasian continent: a northern route via the Trans-Siberian Railroad to Vladivostok; a central route through Ukraine, Russia, Kazakhstan, and China; and a southern route from Western Europe through Turkey and Iran into Central Asia and on to China. This plan would economically integrate the Eurasian continent, maximizing the productive potential of its territory and peoples for the common benefit of all, and resolving the artificially imposed strategic divisions among the great powers through the promotion of development in their mutual interest.
Executive Intelligence Review publishes a feature-length study elaborating this "integrated Eurasian development network stretching from the Atlantic to the Pacific," stressing that it will serve as the centerpiece and foundation for creating "an alliance of nations committed to a common programmatic perspective for establishing a just world economic order." This new economic and monetary order would be comprised of a "community of interest among sovereign nations committed to rapid economic development" to replace the failed financial systems of both East and West, bridging the rich and diverse cultures of the Eurasian continent and ending the legacy of the geopolitical "Great Game" policy of perpetual war.
Helga Zepp-LaRouche states that the world is experiencing the opportunity for "the beginning of a new more hopeful time and the emergence of a new, just world economic order" and issues a call for a peaceful revolution to establish an "International Coalition for Peace and Development" [PDF].
Publication of Russian-Language Edition of LaRouche's Economics Textbook
The Schiller Institute sponsors its first-ever conference in Russia, on October 30-31 in Moscow, to announce the release of a Russian-language edition of LaRouche's textbook on physical economy, So You Wish To Learn All About Economics? [PDF]. With Russia undergoing the disastrous effects of the IMF "shock therapy" policy, the conference is titled "Alternative Approaches to Economic Reform," focusing on LaRouche's proposals for a rapid reconstruction of the Russian economy by means of the Productive Triangle/Eurasian Landbridge program. The conference, held at the Russian State Humanitarian University, is attended by over 50 individuals representing leading political and academic institutions within Russia, and is co-chaired by Dr. Professor Taras Muranivsky, rector of the Ukrainian University in Moscow. Muranivsky delivers a speech about "establishing a new economic theory" based on LaRouche's ideas on the science of physical economy.
In the foreword for the Russian-language publication of his economics text, Lyndon LaRouche writes:
'The Russian edition of this textbook appears at the moment the greatest financial bubble in history is collapsing upon us. If we fail to take appropriate corrective action soon, this collapse could become the worst economic disaster in European history. Out of the wreckage of that monetary collapse, a new form of national economy must be constructed."
Lyndon LaRouche Travels for First Time to Moscow, Russia
In April 1994, Lyndon LaRouche travels to Russia for a week of meetings and speaking engagements in Moscow, together with his wife Helga. LaRouche's first public event is a lecture sponsored by the Economic Academy of the Ministry of Economics of the Russian Federation on April 25, where LaRouche states:
"The problems in Russia are a reflection not of conditions internal to Russia, but the reflection of a collapse in the world economy... What is going to happen, without question, is a general total breakdown collapse of the global financial system... If there is an agreement on principles of sound economy, then there can be an agreement among states to reestablish, in a very short period of time, a new world financial and monetary system to replace the old one, while we put the old one into bankruptcy."
LaRouche also addresses seminars at three institutes of the Russian Academy of Sciences: the Institute on Scientific Information on Social Science (INION), the Institute of Oriental Studies, and the Africa Institute. At the INION, LaRouche stresses that the Russian intelligentsia must understand the collapse of the Soviet system was merely one part of a global process of collapse, caused by a general failure to abide by the fundamental laws of physical economics, which would doom the free-market system of the West as well:
"You get a reflection of a failure to comprehend this problem, and a belief that the disease which is called free trade, is the superior alternative to communism. So instead of bowing to the statue of Karl Marx, you are now supposed to bow to the statues of Adam Smith and Ricardo. This tends to create an instinctive lack of appreciation for the fact that the entire global system is now about to collapse."
Additionally, LaRouche is hosted by Dr. Pobisk Kuznetsov at a gathering of the "Prezident" group of approximately 60 scientists [PDF]. Following LaRouche's visit, Kuznetsov publishes a report in the Russian journal Rossiya 2010 [PDF]in which he calls for a new unit of measurement to be applied to physical economics, which he proposes be called 'the larouche,' or "La" for short:
"Let us introduce the physical magnitude of 'a larouche,' designated by La, which gives the number of persons who can be fed from 1 square kilometer, or 100 hectares, during one year. Our base magnitude of area is 1 square kilometer or 100 hectares. This base value of area is necessary, in order to bring all existing world food statistics to a single basis. The figures cited above... correspond to 'potential relative population density,' introduced by LaRouche. We have introduced the new unit of measurement, the larouche, which is the quantity of persons able to be fed from a certain magnitude of area, taken as the unit value in this system... We share LaRouche's view that the magnitude of potential relative population density can serve as an indicator of 'intellectual culture,' but taking into account the quite diverse values for farv (photochemically active radiation per vegetative period), we shall compare not simply 100 hectares, but 100 hectares for a given local farv value."
Upon his return to Washington DC, LaRouche delivers a report on his trip to a meeting of diplomats and press [VIDEO], where he repeats what he had stated at the Ministry of Economics in Moscow, saying:
"Have no doubt that the present global financial and monetary system is not only going to collapse, but is going to go into an absolute breakdown collapse, unless various governments, including the U.S. government, were to put the present monetary system into bankruptcy. That would stop the collapse, and nothing else will stop it. Therefore intelligent governments will consider nothing serious, except to make preparations for this collapse and to organize quickly a recovery of a new financial system and a new monetary order the instant the collapse occurs."
Special Hearings in Russian Parliament on LaRouche Program
On February 20, the lower house of the Russian Parliament, the State Duma, holds special hearings to discuss emergency measures to prevent the disintegration of Russia's economy. A memorandum submitted by LaRouche, titled "Prospects for Russian Economic Revival" [PDF] is presented to the hearing, in addition to oral presentations made by representatives of the Schiller Institute in Moscow. In the first point of LaRouche's memorandum, he states:
"The present phase of the economic crises inside Russia and nearby countries is the result of the interaction between the ongoing, new phase of collapse in the world monetary and financial systems, and the relative exhaustion of Russia's ability to deliver a stream of loot to western financier interests. There exists no possible solution to this crisis, either for Russia or for the world, within the bounds of the previously accepted terms of dominant international economic and financial institutions. The present world system, as derived from the post-1971 form of 'floating exchange-rate' international monetary system, and present doctrines of IMF 'conditionalities,' is doomed to extinction during the near- to medium-term. The present system will either be brought to an end in an orderly way, through governments acting responsibly to put existing central banking and financial systems under state-controlled reorganization in bankruptcy, or through a chain-reaction form of rapid, "thermonuclear" implosion of that speculative financial bubble which the world's financial system has become. All workable alternatives to general collapse require governments to assume responsibility for the establishment of new monetary and financial institutions to replace the bankrupt institutions which continue to dominate the world up to this moment."
Lyndon LaRouche Makes Second Visit To Moscow, Testifies at Duma
In June 1995, Lyndon LaRouche makes his second trip to Russia, joined by his wife Helga Zepp-LaRouche, where he speaks at the Russian State Duma on the topic "The World Financial System and Problems of Economic Growth." LaRouche also delivers addresses at the Methodological University of Russia, the Institute of Economics of the Russian Academy of Sciences, and at Moscow State University [PDF], where he states that the world is headed toward what Rosa Luxemburg identified as "a breakdown crisis" and the only solution is to declare the IMF bankrupt and initiate an international credit system to build the Eurasian Landbridge project:
"Some believe the present IMF system must be reformed but essentially only administrative reforms. Others of us take the view, as I do, that the international monetary and financial system of the world today, is totally bankrupt, and that only the elimination of that system by bankruptcy, and the establishment of a new system, is possible."
LaRouche: Russia & U.S. Must Create New World Monetary System
Executive Intelligence Review publishes a report by Academician Dmitri Lvov, the vice-director of the Central Economic-Mathematical Institute (CEMI) in Russia, called "Toward a Scientific Grounding for Economic Reforms in Russia" [PDF]. CEMI had studied LaRouche's economic model in the 1980s at the time Moscow was examining the strategic and economic implications of the Strategic Defense Initiative. Lvov's paper is prefaced by a short introduction by LaRouche, titled "The New Role for Russia in U.S. Policy Today" [PDF], in which he states:
"As the present, IMF-centered, global monetary and financial system disintegrates in a holocaust of reversed financial leverage, Russia's present, most crucial predicament will be shared by every nation of this planet. The challenge will be, to prevent the collapse of the Earth's physical economy, by launching immediately a new world monetary and state-credit system, on the basis of "American System" principles contrary to every direction of change in economic policy, under the IMF and World Bank system, during the recent thirty years . In short, the Adam Smith system is shortly to be carried away by the same Styx of dead history into which the Soviet system had been thrown an historical instant earlier."
