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On America's Short-Termist And Fraud-Provoking Culture

Tyler Durden's picture


Two months ago we posted an excellent introduction from Dan Ariely on the truth about dishonesty. The focus on our ease of rationalizing dishonest acts struck quite a chord and as a follow-up the behavioral economist discussed several real-life examples with Capital Account's Lauren Lyster. Critically, firms are shifting their focus from long-term growth to maximizing 'shareholder-value' (since any short-term mis-step in a liquidity-fueled boom such as this is punished to the point of 'going-concern') and the increasingly short-term focused attitude not only hurts employees and taxpayers but serves to provoke a culture of dishonesty or fraud. Ariely also notes, rather interestingly, that new disclosure requirements for 'academic-based' reports merely creates a more exaggerated result - since report-preparers now know the result will be discounted further. Again, one could argue, that Bernanke's ZIRP world (and an under-the-surface reality known to all that we are on a precipice) creates an ever-decreasing time-horizon for every 'invisible-hand'-driven act we undertake: we have shifted from "Get Rich Quick" to "Get Rich Quicker...By Any Means."


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Sun, 11/18/2012 - 17:41 | 2994382 Gooseleg
Gooseleg's picture

Dem legs.


Sun, 11/18/2012 - 18:20 | 2994473 ihedgemyhedges
ihedgemyhedges's picture

That's all you want?  Cause that's lookin' like a full meal deal to me.......

Sun, 11/18/2012 - 19:30 | 2994608 willwork4food
willwork4food's picture

Hee hee. THAT was the only reason I opened the link. Shame on me.

Sun, 11/18/2012 - 21:51 | 2994857 Oh regional Indian
Oh regional Indian's picture

As a wide-eyed emigree in 1995, I used to stay up late nights and lap up all the informercials on US TeeVee (not sure how many times I must have seen the shapghetti machine guy and thought, I MUST get this) and all those little ads at the back of Popular Mechanics (make toys/tubelights/stuff envelopes from home)..... and of course Carlton CHEATS and his No Money Down program... oh boy!

It's the same thing here in India and everywhere else. The Charlatan with a Get Rich Quick scheme draws the moths to the flame, without fail. It's took me a long time to come to terms with the fact that "THe faster it comes, the faster it leaves". Look at the million dollar salary sports stars who struggle in later life.

It's the system and culture and "Programming". Biggest change in my life was throwing away my TV, so no tits and ass woudl dis-tract me into doing something my natural inclination woudl tell me run away from.

Lauren Lyster a case in point ;-) No brains, nice legs. You'll eat out of her hands.





Sun, 11/18/2012 - 22:19 | 2994900 Race Car Driver
Race Car Driver's picture

+1 TeeVeeFree


Good read at your link - glad to see you writing again.

+1 Singularity.

Sun, 11/18/2012 - 23:24 | 2994995 Oh regional Indian
Oh regional Indian's picture

Gracias RCD. :-)

And yes, perhaps TeeVee= Singularity Accelerator? hmmmm...


Mon, 11/19/2012 - 04:56 | 2995352 stacking12321
stacking12321's picture

lauren lyster no brains? really?

are you just being a troll?

or perhaps you are just hating on her because you've never had a pretty girlfriend like her and you are envious?

i've seen a number of interviews she's done, and they have all been excellent - she has a good understanding of sound money principles, is quick witted, asks her interviewees incisive questions, just a great all around interviewer.

don't worry ORI, you'll find a girlfirend someday, there's someont in this world for everyone.


Mon, 11/19/2012 - 05:18 | 2995359 Oh regional Indian
Oh regional Indian's picture

A common mis-take in the west is to conflate fast-answering/trained poodles with smarts. She is well "briefed" before any show. That is how it goes.

And then probably "De-briefed" too, if you get my drift.

Cardinal error, in my opinion.

Plus, in my book, she barely (hah!!!) makes the pretty cut. She matches the cut-out version of what you have been "trained" to find pretty.

If she was that smart, she would keep her pins and boobs well hidden and still make the cut (check out some razor sharp Press TV and BBC hosts if you want to understand what I'm talking about).

Program, programmer, programee.... all on display up and down this thread.

