THE LEAD

                                                                                                                                                                                                                                                                                        

They're Telling You Another Crash Is Coming: NOT How To Solve It

December 12, 2018
Seen here in the blue dress (left), Fmr. Chairwoman of the Federal Reserve Janet Yellen at her farewell address, Feb. 1, 2018. In the last 24 hours she's been warning of "Gigantic Holes" in the world economic system, a new financial crisis.
Seen here in the dark blue coat, Fmr. Chairwoman of the Federal Reserve Janet Yellen at her farewell address, Feb. 1, 2018. In the last 24 hours she's been warning of "Gigantic Holes" in the world economic system, a new financial crisis.

The warnings are getting louder. The biggest Wall Street and London-centered banks have "prepared" another financial breakdown for us. The biggest bubble melting down this time may be unpayable corporate debt, but the economic devastation will be the same, or worse. Unless the leaders of the major world economic powers come up with a solution first — a new credit and currency system which generates credit for productive economic growth while letting London-Wall Street speculations go down.

That is our job. The Schiller Institute's President Helga Zepp-LaRouche has spelled this out again, in preparation for its mid-February U.S. national conference for a new institution of FDR's Bretton Woods credit and money system.

There is a countdown underway, she said, to whether the spreading rejection of the "neo-liberal paradigm" — what used to be called "the Washington Consensus," but no more! — will see the victory of the new paradigm the Schiller Institute fights for, and which means a new international system of economic development.

Those escalating signs of another financial meltdown coming are the timer of that countdown. The leaders of at least America, China, Russia, and India must agree on that New Bretton Woods system of productive credit, before their economies can be taken down even deeper than in 2009, by another crash.

Helga LaRouche emphasized the stunning example of France's President Macron — until yesterday the shining star of neo-liberal austerity, ecology, and geopolitical hostility — having had to abandon his neo-liberal agenda within four weeks' of protests supported by the vast majority of French citizens. Germany's imperious Die Welt cried, "Macron's Buckling Before Yellow Vests Pleases Just Italy" — meaning, rejecting economic austerity. This unraveling of the EU system shows, Helga LaRouche said, that the worldwide pattern of protests against the neo-liberal paradigm is continuing, and will not stop.

It may even undo the anti-progress, anti-nuclear, anti-human "Climate Accord." As Helga LaRouche's French colleague Jacques Cheminade reported the remark of one protester in France, "These Paris elites are always talking about the end of the world. Our problem is to make it to the end of the month!"

These unexpected, sweeping changes are occurring in less than the time since the U.S. midterm election. Now, Helga LaRouche asked the big question: Can we get America on board the new paradigm? Will it lead as it must in a new system of credit for technological progress, productivity, new economic infrastructure?

Will it accept China's accomplishment in the Belt and Road Initiative, and join in cooperation? Shortly China will create a new surprise, landing spacecraft on the far side of the Moon, something no other nation has attempted. If you can't beat them there, join them.

The United States is decisive, but the swift changes elsewhere affect it, and President Donald Trump has publicly embraced the rejection of austerity, first in Italy, now in France. He has to be moved, by Americans, to lead in bringing in a new paradigm.

For that purpose, the Schiller Institute's mobilization to its mid-February national conference for a New Bretton Woods, is the key.

                                                                                                                                                                                                                                                                                        

                                                                                                                                                                                                                                                                                        

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