Bernie Madoff With My Money

Just when you think that the news can't get any worse in this world of decaying to non-existent business ethics, along comes the Bernard Madoff story. The ex-chairman of Nasdaq stands accused of defrauding his clients of at least $50 billion in a Ponzi scheme.

A Ponzi scheme typically consists of an investment fund that yields a much higher than normal rate of return. That sounds good but it only lasts until the operation collapses or is shut down. The abnormally high rates of return are not derived from trading; they are paid out of the accounts of new investors. In order to keep running, money has to keep pouring into the fraudulent fund by new investors.

Many individuals and large corporations lost money to Madoff's scheme. Some people claim to have lost their entire life's savings. What I don't understand is how he could do that without conscience. A scheme like that can't work forever. When did he plan to jump off the machine? Where was he going to hide from the world? Is money worth that much?

I do not believe that money is the root of all evil. It has its uses as currency, the oil that liquefies transactions, but that is about it. If one has enough cash to eat, take care of their health, and have a place to live, money has done its job. I agree that it is pleasant to have a bit extra and that it is comforting to have a nest egg. It is enjoyable to have some nice things and to go on vacation, but money does not guarantee happiness or the elimination of suffering. If it did, that would be impressive! So many people think that money is the answer to all of their problems. If we were all more focused on happiness and the elimination of suffering, we would all be happier, fewer people would be so horribly deprived, and we would not have individuals like Madoff to contend with.