Thank you to Larry Kudlow for straightening us out.

He’s finally gotten to the bottom of it, establishing the source of our economic instability. We were mistaken, when we thought it might be,

• oil at $125 a barrel, gas prices rising to over $4 a gallon;
• a plummeting dollar;
• food prices skyrocketing, worldwide starvation, riots;
• 12 billion dollars a week spent on a War that no one wants;
• a U.S. economy kept afloat by foreign investors, our distressed corporate and financial assets purchased by anonymous sovereign wealth funds;
• actions of the Treasury/Fed/Investment Banking systematically destroy trillions in economic value;
• foreclosures at record levels, housing market continues to contract…

Sure, 80% of Americans have lower relative household income than they did in 1973, but those folks are not Larry’s cup of tea. He’s a market guy.

Larry knows the real source of our dilemma. You see, he was an advisor to Ronald Reagan. He is the staunch supply-sider, the resident expert on tinkle - down economic theory. He knows our real problem is the mere possibility, the mere spectre of …Barack Obama.

Larry describes the Obama administration’s enormous tax increases, bloated social programs, no-growth economy. But there’s a problem, Larry…we remember election rhetoric. We remember, “read my lips, no more new taxes.”

So, thanks anyway, Larry. You serve an important purpose for us - clarity. When we want to identify the problem, we look to you.

Thanks for the 411, Larry.
Equal Time/ Lies, Damn Lies, and Statistics

I’m driving down the road, and I’m listening to one of the female funditz on conservative talk. Fortunately, I’ve missed a good portion of it, but interspersed with the riveting reports on the sexual exploits of yet another politico, we have the results of a psychological survey…conservatives are happier than liberals, have more satisfaction, and more sex. How do we know? They say so.

If you haven’t guessed, there are a number of inherent problems in such a survey.

First of all, you’re assuming that respondents are telling the truth. Perhaps liberals are just more honest, more introspective. Perhaps liberals are less concerned about the “right answer.” Maybe they have a capacity for compassion that conservatives lack? Their experience of happiness might have a broader, societal definition. Maybe conservatives lack a depth of feeling, affecting their ability to determine what happiness is.

Maybe they’re just confusing comfort, with happiness.

As far as the sex part goes, it only makes sense. They’ve been screwing America for almost 8 years now.

There’s a great amount of research being done on the emotional and psychological impact that money has in our lives. Any day now, Barnes & Noble will announce their “Money & Happiness” section. We’ll see the different ways that we are affected, but first let’s get some basic facts out of the way.
Investor psychology

Psychology affects investor returns, more than any other factor. Studies have shown that
losing a dollar bothers us 2.5 times as much as
making a dollar.

It’s the reason that during a five - year run, when the market averaged 12.5%, the average investor earned only 2.5%. Why? Buying high (comfort) vs. selling low (fear).

Brain Damage study

A recent study evaluated individuals with a certain kind of brain damage. Affected was the portion
of their brain that experienced fear. This study determined that these individuals made far better investors than those without this damage. They didn’t make decisions based on fear, or comfort…their feelings were effectively taken out of the equation.

But there are things that we don’t see about value and money. Here’s a cross-section of scenarios.

The thought that counts…

I always thought that perfume, or a nice piece of jewelry, would make my wife happy on that special occasion. I was wrong. One year I finally got it, and bought her 10 greeting cards for her birthday, each special in a different way. The value was in the meaning, not the money.

A friend indeed…

I recently made the mistake of offering money to a friend who’d helped me move my office. It was a brutal day, and I felt guilty. But I offended him. He did this out of friendship.
I reduced it to a cash transaction. I should have just told him how much I appreciated it, and that he could always count on me. The value was his friendship.

Attachment…

I went to the theater not long ago, and realized that I had lost the tickets. Very frustrated, I couldn’t
bring myself to buy additional seats to the show. Now, I’ve lost $100 before (and more), but I was attached to those tickets. It’s the same mindset that causes investors to hold onto losing stocks, and throw good money after bad in casinos.

