Category: Personal Thoughts

Self Esteem — How Is Yours?

Last week, I attended a self-esteem conference conducted by Alan Weiss. The lack thereof is one of the most debilitating psychological factors affecting so many people, even very educated and successful people.

The conference, held in Rhode Island, was well worth the travel. I don’t know exactly how to describe it, but it caused significant introspection; most people shared their experiences and concerns as well. That, alone, was worth attending. We found out that many of us share the same journey, a sharing that seldom occurs, even with loved ones.

Here are some learning points suggested by Alan:

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Economic statistics

Today’s economic numbers are scary. Nearly 10% of our employment is in the retail sector; and 25% of jobs lost since November 2007 are from this sector. Looks like a bleak holiday season is approaching. Years ago, 5% unemployment was thought to be the right amount for fluidity in the economy. For a long time, now, that number has been substantially lower, giving rise to some inflationary pressures. Today, however, we’re looking at a current 6.5%, likely to increase to 8 to 10%!

Years ago, I visited China. I saw many people employed as manual laborers. I was told they were being kept busy to allow them to have their dignity and self-respect in contributing to the well – being of the society. They could have mechanized much of what they did, but that would have meant even greater unemployment. I remember thinking that the amount of their unemployment was equal to the entire population of our country!

Today, China is investing heavily in its infra-structure by building highways and public buildings to aid its economy and, as a result, the world economies. This same tactic was used by Pres. Eisenhower in the 1950s and is being discussed today as part of our economic alternative solutions. This also was a favorite tactic of FDR in the 1930s.  It has worked. And we do need infra-structure repairs as evidenced by falling bridges and highway potholes.

While the numbers are scary, now that the election is behind us, perhaps we can come together to focus on what unites us and will allow us to achieve improvements. Perhaps we can put our differences (political party, gender, special interests, etc.) aside for awhile. I keep returning to Rodney King’s "Can’t we all just get along?" Only by doing so will be come out of the depths of economic depression.

As lawyers, our challenge will be to serve a society with a shrinking economic base. But, where there is change, there is generally opportunity. We just need to stay alert to see the opportunities in front of us.  Lawyers will benefit in either event. If we can’t get along, our litigators will be beneficiaries.  For example, litigation has already begun over the issues relating to California’s Proposition 8 (same sex marriage ban). If we can tolerate differences, at least for awhile, our transaction lawyers will be the beneficiaries when they negotiate and draft agreements, write new legislation, etc.

To survive in this environment, lawyers will need to be flexible, seize new opportunities, and serve and bond with their clients as never before.

Law and Politics

I have assiduously kept this blog and all my writings focused on the effective and efficient practice of law, not personal beliefs or politics.  Those are mine and to be shared only with friends and family. You don’t read my thoughts to be persuaded to vote one way or the other. However, a friend’s post today on his blog has prompted me to speak out, prompted in part by the enormity of the current financial challenges of our time.

One perspective that I’ve heard echoed frequently is a paraphrase of Pres. Franklin D. Roosevelt in the 1930’s:  Even if wrong, it’s important that we do something! Something is better than nothing because of the crisis of confidence. At least with something in the works, people believe we’re moving forward and will fix whatever the problem is.

I generally agree with this … but I also see a massive redistribution of wealth in the current proposals which, frankly, scares me. The rhetoric of the candidates does nothing to build confidence in me despite the fact that I will vote for one of the candidates for one very simple reason: His philosophy concerning judicial appointments, appointments that in my opinion far outlast the impact of a president on other fronts. We’ve lived through many ineffective presidents … but their terms last 4 years or 8 at the most. Their appointments often last decades, a far more significant impact.

