Words of Wisdom for Wall Street Week

"Avoiding danger is no safer in the long run than outright exposure. The fearful are caught as often as the bold." ~ Helen Keller

Greed has existed since the beginning of mankind, even before money, and certainly before capital markets.

As Wall Street gets a symbolic thrashing this week, I thought a few timely and timeless words of wisdom would be appropriate -- not only to mark the occasion but to acknowledge the fact that Wall Street, Washington and the entities that symbolize the Achilles heal of a free country -- the immense capacity to succeed wonderfully tied to the equal capacity to fail miserably -- the manifestation of the excesses of the human condition -- will be on display... 

"Wall Street never changes, the pockets change, the suckers change, the stocks change, but Wall Street never changes, because human nature never changes." ~ Jesse Livermore

"Wealth and rank are what people desire, but unless they are obtained in the right way they may not be possessed." ~ Confucius

"Man has the power to act as his own destroyer—and that is the way he has acted through most of his history." ~ Ayn Rand

"It is no measure of health to be well adjusted to a profoundly sick society." ~ Jiddu Krishnamurti

"Men in the game are blind to what men looking on see clearly." ~ Chinese Proverb

"The most exquisite paradox… as soon as you give it all up, you can have it all. As long as you want power, you can't have it. The minute you don't want power, you'll have more than you ever dreamed possible." ~ Ram Dass

"If thou wilt make a man happy, add not unto his riches but take away from his desires." ~ Epicurus

"Most of the time common stocks are subject to irrational and excessive price fluctuations in both directions as the consequence of the ingrained tendency of most people to speculate or gamble... to give way to hope, fear and greed." ~ Benjamin Graham

"The investor’s chief problem – and even his worst enemy – is likely to be himself." ~ Benjamin Graham

"The ignorant mind, with its infinite afflictions, passions, and evils, is rooted in the three poisons. Greed, anger, and delusion." Bodhidharma

"Money is only a tool. It will take you wherever you wish, but it will not replace you as the driver.” ~ Ayn Rand

"Money often costs too much." Ralph Waldo Emerson

I hope (and doubt) we will hear anything so wise this week as Wall Street and Washington collide.  Personally, I believe it to be futile to fight greed -- something that is ingrained in human nature.  We can only acknowledge greed's existence, choose our own behaviors as individuals, and react to its occurrence -- it can not be prevented.  Greed will simply manifest into a different form.

If you'd like to see more quotes like these, go to my web page for Quotes on Greed, Money & Investing.

Comments

[David]

I'm concerned with your conclusion that we simply "accept greed." I think we should instead choose *to what extent* we accept it. Greed cannot be prevented, true -- but the forms in which we allow it to manifest itself can be managed. Isn’t that one of the major functions of the law in a society? For example, we have drawn a line for greed that precludes murder, and that has worked fairly well. And we've tried to preclude greed’s manifestation via theft (as defined), which has worked acceptably(?) well.

The law has not always succeeded in its function as the referee in the playing field upon which greed is acted out, but the rules of the system should reflect our tolerance for greed and its negative side-effects in civilized society, rather than just fully accepting greed and not trying to manage it at all.

That said, I do agree with you that we will get little if anything substantive out of the Washington-Wall Street hearings.

Thanks for all the insightful postings!

[Kent @ The Financial Philosopher]

David:

That last paragraph could be another post, or even an entire series of books!

To clarify, I do not condone or "accept greed." I simply acknowledge its existence and do not choose to go against it because it is a fundamental aspect of human behavior.

I stated that I do not "fight" greed because it is a part of nature, much in the same way that I do not fight a rip current in the ocean -- I swim with it, then come back to shore -- otherwise I may drown in its power.

I would not necessarily "turn my head" and allow greed to exist, either. For example, I teach my two sons the art of contentment (being thankful for what you have, rather than coveting what you do not have).

There were certainly cynical undertones in this post. Since I have no power to stop greed on Wall Street or in Washington, I anticipate it and plan accordingly.

I can only manage my own greed and do my best to teach my sons, students, clients and blog readers that change begins with the SELF and that the crowd is where the danger exists...

Thanks for your thoughtful comment and for provoking thought...

Kent

[Sunroom Desk]

Will government intervention prevent greed for paper profits from sinking the system?

The best investment I made recently was purchasing a 25-cent used copy of The Worldly Philosophers:

http://sunroomdesk.com/2010/04/26/the-worldly-philosophers-25-cents-at-glendale-library-goldman-sachs-under-the-paperweight/

[Kent @ The Financial Philosopher]

Sunroom Desk:

"Will government intervention prevent greed for paper profits from sinking the system?"

The short answer is 'No.'

It is laughable that Wall Street is being lashed by Washington. Both have their extreme flaws, yet they are also what I consider necessary evils. I'd rather live with them, especially considering their predictable nature, than live without them in a more dangerous kind of chaos.

Thanks for the comment...

Kent