Tag: capitalism
The end of LightSquared
Miniatur Wunderland – largest model railway in the world
Government spending at its stupidest.
Government spending at its stupidest: the top ten projects.
I like #6 the best, $484,000 to help finance a pizza restaurant in Arlington, Texas, because every business should get its own free pile of cash from the government!
Government spending at its stupidest: the top ten projects.
I like #6 the best, $484,000 to help finance a pizza restaurant in Arlington, Texas, because every business should get its own free pile of cash from the government!
FBI sees drop in violent and property crimes in every region of the U.S.
Some good news: The FBI is reporting a drop in violent and property crimes in every region of the U.S for the first half of 2011.
As the report above notes, this drop has occurred during “tough economic times,” illustrating once again that the leftwing claim that “tough economic times” causes violence and crime is dead wrong. If a society knows the difference between right and wrong while respecting property rights, poverty by itself will not lead to crime. What will lead to crime is a rejection of these values, which not only promotes bad behavior (stealing and violence) but also leads to more poverty and the collapse of society.
With this in mind it is therefore interesting to reflect on many of the actions and ideas of the Occupy Wall Street movement. Is this what we really want for America?
Some good news: The FBI is reporting a drop in violent and property crimes in every region of the U.S for the first half of 2011.
As the report above notes, this drop has occurred during “tough economic times,” illustrating once again that the leftwing claim that “tough economic times” causes violence and crime is dead wrong. If a society knows the difference between right and wrong while respecting property rights, poverty by itself will not lead to crime. What will lead to crime is a rejection of these values, which not only promotes bad behavior (stealing and violence) but also leads to more poverty and the collapse of society.
With this in mind it is therefore interesting to reflect on many of the actions and ideas of the Occupy Wall Street movement. Is this what we really want for America?
Why Are Indian Reservations So Poor?
Why are Indian reservations so poor? (Link fixed. Sorry.)
The vast majority of land on reservations is held communally. That means residents can’t get clear title to the land where their home sits, one reason for the abundance of mobile homes on reservations. This makes it hard for Native Americans to establish credit and borrow money to improve their homes because they can’t use the land as collateral–and investing in something you don’t own makes little sense, anyway.
…
“Markets haven’t been allowed to operate in reserve lands,” says [Manny Jules, a former chief of the Kamloops Indian band in British Columbia]. “We’ve been legislated out of the economy. When you don’t have individual property rights, you can’t build, you can’t be bonded, you can’t pass on wealth. A lot of small businesses never get started because people can’t leverage property [to raise funds].
Hat tip Ace of Spades.
Why are Indian reservations so poor? (Link fixed. Sorry.)
The vast majority of land on reservations is held communally. That means residents can’t get clear title to the land where their home sits, one reason for the abundance of mobile homes on reservations. This makes it hard for Native Americans to establish credit and borrow money to improve their homes because they can’t use the land as collateral–and investing in something you don’t own makes little sense, anyway.
…
“Markets haven’t been allowed to operate in reserve lands,” says [Manny Jules, a former chief of the Kamloops Indian band in British Columbia]. “We’ve been legislated out of the economy. When you don’t have individual property rights, you can’t build, you can’t be bonded, you can’t pass on wealth. A lot of small businesses never get started because people can’t leverage property [to raise funds].
Hat tip Ace of Spades.
A telescope to go where no telescope has gone before
The astonishing collapse of MF Global
The astonishing collapse of MF Global.
The failure of broker MF Global is a unique event in the annals of American corporate history: To my knowledge, it’s the first time a CEO singlehandedly bankrupted his firm through actions that the board of directors was not only knowledgeable of, but had indeed expressly sanctioned. “That takes some talent!” quipped Roderick Hills, a former chairman of the SEC.
The article is long, detailed, and thorough. It describes a deep corruption that should chill the spine of anyone who has money in the investment world.
