Economics

The Other Costs of Hurricane Rita

by damonp on September 27, 2005

in Random Thoughts

The devastation caused by Hurricane Katrina was horrible. It was actually caused by a worthy adversary… a real storm. I have seen some of real devastation of Hurricane Rita, and I am in no way belittling the real, physical losses sustained in East Texas and Western Lousianna. BUT, a large percentage of the monetary loss and loss of life is a direct result of the unnecessary evacuations.

The ‘mandatory’ evacuations of cities and counties in all up and down the Texas Gulf Coast four days before landfall or even a halfway accurate projected landfall location has caused millions of dollars in lost business revenues, wages, wasted fuel costs and state and local infrastructure expenditures. The unwarranted mass evactuations from as far away as Corpus Christi, wasted hotel rooms that should have been available those that really might have been affected. For the sick and elderly who succumbed after fifteen hours of being stuck in a school bus with no a/c in the midday Texas heat, there is no excuse. What is that saying “Primum non nocere”, “First, do no harm”?

Too many people feel that we cried wolf on this one. If the next one happens anywhere near recent memory, NOBODY is listening.

***Note to Houston mayor
Before you decide to mandatorily evacuate two million people that aren’t in a flood plain, give the people that actually are in the storm surge warning more than an hour to get out of your way.

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Amazon.com and the Little Man

by damonp on August 15, 2005

in Uncategorized

Via AlterNet: Hold the Applause for Amazon.com

The “revolutionary” company lost billions of dollars — an average of $376 million annually during its first eight years — yet it kept enticing speculators to pump more money into the company’s stock. Amazon’s speculation-fueled growth contributed to the net loss of more than 2,000 independent book and music sellers during its first decade.

Unlike its independent competitors, Amazon operated in the casino economy of the stock market, not the world of market competition. Amazon accounts for only about seven percent of overall U.S. book sales, but in combination with the proliferation of book chains and mass discounters, its growth hurt independents substantially.

Investors traded paper profits with the real life profits of all the independants. Hey, I owned Amazon stock back in the day too.

The American Booksellers Association (ABA), the major trade group of independent bookstores, saw its membership sliced nearly in half during Amazon’s first decade (independents’ market share for new books has now stabilized, at about 10 percent). While Amazon operated a legitimized Ponzi scheme for years, it was and still is subsidized by federal law.

OK, that may be more than a little left leaning, but its an intersting thought, ‘legitimized Ponzi scheme’. I used to do those chain letter schemes when I was a kid (until I got a cease and desist from the Postmaster at age 13).

We should keep all this in mind when choosing where to purchase books — there’s a hidden cost to those discounts from Amazon. But we should be engaging as citizens, not just consumers, to maintain a rich diversity of choices and ensure our children have the opportunity to be entrepreneurs, not just wage workers for Corporate America.

Grain of salt true, but we could support our local booksellers more.

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Fine Print and Marketing Inertia

9 August 2005

How do you build inertia in marketing? The more people you can get behind an idea (positively if possible) the more the idea builds upon itself until it reaches a critical mass. Take BitTorrent from Bram Cohen. Started as a pet project he now lives off the donations from users. Not selling the software, DONATIONS. [...]

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French Family Values

3 August 2005

What are ‘family values’? How can quality of life be accurately measured? Having just returned from a semi-extended trip, these thoughts run through me. I love America. Love doesn’t mean you don’t find faults and try to improve. Finding faults doesn’t mean you want a divorce either. French Family Values – New York Times For [...]

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AlterNet: A World Without Bosses?

6 July 2005

Found on AlterNet: A World Without Bosses? A handful of Northern California collectives take cues from an innovative Basque cooperative in Northern Spain. Between the $17+/hr wages these owner/employees and their per-hour profit-sharing bonus’ these guys are making $30/hr for working in a pizza shop (that’s $60K/yr). Everyone makes the dough, everyone works the counter [...]

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Idlers and Idleness

29 June 2005

An interesting article on AlterNet: An Idler’s Life

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Put Your Money Where Your Values Are

23 June 2005

Seth Godin explores the increasing dilemas facing us in our expanding global economy. Food for thought for my draft of Responsible Capitalism.

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BetaNews | Google Bundles Software with WinZip

17 June 2005

Big Brother is coming, and not from where we thought he would. BetaNews | Google Bundles Software with WinZip When did a laidback hacker company become bent on world domination? If true hackers can be drug in to this overly capitalistic mentality, is there hope for everyone else? More and more my image of Google [...]

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Micropayments

15 June 2005

http://www.scottmccloud.com/comics/icst/icst-6/icst-6-full.html The idea of making a small amount of money from a large amount of people has always interested. Lately I have been thinking about the concept of donationware. In the course of my normal coding projects, I’m always coming up with mini-apps that would be great to release to the rest of the world. [...]

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