LaRouche Makes Third Trip to Russia for Meetings With Intelligentsia
In April, Lyndon LaRouche makes his third trip to Russia to conduct meetings with top-level academics and policy makers from the Russian intelligentsia. LaRouche participates in a round table discussion jointly sponsored by the Institute for Socio-Political Research of the Russian Academy of Sciences and the Free Economic Society of Russia, established 1765. The event is chaired by Leonid Abalkin, head of the Institute of Economics of the Russian Academy of Sciences. LaRouche's address to the round table is on the subject "Russia, the U.S.A., and the Global Financial Crisis" [PDF]. LaRouche emphasizes that a partnership between the United States, Russia, and China of the sort that Franklin Roosevelt envisioned in the 1940s for a post-colonial world, would be the combination of world powers necessary to reorganize the international financial system:
"We are in the middle of the worst international monetary and financial crisis of the century... The combination of the United States and Russia, now, as in 1945, with the cooperation of China can change the course of world history, and get out of this economic mess... Only a majority combination among great powers can break the power of these international authorities. Therefore, not in order to create another global hegemonic system, but to create a world which is safe for sovereign nation-states. We're in a great struggle. We're in a great, strategic world-historical struggle. And therefore, as in war, the unity of great powers can be decisive in whether you win the war or lose it, as Roosevelt understood before he died."
Participating in the dialogue with Mr. LaRouche were Valentin Pavlov, former prime minister and finance minister of the Soviet Union, and Vyacheslav Senchagov director of the Center for Banking and Financial Research at the Russian Academy of Sciences Institute of Economics. At the conclusion of the event, Academician Abalkin stated:
"Today we are facing the necessity of developing a new paradigm in the social sciences... I see all the work of Professor LaRouche as a step on the path to this paradigm."
Helga Zepp-LaRouche Travels to China to Promote Eurasian Landbridge
Immediately after Lyndon LaRouche's visit to Russia, Helga Zepp-LaRouche travels to China to attend a conference in Beijing to attend the "International Symposium on Economic Development of the New Euro-Asia Continental Bridge," sponsored by the Ministry of Foreign Trade and Economic Cooperation of the People's Republic of China. Helga LaRouche delivers a speech on May 8, called "Building the Silk Road Land-Bridge: The Basis for the Mutual Security Interests of Asia and Europe" [PDF], in which she states:
"The governments of Eurasia should agree on an integrated infrastructure program, which connects the industrial centers of Europe and Asia with the population centers in South and Southeast Asia, through 'development corridors.' The development of those main axes of traffic, through Great Projects for infrastructure in transport, energy, water, and communications, is the precondition, to lay the groundwork for the industrial development of the Eurasian land-mass, and can thus become the motor for overcoming the world economic crisis."
Helga LaRouche calls for the establishment of a Eurasian Development Bank in the image of Lyndon LaRouche's original International Development Bank (IDB) proposal, to facilitate cooperation among the sovereign states of Eurasia for development:
"The right to generate credit must be brought back under the control of sovereign governments. Through appropriate legislation, national banks must be able to generate credit lines for these projects. As these credits are related to future production, wealth is being created, and they are not inflationary... As the realization of infrastructure projects of this magnitude, will require all available industrial capacities of the participating nations, and, as new capacities have to be created, the different countries should work in a division of labor, and thereby balance existing three-way trade flows through so-called clearing-houses. A newly founded Eurasian Development Bank could take over this task."
Finally, Mrs. LaRouche calls for the convening of "an emergency monetary policy meeting of the principal nation-state powers, for the purpose of establishing a new international monetary system, based on stabilized parities of currencies, to the purpose of fostering a global revival and expansion of agricultural and industrial production, based upon capital intensive, energy-intensive modes of investment, in scientific and technological progress."
Special Report on 'Eurasian Landbridge' Released by EIR
On February 5, Lyndon and Helga LaRouche host a seminar of diplomats in Washington D.C. [VIDEO] to announce the official release of a book-length special report by Executive Intelligence Review called "The Eurasian Landbridge: The New Silk Road Locomotive For Worldwide Economic Development". In the introduction of this 300-page detailed 'blueprint' compendium of development projects across the Eurasian landmass, LaRouche is quoted: "Call together an immediate emergency conference of crucial powers, an international monetary conference setting up a new monetary system to replace the bankrupt one."
The introduction of the report further states:
"The realization of the 'New Silk Road' and the 'Productive Triangle,' a real reconstruction of Russia and Eastern Europe, the development of the entire Eurasian landmass with the most modern infrastructure, would be the central economic issue at such a monetary conference of world powers. The connection of the new financial and monetary system, with concrete development projects which demonstrably would set a new, worldwide economic miracle into motion, would guarantee the success of the new system, overcoming the current crisis, and ensuring the fundamental economic security of the world far into the future."
Lyndon LaRouche Issues Call For a 'New Bretton Woods'
On January 4, LaRouche delivers an address in Washington D.C., in which he first issues his call for a 'New Bretton Woods' to reorganize the world financial system, calling on President Bill Clinton to convene an international conference to launch a general monetary reform for the planet on the basis of mutual development:
"The President must say, 'We are going to proceed to put what we know to be bankrupt financial and monetary institutions, into bankruptcy, that is, into receivership, for financial reorganization under the supervision of government. The United States must act, together with other powers, to put the world into bankruptcy reorganization. Every financial system, every banking system in the world, is presently bankrupt! Therefore, the United States must take international leadership in proposing a new Bretton Woods. We have to create new banking systems, which is very simple to do, on the basis of the Hamilton model — national banking... We have the basis for coming to an international policy agreement on strategy, among such powers, on an ecumenical basis, to say, 'We're going to do this. We're going to take this system out of its misery, establish a new system, a new Bretton Woods. We're going to take the Eurasian Landbridge concept and what it represents as a policy, as a global policy, and we're going to rebuild this planet.'"
LaRouche elaborates on his call to President Clinton to convene an international summit "to create a new monetary system" at a conference of the Schiller Institute in February, at which a resolution titled "Urgent Appeal to President Clinton to Convoke a New Bretton Woods Conference" [PDF] is endorsed by the participants. The appeal declares:
"We appeal to you, President Clinton, to use the Powers of the Presidency of the United States, to convoke, on an emergency basis, a new international Bretton Woods conference, to replace the present bankrupt monetary system with a new one. A global debt reorganization, the establishment of fixed-parity exchange rates and a new set of trade and tariff agreements are the absolute precondition for stability in world economic and financial relations, which are required for a return to economic growth."
President Bill Clinton Calls for 'New Financial Architecture'
On September 14, 1998, immediately after returning from an official summit in Russia, President Clinton delivers a major address to the Council on Foreign Relations in New York City in which he calls for "a new financial architecture for the 21st century." With the crash of the Russian bond market threatening to set off a chain reaction collapse of the global financial system, Clinton announces that he is convening an urgent conference of the finance ministers of the leading nations from both the developed and developing world (the G7 and the G22) to "douse the flames of the international financial crisis" and resolve "the biggest financial challenge facing the world in a half-century" — i.e. since the original Bretton Woods. Clinton states:
"In the face of this new challenge, America can and must continue to act and to lead to take the urgent steps needed today to calm the financial crisis, restart the engine of growth in Asia, and minimize the impact of financial turmoil on other nations, and to make certain that for tomorrow the institutions and rules of international finance and international trade are prepared to support steady and sustainable growth over the long term."
At the conclusion of his address, Clinton invokes Franklin Roosevelt, saying:
"At this moment, the United States is called upon once again to lead — to organize the forces of a committed world... The World War II generation did it for us 50 years ago. Now, it is time for us to rise to our responsibility, as America has called upon to do often so many times in the past. We can, if we do that, redeem the promise of the global economy and strengthen our nation for a new century."
López Portillo: "World Must Listen To Wise Words of Lyndon LaRouche"
At a press conference in Mexico City, former President López Portillo joins Helga Zepp-LaRouche to discuss the urgency of establishing a New World Economic Order, asserting, "It is now necessary for the world to listen to the wise words of Lyndon LaRouche." In an accompanying editorial published in the leading Mexican newspaper El Universal, Portillo states:
"The new economic order must be oriented to the increase of production, and not to the control of demand, the latter fundamentally directed to favoring capital (frequently, that of speculative capital) through outright depressive measures which reward profits, even if this postpones the satisfaction of real human, social needs."
Helga Zepp-LaRouche Returns to China to Speak on Eurasian Landbridge
Helga Zepp-LaRouche returns to China in the end of October to participate in a second conference on the Eurasian Landbridge, called "Asia-Europe Economic and Trade Relations in the 21st Century and the Second Eurasian Bridge," where she delivers a speech at the keynote session in Beijing titled "Principles of Foreign Policy in the Coming Era of the New Eurasian Land-Bridge" [PDF]. She begins her speech saying:
"While the present meltdown of the global financial system obviously represents enormous dangers for the existence of entire nations and their populations, the profound discrediting of the institutions associated with that system, represents, at the same time, a unique and unprecedented chance, to replace the unjust principles of the old political and economic order with new, just ones, which will allow the survival and well-being of all nations on this planet."
Helga LaRouche states that it will be through the mutual development derived from the construction of the Eurasian Landbridge project that a stable relationship between respectively sovereign nations, peacefully cooperating for their common benefit can be achieved, such that each nation's sovereign interest will be in accord with the interests of the other:
"If the new, just world economic order is supposed to function, the ancient philosophical paradox of the One and the Many has to be addressed. The unifying principle has to be the development of mankind as a whole, and there has to be an intelligible scientific principle for how that development can be measured. At the same time, the principle of national sovereignty must be absolutely guaranteed. Universal history proves that there must absolutely not be any contradiction between these two ideas."
Lyndon LaRouche Publishes 'My Strategy For The Americas'
Lyndon LaRouche publishes a policy document titled "In The Footsteps of John Quincy Adams: My Strategy For The Americas" [PDF] reasserting the applicability of the Monroe Doctrine for the Western Hemisphere, and defining the neccesary anti-imperial community of principle among the nations of North and South America. In the conclusion of the document, LaRouche writes:
"We have come to a time, throughout the world, at which virtually every central banking system of the world is not merely bankrupt, but hopelessly so. There is no possible way, in which the world’s currently outstanding nominal debt, could possibly ever be paid. Hundreds of trillions of U.S. dollar-equivalents, must be abruptly written off, or placed in frozen, non-interest-bearing accounts, pending future disposition in bankruptcy-proceedings...
