http://finance.yahoo.com/news/Govt-moves-to-limit-apf-4112081129.html?x=0&sec=topStories&pos=3&asset=&ccode=
Unsurprisingly, as the government has flooded the market with money, the prices of many commodities (which can't be printed, but must be grown/found) are surging... naturally this surge in prices has been blamed on a faceless culprit, conveniently referred to as "funds, traders, and investors"...
As financial history tells us, these are the same parties culpable for every economic unpleasantry since the dawn of markets, though the real culprits are often the ones who pronounce such accusations through giant microphones (read: politicians)...
And, if the history of every price control ever can teach us anything, its that it never works. We (un)eagerly anticipate the opportunity to share Price Control Part Two (aka, consumer good price control)
Jan 13, 2011
Jan 5, 2011
Inflation - Who'll ever know?
A growing number of products, from orange juice to toilet paper, are shrinking in size yet being kept at the same price, according to the latest investigation by Consumer Reports.
Happily, Americans are unlikely to notice the hidden 8% inflation (equivalent to paying the same for 59oz vs 64oz OJ), as we will be all too pleased when Angry Bird v5.0 is released. In even better news, this apparent theft will likely be excluded from the government's CPI inflation report... which will likely continue to show that, after excluding rocketing food prices, soaring fuel prices, and corporate theft of individuals (not to mention higher education and healthcare costs), prices paid by Americans likely remained, unsurprisingly, unchanged. Hurray!!
P.S. In real good news, corporate profits are soaring... hahahaa
Happily, Americans are unlikely to notice the hidden 8% inflation (equivalent to paying the same for 59oz vs 64oz OJ), as we will be all too pleased when Angry Bird v5.0 is released. In even better news, this apparent theft will likely be excluded from the government's CPI inflation report... which will likely continue to show that, after excluding rocketing food prices, soaring fuel prices, and corporate theft of individuals (not to mention higher education and healthcare costs), prices paid by Americans likely remained, unsurprisingly, unchanged. Hurray!!
P.S. In real good news, corporate profits are soaring... hahahaa
Dec 27, 2010
Visual Evidence of Evolution in Technological Specimens
The first of these phones is from circa 1995 AD. The latest version shown here is from 2008 AD. Ironically, these pictures were taken via my latest phone (2010 AD), which now contains a 7 megapixel camera, at roughly 1/3 the width of the big black box shown on the far left.
If I had (originally bought) the fossilized remains of the specimens, I would also be able to show the similar extinction pattern of a variety of other species:- Ipod
- Radio
- Camcorder
- GPS
- Alarmclock
- Phone
- Ukulele tuner
- Gameboy
- Flashlight
- Compass
The only thing that I now have is the Droid X...
Dec 21, 2010
Biology (Campbell) - Chapter 1
Principles of Biology
1) Emergent properties - living world has hierarchical structure, from molecules to biosphere. Novel properties emerge as a result of interactions at lower levels.
2) Cell - basic unit of structure & function. Prokaryotic (simple) and Eukaryotic (complex).
3) Heritable information - life relies on inheritance of information via DNA molecules. Each DNA strand contains nucleotides (alphabet), which string together to form gene sequences
4) Structure & Function - form and function are correlated at all levels
5) Interaction with environment - organisms are open systems that exchange material & energy with surroundings
6) Regulation - feeback mechanisms regulate hemeostasis of organism to create relatively steady state - positive feedback is rare in nature
7) Unity & Diversity - wide range of horizontal organisms, but many/all organisms share similar traits
8) Evolution - key explanation of unity and diversity; differential reproduction via natural selection
9) Scientific Inquiry - observation, question, hypothesis, prediction, test
10) Science, Tech, Society - relationship of science and tech to society is critical
1) Emergent properties - living world has hierarchical structure, from molecules to biosphere. Novel properties emerge as a result of interactions at lower levels.
2) Cell - basic unit of structure & function. Prokaryotic (simple) and Eukaryotic (complex).
3) Heritable information - life relies on inheritance of information via DNA molecules. Each DNA strand contains nucleotides (alphabet), which string together to form gene sequences
4) Structure & Function - form and function are correlated at all levels
5) Interaction with environment - organisms are open systems that exchange material & energy with surroundings
6) Regulation - feeback mechanisms regulate hemeostasis of organism to create relatively steady state - positive feedback is rare in nature
7) Unity & Diversity - wide range of horizontal organisms, but many/all organisms share similar traits
8) Evolution - key explanation of unity and diversity; differential reproduction via natural selection
9) Scientific Inquiry - observation, question, hypothesis, prediction, test
10) Science, Tech, Society - relationship of science and tech to society is critical
Dec 14, 2010
Safety & Sanity - Sacrifices at the Alter of Capitalism
Inflammatory headings notwithstanding...
