Browsing Tag: market

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    Thailand Train Market & Floating Market | Thailand Vlog #08 (4K)

    September 30, 2019


    Good morning, I am at the train station as you can see and today I wanna go to 2 markets the floating market and the train market. I hope everything will work, because it is a bit complicated I have to take the first train for 1 hour and then take another train from there. The problem is the description I found online was around 5 years old so I don’t know if I will ever arrive there. But even if it does not work it will be a funny experience and it did not cost that much. The first ticket was just 10 THB which is around 0,25 €. So let’s see if it will work… After a 1 hour train ride I had to take a boat to the other side of the river. The boat trip cost just 3 THB which is around 0,08 € so for less than 10 cents you can get on the other side of the river. Here I have to check for another train station from where I take the next train which takes another hour to arrive at the train market. Meanwhile I arrived at the other train station but the only thing I can see here is a train but I can not see anybody here. I have heard the train will leave in 1 hour from here but I am not sure if it will be this one but as you can see nothing is going on here. I hope this is the right place but at least it is a nice location. Meanwhile I found the right train which gonna leave in a few minutes. The ticket cost again 10 THB which is around 0,20 €. Now I need to take the train for another hour and then we will arrive at the train market. The special thing about this market is that the train will ride through the market and all the stands have to go to the side that the train can ride through it. The train is gonna leave now so lean back and enjoy… As you saw it was raining, so you could not see that much but maybe you saw, it is full of Chinese and Japanese with their cameras, who are waiting for the train. I was standing in the front and filmed out of the window but unfortunately you could not see that much because they already put the stands to the side because it was raining a lot. Usually they are selling fruits and vegetables on the left and the right side and at the moment where the train drives through the market the sellers put their stuff to the side. After I was walking through the market I am gonna now to the floating market which is just around 8 kilometers from here and o get there I will take this mini bus. Meanwhile I arrived at the floating market but as you can see there is not much going on because it just started to rain again… After a 2 hours mini van ride I finally arrived back home in Bangkok. Even it was raining from time to time the trip was totally worth it! But I think, if I will have some free time I will go to one of the markets again to have a closer look at them and take some photos if the weather is nice. The markets were pretty cool and are different to all the markets here in Bangkok. I hope you enjoyed the Video see you next time …