An Experiment

A study asked participants to do a simple task - drag a circle across a computer screen as many times as they could in five minutes (Heyman & Ariely, 2004). The experiment compared three different groups in which the payment for this mind-numbing task was as follows:

1. Given $5 for participating

2. Given 50 cents for participating

3. Asked to participate ‘as a favor’

Professors Heyman and Ariely wanted to determine whether money would be a motivator, and it was. The participants who were paid $5 averaged 159 circles, while those
paid 50 cents, averaged 101 circles.

The interesting result comes with those who were asked to participate ‘as a favor.’ This group dragged an average of 168 circles into the box. That means the group asked to participate as a favor did more ‘work’ than those paid $5.

Why?

Obviously, different rules apply, depending on whether people are trading in hard currency - or in friendships, trust, or other social connections.

What does this tell us? How can we apply this information?

Recently, I interviewed Milt Moskowitz, who developed the concept of the 100 Best Companies to Work For, over 30 years ago. This list is published in Fortune Magazine each year.

The survey used to develop this list is comprehensive, and measures employee satisfaction on a number of levels.

Now, were these employees paid more? No.

Better benefits packages? Not necessarily.

There was a difference in the relationship. Employees felt valued.

According to survey responses, treatment of these employees was different. There was more effective communication with management and employees were included in the decision-making process on a number of levels.

What does this mean to us?

An investment in these companies has outperformed the S&P 500 by 300%!

A recent example in the extreme was a young man who listed his “soul” on eBay.
The buyer was a priest who was touched by the young man’s plight. The young man thought he had a buyer (the Devil), but was considering other offers.

There is a serious point that I want to make about all this. It’s the most important point that we can make about money.

The entire issue is contained in the difference between value and purpose. Value is subjective ex. the price of real estate, gold, diamonds, currencies, clothing. Analysis of companies - price-earnings ratios, product pipeline, competitive advantages, market share – those are value issues.

When you consider purpose, you evaluate companies based on their broad footprint. Those companies that consider their environmental impact, promote human rights, animal welfare, corporate transparency, fair workplace practices; that fight discrimination, and are in partnership with their employees, shareholders and stakeholders, are purpose-driven. Purpose is never subjective. It is the essence of social investment - profit and principle.

The one-dimensional view of money, the “how much”, considers only profits. It is what allows companies to do end-runs around product safety, tolerates deceptive lending practices, allows lead-based paint in toys. The three-dimensional view brings in the interests of the consumer, the borrower, protects the children. If this seems simplistic to you, please explain to me why these issues are not dealt with - why campaigns are run on these platforms, and have been for years, and yet the problems persist.

The measure of how little progress we have made, is easily illustrated. Over 90% of every investment dollar is in an unscreened portfolio. Over 82% of the entire S&P 500 violates one or more principles of social conscience.

Warren Buffett, a legendary investor in the long history of Wall Street, knows value. So much so, that he is presently the richest man in the America, with a net worth of $62 billion. He sure can create value for his investors.

But Berkshire Hathaway is the largest stockholder in PetroChina, the engine behind the genocide in the Sudan. When asked about this, Mr. Buffett says that it is not his business to tell the government of China what to do. Mr. Buffett is not purpose-driven.

In my role as an advisor, I’ve seen the disconnect between value and purpose. Value dictates that in times of War, we invest in weapons manufacturers, oil companies. Value taught me that “War is good for the Economy”, and old Wall Street adage. Purpose precludes this. The lack of transparency in mutual funds, allows protesters to march on Washington, while owning Halliburton.

There are many angles from which to view the same disconnect. Every morning, I maneuver around 100 foot cranes, as New York City is bulldozed to make way for hotels and high rises. But affordable housing disappears, our leaders veto funds to shore up our crumbling bridges and tunnels, we have a third world education system, and we stand by as the Administration spends $12 billion a month on the War effort, mortgaging America’s future. The disconnect.

I’m not sure that the Dutch obsession with Tulips allowed the deterioration of their infrastructure, or put that little Dutch boy in the position of plugging that dyke –

-but it makes sense to me.

Our current crisis of confidence is all about the perception of value. This manifests itself in a number of ways.