Cue Becky. Quick.


Mon, 11/19/2012 - 07:18 | 2995405 stacking12321
stacking12321's picture

 your claim that her comments are on the basis of her being "briefed" are incorrect - it's clear to me that she thinks for herself, gets very intelligent guests, and can hold her own on most economic topics.


Mon, 11/19/2012 - 13:12 | 2996153 Umh
Umh's picture

Pretty has been having children with successful for a long time; think about it.

Mon, 11/19/2012 - 15:48 | 2996657 jayman21
jayman21's picture

ori - sorry that you feel that way.  Lauren should be applauded and is one of the few out there reporting the news.  She also has a much better idea on how the world works when compared to CNBS or other MSN.  FYI - I do not watch CNBC anymore.  And Yes, she is also very pretty.

Sun, 11/18/2012 - 19:48 | 2994635 Hobbleknee
Hobbleknee's picture

I have a long-term growth for her.

Sun, 11/18/2012 - 21:14 | 2994787 DeadFred
DeadFred's picture

Lauren's reports are the only contrarian reports the SEC folks examine thouroughly.

Sun, 11/18/2012 - 21:24 | 2994811 A Nanny Moose
A Nanny Moose's picture

Long term growth works best with unencumbered assets.

Sun, 11/18/2012 - 22:05 | 2994876 vast-dom
vast-dom's picture

hey Lauren you're looking a bit melancholy lately. come over. i'll cheer you up.

Sun, 11/18/2012 - 20:13 | 2994687 Whatta
Whatta's picture

MILF dat, yo.

Sun, 11/18/2012 - 17:44 | 2994387 km4
km4's picture

High Integrity, Moral Decency Has Cost Idiot Man Millions

Sun, 11/18/2012 - 17:45 | 2994388 csmith
csmith's picture

What did he say? I was distracted...

Sun, 11/18/2012 - 17:49 | 2994397 Abraxas
Abraxas's picture


Sun, 11/18/2012 - 18:27 | 2994484 TwoShortPlanks
TwoShortPlanks's picture

That's my Daughter ya-know! And if you think her legs are great, you should see her tits!

Sun, 11/18/2012 - 18:27 | 2994490 knukles
knukles's picture

Care to introduce a kindly old pervert?

Sun, 11/18/2012 - 18:34 | 2994511 TwoShortPlanks
Sun, 11/18/2012 - 18:40 | 2994529 knukles
knukles's picture

I didn't mean introduce an old pervert to me!

That's like the time I asked the genie for a big black... onm...

Sun, 11/18/2012 - 19:10 | 2994574 TwoShortPlanks
TwoShortPlanks's picture

R. I. G. H. T.....................

Sun, 11/18/2012 - 18:30 | 2994497 Ness.
Ness.'s picture

"There was one?"


I am not 'the' ZH Francis Sawyer - just quoting.


She sho iz purdy.



Sun, 11/18/2012 - 18:35 | 2994515 knukles
knukles's picture

Wonder she be one o' them Ruski brides bein' sold awn the telly, now?

Sun, 11/18/2012 - 19:59 | 2994657 Hulk
Hulk's picture

naw, none of the ones for sale look like that...

Sun, 11/18/2012 - 21:05 | 2994772 Jugdish
Jugdish's picture

Ruski brides, now there is a real investment. Cha-ching. Nice, traditional, cooks, cleans, appreciative of shared time and resources vs. American women - Liberal, entitled, spoiled, hormonally unbalanced from YAZ, brainwashed, ambitious, naive, devoid of any domestic skills, unappreciative of shared time and resources.

Sun, 11/18/2012 - 17:47 | 2994393 LawsofPhysics
LawsofPhysics's picture

My understanding was that the average laborer during pyramid construction worked all day for 4-6 pitchers of a very thick/nutritous beer.  Why do I see mankind coming full circle?

Sun, 11/18/2012 - 18:18 | 2994460 Kitler
Kitler's picture

They work harder, faster and are more likely to stick around if you supply them with methamphetamine instead.

As an added bonus they never live long enough to collect pensions.

Sun, 11/18/2012 - 18:25 | 2994487 css1971
css1971's picture

Neither will anyone of working age today.

