Thought of the week: Bailout or Bankruptcy
Written by Murray McCandless
Most people can understand, and in measure sympathize with some one who has fallen on hard financial times personally or corporately. But sheer greed is another matter. Conrad Black, formerly a Canadian sits in a Florida prison for the same reason. Another Canadian Bernard John “Bernie” Ebbers co-founded the telecommunications company WorldCom and is a former chief executive officer of that company, for the next 25 years of his life, he will make his home in the Oakdale Federal Correctional Complex in Louisiana.
In 2005, he was convicted of fraud and conspiracy in the largest (to date) accounting scandal in United States history, as a result of WorldCom’s false financial reporting, and subsequent US$11-billion loss to investors.
Without naming them, we have some big names in the financial world that live here in New Brunswick. They work hard to compete globally with their businesses, and in doing so have given many Maritimers excellent employment. I get a little tired of their critics, tell me where would we be without them? These same people, all things considered live very modestly.
A sell out crowd went to see and hear Elton John at the Metro Center, and many spent money they didn’t have for the same. That will help him finance the half a million dollars in a single year, he spends on cut flowers for himself. (Times Literary Supplement, 14 December 2007, 27). Think what kind of perpetual gardens could have been established for inner-city Londoners with those same funds. At times the wealthy will blow almost incalculable amounts of money on absolutely nothing, while the poor struggle to live on absolutely nothing.
The oil-rich nations of the United Arab Emirates, rule in dynastic wealth. For license place number #1 someone paid 14 million dollars. A few hundred miles south of these oil drenched countries, whole households try to survive on less than $2 a day. The Bible says there is no difference, if we were sitting on oil we would do the same. Sitting on potash isn’t too bad, from what my farming family and friends tell me.
Or take the CEOs of financial institutions now going broke and wanting government bailouts, all the while taking salaries of hundreds of millions of dollars. A salary ratio of executive compensation to average worker of 400 to 1 (50 years ago it was 20 to 1). Now, these greedy individuals want to privatize profits but socialize losses?
If I am being critical I must balance this with the fact, that Bill and Melinda Gates, and Warren Buffet and have combined their wealth to donate billions to charity, which is much to be admired.
The Bible does not so much condemn the rich, but it does condemns the love of riches, and covetousness. 1 Timothy 6:9 But they that will be rich fall into temptation and a snare, and into many foolish and hurtful lusts, which drown men in destruction and perdition.
The richest man that ever walked planet earth, that owned everything, was the one that became poor. 2 Corinthians 8:9 For ye know the grace of our Lord Jesus Christ, that, though he was rich, yet for your sakes he became poor, that ye through his poverty might be rich.
You would think that this was written yesterday, it was written 2000 years ago! James in his epistle writes about these men of great greed. James 5:1-51 Go to now, ye rich men, weep and howl for your miseries that shall come upon you. v2 Your riches are corrupted, and your garments are moth eaten. v3 Your gold and silver is cankered; and the rust of them shall be a witness against you, and shall eat your flesh as it were fire. Ye have heaped treasure together for the last days. v4 Behold, the hire of the labourers who have reaped down your fields, which is of you kept back by fraud, crieth: and the cries of them which have reaped are entered into the ears of the Lord of sabaoth. v5 Ye have lived in pleasure on the earth, and been wanton; ye have nourished your hearts, as in a day of slaughter.
World financial conditions affect all, but for the most part we go back to a simple way of life in Atlantic Canada, which we enjoy.
Murray A. McCandless 2070 Route 121 Norton NB E5T 1E9 mmccand@nbnet.nb.ca