One Hemisphere Under the Fed|
By William F. Jasper
Source: The New American, October 11, 2003
idea of dollarization — replacing an existing national currency with
the U.S. dollar — is spreading through the Western Hemisphere." So
wrote Senator Connie Mack (R-FL) in a May 12th op-ed for Investor’s Business Daily entitled,
"A Fist Full of Dollarization." He went on to note: "The fan club now
includes the president of Argentina, the most prominent business
association and a possible presidential candidate in Mexico, and key
leaders in Ecuador."
One of the most avid fans in this new club, of course, is Senator
Mack himself, who informs us that "dollarization has exciting potential
benefits for the U.S. right now." And since he is chairman of the Joint
Economic Committee, Senator Mack’s enthusiasm for this latest scheme of
the Wall Street banksters and new world order globalists is no small
matter. But then everyone seems positively aglow over all the
glorious benefits that will accrue to one and all (and especially to
U.S. citizens) should the countries of Latin America adopt the dollar
as their official currency.
In fact, since last January, when the business pages of newspapers
began buzzing over the startling proposal by Argentine President Carlos
Menem to abandon his country’s peso for the dollar, it has been
difficult to find any naysayers to this grand proposal. Small wonder;
according to its champions, there’s virtually no down side.
"Dollarization would accelerate export growth by eliminating
devaluation risk," asserts Mack, and bring "price stability" to Latin
America. "The really big payoff," though, he claims, "would come just a
few years down the road," when Latin America’s new dollarized
prosperity will create "huge new markets for American producers and
many new jobs in America."
"Park Avenue State Dept."
While the vast majority of Americans still have not even heard of
"dollarization," the plans for implementing this incredibly radical
program are already well underway among the ruling-class elite. Leading
the charge, as usual, is that claque of one-world subversives at the
Council on Foreign Relations (CFR), which New York magazine once referred to as "the Park Avenue State Department."
According to Admiral Chester Ward, who was himself a CFR member for
many years, the Council’s unmistakable goal is the "submergence of U.S.
sovereignty and national independence into an all-powerful one-world
government." "This lust to surrender the sovereignty and independence
of the United States," said the admiral, "is pervasive throughout most
of the membership...." A perusal of the CFR’s literature and the words
and activities of its prominent members — both in and out of government
— will quickly substantiate this serious charge. And surrendering the
sovereignty and independence of the United States is exactly what
dollarization is all about.
In April 1974, the CFR journal Foreign Affairs ("the most influential periodical in print," according to Time magazine)
published a remarkably frank attack on U.S. sovereignty. Authored by
Columbia University professor and veteran State Department official
Richard N. Gardner, the article was entitled "The Hard Road to World
Order." It began with CFR member Gardner’s lamentation that like-minded
internationalists had failed to achieve what he termed "instant world
government." He proposed a new and more effective route to the creation
of an all-powerful, global superstate, asserting:
In short, the "house of world order" will have to be built from the
bottom up rather than from the top down. It will look like a great
"booming, buzzing confusion," to use William James’ famous description
of reality, but an end run around national sovereignty, eroding it
piece by piece, will accomplish much more than the old-fashioned
Gardner’s piecemeal scheme for world government proposed, among
other things, luring all nations into a variety of economic and
political entanglements. Professor Gardner now serves in the
administration of President Clinton (CFR) as ambassador to Spain.
Single Monetary Authority
In 1984, ten years after Gardner’s "Hard Road" manifesto, Foreign Affairs
brought forth another important pitch highly relevant to our
dollarization "debate." In an audacious piece entitled "A Monetary
System for the Future," Richard N. Cooper (CFR), a professor of
international economics at Harvard, baldly stated: "I suggest a radical
alternative scheme for the next century: the creation of a common
currency for all of the industrial democracies, with a common monetary
policy and a joint Bank of Issue to determine that monetary policy."
The main problem with this scheme, Cooper realized, is that "a single
currency is possible only if there is in effect a single monetary
policy, and a single authority issuing the currency and directing the
monetary policy." "How can independent states accomplish that?" he
asked rhetorically. Naturally, he had the answer: "They need to turn
over the determination of monetary policy to a supranational body."
More recently, in its July/August 1999 issue, Foreign Affairs explicitly
took up the campaign for such a supranational power and dollarization,
with an essay by Zanny Minton Beddoes of Britain’s The Economist.
