The very future existence of the U.S.A., and much more besides, are being put in terrible peril by current economic and military policies of both the U.S. Bush Administration and the matching, negligent follies of Senator Kerry's presently ill-advised campaign. While the Bush Administration's policies do differ, presently, in the relatively tertiary matters of detail, both campaigns currently share axiomatically identical policy-shaping assumptions for practice, respecting both a.) the economy and b.) the currently escalating asymmetric warfare in Iraq and Palestine. However they may differ respecting the proposed rearrangement of the deck-chairs of our Titanic U.S.A., both refuse to say or do anything which is even merely worthwhile, or even urgent, about the fact that, under the currently proposed policies of either, the ship of our state will surely sink.

Only if Kerry were to continue his recent, pathetic "me, too" campaign postures in these areas, were Bush's reelection by any honest means a likely prospect at this present time. In Kerry's apparent efforts to placate the menacing Bush Administration, and to please prospective financier interests seen as funders of his campaign, his proclivity for shilly-shally tokenism is alienating, even angering large portions of those citizens, the "proverbial forgotten man and woman" on which a Democratic victory in November would depend. The victory is, for the moment, for Kerry to lose; at the present rate he is doing much to bring that loss about.

Whether President Bush had been actually elected, or merely injected into that office, remains obscured by the January 2001 act of anti-constitutional ejaculatio praecox by that U.S. Supreme Court Associate Justice Antonin Scalia, a man whose proclivities on constitutional law are often more echoes of the Confederacy's than the U.S. Constitution. We have, nonetheless adopted Mr. Bush as President, perhaps out of compassion, by some, for the fact that, since the "Keystone Cops" have gone out of business long ago, poor Mr. Bush may not be qualified for entry to any other presently available place of employment than as a dummy performing in a White House, where his performance is managed by his ventriloquist, Vice-President Cheney.

Meanwhile, of late, neither of the two rival candidates has much of anything really significant and good to say on any essential matter confronting the nation at this time. My duty is either to replace Senator Kerry as presumptive nominee, or to create a situation in which he is impelled to become both a winning, and an actually qualified candidate as Bush's replacement.

The present world monetary-financial system is presently gripped by an acutely terminal phase of an ongoing general collapse. Contrary to the disclaimers of Senator Kerry, for example, virtually every important central banker in the world today, whether he or she agrees with my proposed remedies, or not, agrees emphatically, in their discussions behind the scenes, with the factual accuracy of my warning that there is an ongoing collapse. They know that this is an Alan "Mr. Financial Derivatives" Greenspan-crafted collapse which would be far worse than that Europe and the U.S.A. experienced over the 1928-1933 interval, a collapse now rushing toward a general, global blow-out in the very near future. The present world monetary-financial system is gripped by the kind of financial-derivatives-driven hyperinflation from which that present system could never recover.

The U.S. itself could recover, but only under a new kind of monetary system, similar to that crafted by President Franklin Roosevelt. Either we reorganize the world system now, as President Franklin Roosevelt did, or we today will be plunged into a global epidemic of "vulture fund"-like fascism, such as that which took over all of western and central continental Europe over the interval 1922-1945. This is not a threat of what might occur down the line a few years ahead. The threat is immediate. It could occur on Monday, or come even months later; but it is onrushing, and will hit with far greater force, this time, than the calamity which Calvin Coolidge bequeathed to Herbert Hoover, three-quarters of a century ago.

In this area, the economy, Senator Kerry has been, so far, an electoral disaster waiting, eagerly, to happen. His case reminds us, not without relevance, of the case of the unfortunate, bungling Al Gore, without whose folly in his campaign, the current incumbency of President Bush would not have been possible.

We have very little time. The general collapse of the U.S. financial system, and that of Europe, could occur on the coming Monday, or the kind of hyper-inflationary tricks now being used might postpone the crash for a short time.

I explain.

In Spring 1987, I forecast a probable, early October major stock-market crash; which later occurred, precisely on schedule. At the latter juncture, former Federal Reserve Chairman Paul Volcker, who had rapidly turned the U.S. economy into wreckage, beginning October 1979, was being replaced by the present incumbent of bathtub and Chairmanship alike, Alan "Bubbles" Greenspan, otherwise widely, and wisely better known as "Greenspin." Greenspan reacted to the already calamitous situation which Volcker had bequeathed to him in October 1987, by inventing a new kind of money, called "financial derivatives." Among intelligent people, these are not called "derivatives," they are better called "side-bets" on that already wild-eyed gambling enterprise known as the speculator's market for paper securities. Greenspin turned these side-bets, which have been reported as aggregating to $8.7 quadrillions of hyper-inflationary turnover during 2003, into a giant financial-accounting swindle, a source of nominal assets included as if they had had some real economic value on regular financial markets, including stock and bond markets.

