THAT WORM TURNED :

A Worm at the Core of Capitalism (Sebastian Mallaby, June 10, 2002, Washington Post)

[T]he new attack on business is not just about plutocratic greed. It is about the core principles of capitalism. Our system is supposed to reward people for producing stuff that others want. Enron and Adelphia and Tyco poison this system of meritocratic reward: Their bosses did well not because they served consumer needs, but because accountants lied about their records. When firms cheat like this, capitalism forfeits both efficiency and morality. [...]

Forget the dumb attacks on globalization and free markets. The real injustice is that firms are rewarded for lies and lobbying clout, rather than for producing honest goods and services. The scandal isn't capitalism, in other words. It's that capitalism has been corrupted.

Where the heck has Mr. Mallaby been for the past year? The system worked. The stock values of these companies have been savaged. They're worth pennies. The people who ran them are broke and on trial. You can fool the market for awhile, but it eventually catches up to you. Capitalism worked because capitalism works. Posted by Orrin Judd at June 10, 2002 7:27 PM