By Frederick Mann
3/8/2000 (updates and examples added later)

Introduction
Similar to "political correctness" there's "economic correctness." Overcoming "economic correctness" can help you gain your financial freedom. Hopefully, this article will help you do just that.

"Economic correctness" may keep you stuck in a dead-end job -- poor or relatively poor for the rest of your life. "Economic correctness" may prevent you from losing money in a myriad of ripoffs and scams. But "economic correctness" may also prevent you from gaining the riches every man, woman, and child on earth deserves.

Here's an extreme example from a presumed "libertarian":

>Quite frankly, I'm appalled that you took something so beautiful as freedom
>and building freedom and combined it with something so despicable as a
>get-rich-quick Internet pyramid scheme or so-called "Internet marketing"
>as if they had anything to do with each other. It's sick. Oh but you will
>probably never read this, so I won't bother getting into why money making
>schemes should not be disguised behind libertarian motives.

Scale of Economic Activities
Consider a continuum, spectrum, or scale of economic activities:

Working at a job (making others rich?)
Working hard to earn money
Earning and using money
Using barter
Paying your bills
Saving for the future
Investing in the stock market
Inventing or developing new products and services
Buying government bonds
Buying bank CDs
Losing money in the stock market
Defending your property
Reporting your earnings and paying your taxes
Buying a home because it's a good investment
Participating in social-security systems
Obeying economic and financial laws in every way possible
Educating yourself so you can earn more money
Becoming a lawyer
Using nonprofit corporations
Using limited-liability corporations
Using copyright and patents
Buying on credit
Borrowing money
Food processing
Working for the government
Banking
The Federal Reserve System
Fractional-reserve banking
Charging and/or paying interest
Economic forecasting
Advertising
Printing paper money
Failing in business
Declaring bankruptcy to avoid obligations
Insurance
Affirmative action
Rent control
Being a spendthrift
Welfare
Obtaining government subsidies
Pork-barrel legislation
Tariff protection
Labor unions
Government licensing
Commodity and futures trading
Speculation
Derivatives
Selling short on the stock market
Venture capitalism
Junk bonds
Gambling
Investing in "bank debentures"
Price fixing
Price gouging
Cornering a market
Telemarketing
Multi-level marketing
Chain letters
Cheating
Prostitution
Bribery and corruption
Pyramid or ponzi schemes
Insider trading
Usury (high rate of interest)
Operating monopolies
Using offshore tax havens
Being a slumlord
Check kiting
Smuggling
Black-market activities
Economic discrimination
Blackmail
Not paying taxes
Stealing
Ripping off gullible or helpless consumers
Exploiting workers
Pickpocketing
Counterfeiting
Identity theft and impersonation
Credit card scams
Misrepresentation and fraud
Investment scams
Embezzlement
Drug trafficking
Selling cigarettes and alcohol
Hooking people on prescription drugs
Protection rackets
Burglary
Kidnapping
Slavery
Mugging
Armed bank robbery
Murder for money
Government wars
Creating Your Own Scale
I suggest you rearrange this scale for yourself so it's more or less in sequence of what you consider best at the top to what you consider worst at the bottom.

Add other economic activities, if you like.

Now draw a line somewhere on the scale to serve as a demarcation between economic activities you would engage in because you consider them moral, and those you wouldn't engage in because you think them immoral. In other words, above your line are moral economic activities and below the line are immoral activities.

Criteria for "Correctness"
Then identify the principles, criteria, or yardsticks you use to distinguish between moral and immoral. For example, you might regard an activity as moral because it's legal or immoral because it's illegal. Or you may use what the Bible, Koran, or some other religious text says about particular economic activities. A possible criterion is whether an economic activity can result in some people losing money. Another is whether you consider an activity generally constructive or destructive. Another criterion might be what your parents approve and disapprove of.

Now ask yourself to what extent your judgment about what's good and evil is based on rational analysis, emotions, or cultural traditions? Why are certain economic activities legal in one country but illegal in others?

The Bible says that "the love of money is the root of all evil." If you believe this, should you put all economic activities that involve money on the evil side of your line?