"These actions include, the power of the sovereign government to put bankrupt institutions through government-directed bankruptcy reorganization, and to generate large masses of newly created credit, deployed through national banking methods of a Hamiltonian type, to suddenly increase levels of useful employment, rather than allow a collapse of employment and of essential services. This kind of emergency action must occur not only within nations, but in rapidly expanding hard-commodity trade among nations, with special emphasis upon lines of trade within the hemisphere... Without international cooperation among sovereign governments, along such lines the otherwise manageable economic crisis immediately be fore us will not be overcome."
LaRouche in Sudan: New Bretton Woods & The New World Economic Order
In January 2001, LaRouche travels to Khartoum, Sudan for a four-day conference sponsored by EIR and the Schiller Institute on "Peace Through Development: Nile Valley Development & The New Just World Economic Order." Lyndon LaRouche delivered the keynote address on "The New Bretton Woods System as Framework for a New Just World Economic Order" [PDF] in which he specifies three principles which must serve as the foundation for a new international economic system:
"First, we must restore the characteristics of the old Bretton Woods system of the immediate post-war decades. That means, a system of fixed-exchange rates, capital controls, currency controls, and financial controls, and global growth fostered by the same methods employed through institutions such as Germany’s Kreditanstalt fur Wiederaufbau, to promote large-scale development of basic economic infrastructure, and to use the market potential generated by that infrastructural development, as the base for creating a still-larger rate of growth in development of agriculture and industry.
"Second, we must do as President Roosevelt had intended: all sovereign nations must be, on principle, full partners in the new international monetary system. This is the fundamental difference between the old Bretton Woods system, and what must happen now. We cannot have a system which is going to work, which does not treat the majority of the human race as full partners in the system. Otherwise, it won’t work.
"Third, we must rely chiefly on credit created by the authority of perfectly sovereign nation-state governments, to generate the medium- to long-term, domestic and international trade agreements on which the economic recovery and expansion will be centered."
Lyndon LaRouche Returns to Russia to Address State Duma
On June 29, 2001, Lyndon LaRouche speaks before an official hearing of the lower house of the Russian Parliament, the State Duma, sponsored by Sergei Glazyev, the chairman of the Duma Committee on Economic Policy. The hearing, titled "On Measures to Ensure the Development of the Russian Economy Under Conditions of a Destabilization of the World Financial System," is attended by 150 parliamentarians and government advisors and broadcast live into all Duma offices. Sergei Glazyev introduces LaRouche, saying: "I want to open our parliamentary hearings and to give the floor to our guest, the well- known philosopher, historian, and economist Mr. Lyndon LaRouche."
In his testimony, LaRouche states that "nothing can save the present world financial and monetary system in its present form" and lists four necessary measures to reorganize the global economic system including the cancellation of illegitimate debts and the reorganization of the rest, stating:
"The reorganization of the world monetary and financial systems, must be based upon the use of large-scale, long-term cooperation in infrastructural development within, and among nations, and heavy emphasis upon adopted targets of scientific and technological progress. The pivot for world economic growth, shall be a new system of transcontinental cooperation among the sovereign nation-states of continental Eurasia."
Lyndon and Helga LaRouche Return to New Delhi, India
Almost two decades after their previous trips to India to meet with Prime Minister Indira Gandhi, Lyndon and Helga LaRouche return to India to participate in an EIR seminar at the Jawaharal Nehru University School for International Studies, and to meet with top-level officials of the Indian government including two former Prime Ministers, Chandra Shekhar and I.K. Gujral. They also meet with India's President K.R. Narayanan, as well as leading advisors of the serving Prime Minister, Atal Benhari Vajpayee.
Lyndon LaRouche delivers a keynote address, titled "World In Crisis Needs a New Monetary System" [PDF], which he concludes saying:
"We’ve come to a time, when the alternative has failed. Free trade, globalization, and so forth, have become horror-shows, which destroy us. The floating-exchange-rate system has destroyed the world. It must end... Indira Gandhi was right, in her instinct for protectionism. Her father, and others, were right, in the Non-Aligned Movement, in saying, 'You can not function, merely on national protectionism. You must find a new, more just world economic order...'
"And, that is exactly what we proposed in terms of the Eurasian Land-Bridge. If we can agree, and understand that the nations of East and South Asia require an early, and rapid infusion of technology, to develop these economies so that they can survive; and if this can be done through credit arrangements, extended by governments at interest rates of 1 to 2% simple interest, on long term; and if we take the great infrastructure projects as the driver force; and if we unite the need of Western Europe for markets for this type of technology, and the role of Russia, as the transmission belt between East and South Asia, and Western Europe; and if we think of this as the center of the world, and bring nations in Africa, in the Americas, into the same arrangement, then we have the basis for creating a new monetary system, under which this world can come out of this mess."
LaRouche Returns to Moscow for Kuznetsov Memorial Scientific Conference
For the second time in one year, LaRouche travels to Moscow for a four-day visit December 10-14 to participate in a scientific conference honoring the memory of Pobisk Kuznetsov, who died the previous year. In addition, LaRouche also addresses a seminar hosted by Academician Lvov at the Central Mathematical Economics Institute (CEMI) and meets with the Mayor of Moscow, Yuri Luzhkov. The Kuznetsov memorial symposium is titled "Space and Time in the Evolution of the Global System Nature-Society-Man" at which LaRouche speaks on the subject of "Russia's Role in Solving the Global Crisis" [PDF] in which he states:
"If the world is to come out of this great financial, and monetary, and economic crisis successfully, Russia, as a Eurasian nation, must play a very crucial, central role... I have proposed, that we must develop development corridors, superseding the Trans-Siberian Railroad, across Eurasia... This would require, and would mean, the greatest transformation in the biosphere, in the history of humanity."
LaRouche Visits Brazil, Calls for Emergency Monetary Conference
In June 2002, Lyndon LaRouche travels to Brazil to receive an honorary citizenship from the City Council of Sao Paulo and to participate in a series of seminars on reorganization of the world financial system. At a meeting of the Commercial Association of Sao Paulo, LaRouche calls for "an emergency monetary conference" to create a new international economic system [PDF]. LaRouche states:
"Governments must act to put the system into bankruptcy reorganization... What does this mean? First, we require a global, monetary financial reform. The best model we have is the 1945-1964 system, not as a perfect model, but as a political model. Under those, we must have, therefore, financial reorganization in various countries. We require an emergency monetary conference among leading countries to immediately negotiate a general reform and bankruptcy reorganization. We must also, then, take certain steps in each country and in treaty agreements to get the world economy moving upward... We must generate a tremendous amount of capital investment. How do we do that? We must create a credit system."
LaRouche Reasserts 'Operation Juárez' for Sovereign States of Americas
The LaRouche presidential campaign publishes a policy report titled "The Sovereign States Of The Americas: The Monroe Doctrine Today" [PDF] in which LaRouche reasserts his 1982 Operation Juárez program:
"We must, as I proposed in my 1982 Operation Juárez, develop a new credit-mechanism within the hemisphere, through which we create and manage large flows of created long-term, low-cost credit, credit generated by sovereign governments acting in concert, for capital improvements in basic economic infrastructure and production technologies, at borrowing costs of not more than 1-2% net annual simple interest...
"We must also develop crucial fountains of technology from within various regions of the hemisphere. All of this must function within the framework of an economic protectionist form of fixed-rate monetary order among the currencies of the Americas, similar to the successful initial phase of the original, post-war Bretton Woods monetary-financial system. The development of such an arrangement and perspective within the Americas will directly complement and mesh with the similar system of continental-wide cooperation now emerging within the Eurasian continent. These two continental systems, will be the foundation for a global system."
Lyndon LaRouche in India: Reorganizing the World Financial System
In January 2003, Lyndon and Helga LaRouche travel to India to participate in an extensive series of public and private events in several different cities including Calcutta, New Delhi, and Jaipur, on the subject of creating a Eurasian alliance to reorganize the bankrupt world financial system. The seminars keynoted by LaRouche include one hosted by the Institute of Economic Growth at Delhi University which serves as a leading think-tank for the government of India, and a conference hosted by the Political Science Department of Jaipur University. LaRouche emphasizes in his speech to the Institute for Economic Growth, titled "The Indispensible Role of the State in Reorganizing a Bankrupt System" [PDF] that the "Strategic Triangle" of Russia, China, and India must be the primary engine for economic growth in the world, stating, "we must use the experience of the first phase of Bretton Woods as a model for reorganizing the international monetary and financial system, now."
In his speech in Jaipur, titled "Globalization is a Prescription for Disaster" [PDF], LaRouche again highlighted the Strategic Triangle of Russia, China, and India "as a keystone for bringing together the nations of Asia in an alliance of mutual security and economic progress" and defined the means by which credit can be created to develop Eurasia:
"We need to go back very quickly to a fixed-exchange rate system... We need a system under which nations can cooperate, as I indicated in the case of Asia: 25- to 50-year treaty agreements of cooperation. That means that each nation wants a strong national economy, because the basis of credit will not be central banking credit, will not be private credit... On the precedent of Alexander Hamilton, the state creates the credit and provides that credit for necessary projects in national infrastructure. The second way is through treaty agreements among The second way is through treaty agreements among states. That is, two nations who agree to a project, can guarantee each other a relationship over, say, a 25-year period. That will create credit, without issuing money... Put the bankrupt system into bankruptcy, and create credit for socially significant, economically sound, long-term projects, manage them well on the objectives determined, agreements among nations made, and we can recover."