    Money & Debt: Crash Course World History 202
    Articles, Blog

    Money & Debt: Crash Course World History 202

    August 29, 2019


    Hi, I’m John Green. This is Crash Course World
    History and today we’re going to make it rain. We’re going to talk about money, the stuff
    that makes the world go ’round. I’m not very good at making it rain. MFTP: Mr. Green! Mr. Green. I’m sorry, but
    money doesn’t make the world go round. It’s actually conservation of angular momentum.
    It’s the same thing that allows, like, figure skaters to turn in circles. John: Look, me from the past. I know you came
    in fourth for physics, among all “C” students in the entire state of Alabama in the 1994
    state academic decathlon tournament, but that doesn’t actually make you good at science. [Intro] So, here is what economic textbooks say about
    money. In general it has three functions: medium of exchange, unit of account, and store
    of value. And its first function is by far the most important. Like, this is a quote from my actual, physical
    high school econ text book: “In primitive economies, food might be traded for clothing,
    or help in building a house might be exchanged for help in clearing a field. But exchange
    today in all economies — market as well as command — takes place through the medium
    of money.” A couple things about that quote, first off,
    primitive is a cringe-y word. Secondly, a market economy is basically all economies
    these days, and a command economy is what we called the Soviet Union’s economy back
    in the eighties. Anyway, money is very important to history–like,
    our old friend Adam Smith thought that, quote: “property money and markets not only existed
    before political institutions, but were the very foundation of human society.” Ehh, he
    was pretty into economies, so he was probably a little biased toward money, but it is important. Smith also thought that before there was money,
    there was barter, but barter could be cumbersome; like if I make cheese and you make shoes,
    and you’re lactose intolerant, then barter breaks down because I need shoes, but you
    don’t need cheese. Then I have to live like a hobbit and get this very powerful ring,
    it’s like, really stressful, I end up having to go to Mordor, it’s just very complicated. So, Smith’s ideas that rather than adapt to
    shoelessness, humans created a commodity that they would agree upon ahead of time could
    be used in exchange, and that commodity is money. Yes, these are all ones. Stan, I forgot to mention this, but you are
    buying lunch today. Now, we generally think of money as like coins,
    or later, bills, but the material of money is arbitrary. Smith wrote: “In all countries,
    however, men seem at last to have been determined by irresistible reasons to give the preference,
    for this employment, to metals above all other commodity.” A sentence that shows you why
    we didn’t teach him in Crash Course Literature. But of course, it’s really inconvenient to
    like, weigh and measure metals every time you wanna buy or sell something, so people
    hit upon the idea of making coins with a standard size and weight. Now, Smith is probably right
    that coins are much more convenient than bartering, right? Like, especially if the main store
    of value in your community is something like cattle. I mean, let’s say you still need a
    pair of shoes, well, they aren’t worth an entire cow; trading in partial cows… fairly
    messy. It’s also very bad for the cow’s health, and the cow loses a lot of its value, because,
    you know, it’s no longer living. So that all makes sense, but it’s problematic
    when Smith universalizes that observation by claiming that as a matter of convenience,
    every prudent man in every period of society must naturally have endeavored to create money. Smith — man of the enlightenment that he
    was — is positing that the creation of money is part of human nature. Like, in the second
    chapter of Wealth of Nations, Smith explicitly says that the division of labour is the, quote:
    “consequence of a certain propensity in human nature … to truck, barter, and exchange
    one thing for another.” But yet, no! Like, what made sense for eighteenth
    century city and town dwellers like Adam Smith doesn’t necessarily apply to like, all human
    beings over the course of many millennia. And if you don’t believe me, you can just
    ask anthropologists. They love to talk about this stuff. So, here’s the fascinating thing to me: when
    you look at places where the social order is not based on money, we find that people
    actually don’t barter at all. So David Graeber’s book “Debt: The First 5,000 Years” surveys
    the literature of anthropology and discovers that in societies without money, people don’t
    actually barter, but they do find ways to exchange. He quotes an anthropologist named
    Caroline Humphrey, who concluded: “No example of a barter economy, pure and simple, has
    ever been described, let alone the emergence from it of money; all available ethnography
    suggests that there has never been such a thing.” Now, that’s not to say that barter doesn’t
    exist or that it never has, I mean, I just traded Stan two copies of my book Paper Towns
    for the candy left in this pinata. Big money, no whammies. Two things of Sweet Tarts?! Stan!
    That’s not fair. Alright, let’s go to the Thought Bubble. So, according to Graeber, barter was reserved
    for trade between strangers, even enemies. For most of human history, humans lived in
    small communities, and in those small communities, most exchange took place using forms of credit.
    Basically, when people know each other well, they’re willing to trade with the future expectation
    that what one gives today will be repaid at some future date with something of roughly
    equivalent value. So in small, localized communities, everyone is in debt to everyone else, and
    there’s no real need of physical money, like coins, as a way of keeping a count, because,
    you know, you remember when someone owes you forty barrels of beer, or whatever. We see this historically in the early civilizations
    of the Fertile Crescent, where the basic monetary unit was the shekel, and one shekel’s weight
    in silver was the equivalent of a bushel of barley. Money in Ancient Sumer was actually
    created by bureaucrats in order to keep track of resources and move things back and forth
    between departments. But that doesn’t mean that silver actually circulated freely. Graeber
    writes: “While debts were calculated in silver, they didn’t have to be paid in silver.” So while some people seem to think that money
    is naturally backed by precious metals, usually gold or silver, that doesn’t seem to have
    been the case. It was enough to establish that something was worth a shekel or a fraction
    thereof, and then trade for something of equivalent value — meat, or whatever else, without actually
    having to have the shekels change hands. And this was especially helpful in economies
    where taxes and payments to workers were both in grain, rather than money. Thanks, Thought Bubble. So, first, Graeber
    blows our minds by telling us that Adam Smith was all wrong about money evolving from barter
    societies, but what about credit as the precursor to money? I mean, it’s basically saying that credit
    cards aren’t an advancement so much as they’re a return to the glorious past, except instead
    of trust, there are like, large, faceless corporations with the power to sue you. So the essence of credit is debt, and at least
    according to Graeber, that’s the glue that holds social orders together, at least, if
    you consider debt at its heart, to be about obligation. At least one of the things that
    binds us together as a community is the recognition that we owe our neighbors something and that
    they owe something to us in return. It’s like keeping your lawn mowed so that you can keep
    your neighbor’s property value high. It doesn’t make sense to have a lawn — they’re expensive
    and time consuming, and you can’t eat grass. But you take care of your lawn for the same
