Category: Lotter Moser & Associates

All of us, at all income levels, feel the pain as we attempt to uncover the Ponzi schemes, pyramids, valueless derivatives, and hedge hogs hiding under bullshit covered balance sheets. Know this; we cannot experience a true economic recovery until we experience a true economic uncovery.

Our economies whether family, local, or global must return to real exchanges of real goods and services with real value added and subtracted in the process. The money involved in implementing these exchanges must return to perceived values based on accurate descriptions and clean, simple accounting practices; not on lies, deceptions, unethical accounting and questionable, theoretical, mathematical formulas and models.

While some may argue differently; the economy functions relatively simply. Income and expenses. Supply and demand. A fair and reasonable profit (or return on investment). Ask any drug dealer. The economic network required to bring a product to the end user may become quite complex. Yet at each node of exchange we expect a certain sense of honor to be in place. As buyers we expect sellers to accurately describe the features and benefits of the product or service; including full disclosure of faults and liabilities. As sellers we expect the buyer’s capital and/or credit to qualify as genuine.

If lines of honesty, integrity, ethics or morality get crossed we expect justice from the social systems involved. People who cross those lines should go to jail; lose any and all assets gained through deception and reprehensible behavior and experience true social shaming. In our streets and alleys the dealers, who break the code, get hurt — bad. The same must hold true for Wall Street and K Street dealers.

Let’s not kid ourselves. The perpetrators of the financial hoaxes which brought us to this depressing economic condition knew exactly what they were doing, why they were doing it, while they did it. They had the criminal intent to “take” more than the deal warranted. They cut the product and claimed it was pure. The deals were too good to be true; and the schemers knew it full well. This includes those who thought they’d cash out on their inflated home equity (but it’s a matter of degree). In my book, the person who stole a loaf of bread to feed his family does not deserve the same level of punishment as the person who had a hand in wiping out a pension fund for their own personal gain.

Very few means exist to honorably get real rich real quick: It requires some combination of real skill, talent or innovation (and I don’t mean of the criminal variety). Otherwise we’re looking at deception, theft, extortion, usury, or slave labor; each of which we should prosecute to the maximum extent of the laws. Hard work, in and of itself, may provide a decent enough life; but it won’t get you wealth and fame.

Enough of the credit card usury rates and fees; the graft, the payola, the bribery, and the fancy dancing to incomprehensible financial instruments! To big to fail? I think not. Pull them out of their ten million dollar suites and shove their noses into the shit they shat. This moment provides the executive, legislative and judicial branches, as well as the so-called fourth estate, an historic opportunity for a significant historic legacy. Will men and women of substance and integrity step up to do that for which they were elected, appointed, and/or hired? Or, will they choose, yet again, wealth and shame?

Without doubt the opportunists will use current economic conditions to exploit the least fortunate, yet again. With unemployment high and rising the most avaricious employers will drive wages, benefits and safety to the filthy bottom of the barrel. Those wishing to preserve labor rights, union strength, social justice and an egalitarian social fabric will be called socialists, as if it were a dirty word.

“ism”- a distinctive practice, system or philosophy. “social” – of or relating to society. “socialism” – a beautiful word full of beautiful possibilities for focusing attention on SOCIAL practices, systems and philosophy. Why do some people fear the word “socialism?” We can certainly maintain freedom, democracy, the Bill of Rights and the Constitution while also focusing our attention on our social needs and responsibilities.

“The superior man understands what is right; the inferior man understands what will sell. To see what is right and not do it, is want of courage, or of principle.” — Confucius

Click here for a visual and verbal take on evidence of the economic downturn within a couple miles of my home.