LaRouches Return to India: Renew The Fight for New Economic Order!
In May 2003, Lyndon and Helga LaRouche return to India for the second time that year to participate in a major international conference co-hosted by the Schiller Institute and the Center for Social Justice of India. The conference is opened with a speech by Indian Member of Parliament Shri K. Natwar Singh, who was the Secretary General of the Non-Aligned Movement under the government of Prime Minister Indira Gandhi when India hosted the Non-Aligned Movement Summit in New Delhi in 1983. In his speech, Singh emphasizes the historic role of the Non-Aligned Movement as leading the fight for the New International Economic Order.
LaRouche then echoes that theme and declares:
"We must have what we fought for at Colombo, Sri Lanka in August of 1976. We must revive the spirit of Bandung, as a part of an international movement. We must revive the concert of a just, new world economic order—now!
"How can this be brought into being? We need large-scale projects, infrastructure projects. We need long-term agreements among nations on trade. We need fixed parities in currencies. We need interest rates on long-term loans which are not excessive: 1-2% simple interest rate. We need 25- to 50-year agreements and treaty agreements, among nations on trade and development. We need a monetary system, with many of the best features of the Bretton Woods system, of the immediate postwar period. But, this time, the United States can not run it, as the United States did back then... . We must have a concert of nations which does this. We must have a concert of nations take over the international financial institutions, and reform them. We must use the power of government, to put bankrupt systems into bankruptcy reorganization. We must use the power of government and treaty agreements, to create large-scale credit and credit systems, to enable these potentials to be realized."
LaRouche also authors a written policy document for the conference, titled "A Precis: The Peaceful Concept of Technology Transfer" [PDF] in which he details the necessary scientific principles to be applied in "establishing a more just, peaceful, and profitable new world economic order within a global community of perfectly sovereign nation-states."
The conference participants endorse The Bangalore Declaration: 'Toward a New World Political-Economic Order' [PDF] which states:
"Establishing a just and equitable economic order in the world is an urgent necessity if the vast majority of people in the world are to enjoy the benefits of human and scientific progress... Developments leading to war, especially the position adopted by some of the leading powers, demonstrate that the international order is becoming less aligned. This opens new opportunities to strengthen the process and build a more cooperative International Order. What we need is a new community of nation-states, non-aligned in military terms, but aligned against all forms of political, social, and economic injustice, and a global movement to pursue a new, just political-economical order... The conference calls upon the peace-loving people, especially young men and women, to launch a worldwide movement to achieve the above goal."
Sergei Glazyev Issues Call for New World Financial Architecture
Member of the Russian Duma Sergei Glazyev, who had invited Lyndon LaRouche to Russia in 2001 to testify to the Russian Parliament, issues a call for a "new world financial architecture" during a press conference in Moscow announcing his campaign for President of Russia [PDF]. Glazyev states:
"The key priority today in world politics, where Russia could take the lead, is the formation of a new world financial architecture... Russia could take active steps to transform the ruble into an international reserve currency, and propose to all countries to shift to an equality-based, mutually beneficial system of financial and monetary relations, rejecting the use of the national currency of any one country as a world currency. We should get away from the excessive dependence of the world financial system on the currency issues of any one country, and shift to a system of equality-based financial and monetary relations. In practical terms, it is possible to reach a consensus among a large group of countries and begin to move to a new world financial and monetary system that would be more stable, more reliable and more fair."
LaRouche Travels to Russia, Publishes 'Economics of the Noösphere'
In April 2004, LaRouche travels again to Moscow to keynote a conference sponsored by the Vernadsky State Geological Museum of the Russian Academy of Sciences and cosponsored by the Schiller Institute. LaRouche's speech, "Entering the Economy of the Noösphere" [PDF, echoes the themes which he elaborates in his newest published book, titled "The Economics of the Noösphere" featuring the ideas of Russian scientist Vladimir I. Vernadsky. LaRouche declares that mankind is entering "a new era" which must impel revolutionary changes in the existing economic order:
"Hopefully, the increasing severity of the present world economic and related crises, will compel us to institute those urgently needed changes in the present world order... The growing needs of humanity could not be met without the kind of scientific revolution which we should associate with what the great V.I. Vernadsky defined as the Noösphere... We are entering a new era of mankind, an era which must grasp more fully, more practically, the implications of V.I. Vernadsky's development of the notion of the Noösphere."
LaRouche in Berlin Details 'New Westphalian' World Economic Order
At an EIR-sponsored seminar in Berlin, Germany involving leading Russian, Chinese, Indian, American, and European policy makers, Lyndon and Helga LaRouche elaborate the 'Westphalian' principles which must serve as the foundation for a new international order between states. LaRouche authors two discussion documents for the conference, titled "Toward a Second Treaty of Westphalia: The Coming Eurasian World" [PDF] and "The Dialogue of Eurasian Civilizations: Earth's Next Fifty Years" [PDF].
During the dialogue at the conference, Lyndon LaRouche invokes the fight for a new economic order, saying, "go back to 1976 to this experience, where the Non-Aligned nations group, in majority on the initiative of India, actually, adopted a resolution on a just new world economic order." In his speech titled "We Need a New Treaty of Westphalia" [PDF], LaRouche declares that the time for that new international order has come:
"We're going into either a period of chaos, which could be a Dark Age, or we're going into a period in which the assumptions of relations among states, especially respecting economic and related kinds of relations, will be changed forever... The decision is on the table: are we going to create a new monetary system, which presumes that a concert of nation-states, sovereign nation-states, will put the existing IMF system into bankruptcy receivership? In other words, governments would take these banking institutions into receivership and manage these bankrupt entities, in such a way as to promote the general welfare."
During the seminar, Helga Zepp-LaRouche delivers a speech titled "Society Needs a New Paradigm Worthy of the Dignity of Man" [PDF], in which she elaborates the history of LaRouche's role in leading the fight for a new international economic order and asserts the urgent need to "put the new world economic order back on the agenda," saying:
"In 1971, when Nixon decoupled the dollar from gold, creating the private banking power over money creation in the offshore markets, LaRouche said, this will lead to a new depression, the new danger of fascism, and the danger of a collapse of society—or, the just new world economic order... In 1975, Mr. LaRouche went to Iraq, to participate in the celebrations of the Ba'ath Party. And he came back, and he made for the first time, the proposal to have the International Development Bank, as an instrument to replace the IMF, to be the vehicle for a $400 billion credit per year for clearly defined development projects. This idea, we then circulated for one year, among 85 countries, the countries of the Non-Aligned Movement. Many of these countries did feasibility studies, with the idea of Mr. LaRouche's work. Then, in Colombo, Sri Lanka, in '76, eighty-five nations accepted the idea of a new world economic order... Then, the next major thing was when LaRouche got the cooperation of López Portillo, to make a proposal—again, to have a new world economic order. This time coming from a debtors' cartel, from the Latin American debtor countries: Mexico, Brazil, Argentina..."
Helga LaRouche traces this history through the collapse of, first, the Soviet Union and then the collapse of the free-market 'globalization' system, asserting:
"This is now the opportunity to put the idea of a just new world economic order, back on the agenda. If you want to have a just new world economic order, it's not a technocratic question; it's not only a question of a new financial system, a new economic system: It's a question of a passionate idea, of the idea of the international community of people.... So, I think we need to have the discussion on this level, and put the new world economic order, back on the agenda."
Helga Zepp-LaRouche Renews Calls for New Bretton Woods
In April 2005, the president and founder of the Schiller Institute, Helga Zepp-LaRouche, renews the call for a New Bretton Woods, issuing an international petition signed by leading elected officials and government figure, including numerous members of the Italian Parliament who had sponsored resolutions in support of the New Bretton Woods, as well economists from several western and central European countries. The petition states:
The following measures must be implemented if we are to alter the mistaken course that we have followed since President Nixon did away with fixed exchange-rates in 1971, a course that has led to the present upsurge of a grotesque and predatory form of capitalism, thanks to unchecked ‘globalization' after the fall of the U.S.S.R. The New Bretton Woods Conference shall decide as follows —
1. There shall immediately be re-established fixed exchange rates
2. A treaty shall be enacted between governments, forbidding speculation in derivative products.
3. The debt shall either be cancelled, or reorganized.
4. New credit lines shall be opened by the State, to create full employment by investing in critical infrastructure and technological innovation.
5. The building of the Eurasian Land-Bridge, as the keystone for rebuilding the world economy, is the vision that will bring about not only a new economic miracle, but peace in the 21st Century.
6. A new Peace of Westphalia will ensure that for no less than the coming half-century, raw materials shall be extracted and processed for the benefit of every nation on this planet.
We, the undersigned, believe that so-called ‘globalization,’ this predatory form of capitalism, has shown itself beyond all doubt to be bankrupt on every front. It is Man who must stand at the center of the economy, and accordingly, the economy must serve the common weal. The purpose of a new world economic order is to guarantee the inalienable rights of Man.
Argentine Foreign Minister Calls For New Bretton Woods at United Nations
On September 14, 2005, during a speech to the United Nations General Assembly, the Foreign Minister of Argentina Rafael Bielsa calls for:
"...an international conference of heads of state, similar to the 1944 Bretton Woods conference, to rebuild a more just global monetary and financial architecture which eliminates financial bubbles and concentrates on supporting the real economy."
