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DOOM HAS STRUCK! Three Steps to Survival


by Lyndon H. LaRouche, Jr.
March 17, 2008

As most clearly stated by the voice of Germany’s financial market, the Frankfurter Allgemeine Zeitung (FAZ), the Bear Stearns bankruptcy marks the point at which the present world monetary-financial system has entered the terminal, hyperinflationary-collapse phase of that breakdown-crisis which began at the close of the previous July. Now, there are three essential measures which must be taken more or less immediately, before the situation in the U.S.A. and western Europe becomes hopeless. These are the three types of measures which I have presented earlier; those who continue to resist the adoption of these measures now fall promptly into the category of incompetence known as mental cases.

My Housing and Bankers Protection Act of 2007 must be adopted and set into motion immediately. If not, the situation of the U.S. becomes quickly hopeless. A two-tier credit system, in which a.) U.S. government credit for physical-economic recovery programs is provided at between 1-2%, and b.) other utterances of credit-injections float more or less freely. The U.S. government must now immediately approach the governments of Russia, China, India, and others for the prompt establishment of an international, emergency fixed-exchange-rate system, ending the presently hopelessly bankrupt floating exchange-rate system.

Under that latter, proposed agreement, long-term treaty-agreements must be focused on intergovernmental development of capital-intensive types of essential basic economic infrastructure, as in: a.) new construction in power generation (with emphasis on nuclear), b.) fresh-water sources creation (relying largely on high-temperature nuclear reactors), c.) increasing reliance on synthetic fuels, such as high-temperature, nuclear-power-generated power, in place of petrochemical materials used as fuels; d.) high-density systems of globally integrated rail, maglev network developments must replace presently excessive reliance on highway transport; e.) de-emphasis on giant conglomerates and monopolistic practices, in favor of smaller, more closely held productive enterprises dispersed as essential elements of the economy of moderate-sized regions of combined private entrepreneurial industry and agriculture; f.) heavy, and increasing emphasis on development of high-energy-flux-density modes in technological progress of manufactures and other applications.

Comment:

The present Trans-Atlantic monetary-financial system is now hopelessly bankrupt; the wild-eyed measures associated with actions by the U.S. Treasury and Federal Reserve System represent an eruption of lunatic recklessness beyond belief! Those relevant public or private officials who disagree with that assessment, or who continue to oppose the HBPA as I have defined it, now clearly require professional psychiatric care.

Since efficient, modern production and supporting infrastructure, require emphasis on capital intensive forms of physical capital investments in the order of between a quarter-and a half-century estimated useful life over the course of physical and/or technological attrition, long-term treaty-agreements among trading-partner nations in those orders of magnitude, at interest rates charged to and among governments in the order of 1-2% per annum, will be the required practice if proper human goals for populations, as in Asia and Africa, are to be reached.

To facilitate this, the pseudo-scientific, neo-Malthusian humbug of so-called global warming, must be brought to a halt; otherwise, a plunge of the planet into a mass-murderous new dark age, one worse than that experienced by mid-Fourteenth-Century Europe, were inevitable for the planet as a whole.

There are no known, sane alternatives existing at this juncture.

The success of President Franklin Roosevelt’s reforms of the 1932-1944 interval, is the model of policy-shaping which provides a proven precedent for the policies which must be adopted among sane nations now.

NOTE:

It should be noted, that the current proposal for privatizing systems of basic economic infrastructure, and the Tower of Babel model which the British Empire has drafted for adoption by a proposed, neo-feudalist form of empire such as the Lisbon Treaty draft, is not only a mimicking of the Biblical Tower of Babel, but, as proposed by New York Mayor Bloomberg et al., is a proposed return to the league of cities monstrosity associated with the Lombard League’s plunge of Europe into a medieval New Dark Age, whose effects included an obliteration of an estimated fifty percent of the parishes of Europe, an estimated collapse of the European population by one-third, and the pollution of Europe by screaming, predatory hordes of those maddened creatures typified by the Flagellants of that time.