Now we turn to the accounting profession. Now you think accounting is something we can trust? Accounting is one of the glories of modern civilization. In the heyday of Venice, they really made double entry bookkeeping popular. They taught it in all the math books of that era just the way people draw arithmetic now. Anybody who was anybody in Venice knew double entry bookkeeping the way you know how to scratch your ear. This was very helpful to Venice, which at one time was the most important commercial city in the world. And so these accountants with this glorious background got into establishing their accounting principles. What did they finally come to? This is relatively new once sort of after the mess unfolded. They came up with this loon. They said if you are on the edge of extinction, your credit is utterly destroyed, you have no cash to do anything, to buy anything, but your outstanding bonds are selling at 50 percent of their face value - you have made a profit equal to 50 percent of the face value of the bonds. It’s not a profit you can eat or use because you don’t have any cash with which to buy the bonds, but in terms of the financial statement, as your real [financial] health gets worse and worse your profits get higher and higher. I’m not kidding! This is accounting the way it is ordained in this country as we sit here. They are teaching this kind of stuff to our children and forcing it on our companies. It is absolutely insane.

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