More and more, I am of the belief that capitalism, though a system that has contributed immensely to the welfare of human beings (on average), is deeply flawed. And the blemishes are unsightly enough, that society should think twice, thrice or however many times necessary, before we trust and hope that untethered free markets will be able to deliver us from the more unsavory aspects of human society that have plagued us since... forever (ie poverty, inequality, injustice, starvation, war, etc etc)...
Let me give you a perfect example of how twisted capitalism can be. In our stock market, there are instruments (securities) that are created in order to facilitate the buying & selling of shares of our country's various economic enterprises (read, companies). In addition, there are other economic instruments created to bring liquidity to various markets, for example the commodities market. The key is this...
Whenever there is a need for a product, the market will create it... if we want more stock, prices will go up, companies will sell stock and prices will reach equilibrium... if we want more bonds, prices will go up, companies will sell bonds and prices will reach equilibrium... if we wanted more interest-rate-swaps... coffee-futures... etc etc
However, there is a major flaw in that statement. The market does not create based on need. The market creates based upon WANT.
Let me give you an example. I will not name the specific security, but recently I found a prospectus for a newly created product, which now trades on the stock market. Let me offer you some carefully selected excerpts from the prospectus of this product (a prospectus should tell you the characteristics and risks of a financial product... kinda like a nutrition label on food products)...
I didn't make that up. This product was created. It is structured in such a way, that the 'long term expected value' is ZERO. And people buy it. If this instrument was sold in grocery stores, it would have a surgeon general's warning. This is an instrument that nobody should need. It kills people('s wealth). But, it was created because there was a demand for such a product. People wanted another instrument to make bets with, even if it's a terrible one. Thank you capitalism.
(To be fair, it's not capitalism that's messed up... it's the participants. Then again, to be fair, the same could be said for communism or any other -ism)
More and more, I am of the belief that capitalism, though a system that has contributed immensely to the welfare of human beings (on average), is deeply flawed. And the blemishes are unsightly enough, that society should think twice, thrice or however many times necessary, before we trust and hope that untethered free markets will be able to deliver us from the more unsavory aspects of human society that have plagued us since... forever (ie poverty, inequality, injustice, starvation, war, etc etc)...
Let me give you a perfect example of how twisted capitalism can be. In our stock market, there are instruments (securities) that are created in order to facilitate the buying & selling of shares of our country's various economic enterprises (read, companies). In addition, there are other economic instruments created to bring liquidity to various markets, for example the commodities market. The key is this...
Whenever there is a need for a product, the market will create it... if we want more stock, prices will go up, companies will sell stock and prices will reach equilibrium... if we want more bonds, prices will go up, companies will sell bonds and prices will reach equilibrium... if we wanted more interest-rate-swaps... coffee-futures... etc etc
However, there is a major flaw in that statement. The market does not create based on need. The market creates based upon WANT.
Let me give you an example. I will not name the specific security, but recently I found a prospectus for a newly created product, which now trades on the stock market. Let me offer you some carefully selected excerpts from the prospectus of this product (a prospectus should tell you the characteristics and risks of a financial product... kinda like a nutrition label on food products)...
In almost any potential scenario the Closing Indicative Value (as defined below) of (product) is likely to be close to zero after 20 years...
The long term expected value of (produt) is zero. If you hold your (product) as a long term investment, it is likely that you will lose all or a substantial portion of your investment.
(To be fair, it's not capitalism that's messed up... it's the participants. Then again, to be fair, the same could be said for communism or any other -ism)
Nov 2, 2010
War on Poverty... Skirmishes with Wealth
Give me neither poverty nor riches; feed me with the food that is needful for me, lest I be full and deny you and say, “Who is the Lord?” or lest I be poor and steal and profane the name of my God.
Proverbs 30:8-9Just started reading Robinson Crusoe. In the very beginning, Crusoe recounts the advice his father gave him... that to be poor is to be exposed to the miseries, hardships, labours, and sufferings of life, while to be rich is to be embarrassed by pride, luxury, ambition, and envy. Both beggar and king, for different reasons, wish for sustenance that is sufficient, but no more and no less.
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