Showing posts with label finance. Show all posts
Showing posts with label finance. Show all posts

Thursday, January 24, 2019

Stage Play - They Haven’t Met You


Introduction

While driving down my least favorite Bay Area highway, where it always seems to be rush hour, I noticed this billboard:


The following stage play is a work of fiction and any resemblance of its characters to any actual human—living, dead, nascent, or undead—is purely coincidental. Only the billboard is real.

THEY HAVEN’T MET YOU
A Play in Two Acts

Dramatis Personae:

YOU
THEM
HIM, one of THEM
HER, one of THEM
THE HEAD GUY, one of THEM
THE OTHER GUY, one of THEM

Act One

Scene:

A cocktail party in a ranch-style house in Sunnyvale, California. The open floor plan has the kitchen bleeding into the dining room and family room, where sliding glass doors open onto a large patio next to a pool.

[Enter YOU. YOU wander over to the kitchen nook and select a bottle of beer, then drift among the guests until you fall into conversation with HIM.]

HIM: Ah, Dogfish Head. Excellent choice.

YOU: Yeah, it’s one of my favorites. Pretty cool of our hosts to style us out with it … this stuff ain’t cheap.

HIM: Well, Brad and Lisa do seem to enjoy the finer things, and I happen to know business is good at Brad’s firm … I was talking to him about it earlier.

YOU: …

[HE extends hand. YOU and HE shake.]

HIM: My name’s Nelson.

YOU: I’m Nick.

HIM: Where do you work, Nick?

YOU: San Francisco.

HIM: No, I mean, what do you do?

YOU: I’m a … vegetarian.

HIM: No, I mean, for work.

YOU: Oh, that. Well, you know … I just kind of do what I’m told and go where I’m supposed to … I’m pretty much running out the clock until retirement, to be honest.

HIM: You know, one in three people won’t retire.

YOU: I guess I’m one of the two.

HIM: Come again?

YOU: If one in three won’t retire, I’ll be one of the two who will.

HIM: How can you say that?

YOU: Well … I mean, things are going good, I’m building up some savings…

HIM: That’s crazy talk. Like I said before, one in three people won’t retire.

YOU: …

HIM: I’m not trying to be a dick or anything, but as a society we spend more time clicking “like” than planning for retirement.

YOU: I’m not really into social media, to be honest.

HIM: We spend more time looking at billboards than planning for retirement.

[YOU drain your beer and cast your gaze around the room.]

YOU: I kind of doubt that, actually.

HIM: What, you actually plan for retirement?

YOU: Well, yeah. I’m working with a financial planning outfit. They’re helping me put together a program. I’ve got a pretty healthy 401(k), and there’s my wife’s IRA, and we’re pretty well diversified. I use an online retirement calculator and I think I’m on track to retire pretty comfortably in another 10 or 15 years. It’s not exactly rocket science.

HIM: Look, I happen to know a fair bit about this, and like I said earlier, 1 in 3 people won’t retire.  So, these things you’re saying: I’m just not following you.

YOU: Oh, hey, I just spotted a friend of mine out by the pool. I’m gonna go say hi. I’ll catch you later.

Act Two

Scene:

A large conference room. THEY are gathered around a table with legal pads, laptops, and mugs of coffee.

THE HEAD GUY: Okay, next item on the agenda: Nelson, you apparently want to challenge one of the things we say? Is this for real?

HIM: Yeah, hey, it’s this retirement thing. You know how we’ve been saying that one in three people won’t retire? We’re definitely getting the word around. We’re being quoted saying this. We’re even mentioned by some billboards.

THE HEAD GUY: And your point is …?

HIM: Well, I know this sounds crazy, but I met this guy at a party, and  … I’m starting to think maybe we’re all wrong here. Maybe this thing we’re saying, about the one in three not retiring … I think we may be mistaken.

THE OTHER GUY: What, you meet some guy at a party, and now you’re second-guessing us? Like, all of us? That’s such BS, man! Nobody questions us—least of all, one of us! Who was this guy?

HIM: Well, he seemed like a pretty typical guy, middle-aged, likes good beer, wears khakis, hangs out at parties. But I got to talking to him, and apparently this guy has his retirement plan all worked out. He’s talking to some firm, has a 401(k), uses some kind of online calculator … he’s really got all his ducks in a row, which completely flies in the face of what we’ve been saying.

