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October 21, 2009

Dear LaRouche PAC Members:

Well, here we are, almost at the end of the month of October. And, just as LaRouche forecast, the first two weeks of the month have seen a sudden and dramatic phase-shift downward in the state of the U.S. and world economy. This is reflected in a rapid acceleration of the collapse of the conditions of life for the majority of our population as well as a new phase of the banking crisis, driven immediately by the collapse of the commercial real estate bubble.

Unemployment is at an all time high. Despite promises of an extension of unemployment benefits, over 1 million Americans were unceremoniously booted off the unemployment rolls last week. The rate of home foreclosures has continued to accelerate, leading to a shocking increase in homelessness across the nation. And, while the Federal Reserve, with the enthusiastic support of the Obama Administration, has managed to find unlimited and unprecedented funds to dole out to the big banks, credit for production has ground to a halt. State and municipal governments are not only laying off thousands of workers and gouging services (for instance, Hawaii, the state that is the recorded birthplace of the President, has now implemented a 4 day week for its public schools), but are literally shutting down for days at a time in the face of collapsing revenues.

The Administration's handling of the H1N1 flu epidemic points to either the greatest public health breakdown in our nation's history or an intentional fraud orchestrated to wipe out the weakest members of our society. In late summer, the Obama Administration promised 80 million doses of H1N1 by late September - not nearly enough to immunize even what had been identified as the most vulnerable among us. Now, with the month of October almost at an end, not only have the vaccine supplies been way short of what was promised, but last week, the federal government announced that the 80 million doses - paltry though they were - would be cut by 33% !

In the greater Baltimore metropolitan area, where I happen to reside, emergency room visits due to H1N1 have increased by about 48%. One major area teaching hospital has rented the entirety of a nearby Holiday Inn to house the overflow. Another has erected large tents to house flu victims and keep them separate from other patients. The number of reported cases AND reported deaths is being kept artificially low as local health authorities have neither the funds nor the inclination to definitively identify the presence of the H1N1 virus.

In the midst of this crisis, the White House is in deep, deep trouble. Obama's popularity has hit record lows. In fact, no other president in U.S. history has experienced such a sharp drop in popularity during his first year in office. The Congress, largely as a result of Obama's dictatorial insistence that they implement his fascist policies, is in a state of paralysis. Infighting among Senate Democrats, in a body normally known for its genteel and staid behavior, has almost come to blows on more than one occasion. The House of Representatives is simply a disaster, and will remain so as long as the imbecile Pelosi is Speaker.

But, actually, the picture is NOT as bleak as it might appear. Ironically, the utter failure of Obama and his inner circle has itself become the engine of a shift in the INSTITUTION of the presidency. Specifically, Obama's failure has forced others, some inside and some outside of the Administration, to pick up the slack. And, whether it be in the area of national security, or the nation's economy, any positive developments that we see intersect the efforts of the LaRouche movement.

A group of prominent American economists who were initially tasked with restructuring the U.S. economy have adopted LaRouche's Triple Curve function, plugging in the data they have available to them, extending it and producing the calculations to precisely illustrate what has occurred since the late 1980s, and most especially, during this most recent period. More and more of them are publically insisting on a return to a Glass-Steagall framework as the first, necessary step if there is to be any recovery in the U.S. Tim Geithner has come under very heavy attack, and no one should be surprised if Geithner is the first of the toxic mob to go.

Vice President Joe Biden seems to be taking more of a role in domestic policy questions, and caught the White House completely off guard when, on October 19, he broke with the White House "green shoots of recovery" line and declared that the U.S. was in a Depression. As has happened so many times before, Biden and his immediate circle were pressured to retract or "modify" the statement as a typical Biden "misspeak." Instead, Biden's chief economic policy advisor, Jared Bernstein, told reporters today the vice president was "very accurate" that "in an economy with over 15 million people unemployed, there's a lot of folks out there that are facing deep economic struggles."

"Until we start bringing down the unemployment rate, until we start chipping away at those millions of unemployed people, until we start providing them with the jobs, the wages, the incomes, the hope, the opportunity that the vice president had in his mind when he was referring to…that dynamic, then we have to call it a Depression for them."

On matters of national security, Secretary of State Hillary Clinton has successfully enlisted key allies of hers in the Senate (something Obama himself has been completely incapable of doing) to work with her and the national security team, specifically Sec. of Defense Gates, and NSA General Jones, to avoid any strategic catastrophes.

On the international scene, in the immediate wake of LaRouche's participation in the World Public Forum in Rhodes, economic agreements signed by China and Russia during Putin's visit to China, demonstrate the potential for rapidly transforming regional as well as bilateral international relations, if LaRouche's Four Power Agreement among the U.S., China, Russia, and India is carried out. The agreement, under which China will help Russia construct a national high-speed rail system, can play a key role in helping China break from its current dependency on labor-intensive exports to the West, and is unquestionable an important stepping stone towards what LaRouche has proposed as the four-power agreement to launch a new world credit system.

The big issue, though, remains putting the U.S. through bankruptcy reorganization in the manner LaRouche has outlined most recently in the LaRouche Plan. The quadrillions of dollars of debt built up from Alan Greenspan's 1987 insanity to the present offers no other alternative. Surely, the first step must be to take all monies tied to the nation's commercial banks that do not qualify under a strict Glass-Steagall standard, and simply wipe them off the books.

During these very uncertain times, some things, in fact, ARE certain. This current system IS finished. That IS a certainty. The question remains, in what form we escape. Without LaRouche's Four Power Agreement, we can't make it. With it, we can forge a viable international credit system and begin a process of recovery.

But, it must start here in the U.S. And, while there is no question that we've made a lot of progress, the hour is very late. In the same way that the Obama moustache became the symbol of the American Mass Strike, the LaRouche Plan must become its manual. That is going to require some things from you. First, it requires money. It also requires you to master its content and see to it that it receives the widest, broadest possible distribution. Post it on message boards and blogs. Email it to friends, family, community leaders, and elected officials.

Together, we can win this fight. Then, we can move on to the REAL task - crafting a productive, creative existence on this planet, and at the same time crafting a mission to expand that to other planets in our solar system. So, get to work! You can begin by building the largest audience ever for LaRouche's November 11 webcast.

Best Regards,

Debra Hanania-Freeman

LaRouche National Spokeswoman