The Economic Collapse and Educational Values

The president of Hampshire College muses on the education received by those responsible for the current financial crisis. He likes portfolios:

Get the best result now and don’t worry about the day after tomorrow. Maximize stock value at the end of the quarter. That way you’ll get the biggest bonus package this year. Is there a way to take advantage of market movements and make a killing tomorrow, in the next hour, in the next 10 minutes?

It goes on. Get as many folks signed up for mortgages at the low introductory interest rate and don’t worry about what happens when the rate resets. Home buyers: Get that introductory rate. Don’t worry about resets or the possibility the economy may sour. Back to brokers and local banks: Take the commissions and sell the mortgages now. Bigger banks: Bundle those mortgages and take the profits by selling them. Get the risk off your books. Put it elsewhere. Don’t worry what happens once you resell the mortgage. Just jump that next hurdle.

The system we use to grade students doesn’t just mirror this scale of values. It blesses and promotes it.