Sun, 11/18/2012 - 18:35 | 2994514 Cheesy Bastard
Cheesy Bastard's picture

No matter how long they live.

Sun, 11/18/2012 - 18:41 | 2994533 knukles
knukles's picture

Regardless of meth usage...

Mon, 11/19/2012 - 09:24 | 2995497 willwork4food
willwork4food's picture

Especially with the added value of meth side effects..i.e. unlimited energy,  and teeth loss. Emphasis on the later.

Sun, 11/18/2012 - 19:06 | 2994569 Papasmurf
Papasmurf's picture

Just like today.

Sun, 11/18/2012 - 19:29 | 2994605 1100-TACTICAL-12
1100-TACTICAL-12's picture

" That girl Crystal she ain't so sweet, she'll hit you in the nose boy,and knock out your teeth"

Sun, 11/18/2012 - 17:49 | 2994394 hedgeless_horseman
hedgeless_horseman's picture



...the behavioral economist discussed several real-life examples with Capital Account's Lauren Lyster.


Speaking of a culture addicted to maximizing growth, at the store I photographed this real-life example of a typical American trying to "get rich quicker" at the Auto-Lotto-Machine.  

Sun, 11/18/2012 - 17:51 | 2994398 nmewn
nmewn's picture

A Quiniela!

Sun, 11/18/2012 - 17:54 | 2994407 hedgeless_horseman
hedgeless_horseman's picture



The woman on the red rocket had just given Coinstar (CSTR) a 9.8% cut because she is too lazy to count her own change.  I guess that is far better than giving the Lottery folks a 99% cut.

We are so screwed.

Sun, 11/18/2012 - 18:02 | 2994429 nmewn
nmewn's picture

Yes we are.

All we can do is hunker down and show our fake ID when asked ;-)

Sun, 11/18/2012 - 20:41 | 2994740 The Gooch
The Gooch's picture

Hi, my name is Barry.

Sun, 11/18/2012 - 18:09 | 2994445 Dave Thomas
Dave Thomas's picture

Hangin out at the Willis Foodarama again Hedgeless?

Sun, 11/18/2012 - 18:30 | 2994503 Atomizer
Atomizer's picture

Sexy Can I..

We can change rules on a fly, pretend to be the Elite, and complain when our EBT card service is down.


The pathetic mouth breathers are going to be surprised once the party bag lands in their lap.

Sun, 11/18/2012 - 18:44 | 2994537 IndicaTive
IndicaTive's picture

200 people turned away by noon in this very small PA community.

Sun, 11/18/2012 - 20:52 | 2994757 The Gooch
The Gooch's picture

What are YOU doing at the Store?

I thought you grew your own soap and brass.


I went to a "mart" on Weds and realized I was a minority. 

I bought extra.




Sun, 11/18/2012 - 18:24 | 2994485 css1971
css1971's picture

Wow, this is like something from a sci-fi movie. America is ripe for invasion by the barbarian hordes. I'm going to assume that's Canada for now.

Sun, 11/18/2012 - 18:37 | 2994521 Cheesy Bastard
Cheesy Bastard's picture

I'm thinking the opposite...American hordes running to canada.

Sun, 11/18/2012 - 22:23 | 2994904 Cathartes Aura
Cathartes Aura's picture

I see you're back to posting stealthy photos of people going about their business, posting them right here, with opinions.

another ZH poster left this earlier,

On October 26, 2012, Barack Obama quietly signed an Executive Order (EO) establishing the so-called Homeland Security Partnership Council, a public-private partnership that basically merges the Department of Homeland Security (DHS) with local governments and the private sector for the implied purpose of giving the Executive Branch complete and limitless control over the American people.

An official Steering Committee will be established with representatives from virtually every single three and four-letter federal agency, and this committee will be guided by a separate council on how to best incorporate the federal government and DHS into every nook and cranny of American society. Once established, this council will maintain control over presumably all aspects of society by overseeing a secret police force comprised of spies from schools, community groups, churches, and various other local institutions.

you've posted another Fat Lady on her scooter here recently, a "neighbor" of yours you say, with details that disregard her personal privacy.

