This Week You Need To Know
THE GREAT CRISIS OF 2005
by Lyndon H. LaRouche, Jr.
October 6, 2005
It may now be said, that the great End-Game of 2005 had already begun in October 1987, when the U.S. was struck by the great new, 1929-style New York stock-market crisis. The incoming, new Federal Reserve Chairman Alan Greenspan said, in effect: "Hold everything until I come on board."
Now, that inflationary cycle, which was launched by Greenspan then, is coming to an end. This cycle, which has recently, already entered its hyperinflationary phase in the market for primary commodities, will be the greatest international, hyperinflationary, financial-monetary collapse in modern history, unless U.S. and other policies are suddenly changed radically from the U.S. trends of the past thirty-five years.
I know; I speak with the authority of one who, on the public record, has been the most successful of the publicized long-range economic forecasters since the 1960s. Look at some highlights of that heavily documented record.
During the Spring and early Summer of 1987, in repeated, public announcements as a Presidential candidate, I had forecast the near inevitability of a major New York stock-market crash at some point during the first two weeks of the coming October, just as I had forecast the virtual inevitability of the 1971 crash of the U.S. dollar under President Richard Nixon, and had warned, beginning 1979, of the threatened inevitability of the process which led into the conditions of the 1987 New York stock-market crash. Similarly, in February 1983, I had warned the Soviet government's "back-channel" representative that its economy would collapse "in about five years," if it rejected the policies which President Reagan was to name, the next month, as the U.S. Strategic Defense Initiative (SDI). When I forecast medium-to-long-term things like that today, serious economists listen respectfully, whether they agree entirely, or not....