This speech, prepared in direct coordination with the Argentine president Nestor Kirchner, comes in the wake of Argentina's victory over the international vulture funds, forcing them to renegotiate Argentina's debt and accept a vast write-down of the face value of their claims against Argentina. Refusing to give in to the threats and 'conditionalities' of the IMF, Argentine President Nestor Kirchner had delivered a speech that April in which he declared:
"There is life after the IMF, and it's a very good life. And remember, being in the embrace of the IMF isn't exactly like being in heaven. I received an Argentina devastated by an economic program supported by the International Monetary Fund: The placing of private interests over the general interest was the expression of a specific model of society which led to generalized poverty, uncertainty, isolation, and impoverishment of life at all levels...
"As it operates today, the IMF has no future, and the developed world has to understand this. Argentina is prepared to work actively and constructively on behalf of a new world economic order."
Argentine President Kirchner Calls for New Financial Architecture at UN
Nestor Kirchner, the President of Argentina, delivers a speech before the United Nations General Assembly on September 21, 2006, in which he calls for a "new financial architecture" to replace the failed and destructive IMF system. Denouncing the violation of national sovereignty and prevention of economic development that the IMF 'conditionalities' regime represents, Kirchner declares:
"There is sufficient empirical evidence to demonstrate that the participation of the international financial organizations in the promotion of development of poorer nations has not been successful, and in many cases, with their conditionalities, they have acted in a contrary sense, preventing development... That is why, together with the majority of countries, we support the reform of the international financial architecture, such that it will lead to the progress of the poorest nations. In noting the scant willingness of these international financial organizations to produce a real change in their policies, we deem it necessary to make this change, and to consider the creation of new international financial instruments that will permit the building of development projects to combat poverty and hunger in the world and to provide real options for advancement."
International Conference in Moscow Demands Bering Strait Tunnel
Lyndon LaRouche is invited to participate in a conference on April 24, 2007 in Moscow, Russia called "Megaprojects of Russia's East: A Transcontinental Eurasia-America Transport Link via the Bering Strait" organized by the Russian Academy of Sciences Council for the Study of Productive Forces (SOPS), in conjunction with the Russian Ministry of Economic Development and Trade (MERT), the Russian Ministry of Transport, the state-owned company Russian Railroads, and several regional governments in Siberia and the Russian Far East. Lyndon LaRouche's speech, prepared and submitted to the conference, is titled "The World’s Political Map Changes: Mendelyev Would Have Agreed" [PDF] in which he states:
"This onrushing collapse of the world’s presently hyperinflated, disintegrating world monetary-financial system, requires early concerted emergency action by responsible leading nations... These must include the U.S.A., Russia, China, and India, as the rallying-point for a new, spreading partnership among perfectly sovereign nation-state economies. In such cooperation, the development of a great network of modern successors to old forms of rail transport, must be spread across continental Eurasia, and across the Bering Strait into the Americas... The bridging of the Bering Strait becomes, thus, now, the navel of a new birth of a new world economy."
LaRouche Invited to Moscow as Featured Guest of Academy of Sciences
Lyndon LaRouche is invited to Moscow to attend a celebration sponsored by the Russian Academy of Science of the 80th birthday of Stanislav Mikhailovich Menshikov, a prominent Russian economist. The celebration is also attended by Academician Alexander Granberg who sponsored the Bering Strait forum earlier in the year, and Dr. Sergei Glazyev, also a member of the Academy of Sciences. Lyndon LaRouche makes remarks to the gathering, in which he says:
"The United States must change its behavior, by approaching Russia, China, and India, in order to create a new order of relations in the world, bringing all the smaller nations in to cooperate with them. I think we can do it: We can change history."
During his visit to Moscow, LaRouche is interviewed by several Russian media, both television and print, including by economist Mikhail Khazin, [PDF] during which LaRouche reviews the history of his role in shaping the economic policy relations between the United States and Russia:
"From 1994 on, since I was visiting Russia, in that period, my concern, which I shared with many of my Russian friends in high positions, was to try to get an understanding with President Clinton, and people in Russia. So, some of the key people here in Russia organized a meeting which I addressed in Moscow. They were prepared, through me, because they knew my connection to Clinton, to open a new channel of economic understanding and cooperation with the United States. [Academician Gennadi] Osipov was one of the leaders of that group, to organize it. The former Prime Minister, [valentin] Pavlov, was part of it. But the Vice President of the United States, Al Gore, was a close friend of Yeltsin, and they put pressure on Clinton not to do it. Finally, in 1998, in August and September, Clinton recognized I had been right... We must have a dialogue between Russia and the United States, involving other countries, like China, India, and so on, who understand that we believe the same thing about the present world crisis, and can understand what we must do for the next 50 years."
Russian President Calls for 'New International Economic Architecture'
At the annual gathering in Russia for the St. Petersburg International Economic Forum on June 10, 2007, attended by almost 10,000 people from over 65 nations (including nine Presidents, four Premiers, 44 ministers, and 40 ambassadors), Russian President Vladimir Putin issues a call for a "new international architecture of economic relations" between nations. Putin highlights the increasingly dominant role being played by the developing countries in the world economy, and states that the existing international financial organizations are in need of "serious restructuring" and that the former paradigm of international economic relations has become archaic.
President Putin declares:
"If we want to achieve sustainable development we need to create a new architecture of international economic relations based on trust and mutually beneficial integration. We cannot ignore the importance of healthy competition, but at the same time, we need to move towards forming common and interdependent interests and ties... The new architecture of economic relations implies a principally new approach to the work of international organizations."
Lyndon LaRouche Forecasts the Financial Crash of 2007
On July 25, 2007, during an international webcast in Washington DC, Lyndon LaRouche goes on record stating that the banking system had reached the point where a catastrophic collapse could no longer be avoided and must be expected to occur in the immediate future. Three days later, Bear Stearns goes under, triggering a chain reaction crisis throughout the entire global financial system.
In his webcast, Lyndon LaRouche states:
"There is no possibility of a non-collapse of the present financial system—none! It's finished, now! The present financial system can not continue to exist under any circumstances, under any Presidency, under any leadership, or any leadership of nations. Only a fundamental and sudden change in the world monetary financial system will prevent a general, immediate chain reaction type of collapse. At what speed we don't know, but it will go on, and it will be unstoppable. And the longer it goes on before coming to an end, the worse things will get."
Helga LaRouche: Landbridge Is The Cornerstone of New Economic Order
The Schiller Institute sponsors a conference in Kiedrich, Germany on September 14-15 attended by 350 people from 40 nations, with presentations and papers from prominent Russian academicians and political figures, including Prof. Stanislav Menshikov of the Russian Academy of Sciences; Victor Razbegin, deputy chairman of the Council for the Study of Productive Forces (SOPS); and Dr. Sergei Cherkasov and Academician Dmitri Rundqvist, both of the Vernadsky State Geological Museum. Lyndon LaRouche delivers the keynote to conference, calling for an urgent bankruptcy reorganization of the world financial system:
"The only peaceful remedy for the present world situation, today, would be by actions which, in effect, place the present world monetary-financial system into a process of reorganization of bankruptcy; and a return to a design consistent with what U.S. President Franklin Roosevelt had intended for the Bretton Woods System, had he lived. No possible solution for this crisis exists within the structures of the present world financial-monetary system. Only a political reform of the world system, as it must be promoted by the initiative of a relevant leading group of powerful nation-states, could turn the tide of horror now gripping the fate of this planet as a whole."
Helga LaRouche addresses the conference and states that the gathering is intended to be a creation of a global forum of dialogue for the purpose of achieving a just new world economic order:
"This conference is supposed to be the beginning of a worldwide dialogue, and forum, of people who want to reconstruct the world; of putting together the combination of people who want to fight for the old idea, which used to be the agenda, for example, of the Non-Aligned Movement, to build a just new world economic order. And the key to this is building the Eurasian Land-Bridge, which, from the beginning, never was meant to be limited to Eurasia, but the cornerstone of a global reconstruction program... We have reached a situation where either we establish a new world economic order based on the Eurasian Land-Bridge, and go for global reconstruction, or we will plunge into a dark age... The question of the new world economic order has been our life's work, and it is now the time to implement it.
Helga LaRouche In Rhodes: A New Westphalian World Economic Order
During the week of October 9-13, 2008, Helga Zepp-LaRouche is invited to participate as a keynote speaker at the Sixth General Meeting of the World Public Forum's 'Dialogue of Civilizations' conference, held in Rhodes, with more than 700 people from 70 countries attending. The World Public Forum was founded and chaired by Vladimir Yakunin, chairman of Russian Railways, and brings together political, religious, and intellectual leaders from around the globe for annual conferences. Helga LaRouche's speech is titled "For a New World Economic Order in the Tradition of the Peace of Westphalia" [PDF] in which she states:
"An emergency conference, modelled on the Bretton Woods Conference of 1944, has long been proposed by Lyndon LaRouche... In order for this new system to have credibility and integrity, the initiating powers—the U.S.A., Russia, China, and India—have to build the core of a representative group of nations which, in the tradition and spirit of the Treaty of the Peace of Westphalia, decide on a multicultural and multinational credit system, even while the current monetary and financial system is put through an orderly bankruptcy process.... The most important principle of the Westphalia Treaty, upon which international human rights are based, was the idea that, in the interest of peace, all foreign policy must be oriented to the "advantage of the other."
