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homepage: www.fritz-reuter.com |
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REUTER'S FOCUS REPORT |
THE VIOLIN HOAX: |
5. There were many abuses, and there's no need to deny it.
But the scene was alive, pulsing with vitality. At the same time, subsisting
as parasites which required the life blood of this young nation, were quacks
and snake oil salesmen. They carried on exactly as one would expect, peddling
their cure-all potions said to decimate "cancer and indigestion,
trichinosis and tapeworm, and every other ill bedeviling man and beast."
On more exalted levels of finance, con men of another sort relieved guileless
investors (and, admittedly, some not innocent of guile) of their monies by
way of stock and land "promotions." In significant ways, the Robber
Barons of the new industrial age were different from the Managers, Boesky-like Insider-Traders, who have
come to dominate social and economic life in the late twentieth century. The
Robber Barons (so named in "honor" of their medieval predecessors)
were men with serious ends in view--and were, thus, notably different from
those I have spoken of as today's Managers. Even having said all this,
however, one may fairly add that the Robber Barons of the new industrial age
proved the truth later immortalized in Will |
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6. Amid this vital American scene, the chief concern of many Americans was to employ their energies in exploiting the continent -- and, as we have already suggested, each other. 7. |
8. Is the magnitude and pervasiveness of such corruption
shocking? Yes and No.
For |
14. What lies behind it may be another matter. In the violin business, the professional discount's development appears to trace back to the original enterprise of Lyon & Healy. In its primitive form, here is how it worked. The "professional discount" -- and note the word discount -- -- was simply a built-in mark-up that a manufacturer included in the "list price" or listed sales price which was to be charged by the retailer. This kind of advance fixing of an item's list cost was protected by Fair Trade, or price maintenance, legislation. In other words, the law enabled manufacturers to both set and enforce the retail sales price of their trade-mark or "branded" goods. So the "discount" was to be understood as a specially-protected deduction from the list price -- a deduction that was to be appreciated as a professional courtesy and, simultaneously, as a spur to the emergence of product loyalty among stringed instrument teachers and musicians. |
15. These rebates became the unofficial, yet well-established, standards within the music industry of the time. There were basically two levels of "consideration," depending upon whether one was acquiring products sold under their national brand name or, in contrast, products bearing a house label, one of the dealer's house brands. In either case, the commodity at issue is a mass-produced instrument, bow, set of strings, accessory, etc. -- bore an explicitly fixed retail catalog price. For nationally-advertised brand-name merchandise, however, the "consideration" expressed as a so-called professional discount went as high as 25% -- but no higher. For house-brand items, in contrast, the professional discount (i.e., rebate) went as high as 40% of the list price. |
16. At this point, the professional discount has been transformed. No longer a rebate to the buyer; it is now a kick-back (equivalent in size to the prior stage's rebate or professional discount) paid to the matchmaker. The matchmaker has "earned" it by, so to speak, "delivering" the buyer to the seller. 17. The arrangements of Stage 1 are fairly straightforward and defensible. Those of Stage 2, though they require the ignorance of the buyer, deprived the music business of its relative innocence. Truly, they corrupted it. |
18. Applying Stage 2, "Creative Merchandising" now took on a novel dimension -- a distorted and distorting dimension. Yes, sellers of new, mass-produced instruments were still sellers of instruments. But now their business rested heavily upon a secret network of musicians and others -- particularly musician-teachers -- who were routine participants in a scheme. What scheme? Basically, we're talking about a form of bribery. For the kickbacks had to be earned. Musicians who were also teachers became what we have called matchmakers, secret salesmen-promoters for the actual sellers of instruments. Once the pattern gained ground, musicians and teachers came to expect "theirs" -- their "gratuity," "fee," call it what you will, they were splitting the profits of their mutually engaged swindle. They more-or-less openly extorted "commissions" from the sellers of instruments, since the prominent performers and teachers -- once they had gotten on to the pattern set by some sellers -- came to see themselves as matchmakers, and their matchmaking activities as legitimately "billable" services. "Kickback," one can imagine them saying, "is a distinctly unpleasant term. Since we are both professionals, let us speak of my share of the profits as fees for services rendered. My commission." |