I must note that I do not advocate more regulations to eliminate this corruption. Such regulations never work. Take for example this quote from the article, describing the accounting systems that are required by law to prevent a client’s funds from being misused:
As noted above, it’s a major part of the CEO’s job to put the proper systems in place. In fact, regulations implemented through Sarbanes-Oxley — a bill that Corzine co-wrote while he was a senator — require that the CEO and CFO sign off on the effectiveness of the controls over financial reporting. … If those proper “controls and procedures” were in place, a breach of segregated client funds should have set off loud, blaring, obnoxious alarms that would have alerted management to that breach.
In the case of Jon Corzine and MF Global, those controls were obviously not in place, and thus the Sarbanes-Oxley bill wasn’t worth the paper that Corzine used to write the bill.
Rather than more regulations, what works is very simple and can be summed by two words: “Buyer beware.” Investors (as well as voters considering the political ambitions of Corzine and his friends) have to be more skeptical of whom they put their trust in. You have to protect yourself. You can’t ask others to do it for you.
The astonishing collapse of MF Global.
The failure of broker MF Global is a unique event in the annals of American corporate history: To my knowledge, it’s the first time a CEO singlehandedly bankrupted his firm through actions that the board of directors was not only knowledgeable of, but had indeed expressly sanctioned. “That takes some talent!” quipped Roderick Hills, a former chairman of the SEC.
The article is long, detailed, and thorough. It describes a deep corruption that should chill the spine of anyone who has money in the investment world.
I must note that I do not advocate more regulations to eliminate this corruption. Such regulations never work. Take for example this quote from the article, describing the accounting systems that are required by law to prevent a client’s funds from being misused:
As noted above, it’s a major part of the CEO’s job to put the proper systems in place. In fact, regulations implemented through Sarbanes-Oxley — a bill that Corzine co-wrote while he was a senator — require that the CEO and CFO sign off on the effectiveness of the controls over financial reporting. … If those proper “controls and procedures” were in place, a breach of segregated client funds should have set off loud, blaring, obnoxious alarms that would have alerted management to that breach.
In the case of Jon Corzine and MF Global, those controls were obviously not in place, and thus the Sarbanes-Oxley bill wasn’t worth the paper that Corzine used to write the bill.
Rather than more regulations, what works is very simple and can be summed by two words: “Buyer beware.” Investors (as well as voters considering the political ambitions of Corzine and his friends) have to be more skeptical of whom they put their trust in. You have to protect yourself. You can’t ask others to do it for you.
A Spanish company has announced it will build a space hotel by 2012
A Spanish company has announced it will build a space hotel by 2012.
The story suggests that Virgin Galactic will providing the tourist ferry to their orbital hotel, which is puzzling as that company is only building a suborbital spacecraft at this time.
A Spanish company has announced it will build a space hotel by 2012.
The story suggests that Virgin Galactic will providing the tourist ferry to their orbital hotel, which is puzzling as that company is only building a suborbital spacecraft at this time.
Richard Branson talks to the Wall Street Journal
Richard Branson talks to the Wall Street Journal about space.
Mr. Branson is still radiating enthusiasm. “We’ve got just short of 500 people now signed up to go, which is actually more people than have been up to space in the history of space travel, and we hope to put those up in our first year of operation,” he says, predicting the first commercial flight by “about next Christmas,” although he acknowledges that there have been many delays.
Richard Branson talks to the Wall Street Journal about space.
Mr. Branson is still radiating enthusiasm. “We’ve got just short of 500 people now signed up to go, which is actually more people than have been up to space in the history of space travel, and we hope to put those up in our first year of operation,” he says, predicting the first commercial flight by “about next Christmas,” although he acknowledges that there have been many delays.
Russian rocket completes its second launch from French Guiana
A Russian Soyuz rocket has completed its second launch from French Guiana, carrying six military satellites into orbit.
A Russian Soyuz rocket has completed its second launch from French Guiana, carrying six military satellites into orbit.
Alan Boyle describes the details behind NASA’s decision to go with simpler contracting for future commercial rocket contracts
Alan Boyle describes the details behind NASA’s decision to go with simpler contracting for future commercial rocket contracts.