We agree (assume) that the rarer something is, the more valuable it is. Diamonds, postage stamps printed upside down, limited edition cars. It’s not that these things function any better, or at all, for that matter – it’s that there are so damn few of them. Perception. Scarcity = value. For some reason endangered species don’t work this way.

In business, however, this works well…believe me. In my former life (sales), I learned that there was nothing better than a closeout offer. People would line up for used cat litter if it were a limited time offer. The same perceptions move people to sleep overnight, in freezing temperatures, for the latest version of the Xbox. It’s the exclusivity factor. And it’s all perception.

Which brings me to the subject of tulips and Holland. There are similarities to our current value enigma that are worth examining.

At the beginning of the 17th Century, a rare new exotic flower was introduced and soon became popular with the elite of Holland. Why tulips became a fad, I’ll leave that for the tipping point experts. But soon the prices seen for even ordinary tulip bulbs were skyrocketing. It was not unusual for bulbs to range in price from $2,000- $3,000 (today’s dollars). The perception of value had begun working its magic – and before you knew it, you’ve got tulip inflation.

Eventually, the extreme was reached. Bulbs were considered too valuable to plant, but were just displayed – unflowered, certainly unattractive…but still perceived very valuable.

Not surprisingly, bulb trading became the rage. Bulb traders were making (Are you seated?) over 60K per month in today’s dollars.

But these were simpler times. There were no bulb mutual funds. Tulip derivative strategies never came into play. There were no tulip options, or tulip futures ( I could be wrong about this ). No tulip default swaps, and no one developed a tulip volatility index. Things were simpler.

Finally, the bulb bubble burst. All it took was one buyer who didn’t show, and who reneged on the deal. Panic spread, and prices plunged. (There were no bailouts in those days.)

So let’s look at this more closely. Was it really the one buyer? Probably not. We know that the perception of tulip value did change very quickly, though.

Perhaps it was that the Dutch woke up one day and realized a sobering bit of information (a tulip is a flower) and because of that critical change in perceived value, the Dutch financial system very quickly disintegrated, which brought on economic chaos that lasted 100 years. No kidding.

Fortunately, there has never been another instance of flower mania in the 400 plus years since the great Dutch debacle. I’m almost certain that hedge funds have no origin in gardening.

So, there are many kinds of flowers…also diamonds, real estate, and investment banks. Each has a perceived value. We lose sight of the perceived value lesson until Bear Stearns reminds us. If there is no market for its assets, even a leading investment bank can be almost worthless overnight.

As we speak, the White Knights ride to the rescue, in the persons of Chairman Bernanke, and his merry band of Federal Reserve Board Governors. Don’t get me wrong – the Fed response to Bear Stearns’ imminent bankruptcy was completely necessary. The domino effect brought on by a disappearance of investor confidence would have been devastating.

But what is happening now warrants scrutiny. We are seeing a proposal that includes a complete overhaul to the system of checks and balances, a total revision of supervision. The Fed discount window, a source of ready capital to commercial banks, becomes a fallback position to the investment bankers. It is a profound change.

Chairman Bernanke’s testimony on Capital Hill was more like a pitch, missing only a PowerPoint presentation and a laser pointer. The questions from the committee were contentious, from Senator Kennedy, from others. True the Fed Chairman clearly identified his function as independent of any accountability to the American people. Still, I have a hard time envisioning former Chairman Greenspan being cross-examined in this way. Things have clearly changed.

With a sales team that includes Treasury Secretary Paulson, the Fed’s presentation is likely to be well received. The markets may recover, buoyed by additional resources.

This may very well turn out to be our White Knights, digging our economy out of the hole we’re in, or it may ultimately be The Four Horseman of the Apocalypse, preparing a hole suitable for our eventual demise.

Tulips might be nice.

Tulips, Part II to follow

I know for certain that government can work, that government can be efficient, responsive and effective. I’ll say that again for those of you who may think you didn’t quite hear that quite right. Government can work. I’ve seen it happen.

Sure, we have memories of FEMA’s lightning-quick response to the disaster in the Gulf Coast, but that was the Bush administration. I’m talking about government.

