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Memories of the 28th Century

Unclear About Standards

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Increasingly over time I have noticed that people are less impressed by the difference between correct and incorrect, but the problem has become a serious problem in recent time. In former times there were criminals who made a living by ignoring standards, but in recent decades it has even gotten into elementary schools, where there seems to be little difference between correct and incorrect answers.

That’s a minor problem in elementary school, but it seems to have seeped into many parts of society, and I think that the recent expansion of this ignorance of standards can be blamed on the Self-Esteem Movement. It was thought that students would do better if they were praised than if teachers told that that they had messed up. The recent literature seems to indicate that students prefer to be told something near the truth, rather than being given false praise, but that hasn’t been accepted in education, yet. Unfortunately, it appears that there has been spill over into other fields after students get into what used to be the real world.

It is difficult to determine with complete confidence the origins of some ideas, but I was wondering if the subprime mortgage crisis of 2007 was a result of the self-esteem movement? People who were thoroughly imbued with those ideals were in evidence in business at the time, and the idea that everyone should be able to get a mortgage fits right in with self-esteem. Some of the ways that subprime mortgages were designed were very egalitarian, which is typical of the self-esteem movement.

Another security of that crisis was the "credit default swap", which paid the owner, if the subject of the swap defaulted. So a company could set up a huge number of losing investments and buy credit default swaps that would pay, if they defaulted on the underlying investments. Few default swaps were paid, because the companies that held them went into receivership and the court or the entity that controlled did not exercise, and there came to be doubt as to the validity of the swaps. AIG was covered several times over, but the company still went into receivership.

Another matter that has some of the marks of self-esteem branded onto it is the climate change thing. The climate change alarmists seem to have no concept of the difference between fact and wish, and they give equal credit to fact and fiction, true and false, and so on. It is as if they are saying: “This makes me feel good, so it has to be good. My teachers never marked anything as wrong when I cried, so I’ll just cry when anyone doesn’t like my ideas." As a result, the climate change material looks like propaganda, but it is actually the wishes of some people who didn't do well in school but didn't receive appropriately poor grades, because of the influence of the self-esteem movement, and that resulted in them thinking they were doing wonderfully in their academic studies, but they weren't.

I am only touching the surface of this matter, because I am not learned in regard to the Millennials; although I have come to understand that they have certain problems with the real world. It is possible that their early training is at least partly to blame for their problems; it's worth thinking about.

What do you think? Is the self-esteem movement partly to blame for some of the poor science and activity in other spheres of business? Has the lacking of early differentiation between correct and incorrect led to the inability to get things right?

Since I first thought of this matter, I have thought of and observed the situation in more places, so I may come back to this soon.
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  1. Pompey Bum's Avatar
    Thanks for another excellent essay, Peter. I was surprised the windows of Heaven did not open and drown us all (or at least those not snug aboard the Environmentalist ark) after your last attempt, but perhaps this one will bring the promised Flood. :)

    In my lifetime, I have seen the dubious and essentially goofy self-help movement of the self-obsessed 70s and 80s (in which phony assurances of well being were the reward for receiving dogma uncritically) blossom into the dangerous kind of PC that plagues us today; that in which views questioning or dissenting from political or social orthodoxy (supposedly) betray [I]selves[/I] that are unacceptable ("inappropriate"; racist; liberal; homophobic; paternalistic; RINO; etc.) without serious engagement of reasoned argument or even a passing attempt to see things from someone else's perspective. If you argue against affirmative action, for example, your viewpoint is not merely wrong, it is racist; and more important, YOU are [I]a[/I] racist (that is, a fundamentally racist self); and any dissent you may suggest is therefore--inappropriate. You didn't achieve an acceptable self-hood because you didn't buy the book (as it were).

    There are other reasons for these troubling developments, particularly a decline in public education standards--by which I mean the loss of critical thinking that you mention (lest someone trot out statistics to show that students actually get higher test scores when there are no wrong answers :)). But also because of self-interested racism and sexism in the post-modern Academy, from those now staid old professors who had their Baptisms in the Spirit during undergraduate days of rap sessions, peer-group therapy, and I'm Okay You're Okay. It is an interesting point, Peter, and an easy one to miss.

    That being said, I think the real culprit in Subprime was probably mindless optimism promulgated by a self-interested corporate plutocracy. Corporations love optimistic punters. Optimists make the markets rise and only those pessimistic enough to get while the getting's good get to keep the money. And politicians love voters who, sob sob, are going to get that dream house in the green and safe suburbs because, sob sob, they just believed in it enough. They love them, that is, until until the mortgage comes due; and by then, if they've played their cards right (as George Bush nearly did), it's someone else's crisis.

    There was another cynical truth underlying Subprime that seems obvious enough to me--it's just one of those hard facts of the adult world--but Jesus, enough people got burned by it in 2008-2009. I remember figuring it out as an earnest young husband more than 20 years ago. Lenders do not want you to pay them back on time. They do not want you to pay your credit cards off every month. They do not want you to pay your mortgage off early (some won't even let you). They make money by your drifting deeper and deeper into debt, especially when you screw up and can't pay them back on time. They don't give a sh*t about your dreams or your home or your family. A credit card is literally bait. Lenders are gambling that you will not have the self-discipline to fend off their fees and the switchover to extortionate interest rates. That's their stake in the game. That--along with trading and speculating on your debt--is how they make their money. Milk the cow dry, then sell it to someone else, or gamble on its future. Mindless optimism is what makes credit work.

    I think those were the forces that led to Subprime. Dumb punters who expected the impossible if they only believed in it; where the impossible was to enter the middle class of the George W. Bush administration when they couldn't pay their mortgages; and a lending industry that saw them all as so much red meat. Did the lenders--or at least the marketers--live in a self-help la-la land? I seriously doubt it. They were just screwing the customers as their trade had taught them. Were the customers loving in the self-help version of the Neighborhood of Make-Believe? Had the irrational belief that their own good selves would be saved if they bought the self-improvement package?

    You know, it's a distinct possibility.
    Updated 06-25-2015 at 07:58 PM by Pompey Bum
  2. PeterL's Avatar
    We fundamentally agree, but I was looking athow the new bankers set up situations that bankers wouldn't have touched a few decades ago, and the lack of critical thinking was important, but so was the PC attitude hat everyone should get what they wanted, even if they couldn't even dream of ever paying for it. There were no wrong answers on the test, so the income from a 4% mortgage that the mortgagor never made a payment on was equal to the 6% mortgage that was being paid promptly every month. And everyone gets a trophy, so everyone gets a trophy home.

    People started expressing major problems with the slef-esteem thing in schools about ten years (maybe longer, it's harder to find much). When something gets to that stage it usually means that there is major resentment going on below the surface. Just recently, I saw that someone gave a high school keystone address that said, in part: "You are not wonderful." He was applauded by the students, because they had enough self-esteem that they hadn't needed to be told that they were wonderful by insincere teachers.

    There's a lot more in this topic, but I've only touched the surface.
  3. Pompey Bum's Avatar
    Well, perhaps I'm being cynical, but it's hard to imagine the sellers acting like that; unless it was just that they got significant bonuses for each approval, and hey, what does a test mean anyway? Tests don't have wrong answers, they are just formalities--means to an end. I suppose that makes sense.
  4. PeterL's Avatar
    Not seller but the mortgage bankers. Mortgage bankers are paid commissions on the face value of mortgages made.

    Tests used to be methods to determine whether something had been learned.