Archive for November, 2008

The Great Crisis of the 1930s

Sunday, November 30th, 2008

Although it may sound simple, it is a very difficult subject to explain. The U.S. Federal Reserve system, resulting from a fully developing capitalism, was established in 1913. Salvador Allende, a man we remember as someone of our times, was already 15 years old.

The First World War broke out in 1914, when the prince heir to the Austrian-Hungarian Empire in the very heart of the center and south of Europe was murdered in Sarajevo. Canada was still a British colony. The British pound sterling enjoyed the privilege of being the currency used in international transactions, with gold as its metal backup. This had been the case over one thousand years before in the capital of the Roman Empire in the East, that is, Constantinople.

The bloody wars against the Muslims in the Near East, with religious pretexts, had been initiated by the feudal lords of the European Christian kingdoms. Their true purpose was to be in command of the commercial routes and other more obscene and mundane objectives which could be discussed some other time.

At the end of the First World War, the United States joined the war, that is, in 1917, two years after the sinking of the Lusitania, a ship carrying American passengers that had left from New York. It had been sunk by torpedoes shot from a German submarine following the absurd instructions of attacking a vessel carrying the flag of a distant, rich and potentially powerful country whose government, from supposedly neutral positions, was looking for a pretext to join the United Kingdom, France and other allies in the war. The attack took place on May 7, 1915, as the vessel was crossing the Strait between Ireland and England. Actually, very few passengers could abandon ship in the 20 minutes before it sank, thus, the 1,198 people still on board lost their lives.

The U.S. economy grew steadily after that war, except for recurrent crises which were resolved by the Federal Reserve without a major impact.

Then, on October 24, 1929, a date that would go down in the history of the United States as the “black Thursday”, the economic crisis started. According to the right wing theoretician and famous American economist Milton Friedman, an economics Nobel Laureate (1976), the Bank of the New York Reserve in Wall Street, the same as other major banks and corporations, reacted “instinctively” by adopting the measure it considered most appropriate: “injecting money into circulation.” The Washington Reserve Bank, which was used to the dominance of its criteria, finally forces the opposing view. President Hoover’s Treasury Secretary supports the Washington Reserve Bank, and that of New York eventually gives in. “But the worst was yet to come,” says Friedman, who explains clearer that any other outstanding economist –some of them with an opposing view– the sequence of events as he writes: “It was not until the autumn of 1930, that the recession of the economic activity, although serious, was affected by financial difficulties or by the petitions of the depositors trying to withdraw their money. The nature of the recession experienced a dramatic change when a chain of bankruptcies in the Midwest and South of the United States undermined confidence in the banks leading to numerous attempts at turning the bank deposits into cash.”

“The American Bank was closed on December 11, 1930. This was the critical date. It was until then the most important commercial bank in the American history that had collapsed.”

Just in the month of December 1930, 352 banks were closed. “The FED could have tried a better solution buying on a large scale public debt bonds in the open market.”

“On September 1931, when the United Kingdom abandoned the gold standard, the other pursued an even more negative policy.”

“After two years of strong repression the system reacted by raising the interest rates at a level never known before in its history.”

Be mindful that Friedman is exposing a view that is still prevalent in the U.S. official circles, almost 80 years later.

“In 1932, under Congress pressure, the FED concluded its sessions and immediately cancelled its buying program.”

“The final episode was the banking panic of 1933.”

“The fear was intensified during the interregnum between Herbert Hoover and Franklin D.Roosevelt, who was elected on November 8, 1932 but was only inaugurated on March 4, 1933. The former did not wish to take drastic measures without the cooperation of the new president, while Roosevelt did not want to take on any responsibility until his inauguration.”

The episode is a reminder of what is happening today with the president elected on November 4, less than a month ago, Barack Obama, who will be inaugurated on January 20, 2009. Only the interregnum has changed; in the 1930s it was of no more than 117 days and at present it is of no more than 77.

As Friedman indicates, at the moment of the greatest economic boom there were up to 25 thousand banks in the United States. Early in 1933 that figure had decreased to 18 thousand.

“When President Roosevelt decided to put an end to the closing of banks, 10 days after it had started,” said Friedman, “a few banks short of 12 thousand were allowed to open the doors, followed later by only 3 thousand others. Therefore, all together, some 10 thousand of the 25 thousand banks in 1929 disappeared during those four years, due to bankruptcy, merging or liquidation.”

