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3 July 1998. Thought for the Week: "The history of modern political society is in large measure the history of the struggle of the ordinary citizen to exercise some influence upon government - and of his repeated failure to achieve that modest ambition - all governments control the governed."
Professor G.W. Keeton (later Mr. Justice Keeton) in his classic work, The Passing of Parliament.
THE REAL HANSON THREAT
by Eric D. Butler
But as a close student of political history, I must, as a responsible commentator, caution that the current Hanson euphoria contains within it the seeds of potential disaster. The dust of the Queensland political explosion has now settled sufficiently to make a realistic assessment of the current Australian political situation. No such assessment is possible if it does not face the basic truth that rarely is a government voted into office; governments are generally voted out of office when there is sufficient resentment of the results of the policies being imposed upon a community.
Not only the policies but the style of the Whitlam Government resulted in his Government being swept from office in 1975. There was a general air of relief as Gough Whitlam was replaced by Malcolm Fraser. I lost several friends when shortly after the Fraser Government had been elected with a huge majority I publicly warned that it was already on the road to disaster. Eventually Malcolm Fraser and his colleagues were seen as politicians who had betrayed the trust of the Australian people. They were voted out in 1983 to be replaced by Bob Hawke in an election in which, as Hawke's predecessor Bill Hayden said, could easily have been won by the "drover's dog".
Bob Hawke's style of government, assisted by the man who came to be known as "the world's greatest Treasurer" Paul Keating, temporarily created the impression that Australia was moving on to a new course. The League of Rights warned that so far from moving onto a new course, the Hawke-Keating Government was continuing on the internationalist course pioneered by the Whitlam and Fraser Governments. Public resentment was growing and the Labor politicians reached the conclusion that Bob Hawke had outlived his political usefulness. He was replaced by Paul Keating. But Keating's style of government, and his open attack on traditional Australia, merely added to the growing public resentment against what they perceived to be as an intensification of the undermining of the traditional Australia.
The globalisation of the economy, with
mounting foreign debt and unemployment, and the increasing
sell off of Australian assets, should have resulted in electoral
defeat for the Keating Government, but it was saved by a Coalition
Opposition which committed political suicide by electing its
own internationalist, John Hewson, who sought to gain election
by advocating the imposition of the International Monetary
Fund's preferred tax "reform", the General Services Tax. Once
again the Australian electors voted NO, and Keating survived.
He overlooked the fundamental political
truth that the electors had not voted for him but against
a threatened tax. Keating fell into the same political trap
by convincing himself that he had won against the Hewson-led
Coalition. Howard made exactly the same mistake when he won
the last Federal elections with such a massive majority. He
won primarily because of the growing pent-up feelings of electors
who had come to detest Keating. Those same feelings of detestation
have now been transferred to John Howard and the Coalition.
Primarily because of the attacks upon her by some National and Liberal Party members, and the mass media, Pauline Hanson has been elevated into a perceived catalyst of a movement of grassroots revolt. There is adequate evidence that large numbers of Queensland electors voted for One Nation candidates primarily because they associated the movement with Pauline Hanson. Surveys indicate that many who voted for One Nation were hazy about policy matters. They associated the major political parties with most of their problems and were determined to punish them.
Pseudo intellectuals like Phillip Adams are horrified at what is happening. Adams speaks for his spiritual allies when he wails that the "clock is being turned backward". The Zionist Jewish press is hysterical. They see growing support for a Hanson movement as a rejection of the multiculturalism they so fervently support.
The Queensland election results are beyond doubt a defining moment in Australian politics. Coalition leaders Howard and Fischer clearly have been shaken. They are loud in their statements that they will make a greater effort to listen to what the people are saying. New Labor Premier Beattie is saying the same thing, primarily because he is dependent upon the vote of new Independent Wellington who is a strong advocate of the Citizens' Initiative and Referendum concept. So is his fellow Independent Mrs. Cunningham. If Independent Wellington can have his CIR proposals tested in the new Parliament, this could produce some explosive results.
While One Nation claims to support the CIR concept, the wording of the One Nation policy is far from satisfactory. But Queensland Parliamentary debate on CIR could see widening support for a concept, which the League has always strongly supported. But as demonstrated in New Zealand the concept can be subverted and discredited.