    reason your neighbors take care of theirs. Out of the sense of mutual obligation. But money changes our understanding of those
    obligations, right? Because once we’re able to put a price on our obligations, we can
    make them transferable, which wouldn’t be possible without money. Like, for instance,
    it allows you to hire someone to mow your lawn for you, but Graeber argues that money,
    especially in the form of coinage, also may chattel slavery, possibly. So in West African social orders before the
    arrival of Europeans, money was used, but only for weddings, funerals, and other activities
    that like, cemented human relationships. And the money largely had symbolic value. But
    when Europeans arrived, they introduced monetized trade into the system, and in the process,
    transformed that system. Money was no longer about transferring value to solidify relationships
    between individuals and families; it was about quantifying debt and also making it transferable. So, Graeber’s theory links money as we know
    it to slavery and war, like, coins began to be used in India, China, and the soon to be
    Persian province of Lydia, almost simultaneously, all around 600 BCE. And in Graeber’s view,
    this happened because this was a period of time that saw a shift from earlier forms of
    honor-based warfare, like, what is described in the Iliad, to a new, more state-based warfare. Armies started fighting over things like territory
    and resources, rather than, like, kidnapped wives. So in a– oh, it’s time for the open
    letter! But first, let’s see what’s inside my globe
    today. Oh, look, it’s a molten core of nickel and iron! Can–can you turn into coins? Oh!
    Stan! Look how rich I am! Virtually. Thought Bubble’s clearly much better at making
    it rain than I am. An open letter to honou-based warfare. Dear Honor-Based Warfare, um, I guess now
    is the time in the video that I have to tell you that I don’t entirely agree with Mr. Graeber.
    Like, with the Iliad we were telling ourselves a story about why we went to war, right? We
    went to war not for resources, but for glory. Honor. Now, I don’t want to sound cynical
    and disbelieving, but we still tell ourselves those stories. These days, the President rarely
    goes on TV and says, “You know why we’re going to go to war? We need resources.” No, we still
    say it’s about honor and ideas and standing up for the defenseless, and et cetera, which
    is all about as historically convincing as the Iliad. In short, honor-based warfare,
    I’m not entirely convinced that you, you know, exist. Best wishes, John Green. Anyway, so in all three of these governments
    in India, China, and Lydia, they were pretty small scale, especially compared to the empires
    that would soon come, but they built their power on professional armies that needed to
    be paid, and coins were a great way to pay them. It just works much better than like,
    trying to split up the plunder among everybody. The plundering method of payment is just like
    a garage sale. The people who get there early get all the good plunder, and then the rest
    of the people, they’re just left dividing up, you know, old clothes. Also, in Graeber’s view, states began to encourage
    the use of coins because of the uncertainty of war — like, violence creates uncertainty
    for merchants, and decreases the likelihood that they will accept payment in the form
    of some kind of trust-based credit arrangement. And soldiers aren’t known for accepting credit
    as payment, either, because, you know, soldiers are keenly aware that they might die soon.
    So, according to Graeber, this combination of war and state-building led to the rise
    of coinage. And then in order to keep paying soldiers, rulers, like, say, Alexander the
    Great, needed to continue their conquests. So you need an army in order to have an empire,
    and your army only likes to be paid in coins. Now, you can seize some sweet, sweet metal
    plunder and then melt it down and make coins, but with an empire-sized army, that’s not
    gonna cut it. You need more silver. Where are you gonna get new silver? Mining. Nope,
    Stan, not miming, I said “mining”, don’t ever put mimes in Crash Course again. So now you need a steady supply of miners;
    fortunately, you’ve conquered a bunch of people, so you have lots of prisoners of war, and
    now you have slavery. This military-coinage slavery complex was
    described explicitly in the Arthashastra, a political guidebook written by Minister
    Kautilya for the Mauryan dynasty, that made it clear that coins and markets sprung up,
    above all, to feed the machinery of war. He wrote: “The treasury is based upon mining,
    the army upon the treasury; he who has the army and the treasury may conquer the earth.” And Graeber says that China followed a similar
    pattern: he writes, “The same fractured political landscape, the same rise of trained, professional
    armies, and the creation of coined money largely in order to pay them.” So, if money is a creation
    of the state and its military, then it follows that when the state fails, as it did in Europe
    after the fall of the Western Roman Empire, coinage largely disappears. And that’s exactly
    what happened, actually, but of course, that doesn’t mean that transactions failed to take
    place or that trade completely disappears, but it did decline a lot. And in situations
    like that, people often revert to the virtual credit systems that we talked about earlier:
    the ones that rely more on personal connections than on like, state enforcement. So Adam Smith’s origin myth of money — that
    it derives from people’s natural desire to make barter more convenient through the creation
    of a medium of exchange — really doesn’t hold up to scrutiny. I mean, there are clearly
    examples of an alternate history where production and exchange work okay without actual coins
    or bills changing hands. It’s kind of like today, actually — money works as long as
    there is some form of trust and a way to make people meet their obligations. People used
    to feel obligated because failure to meet their obligations would hurt their standing
    in their small, localized communities, and now we meet our obligations because otherwise,
    like, people take our houses or whatever. But while we have evidence that money, as
    we conceive of it today, isn’t necessary for exchange, it IS necessary, or, at least, very
    useful, for states, and I think states are probably good. Oh, maybe not, I’m not positive. I just like
    the internet so much; I don’t think we would have the internet without states. So I wanna be clear that I don’t entirely
    buy Graeber’s version of history. I might be wrong, of course, but I’m not convinced
    that coins necessarily lead to slavery. And I don’t think that ancient slavery is really
    comparable to the chattel slavery that we saw in the Americas. But I do think that it’s
    important to look at alternative points of view when it comes to history, even when you
    don’t agree with them. It’s helpful to understand that there’s more than one well-argued point
    of view in the world. And I do think Graeber very effectively challenges the idea that
    human beings are like natural, rational, economic actors who wouldn’t be possible without money.
    And in the face of overwhelming anthropological evidence, at least this much is true: money
    is not the product of human nature; it’s the product of human actions, like the formation
    of governments and markets. In short, and I know this will disappoint
    some of the economics majors out there: ultimately, I think my mom was right. We aren’t made of
    money. Thanks for watching, I’ll see you next week. Crash Course is made with the help of all
    of these nice people. I didn’t want to do the credits without my globe. And it exists
    because of your support through Subbable.com. Subbable is a voluntary subscription service
    that allows you to support Crash Course directly. We want to thank all of our Subbable subscribers;
    thanks to everyone for watching. As we say in my hometown, don’t forget to be awesome.