Now, I live in the great State of New Jersey, the Garden State. We have much to be proud of and much work yet to be done, of course. We can point to a history marred by political corruption. We have the well traveled jokes about the scenic drive down the New Jersey Turnpike. Recently, we had a Governor who came out of the closet. But throughout, we knew that this great state could withstand any scandal, could take on any challenge.

…but then of course, there was the New Jersey Department of Motor Vehicles.

Everyone who lives in New Jersey knows that you could find your way out of a black hole faster than dealing with the New Jersey DMV. It was a life changing experience. To get a jump on this marathon, people would sleep in their cars outside the agency, like it’s the pending release of the latest version of Xbox, or the final episode of Star Wars.

First, you’d enter - that is if the line was not out the door and down the block (it usually was). You didn’t know it yet, but you were on something called the information line. Here, you’d find out what endless line you really needed to be on.

There was some initial indication as to how long this process would take. The coffee truck outside was a clue. There were some folks who’d had breakfast and were back for lunch. And if you’re aware of the level of cuisine usually available here, you’ll understand what I mean when I tell you that this was the highlight, the best thing about this experience.

Renewing your license or registration, took anywhere from 3-4 hours. Picture licenses, even longer, and felt like a booking. Sometimes I envisioned myself channeling Tom Hanks in Castaway. This could bring you to your knees in prayer.

So you can understand my awestruck reaction, and how I know that anything is possible. Anything. Any horribly inefficient business, any misguided, mismanaged mangled bureaucracy can be made streamlined, customer friendly. I’m sure of this, because they fixed the New Jersey DMV.

Though in shock, here is my best recollection of how it went.

First of all, there was no line outside the same familiar building. I asked someone if this location had been closed. They said no. I walked inside, then outside to check the address. Yes, it was the Lodi, New Jersey Department of Motor Vehicles. I looked for the information line. There was none. There was, however an information desk. It took fully five minutes for me to make sure I was in the right place.

I never sat down, never experienced how uncomfortable plastic can be. I went straight to the counter, where the apathetic service agents had somehow been replaced by helpful, almost kind people. Understand this - previously you could risk your life asking for a pen in this place.

The whole process, including my initial disorientation, and effusive expression of gratitude, took 20 minutes. For someone who’d felt like a prisoner of War, it was a surreal experience.

So, If I move away, I’m still coming back to visit. When I can no longer drive, I’ll still come back. It’ll be like a pilgrimage.

Its given me a renewed sense of optimism, of confidence. Sure, we have a third-world education system, crumbling bridges and tunnels. Health care is a shambles, financial institutions are imploding. Yes, these are big problems. But we now know that we can do anything.

Forget cold fusion, forget perpetual motion. Forget the miracle of Hannukah.

We fixed the NJ Department of Motor Vehicles.

Albert Einstein
Maybe it’s time to shake the cobwebs out, order another espresso (make it a double), and get to work. Historic changes are occurring right before our eyes.

Last week, the Federal Reserve Bank in an unprecedented move, offered JP Morgan a $30 billion credit line, to allow the investment banking firm to take over Bear Stearns, which had become insolvent almost overnight. The precedent established is something few of us can fully appreciate.

But in connection with this situation is a development with even more serious implications. The Fed “discount window” which previously provided liquidity only under extraordinary circumstances, and only to commercial banks, would now be made available to investment banks.

The Fed action in the JP Morgan/Bear Stearns deal, and others that will undoubtedly follow was probably necessary to head off a meltdown in the financial community. But a permanent policy change allowing the Federal Reserve to provide liquidity to these largely unregulated firms, well, that’s another story. It appears that this action is being considered an opportunity. These and other changes require our immediate attention.

Yes, immediate. As we speak, a battle for control and direction is developing. The Senate, as well as the Treasury Department, scrambles to propose legislation to reform a system no longer capable of dealing with financial services firms that cannot be restrained. This is what makes the recent Fed actions/bailouts alarming. It tells us what the next dropped shoe is likely to look like.