“The closing of businesses, production cut down and growing unemployment all fed the agitation and fear.”

“Once the depression had started, it expanded to other countries and then, of course, there was this reflected influence: another example of the always present feedback in a complex economy,” Friedman concludes.

The world of 1933 described in his book is quite different from todays. This is an absolutely global world made up by more than 190 nations represented at the United Nations. Its population is threatened by risks that scientists, even the most optimistic, cannot ignore and that a growing number of people know and share, even prominent American politicians.

The echo of the impact of the current crisis can be felt in the desperate efforts of important world leaders.

The Xinhua press agency has reported that Hu Jintao, President of the People’s Republic of China, a country with a sustained growth exceeding two digits in the past few years, warned yesterday that “China is under increasing pressure from its enormous population, its limited resources and environmental problems.” This is the only country that we know has foreign currency reserves amounting to almost two trillion dollars. The Chinese leader lists “a series of indispensable steps to secure the primary interests of the people and preserve the environment in the framework of the Chinese strategy of industrialization and modernization.” Lastly, he indicated that “with the expansion of the financial crisis the world demand for products has been markedly reduced.”

These words from the leader of the most extensively populated country on Earth make it unnecessary to add any more arguments on the depth of the present crisis.

Fidel Castro Ruz
November 30, 2008
6:15 p.m.

Dimitri A. Medvedev

Friday, November 28th, 2008

In the past few weeks, I had watched him in numerous functions as President of the Russian Federation, following the aggravation of the financial crisis battering the world. The Russian Federation is one of the most powerful States in the international community despite the dismemberment of the USSR.

The Russian President’s addresses are clear and precise and he tends to be brief. He does not avoid any issue and he responds to every question. He is knowledgeable and persuasive, and he is respected even by those who disagree with him.

He expressed his wishes to talk with me during his visit. It was an honor for me and I was sure it would be a pleasant meeting.

The last few months have seen amazing changes and new situations. The Yankees have launched their illegal actions on South Osetia and Abkhazia, two countries that have nothing to do with Georgia, which has been armed to the teeth by the United States. This was the country that encouraged and trained the men, and supplied the weapons, to attack the Russian forces legally there to prevent the ongoing bloodshed, an event recognized by the international community and waiting to be resolved. Meanwhile, two thousand Georgian mercenaries who had been taking part in the infamous Yankee war of conquest for oil were moved form Iraq to reinforce the attacking force.

Then, Medvedev had only recently been elected President of the Russian Federation but his calm and firm voice was strongly heard.

Another major change has been the election of the new President of the United States, Barack Obama, an African American who’s tired of the carnage imposed on Iraq by Bush. But, above all, he is upset at the erratic way the latter was facing and aggravating the financial crisis, as this becomes more serious and potentially more hazardous for the economy of that country and the world at large.

The events were taking place simultaneously with the general elections in Paraguay and the referendum in Ecuador, both absolutely transcendental as well as the regional elections in Nicaragua, and particularly in Venezuela, which compounded a scenario of increasing contempt for the empire’s suffocating hegemony.

Coinciding with these events, meetings were held in Washington and Lima by members of the G20 and G21. The Presidents of Russia and China, two unavoidable bulwarks in the world scenario, attended both meetings together with the leaders of tens of States from the five continents taking part. They had meetings with many of them.

Upon his return from Peru, after his visit to Brazil, Medvedev traveled to Venezuela. His visit coincided with the ALBA conclave in Caracas. He met with the high level representatives assembled there. This was satisfactory to all.

At the same time, a Russian naval detachment arrived in that sister nation. It’s not difficult to understand the significance of the presence in such activities of the distinguished visitor with whom I met this Friday morning.

It was extremely important to me to hear his impression of the abovementioned events.

This time the meeting lasted only one hour and fifteen minutes. He was accompanied by Ricardo Cabrisas, a Vice-President of the Cuban government in charge of Cuba’s negotiations with Russia, China and Venezuela, –the three most important pillars of our trade at the moment– which the powerful empire has been unable to block.

I touched on every essential issue regarding the United States and I did so from our positions. It is unthinkable that we may accept the stick and carrots policy nor that we give up the return of every piece of our territory in Guantanamo forcibly occupied.

I reaffirmed our peaceful and patient policy which never overlooks the need to preserve our defensive capability in the face of a potential aggressor. No country is in a better position than Russia to understand this policy since that country is constantly threatened by the same adversary of peace.

