The Seven Blunders of the World is a list that Mohandas Karamchand Gandhi gave to his grandson Arun Gandhi:
* Wealth without work
* Pleasure without conscience
* Knowledge without character
* Commerce without morality
* Science without humanity
* Worship without sacrifice
* Politics without principle
This list grew from Gandhi’s search for the roots of violence. He called these acts of passive violence. Preventing these is the best way to prevent oneself or one’s society from reaching a point of violence.
To this list, Arun Gandhi added an eighth blunder, rights without responsibilities
Read this in a NYT article: Life Insurers Facing Cuts in Ratings:
Most life insurers have been unwilling to say whether they want to apply or not, for fear of sending a signal that they might need financial assistance. MetLife, one of the nation’s largest insurers, declined to comment on its interest through a spokesman, but many observers expect the company to apply for federal money, not because it is teetering, but to build a war chest for acquisitions.
Should taxpayer money be handed over to companies who don’t need it? Like in this case MetLife.
I’m thinking that instead of giving money to a struggling, on the brink company, with no assurances that they will survive, it seems to make more sense to give cheap fed money to the strong players so that they can go out there and mop up the financial mess. A kind of in-direct government, free market bailout. The big assumption here is that the money will be used for investing purposes as part of a broad market stabilization plan and not hoarded or given out as bonuses.
MetLife has the industry/financial expertise the government doesn’t have to identify the right opportunities and act on them. I’m sure the outcomes will be a heck of a lot better than the government dishing out cash to every wounded bird out there. Not everything is worth saving, let the markets decide.