Thursday, October 4, 2012



The World of Absolutes

By

Spyros Pavlou, PhD

We have a saying in Greece: We get older by learning and we learn by getting older. Understanding relationships and what makes a relationship successful is a continuous learning experience.

I was a war child. I was born just eight days before the onset of the Greek-Italian War, October 20, 1940. Since I was an infant I lived in a “World of Absolutes”. I believe now that this was imposed on me by my parents because they wanted to protect me as we survived the adversities of war.  

War-peace, black-white, on-off, yes-no, up-down, dead-alive, straight-crooked, love-hate, win-lose, open-shut, present-absent, strong-weak. That’s what my psyche was telling me. That’s what I learned to know and understand; absolutes, nothing in between.

As I grew older, I evolved as a human being, but thinking in absolutes was a convenient and comfortable behavior to me because I was not taught otherwise or experienced any negative consequences to my behavior. I didn’t know what the word humble meant, so that often caused me to adopt a purist and superior behavior which dominated my mental state.

Agree-disagree, on the ship-off the ship, employed-unemployed, smart-imbecile, guilty-innocent, true-false, publish-perish, attack-capitulate, rich-poor. I was possessed by this thinking, and inclined to adopt it as a normal way of life. But in reality I was in purgatory, because I didn’t comprehend what the phrase, in-between, gray area, compromise or compassion for others meant, because I didn’t know how to handle my quandary.

Often, I found unacceptable any behavior or attitudes that implied indecisiveness, weakness, lack of commitment, lack of self confidence, or wishy-washiness. The “World of Absolutes” thus, became a “modus operandi” in my life, but more importantly, this term often contributed to the adoption of an uncompromising behavior in my relationships with professional or personal acquaintances, followed by  periodic outbursts of rage when conditions didn’t fit my mantra of the “World of Absolutes”.

When I experienced these outbursts, I changed my personality from “Dr. Jekyll” to, “Mr. Hyde”. To me this transition appeared acceptable because the “World of Absolutes” demanded it. I couldn’t recognize that I was eroding my relationships, thus often destroying my otherwise solid bonds that I had started developing with my associations. The mentality that everyone was guilty before proven innocent took control of my behavior.

In my professional career, I was a technical expert. As a scientist with a PhD in Chemistry, I was often hired to provide expert testimony in controversial cases of environmental litigation.  I was very successful in my business. The “World of Absolutes” served me well in my practice, and my clients accepted, and in fact, endorsed my “cut-throat” approach.

But, I carried this behavior too far. My professional life was good, I thought, but I was oblivious to the change that I was undergoing: I was becoming egotistic and self serving, a gradual but definitive change to the worse. The “World of Absolutes” became an invisible monster, ingrain in my subconscious, lurking in the background, waiting to devour me.

People who knew me loved my Dr. Jekyll side, but abhorred the Mr. Hyde behavior. That was understandably normal, though I thought that their negative reaction to me, when I behaved like Mr. Hyde was just a tempest that would blow away, because I considered my Mr. Hyde personality as a summer thunderstorm on a Greek island. “Not to worry” I thought, “my friends know me, understand me, they would come around.” But, that didn’t always turn out to be the case. I ended up being crushed by their criticism, but rationalized the situation, by acting nonchalant.

“Well that’s the way the cookie crumbles…” I used to say, and moved on. 

In all my life, I have never thought of myself as an egocentric and narcissistic male, but really I was…, only I couldn’t see it. No one ever insinuated that I was that type of a man. Regarding my relationships with women, I adored and respected my mother and my two sisters. I always tried to emulate   a similar approach. Throughout my professional career I associated and interacted with highly educated and powerful women whom I respected and admired.

I married and had a daughter with one; a very successful and professionally respected woman. My marriage lasted for eighteen years. I married again, another well educated and a technical expert in the field of civil engineering. I thought I found my long term partner only to lose her to the horrible disease of cancer in 15 years; I was devastated by that misfortune. Her death was a major tragedy, and a complete let down in my life. I had always been a supporter of women, and helped them realize their own power. When I lost my second wife, I felt powerless, and abandoned.

Six years passed after my second wife died. I got entrenched again in my “World of Absolutes”, but even more passionate this time; my personality hardened, I didn’t see any reason to change, because I thought that I was good enough the way I was; I didn’t care what people thought of me or what their opinion of my values was, change was not a word in my vocabulary.