To understand the presently onrushing collapse of the world's present monetary-financial system, compare the way in which financial markets are being inflated, largely through the derivatives hoax, with the image of a propeller-driven, or even an early configuration of jet aircraft approaching the point at which it will attempt to "break the sound-barrier," the famous shock-wave front first defined by the mathematical physicist Bernhard Riemann back during the middle of the 19th Century. For the purposes of applying the Riemannian concept to the present economic crisis, the limiting condition which defines the shock-front we are currently entering in the world's finances, is the ratio of the rate of increase of financial aggregates to the relative decline of production of physical goods, excluding fictitious qualities of "services," as the Wal-Mart phenomenon typifies this economic insanity in the domain of so-called "micro-economy."

As the mass of financial aggregates increases geometrically, the required lowering of the discount-rate needed to sustain the financial bubble converges on the virtual zero-overnight-rate of emission of a virtually bankrupt Japan banking system. This kind of inflationary emission of monetized credit is used, chiefly, to prop otherwise collapsing U.S. financial markets. The case of Greenspin's U.S. mortgage-based securities swindle, run through channels such as Fannie Mae, and a similar, worse bubble in England, are typical by-products of that sort of increasingly explosive international financial-monetary situation.

As the angular aspect of the inflationary curve turns toward a nearly vertical direction, the equivalent to a trembling in the aircraft becomes ominous. The craft may shatter, or dive out of control to its doom at an uncertain, but immediate point just ahead, as test supersonic flights often crashed, until a certain German engineer showed the U.S., drawing virtually on the back of an envelope, how to reconfigure the craft for supersonic flight, according to Riemannian shock-wave principles.

For points of reference, this bubble could have popped at the close of President George H.W. Bush's term, and those pressures did contribute greatly to his defeat by President Clinton. Greenspin's IT bubble kept the hoax alive during the Clinton Administration until Spring 2000, when the bubble was already touching the area of the presently ongoing general collapse. The 1997 Soros crisis in Asia was a product of this. The collapse of the market in Russia's GKO bonds, in August 1998, was a case. The hyper-inflationary "wall of money" policy introduced during late 1998, postponed the collapse until President George W. Bush's term in office.

Now, the rate of the shock-front-like curve is turning toward pointing straight upward. The ratio of the rate of increase of increasingly inflationary emission of fictitious monetary and financial assets, which occurs in a way which accelerates the collapse of the underlying (real) physical economy, tends to produce an hyperbolic-like combined effect. At that point nothing can postpone the collapse of the world's monetary-financial system in its present form.

Only ignorant people, or liars, from leading circles around the world today, would deny that fact. Rather, as the elegant François Rabelais might suggest, the next meeting of the IMF's principals will probably be conducted, so to speak, each and all arranged in a circle, with each seated, panic-stricken, on an automatically flushing lavatory-stool.

What is certain is, that were the present Bush-Cheney Administration reelected in November, a general financial crash, a Schachtian world government, a fascist one advised by a neo-Schachtian Felix Rohatyn or Robert Mundell, controlled by vulture funds, combined with a prompt unleashing of Cheney's and Blair's Fabian Society-like policies of a rolling, world-wide, perpetual warfare according to the doctrine of preventive nuclear warfare which created the presently hopeless U.S. situation in Iraq, are assured.

Meanwhile, the U.S. under a post-November 2004 Bush-Cheney-Ashcroft-Scalia team, would be transformed, by emergency measures, into a fascist state modelled upon that which Ashcroft and Scalia have already resurrected, as aggressive tendencies, from the policies of Adolf Hitler's "crown jurist" Carl Schmitt, the Schmitt who was the original sponsor of the same Leo Strauss whose fascistic doctrines later produced Cheney's neo-cons. Times of an oncoming twilight of those ever-damned gods of financial Olympus, usually mean times of those kinds of war and dictatorship associated with the notion of a dark age.

The immediate subject of my present policy-statement here, is the task of successfully and quickly extracting U.S. military forces back to safety, out of the hopeless Hell-hole of the presently disintegrating U.S. military occupation of Iraq. Neither President Bush, nor Senator Kerry currently, are competent to define a practical approach to the accomplishment of that withdrawal. Nor would even my policy work, were it not presented by the U.S. as my doctrine, as I shall explain here, and the U.S. government were to identify this as their adoption of my doctrine.

That doctrine itself is as follows.

by Lyndon H. LaRouche, Jr.

Saturday, April 17, 2004

The trap currently gripping U.S. military forces inside Iraq, is that either a headlong flight forward, as a desperate Secretary Rumsfeld proposes, or reckless retreat, would inevitably create an infinitely worse mess there, and for the U.S. world-wide, than already exists today. Therefore, the present situation on the ground must be strategically outflanked.