Recent related developments point in a similar direction:

• The infusion of capital by anonymous Sovereign Wealth Funds to Merrill Lynch, Citigroup, Morgan Stanley, and others. Potentially, the United Arab Emirates port security issue pales by comparison. It is fortunate that the general public doesn’t understand the implications of this.
• The AAA rating enjoyed by AMBAC and MBIA, insurers of municipal credit, are in jeopardy, compromised by liquidity issues. In essence, buyers of AAA rated tax-free bonds pay for coverage that is not really there.
• The Port Authority of New York and New Jersey struggle to find liquidity, unable to sell financial instruments they assumed would always have a market. Bridge and tunnel fares increase almost immediately.
• Treasury Secretary Paulson questions whether investors can rely on rating agencies. Lip service is given to corporate responsibility.
• On Thursday, Standard & Poors, a leading ratings agency, signals the “end in sight” to bad loan write-downs by firms.

Friday morning, the Fed steps in with a $30 billion line of credit to JP Morgan Chase, and the news of a virtually bankrupt Bear Stearns, a $2 a share buyout, rocks the markets.

So,

…..the decision will be made to create a completely new governance system, or put increased power in the hands of The Fed. The latter could prove to be disastrous.

And,

Using Al’s definition (Einstein, not Greenspan) we cannot ensure the responsible governance of our financial institutions, with what is already in place. That would be The Federal Reserve.

A lot can be learned by browsing the Fed website http://www.federalreserve.gov/

“Seven-member board that supervises the banking system by issuing regulations controlling bank holding companies and federal laws over the banking industry. It also controls and oversees the US monetary system and credit supply.”

…Its members are appointed by the President subject to Senate confirmation, and serve 14-year terms…

“The federal agency with rule-writing authority for the Truth in Lending Act, of which the Consumer Lending Act is part…

On the Federal Reserve site I also found the transcript of a recent speech made by Federal Reserve Governor Randall S. Kroszner at the American Bankers Association Spring Summit Meeting, Washington, D.C. March 11, 2008.

I’ve taken excerpts that I felt were important. There’s a lot more. Let me make this disclosure. I recognize that an address to the banking community might reflect a different, less confrontational tone. Nonetheless there are some telling comments.

“….in other words, it is good to have a few people within the institution (bank) who–to paraphrase a former Federal Reserve Chairman–know when to take away the punch bowl. Being the party pooper, however, can be very difficult in any organization…

“….Naturally, in very large organizations it is difficult for senior management to monitor each individual, so incentives need to be consistent, permeate even the lowest levels of the organization, and remind each individual that his or her risk-taking affects the whole enterprise.”

In other words:

Banks only need a few employees who are responsible fiduciaries. Whistleblowers, I imagine. All others, of course,“drink from the punchbowl”, getting drunk on profits, until something happens, or until they’re disciplined.

And:

This was not the fault of management, but of a system too large, too difficult to manage.

We would expect the support of business, the protection of corporate interests at all costs, in many places. We always assumed that the Federal Reserve would not appear on this list.

But this is not your Grandpa’s Federal Reserve…

The Motley Fool, the stockpicker / online blogger, is running a green investing series in advance of Earth Day on April 22. The MF perspective re: green investing focuses on long-term shareholder value, but so be it. Pretty one-dimensional, but we get a habitable planet in the process.

The companies that Motley Fool highlights boggle the noodle, though. Some of these companies, held up as progressive, have a checkered eco-past, some have troubling human rights records.

The Motley Fool articles applaud Coca-Cola (NYSE: KO) and its recycling campaigns, General Electric’s (NYSE: GE) Ecomagination cornerstones, and Disney’s (NYSE: DIS) environmental policies.