    Watch a Train Run Through Thailand’s Most Dangerous Market
    Articles, Blog

    Watch a Train Run Through Thailand’s Most Dangerous Market

    August 20, 2019


    – [Narrator] Okay, just watch. Three, two, one. (horn blowing) This is Thailand’s Maeklong Market. (brakes squealing) About an hour south of Bangkok, every day beginning at
    6:20 in the morning, a train runs through
    Maeklong Railway Market, one of the largest produce and
    seafood markets in Thailand, through the stalls selling
    fruit, ice cream, fish, through everything. And if you’re wondering which came first, the market or the train,
    the answer is the market. The Maeklong Railway built
    a commuter train to Bangkok back in 1905. The track they laid ran
    right through the middle of this market, which had
    been around for decades. Rather than moving,
    the vendors stayed put, adjusting their business
    to the train times, eight times a day, seven days a week. (speaking Thai) – [Narrator] This system has
    been perfected over the years. With produce just inches
    from the train’s wheels, tourists and vendors wait
    as the train passes through. Then, everything goes back to normal, or at least as normal as an
    active train line market can be.

    Articles

    Rail Yards in Albuquerque and Santa Fe | The Line

    August 19, 2019


    WELCOME BACK TO THE LINE. THE CITY HAS TAKEN OVER
    CONTROL OF THE ALBUQUERQUE RAIL YARDS AFTER BREAKING TIES
    WITH PREVIOUS DEVELOPER. NOW ALBUQUERQUE IS IN CHARGE
    OF THE EIGHT MILLION DOLLAR PROJECT TO REVITALIZE THE
    HISTORIC BUILDINGS ON THAT 27 ACRE SITE THAT WAS PURCHASED A
    DECADE AGO. SANTA FE RAIL YARDS MARKS ITS
    TENTH ANNIVERSARY OF ITS GRAND OPENING AND BOTH RAIL YARD
    SITES HAVE THEIR ASSETS AND ISSUES, HARRY. MAYOR KELLER SYMBOLICALLY TORE
    UP THAT CONTRACT, KIND OF INTERESTING, RIGHT? THEY WERE HIRED IN 2012, NOT
    MUCH GOT DONE.>>EXACTLY.>>THE FUNDAMENTAL QUESTION IS
    IS THIS SOMETHING WE WANT TO TAKE ON OURSELVES? THIS IS NOT AN EASY PROJECT. IT IS ONLY 27 ACRES BUT EACH
    BUILDING IS A CHALLENGE.>>IT NEEDS A SIGNIFICANT
    AMOUNT OF REMEDIATION. IF YOU COMPARE THIS WITH WHAT
    IS GOING ON IN SANTA FE, THERE HAVE BEEN ARTICLES SHOWING
    THESE SORTS OF PROJECTS TAKE A LONG TIME TO COME TO FRUITION. I THINK THIS IS THE KIND OF
    THING THAT ALBUQUERQUE SHOULD BE TAKING ON. WE NEED TO BE FOCUSING ON
    CULTURAL RESOURCES AND THE ECONOMY TRYING TO TIE INTO
    SANTA FE AND OTHER THINGS GOING ON IN THE STATE. SO THERE IS NOT GOING TO BE
    REALLY QUICK RESULTS FOR THIS BUT THE REALITY IS THIS IS
    SOMETHING THAT CAN MAKE ALBUQUERQUE DISTINCTIVE AND
    CAN BE LEVERAGE IN OTHER SORTS OF WAYS.>>IS IT YOUR THOUGHT WITH
    THAT, THAT THE MAYOR HAS TO GET THE RELATIONSHIP WITH
    BARELAS EXACTLY RIGHT. NOW, IS THE TIME TO GET THIS
    RIGHT, BETWEEN RAIL YARDS, BECAUSE THERE IS SOMETHING IN
    IT FOR THEM, FOR THE NEIGHBORHOOD.>>IT HAS GOT TO BE ABOUT
    JOINING UP THE PARTS AND WE HAVE NOT HISTORICALLY DONE
    THAT PARTICULARLY WELL. SO, IF YOU LOOK AT ART, FOR
    EXAMPLE, IT WAS SEEN AS DISCONNECTED FROM EVERYTHING
    ELSE. SO, TO JOINT THE PARTS UP IN
    TERMS OF BUILDING A REAL CULTURAL CENTER DISTINCTIVE
    FOR THE CITY, THAT COULD BE AN ENORMOUS WIN BUT IT IS GOING
    TO TAKE FIVE, SIX, SEVEN YEARS.>>EVEN MORE THAN THAT. EXACTLY RIGHT. WE HAVE ONE BUILDING GOING