HER: Well, now hold on, Nelson. If we’ve been saying one in three won’t retire, that means—

HIM [cutting HER off]: That’s exactly my point! We’ve only been saying all that because we haven’t met this guy! And now I’ve met him, and he’s turned this one-in-three thing on its head! We gotta reconsider this. We gotta challenge everything we think we know.

[SHE stares at HIM for a few seconds.]

HER: As I was starting to say, Nelson: if one in three won’t retire, that means two in three will, and the statistical likelihood is pretty good that any joe we happen to encounter will be one of the two in three who will retire. So there’s really nothing remarkable at all about your friend’s having his act together.

[HE pounds fist on table.]

HIM: Damn it, Rebecca, you can blather on all you want about statistics, but that’s just because you haven’t met this guy. He’s amazing! He makes us all look like a bunch of chumps!

THE HEAD GUY: Look, here’s the thing, Nelson. Maybe you’ve met this guy, maybe you’re blown away, maybe you’re right to suddenly doubt us. But who are you? You’re not us. You’re just one of us. Nobody says, “He says…” Everyone says, “They say.” Which means us. It doesn’t mean you, and it doesn’t mean Rebecca, and it doesn’t mean me. We’re a team. And we still haven’t met this guy. So until we do, you know what we’re gonna keep saying? That’s right: “One in three people won’t retire.”

[HEAD GUY stares HIM down for a spell.]

HEAD GUY: Any questions? [Pauses.] Okay, moving right along, next agenda item: “New Things We Should Be Saying.” Ideas, anyone?

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Saturday, March 15, 2014

Bitcoin Explained!


Introduction

On  the face of it, I’m not the ideal person to explain Bitcoin to you.  As far as you know, I don’t work in the financial industry.   Why shouldn’t you just look at, say, Wikipedia to finally understand what Bitcoin is? 

The answer is, you’re too impatient.  Who wouldn’t be?  This is the kind of topic it’s hard to dabble in.  Ten words of the techie mumbo-jumbo and your eyes start to roll and your brain browns out.  So, you should read my explanation because I feel your pain.  I am writing from a perspective comprising equal parts curiosity and impatience.  Plus, I’ll work hard to understand a related question, which is “What’s so funny about  Bitcoin?”


Basic explanation

Wikipedia says that Bitcoin is “a cryptocurrency, so-called because it uses cryptography to control the creation and transfer of money,” and that “Bitcoins are created by a process called mining, in which computer network participants, i.e. users who provide their computing power, verify and record payments into a public ledger in exchange for transaction fees and newly minted bitcoins.”  Got that?  You “mine” them by doing something with a computer that rewards you with “newly minted bitcoins.”  Who minted them?  Well, that’s where it gets confusing.  So I’ll use an analogy to help clarify.

Suppose you’re playing with your children, making play money out of construction paper.  Of course this paper will never give you actual buying power, because no government stands behind it guaranteeing that it isn’t counterfeit.  For it to be legitimate, the currency must be produced by the government mint.  But, if you take the letters that spell out “TEN DOLLARS” and rearrange them to spell “DLTN ELOSRA,” and write this on the paper and have your child bring it to her mother, there’s a pretty good chance her mother will let her “buy” lemonade with it.  The act of encryption generates the lemonade-buying wealth pretty much out of thin air.  (This isn’t a perfect analogy, because anagrams are not really encryption, but you get the idea.)

Why does this work?  Well, in the olden days, people made coins out of pure gold, and the rarity of that metal gave the gold value.  Then they started using coins and paper markers that only represented gold, but for every bit of currency minted, there was a corresponding amount of gold, most of it (or at least most of ours) stored in Fort Knox.  If anybody got nervous about the actual value of his currency he could exchange it for gold, no questions asked.  (In practice nobody did this because gold is so heavy.)  Eventually, there wasn’t enough gold to back the currency, and many feared the whole system would collapse.  But governments kept right on minting currency, with no gold behind it, and nothing bad happened.  Money went on working simply because people continued to believe in it.

So why don’t governments just print more and more money, and give it as handouts?  Well, smart governments, like ours, know that would be killing the goose that lays the golden eggs.  As with diamonds, the money supply must be artificially suppressed so the value doesn’t diminish.  (Some of the more stupid governments get this wrong somehow, and their currency tanks.)

But there’s no government behind Bitcoin!  No obvious mechanism to keep it from being produced ad infinitum, willy-nilly!  So how does it work?  This is the wrong question.  The right question is, does Bitcoin work?

Does Bitcoin work?