Equally important or even more so was our exchange of ideas on the serious immediate problems in crucial areas faced today by the peoples in search of a multipolar world that can secure a sustained and peaceful development.

It may seem an extensive agenda, however, we both talked about these issues. This proves that despite their complexity, the world problems can be discussed before they become unmanageable.

It was to me a very rewarding meeting. I was very well impressed by Medvedev’s intellectual capacity which I had already perceived. He is the youngest among the most important Heads of State in the world, and the one who commands the largest territory. It was very moving to listen to the Russian anthem everywhere, the same under whose notes the heroic Russian people shed the blood of many million men and women; without their sacrifice victory over fascism would not have been possible!

Fidel Castro Ruz
November 28, 2008
7:23 p.m.

Absolute Transparency

Monday, November 24th, 2008

Who can doubt it? Observers from all parts and varying shades have attended the elections in Venezuela on November 23, 2007. They have reported with absolute freedom. The oligarchy cried out like mad to the world the coarse slander that the extension of the voting hours at the polling stations, giving the citizens the possibility to cast their vote, was intended to commit fraud, even though the National Election Council had previously decided to do so and had announced it.

This is a correct measure when adopted by the United States to facilitate the indirect election of the President of that nation, which is the model for the Venezuelan oligarchy, but it is wrong in Venezuela, even though these are not presidential elections, which are direct elections, the same as all the others for executive positions.

The only thing honorable and clean to them is the contemptible submission to the empire, the flight of capital amounting to billions of dollars every year, and the prevalence of poverty, illiteracy and over 20% unemployment.

I would not dare utter an opinion with regards to any other country of this hemisphere, if I forgot that we are brothers and that Marti, who fought and died for Cuba and for Our America, said one day as he stood before the statue of the Liberator Simon Bolivar: “Venezuela only needs to tell me what to do for her, for I am her son.”

At the moment, 40 thousand highly qualified compatriots are working in that sister nation. They are willing to give their lives for Bolivar’s people with which they share the risks of an imperialist sweeping blow.

I am not an intruder giving an opinion in the country of the Bolivarian Alternative for the Americas (ALBA).

Venezuela has the potential to become a model of socialist development with the resources formerly extracted by the multinationals from its rich nature and the efforts of it manual and intellectual workers. No foreign power shall determine its future. The people are the masters of their destiny and they march on to attain the highest levels of education, culture, health and full employment. It is an example to be pursued by other sister nations in this hemisphere and it does not give up: it does not wish to lag behind a plundering empire. Venezuela rightly claims with dignity that the UN General Assembly should design a new international financial structure, and Cuba supports it in that endeavor.

Reading the international news, it would seem that the USSR disintegrated just yesterday. As Stella Calloni would say, this Monday the media terror spin broke loose. But after the storm has passed, the truth will come up again.

Yesterday’s elections meant a qualitative step forward for the Bolivarian revolutionary process that can be measured by many aspects. It was not as the massive disinformation machinery would have it: “Castro says that the Revolution in Venezuela will continue despite the elections.” No, it’s not that! But rather that an analysis of the basic data provided by the National Election Council in its bulletins showed me clearly the great victory that has been attained.

The data were precise; an unquestionable victory of the candidates to governors in 17 of the 22 states, all of these members of the Venezuelan Socialist United Party. The voters turn out was higher than ever; 1.5 million more votes than those obtained by the opponents running for such positions, and 264 posts of mayor of the 328 up for election. There is no opposition party but a group of oppositionists with half a dozen parties, and absolute transparency. That’s why I said and now repeat that it will be very difficult to put out the flames of the Revolution in Venezuela.

Fidel Castro Ruz
November 24, 2008
6:35 p.m.

The G20, the G21 and the G192

Sunday, November 23rd, 2008

As if there were not enough reasons to go mad, the proliferation of acronyms related to the crisis is such that one can hardly understand them. The first was the G20, a selected group meeting in Washington that pretended to represent all. The second was the also selective APEC group which met in Lima. There was the richest country, the United States; this is number one, with a per capita GDP of 45 thousand dollars a year. But there was also the number 100 country, the People’s Republic of China, with a per capita GDP of 2,483 dollars; this is also the number one investor in US Treasure bonds.

Now, G192 is the way that Leonel Fernandez, President of the Dominican Republic, which is not a member of either of the two, calls the member countries of the United Nations attending an economic conference with Joseph Stiglitz, Nobel Laureate of Economics.