    THAT WE ENJOY THAT MARKET EVERY SUNDAY. THAT IS THE BLACKSMITH SHOP. AND NOT TALKING ABOUT A LOT OF
    MONEY IF YOU TALK ABOUT EIGHT MILLION. IF SOMEONE SAID IT WOULD COST
    18 MILLION OR 28 MILLION, NOBODY WOULD BLINK AND THINK
    THAT IS THE NUMBER. IS THAT THE OPPORTUNITY HERE? WE WON’T HAVE THAT BIG OF A
    PUSH?>>LET’S BE CLEAR. THE PREVIOUS CONTRACT WAS PAID
    BY THE STATE. THE CITY OWNS THE LAND. THE CITY IS IN CHARGE OF THE
    DEVELOPMENT. THIS ISN’T THE CITY TAKING
    OVER — YOU CAN’T SEE ALBUQUERQUE EMPLOYEES — IT IS
    CONTRACTED OUT. IT’S A STORY OF CONTRACT
    MANAGEMENT. AND GIVEN HIS BEHAVIOR WITH
    THE NATIONAL POLICE SHOOTING CHAMPIONSHIP, WHO KNOWS WHO IS
    GOING TO GET THE NEXT CONTRACT. ARE THEY GOING TO BE PERFECTLY
    POLITICALLY CORRECT FOR HIS NEXT REELECTION? I QUESTION THAT. I THINK IT IS SOMETHING ONE OF
    MONEY, IT TAKES TIME, AND THAT IS WHERE THE SANTA FE RAIL
    YARDS COME IN. THEY HAVE BEEN AT THIS FOR 20
    YEARS. THEY HAVE HAD THE TIME. WE HAVE BEEN IN THIS FOR 11. AND THE FIRST CONTRACTOR
    DIDN’T WORK OUT. SO, WE HAVE A NEW CONTRACTOR. IS IT LOCAL?>>BETTER BE.>>THERE ARE LOCAL
    DEVELOPMENTS, GREEN JEAN FARMERS AND MY FAVORITE, THE
    ALBUQUERQUE COLLECTIVE, RUST IS GOLD ON THE EAST SIDE, NOT
    BEEN THERE — [MULTIPLE VOICES]
    >>THE MINDS BEHIND THAT REALLY WOULD BE VERY SMART TO
    BRING THEM INTO THE RAIL YARDS.>>INTERESTING POINT THERE. I HADN’T THOUGHT ABOUT THAT. DANIEL, THE IDEA THAT THE
    HAZARDOUS MATERIALS THERE HAVE ALWAYS BEEN A BIT UNDER
    PLAYED. I REMEMBER THIS BACK WHEN I
    WAS IN WILSON’S OFFICE WHEN WE TRIED TO GET THIS GOING. EPA FOLKS SAID, NO, NO, YOU’RE
    NOT GOING TO SCRAPE TWO FEET 36 OF THE DIRT OFF THE SURFACE
    AND PAVE IT OVER AND CALL IT A DAY. WE ARE TALKING ABOUT SUNKEN
    RAILROAD TIES THAT HAVE BEEN IN CREOSOTE FOR YEARS. IT IS A LOT OF CLEAN-UP. WHAT HAPPENS IF THE NUT
    ACTUALLY BALLOONS TO A CRAZY PLACE? IS THAT A PROBLEM FOR THE
    MAYOR AT THAT POINT? DO WE HAVE AN ALBATROSS ON OUR
    HANDS.>>HAD THE CONTRACT — HAD ANY
    WORK BEEN DONE WITH THE CONTRACT THAT WAS IN PLACE, I
    THINK YOU WOULD HAVE HAD THEM COME IN AND SAY, WAIT A
    MINUTE, WE DIDN’T DO ALL THESE ENVIRONMENTAL INSPECTIONS AND
    ALL THESE CHANGE ORDERS NEED TO BE DONE. IT IS CLEAR WE ARE GOING TO
    HAVE TO GET IT DONE. IT IS CLEAR THE CITY AND
    GOVERNMENT NEEDS TO BE WORKING TO GET THAT A SUPERFUND SITE
    TO HELP GET SOME OF THOSE CLEAN-UP DOLLARS. THE ASBESTOS PROBLEM IS INSANE
    DOWN THERE. ONCE AGAIN, I DISAGREE WITH
    MERRITT. I LIKE THE FACT THE MAYOR IS
    ENDING THE CALIFORNIA RELATIONSHIP. AT SOME POINT WE ARE NOT GOING
    DO GROW OUR LOCAL BUSINESSES IF WE DON’T HAVE FAITH IN
    LOCAL BUSINESSMEN.>>ESPECIALLY IN PROJECTS.>>AT THE END OF THE DAY, YOU
    KNOW, YOU HAVE GOT HERITAGE HOTELS THAT IS REDOING ALL
    THOSE RIGHT OVER THERE BY HOTEL ALBUQUERQUE WHERE THEY
    DID CHACO, TAKING ALL THOSE WAREHOUSES, TURNING THAT INTO
    A SHOPPING FACILITY. YOU HAVE GOT PETERSON
    INVESTMENT, A TON OF PEOPLE DOWN HERE THAT DO WORK LIKE
    THIS. IF OUR OWN CITY ELECTED
    OFFICIALS WON’T BELIEVE IN YOU, WHY WOULD SOMEONE ELSE
    BELIEVE IN YOU. GETTING PEOPLE TO UNDERSTAND
    LOCAL ECONOMY, THAT IS THE OTHER THING, YOU WANT TO START
    MAKING RELATIONSHIPS WITH THESE LOCAL COMMUNITIES, I
    DON’T THINK THE GUYS FLYING IN FROM CALIFORNIA GIVE A HOOT