The answer is, Bitcoin sort of works, kind of in the way that Ross Perot’s campaign sort of worked.  Yes, some people believe in Bitcoin, so it’s possible to buy stuff with it, and it’s even possible to steal it.

Steal it?  You mean, the way you can steal credit card numbers?  Well, not exactly.  Stealing credit card numbers is stealing information of a very useful nature.  That information represents an established form of payment that everybody believes in.  By putting that information to work—i.e., stealing the access it gives to somebody’s real credit account—you can buy stuff.  But a Bitcoin isn’t really information.  It’s a notion, and an encrypted one at that.

Still confused?  Let’s go with another analogy.  Remember the story “Stone Soup?”  A penniless traveler picks up a stone on the way into a town, where he asks people for food and is turned down.  So he gets somebody to loan him a cauldron, builds a fire, and starts boiling the stone in water, saying it’s soup.  In return for throwing vegetables and stuff in there, people get to share the soup with him.  By the end he’s had a full meal based solely on the stone he’s contributed, which of course he then pitches.  In like fashion, Bitcoin is the idea of money, and so long as people pony up actual money for bitcoins, or accept bitcoins as payment, they’re as real as that stone.

So all that Bitcoin is missing is that ubiquitous acceptance.  The problem is, anytime your average joe comes across a matter involving arcane abstractions like public/private key exchanges, digital cryptography, and the sliding scale of the value of a currency, he’s going to rightly feel out of his depth, and will generally look to somebody else, somebody in a position of authority, to validate the thing for him so he can know whether to accept it or not.  (This isn’t a bad explanation of some people’s approach to religion, actually, but I digress.)  Where Bitcoin is concerned, the question is:  in the absence of a government and a grandfathered-in acceptance of a currency once backed by gold, who will step up and vouch for it?

Who will validate Bitcoin?

Alas, many governments are unfriendly to Bitcoin and warn their people that it lacks consumer protections.  Economists, unsurprisingly, cannot agree on whether Bitcoin is legit.  (I say “unsurprisingly” because no two economists ever agreed on anything, except for one pair of mental lightweights I’ve already excoriated in these pages).  It doesn’t help that the most prominent Bitcoin exchange, Mt. Gox, collapsed recently and filed for bankruptcy. It also doesn’t help that “Mt. Gox” sounds like something straight out of Dr. Seuss.

However, it does help that some merchants have started accepting bitcoins as payment for actual goods.  Some prominent examples:  the Sacramento Kings, Clearly Canadian, University of Nicosia, Zynga, Overstock.com and most recently the faux-British department store Lord & Taylor.

There are some caveats with these.  The Sacramento Kings is a pro sports team, which means you’re paying to see a bunch of doped-up cheaters—so the game is a sham anyway.  Meanwhile, Clearly Canadian is basically flavored water sold at the price of something legitimately nutritive.  Zynga is a video game, which—unlike productivity software—can be given away widely without costing the supplier anything, nor providing users with anything of value.  The University of Nicosia is in Greece, whose economy is so bad you could probably get anything you want there just by asking nicely.  And the last two retailers, Overstock.com and Lord & Taylor, while perfectly valid retailers, accept bitcoins with a very large asterisk.

The asterisk is that these retailers convert the bitcoins to something legit at the last second, so they’re not really accepting bitcoins at all.  According to Digital Transactions magazine, “Overstock tempers its currency risk by having Coinbase convert its Bitcoins instantly into dollars” and “Lord & Taylor will not accept Bitcoin directly from customers.  Instead, customers will use the Pounce app, from Israeli technology company BuyCode Inc.”

So, the validation Bitcoin gets from being accepted by two major brand-name retailers must be tempered by the fact that they’re actually transferring all the risk to more companies you’ve never heard of.  It’s tempting to call this “lipstick on a pig,” but it’s actually called “reintermediation.”  Whether or not this fancy label restores your faith in Bitcoin is your business, but I for one am not impressed. 

Now, you may accuse me of cherry-picking examples of unimpressive merchant acceptance of Bitcoin, so I guess should fess up:  I left out TigerDirect.  They’re a pretty sizeable retailer, who have been mired in various controversies such as being investigated and ruled against by the Fair Trade Commission; being sued by Dell; being sued by the State of Florida; and being investigated by the SEC.