Economic Slavery
Consider the possibility that economic systems are games controlled by certain people to some extent to their own advantage and to some extent to the disadvantage of the vast majority. Set up the game so that after paying the taxes and bills there's nothing left at the end of the month for most? Manipulate the game so many individuals, companies, and countries run up huge debts on which massive interest is paid to the few who control the game? Force children into government schools and indoctrinate them so they'll become loyal factory and office workers or burger flippers? Is it possible that some of what you believe is right and wrong is what the economic masters want you to believe, so you'll be their economic slave for rest of your life?

Buckminster Fuller calculated that, given all the resources available on earth (including free energy >from the sun), every man, woman, and child should be a millionaire many times over.

During the Middle Ages, the ruling religious elite didn't want the peasants to read the Bible. The more ignorant people are, the easier it is to exploit them and become rich from their toil.

Robert T. Kiyosaki wrote an excellent book Rich Dad, Poor Dad: What the Rich Teach Their Kids About Money -- That the Poor and Middle Class Don't. His real dad was a teacher who became Superintendent of Education in Hawaii -- his "poor dad". Early in his life, a businessman became Kiyosaki's mentor -- his "rich dad". From his poor dad Kiyosaki learned economic correctness: get a job; work hard; "if it sounds too good to be true, it probably is"; "you must have security"; "money doesn't grow on trees"; "money is dirty -- you don't who may have touched it"; "the love of money is the root of all evil"; "MLM is evil"; etc. From his rich dad Kiyosaki learned very different lessons -- lessons that enabled him to become rich. See his website.

Kiyosaki writes: "The main reason people struggle financially is because they spent years in school but learned nothing about money. The result is, people work for money... but never learn to have money work for them." Could it be that, just as in the Middle Ages the religious elite didn't want the rabble to read the Bible, in our "modern world" the economic elite don't want the workers to understand money, in order to make it easier to keep them in economic bondage?

Kiyosaki's Rich Dad, Poor Dad is a "must read" for overcoming "economic correctness."

The Economic Jungle
Yesterday, the share price of Proctor & Gamble dropped 30%. Some people lost money. About 90% of new businesses fail during their first year. Many businesses fail because of poor management, lack of capital, or other reasons. Some fail because they're outright scams. There are numerous scams around every corner to separate the suckers from their money.

Amway is a hugely successful MLM company. Yet I've heard that about 90% of its distributors earn less than $1,000 a year. Many MLM programs are structured such that the owners and a few distributors (particularly the early ones) make a lot of money, while the rest struggle.

Most "money-making" programs are scams or structured so it's unlikely that the majority of "average" participants will make money. With understanding and experience, you can get better at separating the wheat from the chaff -- see Understanding Money-Making Programs.

Fear of Loss
Most people who try to go into business for themselves lose money. About 90% of new businesses fail during their first year. Probably about 99% of people who get involved in "money-making" programs make little or no money, or actually lose money. So, if you randomly choose the programs you get involved in, the odds are overwhelming that you'll waste your time and lose your money.

Probably about 99% of casino and lottery gamblers lose their money. The odds are heavily stacked against them. To become a consistent winner, you need to find a way to gain a statistical advantage over the casino. In blackjack you may be able to do this by counting cards. In roulette you may be able to find a wheel that's biased toward certain numbers. In craps you may be able to exert a degree of control over the dice.

Because there's so much losing, it may seem that the safety and security of a steady paycheck from a reliable employer is your best bet. And for most people it is the best bet -- until they learn how to stand on their own feet.

In the world of money-making programs, you can also improve the odds so they're in your favor. You learn how to get into the right programs at the right time. Our Risk Meter, which is regularly updated, can help you with this. It greatly reduces the risk of loss.

We also operate the Financial Independence List. This is a good place to ask questions, get the latest information, and share views with others. You can also subscribe by sending a blank email to financial_independence-subscribe@topica.com.