George Soros, an immensely rich magnate of Hungarian descent and an American citizen, was one of the attending personalities.

One would have to be a chess player to disentangle the arguments of so diverse national and business interests as are represented in the G20 and the G21.

The truth of the matter is that if a Third World country signed free trade agreements with eight or ten developed or emerging countries, –some of them traditional producers of abundant and attractive low cost goods or sophisticated industrial products, such as the United States, Canada, Japan, South Korea, etc.– the nascent industry of a developing country would have to compete with the sophisticated products of the most developed countries’ industries or the hard working hands of their powerful partners, one of which handles world finances wantonly. The only thing left to them would be to produce inexpensive raw materials requiring large investments ultimately owned by foreign companies fully protected from nationalizing whims. They would only have their extended hands waiting for a pious development support and an eternal debt to be repaid with their children’s sweat. Isn’t this what has been happening until today?

That’s why I don’t hesitate to show my solidarity with Chávez’s position as he said that he disagreed with Lima’s recipe. There are plenty of reasons. Let’s see how the situation unfolds, and keep demanding out rights without ever bending our knees.

Fidel Castro Ruz
November 23, 2008
7:30 p.m.

Meeting Hu Jintao

Wednesday, November 19th, 2008

I didn’t want to speak much, but he forced me to elaborate. I asked a few questions but I mostly listened to him.

He related the exploits of the Chinese people in the past 10 months. The enormous nation with a 1.3 billion population has been hit by heavy and out-of-season snow, and an earthquake which devastated areas three times that of Cuba; in addition to the most serious international economic crisis since the Great Depression of the 1930s.

I could see in my mind the great efforts of the Chinese people, its workers, its peasants and its manual and intellectual workers; the traditional hard-working spirit and the millennium-old culture of that country that preceded by thousands of years the colonial period imposed by the West, the same West where the current G-7 powers sit today with their force and wealth, playing a hegemonic role in the world economy.

What a great challenge for this leader in these times of globalization who in a gesture of goodwill came to visit our blockaded, harassed and threatened homeland! Are we not one a rogue state among 60 or more that can be the target of a pre-emptive attack? That much was said by the insane leader of the empire six years ago, the same man who just five days ago met in Washington with the G20!

China is the only member of that group whose State can regulate a high growth rate, at the pace it chooses, no less than 8% in 2009. The idea raised during the last Party Congress was to quadruple the per capita Gross Domestic Product between 2000 and 2020, measured in 2007 present values; that was the year the Congress was held. He spoke to me about that in detail. Thus, in conditions of peace, China will reach by the end of that period the figure of no less than 4 thousand dollars per capita income. I think that it should not be forgotten that China is an emerging nation whose per capita income at the time of the revolutionary victory – with a smaller population – hardly reached $400 per capita, and the country was completely isolated by imperialism. Just compare this with the $20 thousand per capita, or more, that developed capitalist countries such as Japan, the Western European nations, the United States and Canada currently enjoy. The per capita income in some of these exceeds the $40 thousand annually, even if their distribution in society is far from fair.

It is only by using $586 billion from its foreign reserves amounting to almost $2 trillions, accumulated through much hard work and sacrifices that this country is facing the present crisis and advancing. Is there any other country as sound as this?

The President of China, Secretary General of the Party and Chairman of the Party and Government Central Military Commissions, Hu Jintao, is a leader who’s aware of his authority and exercises it to the full.

The delegation he headed signed with Cuba twelve draft agreements towards a modest economic development in an area of the planet where the small territory in its entirety can be battered by increasingly intensive hurricanes, an evidence of true climate changes. The area affected by the earthquake in China is hardly 4% of the total area of that great multinational State.

Under certain circumstances, the size of an independent country, its geographical location and the size of its population can play a major role.

Would a country like the United States, which robs already trained minds everywhere, be in a position to apply an Adjustment Act to the Chinese citizens similar to the one it applies to Cuba? Obviously not. Could it apply it to the entire Latin America? Of course, it couldn’t there either.

Meanwhile, our marvelous, contaminated and only spaceship continues to circle around its imaginary axis, as one popular Venezuelan program likes to repeat.

It’s not an everyday occurrence for a small state to have the privilege of receiving a leader of Hu Jintao’s stature and prestige. He shall now continue his trip to Lima. There will be another great meeting there. Again, President Bush will attend, this time seven days closer to the end of his mandate.