3. For the purposes of U.S. foreign policy, Southwest Asia is to be recognized as bounded by four principal states, whose appropriate cooperation is indispensable for creating a zone of stability among the nations and peoples of the region as a whole. These are Turkey, Syria, Iran, and Egypt. The security of northeast corner of the region so defined, depends on protecting its flank, by ensuring non-interference from outside interests, that by the exclusion of meddling outside parties from intrusion into current discussions on cooperation among Armenia, Azerbaijan, and Iran.

It is only through fostering the immediate establishment of an appropriate declaration of U.S. commitment to recognition of that reality of Southwest Asia, that the needed aid for the extrication of U.S. forces from Iraq could be accomplished. The acceptance of that U.S. declaration by those and other nations of that region, is the necessary flanking action. Therefore, action in the direction outlined here is urgent, and must be immediate.

If the nations of the Southwest Asia region accept such a settlement, with assured U.S. backing, the global influences needed can be brought into play.

The included, and essential significance of this role of the name of "LaRouche," is, chiefly, that the U.S. government under the thumb of such figures as Vice-President Cheney and his Leo-Straussian neo-conservatives, has acted under a continuing commitment to a utopian doctrine known variously under the titles of "perpetual warfare" and "preventive nuclear warfare." These policies are an extension of the Fabian Society doctrines of the U.S.-hating H.G. Wells and Bertrand Russell, the doctrines of "world government through terror of nuclear weapons," the terror which ruled the world from the bombing of Hiroshima and Nagasaki, to the European events of 1989. Cheney, in particular, has targetted Syria, Iran, North Korea, and other nations as intended victims of such a policy. Were he to be reelected, the world must expect early action, including "preventive" nuclear attacks, on those and other targets, to begin soon after the November election. No relevant declaration of U.S. stated policy will be considered credible by the world at large, unless that statement, as crafted by me, is considered as a systemic eradication of the Russell English-speaking "world government" tradition and of that tradition's association with the doctrines of Vice-President Cheney today.

a.Only principles of intention which have a constitutional basis in natural law, rather than positive law, such as the great constitutional principle, "the advantage of the other," of the 1648 Treaty of Westphalia, could succeed in establishing a core-agreement in circumstances such as those of this region today. The positive law must wait upon the pleasure of the adoption of the relevant, ecumenical principles of natural law.

b. The most crucial economic issues of the Middle East region, are water and power. In the immediate vicinity of Israel and occupied Palestine, for example, there is not sufficient water from presently available resources to allow the growing population of that region to live in peace. Artificial means, such as large-scale desalination, which are needed to increase the gross supply of potable water for the region, together with provision of associated power generation and distribution, could ensure the pre-conditions for a prospective, durable peace in the region generally. In general, peace were durable prospect, only if the region were defined under the echo of the Treaty of Westphalia, as a zone of cooperation in development of sovereign states.

a. I propose that the U.S. adopt as its intention my policy for the prompt, summary withdrawal of U.S. military forces from the Middle East. As President, I would pull the bulk of our military forces back to the U.S., for rebuilding those relevant institutions there. Therefore, I set forth the following exemplary points of a related military policy, which should become accepted among ourselves and nations abroad as our policy.

b. The military policy of the U.S. henceforth, must be the affirmation of a military tradition of Strategic Defense, as that term was first defined in a significant, scientific way by the great Lazare Carnot who rescued a virtually doomed France from occupation and partition by the combined arms of virtually all Europe. This policy, as known to us, was enriched by the added contributions of Gerhard Scharnhorst for Prussia, as Scharnhorst's policy was expressed, both, in the destruction of Napoleon's Grande Armée in the strategic trap prepared under Czar Alexander I, and the subsequent Prussian initiative which destroyed the retreating Emperor Napoleon's power before he could return to France to build a new army. This was the magnificent principle applied by General of the Armies Douglas MacArthur to the Pacific War, and the policy of the U.S. of traditionalists Marshall and Eisenhower hampered by our extraordinarily difficult dealings with British ally Winston Churchill et al., in Europe.

c. Strategic Defense is based on the securing and development of peace, not the pursuit of perpetual war. We must never again tolerate imitations of the original fascist, Robber-Emperor Napoleon Bonaparte, whose precedent set the ideological stage for Adolf Hitler's wars later. Thus, in war, and in peacetime, the military forces of the U.S.A. are intended to be essentially an engineering force, led by officers whose qualifications rest on the foundations of competence in science and engineering, and cohering comprehension of the related mission and tasks of the republic's military arms, and their related intelligence functions, that against a background of comprehension of the relevant history of statecraft, especially the history of European civilization since ancient Greece.