19. Respectable corruption had been institutionalized, and honorifically renamed. As for the procedure itself, the adjectives simple and lucrative both apply -- and to both sides, the matchmaker and the dealer. (But forget the buyer!) The matchmaker, having a prearranged "understanding" with one or more dealers, sends his students to them -- "recommending" them as a trustworthy source for new instruments, accessories, rentals, and repair services. The student confidently makes his purchases at catalog list price. No "professional discount" to him -- since he is, after all, merely a student. But the "professional," the matchmaker, is not to be forgotten. His recommendation or referral (call it whichever you prefer) merits a commission -- i.e., kickback -- equal to the rebate explained in our account of Stage 1. And all of this happens, please note, without the buyer's knowledge. |
20. By now, the inner logic of "creative merchandising" is approaching its fulfillment. Now we are dealing with old and antique instruments at arbitrarily fixed prices. No longer is the "professional discount," already transformed from an "allurement" for buyers into an under-the-table kickback to middlemen-matchmakers, locked in at the 25%-40% maximum. Now it's negotiable. It is, quite literally, a negotiated percentage -- having no limit -- of a dealer/matchmaker -- fixed sales price. The greed of the matchmaker may, in consequence, have as much to do with an instrument's price as the greed of the seller -- not to mention the estimated purchasing power and gullibility of the buyer himself. 21. To clarify, a slight expansion is required. Speaking of "creative
merchandising" in a relatively informal sense, stages 1 and 2 may be
said to characterize practices common to the selling of nearly all musical
instruments by nearly all dealers -- in nearly all places. Stage 3 is
casually spoken of, at least by many, as the " |
22. |
23. Who were these master marketers or musician-dealers? Lyon & Healy, as we have earlier
mentioned, were the great originators. At the same time, we should not omit
old William Lewis & Son, Kagan & |
28. However, Mr. Freeman's
background as a rustler (and, perhaps, his acquaintance with the many
confidence schemes which flourished in |
29. Mr. Freeman was not
a stupid man. And his observations apparently led him, pretty quickly, to
envision the possibilities of a great scheme . . . or scam. He seems to have
seen the promising prospect of recycling the abundant supply of old violins,
making astounding profits from, so to speak, turning "lemons" into
"lemonade." |
30. Though the obstacles to giving this scheme concrete reality were, one must grant, many, they were not numerous enough to defeat Mr. Freeman. With ingenuity befitting a former pony rustler and cow-puncher whose one-year conversion into an "expert" on antique violins had to bemuse his staid and proper English tutors, Mr. J.C. Freeman found a way. The "method" he discovered was about equivalent to successfully selling ancient used cars to prosperous blind and first time buyers -- with the help of the buyers' driving instructors. In this fashion, the sightless buyers came to believe that their acquisitions were not simply more expensive than new cars, but that they cost more because they were functionally superior to the new products of advanced engineering. |
31. The dynamics of the Freeman-Lyon & Healy method are best appreciated when viewed in context of the major obstacle that the method confronted -- and overcame. A simple, self-evident observation had to be overturned. People with perfect vision had, in effect, to be convinced that black is white. Let us therefore describe the obstacle and the sequence of ingenious means by which it was surmounted: |
41. A number of emotional fixations had to be instituted to brainwash the uninitiated buyers and general public into accepting the violin as the quintessential "blind item" -- an object for which knowledge of facts (comprising the usual or chief means of guidance or judgment in purchase of an object) is lacking. Keeping the purchaser ignorant and illiterate, as well as at the mercy of his matchmaking teacher, this collusion would greatly empty the field of previously listed obstacles. This, in turn, would increase the lucrative profits enjoyed by the fiddle scam's insiders. |
42. Through an all-pervasive propaganda campaign based on the "Big Lie," this new "Priesthood of the Initiated Ones" in the "Violin Mysteries" conspired, through a hidden psychological agenda, for buyers of violins to remain blinded to reality, as far the purchase of violins was concerned. This priesthood consisted of an Illuminati-like core, infiltrating scores of violin and music related organizations to propagate their mysteries. The challenge was to eliminate the buyer's judgment from the picture -- without his realizing it! -- and to make the matchmaking teacher's judgment take over in decisions regarding the value of old and antique violins. Since these are, now in an almost-classical sense, mystical "blind" items -- articles for which there is no commonly-understood standard of evaluation -- this ignorance had to be compounded. The consumer was NOT to be educated by facts; truth had to remain hidden within the "all knowing" initiated priesthood for the scam to work. Violins must be purchased "blindly," through sightless belief in the power of the oracle-like pontificating of the priesthood of violin teachers and their handlers, since only they were versed in all the mysteries of understanding fine sound. |
43. A two-pronged psychological shell-game -- to distort buyers' normal frames of reference, and to intensify and compound the public's ignorance of how to buy a violin -- was to evolve. 44. First, regarding stringed instruments: The buyer must be made to
