May 1, 2012

Why People Believe In Marxism

This is a brilliant talk about Marx’s ideology and of its wide appeal. This is not to be missed.

Feb 24, 2012

How Goldman Sachs Helped Mask Greece's Debt

I will comment about this movie in the next article.

Feb 20, 2012

Greece and its future

The most used tool in every decision, business or in a day-to-day situation is the cost-benefit analysis. Accordingly, if benefits are greater then costs that means I'll have profit and I will put in practice that idea or that plan. The reverse situation will bring a loss, so I have to avoid it by all means. It is simple.

Maybe the amount of money that are required for save Greece is (yet) less than amount of money that will be required by too-big-to-fail banks in the case of Greek default.

What is the worst case scenario in the case of default? The Greek default is postponed only because this year many Euro-states will have elections? And many other questions are on the Internet. They have two aims: firstly, to test some scenarios and their possible outcomes on the public opinion. Secondly, to test few levels of social indicators like the current state of public perceptions about political decisions, like the level of public awarness of a possible economic impact of various decisions, and so on.

My opinion is that things are more controlled than they seem to be. If the Greek behaviour will be changed by some austerity measures, there will be some hopes to keep Greece in the EU. However, the current facts haven't a positiv impact on international public opinion and it's a matter of time until Greece will be get out from the EU.

And this is the worst case scenario for the Greek people on the short and medium term. A return to the Drahma could represent a big inflation and a lower standard of living for few years, maybe a decade. In the long term view, all depends on international economic climate.

Jan 20, 2012

Two short movies about new technologies

Firstly, it's a film about Graphene, a new material discovered recently.

Secondly, it's about a new technology for making a glass.

Jan 7, 2012

What is the most suitable form of government?

Some details in this short movie:

Dec 27, 2011

Inside Job - the movie and the real world

Today I saw a good film, named Inside Job. It is a documentary film and it describes some evidences about the last economic phenomenons - known like a financial crisis - and there is a large point of view about these phenomenons.

I’m agreed with the facts, i.e. I think these were the events, but I strongly disagree with the author’s view. Let me explain why.

My principles are:

Firstly, in this world any gain has a range of risks. Gain without risks doesn’t exist. Even the state bonds have a risk attached, those of the state bankruptcy. More risks, more gains.

Secondly, if I’m not interested in having a better life, then nobody could oblige me to have a better life.

I already demonstrated why the political decisions are not in favor of the majority of the people and this is the steady state of the current society.

The movie briefly explained how the derivatives work and what is the role of CDO’s, CDS’s, and how the financial crisis began and it spread all over the world.

The main dilemma is: should or not states regulate all financial transactions? Is the deregulation a source of hazard in the free market? Could it generate a lot of corruption? Were states wrong in their actions during the last decade?

I have one answer for all these questions: NO.

For example, if I bought a good/ service and I did not care about the attached risks or I did not care about the quality or another features, then I will have big chances to lose my money. After the risks have materialised and I’ve lost my money, to claim that states were wrong because I was very stupid in my decisions it is a very communist mindset. In fact, all consequences of my decisions belong to me, not to the state. It is very simple, it is like the gravity, if you like.

Was something wrong in selling of all those called derivatives? NO. I think if somebody proposes me to buy a piece of paper for $1,000 because it has a very nice form and my neighbour has already bought one, so there is a market for pieces of paper, it all depends on my decision. Therefore, all consequences belong to me, even if I gain a lot of money or I lose it.

In the current global world, the results of the decisions taken by individuals have given legitimacy for using the public money for saving too-big-to-fail banks.

However, the financial crisis was a very normal consequence of decisions of the majority and, as you see, the majority has taken all the consequences and paid for them.

What will be in the future?

The majority doesn’t have a real view of what was happened, and for the short term socialists will gain more political capital. In the long term, new leaders of the world will become only those smart guys who have a lot of money. And this is very normal and very fair.