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~ USA Headed for a 5th Revolution! Why?

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Monthly Archives: October 2015

#167 Racism, Discrimination, Diversity Aren’t Relevant. Look in the Mirror.

31 Saturday Oct 2015

Posted by Jordan Abel in Causes of the Revolution, Education Issues, Societal Issues

≈ Leave a comment

First-time readers, this blog is set in the future (sometime after the year 2020).  Each entry assumes there has been a 5th revolution in the US — the Revenge Revolution.  More about Revenge Revolution and author, Entry #1.  List and general description of entries to date.

Note: most characters appear in a number of entries, with many entries building on previous conversations.  Profile of characters.  You’ll catch on quickly.  Thanks for your time and interest…and comments. 

Scene: coffee shop near Jordan’s office.  Matt, a reporter for a major newspaper, had interviewed Jordan for an earlier series of articles. Jordan and Matt having a conversation about Matt’s upcoming book, the causes of the Revenge Revolution.  This general conversation starts Entry #165.

Matt: “Early on in the conversation you said there were three major factors 092615_2031_Characters11.pngcontributing to the Revenge Revolution. We’ve talked about two – policies of the so-called Republican Taliban and the unintended consequence of the NRA opposition to any gun control measures. The third was…”

Jordan: “…a perceived lack of commitment by the black community to improve.”

Matt: “That comment seems cruel.”

TurtleneckJordan: “There are always multiple issues leading to a revolution. One can argue whether these three are the most important but I think the issues had a major influence.”

Matt: “Talk more about why you think there was, maybe still is, a lack of commitment to improve by the black community. Seems so controversial.”

Jordan: “The statement probably is controversial, at least to a lot of people. To me the statement is the elephant in the room that people, especially politicians and the black community, don’t want to address.”

Matt: “How did you support your conclusion?”

Jordan: “There was no preconceived conclusion so I had nothing to support. Reaching a conclusion…or at least trying to reach a conclusion was intentional but there was no preconceived notion about what the conclusion would be.”

Matt: “You think you were objective in the analysis? I mean, reaching a conclusion about a segment of society seems like…you know, seems like pushing the envelope of objectivity.”

Jordan: “To me the analysis was straightforward.”

Matt: “Let’s not do it today but sometime soon I would really appreciate understanding your approach to problem solving.”

Jordan: “Glad to share the methodology with you. There’s no magic to it, really.”

Matt: “OK. Understanding your approach will be helpful for me. Apologies for the sidebar. Back to the topic at hand.”

Jordan: “The first question I asked myself was simple. ‘After 150+ years since the ladderEmancipation Proclamation, why are blacks still at the bottom rung of the economic ladder?'”

Matt: “Many people will claim the reason is discrimination, racism, profiling…and stuff like that. And some claim the culture in the native land is different from the US.”

Jordan: “Here’s the fallacy in those arguments. Every ethnic group in this country has faced the same issues.”

Matt: “But has the discrimination been as severe as it has been for blacks?”

Jordan: “When people claim other groups haven’t suffered as much, I show them some pictures. I carry one on my phone just to make a point.”

No Irish Blacks DogsMatt: “Mmmm. Sign says ‘No dogs, no blacks and no Irish.'”

Jordan: “And you can find similar examples for every other ethnic group, whether in the US, in England…you pick the country.”

Matt: “So then I take it you asked “Why have the other ethnic groups progressed while blacks have stayed at the bottom?’ Right?”

Jordan: “Exactly. The focus was trying to understand why.”

Matt: “Did you conclude why society stopped discriminating against other groups?”

Jordan: “Society has not stopped discriminating against other groups. Whenever…I should say almost always…a group in the minority is discriminated against.”

Matt: “Never thought about discrimination quite like that. I see your point. In a community of mostly blacks, I might be discriminated against.”

Jordan: “I’m not claiming the discrimination is always intentional. But discrimination happens.”

bbq pork 5Matt: “Such as you going to a conference and the lunch options are a pulled pork BBQ sandwich and Caesar salad with bacon chips in the dressing.”

Jordan: “You’d think that would not happen at conferences but it does.”

Matt: “So what do you do?”

Jordan: “Smile and figure out what I can eat and move on. I might send a note to the event coordinator as a reminder. I understand most of these incidents are unintentional or out of ignorance.”