It is said that in Washington, with only 20 leaders of the attending nations, the local security measures and those required by the host to thwart any attempt at physical removal, changed the habits and every day life in that city. How would it be in the great city of Lima? The city will surely be taken over by the security forces. It will be difficult to move around it because the well-trained members of the US supranational bodies will be there, and their interests and plans will only be known many years after the presidential terms of the eventual leaders of the empire are over.

I summed up for him some of our country’s assessments on the habits of our neighbors to the north, which tries to impose on us its ideas, its mindset and its interests with its fleet full of nuclear weapons and fighter planes; also our views on Venezuela’s solidarity with Cuba from the most critical days of the Special Period and the hard blows dealt by the natural disasters. Likewise, that President Chavez, a great admirer of China has been the steadiest advocate of socialism as the only system capable of bringing justice to the peoples of Latin America.

In Beijing, they treasure good memories of the Bolivarian leader.

President Hu Jintao reaffirmed his wishes to continue developing relations with Cuba, a country for which he feels great respect.

The conversation went on for 1 hour and 38 minutes. He was warm, friendly and modest, and his affection was obvious. I found him young, healthy and strong. We wish our distinguished and fraternal friend the best in his endeavors. Thanks for his encouraging visit and the honor of showing an interest in a personal meeting with me!

Fidel Castro Ruz

November 19, 2008
1:12 p.m.

Much Ado about Nothing

Sunday, November 16th, 2008

Bush seemed happy to have Lula seated on his right during dinner on Friday. Hu Jintao, whom he respects for his country’s enormous market, the capacity to produce consumer goods at low cost and the volume of his reserves in U.S. dollars and bonds, was seated to his left.

Medvedev, whom he has offended with the threat of locating strategic radars and missiles not far from Moscow, was assigned a seat at a distance from the White House host.

The king of Saudi Arabia, a country that, in the near future, will be producing 15 million tons of light oil at highly competitive prices, was also sitting on his left, beside Hu.

Meanwhile, his most loyal ally in Europe, British Prime Minister Gordon Brown, could not be seen close to him in the footage

Nicolas Sarkozy, who is not happy with the present architecture of the financial order, was at a distance from him, with a pained expression on his face.

In the television coverage of the meal, I couldn’t even see the president of the Spanish Government, José Luis Rodríguez Zapatero, a victim of Bush’s personal resentment and also present at the Washington conclave.

That is how those attending the banquet were seated.

Anyone would have assumed that the following day there would be a profound debate on the thorny issue.

Early Saturday morning, the press agencies were reporting on the program that would unfold at the National Building Museum in Washington, D.C. Every second was covered. There would be an analysis of the current crisis and the measures to be taken. It would start at 11:30 a.m. local time. First, there would be a photo op, or “family picture,” as Bush called it, and 20 minutes later the first plenary session would start followed by a another one in the second half of the day. Everything was strictly planned, even the majestic sanitary services.

The speeches and analysis would last approximately three hours and 30 minutes. At 3:25 local time, lunch, immediately followed by the final declaration at 5:05. One hour later, at 6:05, Bush would leave to relax, have dinner and sleep placidly in Camp David.
The day passed by, for those following the event, with an impatience to know how the problems of the planet and the human species could be dealt with in such a short space of time. A final declaration had been announced.

The fact is that the final declaration of the Summit was drafted by pre-selected economic advisors, very close to neoliberal thinking while, in pre- and post-Summit statements, Bush demanded more power and more money for the International Monetary Fund, the World Bank and other world institutions under the rigorous control of the United States and its closest allies. That country had decided to inject $700 billion to bail out its banks and multinational corporations. Europe offered a similar or higher figure. Japan, its strongest pillar in Asia, has promised a contribution of $100 billion. In the case of the People’s Republic of China, which is developing increasing and advisable relations with Latin American countries, it is expected to make a further contribution of $100 billion dollars from its reserves.

Where could so many dollars, euros and pounds sterling come from, as if they are not seriously indebting new generations? How can the structure of the new world economy be built on paper money, which is what is really being put into circulation immediately, when the country issuing it is suffering from an enormous fiscal deficit? Is so much air travel to a point on the planet called Washington to meet with a President with only 60 more days left in government to sign a document previously designed to be adopted at the Washington Museum? Was the U.S. radio, TV and press right in not paying special attention to this old imperialist replay in the much-trumpeted meeting?