How wrong I was; although I could see the shortcomings that my addiction to the “World of Absolutes” was creating, my main concern was what other people would think of me; I never reached inside myself, and asked the fundamental question “How do I feel about me? What’s going on with me? Was I really happy with the way I was?” It was always the external factors that matter. I had no one to care about me, and understand my inner feelings, no one to feel close to, and no one to trust. I was a ship flailing in the wind with no purpose.

So really, nothing was changing. My evolving in character or personality stopped dead on its tracks. I was doomed to become a fossil. Isn’t that what age brings about to people, total inertia, fossilization, and then death?

Yet, I was not ready to become a fossil. If I reached this stage, my muscles would cinch and then I you die! No, I had a whole life to live; I was not ready to call it quits. In the 6 years, since my second wife died, I developed 11 short-term relationships with younger women. All were unique, challenging, and rewarding, but I was looking for more…

I was searching for nirvana for 53 years. My life experiences must have hardened my personality and mental attitude. When any man or woman questioned my “World of Absolutes”, I went into rage immediately, and my standard reaction was vocalizing a feeling that I was shut off, and rejected from any further discussion. I didn’t feel that I was listened to. I wanted to be heard right then. If I didn’t get an answer that was consistent with “My World of Absolutes”, I kept defending my position, and couldn’t stop. I was overcome by anger which made me irrational, and therefore out of control.

Finally, I saw the light. This epiphany came to me after I attended a workshop in “Family Constellations”. The workshop gave me the ability to understand and realize how I can enhance my capacity for attaining happiness, freedom of choice, success in accomplishing my goals, ability to maintain an enjoyable and happy relationship with my wife, health, and overall well being. This deep soul searching and spiritual cleansing enabled me to free myself from the mental shackle that was chocking me.

From then on, my life became more balanced, more fulfilling, and I was a lot happier. But, I am still learning. I am not perfect by any means; I am striving to be a complete individual with a keen awareness of what makes people function. One thing I know well is that every transformation I experience in my life is another milestone towards self improvement.



Monday, December 12, 2011

EUROPE’S DEBT NIGHTMARE

By

Spyros Pavlou, PhD

It’s getting worse as Europe’s economies face unsustainable high costs to finance their debts. The debt numbers are staggering ¹: Italy ($ 1.4 trillion), Spain ($ 1.1 trillion), Ireland ($ 867 billion), Portugal ($ 286 billion), Greece ($ 236 billion). Portugal and Greece are already forced to seek bailouts. A November 29, 2011, Associated Press Report estimates that the Greek National Bank will lose $ 1.8 billion from a voluntary bond exchange with the country’s crisis-hit government by the end of this year.

If some member euro-states cannot meet their refinancing needs, i.e., cannot cover their borrowing costs, the euro-zone could breakdown, the pillar of European stability would then disintegrate, and its currency would enter into an unavoidable death spiral, which would result in a world economic catastrophe…

But hold on, why is the euro in such a dire state to start with? Well, it began with the cardinal sin in uniting Europe with one currency. Countries like Italy and Greece entered the monetary union with bigger deficits than permitted by the treaty that created the currency. Let’s take Greece for example. No one dares to give a straight answer as to, how and why the country’s debt is out of control? Who has the “balls” to admit what the real reason is for the dismal economic state that Greece is in? Certainly, not the Greek Government through its Treasury Department or Goldman Sachs who helped the Greek Government to mask the true extent of its deficit with the help of the so-called cross-currency swaps (CCS) ².  

In a swap, government debt issued in dollars or yen, can be swapped for euro dept over a certain period of time, and exchanged back into the original currencies at a later date. Such transactions are part of normal government refinancing. In actuality, Europe’s governments obtain funds from investors around the world by issuing bonds in various foreign denominations, e.g., yen, dollars, Swiss francs. Years later the bonds are repaid in the original currencies.

However, to control runaway debt there are strict rules that must be followed. These are the Maastricht ³ rules which postulate that for any euro-country member, the total budget deficit limit of 3% GDP must not be exceeded, and that the total government debt must not exceed 60%. The international banking community knows that well, but it is also tacitly recognizes that the Maastricht rules can be circumvented legally through swaps. 

