Blunderov
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"We think in generalities, we live in details"
  
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The Art and Science of Derivatives 101
« on: 2009-05-14 07:20:48 » |
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It is August in a small town on the South Coast of France. Holiday season is
in full swing, but it is raining so there is not too much business
happening. Everyone is heavily in debt.
Luckily, a rich Russian tourist arrives in the foyer of the small local
hotel. He asks for a room and puts a $100 note on the reception counter,
takes a key and goes to inspect the room located up the stairs on the third
floor.
The hotel owner takes the banknote in a hurry and rushes to his meat
supplier to whom he owes $100.
The butcher takes the money and races to his supplier to pay his debt.
The wholesaler rushes to the farmer to pay $100 for pigs he purchased some
time ago.
The farmer triumphantly gives the $100 note to a local prostitute who gave
him her services on credit.
The prostitute goes quickly to the hotel, as she owed the hotel for her
hourly room use to entertain clients. She places the $100 note on the
reception counter.
At that moment, the rich Russian is coming down to reception and informs the
hotel owner that the proposed room is unsatisfactory and takes his $100 back
and departs..
There was neither income nor profit. But everyone no longer has any debt and
the small townspeople look optimistically towards their future.
COULD THIS BE THE SOLUTION TO THE Global Financial Crisis? Someone lost.
WHO?*
* You say yer life's a bum deal
'N yer up against the wall...
Well, people, you ain't even got no
Deal at all
'Cause what they do
In Washington
They just takes care
of NUMBER ONE
An' NUMBER ONE ain't YOU
You ain't even NUMBER TWO
Frank Zappa lyrics "the meek shall inherit nothing"
http://www.lyricstime.com/frank-zappa-the-meek-shall-inherit-nothing-lyrics.html
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