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An Open Letter to President Obama
Dear Mr.
President,
You don’t
know me, but I was one of the millions of Americans who voted for you in the
last election. I have since been fairly critical of your Presidency largely
because I, like many others, feel betrayed by the policies you have enacted
upon winning said election.
However,
rather than simply becoming yet another “I voted for Obama and regret it”
commentator who has a lot of complaints but no ideas, I thought it better to do
my duty as a citizen of this country and try to offer a solution to some of the
problems plaguing the US today.
The
following is a plan that I believe would bring about a significant change not
only in the US economy, but in the US mindset. The last 30+ years in this
country have been dominated by an overall regression in moral character and
beliefs.
Somehow, and
I’ll leave the “how” up to the historians, our nation’s moral framework seems
to have shifted from asking ourselves “is this right or wrong?” to “is this
legal or illegal?” Even worse, we now seem to be shifting from “is this legal
or illegal?” to “can I get away with this?”
This is most
obvious in the financial community where a small sliver of our citizenry
continues to make billions, if not trillions, of dollars, through ill-gotten
means. I won’t bother going into details here, because the “ill-gotten means”
have been well documented by others.
For now I
will simply state that it is absolutely OBVIOUS that the market is manipulated,
that insider trading and front-running of investor orders is permitted with
impunity, that Americans got a RAW deal on the bailouts (that’s putting it
mildly), and that the worst thing that happens to those who break the law in
the financial and large corporate sectors is a fine equal to maybe a few days’
worth of profits.
The fact
that this activity continues to be permitted and that those who engage in it
make salaries in the six if not seven or eight figures sends several very clear
signals to Americans, particularly those young ones looking to get ahead in
life. They are:
1) Those
who work for financial institutions and large corporations are above the law.
2) You
should try to make money by any means possible.
3) Look
out for yourself and forget about everyone else.
I ask you,
what do the above observations say about the American economy/ financial
system? Moreover, what kind of mentality are we fostering in our nation’s
character?
Here’s my
proposal to change all of this.
First of
all, I would create a new financial law in the US. It would be the following:
Any
financial gain reaped by insider trading, manipulation, fraud, stealing, etc.
would result in 100% of the gains generated by the action being confiscated by
the Government and the company that committed the action being fined an amount
equal to 10% of its (the company’s) net value.
Today, the
most common punishment for financial or corporate entities that break the law
is a small fine. A perfect example of this is the recent Goldman Sachs lawsuit
in which the firm paid a $550 million settlement on a deal that helped the firm
generate billions in profit. To put this in perspective, Goldman generates $500
million in profits in about a week of trading.
These fines
accomplish little if anything. They are akin to fining someone $5 for running a
stop sign. If that was the worst punishment for running a stop sign, no one
would bother following motor traffic laws at all. So why do we impose similarly
modest sums on those organizations that generate billions of dollars? It’s not
like they DON’T have the money handy to pay off a sizable fine.
A fine of
this size (10% of market capitalization or total assets, or Enterprise Value or
whatever) as well as confiscating 100% of the ill-gotten gains, would act as a MAJOR DETERRANT to corporate
and financial crime. It would, in plain terms, clean up Big Business’s
(well, every business’s) act in no time.
So how do you go about enforcing this
new law?
I
propose the creation of a government agency titled The Bureau for Corporate and Financial Integrity or some such
thing. This agency would be a kind of Department of Homeland Security devoted
solely towards insuring that the money made in the financial and corporate
sectors, is made honestly.
I realize
that we already have several financial regulatory bodies in the US. However, it
is clear from the ongoing fraud, corruption, and theft occurring today that
these organizations are overwhelmed.
On top of
this, the markets and economy today are very, VERY different from those that
existed at the time most of these organizations were created. Changing markets
call for changing mentalities and attitudes. Which is why I propose the
creation of a new organization rather than simply reshuffling the ones already
in place (this organization could work with the pre-existing ones too).
By creating
a new organization you would create new jobs. More importantly, these would be
permanent jobs rather than temporary jobs such as those created by the census
and other temporary programs.
However,
rather than simply offering the usual cushy public position consisting of a
very stable salary and benefits, I would suggest you offer the employees at
this new organization the following deal:
The
employees involved in bringing about a case to fine a corporate entity take
home 1% of the money brought in from the settlement should the case win.
I can tell
you Mr. President, there are MILLIONS of smart, intensely analytical young
Americans who would jump at the chance to stop corporate crime if you offered
this type of compensation package.
For
instance, the guys who took on Goldman Sachs in this recent case would receive
$5.5 million to split up among them. That kind of pay is handsome in any jobs
market… but in one as tough as today’s? Let’s
just say you’d be overwhelmed with applications.