Matt: “Do you think a diversity or sensitivity program would help?”

Jordan: “Probably. But diversity is not a critical factor in making the kind of change we’re talking about.”

Diversity ProgramsMatt: “Why not? Many school systems have diversity programs.”

Jordan: “True. Diversity programs in local schools also have drawbacks. My view is pushing diversity programs in schools hurts rather than helps the black community.”

Matt: “Why?”

Jordan: “Diversity programs require moving kids from one school to a different school. If the local school were diverse there would be no need to transport the kids.”

Matt: “And moving means busing.”

School Bus 2Jordan: “Busing means kids have less time to study, less time to play, less time for after-school programs…and irony of all ironies, all the interaction of kids on the bus is with kids who are ‘not diverse’, which is the exact opposite of what the program is designed to accomplish.”

Matt: “Does anyone ever think about what you just described?”

Jordan: “Either not in depth, or if they have thought about, they don’t talk about it because it’s not politically correct.”

Matt: “See what you mean.”

Jordan: “What’s even less PC is calculating how many parents who focus on their kid’s education pull the kids out of public school.”

Matt: “Is there any value in busing?”

Jordan: “Some aspects are probably positive. But the negatives seem to far outweigh the positives. And who knows the true cost to taxpayers.”

Matt: “Listen, I need more coffee. Tell me you conclusion so I can think about it over the break.”

mirror-clipart_jpgJordan: “OK. The black community needs to look in the mirror and begin taking personal responsibility for their kids education. Every other ethnic group has educated their children as a way of getting off the bottom rung.”

Matt: “What about the effects of slavery?”

Jordan: “Slavery is an excuse and not an inhibitor to taking personal responsibility. Let’s go get a refill.”

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#166 NRA Contribution to the Revenge Revolution

24 Saturday Oct 2015

Posted by Jordan Abel in Causes of the Revolution, Societal Issues

≈ Leave a comment

First-time readers, this blog is set in the future (sometime after the year 2020).  Each entry assumes there has been a 5th revolution in the US — the Revenge Revolution.  More about Revenge Revolution and author, Entry #1.  List and general description of entries to date.

Note: most characters appear in a number of entries, with many entries building on previous conversations.  Profile of characters.  You’ll catch on quickly.  Thanks for your time and interest…and comments. 

Scene: coffee shop near Jordan’s office.  Matt, a reporter for a major newspaper, had interviewed Jordan for an earlier series of articles. Jordan and Matt finished a side conversation about VW and returned to a conversation about Matt’s upcoming book.

092615_2031_Characters11.pngMatt: “Tell me why you think the NRA contributed to the Revenge Revolution.”

Jordan: “I don’t think it was a conscious effort. Really an unintended consequence.”

Matt: “OK, help me understand your logic.”

Jordan: “The logic is simple. The NRA became power-hungry and tossed rational Turtleneckthinking to the wind.”

Matt: “In what way?”

Jordan: “At one time the NRA supported gun-control legislation. Actually the NRA helped write gun-control legislation.”

Matt: “Really? I didn’t know that. What changed?”

ReaganJordan: “The NRA would like you not to know they supported gun control. But what changed is adoption of Ronald Reagan’s mantra of ‘Government is the problem, not the solution.'”

Matt: “So the change happened late 1970’s, early 1980’s?”

Jordan: “A palace coup at the NRA. Emphasis by the new leadership changed from responsible gun ownership to any weapon you want because the government is going to take your gun away.”

Matt: “Isn’t that description a bit harsh? What about the ownership rights under the 2nd Amendment?”

Jordan: “What about the rights? For 100 years the NRA interprets the 2nd Amendment one way. Then the new leadership decides to reinterpret the Constitution because they 2nd amendmentthink the previous interpretation is too liberal.”

Matt: “I suppose one can argue why the NRA changed interpretation but how did the NRA contribute to the Revenge Revolution?”

Jordan: “Under new leadership the NRA resisted any effort to restrict gun ownership, any effort to have effective background checks and any effort to have registration of firearms.”

Matt: “The 2nd Amendment says people should have a right to own firearms.”

Jordan: “Most everyone agrees with that statement.”

Matt: “Then what is the issue with ownership?”