The essence of the Queensland revolt is that it has challenged centralised power. As the League of Rights has demonstrated over 50 years of persistent educational work, in modern history Money Power has been the main instrument for centralising power. But it has been progressively buttressed with the establishment of bureaucratic and other instruments for centralising power over the individual.
In his famous classic, The New Despotism, a former Lord Chief Justice of England, Lord Hewart, warned that a change of politicians did not mean an automatic change of policies. The growth of internationalism is a manifestation of the will to power on a global scale. History provides a number of examples of numerous failures by movements, which challenged centralised power, these failures resulting from a lack of adequate knowledge concerning what was involved.
I was interested to see that the newly
elected One Nation Members were lectured by former Queensland
Premier Sir Joh Bjelke-Petersen. It would have been instructive
if Sir Joh had informed the newly elected One Nation Queensland
Members why he was unable to establish a promised State Bank,
and why a Queensland National Party Government was unable
to implement a basically sound policy of long term low interest
loans for rural industries. In
its day the Joh-for-Canberra movement created as much ferment
as the One Nation movement.
Those who have centralised power over a long period of time are not going to surrender that power without a struggle. One Nation has managed to recruit an army to fight a war without a clear idea of the nature of the war, and what is required to have any chance of winning that war. Over many years the League of Rights has evolved the only training programme, which seeks to equip the individual to wage that war effectively.
When one of Pauline Hanson's close colleagues, Mr. David Ettridge, started talking about "printing money" he demonstrated the nature of the problems I am warning about. Mr. David Oldfield's attempt to deal with what was a major tactical disaster merely demonstrated his own lack of understanding of the modern banking system.
There is an old and very wise saying that the road to hell is paved with good intentions. I am sure that the overwhelming majority of One Nation supporters, including their recently elected Queensland Members, are motivated by the best of intentions, but they have entered a conflict which requires far more than good intentions. What the League offers to all who are interested is a programme, which will at least equip them to fight effectively, and to avoid the many pitfalls, which have destroyed many movements of good intentions.
The nature of the conflict in which One Nation finds themselves involved is such that their leaders are making a fatal mistake when they fail to co-operate in any way with the most experienced and able patriotic politician in the Federal Parliament, Graeme Campbell. If they start from the viewpoint that they are "competing" with Campbell's Australia First Party, they demonstrate a serious philosophical flaw. The description of the League of Rights as a "fascist movement" is but another manifestation of that flaw.
Having been "demonised" by the enemies of traditional Australia, I have never at any time sought to meet Pauline Hanson or her advisers, feeling that is the best contribution I can make to ensure that Pauline Hanson is not placed in the position of trying to defend me. She clearly is not equipped to do this, nor are her closest advisers. But for the record I am fearful that there will be a major loss of morale if large numbers of good Australians find that their faith in One Nation has been misplaced.
The best contribution the League of Rights can make in the battle for Australia is to intensify its educational work and to encourage as many people as possible, irrespective of which group they belong to, to avail themselves of the League's training schools.
GREAT TRAIN BRIBERY
by David Thompson
We reported on this previously (see Intelligence
Survey, September 1997) when the issue was originally
raised by Councillor Bevan O'Regan of Narrabri in NSW. 23
local government councils have been promoting the drama of
a flat-route inland rail system link Brisbane and Melbourne
since late 1994, but what suddenly appeared in mid-1997 was
a consortium that wants to expand this to include Darwin.
O'Regan claims that this consortium, Australian Transport
and Energy Corridor Pty. Ltd., is a multinational corporation,
and that in numerous conferences with consortium representative
Mr. Everald Compton, Councillors were assured that money was
no object, and that companies around the world were ready
to finance the scheme (from The Parish Pump, August
It is no doubt significant that the proposal
was "launched" by the Prime Minister, rather than a State
Premier. Why would Mr. Howard be involved in promoting the
project if it is to be financed by foreign investment? The
only possible advantage for him is a potential "nation-building"
election winner, so long as seats won in NSW and Queensland
can balance those lost in South Australia, where the Adelaide-Darwin
link is jeopardised!