But what
about the rest of the money and the money confiscated (the money the company made via fraud or some other
financial crime)?
I propose
that you use it to:
1)
PAY
OFF THE NATIONAL DEBT
2)
Fund
various public programs (NEW ones, NOT old ones that don’t work)
Doing #1 would send a clear message that
America is an honest, financially prudent country. Rather than lecturing other
countries about finance when we ourselves are running a deficit and debt level
that would take a private organization bankrupt, we would LEAD BY EXAMPLE.
This would
also STRENGTHEN the US Dollar. I know many folks in the various economic
bureaus and our central bank don’t like the idea of a strong Dollar… but I can
assure you that the 300+ million rest of us WOULD LIKE IT VERY MUCH.
Regarding #2, by using the money
fined/confiscated from organizations that break the law, you would find a
large, ample supply of money to fund various governmental programs, which in
turn would allow you to CUT TAXES.
After all,
if the government didn’t have to rely on taxes to fund its programs and budget,
it could lower taxes for its citizenry.
This would not only GUARANTEE you a 2012
re-election win, but would jump start the economy as it would mean MORE money
available for private sector spending and consumption (particularly with a
stronger Dollar) as WELL AS THE PAYING OFF CONSUMER DEBT (mortgages, credit
cards, etc).
Obviously,
there are a lot of details that would need to be worked out in my plan. But its
results would be TREMENDOUS. Among other things, it would do the following:
1) Rein
in the corruption and fraud that is polluting our capital markets and economy
(not to mention our national character on the world stage).
2) Re-instill
a notion of “right and wrong” to our nation’s public conscience.
3) Create
new, potentially high paying jobs for our best and brightest.
4) Teach
Americans, particularly the young, that you don’t need to break the law to get
ahead in life, that you can do right by doing the right thing.
5) Help
with our debt and deficit issues while sending a strong message to the world
that the US doesn’t just talk about prudence and solvency, IT LEADS BY EXAMPLE
(this would also impact our national character as it would re-instill the old
virtue of living a debt free life).
6) Strengthen
the US Dollar.
7) Help
jumpstart the economy by lowering taxes which would permit consumers to pay off
their debts, and spend more if they chose.
8)
And
of course, JUMP START YOUR APPROVAL RATINGS LEADING TO A GUARANTEED 2012 WIN (I
know you’ve got to consider your political career in your policy-making).
I do not
view this plan as a “fix all” remedy to our nation’s ills. The US economy and
political/ financial systems are in dire straits and there are some issues
which will simply require us to “take the medicine” if we do the right thing.
However, I strongly believe this plan would
be the first step towards shifting our country’s course from one of corruption,
greed, immorality, and lawlessness, to one of honesty, integrity, transparency,
financial prudence AND solvency.
In plain
terms, it would re-instill notions of doing the right thing and of making an
honest living. It would also re-instill our confidence as a nation as we become
proud members of a country that is financially prudent, virtuous, and which
leads by example.
I realize there is a small portion of our
population that would STRONGLY oppose this plan. However, I can assure you that
the vast majority of Americans (99% of us) would be ALL FOR IT. If you put this
matter to a public vote, it would likely be the BIGGEST VICTORY IN US HISTORY.
And, finally, I can guarantee you that
introducing this plan would immediately JUMP START your approval ratings AND
almost certainly guarantee you of a 2012 victory (I know this matters to you).
If anything it would be a great start towards a new future in this country, one
of strong national, corporate, and individual moral character.
Yours Respectfully,
Graham Summers
PS. For more scathing critiques of the socio-political structures in this country as well as hard-hitting investment insights revealing the real reasons the market moves as it does, join me atwww.gainspainscapital.com
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Your approach to insult Obama voters reminds me of Michael Moore, and how his using the same tactics to prevent the reelection of George W. Bush backfired big time...
Fuck you...wanted to get that out of the way before proceeding to laugh at the low spark of a dumb ass boy who thought he was cool and voted for Obama. It is visceral for me...I fucking hate the assholes who voted for that prick.
If that dumb mother fucker Obama was on fire I wouldn't piss on him.
Sarah Palin has clipped off more will and integrity in the morning doing her nails than he will take to the fucking grave. Obama is as much of a leader as that log I dropped off after lunch.
Too bad you're helping to get him reelected. And I didn't vote for him.
Applause Pierre! Take a bow! Bravo!
Encore! Encore! Encore! Encore! Encore! Encore! Encore! Encore!
And you people who flagged it as junk wouldn't know due diligence if it stole your girlfriend and lunch money.