What is really incredible is the final declaration adopted by consensus in the conclave. It is obvious that it constitutes a full acceptance of Bush’s demands before and during the Summit. A number of the participating countries had no choice but to adopt it; in their desperate struggle for development, they do not want to be isolated from the richest and most powerful and their financial institutions, which constitute a majority in the G-20.

Bush spoke with veritable euphoria, using demagogic phrases that mirror the final declaration.

He said:

“The first decision I had to make was who was coming to the meeting. And obviously I decided that we ought to have the G-20 nations, instead of just the G-8 or the G-13. But once you make the decision to have the G-20, then the fundamental question is, with that many nations from six different continents, who all represent different stages of economic development, how is it possible to reach agreements that are substantial, and I’m pleased to report the answer to that question is that we have done so.”

“The United States has taken some extraordinary measures. Those of you who have followed my career know that I’m a free market person – until you are told that if you don’t take decisive measures then it’s conceivable that our country could go into a depression greater than the Great Depression.

“[…] we just started on the $700 billion fund to start getting money out to our banks.”

“[…] we all understand the need to work on pro-growth economic policies.”

“Transparency is very important so that investors and regulators are able to know the truth.”

The rest of what Bush said continues more or less along these lines.

The final declaration of the summit, which takes half an hour to read in public due to its length, clearly defines itself in a number of selected paragraphs:

“We, the leaders of the G-20 have held a first meeting in Washington, on November 15, in the light of serious challenges to the world economy and financial markets…
“[…] we should lay the foundations for a reform that will make this global crisis less likely to happen again in the future. Our work should be guided by the principles of the free market, free trade and investment….”

“[…] the market players sought to obtain higher profits without making an adequate assessment of the risks and they failed…”

“The authorities, regulators and supervisors from some developed nations did not realize or were not adequately warned about the risks created in the financial markets…”

“…insufficient and poorly coordinated macroeconomic policies as well as inadequate structure reforms, led to an unsustainable macroeconomic global result.”

“Many emerging economies, that have helped sustain the world economy, are increasingly suffering the impact of world braking.”

“We note the important role of the IMF in response to the crisis; we salute the new short-term liquidity mechanism and urge a constant review of its instruments to ensure flexibility.”

“We shall encourage the World Bank and other multilateral developing banks to use their full capacity in support of their agenda for assistance…”

“We will ensure that the IMF, the World Bank and other multilateral developing banks have the necessary resources to continue playing their role in the solution of the crisis.”

“We shall exercise a strong monitoring of the credit agencies through the development of an international code of conduct.”

“We pledge to protect the integrity of the world financial markets by reinforcing protection to investors and consumers.”

“We are committed to advance in the reform of the institutions of Bretton Woods so that they reflect the changes in the world economy in order to increase their legitimacy and effectiveness.”

“We shall meet again on April 30, 2009, to review the implementation of the principles and decisions made today.”

“We concede that these reforms will only be successful if they are based on a serious commitment to free market principles, including the rule of law, respect for private property, free trade and investment, efficient and competitive markets and effectively regulated financial systems.”

“We shall refrain from erecting new barriers to investment and trade in goods and services.”

“We are aware of the impact of the current crisis on the developing nations, especially on the most vulnerable.”

“We are certain that as we advance through cooperation, collaboration and multilateralism we will overcome the challenges and restore stability and prosperity to the world economy.”

Technocratic language, inaccessible to the masses.

Respect for the empire, whose abusive methods are not criticized in any way.

Praise for the IMF, the World Bank and the multilateral credit organizations, the engenders of debt, fabulous bureaucratic costs and investments directed at supplying raw materials to the large multinationals, which are also responsible for the crisis.

It goes on like that until the last paragraph. It is boring, full of the usual rhetoric. It says absolutely nothing. It was signed by Bush, the champion of neoliberalism, the man responsible for massacres and genocidal wars, who has invested in his bloody adventures all the money that would have sufficed to change the economic face of the world.

The document does not say one word on the absurdity of the policy promoted by the United States to convert food into fuel; on the unequal exchange to which we, the nations of the Third World are subjected; or on the sterile arms race, the production and trade of weapons; the rupture of the ecological balance and the extremely serious threats to peace that are taking the world to the brink of annihilation.

Only one short four-word phrase lost in the lengthy document mentions the need “to face up to climate change.”

