Carter had presented himself as a friend of the movement against the war, but when Nixon mined Haiphong harbor and resumed bombing of North Vietnam in the spring of 1973, Carter urged that "we give President Nixon our backing and support-whether or not we agree with specific decisions." Once elected, Carter declined to give aid to Vietnam for reconstruction, despite the fact that the land had been devastated by American bombing. Asked about this at a press conference, Carter replied that there was no special obligation on the United States to do this because "the destruction was mutual."

Considering that the United States had crossed half the globe with an enormous fleet of bombers and 2 million soldiers, and after eight years left a tiny nation with over a million dead and its land in ruins, this was an astounding statement.

One Establishment intention, perhaps, was that future generations see the war not as it appeared in the Defense Department's own Pentagon Papers-as a ruthless attack on civilian populations for strategic military and economic interests-but as an unfortunate error. Noam Chomsky, one of the leading antiwar intellectuals during the Vietnam period, looked in mid-1978 at how the history of the war was being presented in the major media and wrote that they were "destroying the historical record and supplanting it with a more comfortable story… reducing 'lessons' of the war to the socially neutral categories of error, ignorance, and cost."

The Carter administration clearly was trying to end the disillusionment of the American people after the Vietnam war by following foreign policies more palatable, less obviously aggressive. Hence, the emphasis on "human rights," the pressure on South Africa and Chile to liberalize their policies. But on close examination, these more liberal policies were designed to leave intact the power and influence of the American military and American business in the world.

The renegotiation of the Panama Canal treaty with the tiny Central American republic of Panama was an example. The canal saved American companies $1.5 billion a year in delivery costs, and the United States collected $150 million a year in tolls, out of which it paid the Panama government $2.3 million dollars, while maintaining fourteen military bases in the area.

Back in 1903 the United States had engineered a revolution against Colombia, set up the new tiny republic of Panama in Central America, and dictated a treaty giving the United States military bases, control of the Panama Canal, and sovereignty "in perpetuity." The Carter administration in 1977, responding to anti-American protests in Panama, decided to renegotiate the treaty. The New York Times was candid about the Canal: "We stole it, and removed the incriminating evidence from our history books."

By 1977 the canal had lost military importance. It could not accommodate large tankers or aircraft carriers. That, plus the anti-American riots in Panama, led the Carter administration, over conservative opposition, to negotiate a new treaty which called for a gradual removal of U.S. bases (which could easily be relocated elsewhere in the area). The canal's legal ownership would be turned over to Panama after a period. The treaty also contained vague language which could be the basis for American military intervention under certain conditions.

Whatever Carter's sophistication in foreign policy, certain fundamentals operated in the late sixties and the seventies. American corporations were active all over the world on a scale never seen before. There were, by the early seventies, about three hundred U.S. corporations, including the seven largest banks, which earned 40 percent of their net profits outside the United States. They were called "multinationals," but actually 98 percent of their top executives were Americans. As a group, they now constituted the third-largest economy in the world, next to the United States and the Soviet Union.

The relationship of these global corporations with the poorer countries had long been an exploiting one, it was clear from U.S. Department of Commerce figures. Whereas U.S. corporations in Europe between 1950 and 1965 invested $8.1 billion and made $5.5 billion in profits, in Latin America they invested $3.8 billion and made $11.2 billion in profits, and in Africa they invested $5.2 billion and made $14.3 billion in profits.

It was the classical imperial situation, where the places with natural wealth became victims of more powerful nations whose power came from that seized wealth. American corporations depended on the poorer countries for 100 percent of their diamonds, coffee, platinum, mercury, natural rubber, and cobalt. They got 98 percent of their manganese from abroad, 90 percent of their chrome and aluminum. And 20 to 40 percent of certain imports (platinum, mercury, cobalt, chrome, manganese) came from Africa.

Another fundamental of foreign policy, whether Democrats or Republicans were in the White House, was the training of foreign military officers. The Army had a "School of the Americas " in the Canal Zone, from which thousands of military leaders in Latin America had graduated. Six of the graduates, for instance, were in the Chilean military junta that overthrew the democratically elected Allende government in 1973. The American commandant of the school told a reporter: "We keep in touch with our graduates and they keep in touch with us."

And yet the United States cultivated a reputation for being generous with its riches. Indeed, it had frequently given aid to disaster victims. This aid, however, often depended on political loyalty. In one six-year drought in West Africa, 100,000 Africans died of starvation. A report by the Carnegie Endowment said the Agency for International Development (AID) of the United States had been inefficient and neglectful in giving aid to nomads in the Sahel area of West Africa, an area covering six countries. The response of AID was that those countries had "no close historical, economic, or political ties to the United States."

In early 1975 the press carried a dispatch from Washington: "Secretary of State Henry A. Kissinger has formally initiated a policy of selecting for cutbacks in American aid those nations that have sided against the U.S. in votes in the United Nations. In some cases the cutbacks involve food and humanitarian relief."

Most aid was openly military, and by 1975, the United States exported $9.5 billion in arms. The Carter administration promised to end the sale of arms to repressive regimes, but when it took office the bulk of the sales continued.

And the military continued to take a huge share of the national budget. When Carter was running for election, he told the Democratic Platform Committee: "Without endangering the defense of our nation or commitments to our allies, we can reduce present defense expenditures by about 5 to 7 billion dollars annually." But his first budget proposed not a decrease but an increase of $10 billion for the military. Indeed, he proposed that the U.S. spend a thousand billion dollars (a trillion dollars) in the next five years on its military forces. And the administration had just announced that the Department of Agriculture would save $25 million a year by no longer giving free second helpings of milk to 1.4 million needy schoolchildren who got free meals in school.

If Carter's job was to restore faith in the system, here was his greatest failure-solving the economic problems of the people. The price of food and the necessities of life continued to rise faster than wages were rising. Unemployment remained officially at 6 or 8 percent; unofficially, the rates were higher. For certain key groups in the population-young people, and especially young black peoplethe unemployment rate was 20 or 30 percent.

It soon became clear that blacks in the United States, the group most in support of Carter for President, were bitterly disappointed with his policies. He opposed federal aid to poor people who needed abortions, and when it was pointed out to him that this was unfair, because rich women could get abortions with ease, he replied: "Well, as you know, there are many things in life that are not fair, that wealthy people can afford and poor people cannot."