Restoring faith

After the Mt. Gox disaster, Bitcoin is on shaky ground and badly needs to be propped up.  And, to renew faith in the population at large, the Bitcoin folks need to restore our nation’s faith in electronic commerce in general, thanks to the Target breach, which by some measures has directly affected one in three Americans.  And going back a bit further, I think we’re all a little more wary these days of the financial genius types that broke all the rules around subprime mortgages and various overly complicated financial instruments and caused the great economic meltdown of 2008.

Well, guess what:  we have the answer!  All we have to do, apparently, is lock up our bitcoins in big vaults.  According to a “Wall Street Journal” article, “a Silicon Valley startup called Xapo is among a handful of young companies trying to become the Fort Knox of bitcoin, building secret bank vaults deep in the earth that would safely store millions of dollars worth of bitcoin on computer drives.”  Xapo has raised $20 million in venture capital for this effort.  (Needless to say, “Xapo”—one of those names you can’t even pronounce—is, from a psychological perspective, the polar opposite of “Lloyd’s of London.”)

Now, I know I’m just a simple caveman and everything, but aren’t we missing something here—namely, the fact that the Mt. Gox theft was not of the hands-on, grab-and-dash type?   Nobody held up Mt. Gox at gunpoint or burgled it in the dead of night.  The Mt. Gox bitcoin theft was termed a “malleability-related theft.”  For my money, Bitcoin needs to fix its malleability problem.  How does Xapo intend to do this with vaults, video surveillance, and armed guards?  To think of it another way, how did Target incur $61 million in losses through its data breach:  by having its stores and headquarters overrun with Ninjas or bandits?  No!  The thieves were all the way over in Russia.  They almost literally “phoned in” the theft.

Perhaps the $20 million in venture capital is itself supposed to buoy up Bitcoin:  the idea that if this venture capital firm, run by geniuses, has that much faith in Xapo and Bitcoin, that we should, too.  The problem is, these venture capitalists have flamed out before:  we all watched the dot-com bubble burst.  (I myself saw $20,000 of my on-paper profits—that is, my pretend Internet money—evaporate almost overnight.)

Why should we care?

Okay, I guess it’s pretty obvious by now that I think you’d have to be crazy to mess around with Bitcoin.  But aren’t there all kinds of investment schemes to avoid, like swampland in Florida and Internet-sourced Nigerian inheritances?  Why bother writing about this one?  Well, the reason I care about Bitcoin is that I’m afraid if it gets popular, and then goes supernova, it’ll take the rest of the financial world with it, throwing the world into utter anarchy.  Because frankly, I’m already nervous about the traditional notion of money.

Why?  Well, let’s do a thought exercise.  I derive a lot of comfort from the protections available with conventional finance.  For example, when I discovered that a clothing company in China, from whom I made a legitimate purchase in January, had mysteriously dinged my credit card again in March, I didn’t freak out.  I know I can call my bank and say, “This charge is bogus, make it go away” and they’ll say, “Right away, sir!”  But what would happen if you logged into your online banking account and found it almost completely depleted but for no clear reason?  Whom would you call then?  Imagine your reaction if you complained to your bank and they retorted, “I don’t know what you’re talking about.  You never had that much money.  Go away, kid, ya bother me.” 

Sure, you’d probably have some recourse, but it wouldn’t be easy.  We take it for granted that our money, which exists electronically as a data point in some unseen database, won’t just go away.  Our entire system is already founded on trust, and on the universal agreement that this unseen money—not hard currency or gold, but numbers represented electronically by zeroes and ones—is real.  With this much riding on blind faith, the last thing we need is a Bitcoin bubble.

But you shouldn’t take my word for it—I’m no expert.  You’re probably better off listening to the financial gurus who live and breathe this stuff.  Take the 40-year-old CEO of Xapo:  the son of Patagonian sheep ranchers in Argentina, he got educated and “developed Patagon, one of Argentina’s first online financial-services firms … [and] also founded Banco Lemon, a Brazilian bank for the underbanked.”

What’s that?  You’ve never heard of the underbanked?  Well, I must confess, I hadn’t either.  And, after spending all this time thinking about Bitcoin, Mt. Gox, Xapo, and financial malleability, I’m starting to feel a bit overbanked.  In fact, I’m strongly considering turning some of my liquid assets into expensive bicycle wheels that can’t just vanish like a puff of smoke.

Friday, October 7, 2011

Fiction - Doctor's Daughter

Introduction

I’m taking an evening class in fiction writing over at UC Berkeley, my alma mater. Our first session was last Wednesday, and the teacher had an ingenious idea. She broke the class into groups of three and had us each tell a personal anecdote to the other two students. Then she gave us ten minutes to write down our anecdote. As our homework assignment, she told us to take half an hour to rewrite our anecdote, but incorporating one of the two anecdotes we’d heard from a classmate.