For Greece, the Greek Treasury Department together with the savvy, but tricky bankers of the investment bank Goldman Sachs devised a swap with fictional exchange rates so that Greece would receive a far higher sum than what the actual euro market could afford. Therefore, the Greek Treasury-Goldman Sachs combo, through creative accounting (or “financial engineering”, as it is otherwise known in the economic lingo), ignored the Maastricht rules and artificially reduced the value of the Greek deficit.

In 2005, Goldman Sachs sold the interest rate swap to the National Bank of Greece (NBG), the country’s largest bank, and charged NBG a hefty commission for the deal ²‚⁴.

Although it is widely believed that Greek finances have always been in a mess, it was Goldman Sachs that failed to explain the intricacies of this financing web to the public.  Between 2005 and 2009, the deficit each year had been far greater than the 3% Maastricht limit. In 2009 it exploded to over 12%.

Let’s get to the quick. Could greed have crept into the picture? We should not forget Lord Acton’s famous quotation “Absolute Power Corrupts Absolutely”…

______________________________________________________________________

¹ B. Marsh, Europe’s Web of Debt, The New York Times, 5, 2010.

² B. Balzli, How Goldman Sachs Helped Greece to Mask its True Debt, Der Spiegel, 2, 2010.

³ M. Buti and G. Giudice , European Commission, Maastricht’s Fiscal Rules at Ten: An Assessment, 3, 2002.

⁴ M. Mehra, Banks, Bonuses, Goldman Sachs, and Swaps – Institute of Directors.  CDS – an insurance contract, http://.iodoline.com/Articles/Banks.doc

Monday, November 21, 2011

WARREN BUFFET'S PROPOSAL FOR CONGRESSIONAL REFORM


By

By Spyros Pavlou, PhD

I love Warren Buffett. He is the only voice of reason and good sense in the midst of the chaotic economic decision making and political incompetence that is plaguing our country. Buffett’s proposal was posted on October 16, 2011 by Regis Tremblay of World Press,  and quotes Warren Buffett’s deliberations during an interview conducted by CNBC regarding the US national deficit. Mr. Buffett claimed:

“I could end the deficit in 5 minutes. You just pass a law that says that anytime there is a deficit of more than 3% of GDP, all sitting members of Congress are ineligible for re-election”.  Mr. Buffett’s ingenuity is admirable.

Warren Buffett articulated his ideas about the need to reform the US Congress in a fast and efficient way. He suggests bundling these ideas under one name: Congressional Reform Act of 2011. It appears that current polls posted by the news media suggest that the American people are ready to implement such a bold initiative.

Here is Mr. Buffett’s recipe for “fixing Congress”:  

1.    “No tenure / No Pension”. A Congressman collects a salary while in office and receives no pay when they are out of office”.
2.    “Congress (past, present & future) participates in Social Security. All funds in the Congressional retirement fund move to the Social Security system immediately. All future funds flow into the Social Security system, and Congress participates with the American people. It may not be used for any other purpose.
3.    “Congress can purchase their own retirement plan, just as all Americans do”.
4.    “Congress will no longer vote them-selves a pay raise. Congressional pay will rise by the lower of CPI or 3%”.
5.    “Congress loses their current health care system and participates in the same health care system as the American people”.
6.    “Congress must equally abide by all laws they impose on the American people”.
7.    “All contracts with past and present Congressmen are void effective1/1/12. The American people did not make this contract with Congressmen. Congressmen made all these contracts for themselves. Serving in Congress is an honor, not a career. The Founding Fathers envisioned citizen legislators, so ours should serve their term(s), then go home and back to work”.

“THIS IS HOW YOU FIX CONGRESS!!!”

These types of messages posted by credible and highly respected citizens such as Warren Buffett should be propagated to all people that are starving for alternatives means to move the country forward, so that all can aspire to reach the ultimate level of prosperity and happiness.

For further information on Warren Buffett’s, How to fix Congress you may contact Regis Tremblay at:

http://regtremblay.worldpress.com


Saturday, November 19, 2011

The Gander vs. the Goose Controversy

THE GANDER VS. THE GOOSE CONTROVERSY


By

Spyros Pavlou, PhD

Here we go again; his words against hers. He said, she said. He is right, she is questionable. He is credible, she is not. He is powerful, she is not. He is influential, she is not. He is wealthy, she is not. He is believable, she is not.