If you read the article, you’ll notice that the opposition to this decision comes from a Congressman and the GAO. In both cases they cite safety as an issue, as is by some magic giving NASA a lot of bureaucratic approval rights on every design is going to make the rockets or capsules safer. All this will really do is slow things down, increase costs, and possibly increase risks as the companies will no longer have as many resources to focus on design issues. Instead, they will have to spend a fortune pleasing NASA bureaucrats.
And yes, I call them bureaucrats. Any NASA engineer who spends his or her time looking over the shoulder of another engineer — who is doing the real design work — is nothing more than a bureaucrat. Better to quit NASA and get a job with one of these new companies where you can do some real work.
Alan Boyle describes the details behind NASA’s decision to go with simpler contracting for future commercial rocket contracts.
If you read the article, you’ll notice that the opposition to this decision comes from a Congressman and the GAO. In both cases they cite safety as an issue, as is by some magic giving NASA a lot of bureaucratic approval rights on every design is going to make the rockets or capsules safer. All this will really do is slow things down, increase costs, and possibly increase risks as the companies will no longer have as many resources to focus on design issues. Instead, they will have to spend a fortune pleasing NASA bureaucrats.
And yes, I call them bureaucrats. Any NASA engineer who spends his or her time looking over the shoulder of another engineer — who is doing the real design work — is nothing more than a bureaucrat. Better to quit NASA and get a job with one of these new companies where you can do some real work.
NASA has decided to stick with the same contracting arrangement it used for the COTS contracts
Good news: NASA has decided to stick with essentially the same contracting arrangement it used for the SpaceX and Orbital Sciences cargo deals to ISS in its future commercial crew and cargo contracts.
This suggests that the NASA bureaucracy, which had wanted more control of the new commercial companies by using a more restrictive contract arrangement, has lost. However, we don’t yet have the details on how the new contracts will be administrated, and as always, the devil is in the details.
Good news: NASA has decided to stick with essentially the same contracting arrangement it used for the SpaceX and Orbital Sciences cargo deals to ISS in its future commercial crew and cargo contracts.
This suggests that the NASA bureaucracy, which had wanted more control of the new commercial companies by using a more restrictive contract arrangement, has lost. However, we don’t yet have the details on how the new contracts will be administrated, and as always, the devil is in the details.
FAA tests find that LightSquared’s broadband system interferes “with a flight safety system designed to warn pilots of approaching terrain.”
FAA tests have found that LightSquared’s broadband system interferes with flight safety systems.
These results are in addition to the tests that found LightSquared interferes with 75% of all GPS units.
FAA tests have found that LightSquared’s broadband system interferes with flight safety systems.
These results are in addition to the tests that found LightSquared interferes with 75% of all GPS units.
Germany’s space chief sees big battles in Europe over funding for ISS and Ariane
Germany’s space chief yesterday said he expected big battles in Europe over future funding for ISS and Ariane.
Ariane is a serious problem, as it is expensive and a money-loser, despite dominating the commercial market in recent years. And worse, it will be difficult to make Ariane competitive in the future:
ESA in 2010 hired an outside auditor to review the current Ariane 5 system to look for ways to save money. Its principal conclusion was that very few savings were possible without scrapping the forced geographic distribution of industrial contracts that preserves the political and financial support needed for the Ariane system.
Germany’s space chief yesterday said he expected big battles in Europe over future funding for ISS and Ariane.
Ariane is a serious problem, as it is expensive and a money-loser, despite dominating the commercial market in recent years. And worse, it will be difficult to make Ariane competitive in the future:
ESA in 2010 hired an outside auditor to review the current Ariane 5 system to look for ways to save money. Its principal conclusion was that very few savings were possible without scrapping the forced geographic distribution of industrial contracts that preserves the political and financial support needed for the Ariane system.
Southwest orders 208 Boeing 737s valued at $19 billion
Some good news: Southwest Airlines has ordered 208 of Boeing’s 737, a deal valued at $19 billion. Plus this:
Last month, Boeing said Indonesia’s Lion Air committed to pay $21.7 billion for 230 Boeing 737s. Lion Air also has options for 150 more planes, valued at $14 billion, bringing the deal’s total potential value to $35 billion. But the Lion Air deal is not a certainty; it still has to complete the order. Also in November, Emirates Airlines ordered $18 billion worth of 777s.
