Lyndon Replies to a Supporter, RE: Credit VS Monetarism
May 28, 2012 • 12:53PM

The following is an unproofed correspondence between Lyndon LaRouche and supporter. All questions to Lyndon can be sent to asklarouche@larouchepac.com.

From: ****@****.com
Date: May 24, 2012

Subject: Ask Larouche

To: <asklarouche@larouchepac.com>

Mr La Rouche, I highly respect the work that you are doing , you are truly dong god's work. Thank you. I keep up with your web site daily.

I agree that the transatlantic monetary system is dead and it is all over for us here in the US and Europe. My personal wake up call was reading Edward Griffins Creature From Jeckyl Island, a second look at the federal reserve. You are right that most people have absolutely NO idea of what is going on, others like myself are totally wide awake and are planning for a catastrophe that is soon to come.

I was wondering if you could clarify your statement May 14, that the government will have to fix the price of the currency (US).

It certainly would not be at the present value of 82 . Wouldn't the currency need to be fixed at a much lower level than 82? What level would you feel would be fair based on the fact that we are hopelessly bankrupt?

I have no debt and all of my assets in gold and silver. I can understand why the price and gold and silver are manipulated, to give the illusion that the USD is still viable. Where would you suggest people put their "money " if there is none?tangibles?

Oil, gold or silver?

I'm ready to take back my country Mr larouche!

Regards,


TO: ****@****.com
FROM: Lyndon H. LaRouche, Jr.
SUBJ: CREDIT VS, MONETARISM
February 28, 2012
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The question should be: “What is the difference between payments in the form of a check. and money as a substitute for the monetary unit of inherent value of a monetarist system?” Consider two of several cases in which a North American government used credit (a credit system) as a replacement for a money-system: the first case is the original Massachusetts Bay Colony under the leadership of the Winthrops and Mathers used a credit-system, instead of a monetarist system. The same was done under the original Constitution of the United States, and as the Greenback system, which saved the United States from destruction, under President Abraham Lincoln.

There have been other cases of the use of a national credit-system as an alternative to a monetarist system. However, those cases are relatively brief in known history. Most nations have been enslaved to the usurious system of bondage known as a monetarist system.

The time has now come, during which either we reestablish both the original Glass-Steagall Law, exactly as before, or the United States goes “belly-up.” But that is only an indispensable part of the package. We require a return, under our original Federal Constitution, to a true national credit-system, a system based on a credit-system, rather than a monetarist system: a system of Federal national banking under what would be the Third National Bank of the United States. Unless we do so very soon - - before next year, the existence of the United States were soon finished.

What I have done to that purpose, has been to specify a single new Federal law of the United States: as follows:

That Federal law, which must be established before the close of this year, will have three essential components:

1.) Immediate Reenactment of the original Glass-Steagall Law;
2.) The Federal re-establishment of a permanent National credit-system (contistuted as the Third National Bank of the United States). That shall function as a system of national credit, in replacement for a U.S. monetarist system;
and,
3.) The immediate launching of a thirty-year program for the creation and full operations of a two-part national agro-industrial program for (a) the launching of the originally intended NAWAPA [The North American Water and Power Alliance development program, now named NAWAPAXXI, which will engage four millions highly productive operatives, supplemented by a two additional millions in related engineering programs.

My associates and others have completed the new design required for these very high technology engineering efforts over the span of about a quarter-century. The basis for accomplishing this program will be funded by creation and use of national credit.

No other comparable program exists; otherwise, the United States is already destined to the immediate outburst of the worst economic collapse throughout North America in our history.

The problem which must be faced, is that virtually all nations in the known ancient through contemporary nations of the trans-Atlantic span have spent most of the time of their existence as nations under the reign of international empires enslaved to the domination of a system of usury known as imperialist monetarist systems.

Now, consider the present situation.

In the Summer of 2007, I crafted and more to set into motion a national law to be established as “A Home-owners and Bank Protection Act,” in opposition to what soon became that “bail-out” swindle which was actually set into operation during late 2008. The entire trans-Atlantic system west of the Russian border is now hopelessly bankrupt as a result of what has come to be known as the current “bail-out” system. The entire trans-Atlantic region his now come to the point that that entire region, including the United States, is far more deeply bankrupted than 1923 Weimar Germany. The entire trans-Atlantic region is now gripped by a hopeless hyperinflationary breakdown-crisis.

The only possibility for escaping an immediate collapse of the economies of the trans-Atlantic regions, would be the (A) cancellation of the speculative debt through the immediate reenacting of the original Glass-Steagall law, an action which would wipe out the hyperinflated merchant banking. Only that measure, if now taken immediately, would rescue the U.S.A. from inmmediate general collapse.

Glass-Steagall, if reenacted immediately, without exceptions, would save the United States from collapse. There are no exceptions to doing just that, without any exceptions. However, the collapse of the physical economy of our U.S.A. means that we can save the nation with Glass-Steagall, but not rebuild it to decent operating levels without a project exactly like NAWAPA. To solve that problem, requires the launching of a Federal Credit System dedicated to large-scale development of trans-continental water and power systems which could and would provided a great economy recovery in North America.

For that mission, we require a national credit system, rather than a monetarist system.

The question is: do a sufficiently large part of our population have the moral strength to push through such a rescue of our republic (and its cooperating neighbors)?

- - Lyndon.