Lyndon LaRouche

Shocking as it may seem, the next major economist to promote the American System of economics after the death of Henry Carey came almost 100 years later. That was Lyndon LaRouche (1922- ). LaRouche took up this fight in the mid-1970s explicitly as a fight for the government policies which would increase the productive powers of labor, both in the United States and globally.

LaRouche describes the American System as a “credit system” in contrast to the monetarist principle which dominates imperial economics. The following brief excerpt from LaRouche’s 2011 webcast “State of the Union,” sponsored by his LaRouchePAC, is an appropriate brief summary of the American System, or Hamiltonian, principle which LaRouche espouses:

“Honest debt to the future can be paid only through honest creation of future physical and equivalent wealth, including the development of the relevant creative powers of the individual citizen and also the children and adolescents of those families.
“Such debts of a credit system must be paid by the fruitfulness of future production… Such debts require that the government delimits such accumulations of debt to the efficient commitment to promote that production. Such debt can be lawfully incurred only by a decision premised on a reasonable expectation of the relevant creation of the increased physical wealth, and of the increased physical productivity of the nation. Debts incurred on the account of financial speculation are not legitimate debts of a government.
“This describes, in rather plain language, Alexander Hamilton’s great principles as embedded in the subsuming intent of the Preamble of our Federal Constitution.”

LaRouche’s writings on economy have a scientific and philosophical depth that takes his ideas beyond other American System thinkers, explicitly elaborating the basis for American System practice in the ideas of Wilhelm Gottfried Leibniz and other scientists. One of LaRouche’s core contributions is the concept of Potential Relative Population Density as a metric of economic progress; another is the elaboration of the concept of energy flux density in determining potential economic growth.

Further Reading:

LaRouche’s writings and lectures on this topic are too extensive to list, but they can be found in the archives of Executive Intelligence Review ( and of his political action committee ( Among his most direct writings on the American System are:

* “The Four New Laws to Save the U.S.A. Now! Not an Option: An Immediate Necessity,” EIR, June 8, 2014.

What is Basic Economic Infrastructure?EIR, Jan. 1, 1995.

“Special Report: Science & Infrastructure,” EIR, Sept. 27, 2002.

So, You Wish to Know All About Economics? A Text on Elementary Mathematical Economics, by Lyndon H. LaRouche, Jr., EIR, 1984, 1995.

The Science of Christian Economy, by Lyndon LaRouche, Schiller Institute, 1991.

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