Too Big to Fail, Consumer Protection, Derivatives, and Government Regulation

I recently discovered the NPR PlanetMoney podcast and have really appreciated their fresh approach which is both entertaining and full of insight.  There is plenty of depth and not just soundbites.

Are you worried about financial institutions which are "too big to fail"?  Are you worried that financial regulators might go to far and make things worse?  In either case, you will appreciate Podcast: Planet Money Live (or click here to find on iTunes).  One of the host's dad is there to ring a bell to make sure nobody uses jargon he doesn't understand without explaining it.

- Bob Litan and Scott Talbott duke it out over what to do with financial institutions that are too big to fail.
- Adam Levitin and Diane Casey-Landry sound off on a proposed Consumer Financial Protection Agency.
- Darrell Duffie and Mark Brickell dispute the future of derivatives.

With special appearances by Alice Rivlin, Martin Bailey, Charles Calomiris, Peter Wallison and Adam's dad, Jack Davidson.

One participant wants a "bigness tax" to discourage financial institutions from getting too big to fail.  One participants wants to go even further and force big institutions to break up.  Industry insiders and conservatives counter with their points that such regulation would have unintended consequences or that large corporations like General Electric need to do business with large financial institutions.

How to Write Clearly At Work

It may not be a popular topic of discussion, but I still think its important.

Listen to David Silverman, author of the Words at Work blog on HarvardBusiness.org and of Typo: The Last American Typesetter or How I Made and Lost 4 Million Dollars discuss better business writing (which in his mind includes writing clear emails).  Here are some good quotes I picked up:

• No writer would think of themselves as fantastic without an editor.
• We should be rewarded for fewer words instead of more.
• All first drafts are pretty terrible..... the rewriting where the effort is.
• Email has replaced the memo.
• The reason you don't get anything done is because you're responding to emails that were poorly written.
• It is not fair to mark a document "Draft" as if it excuses you from making the document any better.
  

There's a discussion on writing a resume and cover letter also for those looking for a job today.

Check it out at How to Write Clearly at Work (also on iTunes).  Here's a link to his book too.

13 Mistakes and 13 Brilliant Strokes

 There are two reasons I like this podcast.

1. I got to hear lessons learned from the successes and failures of someone who has both worked in major companies and successfully stared companies.
2. I learned why DNA sequencing could revolutionize healthcare.
   

"Hugh Martin, Chairman and CEO of Pacific Biosciences, looks back on the evolution of his career - from building computers to creating the future of medicine. Martin charts the lessons he learned working for large technology firms, as a leader in several successful start-ups, and while being courted by the VC community to launch a new wave in bioscience."

Audio Podcast:  13 Mistakes and 13 Brilliant Strokes ( also on iTunes)

How to Be an Innovator for Life

I found this great talk by Tom Kelly at the Stanford Technology Ventures Program lecture series.  I found his ideas on how to be creative and innovative very encouraging. 

"Tom Kelley, general manager at the world-renowned design firm, IDEO, presents five core practices that enhance creativity. Through entertaining stories and examples, he describes how these techniques help us all become more innovative in every aspect of our lives and lead to more success."

 Here's some interesting quotes:

• "Every child is an artist.  The problem is to remain an artist when you grow up" - Picaso
• Be childlike as often as possible but not childish.
  
• Deep expertise is extremely valuable to the organization... but they start filtering things out as distractions
• Take an anthropology course
• If you figure out you are the most productive and creative from 8-10 am whatever you do, do not look at email or attend anything resembling a status meeting during that time.
• Find out what your muse is.
• The supreme achievement in life is to blur the line between work and play.
  

Major themes for staying innovative:

• Think like a traveler all the time (as if visiting for the fist time).  See with new eyes. 
  
• Treat life as an experiment.  You must actually be willing to fail.  "Fail forward."
  
• Have an attitude of wisdom.  A balance between trusting what you know and distrusting what you know to be true just enough to keep you from "resting on your laurels."
• Use your whole brain (left and right brain)
  
• Use your "tortoise mind".  (Work on an idea "in the background" or using your subconscious mind.)  You have to take time to daydream.
  
• Follow your passion. 
  

This talk is definately worth listening to!  Check out Young at Heart: How to Be an Innovator for Life or also on iTunes,   Here's a link to Tom Kelly's book on innovation.

Clipping Coupons for Health Care

There is not hotter issue in the US right now that health care reform.  I recently discovered the National Public Radio:  Planet Money podcast (on iTunes) and they have what I think is a really good episode explaining many of the nuances of various policy decisions.

They compare today's health insurance system to an "all you can eat buffet" in which insured health care consumers don't worry too much about how much the meal costs and they take more than they can eat to try each of the side items.  They then have a very civil debate between two very different points of view.  (A civil debate on health care is very rare indeed these days!)

1. One point of view is to raise the deductible to a really high number, maybe even as high as $50,000.  This would drive premiums way down and allow employers to give employees most of the $1200 per month or so that today's healthcare costs back in the form of a raise in pay.  When health care consumers have to pay for all their prescriptions, x-rays, broken bones, etc. out of their own pocket advocates say.. they will be much more selective about treatment options and avoid unnecessary extras. This would have the effect of lowering health care costs.
2. The other point of view is that most people do not have enough good information or knowledge in which to make informed choices about healthcare options or how to choose between providers.  People in this camp fear that if too much of the cost of day-to-day health care comes out of the consumer's pocket, consumers well delay seeking the care they need.  This has the potential of allowing disease to progress further to the point where the cost to treat is much higher and where perhaps the chances of a cure are less likely.

Do I dare tell you the punch line?  They report that studies have shown that both camps are correct.  Making costs more visible does drive down costs.  People also often delay seeking treatment longer when they pay more expenses out-of-pocket. 

This particular episode can be found here on the NPR site at Clipping Coupons For Health Care
or at iTunes.

Malcolm Gladwell on Cultivating High Performance

I tucked my iPod nano in my pocket, my earbuds under my hearing protection, and made use of my yard mowing time yesterday to listen to a thought-provoking podcast interview with Malcom Gladwell. Gladwell is one of my favorite authors and wrote best sellers such as The Tipping Point: How Little Things Can Make a Big Difference, Blink: The Power of Thinking Without Thinking, and Outliers: The Story of Success.

The interview was arranged by 92Yin New York City and moderated by Robert Krulrich. Gladwell expressed some interesting views about our educational system. He addressed topics such as:.

• Should the educational system identify the gifted children and give them
  separate, enhanced educational programs?
• What is a genius?
• Does the prestige of the school granting your college degree really impact your future earning potential?

He believes much of what organizations practice today to cultivate high performance is wrong. This is a fairly lengthy listen but definitely worth your time.  Here's the video at 92Y or check it out on iTunes.

The Opening of the Evangelical Mind

Anyone who thinks that evangelical Christians cannot possibly be very smart or any evangelical Christians who won't even bother to talk to a university intellectual should listen to the Let My People Think podcast by Ravi Zacharias and the episodes The Opening of the Evangelical Mind Part 1 and The Opening of the Evangelical Mind Part 2.