But Coke has a history of international anti-union activities including murders of union officials in Colombia; see http://www.killercoke.com/ or this Businessweek article

Applauding GE for its Ecomagination campaign shows how little MF knows about GE’s eco-history. From 1947 to 1977 General Electric dumped 1.3 million pounds PCB’s from our river into the Hudson. These PCB’s are found in the river, in fish and in us. Riverkeeper article

If you’ve seen the commercials GE runs about their portable ultrasound equipment and the difference that this is making in developing nations you’d applaud. But if you realized that one of the ways these units are used is to abort female fetuses, you’d be horrified. Washington Post article

Disney’s checkered labor history includes violations of Chinese labor laws. Workers making Disney toys work 15 hours a day. 28 days a month. To read more about Disney’s labor history, here and abroad: Disney’s labor history and Disney in China

For whatever reason, our eco-awareness is on red alert- but all the issues we deal with in reforming, transforming and supporting corporate conscience demand our attention……

Onward and upward!

This is a statement, but not about Al Gore, although his decades - long commitment to the issues of global warming are finally being properly recognized. It is a statement about what this issue is really about. Perhaps you did not notice that this is a Peace prize. Not a scientific prize, but a peace prize. If you understand why -why a Peace Prize- you gain an important perspective.

The explanation by the Nobel Committee regarding this award was simple, and perhaps flew under the radar of many. Paraphrasing, they suggested that global warming will lead to shortages of resources, and those shortages will lead to migration of peoples, and also to conflicts over resources. Like War, for example.

Watching George Bush at his recent press conference, you had the understanding that this is a Man who sees War as an option, and that, more than anything else, is why this Administration must be replaced, and quickly.

Resources. This is what the Iraq War is really about. Control of Energy, and the power and wealth that comes with it. The mandate is the need for energy that is not a finite commodity, that cannot be owned, manipulated, and marketed. We have other obvious options. We have always had these. Wind, water, sun, and geothermal.

The problems are beginning to surface. This is what the critical problems of water shortages are really all about. It was less important to us when this catastrophe was the issue of Africa, and China. Those, of course, are really not our people. We talk about a global economy, but we implement a global marketing opportunity.

Now we have 90 days of water left in Georgia, we can predict the same in Phoenix, Arizona, and Las Vegas, Nevada. The expression that says this is best is “ there is no such thing as “there”.

And as we grow energy, as the World experiences a population explosion, food becomes an issue. Investments in agriculture have risen remarkably this year. The Earth becomes our salvation.

And, as we are issued the ultimate challenge, I turn it into the ultimate tagline. Understand the problem. Invest in the solution.

This week, in discussing the merits of nuclear energy, the lessons of Hiroshima and Nagasaki were raised in protest of that effort. It was suggested by one, that the destruction of those Japanese cities brought peace. I do not see it that way. This horrific act brought silence, not peace. In the same way that our decision to wage War in the aftermathof to the September 11th attacks was to wage War, the dangers of nuclear energy bring us no closer to who we can become, to the end of War, to true World peace.

So congratulations to the Nobel Committee for seeing this, and to President Gore. It is sometimes difficult to see change, because it happens so slowly. This is something that we can all see.

The message in the movie…

I have known for some time that there are powerful messages in movies, that they touch people more than any other medium. Perhaps it is that the freedom, the creativity releases messages, from a deeper place, a place of truth. Corporate executives and politicians don’t often live in that place.

The movie message for today, is that of The Fifth Element. You must look past some of the content, to the essence, the moral, for want of a better description. The search for the stones that represent the four elements, wind water, earth and fire. The higher power, the Fifth Element comes, and saves the earth from destruction. It is the metaphor that you may have missed.

We have been given everything we need to save this planet from what appears to be inevitable destruction. The wind, and the power it can generate, the heat of the sun, a source of food, and solar energy. Water, our primary component part, (the label says that we are 97% water) brings with it hydroelectric power. And finally the Earth, and the geothermal energy it holds.

And so, to me two things become clear. We have all this. It has been waiting for us. Waiting for our emergence. Waiting for a united world where greed and power have no place. We have been looking for the answer in all the wrong places.

You see, we are the Fifth Element.

I think I’ve got the answer.

Do you remember the story of “It’s a Wonderful Life”? The story of George Bailey, and his “wonderful old Building and Loan”? It’s a story about community, about values, about what is really important in our lives.

Why has this movie become a classic? Why do we watch it over and over again, every holiday season? Not surprisingly, it was panned by the critics when it first came out- they didn’t get it.