Maybe Boeing should pump some of those profits into building the CST-100 manned space capsule and thus win more profits in the space tourism industry.
Some good news: Southwest Airlines has ordered 208 of Boeing’s 737, a deal valued at $19 billion. Plus this:
Last month, Boeing said Indonesia’s Lion Air committed to pay $21.7 billion for 230 Boeing 737s. Lion Air also has options for 150 more planes, valued at $14 billion, bringing the deal’s total potential value to $35 billion. But the Lion Air deal is not a certainty; it still has to complete the order. Also in November, Emirates Airlines ordered $18 billion worth of 777s.
Maybe Boeing should pump some of those profits into building the CST-100 manned space capsule and thus win more profits in the space tourism industry.
Mining the Moon for fun and profit
The Air Forces has awarded contracts to Andrews Space, Boeing and Lockheed Martin to develop a reusable first stage booster
The Air Forces has awarded contracts to Andrews Space, Boeing and Lockheed Martin to develop a reusable first stage booster.
The Air Forces has awarded contracts to Andrews Space, Boeing and Lockheed Martin to develop a reusable first stage booster.
Your orbital trip on a Boeing spaceship
Your orbital trip on a Boeing spaceship.
Your orbital trip on a Boeing spaceship.
Panning for gold on the streets of New York
Paypal shuts down charity
Scrooge wins: Paypal shuts down a charity operation that was trying to raise money to buy Christmas gifts for kids.
Scrooge wins: Paypal shuts down a charity operation that was trying to raise money to buy Christmas gifts for kids.
India’s satellite television channels face blackouts due to the unreliability of an aging satellite.
India’s satellite television channels are facing blackouts due to the unreliability of an aging satellite.
India’s satellite television channels are facing blackouts due to the unreliability of an aging satellite.
Electric car company shuts down
For once, the taxpayer doesn’t get screwed: The electric car company Aptera has shut down due to lack of interest from investors and the lack of a loan from the government.
The California company was counting on a federal loan – and private investments to match the loan – so that it could start producing its very first electric vehicle. Aptera said it was close to securing a $150 million from the U.S. Department of Energy, but it couldn’t line up the private dollars necessary to complete the loan application process.
For once, the taxpayer doesn’t get screwed: The electric car company Aptera has shut down due to lack of interest from investors and the lack of a loan from the government.
The California company was counting on a federal loan – and private investments to match the loan – so that it could start producing its very first electric vehicle. Aptera said it was close to securing a $150 million from the U.S. Department of Energy, but it couldn’t line up the private dollars necessary to complete the loan application process.
Uganda’s suborbital spaceplane, under construction in the backyard of the designer’s mother
Uganda’s space program: the construction of its first aircraft — in the backyard of the designer’s mother’s home — to be followed by a space shuttle! With pictures and video.
At first glance this looks absurd and a pipe dream. However, stranger things have happened. I wish them all the success in the world.
Uganda’s space program: the construction of its first aircraft — in the backyard of the designer’s mother’s home — to be followed by a space shuttle! With pictures and video.
At first glance this looks absurd and a pipe dream. However, stranger things have happened. I wish them all the success in the world.
How a Chinese cave got listed on the U.S. stock market
Video: The competing worldviews of the Tea Party and OWS
A fascinating short video: The competing worldviews of the Tea Party and Occupy Wall Street.
A fascinating short video: The competing worldviews of the Tea Party and Occupy Wall Street.
American Airlines files for bankruptcy
American Airlines files for bankruptcy. Note this as well:
American was the only major U.S. airline that didn’t file for bankruptcy protection in the aftermath of the 2001 terrorist attacks that triggered a deep slump in the airline industry. The last major airline to file for bankruptcy protection was Delta in 2005.
This list of bankrupt airlines does not include Southwest, however, which has seen its business boom in the past decade. I wonder, could these other airlines be driving customers away with their high baggage fees, complex ticket rules that end up costing customers money or convenience, and their willingness to go along with the abuses of the TSA?