Lyndon LaRouche Promotes Four Power Alliance in New Delhi, India
Both Lyndon and Helga LaRouche attend a seminar in New Delhi, India in December 2008, sponsored by the Forum for Strategic Security Studies (FSSS), a leading military think tank, in addition to participating in extensive private meetings on the subject of organizing a Four Powers alliance between India, China, Russia, and the United States to lead in creating a new global political and economic order [PDF]. LaRouche states in his speech to the forum:
"There are four nations on this planet, which are significantly large and important enough, that they could, if willing, make a decision which would eventually change the direction of affairs on the planet... How do we expand the capacity for carrying the world's population in a stable, growing way, which can't be done under the present monetary syste? If these four nations agree to form a nucleus, in recognition of defense against this crisis, then we can change the world... These four governments, the United States, India, Russia, China, can sponsor the idea of an agreement to deal with this particular crisi by creating a new credit system to replace the present bankrupt monetary system.
Helga Zepp-LaRouche: 'We Need A New World Economic Order, Now!'
Helga LaRouche issues a renewed call for a new international economic order [PDF], specifying eight specific points which must serve as the foundation for such a new system:
An emergency conference must be called, at the level of heads of state, to establish a new financial architecture. This emergency conference for a New Bretton Woods must resolve that:
1. The present world financial system must be declared hopelessly bankrupt, and replaced by a new one.
2. It must promptly set up a fixed-exchange-rate monetary system, so that long-term investments in international infrastructure projects are possible, under predictable conditions.
3. Derivatives speculation and speculation in food, energy, and raw materials must be banned by treaty among governments.
4. There must be an immediate reorganization, including, for example, cancellation of debts.
5. In a New Deal for the world economy, in the tradition of Alexander Hamilton, Friedrich List, Henry Carey, and FDR, new credit lines must be made available for investments in basic infrastructure and technological renovation.
6. Building the Eurasian Land-Bridge, as the core project for reconstruction of the world economy, is therefore the vision that can not only bring a new economic miracle, but also bring peace to the 21st Century.
7. Food production must be doubled worldwide in the coming years
8. A new “Peace of Westphalia” must, within at least 50 years, secure the availability and development of raw materials for all nations on this planet.
We maintain that the system of globalization, with its brutal, predatory capitalism, is economically, financially and morally wrecked. Instead, man must be placed at the center again, and the economy must serve the common good. The new world economic order must guarantee the inalienable rights of all men on this planet.
LaRouche: Banking Reorganization According to Glass-Steagall Standard
In October 2009, Lyndon LaRouche outlines a program for bankruptcy reorganization of the financial system [PDF], specifying that, through the application of the "Glass-Steagall standard," fictitious values of speculative debt will be distinguished from productive debt with legitimate economic value. LaRouche asserts that the speculative debt must not be honored or bailed out, while the legitimate productive debt must be protected and reorganized as was done by Alexander Hamilton.
"What is required is to put all regular commercial banks through reorganization in bankruptcy... The accounts which are in commercial banks will be put into reorganization in bankruptcy, such that those accounts which correspond to a Glass-Steagall standard will receive full protection and will be assigned protection under the category of a Glass-Steagall qualified account. These banks, which we will clean up in that way, have to be under bankruptcy protection, even though they've been purged of this garbage... We're going to put the commercial banking system through a Glass-Steagall-standard reorganization; we're going to use the end-product of that reorganization to reestablish the full support of the Federal system, as a credit system, not a monetary system."
Lyndon LaRouche Attends World Public Forum in Rhodes, Greece
Lyndon and Helga LaRouche are both invited to attend the seventh annual conference of the World Public Forum in Rhodes, Greece, attended by over 500 academics, religious leaders, economists, politicians, artists, and journalists, from 60 countries. Lyndon LaRouche gives an address titled "A Four-Power Agreement Can Create a New World Credit System" [PDF] in which he states:
"The task is for Russia, and the United States, and China, and India, to agree, as a group of countries, to initiate and force a reorganization of the world financial and credit system, under those conditions, with long-term agreements, of the same type that Franklin Roosevelt had uttered before his death... The United States, Russia, China, and India, must become a bloc of countries, which each have different characteristics, but if they recognize among themselves, that they have a common interest, they will adapt to each other and respect each other’s different characteristics. The result of this, will be the elimination of the monetary system of the world that has been dominating European civilization since the Peloponnesian War."
Helga Zepp-LaRouche's speech is titled "New Alliances for a New World System" [PDF], which she concludes by saying:
"We must open a new era of humanity, one in which oligarchical and imperial designs have been defeated once and for all, replaced with an alliance of republics which are perfectly sovereign, yet, which are united through the higher interest of mankind as a whole. It is possible to bring this about, but it will require interventions by courageous individuals who are fired by a passionate love for mankind."
LaRouche: 'A Revolutionary Change in International Financial Policy'
At a private seminar in Washington DC, attended by numerous representatives of the international diplomatic community, Lyndon LaRouche delivers a speech [PDF] in which he calls for a "revolutionary change" in the economic system of the planet to "eliminate the tyranny of international finance." LaRouche states:
"We need a revolutionary change in international monetary financial policy. We can not live on the kind of trends in economic policy, financial policy, which have ruled the United States since October 1987. We have to go back to a fixed-exchange-rate system of the type that Franklin Roosevelt intended... We must eliminate the tyranny of international finance, which preys upon and sucks the blood of mankind now. The authority for creation of credit lies with the sovereign nation-states. But the sovereign nation-states must have agreements among themselves, which are fixed-exchange-rate agreements..."
"This is the worst crisis in modern history; it's also the greatest opportunity in modern history, and it depends upon consciousness and will to do some simple things in terms of policy which will fix it. And bring the trans-Atlantic region and the trans-Pacific region into harmony with each other."
BRICS Leaders Demand New International Financial Architecture
At their fourth summit in New Delhi on March 29, 2012, the leaders of the BRICS — Brazil, Russia, India, China, and South Africa — issue a statement calling for "a more representative international financial architecture, and the establishment and improvement of a just international monetary system that can serve the interests of all countries and support the development of emerging and developing economies."
The New Delhi Declaration of the BRICS announces:
"We have considered the possibility of setting up a new Development Bank for mobilizing resources for infrastructure in BRICS and other emerging economies and developing countries. We direct our Finance Ministers to examine the feasibility and viability of such an initiative, set up a joint working group for further study, and report back to us by the next Summit."
EIR Publishes Special Report: 'There Is Life After The Euro!'
Executive Intelligence Review publishes a special report titled "There Is Life After The Euro: Economic Miracle For Southern Europe & Mediterranean" [PDF] which details the development programs which could be built to reconstruct Europe if the European nations were to free themselves from the collapsing Euro system. In the introduction to the report, Helga Zepp-LaRouche says:
"The euro system, and the entire trans-Atlantic financial system, are in the process of total disintegration... A solution does exist. That solution, however, is absolutely impossible within our current system. The hopelessly bankrupt system of globalization, and today's casino economy, must be replaced by a credit system that is oriented exclusively toward future investment into the real economy, with high energy-flux densities. We must return to national currencies, fixed exchange rates, and an economic reconstruction program for Southern Europe, the Mediterranean region, and the African continent...
"By implementing a two-tier banking system in the exact tradition of the Glass-Steagall standard established by Franklin D. Roosevelt in 1933, commercial banks would be put under state protection as a first step, while the entire array of 'creative financial instruments' and derivatives contracts would have to be struck from the books. A moratorium must be declared on all state debt, and the portion of indebtedness stemming from financing all sorts of bailout measures, would likewise be wiped from the books."
Schiller Institute Launches 'New Paradigm for Civilization' Conferences
The Schiller Institute sponsors a conference in November 2012 near Frankfurt, Germany titled 'A New Paradigm for Civilization' as the first in a series of international conferences [VIDEO]. The conference is attended by over 300 participants from 25 countries in Europe, and Middle East, Asia, and the United States. Helga Zepp-LaRouche introduces the new EIR report 'There Is Life After The Euro' and stresses that only by adopting a development program in the common interests of mankind can global war be averted.
See Website: Forum For A New Paradigm
Lyndon LaRouche's remarks to the conference [PDF] feature the specific steps that must be taken to reorganize the bankrupt financial system:
"1. The first of the three essential preconditions for recovery is that the relevant, combined leading nations of both the United States and the leading parts of Eurasia, must immediately enact the Glass-Steagall law...
2. A recovery of the economy of the relevant nations depends upon the actual creation of a set of systems based on the principle of national credit, among respective nations. This means that the future investments must be those rightly deemed physically worthy of the credit which is uttered under the authority provided by the credit systems of the respective sovereign nations...
3. It must be recognized, that it is the increase of physical wealth which must be made practicable by the respective nations' extension of systems of public credit. The future wealth of nations and of the enterprises must warrant the extension of national credit, within and among cooperating nations. That economic policy shall serve for both the public and private investment, in the creation of that which will exist only through the means of the productive future of the nation and mankind in general."
LaRouche Interviewed In Chinese Press: 'Change The Direction of History'
Lyndon LaRouche is interviewed by Xinhua, the official news agency of the People's Republic of China, on July 27, 2013 [PDF]. During the interview, the interviewer Zhang Mian states "as an economist, you've committed yourself to establish a new world economic order" and asks him what is required to accomplish this goal. LaRouche replies:
"We have to create a new world, a new world which is based on a commitment to high technology, because only by increasing the technological potential of the nations of the planet, can we possibly work our way out of this problem. That could be done. China is potentially a very important part of this new world system. We can create an agreement among leading nations of the world, to change the general direction of the history of this planet in modern times — and China is a key nation in this whole process... The important thing is to turn conflict into a source of alliances, on this issue. And that issue will only work if we are actually promoting technologically progressive improvements in productivity."