    ABOUT THE PEOPLE THAT LIVE THERE. THEY GOT A JOB TO DO AND THEY
    GET IT DONE.>>OTHER OPTION YOU HAVE IS
    YOU CAN BULLDOZE THE WHOLE THING AND START OVER. IT’S A PRIME PIECE OF
    PROPERTY, NOT THE BIG GIANT ONE, BUT A COUPLE OF THE
    OTHERS. THIS PLACE MEANS A LOT TO THE
    CITY. IS THAT A VIABLE ALTERNATIVE? A LOT OF FOLKS ARE SAYING THAT
    SHOULD BE THE WAY TO GO.>>THAT DOESN’T ADDRESS THE
    ENVIRONMENTAL SIDE. YOU STILL HAVE TO DO ALL THE
    CLEAN-UP AND RECLAMATION, BUT, I THINK THERE WAS A LOT OF
    PEOPLE WHO FEEL THAT THE STRUCTURES ARE HISTORIC,
    SHOULD BE MAINTAINED, KEPT FOR SOME REASON OR FOR SOME
    PURPOSE, I SHOULD SAY. SO, I THINK THAT THEY WON’T BE
    ABLE TO EASILY DO THAT WITHOUT A LOT OF PUBLIC INPUT. OTHERWISE HEADS WILL ROLL.>>LITERALLY.>>IF PEOPLE WAKE UP IN THE
    MORNING AND IT IS LEVELED SUDDENLY.>>I DO THINK THAT THERE WAS
    RECENTLY A FIRE DOWN THERE AND FROM OUR BUILDING WE COULD SEE
    IT AND IT WAS A HUGE FIRE, MANY FIRE ENGINES THAT DEALT
    WITH SUCH A HUGE STRUCTURE. AFTER THAT, PEOPLE WERE
    CONCERNED ABOUT WHAT HAD OCCURRED THERE. SO, I THINK THAT THEY REALLY
    CAN’T DO ANYTHING QUICKLY BUT SHOULDN’T, BECAUSE IT IS
    SOMETHING THAT SANTA FE STARTED 20 YEARS AGO AND THEY
    ARE NOW WHERE THEY ARE. THERE WAS A LOT BETWEEN WHERE
    THEY WERE AND WHERE THEY ARE NOW. WE NEED TO MAKE SURE WE TAKE
    THOSE SAME STEPS.>>MERRITT, TOUCH ON SANTA FE. WE HAVE ABOUT A
    MINUTE-AND-A-HALF LEFT ON THIS. AS MENTIONED 10 YEARS. INTERESTING, ONE OF THE QUOTES
    FROM THE EXECUTIVE DIRECTOR OF SANTA FE RAIL YARDS COMMUNITY
    GROUP, CALLS IT, QUOTE, THE NEW FAMILY ROOM FOR SANTA FE. THAT IS AN INTERESTING QUOTE. I LIKE THAT. I LIKE THE RAIL YARDS UP
    THERE. I THINK IT IS FUN. I HAVE BEEN TO SOME GOOD
    OUTDOOR EVENTS AND STUFF. DO WE GIVE THEM DOUBLE THUMBS
    UP.>>THERE IS STILL MORE TO GO. STILL A LOT OF VACANT SPACES. THEY STILL RELY ON REI AS A
    MAJOR RETAILER, NOT LOCAL. THEY SAY THE CINEMA FROM
    AUSTIN HAS BECOME A LOCAL BUSINESS AND THAT IS FINE. I FEEL THE NEED WE NEED TO
    GROW OUR LOCAL BUSINESSES. THERE IS ALREADY SO MUCH I
    THINK CREATIVITY AND INNOVATION IN SANTA FE, THEY 39
    HAVE DONE A GOOD JOB ON BUILDING ON THAT AND WORKING
    TO EXPLOIT THAT WITH CONSTANT ART SHOWS, FARMERS MARKET.>>DRIVING THINGS TO GET
    PEOPLE THERE.>>THAT IS WHAT IS IMPORTANT
    FOR ALBUQUERQUE TO MAKE SURE THEY DO THINGS AROUND THESE
    EVENTS SO THAT PEOPLE HAVE SOMETHING TO GO TO EVERY WEEK.>>GOOD POINT. 30 SECONDS. SANTA FE STILL, THEY HAVE HAD
    PROBLEMS HOWEVER , TOO, SOMETIMES. THERE REGRETTABLY HAVE BEEN A
    COUPLE OF REPORTED RAPES IN THE AREA. JUST HUMAN STUFF THAT CAN’T BE
    AVOIDED YOU HOPE.>>CAN’T BE AVOIDED IN THE
    CITY. IT IS REALLY ABOUT MAKING
    EVERYTHING WORK TOGETHER SO CRIME IS AN ISSUE IN LOTS OF
    PLACES IN NEW MEXICO. BUT, THAT SAID, THAT SPACE IS
    REALLY, REALLY IMPORTANT TO THE CITY AND IT CAN LEVERAGE A
    WHOLE LOT OF OTHER THINGS.>>STUFF FOR YOUNG PEOPLE. THAT IS ONE THING WE DON’T
    HAVE IN ALBUQUERQUE, A PLACE WHERE YOU CAN HANG OUT AS A
    YOUNG PERSON.>>THAT IS A CHALLENGE IN
    SANTA FE BECAUSE SANTA FE DOESN’T FEEL REALLY LIKE A
    YOUNG CITY IN THE MAJOR TOURISTY PARTS, SO HAVING
    CONCERTS AND THINGS LIKE THAT IS GOING TO MAKE A DIFFERENCE.>>WE’LL WRAP THAT THERE. WHEN WE COME BACK, WE’LL LOOK
    AT NEW JOB OPPORTUNITIES COMING TO INTEL, NEW MEXICO’S
    LOCATION.