believe that the "skyrocket" price he is rendering up for an old or
antique violin is, in fact, rendered to secure beauty of sound. That the
price is determined by the sound of the violin and based on this. That only
the teacher can tell if the price is right. The buyer must be inundated with
fables. lies and mysticisms, like the long lost
"Secret of Stradivarius," etc. (Cf. topics discussed in
"Finally Found: The 'Secret' of Stradivarius" and "Violin
Mythology: A Psychoanalytical |
45. Secondly, the insiders had to slyly attack those who
resisted the crafty conspiracy. So, at the same time the buyer's own judgment
was subtly rendered inoperative, it was likewise critical to denigrate the
real expertise of genuine experts and collectors whose knowledge and
experience makes them the only trustworthy
judges of fine antique violins' value. By threats, by
silent group boycott, by slandering the reputation of those who dare (like Der
Spiegel of |
52. According to the Encyclopedia Britannica's 1982 edition (see Propaganda), "propaganda is the more or less systematic effort to manipulate other people's beliefs, attitudes, or actions by means of symbols…[and] a relatively heavy emphasis on manipulation distinguish[es] propaganda from . . . the free and easy exchange of ideas." If we're willing to go with this definition. then it is fair to say that the violin business has been infiltrated by massive propagandistic forces -- forces which Freud's discussion of "group psychology" (massenpsychologie) should illuminate. For, in seeking to understand the fiddle scam, we are primarily attending to men in a mass -- men in groups -- rather than to individuals whose judgment is unclouded by the pressure of communal symbols, expectations, and competition. The musical world and musical community are, after all, fairly self-contained worlds, communities, groups. Apart from what a musician actually needs to perform well as a musician, there is always the group's expectation that he "signal" his standing by the display of symbolic objects -- most commonly, old/antique string instruments with famous-maker names which may "speak" with greater resonance than the violins, violas, or cellos themselves. after all, fairly self-contained worlds, communities, groups. Apart from what a musician actually needs to perform well as a musician, there is always the group's expectation that he "signal" his standing by the display of symbolic objects -- most commonly, old/antique string instruments with famous-maker names which may "speak" with greater resonance than the violins, violas, or cellos themselves. |
53. That's why musicians and their communities (or groups,
masses) are so significant. Allow me to cite from the opening chapter of Freud's 54. It is true that individual psychology is
concerned with the individual man and explores the paths by which he seeks to
find satisfaction for his instinctual impulses; but only rarely and under certain exceptional conditions is
individual psychology in a position to disregard the relations of this
individual to others... |
55. And apropos of all we have observed of the power of symbols and lies decked out as alluring fantasies, Freud's comments in his next chapter are even more telling. In his own words: 56. A group is extraordinarily credulous and open to influence, it has no critical faculty, and the improbable does not exist for it. It thinks in images, which call one another up by association . . . and whose agreement with reality is never checked by any reasonable agency... . Inclined as it itself is to all extremes, a group can only be excited by an excessive stimulus (emphasis added). |
57. Mention of "excessive stimulus" spontaneously calls to mind the massive mythology and merchandising-marketing hype which are intrinsic to the fiddle scam -- its very essence, and not at all accidental or adventitious. 58. In context of the fiddle scam, Freud's observations are so pointedly "on-target" that further quotation is certainly appropriate. After all, the scam we're looking at operates in (and on) a group: 59. A group, further, is subject to the truly magical power of words. . . [and] groups have never thirsted after truth. They demand illusions, and cannot do without them... . |
A group is an obedient herd, which could never live without a master. It has such a thirst for obedience that it submits instinctively to anyone who appoints himself its master... . The leaders [or masters have] a mysterious
and irresistible power which he [Freud
here refers to |
60. By now we're in wonderland indeed -- not because Freud's analysis is anything less than sober, but because the demand for more and more potent stimuli, the unconscious belief in magic, the demand for illusions, thirst for obedience, and paralysis of critical intelligence by the power of prestige -- because all these take us, as proud and trusting members of the musical world (a professional group, Masse), further and further from the physical realities of sound production. By now, indeed, something like the physics and mechanics of instrumental resonance must seem a dull subject indeed -- lacking, as the "Yellow Kid" would have put it, all "allurement." |
61. That, however, is precisely the point. The phenomena
we may consider as fiddle-scam hype are, like all bells-and-whistles
extravaganzas, an almost-immediate eye-catcher -- pretty much like the
"wonders" that enchant and dominate and loosen one's purse strings
on the Midway of any circus or county fair. But we also know something else.
