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B. Jeffrey Madoff

B. Jeffrey Madoff

Posted: March 16, 2009 01:11 PM

American Idle

What's Your Reaction:

"I know this has gotten out of hand. I've got to do something about it," said the man who weighed 1000 pounds.

I watched the show in amazement -- not because of the side show nature of it, but the extraordinary statement by the subject: "I know this has gotten out of hand." You didn't think it had gotten out of hand at 300 or 500 or 700 pounds? You had to get to 1000 pounds, unable to get out of bed or through the doorway until the idea of, "I've got to do something about it," occurred to you? He seemed surprised, like it happened so fast. It didn't. It's just that he refused to notice and kept stuffing himself -- until it couldn't be ignored.

As I watched, I wasn't thinking of him as him. I was thinking about how enormous a problem has to get before anyone takes action. Prevention is smart and relatively inexpensive but it's hard to get people to pay attention to something that hasn't happened yet. For many years, people were happy and didn't ask questions about Bernard Madoff's fantasy world until it crashed. Excessive bonuses were given to "the best and the brightest" as the companies they captained fell into financial sinkholes. Indiscriminately granting loans then selling toxic debt made people a fortune until its inevitable collapse took major financial institutions, minor home owners and our economy with it. We remain idle until we had no choice.

"I know this has gotten out of hand":

The jobless rate has exceeded 600,000 for three straight months, the first time that's happened since collection of the data began in 1939. Unemployment is at its highest point in 27 years.
The Federal Reserve reported on March 12th that households lost $5.1 trillion, about 9 percent of their wealth in the last three months of 2008. This was the largest single quarter decline in the 57-year history of recordkeeping by the central bank.

Even the Chinese Prime Minister, Wen Jiabao, is worried about the security of its $1 trillion dollar investment in American government debt.

Health care costs are far higher in the United States than in any other industrialized nation, whether measured in total dollars spent, as a percentage of the economy, or on a per capita basis.

The American health care system lags behind other sectors of the economy, and behind foreign medical systems, in adopting computers, electronic health records and information-sharing technologies that can greatly increase productivity.

According to the McKinsey Global Institute, the United States spends $480 billion more each year on medical costs compared to Western European nations that have universal health insurance coverage. The costs are mainly associated with excess administrative costs, inflated prices and poorer quality of care. Although there is no agreement on a solution, experts agree that our health care system is grossly inefficient. These problems significantly increase the cost of medical care and health insurance for employers, workers and affect the financial security of families.

A recent study by Harvard University found that 50 percent of all bankruptcy filings were partly the result of medical expenses. Losing one's home is not just about the subprime mortgage fiasco; approximately 1.5 million families lose their homes to foreclosure every year due to unaffordable medical costs.

Health costs here have been rising significantly faster than the overall economy or personal incomes for more than 40 years. Total spending was $2.4 trillion in 2007, or $7900 per person.
What does all that money buy us? The United States ranks 37th in the World Health Organization's quality index and 29th in life expectancy of industrialized countries.

What about our schools, the place where our future leaders in science, business and government will be coming from? The United States ranks 9th in adult literacy, 12th in reading ability, 19th in Science and 24th in math among all industrialized countries. (Organisation for Economic Co-operation and Development)

In a Yale University study, the United States ranked 45th in environmental sustainability. Our energy dependence on foreign oil has grown substantially over the past 35 years.

From the levees of Louisiana, to highways, bridges and our broadband capability, the infrastructure of the United States needs serious work to meet the demands of our future.

These issues are not Democratic or Republican. These issues affect all of us. We have become the 1000-pound man trapped in his own house. In order to get the medical care he needed, the side of his house had to be removed, he had to be lifted out with a crane -- in other words, extraordinary means had to be employed.

President Obama has gone from being considered inexperienced and someone who won't be able to get anything done to being criticized for trying to do too much at once. He cannot be accused of being idle. Obama is pushing for massive change in health care, energy, infrastructure and education.

Democrats and Republicans know our economy is in deep trouble, that it needs attention, but failing to pay attention to those other critical areas would not change what have become systemic problems that have deep economic impact. These initiatives are inexorably tied to the long term recovery and strength of our economy. Thinking that they are separate is the same kind of thinking that got us to where we are.

The 1000-pound man didn't get that big overnight, but now that we can no longer avoid it, we've got to do something about it. We Americans cannot afford to be idle.

 
"I know this has gotten out of hand. I've got to do something about it," said the man who weighed 1000 pounds. I watched the show in amazement -- not because of the side show nature of it, but the ex...
"I know this has gotten out of hand. I've got to do something about it," said the man who weighed 1000 pounds. I watched the show in amazement -- not because of the side show nature of it, but the ex...
 