ElephantsJordan: “The type of firearms. No one needs a 50-caliber rifle.”

Matt: “Maybe there’s a herd of wild elephants about to attack.”

Jordan: “I know you’re trying to be funny. But have you ever fired a 50-caliber rifle? Ever fired even an M-16 in semi-automatic mode?”

50_cal_rifle_by_bebop953Matt: “No. What’s it like? You were in the military, right?”

Jordan: “Yes. Trust me, firing these weapons is not like a video game. The most polite term I can think of is ‘scary.’ Really scary. You’d be shocked at the destruction just one of these weapons can cause.”

Matt: “But, as you said, the military has these weapons.”

Jordan: “The military has these weapons for a single purpose. To blow the crap out of everything in its way. These weapons are not toys. The weapons are designed for one purpose – destroy. These are not ‘sporting arms’ for fun and games. The weapons are meant to destroy – things and people.”

Matt: “Are you saying by allowing so many people to have these kind of weapons, the NRA gave the upper hand to those who started the Revenge Revolution?”

Jordan: “Think about who started the Revenge Revolution. It wasn’t the upper 1%. It wasn’t the upper 10% or even the upper 50%. The Revolution was started by those 092615_2031_Characters8.gifwho worked hard but whose real income had declined for many years. Lots of those people had voted Republican.”

Matt: “Then they realized how much they had been shafted.”

Jordan: “And guess who had most of the firearms?”

Matt: “What about the police…and even the military? They have all these weapons.”

Jordan: “True. But they don’t have the manpower. Once the Revolution started, it spread quickly.”

social-media-iconsMatt: “The benefits and bane of social media.”

Jordan: “Really no way to stop it. And the role of the police and military is not to kill a bunch of people just because there is some political upheaval.”

Matt: “Plus, there were too many outbreaks in too many locations to control.”

Jordan: “The question then is ‘Would the Revenge Revolution have been different without all the heavy-duty firearms in citizens’ hands?'”

Matt: “Your take is what?”

Jordan: “I think the Revenge Revolution would have happened anyway. My point was the NRA was a contributing factor, not the sole cause. The Revolution might have taken longer and the reforms not as pronounced but there still would have been a Revenge Revolution.”

CongressMatt: “Shortly after the Revolution, there was an election and a revamped Congress. Congress then passes gun control legislation.”

Jordan: “Passes legislation with little resistance from gun owners. Why? Because I think the gun owners saw how close the country came to a bloody revolt. Almost another Civil War but with really nasty firearms. And the gun owners also realized what folly the NRA had been promoting.”

Matt: “How ironic for the NRA. The group the NRA relied on for support came back to bite it.”

Jordan: “Let’s take a break.”

#165 Republican Taliban

17 Saturday Oct 2015

Posted by Jordan Abel in Causes of the Revolution, Gov't Policy, Possible Solutions, Societal Issues

≈ 2 Comments

First-time readers, this blog is set in the future (sometime after the year 2020).  Each entry assumes there has been a 5th revolution in the US — the Revenge Revolution.  More about Revenge Revolution and the author, Entry #1.  List and general description of entries to date. 

Note: most characters appear in a number of entries, with many entries building on previous conversations.  Profile of characters.  You’ll catch on quickly.  Thanks for your time and interest…and comments. 

Scene: coffee shop near office. Jordan meets Matt, a reporter for a major newspaper. Matt interviewed Jordan for an earlier series of articles. Jordan and Matt have finished side conversation about VW. Returning to conversation about Matt’s upcoming book.

Jordan: “Alright, Matt. Let’s talk about your book. What’s the title?”

092615_2031_Characters11.pngMatt: “No title yet but the theme is whether the behavior of fundamentalists contributed to the Revenge Revolution in the US.”

Jordan: “You mean fundamentalists like we consider the Taliban to be fundamentalists?”

Matt: “Yes, but the groups I’m focusing on are in the US, so really no Taliban.”

TurtleneckJordan: “What about Republican fundamentalists who refused to compromise and govern. Would they qualify?”

Matt: “If you think so. What I’m looking for is individual’s opinion on what groups and/or events they consider precipitated the Revenge Revolution.”

Jordan: “As you know, revolutions don’t just happen. Over time the populous gets frustrated and angry about a series of events.”