How can anyone in their right mind believe what these women say?

That’s what men wonder when they read about the sexual harassment accusations claimed against Herman Cain by two women, Sharon Bialek, and Karen Kraushaar. Obviously, we still live in a world of gender inequality and prejudice,

“What’s good for the gander is not good for the goose”.

Although it’s tacitly recognized that facts are facts, and perception is reality, it appears that perception favors the gander, not the goose. That’s how it is in a patriarchal social environment; men get the benefit of the doubt, women don’t. I know, I was made and raised in Greece…a male dominated society.

It’s despicable to witness a candidate aspiring to hold the highest and most honorable position in this country act like a moral vermin of sexual behavior towards women. All four accusers cannot be insane and be driven by ulterior motives, as Mr. Cain insinuates.

It is unconscionable that we continue to strip women of their dignity. Mr. Cain has to come clean, and have the decency to admit his shameful behavior. If he is truly a “serial sexual harasser”, he does not deserve to be president of this country. 

Saturday, October 29, 2011

  
 Experiencing the World Economic Quagmire: Is the Quicksand devouring us?

By

Spyros Pavlou, PhD


I recently saw an interesting graphic published by the NY Times. It was entitled “Europe’s Web of Debt” Well, I call it “The Vicious Pentagon”. It depicts graphically the moneys owed between five European countries with shaky economies. Each country is shown as the apex of a pentagon. The US was not included in the graphic, but if it did, I would call it the “Vicious Hexagon”. 

To put this analysis into perspective, I included the US as part of the debt-per-capita comparisons. The table below summarizes the total Debt-Per-Capita for each of the five European countries including the US as a point of reference.   

Country         ªDebt-per-Capita ($)           *Population (Millions)    ¹Tot Debt (Billions)
                                                                         
Ireland                  206,429                                 4.2 º (0.0137)                                    867
USA                      38,737                               307.2 (1)                                         11,900
Spain                      27,160                              40.5 (0.132)                                      1,100
Portugal                 26,729                              10.7 (0.035)                                         286
Italy                         24,096                               58.1 (0.189)                                      1,400
Greece                   22,056                              10.7 (0.035)                                         236


*Population figures are as reported in the CIA World Fact Book
¹Total Debt is from the NY Times figures
ª Debt-Per-Capita is computed as the Total Debt divided by the Country’s Population
º Values in parentheses are the fraction of the country’s population as compared to the US

It’s surprising to see that the US ranks behind Ireland, and Greece appears to be the most fiscally responsible among the countries examined here. Economic induced riots and public unrest are occurring in all countries irrespective of their size.

This simple mathematical exercise confirms that the world is financially interconnected, and it really doesn’t matter which country one lives in. So, we all appear to be in dire straits economically. Obviously, debt is a universal disease that should be exterminated immediately if we are to survive as a world entity.

Tuesday, August 23, 2011

AMANDA'S WEDDING: A LIFE MILESTONE, 08212011


AMANDA’S WEDDING: A LIFE MILESTONE, AUGUST 21, 2011

I want to propose a toast to Amanda and Steve.

Most of you know that Amanda does not make decisions easily. Amanda is a deep thinker. She is a strong and independent woman. Amanda has a very unique and rear attribute: she has a great childlike innocence.

Amanda, thank you for the opportunity you have given me to be your father. I was proud of you since the second you arrived on this world, I was proud of you over the years I watched you grow up, I am proud of you to enjoy you as the complete woman you have become now, and I will be proud of you for the rest of my life.

Steve, I love that you honor my daughter. I am impressed with the initiative you showed by calling me several months ago to invite me for lunch. I was suspicious that something was cooking. I was thrilled when you asked me for my daughter’s hand. But at first I thought that I shouldn’t make it easy for you. So, I developed a lot of questions to confirm your intentions.  But after I looked into your eyes, your gaze disarmed me.

“He is an exceptional salesman, or he is genuinely sincere”, I thought. I selected the second option.

Steve, I am confident that you will love and care for Amanda with honor and respect. So, to my new son I toast with my warmest wishes for a happy life with Amanda.

And to all of you, the community of family and dear friends, let’s raise our glasses to your commitment that you will love and support Amanda and Steve always.