In Search of the Perfect Investment

I found this messing around MIT archives:

Creative destruction refers to the incessant product and process innovation mechanism by which new production units replace outdated ones. This restructuring process permeates major aspects of macroeconomic performance, not only long-run growth but also economic fluctuations, structural adjustment and the functioning of factor markets.  Over the long run, the process of creative destruction accounts for over 50 per cent of productivity growth.

I thought about our banks. Today two people at Fidelity — Ryan Ravenberg and Derek Cavaleiro — helped me do a bunch of transactions that I’d normally handle through my bank. The transactions included wiring money and depositing checks by iPhone. Both were handled much more efficiently and — most importantly — much faster and with far less paperwork (and hassle) than through my bank.

I have maintained balances with my bank to entitle me to privileges. But Fidelity has delivered on the “privileges” faster and more efficiently.

Wait, there’s more. Fidelity pays me a couple of percent or so interest on the cash I have with them. My bank doesn’t — unless I tie it up in a year-long CD. On cash I have with them, my banks essentially pays nothing. I bet your bank does the same to you.

Banks are made for people who borrow from them. I don’t. Why do I need them?

I’m thinking the banks have been getting a free ride on deposits from people like me. Will other people wake up?

Read this wonderful book

I don’t read novels. But I read this one. Last night Susan complained that my laughter was rocking the bed so hard it was keeping her awake.

Every review of this book — including the one on Amazon — doesn’t do this book justice. Bill Gates said Melinda gave him a copy at 11 PM one night. He didn’t put it down until he’d finished it at 3:00 AM the following morning.

The book is all about Don Tillman, a brilliant yet socially inept professor of genetics, who’s decided it’s time he found a wife. In the orderly, evidence-based manner with which Don approaches all things, he designs The Wife Project to find his perfect partner: a sixteen-page, scientifically valid survey to filter out the drinkers, the smokers, the late arrivers, etc. In the end he meets Rosie, who fails every criteria, but who has her own Project — The Rosie Project — to find her biological father. She has candidates but they need to weeded out by DNA. Hence professor Tillman.

All this doesn’t sound funny. But it is. The book is hilarious. You can download to your Kindle, iPad or laptop in less than a minute. That’s the way to go. The book is backordered up the ying yang. Click here.

Hint: Don’t read it in bed when your spouse is trying to sleep.

My New Year’s present

This is positively self-indulgent:

This is the speed I’m getting today at our remote country house in Spencertown, Columbia County, New York.

The previous numbers were 7 down and one up. As of today I am 42 times faster down, and 257 times faster up.

To get this, Consolidated Communications ran a gorgeous fiber line from their local central office (also called an exchange) to my house. The speed is theoretically one gig — about three times faster. I suspect my router is old and geriatric.

Australia is burning up

Millions of animals have been killed in the bushfires. This may be the iconic photo:

Note the kangaroo trying to escape.

The fires are creating their own weather pattern:

One fire creates another.

In the town of Mallacoota, on the eastern most edge of state of Victoria, is a popular family camping spot,. Around 4,000 have fled to the beaches. “There’s no way in or out,” Mallacoota resident, Jason Selmes told CNN after evacuating his home.

I wish I could help.

I thought traders would take their 2019 profits this 2020 year in January. So far no.

Go figure. — Harry Newton