Matt: “Then one day, an event – even a seemingly small event – puts them over the top and voila, a revolution.”

Jordan: “I tell you what would help me – picking a point in time where events really began to change my thinking.”

ScaleMatt: “When I talk to people about such events, most mention 2015 as a tipping point. A tipping point not for the revolution but for them beginning to think differently.”

Jordan: “Any particular event in 2015 mentioned more frequently?”

Matt: “No. People just remember the year when they scratched their head and asked, ‘What is this or that group doing?”

question.jpgJordan: “I agree. 2015 was a year of childish actions by some people who should have been acting like adults. Nothing catastrophic like a president being assassinated. Just a lot of events that really started to gnaw at me.”

Matt: “OK. What events are on your list?”

Jordan: “Three come to mind right away. #1 the so-called conservative Republicans forcing out John Boehner as Speaker of the House, and then having no plans to govern. #2 Refusal by the NRA and many of the same Republicans to consider some type of gun regulation, even after a number of mass killings. #3, which didn’t get much publicity but an example of people not taking responsibility. The gathering in Washington of blacks to mark the 2Oth anniversary of the Million Man March.”

Matt: “I’d like to hear more about each one. Take them in order.”

RantJordan: “The behavior of the Republicans…more like Republicants or even Republirants…baffles me and apparently many other people.”

Matt: “I think I know but what behavior was so troubling?”

Jordan: “Refusal to listen to, let alone accept, another opinion. From the perspective of those Republicants, there’s one view of the world – theirs.”

Matt: “Just like the Taliban?”

Jordan: “A good name for the group is the Taliban Republicans.”

Matt: “I’m certain they would prefer the label conservative Republicans.”

Jordan: “Probably so but the group is anything but conservative. Despite claims to the contrary, Republicans’ fiscal policies have increased the national debt significantly. debtReagan and Bush 43 added far more to the national debt than Clinton and much more than Obama, despite Obamacare and bailing out the banks. Plus, the republicans absolutely opposed any effort to reduce carbon footprint. ”

Matt: “Aren’t most of the members religious conservatives – fundamentalist Christians?”

Jordan: “Guess that group forgot to read the Bible. There are repeated references and mitzvot – commandments – to save the earth.”

Matt: “What else about the Taliban Republicans?”

Jordan: “Refusal to govern. At least the real Taliban makes an attempt to govern. The Taliban Republicans seemed to have forgotten, they were elected to run the country, not shut it down. The US population is 350+ million. Not everyone thinks the same way.”

Matt: “But the Taliban Republicans…I guess I shouldn’t use that term…believe the majority of people who elected them support their Taliban-like behavior.”

Jordan: “That might be true for some districts. And you asked what I thought caused bossy-motherthe Revenge Revolution. Well, a major contributor is people who act and think that their way is the only right way. No consideration for a different views and no compromising because compromising would tarnish their principles. Just like the Taliban.”

Matt: “You mentioned forcing out John Boehner as a key event. Why?”

Jordan: “The Taliban Republicans focused on forcing him out with no plan to govern afterwards. It is one thing to disagree. But if you disagree you need an alternative solution. Anyone who’s run an organization knows practical alternatives are critical…and one needs to be willing to work with others to develop alternatives. Just saying no is not a realistic solution.”

Matt: “Why do you think the Taliban Republicans didn’t propose some practical alternatives…or at least be willing to compromise?”

Jordan: “Really want to know why?”

Matt: “Yes, please.”

Jordan: “Because virtually all of them, maybe all of them, are lawyers. And for many lawyers, events involving people who have a different view are a zero-sum game – a winner and a loser. Most lawyers have never run organizations where you have to compromise. You just can’t walk out of a courtroom and say gee, lost that one. When you run an organization, all involved live with the decision.”

Matt: “But aren’t most members of Congress lawyers?”

open-mindedJordan: “Yes. And listen to members of Congress who’ve been around a while. Those members talk about when a light bulb when on in their head.  They started to get things done when they learned the art of compromising.”

Matt: “Compromise is a word not in the lexicon of Taliban Republicans.”

Jordan: “That’s my point. Let’s take a break, then address the other examples.”

#164 VW: Throw the Bums Out!