 
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05:31 PM on 03/19/2009
We are now living in a society where "accountability" has become a word with no definition. Nobody wants to be accountable for their actions in America today.
I think of these criminals who are conducting ponzi scandals, (and in the AIG case) taking huge bonuses with seemingly insurmountable company losses still piling up. These men do this as tax paying citizens have their financial stability ripped from their hands. What a sad state we live in.
08:22 PM on 03/17/2009
Another problem is America's refusal to look past its front door! We act like we can't learn anything from other countries, when there is a huge wealth of ideas, systems, and technologies throughout the world that we could be mining through and using in our country. Why aren't we studying universal health care systems in other countries and how we could adapt one to fit American culture?

I have said it before and I will say it again, we must stop defending and accepting mediocrity!! The newest bullet train in Japan is expected to go over 240 m/h, and yet we are about to spend untold sums of money on expanding rail service for trains that won't make it past 90 m/h. It's all about priorities, and ours are completely skewered!
05:13 PM on 03/17/2009
When you americans learn to work again - instead of drinking coffee, eating, and telling everyone how good you are .....then maybe you'll get you country back - if you ask the chinese nicely!
how ironic - xenophobic americans in debt to the chinese..............
03:13 PM on 03/17/2009
Thanks for bringing it back to front and center.
This needs to be repeated again and again. If not, I'm afraid that civil unrest will be rampant.
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02:29 PM on 03/17/2009
..lets not forget to factor in the cost of maintaining the insatiable voraciousness of the obscenely bloated 1,200 pound man that is The MIlitary Industrial Complex
08:13 PM on 03/17/2009
Exactly! We have the largest military in the world, but for what? I was complaining to my Japanese boyfriend the other day that the U.S will never have the amazing high-tech train system that Japan has, and he shrugged said, "you guys just spend all your money on the military." How sad that the U.S. looks so old :(
02:16 AM on 03/17/2009
I think a large portion of the overall sense of despair and anxiety a large percentage of us feel is that we are partially or wholly informed of the massive, 1000-pound-man problems the country is facing. We've got morbidly-obese problems as a country -- yep --- and we, the basic, go-to-work, earn-a-living, take-care-of-our-family everyday people haven't a clue as to what we need to be doing specifically to help.

A lot of us thought we had already done what we were supposed to do--elect good people to do the right thing on our behalf and hire good people to oversee the overly greedy. That hasn't worked.

Both entities fail over and over and over again. This is not to say they don't both do good -- they do. But a football team who can hike a football and carry it or pass it for some positive yardage every game is doing "some good" too -- even if they're season record is 0-15. The jobs the regulatory bodies were given--were not effectively carried out. There simply aren't enough wins.

I for one would like to see as much solution-based thought as possible, from Jeffrey and others -- we know the problems (or at least the biggest ones that make the news). What are we, everyday people, supposed to be doing?

"Hey, there's a terrorist alert. It's orange." Got it. it's a huge problem. Got it. Now what?
05:57 PM on 03/17/2009
Most people in the US could have contributed to prevent his problem. We all could have saved more money instead of going shopping. Most of us could have gotten a smaller, more adequate car. We could be living in smaller, cheaper homes, closer to work. We could eat less. We could do without carbonated sugar water (at least go for the diet drink if you absolutely got to have that soda!).

The overall effect of a little less in every aspects of our lives would have been more than enough to prevent this meltdown.

Usually it's the taxes that force people to cut back. We lowered taxes as if that would solve all of lives problems. And that made it worse.

So, in effect, we just got what we shopped for.
05:31 PM on 03/16/2009
I normally try to keep a positive, optimistic though realistic outlook on life and on our country. But I fear that our system is sitting presently on the edge of a self-created sinkhole and might soon tumble in. Unfortunately the most powerful people in the areas in most dire need of reform don't see it as in their best interest to enable that reform. Healthcare will not change without insurance companies who don't genuinely want the system to change. The education system is not lucrative - the best and brightest do not become teachers and most teachers can not get out fast enough. Corporations do not invest in schools because there is no hard return on the money. The opposition party is actively rooting for the current administration to fail because they are no longer in power. The current situation with bonuses for AIG executives who failed encapsulates everything wrong with America. I fear that the real power in America (corp executives,etc.) see the 1000 lb man and say "There's a real problem there, someone should do something about that..."
06:01 PM on 03/17/2009
Just where does the idea come from that the education system has to be lucrative? In other countries they will not even use the words "education" and "lucrative" in the same sentence. They will, however, talk about "investment into the future" a lot.

And why do corporations have to invest in schools? They don't do that anywhere in the world (with exception of research universities). Schools have to be paid by taxes. Of course, in other countries they do the education budget first before they turn to the military spending.

AIG bonuses have nothing to do with any of this. If it took AIG to get your blood going about how bad a state this country is in, YOU are the problem.
jhNY
Mercy.
03:00 PM on 03/16/2009
The presently entrenched overclass and its various attendant mouthpieces cannot believe that such wonderful people as themselves would actually be capable of doing terrible things. But they are and they did them and will soon do more as they cannot help themselves from taking whatever they can grab, and if we're waiting for them to dislodge themselves from the teats of power we will soon have several hundred more 1000 lb. men to goggle at.