Chinese President Xi Jingping Announces 'New Silk Road Economic Belt'
On his way to a meeting of the Shanghai Cooperation Organization (SCO), Chinese President Xi Jingping visits Kazakhstan on September 7, 2013 and announces his policy to push the rapid development of a 'New Silk Road Economic Belt' stretching "from the Pacific Ocean to the Baltic Sea." While speaking at Nazarbayev University in Astana, President Xi states:
"To forge closer economic ties, deepen cooperation and expand development in the Euro-Asia region, we should take an innovative approach and jointly build an ’economic belt’ along the Silk Road. This will be a great undertaking benefitting the people of all countries along the route... We must expand the development of Eurasia, creating an economic belt along the Silk Road. China and the Central Asian countries are at a crucial stage; we need a broader vision for cooperation. The peoples of this ancient Silk Road together can compose a wonderful new chapter in the much-told story. Now is a golden opportunity for development."
Helga LaRouche to UN: New Economic Order Begins With New Silk Road
Helga Zepp-LaRouche publishes an appeal to the United Nations [PDF] stating that Xi Jingping's adoption of the Silk Road policy creates the opportunity to "put the legitimate demand of the Non-Aligned Movement for a just world economic order back on the agenda." Helga LaRouche writes:
"We all know that the current economic order in the world only allows a very small percentage of the population to live a life of luxury, that only a relatively small percentage live decently, that many languish in inhumane poverty, while what Pope Francis called "hidden euthanasia" is widespread...
"It is high time to put the legitimate demand of the Non-Aligned Movement for a just world economic order back on the agenda. Such a new order could begin with the proposal of Chinese President Xi Jinping at the latest SCO conference, to build the new Silk Road as the basis for peaceful cooperation among all the countries along that route. This proposal is totally in line with the proposal for a Eurasian Land-Bridge that the Schiller Institute advanced beginning in 1991, in reaction to the disintegration of the Soviet Union. That concept has been expanded, in the meantime, to a World Land-Bridge to bring people together, which has gained many friends and supporters throughout the world. Such a worldwide infrastructure and development program would hoist us onto the next higher economic platform, where hunger and underdevelopment could be eliminated forever."
LaRouche Movement Publishes Video Detailing Thailand 'Kra Canal' Policy
On September 23, a feature video is published by the LaRouchePAC detailing the thirty-year history of the LaRouche movement's leadership in the campaign to build a sea-canal across the Kra Isthmus in Thailand to connect the Gulf of Thailand with the Indian Ocean as a keystone project for the development of the Southeast Asian region. The video also reviews other key economic development projects for this region, including the development of nuclear power and rail transport. A transcript of this video is featured in Executive Intelligence Review magazine [PDF].
A Chinese-language journal Fortune Times contacts LaRouche a few months later to interview him on the Kra Canal [PDF], in which LaRouche states:
"The great boost to economic development of the South-Asia development, the massive economic advantage, and relative simplicity, of the undertaking, fulfillment, would be the exceptionally massive economic benefits such a canal represents for all of the nations of East and South Asia. There are two truly great nations in Asia: India, and the more populous China. The sheer volume of maritime trade between the two great nations of Asia, and their connections through the South Asia maritime regions, make the canal probably the most potentially beneficial, and also efficient project for the entire region of the Pacific and Indian Ocean regions, and the co-development of the major regions of Planet Earth as a whole."
President Xi Jingping Calls for 'Maritime Silk Road of the 21st Century'
Less than a month after calling for a 'Silk Road Economic Belt' through central Asia during his trip to Kazakhstan, Chinese President Xi Jingping follows this up with a call for the creation of a 'Maritime Silk Road of the 21st Century' during a speech to the Indonesian Parliament on October 3, 2013. This policy proposal would be for the maritime development of East and Southeast Asia in tandem with the policy for land development of Central Asia that he had announced the week before. During the speech, Xi also announces the creation of an Asian Infrastructure Investment Bank (AIIB) to fund these projects.
President Xi states:
"Southeast Asia has since ancient times has been an important hub along the ancient Maritime Silk Road. China will strengthen maritime cooperation with ASEAN countries to vigorously develop maritime partnership in a joint effort to build the Maritime Silk Road of the 21st Century. China is ready to expand its practical cooperation with ASEAN countries across the board, supplying each other’s needs and complementing each other’s strengths.
Helga Zepp-LaRouche Returns to China to Promote 'New Silk Road'
In February 2014, Helga Zepp-LaRouche returns to China for the first time since 1998 to participate in over a dozen seminars, conferences, and television interviews on the subject of the New Silk Road. The trip was occasioned by the announcement by President Xi Jingping the previous year of his 'Silk Road Economic Belt' policy, which precipitated numerous invitations to Helga LaRouche from academics and policy makers familiar with her leadership role since the early 1990s in promoting the Eurasian Landbridge.
During her trip, Helga LaRouche is featured in a half-hour interview on the prime-time CCTV 'Dialogue' program by Yang Rui, a prominent journalist in China who has interviewed numerous world leaders and heads of state. He begins by introducing Helga LaRouche as the person "who first advocated the idea of a Eurasian Land-Bridge more than 20 years ago" and is referred to as the New Silk Road Lady. In the interview, she stresses that the extended Eurasian Landbridge can serve as the foundation for "a peace order for the 21st century" and create a paradigm shift away from perpetual war:
"We have to move away from geopolitics, because geopolitics gave the world two world wars in the 20th Century. If we stay with geopolitics, we are on the verge of a Third World War. The conception of the Eurasian Land-Bridge is larger than only the Silk Road, because it also involves the building of a corridor along the Trans-Siberian Railway, and it has many routes going all the way to Indonesia, into Africa. We are really talking about the Silk Road being the beginning of a World Land-Bridge... It is extremely important to put a peace order for the 21st Century on the table and create a level of reason, where everybody who participates has a benefit, so that historical conflicts, past wars, and all these problems are put behind us, if you build the Eurasian Land-Bridge as a totality."
Helga LaRouche was also interviewed on China Radio International's 'People In The Know' program [PDF], in which she stressed that the New Silk Road can serve as the pathway to "a new system of credit among sovereign nations" to replace the current collapsing financial system:
"The New Silk Road idea, which is really identical with our Eurasian Land-Bridge proposal of 24 years ago, would have large projects, building corridors, building fast-speed railways, building water projects to overcome the deserts. And these are projects which would be international. So you need to have international mutual credit agreements among different nations, to build these over the long term. Meaning that you cannot expect profit in two months, but you would plan these projects over 10, 20, 40, even 50 years, and you make credit arrangements among sovereign countries to accomplish that. So, we need to think about how to replace the present collapsing financial system, with a new system of credit among sovereign nations."
China and Russia Establish Historic Strategic-Economic Relationship
Chinese President Xi Jingping and Russian President Vladimir Putin hold an historic summit on May 22, 2014 in which they significantly upgrade and solidify the strategic and economic relationship between their two nations. The two leaders issue a joint declaration giving clear support to each other's economic development initiatives, the President Xi's 'Silk Road Economic Belt' and President Putin's 'Eurasian Economic Union', pledging to merge their efforts for mutual development.
At the core of the agreement is the finalization of a 30-year natural gas deal in which Russia will provide China with 38 billion cubic meters of natural gas annually in exchange for Chinese financing of necessary pipeline construction and oil field development. The economic agreements also include mutual investment in transportation, infrastructure, mineral development and "increases in the effectiveness of cooperation in areas of high technology, developing collaboration in the realization of priority projects such as the international use of nuclear energy, civil aviation, and in the program of cooperation on fundamental space research, satellite monitoring of the Earth, satellite navigation, and the study of deep space and human astronautics."
Russia, Kazakhstan, and Belarus Create Eurasian Economic Union
At a meeting on May 29 in Astana, Kazakhstan, the presidents of Russia, Kazakhstan, and Belarus sign a treaty creating the Eurasian Economic Union [PDF]. President Putin of Russia emphasizes at a press conference that this economic union will facilitate the creation of trans-Eurasian "transport-logistic routes" of global importance:
"The Treaty we signed is one of truly epoch-making, historic importance. It opens up the broadest possible prospects for economic development and improvement of the welfare of the citizens of our countries. Russia, Belarus, and Kazakhstan are moving to a fundamentally new level of cooperation, creating a common area. Our three countries will be able to conduct a coordinated policy in key economic areas such as energy, industry, agriculture, and transport. energy, industry, agriculture, and transport... The geographical position permits us to create transport logistic routes of not only regional, but also global importance that permit attracting massive trade flows in Europe and Asia."
President Nazerbayev of Kazakhstan emphasizes that the Eurasian Union will become a new model of relations between sovereign states:
"A new geopolitical reality of the 21st Century is born fundamentally new model for good neighborly relations and interaction between peoples in the great Eurasian space."