I downvoted you because I find that type of behaviour - trawling for attention here, targeting real humans for your lulz - unconscionable.  people need to respect each others privacy, even as this nation monitors your every fucking breath.

Sun, 11/18/2012 - 22:49 | 2994945 Orly
Orly's picture

Well said.

I was bothered by the other photo as well, on the Twinkie thread not posted by HH, though, that showed a large woman in a lawn chair eating her potato salad.

I don't see any reason to make fun of people for who they are...and, once again, don't give me any of that Fight Club crap.  There was nothing of value in that photo exept to take a cheap shot of some poor woman, who may have had lymphedema, a severe thyroid problem or be my Aunt Mary.

Normally, I would junk it and move on but since you posted your thoughts, I thought I would chime in and agree with you completely.  There's no need for cheap shots just for giggles.  Let's try to keep a modicum of decency, please.


Sun, 11/18/2012 - 22:54 | 2994954 Cathartes Aura
Cathartes Aura's picture

yes, that was lizzy's post, and that picture has been used before to get the lulz & upvotes on a thread.

this shit needs to be called out - whatever one "thinks" about people, stealthy photos & personal details AT THIS TIME in amrkn history should be called out.

"see something, say something"

appreciate your post Orly.

Sun, 11/18/2012 - 23:05 | 2994966 Orly
Orly's picture

It's worse in Britain where there is literally a camera on every lampost and the government encourages people to dial in and if they witness a "prosecutable crime," they are paid by the government for their "vigilance."

I don't see how that's okay and taking a (really, really bad...) snap of someone going about their business in a grocery store and posting it to the web is no different.  What if someone recognised their Mom in those photos?  How horrible would that be to see your mother pasted on a financial discussion site and being laughed at?

Y'all need to think about that.  Because as my mother would say, "If you don't have anything nice (or of value...) to say, then don't say it."

Sun, 11/18/2012 - 23:40 | 2995016 Cathartes Aura
Cathartes Aura's picture

your example of what Britain is doing should be understood as a testing ground for what will no doubt be implemented in amrka, in "targeted areas" first, but will definitely be planned.  I remember a lot of the propaganda in the years following nine/eleven, and it's not going to be pretty - no doubt it's already in place and use here, and if posters at ZH think they're somehow immune, they should take into consideration how poverty, and hunger, will impact their "neighbours" - and just how easy and rewarding sharing their personal habits/information will be over the coming months.  these huge new spy centers being built in Utah are a CLUE.

it makes me truly sad to think about Britain, and what's being done - I loved the years I spent there, particularly in Scotland, where folks were more mouthy, sarcastic & stubborn.  a long time ago someone here posted a British website with pics of smashed street cameras, folks were uploading dates & times, monitoring how long to get them back up and SMASH, down again - it was genius, wish I could find the link for you, the commentary was so witty.

peace Orly.

Sun, 11/18/2012 - 23:51 | 2995033 Oh regional Indian
Oh regional Indian's picture

It's become that kind of world/place.

Well called out CA and Orly. I passed it(HH's post) without rancour raised. Now I'm feeling rancourous.

Everyone is under the thumb/programmed/sickened by the environment (in toto).


Sun, 11/18/2012 - 23:08 | 2994974 bunnyswanson
bunnyswanson's picture
Sec. 3. Mission and Function of the Council and Steering Committee. (a) The Council shall, consistent with guidance from the Steering Committee: (i) advise the Chair and Steering Committee members on priorities, challenges, and opportunities for local partnerships to support homeland security priorities, as well as regularly report to the Steering Committee on the Council's efforts; (ii) promote homeland security priorities and opportunities for collaboration between Federal Government field offices and State, local, tribal, and territorial stakeholders; (iii) advise and confer with State, local, tribal, and territorial stakeholders and agencies interested in expanding or building local homeland security partnerships;   (iv) raise awareness of local partnership best practices that can support homeland security priorities; (v) as appropriate, conduct outreach to representatives of the private sector, nongovernmental organizations, foundations, community-based organizations, and State, local, tribal, and territorial government and law enforcement entities with relevant expertise for local homeland security partnerships, and collaborate with other Federal Government bodies; and (vi) convene an annual meeting to exchange key findings, progress, and best practices.
Sun, 11/18/2012 - 23:55 | 2995037 DirkDiggler11
DirkDiggler11's picture

Get a fucking grip and come out from under your bed there Hero. When you watch a football game on tv do you think when the players on the field all huddle up that they are talking about you? I think you are going way overboard in your paranoid frenzy here Stalin. Our government sucks ass, and can be evil at times, but you are giving them far too much credit here considering their knack for incompetence.

