Complexities

Taking the suborbital, 80,000-foot view is easy. However, the view from the ground is far more complex. From government interventions to Main Street’s growing outrage, following the glide path is going to be more difficult than anyone could have imagined.

The approach being used to land this economy is essentially one of delay. We need time to learn how this is done. Otherwise, the wings would come off, and the crash would be terrifying. But if we can keep the nose of the glider up for a while -- and keep looking for a landing strip in the distance -- then we can still maintain some hope.

Delay -- the slowing down of debt destruction -- is effected by throwing money at Wall Street, the investment banks, the automotive industry, and consumers. But we have a debt problem, and the federal government borrowing to assist overleveraged borrowers in the private sector doesn’t fix anything. You can’t borrow your way out of debt.

As we make the adjustments necessary to bring our economy in for a landing, all of us will have to make changes. John Lancaster Spalding said, “The highest courage is to dare to appear to be what one is.” It is hard to admit that you’re the kind of person who drives a Ford (F), not a Lexus (TM). That you’re a public-school parent, not a private-school one.

But these things don’t impact our real worth - only our perception of it. This psychological trauma causes each of us to be slow in making adjustments, but if we do, it will be ok. This is how we operate as humans, and we always will.
Once We’ve Landed
It has to be slightly scary to be on board the space shuttle as it plummets to earth. But more often than not, careful planning and expertise carry the day.

And so, those of us on the flight deck and in the control rooms of Wall Street battle the changing variables each day and hold our breath as we attempt to bring this one in safely. If we’re successful, the result won’t be a return to what passed for “normal” these past years. We will, I hope, have learned something.

We made fun of my grandparents because they put their TV remote control in a plastic cover. They never bought a house, even though they probably could have afforded to. And for about 20 years, they drove their yellow Plymouth Valiant over to our house to spend time as a family. They never wanted a BMW or granite countertops; they didn’t travel the world. They worked hard, they loved their family, and they saved. Having survived the Depression, they knew what was truly important. I hope that we, facing a similar set of circumstances, can do the same.

And having learned, we can once again be great. As Jon Stewart of The Daily Show said, “our wealth is our work.” Few work harder than Americans, and -- once we have renounced the money culture -- we will be able to refocus on diligence, saving and sharing.



In memory of our fallen friend and trusted colleague, Bennet Sedacca, 100% of the donations made to the RP Foundation through April will be channeled to philanthropic endeavors consistent with the RP mission, working closely with the Sedacca clan in the distribution of those funds. We thank you kindly for your support as we strive to effect positive change in the lives of children.