Yeah and Sarah Palin was a lot pretty than Biden.
@Arthur
Palin shits bigger than Biden+Obama every day. She's not the sharpest knife in the drawer, but I'd put her management instincts ahead of either of those Senatorial dipsticks. Governance is about leadership and marshaling The Will. They don't teach that subject at Harvard Law School, and after six terms in the Senate, the ability is totally absent for any practical purpose. We need a constitutional amendment that barrs Senators from seeking the Presidency.
Rather look at Sarah's legs that Joe's.
I love the smell of second guessing in the morning. Like stinky farts. Unpleasant and serve no purpose but for the issure to expunge the worthless.
LMAO!
I wasted my vote, I just couldn't pull the lever for either one of them. I gave the nod to Ron Paul. Have been needled and heckled ever since. (I knew I should have kept my mouth shut!)
I voted for Nader.
Let the slings and arrows commence.
(Actually, I would have voted 'None of the Above', had that option been available to me.)
duplicate post
Good for you, I hated Obama and McCain two damned fools and their VP choices were even worse. I refuse to take a lesser of two evils approach, if the rest of America did that we might actually have a decent person in office from time to time.
still,
I disagree, you have 3 fools..........( O being far smarter than Darell & Darell).
Palin, had more experience than O,( but, the MSM lied about that also) she was crucified by the Marxist MSM, and has been fighting them ever since.
As far as Ideals, and what this country, WAS,SHOULD BE, it's Heritage, and the direction we WOULD be going if SHE had been the POTUS, I guarantee you I would take her, and her AMERICAN ideology any day, over what we have.
And a cabinet of ideolouges, and house full of marxist/socialist/communist CZARS, intent on the total dismantling of our system of 235 yrs of Goverance.
One thing for damn sure,,,,,,,,We know who she is,and where she stand, and no matter how bad she would have made it,(I think she would have been head and shoulders above what we're saddled with).
But, alas, why cry over spilt milk............we have what we have, and we are all going to pay the price.
The I'm going to bring peoples together, and transparency, and No bills passed w/out citizens getting a 48hr+Online review before being brought up for a vote?.
Every major policy that's passed has had a LARGE American majority dead set against it.
Did this cause any one in that admin to deviate 1* TO the will of the people?.
HELL NO.
No way you can say with a straight face, SHE would be worse for America than Him.
It's not possible.
She did not have an Agenda,and she's all woman,American born, raised,took on Big Oil, and won.............and dumb is not part of the description...........for her.
Just a label the useful idiots hang on.
That's just what the Libtards are selling...because they FEAR her.
I agree that NOTHING and NOONE could be doing a worse job than Obama and I would happily replace him with a drunk monkey if we could, the monkey would do better. That being said, sorry I don't think Palin was remotely qualified for the job. I do admire her principles and morals, and yes she would have been better than O but she was still a lesser of evils. I understand the MSM is full of lies and shit, I judged her by what I saw, she wasn't ready for the job. I don't know who is honestly, but I am 100% sure it wasn't obama or mccain, it truly was the saddest presidential race I have ever witnessed.
+1000 Pierre
Your rant was even better than mine!
Dear Mr. President,
You don't know me, but I am one of the few who didn't vote for you, because you are an inexperienced, pompous little twerp. You might enjoy being ogled by that Tranny known as Joy Behar, who is so dumb, that when you suggested doin' it doggy-style, she went out back and started to lick her balls. And no, a hard-on doesn't count as personal growth. Mr. President, you are just like that turd that won't flush, how many times do I have to flush you until you go away?
Sincerely,
The Boy Scouts of America
The first paragraph of Summers commentary grabbed my attention, because it's an echo from the deepest corners of my mind; I, too, was a strong Obama supporter.
. . . and though there is much merit to Summers commentary, there are several major structural flaws therein, so I gave it a score of only 3. In my opinion, our federal government is 3 or 4 times larger than it needs to be; I say this because I held a senior federal position during the 1980s (when it was much smaller!), and noticed that the productivity of most federal workers was very low (and in many cases, it was near zero back then). There is strong evidence that the more employees a federal agency has, the less work it is capable of performing, because they're all consumed in frivolous and unproductive activities with themselves. Somewhat paradoxically, if a federal agency's staff is cut by 50%, the productivity (i.e. honest attempts at fulfilling that agency's stated mission and objectives!) actually goes up!
The last thing we need is yet again another federal Bureaucracy.
Oh come on, quit the whining.
If we had another Federal Bureaucracy, nobody'd notice it anyhow next to the one we already got......
Oppppps! Maybe that's why folks don't wanna pay any more taxes!