At first this struck me as impossible—after all, my anecdote had nothing to do with the other ones. But as I thought about it, everything fit together very well, and it solved my biggest problem in writing fiction: coming up with an idea. Sure, half of this story started out as true, but the action now happens to someone else, and the story is merged with my doubtless faulty recollection of a secondhand tale which I then further fictionalized. I'm sure you'll agree that the result can only be considered fiction.

So here’s the story. (Yes, I went over my half-hour.)

Doctor’s Daughter

My name is Tara. I never liked my name—it always reminded me of “Taras Bulba,” like I came from an ancient family in the steppes of the Ukraine. (It could have been worse: my mom had considered naming me “Terra,” as in Earth. My whole life I’d have been thought of as a hippie!) I grew up in Etna, California, a tiny town way up north with zero traffic lights. Most of the folks in town were poor farmers or poor ranchers. My dad was the only doctor around and though he officially worked in the hospital about half an hour away, an awful lot of his work happened at the house, at night or on weekends. Many of the locals, who either couldn’t afford or didn’t trust hospitals, would save up their problems for when he got home. Often I ended up helping him out.

My mom pretty much stayed in bed, which is a long story I won’t go into. Suffice to say I never felt like my family was very normal. Not that the townsfolk were much to compare myself with. I had to remind myself that the families on TV probably weren’t typical either.

On a Friday evening in the fall, when I was about nine, I was bored, sitting by an open window waiting for my dad to get home from work. An unexpected rainstorm had blown in and I was watching the rain come down in sheets when I heard the hiss of a car’s tires on our street. I thought it was my dad but to my surprise it was a modern black sedan I’d never seen before. It turned onto our gravel driveway and pulled up to the house. A man in a nice grey suit climbed out, walked right up to our door through the pouring rain, and rang the bell. I ran down the hall to my mom’s room and called through the door: “There’s a man in a suit at the door!” My mom told me to call my dad and ask if he was expecting anybody. The doorbell rang again.

I phoned my dad. It must have been quiet at the hospital because they found him pretty fast. “Oh, shoot!” he said. “I totally forgot. That’s Ferdinand, the account manager at Fortis. I actually had an appointment with him tonight. Tell him to hang tight—I’ll rush right over.”

“Uh, dad, it’s pouring rain here. Should I let him in?”

“No, you shouldn’t. See if your mom will let him in.”

I rang off and with a sigh called to my mom again. Sure enough, she wouldn’t come out. I got to the front door just as the doorbell rang a third time. I peeked out through the mail slot. I could see the man’s nicely pressed charcoal grey woolen slacks, and his leather shoes with a nice design pierced all around the toe. “Um, are you Ferdinand?” I asked timidly.

The man knelt down and peered through the mail slot. “Yes. I have an appointment with Dr. Stevens. Are you his daughter?”

“Yes. I just called him. He forgot about the appointment but he’s on his way here. I can’t let you in because my mom is ... busy.” I thought of adding, “She’s cleaning her rifle and isn’t quite done reassembling it.” But other than my dad, I could never get a grown-up to take me seriously.

“Um, are you sure you can’t get your mom?” he said. I kind of, uh, locked my keys in my car. I'm getting soaked out here.” I told my mom. She still wouldn’t come out. I reported back to Ferdinand. To my surprise, he agreed to wait it out.

I went to my room and stared blankly at a book. What business did this man have with my dad? Must be important if he was willing to wait. Was he a banker? Were we losing our home? A long while later I heard the crunch of tires on gravel as my dad arrived. I got to the door just as he opened it. He was staring at Ferdinand. “Oh, man, Ferdinand, look at your suit!” he said. “It’s all bubbly! It’s ruined!”

Sure enough, the fabric of the drenched suit was all fouled up. The wool was separating from the lining and had the texture of bubble wrap. Ferdinand looked stricken. Dad led him to the kitchen table, took his suit jacket, sat him down, and gave him a fresh dishtowel to dry his head and face.