    Warren Buffett explains Purchase of Burlington Northern Santa Fe Railroad (April 1, 2011)
    Articles, Blog

    Warren Buffett explains Purchase of Burlington Northern Santa Fe Railroad (April 1, 2011)

    August 15, 2019


    warren buffet is here as you know he is
    perhaps the world’s most respected investor is also chairman and c_e_o_
    berkshire hathaway he’s been on this program many times i
    last spoke with him over a year ago at the peak of the worst economic crisis
    system great depression at that time he said that america been struck by the
    economic pearl harbor but much has changed since then he’s here to tell us
    how you use a global an american economy recovery his own company reflects a
    progress made in recent months last week berkshire hathaway struck eight twenty
    six two billion dollar deal to buy all of burlington northern santa fe railroad the largest acquisition company
    history he called the deal at all in wager on
    the american economy he’s in new york return all of that
    could help with bill dated from university yesterday iteration agreed to stay over in new
    york annette tonight and i am pleased to have a good friend of this program of
    the friend of mine back at this table welcome thank you charlie completed here a_t_c_ it has been certainly from the middle of two
    thousand eight to the middle of two thousand nine one incredible year
    monogram away so why do a lot of chocolate can be answered tell me about for you well at it was that we did was an
    extraordinary times this country we came closer to a financial meltdown than than
    uh… certainly anytime i’ve ever seen and
    probably in certain respects even it was even more panic in the the great
    depression because it came out so fast and so on expected and and uh… the whole country one of the the
    leverage of corporations individuals and unfortunately we have a government that
    responded and that was inclusive when we talked last that that it was will question and uh… of
    whether congress would wish mom like they should they did defiantly finding there that i i i i without there with me and i mean in in
    the end the come together for things of this vital to the country but but we have the right people and and and
    washington at least if we had a group of the the behave like a near the
    headlights uh… uh… there we got run over so paulson
    and burning kian geiger were the right people at the right time and you don’t know what might have
    happened if others have been in those positions of power out there that i can think of other tomato may provide
    the government work toward the ending one of the would have been with us in
    the abyss revenue just tearing down and do it uh… you made some investors during
    that period right general electric goldman sachs atop but you just pulled out the big elephant
    gun meat contaminated water mark roberts
    yourself and i think he said it sticks to the last nickel for this workshop why did you do well i i i felt was an opportunity to my
    a the business that those is going to be around for a
    hundred two hundred years that’s that’s that’s been a roll when with the
    american economy in a way that that the american economy prospers leave the
    business will prosper so that that that is the most efficient way of moving
    uh… goods in the country it’s the most uh… environmentally friendly way of moving
    goods and both will send him a very important but the biggest thing as
    united states is going to be going to do well in india we campbell guerrero dirt rider and do
    you have to accept it so uh… it so like the river that’s sort of a new
    york we have to make it here we’ve got to get anywhere i have not heard and
    send them elliott but it does move four hundred ns stand all the time of of good four
    hundred and seventy miles on one gallon of diesel that replaces adult rain
    replaces two hundred eighty trucks on the road and that it omits for us into the atmosphere
    that’s damaging than uh… than trucking spend animals forty brown one of them up
    already removed forty percent of the goods pleasanton yet new port of entry
    is like houston and bring a lot of europe through the panama canal and we’re going
    to more people this country and around the using more goods over top of that and sure there’s a bad year from time to
    time in the next hundred years probably fifteen bad years but but and i don’t
    know what order of the whole peer but i also deliver a little bit of
    sexual the country you know when you call troy monitor them think about this
    did did he say right on warren or do you say about this
    somewhat and it’s bitterly chores around came up we thought it i don’t care about
    likely have our white combined financially jellyfish alligator travel
    all level of almost nothing and at that and if that is a really
    portion of the jury so but i mean he also pointed out it is said that you know there was this was a regulated industries juror
    this was an industry that was capital-intensive a recap of this was an
    industry uh… now if you do spend money unionized do
    you know how you spend money in this business regularly every day you spent a lot of
    money repair tracker window at rolling stock whatever may be so its capital
    intensive and and uh… tentative spenders regulated and it will
    continue the regular and continue the cap on times and i think that what the service provided by
    railroads is so important captain in many ways are made at at at
    at that it’s the right way to movements around
    the country to the terms that you’re going to work that can do it farm far more attractive in terms of uh… global warming and and and and then
    uh… using trucks for example so it will be here and if we get made the reasonable return on the added
    capital investment a little break out of capital investment uh… will do okay admissible returns
    going up reason which is good enough for the
    tremendous fifty years ours looking for spectacular
    returns but i think i can i can find i think that’s going on in the area that
    we have a bit eight or ten billion dollars to invest
    every year and when you totally business and it’s the
    same thing there i mean when we build a bridge on a rationing or something of
    the short we shouldn’t expect a spectacular
    returns were building things at ur a sexual society and people-meter services that we don’t have
    any choice in the in the case of the electric utilities for example and
    sometimes in case of rail in we should get a decent return on that
    and advanced enough to encourage us to keep putting money into the business but
    we’re not entitled a spectacular pictures god u_k_ recall well it’s a bit that’s a big win in
    terms of timing john bread and if the fact we’d wean ourselves off cole is that a big problem well we will win
    ourselves off ko overtime but with we can’t change forty percent of electric generation the
    ghost of comfortable we can change that next week or next month or next year but
    we will reduce over time and we should be to join you can do the things that
    are any changes will be other world there’ll be more grain to move and i’ll
    be moral all that chemicals or whatever it may be uh… that there will be more things moving around
    this country ten or twenty or thirty years knowing your idea about mostar it is it a pleasing idea that no one is
    likely to get into the railroad business promote if they want to come on to
    reproduce uh… the burlington northern santa fe are you know it might take a
    hundred billion dollars are solid billion years they are they got their roles for me
    also modernize today are they not only one or more sleep than normal for the
    uh… the the railroad line et cetera like the events as they are
    they’re moving far more time uh… some miles uh… a product uh… uh… will with less awesome the way of people uh… less in the way if you all rental income for more efficient over
    the years there were a million and a half people
    employed the rail industry after world war two now there are some mob less than two hundred thousand united
    states and they’re moving far more good so it’s really become a video you watch
    those hundred and thirty in the trains double stacked you have all the railroad companies in
    your portfolio you’re selling them i’ve already told
    them they are not that i i i don’t know i just official take the transaction i
    think that the government investments but i uh… i would’ve held on this if this had
    happened uh… when you look at the future there’s also the argument made combat that this is something that goes with
    your philosophy today get out of cash and get into assets as we don’t know what’s gonna happen to
    the top cash is always a bad investment abuses so it will be able to cash is
    king a year ago i mean that’s crazy coming cash wasn’t
    producing anything and it was surely a noun value over time i know you always want to sure have
    enough time to have her back because i think my god you are you sure to rally
    to get out at which they don’t have you don’t have access to the maserati and
    cash we will always have enough cash around
    what anytime we have surplus cash around i’m unhappy i mean i would much rather
    have a good businesses in cash and and uh… we found a chance in the last year
    thereabouts to deploy weekly came and with something over forty billion a
    camera and we’ve got about twenty billion dollar and we’ve had some
    earning so we would put a lot of cash for work and i like that no i’d much rather out
    of the business uh… that cash hot and it is a hedge against the dollar begins at all assets are edgy and set up
    a dollar on and that all of you know is that the dollar is
    going to be worthless ten twenty thirty years from now ice a worth what’s
    not working chellam notes left but i think it will be a factor or
    special almost every person that i go back over the question is how much depreciate in
    value but cash cash is not a place that uh… that-and
    why is it well there’s always gonna be worthless
    because will will be mo put more of a man relation to the amount
    of goods and are moving there and all of it week if we drop we dropped a billion dollars of cash and
    every household united states today everybody feel very good except the people invest in things that
    were denominated in dollars wheat activity that will be no tendency outdoor deflation and in this country
    over time or or virtually in attendance to inflation absolutely well the conversation we’ve had and never thought that i would sit with
    you and we’ll talk about a fifty one split traffic lights blacktop right i mean
    this had to be a hard when or not i think i had a lobotomy one night and i
    don’t know why i did dot it it is not is not natural for me but but it it was needed to facilitate the small shareholders of bien es up
    getting the same deal

