pan6467

I don't exactly count cult of personalities CEO's. Oprah just took over what Phil Donahue did, and because of her sex and perhaps race (oops did I go there) she became an entity made by her own PR... much like the Beatles. People looked to her for advice, a movement of some form in culture. She provided that.

I truly do not believe she is as powerful as people or the press portray her to be.

Once upon a time Michael Jackson had more money than God also.....

He also came from a generation where education was well funded and valued by the government and citizenry.

Have no idea, can't comment on it.

That was in the 80's.... look around today and tell me we have that going on now.

Look plain and simple.... say I own a widget company.... my widgets are better, last longer, are more reliable, easier to fix than my competition's. However, I have to pay higher wages for better workers, so my product costs more.

Now, people can afford my product, but they want to also make money last longer so even though my competitions widgets only last half as long, people buy them.

But my saving grace is my employees. I pay them enough to buy my widgets and they pass on to their friends the value of having my widget for twice as long, and how it is easier to maintain.

But, then I decide I need to cut prices, but in order to do so I need to layoff people and pay less..... well those I laid off are pissed and hurt and buy my competition 's product to get back at me, their friends do the same and I start losing even more business.

So I cut more jobs and lower wages again..... but as I'm doing that my competition went overseas for very cheap labor, upgraded their technology to equal mine.... and now there are no advantages. No matter what I pay my workers my competition can pay less.

The communities that needed my workers and my factories taxes to keep education up.... are now broke and education decreases to bare minimum.... and I can't upgrade my own company now because there isn't anyone truly able to keep up technologically with the competition.

My widgets start becoming obsolete and I have to go from being a great paying, good benefits employer to being someone who pays workers barely enough to survive....

But the saving grace for me is in the process of lowering wages, firing people, destroying the communities, destroying the educations, ruining area economies.... I get huge paychecks and raises and bonuses for "saving the company".

That's where America stands today...... and thus the richer will get richer and the poor will get poorer.


As for Yakk:

That's how it worked at one time.... but now Bob may not be in business for 10 years, so you really can't count on his credit.... if Bob defaults, then Charlie defaults, then Alice defaults and Doug.... till eventually everyone defaults....

And if "Bob" is a bank and someone defaults and he needs the money to pay the interests and CDs and honor his accounts and can't.... then you are truly fucked... cause he needs to find help fast.... if he forecloses and calls in the loans he gave, but still can't honor his own debt..... game over.

But in the above example you gave, I don't see how "Bob" could have been the bank.

What you are describing is a beautiful and intricate domino design.... unfortunately what you fail to show is the effect of the first domino falling will have on the last domino.

It's like saying ok, my widget company needs a loan, I am worth a million, so I borrow against my worth now from you. You go to Ace, tell him you need some cash.... Ace says "ok, you have Pan's note and your own so ok."

I default. the collaterol you had of mine that you used is now worthless... Ace comes to you, says, "um Yakk, I see Pan went under, I need to see more collaterol from you now."

You don't have enough to cover your loan.... Ace forecloses on you.

The person financing Ace, says, "Ace where's my money?" Ace can't raise it, he defaults.... and so on and so on.

Look at the rate of bankruptcies, foreclosures and credit writeoffs the past 10 years.... see which way the trend is going.

We're mortgaged out, no savings, creditally maxxed out and living on a bubble and someone has a needle waiting to pop it..... when that happens..... we're all done, rich, poor, capitalist, communist, EVERYONE, except the person or group holding the titles to everything.

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I just love people who use the excuse "I use/do this because I LOVE the feeling/joy/happiness it brings me" and expect you to be ok with that as you watch them destroy their life blindly following. My response is, "I like to put forks in an eletrical socket, just LOVE that feeling, can't ever get enough of it, so will you let me put this copper fork in that electric socket?"