Soon there were papers spread over the table, covered with lots of fine print and some charts. My dad never sent me away when he talked to other grownups; he was always hoping I’d learn something. The two men talked awhile, but nothing they said made any sense to me until my dad finally stood up and said, “You know Ferdinand, I wasn’t actually that interested in this meeting, to be honest. You were so enthusiastic I didn’t know how to say no. But the truth is, this fund has been underperforming for years and I was planning to sell it anyway. I’d actually like to close out my account.” And just like that, the meeting was over. My dad signed some papers, and then Ferdinand packed up his briefcase, wriggled back into his wretched bubbly suit jacket, and left.

“What was that all about?” I asked.

“Well, I somehow let this guy talk me into this meeting to go over my investment portfolio. When I showed up late, and then stupidly blurted out that his suit was ruined, I actually started to feel more bold. Like, ‘I’m going to Hell anyway for keeping this man waiting in the rain, so I might as well finish him off.’ Poor guy. His business must be really hurting to come all the way out here to talk about a portfolio of only a few thousand dollars.”

“But dad, he looked ... it looked important. I’ve heard you complain about money. Couldn’t he help?”

“Yes, possibly, in some indirect way. But it’s hard to take a man like that seriously after a long day of seeing patients.”

“Why? What do you mean?”

“Well, Ferdinand moves people’s money around all day, electronically, and if he’s lucky the numbers go up. There’s nothing tangible about what he does for a living.”

“What does tangible mean?”

“You can see it. You can touch it. Money is so abstract. It’s like this all-powerful force and sometimes it just gets me down. You know the first thing that happens when a patient comes into the ER? No matter how bad the illness or injury, the patient has to work out the payment first thing. We’re supposed to be providing care for these people but the first order of business is always sorting out the payment.”

I’m sure I’ve embellished my memory of that evening. I couldn’t possibly have remembered these conversations in such detail because I wouldn’t have grasped the concepts at the time. But I understood enough to feel kind of disappointed about the meeting. Not so much about the ruined suit, but because my did dismissed Ferdinand. I kind of wanted my dad to associate with people in nice suits who drive modern cars and talk about money and investments. That was part of the more sophisticated world, the TV world, that of course I dreamed of escaping to. Being a doctor, my dad should have had all kinds of money but it never seemed he did. I suddenly felt very tired, and after a quick dinner (grilled cheese, Campbell’s soup) I went to bed.

In the middle of the night my dad shook me awake. “Tara, wake up. I have a patient and I need your help.” I couldn’t believe it, and yet I knew the drill. I dragged myself out of bed, cleared the dining room table, and spread out a fresh clean sheet for the patient.

It was Drummond, a guy down the way who raised ostriches. Ostriches! He’d somehow cut his arm really badly on some machinery. His arm was wrapped in a giant towel that was totally soaked in blood. He’d injured himself during the late afternoon and then spent the next several hours arguing with his wife about going to the hospital. He’d never been to a hospital and wasn’t going to start now, blah, blah, blah.

Dad stretched him out on the table and removed the bloody towel. Then he went to the kitchen sink and washed his hands for like five minutes straight, got out his medical kit, filled a syringe with something, and started stabbing Drummond all up and down his arm with it. It was like a five-inch needle. “This is just Novocain,” he said soothingly, as though his patient wouldn’t want anything stronger. Blood was getting all over my fresh sheet. I would be doing all the clean-up, of course. At times like this I really resented my mom, sleeping away. After all, she chose to marry a doctor in a small town and should have known what would be expected of her. Somehow that duty had slipped a generation and here I was, a little girl who didn’t choose a doctor for a father, playing surgical nurse with real blood.

We waited around for ten minutes to let the anesthetic take effect. Then Dad got started on sewing up Drummond’s arm. My job was to hold it down. This took all my strength. Drummond was a tough old dude but was clearly in great pain, and couldn’t resist trying to recoil. Dad gave him a wooden tongue depressor to bite down on and Drummond snapped it in two with his teeth. I winced. Dad gave him two more tongue depressors, stacked together. Drummond snapped those, too, sending a shiver down my back. I don’t know how biting down is supposed to help anyway; maybe it was just to keep him from cussing. Finally Dad gave him a clean rag, the color of pink clay, to chew on.

When you’re a doctor’s kid you learn how coarse medicine really is. Putting in sutures, for example, is just sewing up a guy’s skin with a needle and thread. I had to pay attention and it was like watching my mom sewing closed the Thanksgiving turkey with twine or dental floss: just as crude as can be. (By his own admission Dad was only “okay” at sutures. At the dinner table one time he ranted about a surgeon he’d watched stitch up a boy’s face. “He was so good at stitches,” he raved, “it was like plastic.” Plastic surgery, he meant. I had to remind him I was trying to eat.)