Getting back to the economy. The current crisis, I’m told, began with the housing industry and the mortgages created when buying a house. Loans were given to people who couldn’t afford to maintain the payments. But, those loans were kept current until the interest rates were raised. Don’t forget that many of these people could also make the new payments but for the fact that they lost their jobs — their jobs were eliminated by outsourcing, by changes in technology and by other factors. Now comes Wall Street with new products that wrapped these mortgages into new securities instruments. These securities instruments were sold … and there was no one the homeowner could turn to for the purpose of adjusting the term or rate of the mortgage … a blank wall appeared before the homeowner. The bank no longer owned the mortgage.

In the recent IndyMac fiasco, the FDIC came in and worked with the homeowners, changed rates and terms of the loans. Homeowners stayed in their houses and no bail-out money was needed. In effect, the FDIC pulled out an old technique used in the 1930’s.  In the 1930’s, Roosevelt froze bank assets and mortgages. Similarly today, foreclosures could be frozen for 30/90 days, or whatever time needed, until a reasoned solution could be developed.

Why is it that our current leaders have such a short memory of history? Are they so bent on eliminating the "middle class" and transferring more wealth to those who don’t need it?  Some have said we’re enhancing corporate socialism … I was taught in school that socialism was intended for the working folks — even if you objected to this form of government.  Where are the working folks in these new proposals?

Apparently, a lot of people agree with me … Congress has just "junked" the current proposal. I’m sure another will be on the table shortly. But, it was really disheartening the other night to hear Gov. Corzine of New Jersey, a former securities industry chief executive, say that he dislikes the current bill, but it’s better than nothing, that something must be done!

History will be made in this election. Good or bad, depending on your point of view. But, clearly the next generation is being mapped out for us as I write this comment.  Be sure to vote and make your voice heard.

Airstream progress update

We started with my wife’s dream of being part of the Airstream cult. After our first Airstream trailer was "totaled," we started over, almost literally from the ground up. I’ve discussed this before.

We expected to be on the road by this time … the progress is much slower than expected, and more costly…like any construction project that is twice as expensive and twice as long.  But our trailer is being built with care, love and creativity.

This picture is taken from the inside out towards the front window…(our living room)….the inside stainless steel skin is going to be riveted in place very soon!!!!  You can see the two 12 volt batteries in front, the box on the lower right is the tankless water heater/furnace, the box on the left is the base for the refrigerator and that is the bathroom sink….. not in place….just resting. 

Katrina statistics

Many lawyers (some of whom were my clients) were directly impacted by Katrina; the practices of some were wiped out. Almost all suffered revenue declines.

Many other lawyers helped in the reconstruction efforts. Now, 3 years later, much yet needs to be done. Bill Quigley gives us the following startling (at least to me) statistics, and much more:

0. Number of renters in Louisiana who have received financial assistance from the $10 billion federal post-Katrina rebuilding program Road Home Community Development Block Grant — compared to 116,708 homeowners.

0. Number of apartments currently being built to replace the 963 public housing apartments formerly occupied and now demolished at the St. Bernard Housing Development.

0. Amount of data available to evaluate performance of publicly financed privately run charter schools in New Orleans in 2005-2006 and 2006-2007 school years.

.008. Percentage of the rental homes that were supposed to be repaired and occupied by August 2008 which were actually completed and occupied — a total of 82 finished out of 10,000 projected.

1. Rank of New Orleans among U.S. cities in percentage of housing vacant or ruined.

1. Rank of New Orleans among U.S. cities in murders per capita for 2006 and 2007.

Why is it that we have to repeat history? In 1927, much of the Mississippi Valley was destroyed by similar flooding. More than 1/3 of the country was directly impacted by this flood! The impact, economic and otherwise, from this was devastating, not only to this 1/3 of the country, but to the entire country!

We can’t control the weather, the storms that befall us. Just last night, in the news, there was a commentary about another major storm off the Gulf of Mexico. It could leave another devastating mark on the U.S., having already killed one person in Haiti. But, we seem to ignore these vagaries of nature. If we can improve our land area and structures in earthquake country, why can’t we do the same in other parts of the U.S.? Where is the political will to do something? We certainly have the skill, knowledge and technolgoy! What is missing?