It is the story of a man, and his connection to the people of a small town. It is also the story of a building and loan, run on trust, built on trust. No collateral, no credit history, no FICO scores. You see, the community was the Building and Loan, and the Building and Loan was the community.

And when the time came, when George Bailey was in trouble, they came to his rescue…. passed the hat, and saved the Building and Loan. They told stories of what George had meant to them, what he had done for them. They were his family.

How different everything is now. We have small towns, but no “small town” values. We will stand by as millions of people lose their homes in the coming years, while banks and financial institutions get bailouts.

So, I had an idea.

We get our legislators together. They, supposedly are responsible for protecting our citizens - not credit card companies, not banks, not hedge funds, but the people of America.

And as they watch this story, over and over again, as many times as necessary, they will begin to get it. They will get that what is missing in their lives is that connection, to the people who they represent. It is the lesson that Bedford Falls has for them.

Now, before you write this off as the ranting of a lunatic, consider this - “An Inconvenient Truth”, is a movie. If you doubt its impact on our society, open up any newspaper, any magazine, any TV channel, any day. The Green movement is everywhere. Did it start with this movie? Of course not. But it became part of our experience because we are now connected - we have seen it. It cannot then, be forgotten.

In the event that you think that this is an isolated example, consider that the fast food industry has not been the same since “Supersize Me”, Morgan Spurlock’s expose’. McDonald’s has completely changed their menus, added healthy options, no transfats….and they are more profitable than ever.

Michael Moore’s “Sicko” hopefully does the same for the healthcare industry. Those images are going to stay with us, the knowledge that Cuba’s quality of healthcare is so superior to ours. We know that money is not invested in the service, it is paid to the providers… to all the partners, the drug companies, HMO’s the medical community, the managed care agencies, and nursing home facilities.

Perhaps “Sicko” does more to move us toward socialized medicine than Hillary Clinton could, because we felt it, we saw it. It wasn’t the words of a politician.

So, turnabout is fairplay. We, at the mercy of the marketing machine, will we use technology, and take back our power. Pick your passion. Don’t march in protest- pick up a camera, start a blog. Technology is power.

We’ve got so much to do.

Lights… Camera….Roll ‘em

It is obvious to all of us, that we have major threats we must deal with.

We can no longer allow refuge to the rest of the world. We must patrol our borders, ensure our safety, and our security.

No one is beyond scrutiny, there is too much at stake-and so I call for an investigation of what may be the most dangerous threat yet uncovered to our economic stability. I call for a thorough investigation of Santa Claus, and his North Pole operations.

Lets look at some of the factors to consider.

First of all, do we really know who this man is and where he comes from? He has no known documentation. We know he has at least one alias, and what kind of name is Kris Kringle, anyway?

We know that he employs tiny people in frozen conditions in his sweatshop factory in the North Pole. We know that there have been serious questions of animal cruelty, that exhausted reindeer have been reported.

This is a strange man, a man listed in the Guinness Book of Records for breaking and entering. He has been known to keep cryptic lists, filled with personal attacks and judgments on what he considers good or bad behavior.

He has single-handedly affected the package delivery industry….and, of course, we question where these toys originate.

There has been a history of inappropriate behavior. Children have reported seeing Mommy kissing Santa Claus, grandmothers run over by out of control reindeer. I won’t even comment on what the children on his lap business could really be about.

What I do know is this….. his behavior cannot be tolerated. We must out…Santa Claus!

So this year, when you tuck your children into bed, tell them the truth. Tell them the truth about where their toys come from. Not from a jolly fat man with a sleigh, but off the shelves of the local Walmart. Tell them that the toy truck was made, not by elves held in bondage at the North Pole, but by Chinese workers, working 18 hour days, earning 19 cents an hour.

And this year, as your chestnuts roast, remember this. There is a world outside your window where there are no stockings hung with care. No Christmas turkeys, no joy-filled Christmas mornings. That we strain to think of what we do not already have, should tell us something. It should tell us that there is so much to do.

Merry Christmas, America.