If the rail link is such a good idea, promoting Darwin as a trading port with "Asia", why don't we build it with Australian investment? In fact, why not use a "people's bank" to issue the credit to build it, as we did with the Trans-Continental Railway from 1913-1917? Is this "printing money"? So what? If this was suggested by a former fish-and-chip shop owner, it is a ludicrous idea. But if this is suggested by say the highly paid chief economist for the Royal Bank of Canada, would it be taken seriously?
Because Mr. John McCallum told a conference
in Melbourne on June 17th that "... I think printing money
is the solution (for Japan's banking crisis)."
CREDIT CREATION POWERS
It is perfectly clear that new credits can be created for useful projects. The real experts agree with this, whatever Mr. Costello may say. The only questions are: 1) by whom, and 2) for what? If the new Melbourne-Darwin rail link is ever built, new credits may be required. If so, under conventional economic rules, they will be created by a private bank, somewhere, and lent to either multinational companies or Australian governments for the purpose.
The alternative is for Australians to use their sovereign powers over money to issue the credit here, with our own banking system, and build the railway, if it is required. This is the type of project being promoted by various groups, from the Citizens Electoral Councils (CEC) to the National Civic Council.
While on the surface this is a constructive
proposal, it is also an extremely dangerous principle, better
understood by Karl Marx than the CEC, or even perhaps the
National Civic Council. In his Manifesto of the Communist
Party Karl Marx listed 10 essential steps for the destruction
of the free society.
With such powers over credit creation, Marx knew that central control of the economy, and hence the life of the individual, could be massively increased. Such powers in the hands of Mr. John Howard would result in the same massive increase of central government power. Mr. Howard (or his Ministers) could compel the unemployed to work in outback Australia on the railway. The next project could be the Bradfield Scheme, turning the northern river systems inland. With such powers, the Commonwealth could direct the economic activity of the nation from one central point: Canberra. Karl Marx would have been most impressed!
Who then should have the powers of credit creation, if not private banks, and not governments? If we return to the two over riding questions: 1) by whom, and 2) for what?
The relevant question is not "by whom?". Of course governments should have this power, but for what? The answer to this is clearly for the benefit of their constituents, to give the individual access to the nation's real credit. If individual Australians can be convinced that their real credit should be invested in a Melbourne-Darwin railway line, then let them invest, it. If it is a disaster, then it is upon their own heads.
If, as Marx suggests, Mr. Howard has "an exclusive monopoly" to direct all economic activity, the individual has little or no choice concerning objectives. Mr. Howard may say it is a great nation-building project, but he may in fact be using it as a great vote-winning project.
Genuine freedom requires that the individual be free to choose on one issue at a time. George Washington once compared government with fire: "Government is not reason; it is not eloquence; it is force! Like fire, it is a dangerous servant, and a fearful master." The credit creation mechanism in the hands of such a master would clearly be devastating for the free society.
FALL OUT FROM HANSON AFFAIRS
There is an old saying that there is no such thing as bad publicity: all publicity is good. As a result of the Hanson explosion at the Queensland State Elections, National Director David Thompson and Advisory National Director Eric Butler have been inundated with media requests for interviews and comments. These in turn have stimulated an upsurge of interest in the League. Some of the print media interviews have been reasonably good - Eric Butler being satisfied with a featured interview in his local paper, The Diamond Valley News.
One of the more interesting items appeared
in The Age, Monday, June 29th, by financial writer,
Kenneth Davidson. Under the heading,
The following comment by Davidson should
be placed on record: "Ridicule was heaped on the One Nation
director David Ettridge who had the temerity to advocate the
setting up of a 'peoples' bank', with $15O million of printed
money to finance low interest loans for small business...
The ALP forgets about the history of the Commonwealth Bank...
On the 7.30 Report last week Costello left the impression
that printing money was anti-semitic as well as economically
unsound. 'No country in the world does that. If a government
started printing notes and passing them into circulation inflation
would take off in this country and destroy people's savings.'
"This sent me scrambling for the latest Reserve Bank monthly
statistics which show that is the year to April, the Reserve
Bank under the direction of the Treasury printed or coined
some $1.5 billion in new current...
While keeping his own political nose clean, Davidson has helped to publicise the fact that the banking system creates money. The League of Rights, of course, has been pointing this out for over half a century. It appears that Federal Treasurer Peter Costello is a slow learner.
