1. Report Completed: 09/22/2008
In the Name of Allah, the Beneficent the Merciful
Topic: Re: Investors Make Decisions Rationally: Economists
This is in response to Ms. Nuri's article in TransAfrica Forum concerning the situation in Zimbabwe...
Dear Joia Nuri,
In response to your article on TransAfrica Forum concerning the Zimbabwean agreement
being that of the elite and no real solution to the economic problems facing the country, I must
humbly say that the Mugabe administration is seeking to build political unity among the various
political formations in Zimbabwe. However, like The Honorable Minister Louis Farrakhan says:
Politics without economics is symbol without substance. Unfortunately, most rulers and
economists do not understand why their countries are in such bad shape economically. The root
of the problem is their economy's dependence on the money market and not on their natural
resources. They focus on the currency which is suppose to "represent" something of real value.
Yet the currencies of the world are not backed by anything real. To make matters worse, most
world currencies are unified and linked to the US dollar due to the Bretton Woods agreement
which linked the world's currencies to the US dollar because it was "as good as gold". In 1971,
Nixon disconnected the dollar from the gold standard which subjected the US dollar and
economy to the Federal Reserve's interest rate targets and money supply decisions. In effect, due
to the unification of currencies, the world's economies and currencies are subject to the Federal
Reserve's interest rate targets and money supply decisions. Due to the costs of gaining
independence and war, most governments looked to international banks such as the World Bank
(which is made up of the IDB and IRDB) and International Monetary Fund, International
Development Bank, and International Reconstruction and Development Bank to finance the
rebuilding of their country which advises those nations on how to tax their citizens, how to
rebuild their infrastructure, and how to promote so-called "free trade" and privatization which
further allows foreign domination and control of the countries' resources. Accepting this advice
put the nations at the mercy of the international banks and Western companies and governments.

2. These governments seeks currency and look at the fluctuation of price to determine value. The
truth is that their natural resources have intrinsic value that can be converted into any currency.
Most nations only need to connect their currency to the actual value of their natural resources (ie
commodity basket,, gold standard, etc.) to reap the true wealth of their nation for the benefit of
their citizens. Most "independent" nations still have some of the infrastructure of the colonial
period, and must rid themselves of that infrastructure in order to become economically free. I
won't go into too many details, but the case in most of Africa and the world is the governments
really do not control nor own their economies. As for Zimbabwe, the colonialists positioned
Zimbabwe to be dependent on Britain economically. This way after independence, the British
government can continue to control and benefit from Zimbabwe. For example, Zimbabwe sells
100% of its gold to the London Bullion Marketing Association and must produce 10 tonnes per
year to be a member. Britain and others are strangling Zimbabwe economically because of the
land reform program. Britain has control of Zimbabwe's economy via international banks.
Thank you (for) reading these few words.
Sincerely,
Deitric Muhammad--Chief Economist