In the opening paragraph of his globalist propaganda tract, "From EMU
to AMU?: The Case for Regional Currencies," Beddoes declares with
oracular certainty: "By 2030 the world will have two major currency
zones — one European, the other American. The euro will be used from
Brest to Bucharest, and the dollar from Alaska to Argentina — perhaps
Mr. Beddoes pays specific tribute to Richard Cooper’s 1984 Foreign Affairs article,
and he throws bouquets to other "farsighted academics" who share his
one-world view. "Skeptics argue that a national currency is a basic
symbol of sovereignty that countries choose to forfeit only under
extraordinary circumstances," says Beddoes, retailing the theme that
such quaint concerns are totally without merit in this age of
globalization. Mr. Beddoes and his devious allies would surely like all
of us to believe that a national currency is only a "symbol of
sovereignty," but it is much more than that, of course. It is an
essential ingredient of sovereignty, and a nation is at the fearful
mercy of any entity to whom it may be foolish enough to forfeit so
important a power. The Federal Reserve System and the International
Monetary Fund have already vindicated that claim a thousand times over,
and yet here we are about to be enticed into an even deeper abyss.
How is this possible? It is possible because over the past couple
years the global economic fiascoes engineered by the CFR banksters and
their government technocrats at Treasury and the Fed have been
transformed — mirabile dictu! — into raging successes. The
banksters have stuffed their vaults with billions of taxpayer dollars
from the bailouts of bankrupt regimes from Mexico to Thailand, from
Indonesia to Russia and Brazil (to name a few) — and we not only thank
them for doing so, but virtually kiss the ground upon which they walk.
A non-stop deluge of euphoric propaganda in the CFR-dominated media
combined with a soaring stock market have convinced many that Greenspan
& Company can do no wrong.
"The Three Marketeers"
We offer as "Exhibit A" the Time magazine cover story for
February 15, 1999, which must surely rank as one of the most
extraordinary propaganda and disinformation pieces of this decade, if
not of this century. Along with the headline, "The Committee to Save
the World," the cover featured the beaming visages of Federal Reserve
Chairman Alan Greenspan, then- Treasury Secretary Robert Rubin, and
Deputy Treasury Secretary (now Treasury Secretary) Lawrence Summers,
with this riveting subtitle: "The inside story of how the Three
Marketeers have prevented a global economic meltdown — so far."
This was more than your standard, CFR Insider puff piece aimed at
honoring and promoting a few of its own. It was designed as one of the
major centerpieces in an accelerated and intensified propaganda war
unleashed by the CFR one-world cabal over the past few months to
advance a number of key objectives, all of which, ultimately, are
directed toward propelling the program of economic, political, and
military "convergence" into their planned, Orwellian new world order.
Realizing that their proposals for international political and military
convergence face strong nationalist objections — objections that will
more readily be overcome once economic convergence is well established
— the one-world advocates have been pushing the economic "reform" and
"restructuring" agenda full tilt.
The main purpose of the Time story is twofold: to incite near
panic in the American public concerning various "crises" that could
initiate a global economic implosion; and to offer panic relief in the
form of economic crisis managers of super-human genius and wisdom in
whom we must place complete authority to manage our planet’s economic
assets and policies. "In late night phone calls, in marathon meetings,"
writes Time magazine’s Joshua Cooper Ramo, "… these three men —
Robert Rubin, Alan Greenspan and Larry Summers — are working to stop
what has become a plague of economic panic."
According to Mr. Ramo’s gushingly adulatory screed — replete with
lavish, flattering photo spreads — citizens Rubin, Greenspan, and
Summers are ethereal creatures, virtual demigods, with celestial
intelligence and selfless virtue not available to mere mortals. "What
holds them together," says Ramo, "is a passion for thinking and an
inextinguishable curiosity about a new economic order that is unfolding
before them like an Alice in Wonderland world." The reference to Lewis
Carroll’s nonsensical storybook world is entirely apropos, particularly
if one keeps in mind that Alice’s dreamscape, which began as amusingly
absurd, rapidly degenerated into one that was not merely terrifying and
nightmarish, but decidedly dangerous — with lots of nasty people trying
to chop off her head. And, it should be noted, this divine trio (Ramo
calls them "The Trinity") is not passively observing this "unfolding"
new order, but is actively involved in creating the worldwide disorder
that is generating the "consensus" on the absolute "necessity" to adopt
their global solutions.