10 Saturday Oct 2015

Posted by Jordan Abel in Corporate Policy, Gov't Policy, Societal Issues

≈ Leave a comment

First-time readers, this blog is set in the future (sometime after the year 2020).  Each entry assumes there has been a 5th revolution in the US — the Revenge Revolution.  More about Revenge Revolution and the author, Entry #1.  List and general description of entries to date. 

Note: most characters appear in a number of entries, with many entries building on previous conversations.  Profile of characters.  You’ll catch on quickly.  Thanks for your time and interest…and comments. 

Scene: coffee shop near office. Jordan meets Matt, a reporter for a major newspaper. Matt interviewed Jordan for an earlier series of articles.  This entry a continuation of #163.

092615_2031_Characters11.pngMatt: “I know we agreed to talk about the book. But during the break a couple more questions about VW came to mind.”

Jordan: “OK, but not too many.”

Matt: “Just in case POTUS’ office might have called you for advice…this is all hypothetical of course…”

Jordan: “Of course.”

vwMatt: “…what would you have told POTUS after hearing the congressional testimony of VW’s head of US operations?”

Jordan: “You mean Michael Horn?”

Matt: “Yes, Mr. Horn.”

Jordan: “Did you ever listen to Car Talk on NPR with Tom and Ray Magliozzi?”

Matt: “All guys listened to Car Talk. Great show.”

TurtleneckJordan: “And what did Tom say when an answer was obviously wrong or farfetched?”

Matt: “B-o-o-o-o-o-gus.”

Jordan: “I think Mr. Horn’s explanation to the congressional committee qualifies as B-O-G-U-S.”

Matt: “Why so?”

Jordan: “Horn, excuse me Mr. Horn, claimed none of the senior management at VW knew about the software program override. Only a couple of rogue engineers were responsible.”

Matt: “What’s wrong with that explanation? GM said only a couple of mid-level engineers knew about the ignition switch design flaw.”

Jordan: “The ignition switch for GM…or any auto company…is what I would call a ‘non-issue’ part. I mean, what’s there to get excited about? Yes, and I know GM should have checked the specifications when the part was redesigned.”

Matt: “But the VW diesel program was much higher profile than some ignition switch. So there would have been more scrutiny. Right?”

Jordan: “VW bet the farm on its new diesel engine technology. VW claimed the new engine technology would meet all emissions standards worldwide without the supplemental spray system used by Mercedes and BMW.”

casino-1374303Matt: “See your point. If the company’s future is riding on making the diesel program successful, the program gets lots of attention and scrutiny.”

Jordan: “VW is a very top-down organization – not unusual for a German company. The chances that a few lower-level engineers initiated the emissions override program without approval from senior management is laughable. Even if they did initiate the solution, how would they hid it from others inside VW and from vendors? And tests at the proving grounds? Someone checked to make sure the override system kicked in when cars were tested for emissions in Europe and in the US. Just think about all the states that test for emissions. The override was designed to work with a range of equipment. And no one knew?”

Matt: “You really think the CEO knew about the software program?”

Jordan: “Here’s what I think. The CEO knew the new diesel engines did not meet emissions standards. And the CEO directed engineering to fix the problem. And this is what doesn’t pass the smell test, the CEO says to the engineers, in effect, ‘Fix the problem but don’t give me any details about the solution.'”

Matt: “The CEO might be technically right claiming he did not know the details.”

gangster-cartoon-clip-art-540pxJordan: “That’s like a mafia don, after telling Guido to take care of so-and-so, claiming he did not know what happened.”

Matt: “At some point, the CEO has to ask, ‘Is the problem fixed? And he asks the follow-up question, ‘Does the solution meet all emissions standards worldwide?”

Jordan: “If the answer is ‘yes, it meets all standards for testing,’ or similar words, then the CEO needs to ask, ‘What about standards while driving?'”

Matt: “It’s easy to be a Monday-morning quarterback and say, ‘you could have…’ or ‘you should have…’ Are you being fair? Are you being a Monday-morning quarterback?”

Jordan: “Matt, the questions I’m asking are so basic that anyone with a brain the size of a pea would ask them. As CEO you bet the future of the entire company on one technology and you expect us to believe you don’t probe to find out if it really works?”