Whenever I can, I fly Southwest, because they don’t charge for baggage and allow me to change or cancel flights without penalty. However, I also fly as little as possible these days, mostly to avoid being treated like a criminal by the TSA. And I know I am not alone in this.
Thus, all airlines have lost business due to TSA abuse. You’d think they’d wake up and start to fight this government intrusion into their operations.
American Airlines files for bankruptcy. Note this as well:
American was the only major U.S. airline that didn’t file for bankruptcy protection in the aftermath of the 2001 terrorist attacks that triggered a deep slump in the airline industry. The last major airline to file for bankruptcy protection was Delta in 2005.
This list of bankrupt airlines does not include Southwest, however, which has seen its business boom in the past decade. I wonder, could these other airlines be driving customers away with their high baggage fees, complex ticket rules that end up costing customers money or convenience, and their willingness to go along with the abuses of the TSA?
Whenever I can, I fly Southwest, because they don’t charge for baggage and allow me to change or cancel flights without penalty. However, I also fly as little as possible these days, mostly to avoid being treated like a criminal by the TSA. And I know I am not alone in this.
Thus, all airlines have lost business due to TSA abuse. You’d think they’d wake up and start to fight this government intrusion into their operations.
How Richard Branson started Virgin Atlantic
How Richard Branson started Virgin Atlantic.
“In ’79, when Joan, my fiancee and I were on a holiday in the British Virgin Islands, we were trying to catch a flight to Puerto Rico; but the local Puerto Rican scheduled flight was cancelled. The airport terminal was full of stranded passengers. I made a few calls to charter companies and agreed to charter a plane for $2000 to Puerto Rico. Cheekily leaving out Joan’s and my name, I divided the price by the remaining number of passengers, borrowed a blackboard and wrote: VIRGIN AIRWAYS: $39 for a single flight to Puerto Rico. I walked around the airport terminal and soon filled every seat on the charter plane.
How Richard Branson started Virgin Atlantic.
“In ’79, when Joan, my fiancee and I were on a holiday in the British Virgin Islands, we were trying to catch a flight to Puerto Rico; but the local Puerto Rican scheduled flight was cancelled. The airport terminal was full of stranded passengers. I made a few calls to charter companies and agreed to charter a plane for $2000 to Puerto Rico. Cheekily leaving out Joan’s and my name, I divided the price by the remaining number of passengers, borrowed a blackboard and wrote: VIRGIN AIRWAYS: $39 for a single flight to Puerto Rico. I walked around the airport terminal and soon filled every seat on the charter plane.
Memo to the Occupy protesters: Ten things we evil capitalists really think
Memo to the Occupy protesters: Ten things we evil capitalists really think.
I especially like #8:
8. Capitalism, with all its imperfections, is the fairest scheme yet tried. In a system based on property rights and free contract, people succeed by providing an honest service to others. Bill Gates became rich by enriching hundreds of millions of us: I am typing these words using one of his programmes. He gained from the exchange (adding fractionally to his net worth), and so did I (adding to my convenience). In a state-run system, by contrast, third parties get to hand out the goodies.
Another way to say this is to call it freedom.
Read the whole thing.
Memo to the Occupy protesters: Ten things we evil capitalists really think.
I especially like #8:
8. Capitalism, with all its imperfections, is the fairest scheme yet tried. In a system based on property rights and free contract, people succeed by providing an honest service to others. Bill Gates became rich by enriching hundreds of millions of us: I am typing these words using one of his programmes. He gained from the exchange (adding fractionally to his net worth), and so did I (adding to my convenience). In a state-run system, by contrast, third parties get to hand out the goodies.
Another way to say this is to call it freedom.
Read the whole thing.
Now the European carbon market is crashing
Now the European carbon-trading market is crashing.
Now the European carbon-trading market is crashing.
SpaceX is expanding its Florida operations
More commercial space news; SpaceX is expanding its Florida operations in anticipation of a increased launch rate of Falcon 9 and Dragon capsules in the coming years.
More commercial space news; SpaceX is expanding its Florida operations in anticipation of a increased launch rate of Falcon 9 and Dragon capsules in the coming years.