Label-Think
About a month ago, I posted the following to an email list for "PTs" (PT = Permanent Tourist, Perpetual Traveller, Prior Taxpayer, etc.):

>In the same way that there's "political correctness,"
>there seems to be "economic/financial correctness." This
>area often involves labels. A label is automatically put
>on certain perceptions. Instead of examining what is
>available for perception and thinking about, the "label-
>thinker" perceives only his/her own label and fails to
>perceive what's really available for perception,
>examination, and thinking about.
>
>I've been a PT for more than 30 years. I constantly look
>for ways to earn the maximum effectively invisible income
>with the least effort. I make available to others the best
>I find.
>
>Over the years, I've learned quite a bit about what tends
>to work best, namely programs that enable you to make
>money without having to recruit anyone nor sell anything.

Another subscriber responded:

>I think the really interesting point here, that is not
>being addressed by anyone, is why most MLM programs don't
>work. IN THEORY, an MLM business is nearly a perfect PT
>occupation. One could travel around the world, spending
>a few months in each country recruiting and training key
>distributors.
>
>Yet the hard reality is that MLM opportunities almost never
>turn out that way (with apologies to some of the early
>Amway people who have really done just that). With a
>theoretical opportunity that could be near perfect for PTs,
>instead of fighting over labels and throwing mud at each
>other, some PROFITABLE time might well be invested in
>collectively trying to figure out why MLM doesn't work,
>and what we as PTs could do to perfect this nearly perfect
>(in theory) PT occupation. It is a truly "Portable Trade"
>if one can figure out how to get it to work in practice.

[To subscribe to the PT list, send a blank email to: PT-Refuge-subscribe@yahoogroups.com. For more PT information, see Live Free and PT Reports.]]

I believe BigBooster.com, specifically the Risk Meter, this article, and the ones mentioned at the end of this article, provide the answer.

Fixed Ideas

"If you think of yourselves as helpless and ineffectual, it is certain that you will create a despotic government to be your master. The wise despot, therefore, maintains among his subjects a popular sense that they are helpless and ineffectual." -- Frank Herbert
There's something very important to realize about those who seek to "put and keep you in your place" so they can exploit you. If they can indoctrinate (brainwash?) you with a set of fixed ideas, they can turn you into an "obedient slave" who will do what you are told.

"Nothing is as certain as death and taxes."

"To work you must have a job." (See The Strange "Job" Concept.)

"If it doesn't create value, it's immoral."

"If it doesn't have a product, it's immoral."

"If we say it's the law then it's the law and you must obey."

"If you break the law, you will go to jail."

"If we say it's illegal, then it's illegal and we'll punish you if you do it."

Etc., ad infinitum.

All of the above are fixed ideas. Economic Correctness consists of a set of fixed ideas. #TL03A: How to Discover and Release Fixed Ideas may help you clear fixed ideas from your mind.

Paragon of "Economic Correctness"
Another subscriber posted to the PT list:

>I agree it takes a different animal to qualify as a viable MLM/PT
>occupation. My personal requirements, same as most regulators:
>1. Not trying to sell Bic pens for a Mont-Blanc price.
>2. Has the last person coming in have an opportunity to make money?
>3. Is there a return policy in place?
>4. Can you REALLY retail products competitively in the streets?
>5. Is it globally portable?
>6. Is management MLM based or Wall Street minded?
>7. Is compensation available higher that usual 25%?
>Well, all the above I think I have found, but for those still
>looking, its a good "weed-out" list. Presently, web-based
>industry can fulfill most of the above.

My response:
I suggest a new term to help PTs get beyond label-think about MLM. PTMP = PT money program, a program that's ideal for PTs to engage in as a sideline or occupation. To be able to see PTMPs for what they are, some PTs may have to do some work to overcome "economic correctness."