Matt: “His answer doesn’t seem logical.”

money questionJordan: “Here’s another test of my rationale. Tonight tell your wife you are taking all the money out of the 401k’s and other accounts. Then you are going to Las Vegas and play poker because you have a new way beat the odds. Then see how many questions she asks.”

Matt: “I cannot imagine how many. Alright, a couple more questions, then we’ll talk about the book. VW said the fix could take a couple of years. Also, VW said it would not buy back any cars from existing owners. Thoughts?”

Jordan: “More chutzpah from VW. First comment – tell VW and the owners the cars cannot be registered in any state without the fix. Emissions are 40x the target level and a safety and environmental hazard.”

smoke-from-vehicles-clipart-i17Matt: “For VW diesels owners, not being able to register seems unfair.”

Jordan: “VW buys them a new car or provides a rental at no cost until their car meets emissions standards.”

Matt: “VW said it would not buy back any cars.”

Jordan: “What I said to POTUS…hypothetically, of course…was TS. VW knowingly broke the law. And not just one year but 3-4 years. The cars have 40x times allowable emissions. Get VW owners a new car or rental until the problem is fixed. Criminals do not get to make the rules.”

Matt: “I know emissions are a problem but people drive old cars with high emissions. What about your Miata? What about cars from the 1950’s and 1960’s?”

Jordan: “All those cars met emissions standards when introduced. Previous model year cars have always been grandfathered for safety and emissions standards. Beside the number of cars without emissions equipment is small…and owners don’t drive many miles.”

Matt: “Back to the really tough question – criminal intent. Do you charge the VW exec’s with a crime?”

jailJordan: “Absolutely. Some of the guys at the top need to go to jail. I cannot speak about the guilt of Mr. Horn. There were several layers of management above him and he was not calling the shots.”

Matt: “If the US guy is innocent, that means prosecuting through the EC or in German courts. What’s the likelihood of a conviction?”

Jordan: “VW exec’s need to feel real pain. Otherwise they will continue to give the finger to regulators in the US and Europe. My hypothetical suggestion to POTUS was initiate an all-out effort by DOJ, EPA and the state DA’s to bring the VW exec’s to trial. It needs to be a public trial. No plea bargaining. No consent decree with a fine. Make it as painful as possible.”

Matt: “What about saving the VW brand? All the dealers; all the customers and suppliers?”

Egg on FaceJordan: “Cleaning house at the top of VW and jail time for those involved is the only way to save the company.”

Matt: “As the old Brooklyn Dodger fans used to shout, ‘Throw the bums out.'”

(We’ll talk about Matt’s book the next session)

#163 VW Emissions Debacle

08 Thursday Oct 2015

Posted by Jordan Abel in Corporate Policy, General Motors, Gov't Policy, Societal Issues

≈ 1 Comment

First-time readers, this blog is set in the future (sometime after the year 2020).  Each entry assumes there has been a 5th revolution in the US — the Revenge Revolution.  More about Revenge Revolution and the author, Entry #1.  List and general description of entries to date. 

Note: most characters appear in a number of entries, with many entries building on previous conversations.  Profile of characters.  You’ll catch on quickly.  Thanks for your time and interest…and comments. 

Scene: coffee shop near office. Jordan meets Matt, a reporter for a major newspaper. Matt interviewed Jordan for an earlier series of articles.

Jordan: “Matt, been a long time. Nice to see you.”

092615_2031_Characters11.pngMatt: “Nice to see you Jordan.”

Jordan: “Tell me about the book you’re working on.”

Matt: “That’s one of the reasons I called you. Before we talk about the book, I want to ask you about an issue that still troubles me…and that you can provide some insight.”

Jordan: “What’s that?”

Matt: “The VW emissions debacle – programming the software to rig the emissions tests. And I have it on good authority that someone in POTUS’ office called you for advice when it happened.”

021214_1242_24Resultsof1.gifJordan: “You know I can’t confirm whether anyone called, even though it’s a few years later. What I can tell you is what I would have told them if they had called.”

Matt: “OK, we’ll frame the conversation as a hypothetical. I’ll pretend I’m from POTUS’ office. Now, what’s your take on what really happened at VW?”

Jordan: “I only know what I read in the papers. But if what has been reported is anywhere close to the facts, the action by VW was the most blatant violation of federal auto laws by far. Nothing else comes close.”

