January 2009

Q & A with best-selling author, financial journalist and native New Orleanian Michael Lewis

Michael Lewis donates all the proceeds of his book PANIC! The Story of Modern Financial Insanity to the Greater New Orleans Foundation and 826 National, a volunteer organization that helps students with creative writing

Q: Liar’s Poker, The Blind Side, The New New Thing, Moneyball – and now PANIC!  published in December 2008. How is this book different?

A: For a start it’s not exactly a book, or at any rate not a book by me. It’s a collection of writing, edited by me, about financial crises. I wrote a few of the things in it but most are by other people. The other way it is different is that it was conceived as a money generating device for two causes: 826 National, which is an unconventional and inspiring literacy program; and the fund at GNOF set up by my wife, Tabitha, and me.

Q: What should we be panicked about?

A: Nothing. It’s at best a useless emotion.

Q: With 1.6 million nonprofits in the United States, we are very grateful you chose GNOF. Tell us why?

A: My mother made me.

Q: Philanthropy seems to be recession proof. Giving USA data shows that giving has increased every year but one (1987) for the past 40 years, including through every financial crisis. How do you explain the resiliency of philanthropy?

A: That surprises me, as most people I know cut back their giving when they have less to give. If true, I can imagine one reason: once people give they see the pleasure in it, and that pleasure exceeds the pleasure of other things they might have to give up in lean times.

Q: With the proceeds from this book, what kind of impact would you like to see in your grant making?

A: It’s still only a book I’ve sold, not a private equity firm or a professional sports franchise, so we won’t be raining money in any conspicuous way. But we’d like to keep sponsoring Teach for America teachers in New Orleans, and continue to help those who are, one way or another, failed by the marketplace.

Q: Twelfth Night has just passed, ushering in the 2009 Mardi Gras season. Do you have a favorite carnival memory?

A: Learning to wave a scepter in preparation for my duties as King of Squires. It comes in handy, maybe not quite so handy as my ability to catch grapes in my mouth that have been thrown high into the air: but handy. I once had a drink with Princess Diana and after running out of things to say to her I said, “you know, we have one thing in common. We’re both trained royals.” She seemed dubious, so I explained, and then asked her exactly what skills she had been required to master, before she assumed her throne. She had a list but scepter waving wasn’t on it, and she was genuinely intrigued, or did a good job faking it. I then taught her how to do it. She giggled.