One can see in the declaration how the countries attending the conclave are demanding to meet again in April 2009, in the United Kingdom, Japan or any other country that meets the necessary requirements – nobody knows which one – to examine the situation of the world finances, cherishing the dream that the cyclical crises with their dramatic consequences will never happen again.

Now is the time for the theoreticians from the left and the right to offer cool or heated opinions on the document.

From my point of view the privileges of the empire were not even touched upon. If one has the necessary patience to read it from the beginning to the end, it can be appreciated that it is simply a pious appeal to the ethic of the most powerful country on earth, both technologically and militarily, in the period of the globalization of the economy; rather like those who beg the wolf not to devour Little Red Riding Hood.

Fidel Castro Ruz
November 16, 2008
4:12 p.m.

The Washington meeting

Friday, November 14th, 2008

According to recent statements, some supportive governments do not cease to say they want to facilitate transition in Cuba. What kind of transition? Transition to capitalism, the only system they have absolute faith in. They do not say a word about the merits of our people, which for almost half a century of harsh economic sanctions and aggressions, has defended a revolutionary cause that together with its morale and patriotism, has given it the strength to put up a resistance.

They seem to forget that after laying down lives and making sacrifices in defense of sovereignty and justice, Cuba cannot be expected to end up on the side of capitalism.

They ingratiate themselves with the United States hoping that it will help them face their own economic problems injecting huge amounts of paper money to their shaky economies which maintain unequal and abusive terms of trade with the emerging nations.

This is the only way they can ensure the multimillion profits of Wall Street and the US banks. The non renewable natural resources of the planet and its ecology are not even mentioned. There is no claim for the end of the arms race and the banning of the potential and probable use of weapons of mass destruction.

None of the participants in the conclave hurriedly convened by the sitting President of the United States has said a word about the absence of over 150 nations facing the same problems or even worse. These will not have the right to speak on the international financial order as the pro tempore President of the UN General Assembly Miguel D’Escoto had proposed, even when they include most of the countries from Latin America, the Caribbean, Africa, Asia and Oceania.

The G-20 meeting will open in Washington tomorrow. Bush is delighted. He has stated that a new international financial order will result from the meeting and that the institutions set up at Bretton Woods should be more transparent, accountable and effective. It’s as much as he would admit. Referring to Cuba’s prosperity in the past, he said that it had once been full of sugarcane fields. By the way, he failed to mention that it was manually cut and that, for over half a century, the empire has deprived us from our quota. Also that this action was taken when the word socialism had yet to be spoken in our country, although we had certainly proclaimed: Homeland or Death!

Many seem to dream that after a simple change of leadership in the empire, this would be more tolerant and less hostile. Apparently, contempt for the incumbent ruler makes some entertain illusions about a probable change in the system.

The innermost ideas of the citizen who will take over the issue are yet unknown. It would be extremely naïve to believe that the good will of a smart person could change what is the result of centuries of selfishness and vested interests.

Let’s watch attentively what everyone says in that major financial conclave. There will be plenty of news. We shall all be a bit better informed.

Fidel Castro Ruz
November 14, 2008
5:35 p.m.

Fidel Castro Book Values Principles

Thursday, November 13th, 2008

la paz en Colombia - by Fidel CastroFidel Castro’s book “La Paz en Colombia” (Peace in Colombia), launched in this capital Wednesday, proclaims Cuba and its leader’s attachment to ethics and principles to politically solve the conflict in that nation.

The 265-page volume containing unpublished documents and stories of the author’s historic link with the Colombian people, reality and struggle ratifies the Cuban position to find a negotiated solution to the long armed conflict.

“The most important thing is it reflects Cuba’s battle for Colombian peace,” Jose Arbesu, chief of the Americas department at the island’s Communist Party Central Committee and actor in important incidents related in the book, said in the launching ceremony.

Cuba has never sent weapons or financed guerrilla fighters and their performance was only based on humanitarian criterion, the publication stated.

Other fundamental elements were stressed by Culture Minister Abel Prieto, who referred to what he called US imperialism’s diabolic pact that marked Colombia in its desire of using it in its plans for continental domination.

Fidel Castro’s testimony refers to the Cuban support against war and for peace, against death and for life and makes a respectful analysis to recently deceased Manuel Marulanda, chief of the Revolutionary Armed Forces of Colombia, Prieto said.

Cuban political leaders, national and foreign journalists, students, diplomats and workers from several organizations attended the activity.