The |
62. So it is in the world of music, no less subject to the
enticements of mass psychology than any other world. Luckily, what awaits us
when we go beyond illusion is not disappointment, but the rewards of
craftsmanship -- the genuine (and non-magical!) art of master violin makers. The |
63. Thankfully, we don't have to accept the invitation. One's judgment need not suffer paralysis, and one need not be a victim of symbolically-magically induced domination. Awareness and insight--an understanding of the scam's inner logic, historical development, and psychological grounding -- make one immune. As we earlier remarked, to understand manipulative techniques is to be armed against them. |
64. What is more, there truly is a positive side to all
this. And the affirmation -- once its astonishing implications are firmly
understood -- is affirmative indeed. There is, we have noted, a wide-spread
conviction that instruments must be old -- preferably antiques -- if they are
to rate as "fine concert instruments." In this article and previous
FOCUS REPORTS, we have tried to suggest the contrary
-- and to spell out in detail the evidence for our position. If one is
seeking an instrument which will perform optimally, which will respond to the
whole range of demands the player wishes to make, then there is good reason
to look first at new,
master-made instruments. (This would be obvious if we were talking about
brass instruments, where myths such as the "Stradivarius mystery"
have never evolved -- and where fine master-crafted trumpets, for example,
continue to be available at truly modest prices.) Master
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65. As we like to remind our customers, Stradivarius himself made new violins. 66. The notion that Stradivarius' creations somehow or other "improved" with age is one of the more obvious, if widely circulated, credulities of a century dominated by Creative Merchandising -- as is the ploy of the "lost secret" of making violins. As a notion, it defies logic and science and simple common sense. A violin is an artfully crafted machine, but a machine nonetheless. The life of a machine, as all of us know, can be extended greatly by knowledgeable maintenance -- and cut short by ignorance and carelessness. Without a doubt, the kind of butchery which has often been inflicted upon old master-made instruments has frequently turned them into virtually unplayable, vastly devalued antiques. Of little worth to players or collectors. While careful repair and restoration have often given such instruments long, useful lives. |
67. The simple point is that there is a limit. Death may be postponed, so to speak, but not eliminated. Eventually, even the most carefully-cared-for violin deteriorates to the point where it lacks the resonance and responsive range which any serious musician -- whether a soloist, a member of a major symphony, a freelancer, or a dedicated amateur -- has a right to expect. What then? 68. The current myth proclaims that success as a musician is impossible, regardless of one's dedication and education, unless one manages to obtain one of a rapidly-diminishing number of high priced, old, antique, master-made violins. As we have urged again and again, this may not be a solution at all. The antique ("doped up" to sound good for the moment) may be far inferior to a modern instrument -- if it's actual sounding and response we're considering, rather than the arbitrarily contrived pseudo dollar-value of an antique or phony trophy. Additionally, the antique -- even if, by some miracle of restoration, it can be returned to near-optimal capacity -- may be wildly beyond the reach of anyone other than another Insider or grafter. |
73. This is blatantly unconscionable. For the sweetheart arrangements of matchmakers and dealers, supporting and supported by the antique-violin cum Mystery of Stradivarius mythology, subject decently motivated individuals to years of deprivation . . . all for the sake of a goal which could be attained without such suffering. Fine, master-made new stringed instruments may merit the adjective "rare" because of their physical and tonal beauty -- but not because they are remnants of a fast-diminishing finite supply. The Chicago Fiddle scam has gone on for, now, more than a century. Yet throughout the scam's every decade, fine new master-made violins have been available -- from both European and American makers |
75. Stradivarius' original customers were in fact purchasing new violins. And the truest way of honoring Stradivarius' legacy is through the purchase of instruments crafted by those of today's master makers in whom his legacy remains vital. These masters were not, and are not, masters of deception, con artists. Perhaps without the scam's negative history, and without its manipulation of "group psychology," there would be no need to belabor the obvious. Stradivarius made new violins. And treating them like relics is not the way to honor his achievements. It makes more sense to acknowledge a master of the past by honoring the craftsmen of today, those whose work keeps Stradivarius' legacy alive. |
Copyright © Fritz Reuter and Sons, Inc. 1990, 1996-2000 All rights reserved