"The sheer fascination of inventing a 21st century financial system
motivates them more than the usual Washington drugs of power and
money," says Ramo admiringly. No doubt the "Trinity" is fascinated
indeed with its heady mission of "inventing" and "saving" the world.
But is not holding the economic destiny of the planet in one’s hands
the ultimate drug of power and money? Though the
Greenspan-Rubin-Summers pseudo-deity may be in a key position for
wielding power, it is important to realize that it exercises no power
of its own. They are mere temporarily elevated front men, sanctified
technocrats, who implement the plans of a concerted conspiracy of
Insiders that remains behind the scenes. The most visible
organizational structure representing and carrying out the evil plans
of these Insider megalomaniacs is the Council on Foreign Relations.
Greenspan, Rubin, and Summers are, naturally, veteran CFR members. As is Joshua Cooper Ramo, the editor of Time’s world
section, who heaped such lavish praise upon the trio of economic
mega-managers. So are, for that matter, many other executives and
editors at Time magazine and its parent company, Time Warner. (Time Warner, in fact, is a corporate member of the CFR.) But Time folks
are not unique. Hundreds of their colleagues, who dominate and control
virtually all of our major media, are also members of the CFR’s "Pratt
House fraternity" that has literally been running America for several
decades. And, like Time, they have been campaigning for
economic convergence. Mr. Ramo’s piece is but one of many similar
reports in the broadcast and print media over the past few months that
have been aimed at psychologically softening up the American business
community and winning its acceptance of the dollar as a regional
The World of "Realeconomik"
What makes Mr. Ramo’s article particularly revealing, though, is
that it provides an especially significant admission. He writes: "In
the same way that the threat of mutually assured destruction helped
Kissinger replace the Washington ideology with Realpolitik, the shadow
of a massive economic meltdown has helped the committee sell a
market-driven policy that could be labeled Realeconomik." Aside from
the fact that he is engaging in typical CFR deception by referring to
blatantly globalist-statist economic policies as "market-driven," Ramo
confirms that the CFR camarilla is employing a favorite tactic that has
succeeded so fabulously on other fronts: pose a global specter,
real or fictional (which, in either case, you have created yourself),
and then offer a solution that demands vast new power for you and your
cabal of "crisis managers."
Admiral Ward outlined the pattern which we have witnessed so many times before. He wrote:
Once the ruling members of the CFR have decided that the U.S.
Government should adopt a particular policy, the very substantial
research facilities of CFR are put to work to develop arguments,
intellectual and emotional, to support the new policy, and to confound
and discredit, intellectually and politically, any opposition.
So it was that we began to see a growing parade this year of CFR
"wise men" and their unquestioning followers marching in lock step to
push dollarization as the salvation for our impending economic woes.
The CFR-laden Wall Street Journal has been the chief cheerleader for this effort.
One of the early Journal volleys this year was fired by
Harvard University Professor of Economics Robert J. Barro in an op-ed
column for March 8, 1999 entitled "Let the Dollar Reign From Seattle to
Santiago." Dollarization, he said, is "a good idea, not just for
Argentina but for other countries in the Western Hemisphere. But the
dollarization of the Americas won’t happen without U.S. leadership....
Washington ought to take the lead in promoting the monetary
When Federal Reserve Chairman Greenspan and Deputy Secretary Summers
(who has since moved up to Secretary, replacing his boss, Rubin, who
retired on July 2nd) appeared before the Senate Joint Economic
Committee, they played the coy coquettes. Greenspan averred that
dollarization could "be clearly in the economic and broader national
interest of the United States," but did not explicitly endorse the
proposal. Senator Mack has described the scripted Greenspan-Summers
position on dollarization as "neutral."
The supposedly tepid support by Summers and Greenspan during their
Senate testimony elicited an op-ed piece from Judy Shelton in the Journal on April 29th admonishing them to get behind dollarization:
The issue of dollarization goes to the heart of monetary stability
in our hemisphere. With Mexico and Canada, our two most vital trade
partners, considering the dollarization option at the highest levels of
policy discussion and public debate, the U.S. is compelled to take a
position. These countries are talking about effectively replacing their
own currencies with the U.S. dollar or at least granting their citizens
a choice of currencies. For the three signatory nations to the North
American Free Trade Agreement, it would amount to the establishment of
a common currency to more fully realize the economic returns from a
tariff-free common market....