Dad finished up and sent Drummond on his way with an Ace bandage wrapped around his arm. “In about a week or ten days you can come back to have those sutures removed,” he said. “Or you can remove them yourself—just snip one and drag the whole thread out.” I was up for another half hour, cleaning up. A bed sheet really isn’t very absorbent and I was just smearing the blood around. I had to soak the sheet and towels awhile in the washing machine, on cold, before adding the detergent and starting it up. Like I said before, I knew the drill. I finally got back to bed at around three.

Fortunately, the next day was Saturday and I got to sleep in. That afternoon I was sitting on the front porch with Dad when Drummond came walking up our driveway dragging his kid’s Radio Flyer wagon behind him. Between dragging the wagon and holding his bandaged arm up over his head, Drummond was, I felt, lacking in dignity. “Good, keep that arm elevated,” Dad said. “What have we here?” The wagon was full of these giant eggs, the size of cantaloupes: ostrich eggs. Dad’s fee. Did Dad send Drummond away, like he did Ferdinand? No, he happily unloaded the wagon, acting like ostrich eggs were the greatest treasure on Earth. “Isn’t it amazing,” he mused, “that the world’s second-fastest land animal can also lay these giant eggs? Puts a hen to shame.”

Drummond didn’t say much, and was soon on his way. We would be eating giant omelets for months. I couldn’t help myself. “Dad,” I complained, “did you ever hear of money? What’s so great about these eggs?”

“Well ... just look at ‘em!” he said, still smiling.

Yeah, I know. You can see them. You can touch them.

dana albert blog

Tuesday, December 14, 2010

2010 Holiday Newsletter

NOTE: This post is rated PG-13 for mild mature content.

Introduction

Every year I write a Holiday Newsletter and send it with my holiday cards. As newsletters go, mine isn’t very useful; it doesn’t, for example, describe the highlights of the year. It’s actually more likely to focus on a single low point of my year, just to counter-balance all the highlights you’ll read about in other people’s newsletters. Or it’s simply random—the “secret Santa” of holiday newsletters, you might say.

In keeping with the tradition I started last year, I’ve decided to extend my Holiday Newsletter to my extended blog “family.” Enjoy.

Note: please do NOT read this newsletter aloud to your kids!

Seasons Greetings!

Before I get to the standard good tidings, I’d like to make a humble request of all my friends and family: please don’t tell your kids that Santa doesn’t exist! This is the time of year when I get really nervous that somebody’s going to spill the beans. I was at the library with my kids recently and saw a book was on display titled The Truth About Santa Claus. Seeing this, I felt the same kind of panic as a teenager whose mom has walked into his room before he can hide his “Playboy” magazines. What if my kid saw that book? The title alone suggests treachery.

Why, you might ask, should we perpetuate this Santa myth? Well, for one thing, it is charming to watch our benighted children participate in it. I’ve loved reading Alexa’s letters to Santa over the years, asking for mundane or impossible things (a “new live rabbit” and “more aquafresh” one year; aquafresh and “miny piano” the next).

A couple of years ago on Christmas eve, right after her goodnight hug, Alexa suddenly assumed a panicked expression, like someone who just realized she left her purse in the train station, and said, “Wait! We have to put out some cookies for Santa!” Last year she left him meticulous instructions: “To tell the stockings apart, look at the license plates with our names on them in the loop on the top of our stocking.”

The myth is good for adults, too. It keeps us on our toes. For example, Alexa and Lindsay have somehow arranged with Erin and me that every year they get to sleep under the Christmas tree for the last three nights before Christmas. This makes it a bit tricky when it’s time to fill the stockings and deposit the presents. It’s fun going around like a cat burglar, stuffing a stocking right above their sleeping heads.

The whole Santa mythology also opens the door for useful discussions with our kids. I appreciate the chance to dispel my daughters’ natural skepticism even while encourage critical thinking. For example, they asked how a bunch of little elves could make enough toys for all the children in the world. “Oh, believe me, they don’t,” I replied. “How could they? Santa outsources most of his production, just like most corporations. I mean, think about it—would elves really make Aquafresh?”

When the kids asked about the whole “he knows when you’ve been bad or good” bit, I became indignant. “That’s just a myth that parents came up with to try to trick their kids into behaving. I won’t lie to you: Santa doesn’t know what you do and he doesn’t care. Every kid gets presents, even the ones who are little monsters all year. But you should be good for its own sake.” With this lecture I hoped to instill the impulse to question authority—but within bounds.

