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Money Is Labor


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2009 Jan 29, 1:18am   13,499 views  139 comments

by Patrick   ➕follow (61)   💰tip   ignore  

labor

On Jan 29, 2009, at 7:24 AM, Rolfe W. wrote:

But consider the math. If you have $100,000 of deposits at a bank. Do you also have the capacity to pay yourself back $100,000 if that money is lost?
If taxpayers lose all their money in widespread bank failures, they'd have no cash left to bail themselves out.

On Thu, Jan 29, 2009 at 11:45 AM, Patrick Killelea wrote:

It gets confusing because I'm not sure what cash really is. If taxpayers lose all their money, they could print more and pay themselves back. Would that be inflationary? Maybe not, if the money they "lost" in bank failures was lost real estate equity. Equity gets counted as money, though maybe it shouldn't be.

I keep trying to reduce it in my mind to hours of human labor. That's something that cannot be inflated. I think the essence of the credit crisis in one sense is that people have promised more years of work that can possibly exist. It starts with the guy who bids 100 years of income for a house. He's not going to live 100 more years. So that debt will not be paid. Now that it's clear many debts are bad, all debt is suspect. And lending stops.

#housing

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128   OO   2009 Feb 3, 2:11pm  

HeadSet,

thanks for the tips, I will go for a try. The only problem is, I am spoilt by 70% cocoa content :-)

Also, most chocolate companies no longer offer undutched cocoa powder, which is really a big shame. 95% of the anti-oxidant ingredients in cocoa, which in powder form as a drink offers a much higher anti-oxidant capacity than the usual suspects like grapes and green tea, is lost in the dutching process (alkalinazation). It is very difficult to find undutched cocoa powder out there, which was the reason that got me into Scharffen Berger. I have never seen Hershey's or any major brands offering undutched cocoa powder.

129   justme   2009 Feb 3, 3:25pm  

Okay, so that means about $2500/ton == $2.50/kg for cocoa. That is higher than sugar and perhaps corn syrup.

So what happens is that some bean counter (heh) near the top of the food chain makes the case that he should get a $100k bonus by reducing the cocoa content by a few percentage points and replace with some combination of butter and sugar.

Typical mass production scenario. What else is new.

I submit that the price of raw material is a small fraction of the price of chocolate.

130   justme   2009 Feb 3, 3:33pm  

Anti-oxydants:

I think this whole anti-oxydant craze us a big fraud. Your stomach is one big oxidizer that oxidizes (burns) food to extract energy in the form of heat, and to break down food into building blocks you otherwise need. Exercise creates lots of oxidation. Is exercise bad for your health?

I think a lot of this anti-oxidant stuff is very marginal science. It will be de-bunked in due time, not that it is very convincing to begin with.

The best anti-oxidant is to hold your breath.

131   justme   2009 Feb 3, 4:01pm  

Fed currency swaps extended until 30. october:

http://www.bloomberg.com/apps/news?pid=20601068&sid=aBH3xG1Wrt80&refer=home

I still have trouble understanding the Fed motivation behind the currency swaps. What does the extension mean for the dollar in the short term?

132   SP   2009 Feb 3, 4:23pm  

OO Says:
OK, what is the plan B for chocolates when Scharffen Berger becomes Hershey’s? Now that SB and JS are gone, are we supposed to support European chocolates now? I’d like to buy American if I can, unless they insist on shoveling down corn-syrup down my throat.

Dagoba is a decent american brand. There was another micro-chocolatier in Burlingame, but I forget the name.

Among european brands, Neuhaus (belgian) is pretty good. Lindt & Sprungli is okay, though they have a factory in Mexico, so the stuff they sell in the US is probably made there.

133   MST   2009 Feb 3, 9:03pm  

JustMe:

I take it you stayed far, far away from Chemistry and Biology while pursuing your education?

I don't doubt you're skeptical about anti-oxidants, seeing they suppress the creation of "Free Radicals." Such Bushitler molecules!

(Not that I buy the bit about chocolate as a *health* food... That'd spoil the fun!)

134   kewp   2009 Feb 3, 10:45pm  

Cocoa is health food! A super-food even! It's just the sugar/corn syrup that is bad.

http://en.wikipedia.org/wiki/Cocoa#Health_benefits_of_cocoa_consumption

I have a kefir/blueberries/walnuts/raw cocoa smoothie every morning and its literally changed my life. Never felt better!

135   justme   2009 Feb 3, 11:39pm  

MST,

Actually, no, chemistry used to be a favorite topic of mine during my otherwise lengthy education. However, I find that the popular press has extrapolated the effect of otherwise naturally occurring free radicals (and their reduction via food) way out of the proven territory.

The wikipedia articles on "anti-oxidants" and "free radicals" are relatively somber, filled with cautionary words such as "may".

Even the mainstream press, always to be counted upon as a cheerleader for substances that have marginal health effect (red wine, chocolate, ...) sometimes uses the weasel-word "linked" when the evidence clearly is much too weak to imply a strong effect or causation.

I'm generally sceptical of such claims.

I agree, chocolate is more fun if one allows the sin-factor in full.

136   justme   2009 Feb 3, 11:46pm  

Kewp,

How about the kefir? Is it possible that the kefir is more significant than the cocoa?

137   OO   2009 Feb 4, 12:41am  

SP,

thanks for the suggestion, I am going to order a couple samples from Dagoba's website.

138   OO   2009 Feb 4, 12:44am  

Lindt is what I grew up with, it was very big in Asia, being advertised as a made-in-Switzerland chocolate. Maybe the Lindt here is produced elsewhere, but I was not impressed with the Lindt that I grew up with, it was better than Cadbury, but quite a notch away from gourmet chocolate.

139   kewp   2009 Feb 7, 7:06am  

How about the kefir? Is it possible that the kefir is more significant than the cocoa?

Possibly; but dairy isn't all that good for you. I try to minimize the downside by sticking to low-fat, organic kefir. Raw cacao is actually an extremely healthy food.

http://www.brainready.com/blog/thetop5brainhealthfoods.html

I got the idea for the smoothie from this article:

http://leftofzen.com/brain-food/2008/01/04/

My current recipe is as follows:

1 cup organic kefir (I like the Lifeway Acai/Pomegranite)
1 cup frozen blueberries
1/4 cup walnuts (halves and pieces)
2 tbsp cocoa nibs
1 tbsp Trader Joe's 'Very Green' mix
1 tbsp organic virgin coconut oil
1/2 tsp cinnamon
1/2 tsp turmeric

I might try adding some raw almonds to the mix at some point.

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