Then comes the big whopper. "Dollarization has arisen as a
spontaneous movement within our hemisphere," claims Ms. Shelton. "The
ball is in America’s court; if Washington plays it properly, it will
score a powerful victory for free trade and free markets." But the
dollarization bandwagon is about as spontaneous as the Normandy
invasion, and it has nothing to do with free markets.
There are myriad documents, publications, statements, speeches,
conferences, meetings, and events from the past several decades to
which we could point — time and space permitting — which copiously
prove that the current dollarization drive we are now witnessing is the
culmination of a massive, long-range effort that began many years ago
as an intermediate stepping stone to world government. One such
document is Western Hemisphere Economic Integration, a study by
Gary Clyde Hufbauer (CFR, and former CFR vice president) and Jeffrey J.
Schott, published in 1994 by the Institute for International Economics
(IIE). While hardly a household name in America, the IIE, according to
Martin Walker of The London Observer, "may be the most influential think-tank on the planet," with "an extraordinary record in turning ideas into effective policy."
The dedication at the beginning of this IIE book reads: "TO DAVID
ROCKEFELLER, For his lifelong devotion to promoting economic
development in Latin America and to improving relations among the
countries of the Western Hemisphere. His wisdom has been an enormous
source of encouragement to the work of the Institute and inspired us to
explore the important ties that unite the Americas."
Mr. Rockefeller, of course, was chairman of the CFR from 1970-1985
and, as we will see, has played an especially key role in the
dollarization and Western hemispheric economic convergence scheme.
Likewise the IIE, which is virtually joined at the hip to the CFR. The
executive director of the IIE is former U.S. Assistant Secretary of the
Treasury for International Affairs C. Fred Bergsten (CFR), who appeared
on May 21st of this year before the House Banking and Financial
Services Committee to argue for the dollarization power scam. The
complete inter-lock between the CFR and the IIE is further demonstrated
by the list of IIE officers and directors provided in the
Hufbauer-Schott study. IIE’s chairman is listed as Peter G. Peterson,
who is also chairman of the board of the CFR, a position he has held
since 1985, when he succeeded David Rockefeller in that position.
Chairman of the IIE Executive Committee is Anthony M. Solomon (CFR).
Listed also is the IIE board of directors, which includes such CFR
luminaries as W. Michael Blumenthal, Carla A. Hills, Donald F. McHenry,
Paul A. Volcker, Marina Whitman, and Andrew Young. Chairman of the
Advisory Committee is (surprise!) Richard N. Cooper (CFR).
One of the members of that same Advisory Committee for the Schott
study was Lawrence H. Summers. Listed as an Honorary Director was Alan
Greenspan. So what did the Hufbauer-Schott study published by the IIE
advocate? Very simply, "a Western Hemisphere Free Trade Area (WHFTA)"
following the sovereignty-destroying, mega-state pattern of the
European Union (EU). "After four decades of dedicated effort," said the
report, "Western Europe has just arrived at the threshold of … monetary
union, and fiscal coordination. It seems likely that trade and
investment integration will proceed at a faster pace within the Western
"Finally," the study stated, "the more countries that participate in
integration and the wider its scope, the greater the need for some
institutional mechanism to administer the arrangements and to resolve
the inevitable disputes, and the stronger the case for a common legal
framework." (Which means supranational legislative, executive, and
judicial institutions, naturally.) "The European Commission, Council,
Parliament, and Court of Justice have many of the powers of comparable
institutions in federal states," the report noted approvingly before
commenting, "On this subject, we score Europe with a 5 [on a scale of 0
Not satisfied with the EU model, the authors proposed going far
beyond it. They asserted that "integration between NAFTA and Latin
America should be legally open-ended; potentially the WHFTA should
include countries outside the hemisphere." Indeed, presaging Beddoes,
they asserted: "Economic logic suggests that the expansion of NAFTA in
an Asian direction is just as desirable as its expansion in a Latin
In countless similar studies, speeches, lectures, and programs over
the years, the CFR elitists have prepped the upper echelon of the U.S.
and Western intelligentsia and business communities so that they would
enthusiastically embrace this deadly nostrum — long before it appeared
"spontaneously" for general public consumption. But how did they
succeed in drawing Latin American leaders into this snare and
overcoming the long-standing fear of Yankee "dollar imperialism"? One
obvious answer is that through the lending programs of the
International Monetary Fund, World Bank, and Wall Street banks, they
have saddled Latin American countries with hopeless debt burdens that
have left them desperate and willing to try radical measures. But a
more complete answer is to be found in the long-term activities of
groups like the IIE and the Council of the Americas (COA), which have
for two generations been assiduously grooming and tutoring the
business, academic, and political leaders of Latin America.
