The true sight that Kawamori has lost it that he teams up With Carl Macek. Allowing Macek to have full control over the series "... grabbing the bull by horns" as Macek says in an interview.
During production Macek is "elected" president of the United States with Frank Agrama as the head of the treasury
The resulting series is so mediocre that Japan declares war upon the United States. Japan wins the war due there technological superiority ie the "Gundam "statues". That and the United States army being poorly funded because of Agrama's proposal to give to "various charities".
After the war it is discovered that Kawamori had been brain washed into allowing such actions take place. Feeling as he has betrayed the world he writes many stories including the final moments of Megaroad-01, solving all love triangles within the Macross universe itself.
As the world embraces macross for all that it is peace sets in and the world becomes united.