Sun, 11/18/2012 - 17:48 | 2994395 Segestan
Segestan's picture

Yes let 's all get the truth from RT..... Fail!

Sun, 11/18/2012 - 17:52 | 2994404 Abraxas
Abraxas's picture

Heeey, they have a long history of telling the truth over the media... um, relatively speaking...

Sun, 11/18/2012 - 19:17 | 2994582 Urban Redneck
Urban Redneck's picture

As long as it doesn't run contrary to Massa's interests.

Ditto for AJ, Fox, MSNBS, CNBS, ABC, XYZ...

There is no "truth" or unbiased media, the best you can do is read both sides and use one to try cut through another's BS.

Sun, 11/18/2012 - 20:19 | 2994702 The Gooch
The Gooch's picture



Sun, 11/18/2012 - 18:02 | 2994430 Conman
Conman's picture

As opposed to which unbiased news source?

Sun, 11/18/2012 - 18:34 | 2994510 knukles
knukles's picture

My Uber-Liberal buds out here in the Great Republic of Kalifornication sincerely believe that MSNBC is wholesomely unbiased, unvarnished truth, light, goodness and fresh unicorn innards.


Me, myself, find AlJazera, RT and a few others quite refreshing.  Especially Lauren Lister since Liz Clayman offed to Fox.  I couldn't hear a damned thing when she was on either.

(ya'll ever see the pic of her with her legs up at her desk? holy shit!)

Mon, 11/19/2012 - 05:27 | 2995363 Cosimo de Medici
Cosimo de Medici's picture

Can you post the link where RT covered in depth the new Putin anti-treason law?  I can't seem to find it, but sure an outlet as fair and balanced and unbiased as RT would have been all over that story.

Mon, 11/19/2012 - 21:32 | 2997625 BigJim
BigJim's picture

You don't go to Russian MSM for the truth about Russia, just as you wouldn't go to US MSM for the truth about Merka.

Sun, 11/18/2012 - 17:51 | 2994400 AgShaman
AgShaman's picture

Crystal Method....."that's the name of the game"

Good luck finding anything honest in the "investment sector"

Handle your 'bid-ness'....or get "clipped" by somebody looking to "handle" your biz

Sun, 11/18/2012 - 17:52 | 2994401 AgShaman
AgShaman's picture

Double what? iPod pop up junk

Sun, 11/18/2012 - 17:53 | 2994410 QQQBall
QQQBall's picture

Barstow, CA is looks like a photo from the Depression, exept for all the motorized walkers. I was there in the summer and all you would see moving was motorized wheelchairs criss-crossing the street

Sun, 11/18/2012 - 17:55 | 2994417 Seasmoke
Seasmoke's picture

i would not do anything quick with Lauren ......and thats the truth !

Sun, 11/18/2012 - 18:19 | 2994468 ihedgemyhedges
ihedgemyhedges's picture

Of course not, because she would never give you the opportunity..........but keep on dreamin', can't blame you......

Sun, 11/18/2012 - 18:15 | 2994459 dark pools of soros
dark pools of soros's picture

no need to hit play

Sun, 11/18/2012 - 19:27 | 2994597 Stuck on Zero
Stuck on Zero's picture

Fraud provoking culture?  Isn't that what they cultivate in business school? 


Sun, 11/18/2012 - 19:44 | 2994629 Everybodys All ...
Everybodys All American's picture

You're certainly not going to find academia stepping up to change the moral depravity enveloping society. In fact you could make a strong case that they are exactly why we are where we are. I know if I'm looking for answers as to what we need to change the last person I'm going to ask is an academic.

Sun, 11/18/2012 - 19:34 | 2994611 frenchie
frenchie's picture


Sun, 11/18/2012 - 19:43 | 2994626 willwork4food
willwork4food's picture

This post is better than watching some skits of SNL!

