A Capitalist Jeremiad

Our country is in crisis due to an epidemic of corporate corruption, greed, and failed leadership that is on the verge of destroying our capitalist society. This plague has permeated nearly every aspect of our lives. And the sad truth is that many of us, through our own actions or inactions, are complicit in giving legitimacy to it. Our society has lost its moral compass, morphing into one that promotes self-interest and self-promotion above all other values.

As a result, on an individual level, greed and personal power have become our new American idols, as we all live and die in relentless pursuit of the almighty dollar. We have evolved into what I call an “acquisitive culture,” where extravagance is envied and sought after, and we compete with each other over who has the biggest and the best, chasing what is perceived to be happiness and power.

Why, then, are we so shocked and surprised when some business leaders abuse the system to attain that wealth, to experience that extravagance, to achieve that power? We reap what we sow! As Karl Marx said, capitalism “contains the seeds of its own destruction.”

Some of you may question whether I am overstating the case and whether we really have a moral and leadership crisis in our country. Well, if you review national business headlines from just this year, you will see well over 200 incidents of major fraud, Ponzi schemes, theft, illegal stock and options trading, et cetera. And these don’t include local white-collar crimes. There is an old saying about the economy getting better: “A rising tide lifts all boats.” Well, I would turn that around to say, “As the tide goes down, you can see and smell the rotting fish.”

A day doesn’t go by that we don’t learn about someone in a leadership position abusing that position’s power to better his or her own finances at the expense of others. This situation has reached a crisis level in our business community. As a result of this corruption and greed, our business leaders, whether on Main Street or Wall Street, are quickly losing the right to be called “leaders.”

Still in doubt? Consider that a recent Harvard Business Review article reported that less than 70 percent of the American people now trust business leaders and board directors. That’s a lower rating than Congress is getting!