CAMPBELL QUESTIONS COSTELLO
On Monday, June 22nd, Independent Member for Kalgoorlie, Mr. Graeme Campbell, asked a Question Without Notice of the Treasurer, Mr. Costello:
"I draw your attention to the works of the late B.A. Santamaria, both in his column in The Australian and in his own publication News Weekly where he often referred to the creation of what he called a people's bank able to make loans at two percent Does this make Bob Santamaria, in your mind, an agent for the League of Rights, or does it simply demonstrate that neither you nor the Prime Minister understand fractional reserve banking?"
MR. COSTELLO - "Obviously, over the years,
I have had a number of meetings with Mr. Santamaria I agreed
with him on some things and I disagreed with him profoundly
on others. I certainly agreed with him about the need to fight
communism in the trade unions and the Australian Labor Party,
which he did a very good job of. I thoroughly disagreed with
Mr. Santamaria on the need for compulsory unionism. I can
remember arguing that with him and his organisation. I must
say that I have never taken my economic guidance from Mr.
Santamaria. I do not want to speak ill of anybody who is obviously
a great Australian, but starting from the National Rural Catholic
Action Movement back, I do not think many of his economic
ventures were a success, including setting up co-operatives
and communes in rural Victoria back in the 1940s. I think
you would agree with me...."
MR. CAMPBELL: "Mr. Speaker, on a point of order: I refer again to relevance. I am asking about the relationship between the League of Rights and B.A. Santamaria. I do not really want to know about anything else."
MR. SPEAKER: "The Treasurer will resume his answer. The Treasurer is relevant"
MR. COSTELLO: "If I were giving advice in relation to economic policy, I would say that the economic prescriptions of the League of Rights are not good for Australia nor are the economic prescriptions which say we can solve our problems by printing money; nor are the economic prescriptions that say that unproven theories which have never been adopted by any other country, with the possible exception of Latin America in its debt crisis in the Weimar Republic in the 1920s, should be followed by One Nation, the League of Rights, or by any other political party."
FROM THE PRESSBanks crippling this country
"Bomber pilots always knew when they were getting close to the target because the nearer they came the greater the flack. "And so it was when One Nation inadvertently stumbled on the core of this country's problems and threatened to blow the lid off the sacred subject of credit creation. "All the big guns came out, manned by none other than our own Prime Minister and Treasurer, even the Minister for Agriculture had a go. The truth bombers had to be shot down at all costs.
"According to the Reserve Bank of Australia Bulletin of March 1998, the Australian money supply increased by 31 billion dollars ($31,000,000,000) in 1997. "One billion of the increase was in notes and coins, the other 30 billion was in created credit. "Had this increase in the money supply been distributed equally to all Australians we would all be $1800 richer.
"A family of four would be $7200 better off. "But our gallant gunners are not about to let that happen. "They are so busy firing flack at Pauline Hanson and their arch enemy the League of Rights that they omitted to tell us that the annual increase in the money supply does not benefit us all. "To the contrary, it all belongs to the Trading Banks which are 90 percent overseas owned and they have lent it to us at the highest rate of interest they can con us into paying.
"If we care to look behind the smoke screen of 'printing money' we will see that the annual increase in the money supply could be achieved in a much more equitable way by using a 'people's bank' to issue the same amount as the multinational trading banks now do.
"Apart from a more reasonable interest rate, the Australian people would own the capital, which is something that will never happen under the present arrangement.
"Have you ever wondered why some of our political representatives rapidly achieve multi-millionaire status while the rest of Australia slips further into debt? Could it be that they are so intent on protecting the interests of their multinational mates and preserving a corrupt financial system that they are prepared to betray their own countrymen for personal profit and power?
"The position will not change until we can blow the banks out of their bunkers. First we will need to remove the flack fingers and replace them with genuine statesmen like Abraham Lincoln who said: The Government should create, issue and circulate all the currency and credit needed to satisfy the spreading power of the government and buying power of consumers. The privilege of creating and issuing money is not only the supreme perogative of Government, but it is the Government's greatest creative opportunity.'
"That should be simple enough for even our Australian politicians to understand."
R.N. THORP, Inverell - Inverell Times, 26/6/98
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