Another reason I’m opposed to exposing the Santa myth is that, even if your kid is ready for the truth, his younger sibling probably isn’t, and there’s no chance of the older one keeping a secret. Decades ago when my older brothers learned the truth, they wasted no time in breaking the news to me. They couldn’t wait to watch me cry, and they weren’t disappointed. Meanwhile, once a younger sibling learns the awful truth, he tells everyone in his class. Some of those kids will tell their even younger siblings, and now you’ve just trashed the whole holiday. Meanwhile, we can’t really expose the Santa myth without giving up the Tooth Fairy too. After all, once our kids realize we’re capable of lying to them consistently and repeatedly, their skepticism will naturally increase.

Ah, now you want me to defend the Tooth Fairy myth! Fair enough. Frankly, the Santa legend is fun and all, but the Tooth Fairy is something we need. Why? Imagine the alternative, which is presenting the losing-teeth business straight: “Here’s the deal, kid. One by one your teeth will get loose. Your tongue will get tired as it pushes that tooth around, until the tooth is hanging on by one little strand, at which point you’ll taste blood. Eventually you’ll yank the tooth out, which will hurt, and then you’ll have this funny-looking gap in your mouth. The next tooth that comes in will be oversized and as this process repeats you’ll get uglier and uglier until you get braces, which are truly hideous, and which will hurt all the time. Sorry, but that’s just the way it goes. Life’s a bitch.”

Compared to that, giving up a few coins or bills each time to create goodwill is a great bargain. For trivial amounts of money these kids will actually look forward to all this unpleasantness. Almost four months before she lost her first tooth, Alexa said something so interesting I wrote it down: “I wish my teeth would fall out so I would get money from the tooth fairy and I wouldn’t have to earn it.” I asked her what she would buy with the money. She replied, “A gallon of milk for Lindsay.” That’s not even a real expenditure, since we’d buy milk anyway. It’s a zero-sum game that makes it fun to lose teeth!

Here is Alexa with her first lost tooth (July ’07):

Here is Lindsay with her first lost tooth (November ’09):

Awhile back we had a close call with the Tooth Fairy myth. I was loading groceries into the back of the car when Alexa suddenly asked me straight out if the Tooth Fairy really exists. It seems one of Alexa’s classmates was spreading the evil truth about this myth. “Don’t listen to kids, they make stuff up,” I told her. She said the kid’s mother had told it to him. Man. I’d love to get an audience with that mother and excoriate her for turning her kid into a merciless little killjoy, running around the playground sharing the bad news. I’d give that woman a taste of her own medicine: “Ah, so Truth is that important to you, eh? Well then you’ll be happy to know I just told the whole PTA how you paid for your Prius—that is, with a stock portfolio comprising equal parts Monsanto, Phillip-Morris, Halliburton, and bundled credit default swap instruments!”

We had another close call with Lindsay’s last lost tooth: I simply forgot to swap the tooth for the money during the night. I sneaked into the kids’ bedroom in the morning with a $5 bill (the smallest thing I could find), and climbed into Lindsay’s bed as if to snuggle. I reached under pillow, extracted the tooth from the special Tooth Fairy purse she’d put it in, palmed the tooth with two fingers while using other two to insert the bill in the purse, and pulled my arm out just as she woke up. She immediately checked the purse and found the money. It was unbelievably close, like the action movie cliché of people running and diving for cover mere seconds before something explodes. Which, in fact, Alexa did when she saw the five-spot. She found it totally unfair that she had never gotten that much. She was in tears. I had to scramble and explain that the Tooth Fairy pays a flat rate, based on the prime lending rate set by the government. I acknowledged that there are regional variances, of course; that in the Bay Area the tooth rate would be a bit higher than, say, a third world country. During the ensuing discussion Alexa seemed to forget all about the $5. These kinds of trial-under-fire give me some of my finest parenting moments.

So you may be wondering, when is it time to reveal the truth about Santa and the Tooth Fairy? The answer is: never. Let the kids find out on their own, or—and this is the best case scenario—let the truth dawn on them so gradually that they go from believing the myth to helping to perpetuate it without even realizing it. This will prepare them for adulthood, when they go along with the greatest mass-delusion of all: money.

Well, I was hoping to give you all kinds of updates about the Albert family, but I see I’m out of room. Have a great holiday!

Love,

dana albert blog