>>My personal requirements, same as most regulators:
>
>Do you hold your "regulators" in high esteem? Do you regard them
>as the paragons of "economic correctness?"
>
>>1. Not trying to sell Bic pens for a Mont-Blanc price.
>
>Anything that involves such doesn't qualify as a PTMP.
>
>>2. Has the last person coming in have an opportunity to make
>>money?
>
>One of the PTMPs I recommend is American Millennium Corp.(AMCI).
>(I just checked and it's up 20% at 12.43 EST, after an
>announcement.) It's quoted on Nasdaq.
>Like with all stocks, the last person coming in
>may not have much of a chance of making money. In general, to
>make money with stocks, you need someone to come in after you
>to buy. So logically the last person coming in can't make money.
>
>It's worth examining what might cause someone to be the last person
>coming in:
>1. A natural disaster such as an asteroid that hits earth and
>destroys all human life.
>2. Hyperinflation which wipes out the US$ and results in everyone
>stopping to buy stocks.
>3. Any disaster that wrecks AMCI or its business, resulting in the
>stock price dropping to zero.
>4. Nasdaq delisting AMCI for whatever reason, so effectively no new
>people can effectively come in.
>
>The future is not completely predictable. Although I have high
>hopes and strong expectations for AMCI, I have no guarantee that
>if I were to buy shares today, that I would make money. I realize
>that risk is involved. I also realize that there tends to be a
>relationship between potential reward and risk: the higher the
>potential reward, the higher the risk.
>
>Can the very last person who puts money into Social Security
>be sure that he'll make money? Can anyone now putting money
>into Social Security be sure of making money? What do your
>"regulators" have to say about this?
>
>Can the last person who pays any tax expect to make money.
>
>How about anyone now paying any tax? What do your "regulators"
>have to say about this?
>
>What about people buying collectibles such as paintings? Does
>the last person coming in have the opportunity to make money?
>What do your "regulators" have to say about this?
>
>>3. Is there a return policy in place?
>
>Generally, I handle the initial risk with PTMPs by getting out
>whatever money I put in plus at least a modest profit as soon
>as possible. In the case of Fortune Makers Network (FMN)
>nine days ago I sent in my $50. By yesterday I'd received $200.
>So I've already achieved the "can't-lose" position. In any case,
>the marketing and success know-how I received from FMN is
>worth $50 many times over.
>
>Do your "regulators" ensure that there are "return policies"
>in place for Social Security and tax payments? What about
>stockbroker who gives me bad advice? If the share price
>goes down, can I return the shares and get all my money
>back?
>
>If I buy a Picasso from Christies for $10,000,000 and for whatver
>reasons art prices collapse, can I return my Picasso and get
>my money back? What do your "regulators" have to say about
>this?
>
>>4. Can you REALLY retail products competitively in the streets?
>
>Anything that involves such doesn't qualify as a PTMP.
>
>>5. Is it globally portable?
>
>A most important requirement. All PTMPs can be operated
>by computer over the Internet from anywhere in the world
>where you can "hook up."
>
>>6. Is management MLM based or Wall Street minded?
>
>More importantly, are they PTPM-oriented or "economically
>correct" lackeys of your "regulators?" Nevertheless, as in the
>case of AMCI, some Wall-Street-minded folks may provide
>great opportunities for PTs!
>
>>7. Is compensation available higher than the usual 25%?
>
>If you're talking about 25% per month, you're in the right
>ballpark! See Private Loan Club.
>
>>Well, all the above I think I have found, but for those still
>>looking, its a good "weed-out" list. Presently, web-based
>>industry can fulfill most of the above.
>
>Probably fewer than 1% of the programs I look at make it onto our
>Risk Meter.

Alienating Family and Friends
One of the big objections to MLM-type programs is that MLMers tend to see everyone as a prospect for a meal ticket. So you promote your program to your family, friends, co-workers, contacts. You end up antagonizing and alienating all or most of them.

There are four answers to this objection:

Participate in programs for which you don't have to recruit anyone or sell anything to make money.
Use the Internet to get people you don't know to come to your website and/or subscribe to "opt-in" email lists you operate. Then promote your programs to these people.
There are millions of people on the Net who are already involved in MLM and money-making programs. Find them on forums, newsgroups, and email lists and promote to them.
Establish relationships and make friends with people involved in MLM and money-making programs.
Learning to use the Internet makes it relatively easy to recruit hundreds or even thousands of people into your programs without antagonizing or alienating them.

Producing Value
Someone else wrote to me:

>I'd love to try some of your recommendations though some
>doubt keeps creeping up: Is it really the solution to play all
>those funny virtual games instead of producing something
>of real value? Obviously there is nothing wrong with the games
>as long as they really work, then they can be seen as a vehicle
>for financial independence to achieve other, even higher goals.