Fer'zample, ya'll see that piece about New York state the other day? Try'n to lay off/furlough employees and they discovered they don't even know how many people work for the state! Yeah, yeah, yeah, I know, it's not the federalies, but where there's one Cockroach, there's a Bloody Nest of the Mutants!
+100
Dear Mr. President,
You don't know me, but I am one of the few who didn't vote for you, because you are an inexperienced, pompous little twerp. You might enjoy being ogled by that tranny known as Joy Behar, who is so dumb that when you suggested doin’ it doggy style she went out back and started to lick her balls. And no, a hard-on doesn’t count as personal growth. Mr. President, you are just like that turd that just won’t go down, how many times to I have to flush you until you go away?
Sincerely,
Boy Scouts of America
I stopped reading when I realized that the author still doesn't realize that this administration is driven by an agenda that does not necessitate input from voters who might be a bit disillusioned. The author has done the job required by voting Obama in office. Now, please, go over to the corner, sit down, and STFU.
Solutions, you think this guy wants solutions. Talk about missing the basic issues. BO doesnt want to hear any of this. Once again the actions define the path. Had anyone bothered to look at this persons actions in the past we would not be here. I really believe that trillion dollar deficits are a concept 99.9% of the people cannot grasp.
Dear Mr. Summers,
Actually everything is going almost exactly according to plan but there is so much more yet to be done.
Thank You for your support.
Sincerely,
Barack Hussein Obama
+1 Mercury
Government is attempting to replace by fiat (don't excuse the pun), what can only be created through exchange; and that is trust. The foundation of any trade is trust in the counterparty whether it is a corporation, individual, nation etc.). Trust cannot be restored through the market because it was the cause, or at least the indicator that something was rotten with our elite.
My proposal os much less complicated and democratic to the core. I propose that all "C" level positions in all corporations be open to open ballot with one "person “one vote - irrespective of the quantity of share ownership; on line; with recalls.
I would then fire all the obvious characters that have caused grief to get their egos and skeleton's behind us. Then I would bring in bright young eager keen and PATRIOTIC people to replace our old baggage.
I would give them free reign to fix things up - No politics, no nice stuff. Just get the job done.
I would concurrently establish a market for social enterprises that specialize in micro and messo lending with tight on the ground scrutiny.
You good people in the USA have gone by the way of the British and their aristocracy. I thought your nation was born to show the world how to throw off the chains of peerage repression. I guess not.
Footnote:
I live in Canada and we went through painful structural changes to our economy in the mid-90’s to cope with just the problems facing the US now. I graduated into 12% unemployment and rising and a very dire outlook. Canada stuck to prudent fiscal management and saw itself through the morass, as can the US. Unfortunately, everything is magnified in the US because of the “spin” and consequently people tend towards the extremes. Too bad really. Where have all your men and women of character gone, or is that not a prerequisite for leadership any longer.
Cheers from Yellowknife, NWT Canada
Yellowknife..., someone else just mentioned Yellowknife!
thats easy for him to say.
with all due respect - spare us. it was obvious ahead of time who obama was and what he stood for.
dont try and justify your mistake in voting for him. apologize to those who did not vote for him.
if you believe what you request in your letter WHY did you vote for him ?
Too bad we can't junk Summers, I would.
I already pasted this whiny loser author above, so will spare our community a duplicate rant.
Government is attempting to replace by fiat (don't excuse the pun), what can only be created through exchange; and that is trust. The foundation of any trade is trust in the counterparty whether it is a corporation, individual, nation etc.). Trust cannot be restored through the market because it was the cause, or at least the indicator that something was rotten with our elite.
My proposal os much less complicated and democratic to the core. I propose that all "C" level positions in all corporations be open to open ballot with one "person “one vote - irrespective of the quantity of share ownership; on line; with recalls.
I would then fire all the obvious characters that have caused grief to get their egos and skeleton's behind us. Then I would bring in bright young eager keen and PATRIOTIC people to replace our old baggage.
I would give them free reign to fix things up - No politics, no nice stuff. Just get the job done.
I would concurrently establish a market for social enterprises that specialize in micro and messo lending with tight on the ground scrutiny.
You good people in the USA have gone by the way of the British and their aristocracy. I thought your nation was born to show the world how to throw off the chains of peerage repression. I guess not.
Footnote:
I live in Canada and we went through painful structural changes to our economy in the mid-90’s to cope with just the problems facing the US now. I graduated into 12% unemployment and rising and a very dire outlook. Canada stuck to prudent fiscal management and saw itself through the morass, as can the US. Unfortunately, everything is magnified in the US because of the “spin” and consequently people tend towards the extremes. Too bad really. Where have all your men and women of character gone, or is that not a prerequisite for leadership any longer.