Matt: “I know this might sound odd but what’s so blatant? Other companies have violated safety laws. VW’s violation was only emissions.”

vwJordan: “C’mon. Emissions are a safety issue…a safety issue for society. But the real difference is VW violated the laws knowingly. And from all indications, the violations were directed by senior management.”

Matt: “You really think senior management knew?”

Jordan: “If senior management didn’t know, they all should be fired. Probably should be fired anyway. I mean, the head of US operations – Horn, Michael Horn – was told at least two years before the public announcement.”

Matt: “So one of his underlings says, ‘Houston, we have a problem.’ And the top dog responds, ‘OK.'”

TurtleneckJordan: “Allegedly, Mr. Horn – great name for a car guy – never bothers to probe. Where were such questions as, ‘What is the problem?’; ‘How severe?’; ‘What are the consequences?’; ‘How long will it take to get fixed?’; ‘Were any EPA or NHTSA rules broken?’; ‘What will the fix cost?’; and a bunch of other obvious questions you’d expect from senior management.”

Matt: “As bad as VW’s violation was, they’re not the first. What’s different about VW than say GM’s failure of the ignition switch?

Jordan: “Fair question. I think two major differences. First GM was at fault for the design. No question. But the intent to defraud, if there was one, was confined to one or two people. I am not aware of any senior managers charged with fraud.”

GM-Ignition-recall-2014Matt: “Shouldn’t GM have caught the failure in testing or at least a potential problem during a review of the specifications?”

Jordan: “Yes. My understanding is the design engineer also signed off on the changes. No having an independent review was a mistake and a flaw in GM procedures.”

Matt: “What’s the second difference?”

Jordan: “People get upset when I explain – and claim – some of the deaths linked to the ignition switch failure can be attributed to driver behavior.”

Matt: “How so. Doesn’t seem right, but how so?”

Jordan: “You know enough about cars that if the power steering and power brakes…actually power-assisted steering and brakes…fail you can still maneuver and stop the car.”

Matt: “My grandfather had an old pick-up truck that he used to let me drive. The truck had manual steering and brakes. It was a bit harder to steer but not that much.”

Jordan: “Most of the deaths attributed the ignition switch were younger people so it’s doubtful the drivers had any experience, or even knowledge, of operating a car without power steering and brakes. Plus…”

Matt: “Plus what?”

seat_belt_required_signJordan: “Some of the drivers and occupants were not wearing seatbelts. Probably one out of every 5 or 6 people, maybe more.”

Matt: “Hadn’t thought about not wearing belts. Belts are operated mechanically and work whether or not the car has any power.”

Jordan: “Like I said, not a very popular observation. I’m not saying GM’s not at fault. Just that the effort to deceive was confined to a couple of people.”

Matt: “I know we could talk about problems at Toyota, the airbag supplier Takata but let’s go back to VW. What do you think the penalty should be?”

Jordan: “You mean, what did I tell POTUS’ office had they asked?”

Matt: “Yes, had they asked.”

Jordan: “At a minimum VW needs to fix the 11,000,000 diesel cars with the emissions override program. Then for customers who are dissatisfied with lower performance, lower mpg, or whatever, VW should buy back the cars.”

Matt: “At what price?”

Jordan: “Current list price. No allowance for depreciation. And maybe even some sales tax. People have to buy another car.”

Matt: “What about people who want to keep their VW?”

Jordan: “Some compensation for reduced value of the used car.”

Matt: “What about penalties?”

Money-clip-artJordan: “The potential fine in the US is something like $18, billion. That’s 18 and nine zeros. Not sure about Europe.”

Matt: “What about the government forcing VW to cease operations? At least stop selling in the US.”

Jordan: “Doing so might make some people feel good. But doing so makes the current owners SOL, as it were. If the market forces them out of business, OK. But the government should not.”

Matt: “No easy solutions. What about the VW executives?”

PrisonerJordan: “Someone or some bodies need some jail time. There was clear intent by VW management to defraud. Defraud government, consumers and the general public. The icing on the cake is VW sought Green Seal approval. Imagine, a Green Seal for a car that spewed out 40 times allowable emissions. What gall. Anything less than jail time would not be a deterrent for others.”

Matt: “Thanks for the briefing…just in case POTUS’ office asked for your opinion. Let’s get more coffee, then back to the book.”

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