Presentation at Leadership Toledo 2011 retreat.

1. Rebuilding from
the Recession
in Your Heart
FRANCISCANOMICS

2. “Top economists
wary of declaring
recession over”
Headline / San Francisco Chronicle / 04.13.10

3. “The Recession
Is OVER, Says
Economic Panel.”
Associated Press
September 20, 2010

4. “LABOR MARKET STILL
SOFT AS JOBLESS
CLAIMS RISE”
–NEWSROOM AMERICA, 01/27/11

5. “This report is a clear
warning that
the recovery is very weak.
”
—Dean Baker, Center for Economic and Policy Research

6. QUESTION:
Is this the worst economy
since the Great Depression?

7. Carter
ADMINISTRATION

8. Prime Rate
20%
April 2, 1980
Source: www.wsjprimerate.us

9. COMPANIES COULD
NOT AFFORD TO
BORROW MONEY TO
OPERATE THEIR
FACTORIES.
SUPPLY DRIED UP.
AS A RESULT, THE
INFLATION RATE AT
THE TIME WAS 14.5
PERCENT.

10. “Are you better off today than
you were four years ago?”
Ronald Reagan

11. Reagan
Carter
Landslide!
Source: www.uselectionatlas.org

12. Paul Volcker
“The U.S., along with the rest
of the world, is in the midst
of a great recession.”

13. col·lapse [kuh laps] –noun. A sudden
and complete failure; a breakdown.

14. “You will be confronted
with questions every day
that test your morals.
Think carefully, and for
your sake, do the right
thing, not the easy thing.”
Commencement Speaker
St. Anselm College, 2002

15. “Ex-Tyco Chief
Executive Kozlowski
Sentenced to 8 to 25
Years”
Headline / Bloomberg.com / 09.19.2005

16. Strong Fundamental Values
“We must demand of ourselves
and of each other the highest
standards of individual and
corporate integrity. We safeguard
company assets. We comply with
all company policies and laws.”
Source: The Tyco Guide to Ethical Conduct

17.  Regency mahogany
bookcase, c. 1810, $105,000
“We safeguard  George I walnut tallcase
clock, $113,750
company assets.”
 Custom queen bed skirt,
$4,995
 Ascherberg grand piano,
c. 1895, $77,000
 Chandelier, Painted Iron,
c. 1930, $32,500
 Pair of Italian armchairs,
c. 1780, $64,278
 Persian rug, 20 feet by 14
feet, $191,250

18. “In corporate
America, crime
pays. Handsomely.
Grotesquely, even.”
Arianna Huffington
Pigs at the Trough

19. EN
HE RO
W N
LE ME
TT R
-P RIL
a slippery slope
AC L
KA LY
RD NC
CI H J
TI .P.
GR M
OU OR
P GA
IM N
CL W
ON OR
E LD
GR CO
OU M
P GO
BA L
NK DM
OF AN
AM SAC
ER H S
IC
A

20. Bad Judgment?
Just days after receiving
an $85 billion taxpayer-
funded loan, AIG spent
$440,000 to pamper
executives for an entire
week at the extravagant
St. Regis Resort.

21. Photo by Win McNamee/Getty Images
“I would like my life back.”
Tony Hayward, former BP CEO

22. Corporate
>> FEUDALISM

23. 49
PERCENT
Less than
half of all U.S.
employees trust
their senior
leaders.
Source: Watson Wyatt

24. a RECESSION
HEART
OF THE

25. TRICKLE-DOWN THEORY
When government
allows businesses to
flourish, their resulting
profits will ultimately
trickle down to lower-
income individuals.
Aghion, P., & Bolton, P. (1997). A theory of
trickle-down growth and development. Review
of Economic Studies, 64(219), 151-172.

26. Reaganomics

27. Ripple Out vs.
Trickle Down

28. a case study

29. “And standing there
bareheaded in the
sun, apologizing to
the beggar, the
strangest thought
flashed across his
mind. He and this
poor man were
brothers.”
Sara Maynard
Princess Poverty

30. “Francis, go and repair
my church, which, as you
see, is falling into ruins.”
SOURCE: Edmund O’Gorman, St. Francis for Today

31. Stones and mortar?

32. Fix the recession!

33. Stocks and bonds?

34. “Furloughs
Hit the White-
Collar Set”
Headline / Wall Street Journal / 02.24.2009

35. Facing $38 million in budget cuts,
school officials chose to furlough
every employee for five days.

36. Faculty and staff raised
over $70,000 to help
reimburse 158 lower-wage
co-workers for lost income
during the furloughs.

37. “And last but not least,
we wish to thank our loyal
employees. Without them...”
—Final paragraph of most annual reports

38. 60
MILLION

39. “I prefer to live in a world
where this is ordinary.”
Leonard Abess

40. 9.4 percent

41. “Was thinking that if each of us
helped just 1 person find a job,
we could start making a dent in
unemployment. You game?”
Mark Stelzner

42. “You game?”

43. In the first year, over
40,000
Job Angels started helping people find jobs.

44. Franciscanomics

45. “
THE EARLY FRANCISCANS,
WITH THEIR PASSIONATE
SYMPATHY FOR THE
SUFFERING AND
The Catholic World
October 1903 OPPRESSED, LARGELY
CONTRIBUTED TO THE
FINAL DISAPPEARANCE
OF CORRUPT FEUDALISM.”

46. “A little man may
do a great deal of
harm; and pray,
why not a little
man do a great
deal of good?”
Cotton Mather, 1825
Essays to Do Good

47. If a few leaders can cast suspicion
on the integrity of an entire nation...

48. ...then why can’t some morally strong
leaders restore the public’s faith
that people are generally good?

49. Franciscanomics
You might not become a saint—or
get the publicity afforded today’s
notorious business scoundrels.

50. But you’ll succeed in proving that there are still
HONORABLE PEOPLE
in the world today.

51. You game?

52. Rebuilding from
the Recession
in Your Heart
FRANCISCANOMICS