Cheers from Yellowknife, NWT Canada
Yellowknife..., as in Ice Road Truckers? ;-)
prudent fiscal management? that was then this is now. ottawa is broke. housing is collapsing and the taxpayer will be on the hook for the full bill.
our central bank is run by a goldman saks clerk who has advised our elected officials to use the same broken formula to fix our collapsing model.
" it can't happen here" is what you here on the msn channels. stop drinking the koolaid and hang on my friend.
http://www.greaterfool.ca/
The employees involved in bringing about a case to fine a corporate entity take home 1% of the money brought in from the settlement should the case win.
You can do much better than that right now, Qui Tam is used in the US.
http://en.wikipedia.org/wiki/Qui_tam
Thanks for that Goodie.
Your letter is addressed to the wrong audience. Mr. President and hit friends/handlers don't give two shits what you, me, or any average schmoe think.
Your letter may have more adhesive power if it were reorganized and aimed at the general population.
"Your letter may have more adhesive power if it were reorganized and aimed at the general population."
Or on a bumper sticker. I threw out an idea today regarding a simple message to the people - on a bumper sticker. If you are interested you can find my posts (multiple) in today's reading.
btw - one of the best parts of ZH is coming across threads like this one. Relatively quiet and reasonable discussion. Some great comedy too.
You think the banksters would allow this to happen? Not in a million years
Of course they'd allow it to happen.....after they made sure their people were running it.
Just for amusement:
1) Name all the countries whose government, banking and national-level business structure evolved into a highly corrupt, rigged system, which then peacefully evolved back to a less corrupt, fair system, driven by a successful internal process.
2) Name all the countries that stepped over the brink and then stepped back into safety.
Have a nice day.
It will take a completely new system restructuring. Perhaps even the burning down of some sacred historic edifices. The wheels, all of them, will have to fall off this wobbly wagon before a workable system can be built. None of this will happen within the lifetime of anyone reading these words, so we will be stuck with this broken thing for a long time.
Talk about a great idea for a thesis!
Answer:
1) None I can think of.
2) None I can think of.
You have a great day too.
Wow. We have had massive failure of the very concept and principles of regulation, and you call for *more* regulation!?!
Rhetorical question. Can you conceive of any kind, nature, degree, or specific regulatory failure that would make you think that regulation is, *itself*, the problem and not the cure? Is there any kind of consequence of regulation that would make you question the idealogy of government=good, business=bad?
Because right now, we're stuck in Einstein's definition of insanity*
*doing the same thing over and over, expecting a different result
What a joke! Yeah, we really ought to create some new government agency. The bloated, captured regulatory behemoths we have now are "overwhelmed".
Wow. Regulation failed, so we should not regulate, is that what you are saying? Is your concept that businesses screw over society *because* they are regulated and if they were only deregulated then they would be model citizens?
I don't know if I can believe that. If that works for businesses then would it work for people too? How about you let me make money however I please without government "regulations". I bet there are people who, if deregulated, could make a lot of cash simply by visiting some CEOs homes.
That system sounds like what they have in third world countries.*
Survival of the fittest, where the fittest is not always the person who can profit from the market.
Nice way to phrase it, as if absent regulation, these corporations would not have done the same. Or if you look to the lowest law denominator countries out there, arguably they would have done much worse.
My position is that regulation *necessarily* will always fail, and in fact every regulation is failing. But the point of the above is that everyone keeps crying for more of the poison that's killing us. Apparently no one is questioning the very principles or claimed benefits vs. actual harm of regulation.
Why must is always and everywhere fail is something I will address at another time. But for starters why does everyone assume that regulators will sacrifice their own interests? And that this willingness to sacrifice will be steady or increasing as they are given more power to force everyone to obey their diktats?
Everything "fails", including regulation as well as wholly unregulated systems.
The author seems to be advocating for more effective regulation, recognizing the system's failure, rather than simply demaning more regulation. It is a socalled red herring that you're floating out there, belly up in oil as it might be.
And I agree that regulators generally don't sacrifice their own interest. The main problem here is that the citizens of this country did exactly that, willingly apparently.
Pretend President Soetoro promptly hits *delete email*
I am in general agreement with you Mr. Summers, one exception being a percentage take for the prosecutors form any successful litigation. Pay the prosecutors a good wage and avoid the temptation that always comes to press beyond the bounds of fairness. Anyone with an extra incentive and the force of law behind their decisions has too much power and will eventually abuse it. My 2 cents.
Rube.
Also, spell check is your friend...just sayin'