Sun, 11/18/2012 - 20:09 | 2994675 Real Estate Geek
Real Estate Geek's picture

As soon as I saw the tiny thumbnail pic and could make out a short skirt, great legs, tight v-neck top, and long hair I KNEW it was this chick. And this is on a laptop, no less!

For a bunch of ex-commies, those Russians sure do market well . . .

Mon, 11/19/2012 - 13:22 | 2996178 Umh
Umh's picture

They always did. They certainly convinced large segemnts of the U.S. society.

Sun, 11/18/2012 - 20:28 | 2994719 Venerability
Venerability's picture

Unintentional Satire again, Tyler?

"America" doesn't have a "short termist" orientation.

But Zero Hedge certainly does.

(What IS still up for debate is if people start practicing a Short Short Short and Short Some More Market and Business style and then turn into misanthropic, nasty, and malicious little buggers . . .

(Or if those who are misanthropic, nasty, and malicious little buggers to begin with are naturally attracted to a Short Short Short and Short Some More Market and Business outlook and practice.

(Which came first, the Fear-Monger or the Fear-Mongering?)



Sun, 11/18/2012 - 20:31 | 2994725 Nobody For President
Nobody For President's picture

You don't get to the good stuff until 2:04 into the video - full screen is best to optimize the profound effect of whatever in the hell they were talking about.

It isn't propaganda if you don't listen, right?

Sun, 11/18/2012 - 20:43 | 2994731 Trichy
Trichy's picture

When a majority of young people think that money comes from a cash machine, what do you expect?

(Couldnt find that survey link anymore, but this one is just as good)

Sun, 11/18/2012 - 20:37 | 2994734 NeedleDickTheBu...
NeedleDickTheBugFucker's picture

Lying and dishonesty has simply become an autonomic function, just like breathing, in the vast majority of the population.

Sun, 11/18/2012 - 21:01 | 2994763 news printer
news printer's picture

It's always good to see Lauren's legs when she asks questions :P

Sun, 11/18/2012 - 21:19 | 2994802 uncle reggie
uncle reggie's picture

Get rich quicker .... by any means, sums up the state of capitalism virtually worldwide. Sorry to all you "free" market diehards but nothing, NOTHING, is "free" especially the markets.

Sun, 11/18/2012 - 22:21 | 2994830 calltoaccount
calltoaccount's picture


The last part of the interview is particuiarly interesting when Ariely postulates that it is short term thinking that motivates the commmission of fraud-- when the actors see it all around them daily-- but only an occasional perp walk or punishment. It's too bad behavioral psychologist Ariely doesn't use his own data to conclude that if actors saw perp walks (and punishment meted out) every single day/week/month ongoing-- they would damn well be very likely to take notice. The absence of the enforcement of legal sanctions for criminal activities only yield more criminal activity-- and a general disollution of the rule of law.  That is exactly what we are now experiencing here in America thanks to the general corruption of the entire system by big money, All those who think Obama (or any establishment pol) have been out there working for the people-- need to understand that the failure to enforce American securities and basic contract laws against acts of massive criminality-- are the root cause of the worlds' worsening financial crisis-- and of all the gruesome in-our-faces crises guaranteed to ensue therefrom.

The main reason those laws have gone unenforced is that the enforcer-in-chief for the past 20 yrs has not seen it his duty to protect the economic security and well being of the American people (and treasury) by demanding enforcement of those laws.  Period.  End of story.  If the buck doesn't stop somewhere, its open season on the buck--   which is exactly what we have now-- and can only lead to disaster.



Sun, 11/18/2012 - 23:20 | 2994990 Orly
Orly's picture

"The main reason those laws have gone unenforced is that the enforcer-in-chief for the past 20 yrs has not seen it his duty to protect the economic security and well being of the American people (and treasury) by demanding enforcement of those laws."


The enforcer-in-chief is a big part of the scam.

Sun, 11/18/2012 - 21:35 | 2994832 Fix It Again Timmy
Fix It Again Timmy's picture

"Hmmm, Is she Sharon Stoneing?"  Oh, the article, yeah the article, ah, I totally agree.... "Hmm, I wonder?".....