    What If There Were No Prices? The Railroad Thought Experiment
    Articles, Blog

    What If There Were No Prices? The Railroad Thought Experiment

    August 11, 2019


    To appreciate why market prices are essential to human well-being, consider what a fix we
    would be in without them. Suppose you were the commissar of
    railroads in the old Soviet Union. Markets and prices have been banished. You and your comrades. Passionate communists all. Now, directly plan how to
    use available resources. You want a railroad from city A to city B,
    but between the cities is a mountain range. Suppose somehow you know that
    the railroad once built. Will serve the nation equally well. Whether it goes through the mountains or
    around. If you build through the mountains,
    you’ll use much less steel for the tracks. Because that route is shorter. But you’ll use a great deal of
    engineering to design the trestles and tunnels needed to cross the rough terrain. That matters because engineering is also
    needed to design irrigation systems, mines, harbor installations and
    other structures. And you don’t want to tie up
    engineering on your railroad if it would be more valuable designing
    those other structures instead. You can save engineering for
    other projects. If you build around
    the mountains on level ground. But that way you’ll use much more steel
    rail to go the longer distance and steel is also needed for other purposes. For vehicles, girders, ships, pots and
    pans and thousands of other things. Which route should you choose for
    the good of the nation? To answer, you would need to
    determine which bundle of resources is less urgently needed for
    other purposes. The large amount of engineering and
    small amount of steel for the route through the mountains,
    where the small amount of engineering and large amount of steel for
    the roundabout route. But how could you find out the urgency
    of need for engineering and steel in other uses? Just one way engineering is used
    is to build irrigation systems. To assess the importance of a particular
    irrigation system, you would need to know what the farmers know about how irrigation
    would increase the yield of their fields. And to know the value of that increased
    yield, you’d need to know what grocers know about their customers eagerness for
    that produce. That in turn depends on what customers
    know about the better meals they could fix with that produce. How would you find all this out? Just one way to use steel
    is to build new trucks. To assess the importance of a particular
    new truck, you would need to know what the trucker knows about the capacity
    of his current truck, and how much more quickly he could make the deliveries his
    customers want with a new bigger truck. To know the importance of those
    deliveries, you would need to know what his customers know about the value
    of getting goods delivered. That in turn depends on what still others
    know about the uses of those goods at their destinations. To reason about where
    to route the railroad, you need this kind of information for all
    possible uses of engineering and steel. That’s a massive amount of knowledge, held
    by millions of people throughout society. How might you get it? You might try surveys, but think how
    many people you would need to survey. All those who prepare meals with produce,
    and all those who take delivery by truck for
    starters. The numbers would be staggering. And often people don’t even know what they
    prefer until they face an actual choice. So they might not be able to answer
    survey questions accurately. Even if they could,
    by the time the surveys were returned and processed, much of the information
    would be out of date. And even if you could get complete and
    timely information about what everyone knows, that’s relevant
    to every use of steel in engineering, you would still need to deduce from
    it where to build the railroad. How would you begin to make
    sense of that mountain of data? In the words of Ludwig von Mises,
    you would be groping in the dark. You would face what is known as
    the knowledge problem of central planning. The reason why comprehensive
    socialism inevitably fails. Central planners cannot get the knowledge
    they need in order to plan effectively. You, commissar, simply cannot know on what
    projects scarce resources should be used for the good of the nation. But now change the thought experiment. Imagine that somewhere in the market
    economy part of the world, you are the chief operating
    officer of a railroad company. You work not for the good of the nation,
    but to generate profits for your firm. You want to run a railroad
    line from city C to city D. Again, there’s a mountain
    range between them. Now, how do you decide on the route? You choose what’s cheapest. You would calculate the total
    cost of each route for each one, multiplying the amount of engineering
    required by the price of engineering, and adding that to the amount of steel
    required times the price of steel. Then, you would choose whichever
    cost your company less. You might give no thought at all to the
    good of the nation or society as a whole. But, and here’s the marvel,
    by choosing the route that is cheapest for your company you would thereby choose
    the route that’s best for society. You would use the bundle of resources
    that’s least urgently needed for other purposes. Why? Because those market prices you calculate
    with reflects the urgency of need for engineering and
    steel in all their alternative uses. For example, suppose customers wanting
    to taste your meals, would buy better, more expensive produce, if it were
    on the shelf of their local grocery. In effect,
    they’re offering grocers more for produce. So the grocers will offer farmers more for
    produce. So the farmers who feels would be
    sufficiently improved by irrigation will offer more for irrigation systems. And those who build irrigation systems
    will offer engineers more to design them. Now that designing irrigation
    systems pays engineers better, people who want to hire engineers for
    other projects, such as railroads, will have to offer them at least as
    much to make it worth their while. The higher price tells everyone who
    uses engineering that it’s become, for some reason, more valuable so
    maybe they should use less. In this way, the market prices of
    resources represent the particular knowledge and preferences of
    millions of people who directly or indirectly use those resources. And the prices communicate
    that knowledge and those preferences to everyone interested. Only with market prices to communicate
    this vast amount of human knowledge to us. Can we calculate the least costly
    ways of producing the things we want, coordinator activities with the activities
    of others, use resources where society values the most, and thereby satisfy
    as many human wants as possible?