Friday, November 28, 2008

The Screaming of America

In 1970, Charles A. Reich, a Professor at Yale Law School, authored The Greening of America, appearing on the New York Times Best Seller List, taking a concept through chapters of progressive intuition how modernization would transform society into one that would put corporate success as the perceived champion of family values. Dr. Reich painstakingly took the reader on a journey that emphasized how the corporate state would transform society from the simplistic ‘50a and 60s to years of corporations offering a helping hand for the best of times. Enticements were plentiful.

During the ‘70s consumers were prompted to feed on their desires, betting on upward climbing salaries and accumulated property wealth to afford them the means to continue their materialistic spending. Baby boomers were the first recipients of this ideology.

Keeping up with the Joneses also meant that kids had to have whatever the kid across the street had. ‘I want’ begat ‘give me’. It remains so today. The goal is to have bigger and better (homes and autos), smaller and faster (electronics and autos).

Going back the ‘20s, in-store credit accounts were identified on imprinted metal “cards”, similar to dog tags, and kept by the merchant. It wasn’t until 1950 that Diner’s Club founded the first charge card that required payment in full upon receipt. By 1958, Carte Blanche and American Express helped create a worldwide credit card network.

Bank of America created what would evolve from the BankAmericard (1958) to Visa (1976) and Master Charge (1969) became MasterCard (1979). Sears introduced The Discover Card (1985) and became a part of Dean Witter, then Morgan Stanley, until Discover Financial Services became an independent company (2007). Many stores now offer their own credit cards but accept more widely used cards for consumer convenience. Americans became ensnared in a wonderland of plastic fortunes.

One premise of The Greening of America was to define the influences that corporations would have on family values, how to “spend” leisure time and show how, thanks in large part to labor unions, a person’s wealth would be an accumulation of funds so they could continue spending in retirement.

Over the years, the size and extent of businesses have instilled in people a continuity of society. Restaurants. Grocery stores. Drug stores. Department stores also became mainstays for everyone, everywhere. TV, the I-net, flashy neon lights, mobile communications and even the commerciality in public schools contributed to a very controlled society.

Eventually, corporations overextended their influence over political interests. It had to happen. It’s all a part of the ring around the federal government money tree.

As an analogy, in it’s infancy, creditors extended their palms open wide to consumers with a warm, fuzzy feeling of prosperity. As decades passed, slowly but surely their palms curled into fists, now with too firm a grip, strangling the victim. Today, banks are lending very cautiously because they over-lent these past few years and the odds aren’t currently in their favor; it’s too risky a business.

Now, people aren’t buying because they too spent beyond their means. Banks are hoarding money, as do consumers. In the short term, people won’t likely be fooled again and will be conservative with their money, putting more value on maintaining a roof over their heads, food on the table and savings accounts to take control of their financial destinies. When consumers don’t spend, businesses fail and workers lose jobs, further limiting spending.

People distrust corporations because of exorbitant executive salaries, reduced benefits and flat-line wages. Employers have abandoned America by hiring undocumented workers and sending jobs overseas. This is a “redistribution of wealth” from the American economy to emerging markets.

Credit card companies, all “lenders” inclusive, are telling “lendees” they must pay short-term, unsecured loans in a timely manner or a ruined credit rating will result in higher interest rates.

The Greening of America took the reader through Consciousness Levels I, II and III: the eagerness to comply with new traditions; materialism that plays into the manipulative greed of corporations; the enlightenment of the populous to reject decades of false promises and return to the roots of individually and self-destiny. Americans are, in essence, screaming for an equitable balance of prosperity.

So, you say you want a revolution of consumer awareness? Level III is upon us!

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