Sun, 11/18/2012 - 21:39 | 2994839 Never One Roach
Never One Roach's picture

This 'short term focus' is rampant in some areas of the country in RE. Flippers do not care about the community, only a quick profit. Same with neighborhoods where corporations have bought up houses for rental investments. These neighborhoods quickly deteriorate since renters are not as involved with long term concerns of the neighborhood as a home owner is. The renter has no stake in the house or the community.

One solution is a 15% tax on houses sold within one year of purchase. Another is to tax rental property higher then own-occupied houses. This would help stabilize house prices long term.

Sun, 11/18/2012 - 21:41 | 2994842 loveyajimbo
loveyajimbo's picture

Until the crooks are prosecuted... which is unlikely given the corrupt scumbags Holder, Shapiro, Gensler, Obungo... OR the scum are dragged from their offices and hung from the lamp posts... this will be an ongoing adventure.  I do not condone violence, but am quick to forgive those that give in to it!

Mon, 11/19/2012 - 06:55 | 2995005 williambanzai7
williambanzai7's picture

I have concluded that it doesn't matter whether the preferred Investment flavor is short or long term.

No matter what you do, the conmen will incorporate it into their routine and continue conducting business as usual.

The truth is Wall Street as always been a magnet for highly skilled swindlers. I wouldn't say high IQ, since this current debacle has demonstrated that idiots can make a fortune merely by aping others.

Mon, 11/19/2012 - 15:52 | 2996667 willwork4food
willwork4food's picture

What does this have to do with the hottie? Oh, you're referring to the article.

my bad.

Mon, 11/19/2012 - 00:40 | 2995121 MedicalQuack
MedicalQuack's picture

This has been going on for years.  It's all about code and formulas.  United Healthcare is one example as for 15 years they paid doctors and hospitals short..15 years..and then the other insurers, Blue Cross, Heatlhet and most of the rest of them licensed their formulas so they made money both ways around. The AMA settled the lawsuit and Andrew Cuomo gets the credit here for finally calling them on their Killer Algorithms as nobody back then had enough technology to dispute and prove what was happening.  They made a ton of money this way and doctors, hospitals and patients were short changed.  There's still a bunch of lawsuits out there in addition to the big grand daddy one mentioned here.  Again 15 years...that's how long it went on.  This is a great example of creating "shareholder value" at the expense of others.  Now they are so huge and just bought the biggest HMO in Brazil you can't keep track of all thier subsidiaires and yes they own a bank too.  This has to be one of the most glaring examples that gets over looked.  Their IT company, Ingenix ended up changing it's name over this as that what they did was analyze and cut costs.

Allscripts too was interesting in the fact that they over sold the marketing and there was too much code and not enough time to do it all, as I keep telling everyone "the short order code kitchen burned down a few years ago".  They are back getting help from Microsoft on the code who knows maybe the new GE/Microsoft company, Caradigm might have an interest.  At any rate it would be thier best shot for using the technologies but I understand other things have to come in here too.  It's very complex out there so things don't get built wiht code overnight anymore.  In the early days, it was easier as you had nothing for a product and created one, no so today with aggregation of data and all being on the web instead of private silos.

So those are a couple examples but you end up with Algo Duping 101 with formulas created for "desired" results and where accuracy kind of takes the back seat.  $videos here tell the story on this and they each offer their sectors here.

Now if you want to delve deeper here, and I found this interesting, PLOS One, the journal just published a complete study on how the public's fear of math makes them hurt..yup you read this correctly and it was all scientifically measured with MRIs, etc.  Of course the folks on Wall Street have never felt this pain or got over it many years ago while everyone else got duped with the "math virus" causing such pain...but it sure looks that way.  Writing code made me learn to like math so it's not inherited all the time either, but it's what's happening out there.

There's also another study on PLOS One where they talk about jerking around the "P Factor" so spin it and make something that doesn't meet the values, all of a sudden carrry a P Factor value too, so it's been going on for such a very very long time.  People cheat with code and algorithms when there's billiosn to be made. 

Mon, 11/19/2012 - 09:23 | 2995493 Umh
Umh's picture

Mass delusion or self delusion or is thinking just to much work?

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