The COA describes its origins thusly: "In 1965, David Rockefeller
and a group of like-minded business people founded the Council of the
Americas based on the fundamental belief that free markets and private
enterprise offer the most effective means to achieve regional economic
growth and prosperity." (Those so naïve as to believe in the COA’s
professed embrace of "free markets and private enterprise" probably
also believe that the Social Security Administration has set up a bank
account with their name on it, awaiting their retirement!) Among the
CFR brotherhood joining Mr. Rockefeller in the COA’s leadership are COA
chairman Robert A. Mosbacher, Sr., vice chairman Robert E. Wilhelm,
treasurer Richard de J. Osborne, and general counsel Sergio J. Galvis.
Some 240 companies with interests in Latin America — ranging from
AT&T, Bank of America, Coca Cola, Citibank, and Dow Jones &
Company to Exxon, Ford, General Electric, IBM, Microsoft, Newsweek,
Turner Broadcasting System, Wal-Mart, and Xerox — provide impressive
muscle (and financial support) for the COA’s agenda as corporate
members. Most of these companies, with a heavy CFR presence at their
executive and directorate levels, have proven to be reliable supporters
of the one-world corporatist line.
Working hand-in-glove with the COA-CFR corporate socialists are the
pampered princelings of the U.S.-tax-dollar-subsidized multilateral
lending institutions like the IMF and the Inter-American Development
Bank (IDB), many of whose officers are also CFR members. The
acknowledgment section of the aforementioned Hufbauer-Schott study, for
instance, notes that the "Inter-American Development Bank provided
support for the research underlying this project and the bank sponsored
seminars for the discussion of its preliminary results." Indeed, a
brief survey of the daily faxes we receive from the IDB, IMF, and their
sister institutions makes very plain the completely corrupt process by
which the Insiders form their convergence "consensus." Each day brings
announcements of tens of millions (sometimes hundreds of millions) of
dollars in IDB "loans" for natural gas pipelines in Mexico, electric
power plants in Argentina, highways in Bolivia, coffee plantations in
El Salvador, etc. IDB cooperation can lift a Latin American politician
by financing the programs that make him look good, or help his
opposition by pulling funds and destroying confidence in his economic
Thus, when President Carlos Menem of Argentina and Hugo Chavez, the
new Marxist president of Venezuela, delivered their CFR-scripted
speeches at June COA luncheons in New York, they knew they were
addressing sympathetic movers and shakers of the COA-CFR-IIE-IDB axis
who would parlay their proposals into the new "working consensus" that
would become official U.S. policy.
An American EU
Of course, what the new world order architects have in mind for the
Americas is exactly what they are foisting on Europe in the form of the
European Union and the new euro currency. That evolving supranational
monstrosity was also presented to unwary Europeans as a "spontaneous"
movement aimed at "free trade" and "free markets." But Europeans are
belatedly waking up to the fact that it is no accident that the
centralized, socialist bureaucracy of the EU is strangling their
freedoms and national sovereignty. Indeed, it was planned to develop
into exactly that from the start.
Like the slime trail that leads to a slug, virtually every trail of
American policy disasters leads back to the Council on Foreign
Relations. There is no longer reason for any sensible American to doubt
that the CFR coterie intends to take us down the same suicidal path
that Europe is now traveling. The one-world architects of the European
Monetary Union (EMU) are openly advocating an American Monetary Union
(AMU), as we have already seen from the pages of Foreign Affairs.
Words fail to convey the enormity and audacity of this colossal,
dangerous fraud we are witnessing in the current "spontaneous movement"
to transform the Western Hemisphere into a carbon copy of the
increasingly tyrannical European Union. But even that grim prospect of
an America under an EU-style, centrally controlled economic bloc does
not begin to convey the seriousness of the peril we face if we allow
these plans to succeed. Regional "integration" is but a stepping stone
to the real objective sought by the Insiders of this one-world
Conspiracy: Total, unrestrained power on a planetary scale. And if it
ever succeeds in attaining that monstrous objective, we can be sure
that the killing fields of Rwanda, Cambodia, Afghanistan, Ethiopia,
China, and Russia will pale by comparison to the global bloodbath that
will be unleashed. Once we are willing to grasp that fact, we will
begin to give even more effort to preventing this nightmare from ever