Majority of Planet Unites Behind Argentina's Resistance to Vulture Funds
In response to a ruling by a New York court in favor of 'hold-out' vulture fund NML Capital's usurious debt-claim against Argentina at 1,608% profit, a majority of the world's nations unite in support of Argentina's refusal to pay. Argentine President Cristina Fernández de Kirchner makes a speech to the G77 Summit in Bolivia in which she states:
"In this kind of anarcho-capitalism, where a small group of financiers runs the rest of humanity, a group known as ‘vulture funds’ obtained debt instruments at absurdly low prices. This small group of vulture funds is endangering not only Argentina. In reality what is at stake is the international financial system, and the international economic system more than the financial system. This is financial capitalism and the appearance of what is called financial derivatives, which began to generate, or at least make the world believe that they were generating, money without going through the cycle of the production of goods and services, which is impossible and obviously generate astronomically high profits, but also the existence of fictitious money."
The entire Group of 77 (G-77), representing 133 nations and a total of 5.6 billion people, or 78% of the world's population, largely overlapping in terms of membership with the nations of the Non-Aligned Movement, votes unanimously to support Argentina and stand in solidarity against the vulture funds.
President Fernández de Kirchner welcomes the international outpouring of support and stresses:
"Today the vulture funds endanger the international financial system. This is not a matter of North or South, but of a productive economy against a speculative one."
At an emergency meeting in Washington D.C. of the Organization of American States (OAS), the acting Foreign Minister of Guyana Robeson Benn calls for a return to Glass-Steagall to defend nations from the usury typified by the vulture funds [PDF]:
"I would like to pose the question as to whether we should not, out of this imbroglio, re-look at the overall question of the repeal of the Glass-Steagall Act in 1999 in the United States, which related to the activity of the banking system, the international financial institutions, mainly resident in the United States and in the United Kingdom. President Roosevelt, of the United States of America, established a banking act, signed off on the Banking Act of 1933, which set up firewalls between the activities of the banks, and on the questions of speculation in the financial system. There is, perhaps, the need now to take a look at putting back in place important sections of the Glass-Steagall Act which was repealed in 1999... We need to review the question, or call upon U.S. legislators to pursue efforts to put back in place the type of regulation in the banking system which would prevent vulture funds, which would prevent this 'modern-day piracy' which has serious implications for the world economy."
Helga LaRouche: New Silk Road Is Creating New World Economic Order
On the eve of the BRICS Summit in Fortaleza, Brazil, Helga Zepp-LaRouche publishes an article titled "The New Silk Road Is Creating a New Just World Economic Order" [PDF] in which she states:
"A strategic realignment of a large number of states is currently taking place... The core of this positive change is the emergence of an economic platform to develop the New Silk Road which China has made a priority of its foreign policy. Chinese President Xi Jinping and numerous government officials have repeatedly emphasized in international forums, the principles on which the New Silk Road economic zone is based: mutual development, non-confrontation, mutual respect and dialogue, respect for the other’s choice of social system, support for the strategic interests of the other state, absolute respect for sovereignty, and renunciation of any form of hegemonism...
"Various aspects of the Silk Road policy are already on the agenda: connections along the historic route in Central Asia; the maritime Silk Road, including construction of a “second Panama Canal” in Nicaragua, with Chinese help; and the strategic cooperation between Russia and China which was adopted at the summit in May between Presidents Vladimir Putin and Xi Jinping. The principle also includes the offer by Prime Minister Li Keqiang, that China is ready to connect all the African capitals by high speed rail.
"It is expected that at the summit of the BRICS countries in Fortaleza, Brazil on July 13-14, not only will the five member states intensify their cooperation according to the “Silk Road” concept, but there will also be various bilateral and multilateral meetings be tween their leaders and those of Latin America, at which large projects and contracts will be agreed upon, constituting, in combination, the beginning of a new world economic order. A BRICS Development Bank is to be established, with a starting capital of $100 billion, as well as a foreign exchange pool to better protect participating developing countries from currency turbulence. In addition, China is preparing the ground work for an Asian Infrastructure Investment Bank (AIIB), with initial capital equivalent to $50 billion. The goal of these new institutions is also to reduce dependence on the dollar and move toward trade in the respective national currencies...
"The new international economic order is coming into existence through China’s New Silk Road policy."
BRICS Summit: Half of Humanity Launches New World Economic Order
The leaders of the BRICS nations (Brazil, Russia, India, China, and South Africa) meet on July 16 in Fortaleza, Brazil for the Sixth BRICS Summit and take actions establishing a New International Economic Order. The BRICS Summit issues a 72-point Fortaleza Declaration announcing the formation of the New Development Bank (NDB), directly echoing the proposal by Lyndon LaRouche from nearly four decades before for an International Development Bank (IDB) to create long-term, low-interest credit for capital investment into the so-called developing sector, in order to overcome the underdevelopment of Africa, Latin America, and large parts of Asia. The Declaration also announces the establishment of a Contingent Reserve Requirement (CRA) to protect nations from currency speculation and financial manipulations.
President Putin of Russia highlights these two initiatives in his address to the conference:
"We are united by a desire to act from unified positions in all issues of global development and the formation of the global financial and economic architecture... We have been able to achieve significant successes. I want to stress that all the plans we set for ourselves a year ago have come to fruition. I am referring, first and foremost, to our plans to create a new Development Bank and a Currency Reserve Pool for BRICS nations. Today, we have confirmed their founding documents. The BRICS bank will become one of the largest multilateral financial development institutions in the world. Its stated capital will be $100 billion. The scale of possible operations within the framework of the Currency Reserve Pool may also reach $100 billion. This mechanism creates the prerequisites for effectively protecting our countries from financial market crises. The bank and the Currency Pool, with combined resources of $200 billion, lay the foundation for coordinating a macroeconomic policy between our nations."
Newly elected Indian Prime Minister Narendra Modi celebrates the leadership significance of the BRICS as defining the future, saying:
"The vision of a New Development Bank, at the Delhi Summit two years ago, has been translated into a reality, in Fortaleza. It will benefit BRICS nations, but will also support other developing nations... The uniqueness of BRICS as an international institution is that for the first time, it brings together a group of nations on the parameter of 'future potential' rather than existing prosperity or shared identities. The very idea of BRICS is thus forward-looking... We have an opportunity to define the future — of not just our countries, but the world at large. Coming from a land where the idea of Vasudhaiva Kutumbakam — the 'whole world being one family' — is rooted deep in our ethos; I take this is as a great responsibility."
Immediately following the BRICS summit, the five heads of state hold a follow-on summit with the Union of South American Nations (UNASUR). Argentine President Cristina Fernández de Kirchner speaks to the gathering and declares the establishment of a new international financial order:
"It is with great pleasure that we salute this decision of the BRICs to create a development bank, focused on infrastructure... We are posing a new global financial order, one that is not just fair and equitable, but indispensable. What we demand from the world, is precisely the creation of a new global financial order which will permit sustainable and global economic growth.... Thus, the appeal to all nations is to join forces in this real crusade for a new global political, economic and financial organization that will have positive social, political, economic, and cultural consequences for our nations."
EIR Publishes Updated Special Report on World Landbridge
In her introduction to a newly published special report on the World Landbridge project from Executive Intelligence Review, titled "The New Silk Road Leads To The Future Of Mankind" [PDF], Helga Zepp-LaRouche writes:
"In less than one year, an alliance of nations has been created, which has built a parallel economic order with giant steps, one which is dedicated exclusively to the building of the real economy, in opposition to the maximization of speculative monetary profit, and which now includes more than half of mankind. This new community of nations represents a power center based on economic growth, and above all, on leading-edge technology, one which belongs to the future...
"A new strategy for mankind means the ability, from now on, to see the human species as a unity, and to see that unity in the process of mutual development... This also signifies a new model of cooperation among the nations of the world. It means that all potential treaty organizations and alliances must be inclusive, that they cannot be for the security and economic interests of some nations, while excluding others. While the support of mutual development is the premise, they must nonetheless respect the different levels of development, history, culture, and social systems, and above all, respect national sovereignty. That is Nicholas of Cusa's idea of unity in multiplicity, and it must be inspired by a tender love for the idea of the community of nations, for the idea of mankind as the creative species."
Helga Zepp-LaRouche Tours Silk Road Route on Return Visit to China
Helga Zepp-LaRouche is invited to return again to China to tour the Silk Road route and address several high-level conferences on the Silk Road Economic Belt initiative of Xi Jingping. On September 5, 2014 she addresses a high-level forum in Beijing on the topic “One Belt, One Road" [PDF] along with Col. Bao Shixiu, Professor (Emeritus) of Military Science at the People's Liberation Army Academy of Military Science, who emphasizes in his speech the leading role of both Helga and Lyndon LaRouche in the campaign for the New Silk Road since the beginning of the 1990's [PDF]. The event, sponsored by China Investment magazine, which is an arm of the National Development and Reform Commission, the main economic policy planning commission under the State Council of the Chinese government, is the first of what is intended to become an annual event bringing together researchers from many Chinese think-tanks tasked with the mission of developing a program for President Xi Jinping’s Silk Road Economic Belt.
Helga LaRouche is also a participant in an international conference on the New Silk Road at Lanzhou University attended by representatives of the Chinese Ministry of Foreign Affairs and by the president of Russian Railways Vladimir Yakunin. Additionally, she is interviewed twice on the prime-time CCTV 'Dialogue' show, as well as on Chinese Radio International [PDF]. During the latter interview she states:
"In these six months, tremendous developments have taken place. You had the strategically extremely important summit between President Xi Jinping and President Putin in Shanghai in May, and then in July, the equally important BRICS meeting in Brazil, which was followed by a summit between the BRICS countries and the heads of state of Latin America. And what has emerged out of this series of meetings is a fantastic development, namely, the shaping of a new financial order and a new economic system. And this is extremely important, because this has given tremendous hope to many other countries to finally go for the kind of development which is in their self-interest."
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