d. Carnot's reference to Vauban, and to the intention of such fortifications as those at Belfort and Neuf Breisach, in his development of the leading tradition of France's notion of strategic defense, rather than the dogmas of the mercenary Jomini, was the foundation of the revitalization of West Point military academy during the Presidencies of James Monroe and John Quincy Adams. This was buttressed by and the associated role of the great U.S. intelligence/counterintelligence arm of that time, the Society of Cincinnatus then led by our General the Marquis de Lafayette, and served by such heroes of our intelligence service as Washington Irving, James Fenimore Cooper, counterintelligence specialist Edgar Allen Poe, and others.

e. During approximately forty years, since the launching of the U.S. official war in Indo-China, the U.S. and its military arms have undergone a long-term decline in quality as a force of strategic defense, toward an imperial mode. This transformation has been intertwined with a shift of our national economy, from the world's leading producer-nation, which it had been up to the 1966-1968 interval, into what was increasingly the "post-industrial," predatory economy which emerged during the 1971-1981 interval. During the latter interval, we shut down our essential basic economic infrastructure and good qualities of productive employment, transforming our nation into something resembling an imperial Rome which kept its ruined general population quiet with bread and Roman-circus-like entertainment, while looting subject slaves, and peoples and their nations abroad.

f. The matching decadence of recent, politically superinposed forms of U.S. strategic doctrine and practice, is to be traced chiefly to agreements struck between the Nazi security apparatus and a U.S. faction associated with Allen Dulles and his associate James J. Angleton. Under this arrangement, the section of the Nazi security apparatus associated with Schellenberg and Italy- based Wolf, and with the international network of the Hjalmar Schacht who had put the Nazis into power in Germany, were absorbed as "a capable anti-Soviet entity" within the Anglo-American intelligence apparatus, and, thus, in due course, NATO. This coopting of a core of the Nazi apparatus into what became known as the "utopian" wing of the Anglo-American strategic establishment, was an integral part of the intended implementation of the policy of "world government through nuclear preventive war" by Bertrand Russell then, and also Vice-President Cheney and his circles today. The new generations of that Nazi apparatus infest Italy, France, Spain, and the nations of Central and South America today, as they also infest the relevant utopian warfare capabilities of our own nation today. Vice-President Cheney, and the neo-cons, such as Michael Ledeen, generally, are functionally ideological representatives of the current generation of that Nazi Allgemeine-SS ("universal fascist," pro-"globalization") legacy.

g. This blending of that Nazi element into the utopian faction of Anglo-American establishment, was run through Franco's Spain, and that large component of the Nazi SS salvaged from SS-General Wolf's, nominally Mussolini-ruled Salò Republic of Italy. However, these elements, however nasty in their own right, were merely the instruments of the same Synarchist International network of private banking organizations which had put the fascists into power over all continental western and central Europe over the course of the 1922-1945 interval. It is that same network of Synarchist banking organizations which had been behind the fascist enterprises of 1922-1945, which is the financier interest behind the policies associated with both Vice-President Cheney and the Fabian Society's matching control over London's 10 Downing Street today.

It is only through the exposing of these ugly facts that the U.S.A. would be capable of a competently self- interested strategic doctrine and institutionalized practice today. If the U.S. declares those relics from the past will no longer be tolerated, then, the needed reforms in policy and practice, to return to the tradition of the founding of our republic and its Constitutional forms, will be made possible.

a. As Prussia's great reformer Scharnhorst also understood, a policy of strategic defense depends upon an integration of the regular military with the general militia, the organized and unorganized reserves which might be mobilized for warfare or other emergency. The militia is able to fill its role as such, to the degree it is qualified as an engineering force, as the forces sent to occupy Iraq were not qualified in the role of an engineering force, and failed to engage the existing large militia of Iraq immediately as a partner in the engineering work which would facilitate our forces' early and successful withdrawal in essential part.

b. The reconstruction of the presently bankrupt U.S. economy, could not be accomplished without a massive long-term investment of Federal government-created credit in leading national and statewide programs of rebuilding and developing basic economic infrastructure, probably in the order of $6 trillions of capital formation to this effect set into motion during the coming four years. The problem this encounters is the lack of skill among the mass of combined unemployed and poorly employed sections of the labor force. During the 1930s, under President Franklin Roosevelt, we created the Civilian Conservation Corps, under, chiefly, military engineering guidance, producing thus entire divisions which were enlisted in war, but which also contributed greatly to the building of the peace-time civilian labor-force of the U.S. after that. Sargent Shriver's leadership of the Kennedy Peace Corps, is a relevant example. The orientation of the regular military forces to a complementary functional relationship with the reserves, and return to the legacy of a strong emphasis on science-driven engineering qualifications in training and work-assignment, will provide an integration of the economic tasks of reconstructing our presently gutted-out powers of production, and the maintenance of an adequate quality and quantity of regular and reserve forces.

c. War should end with peace. A military force which goes to necessary war, must finish the job by building the foundations of durable peace, and must be qualified for the conduct of that mission.