Saturday, May 7, 2011

The Stagiaire


Circa 1970 I lied about my age to get a job in a hospital kitchen. Friends and relatives were working there, so I expected fun and games. The whip came down, it was hard work, plus fun and games. Inflation was kicking in, so I was started at $1.85 an hour when veterans were being paid $1.70. That was the first time I noticed Govt policies were distorting the market. When I realized that I could buy a stereo with a paycheck, I began working double shifts on weekends to make more.
40 years later, and many jackings of the minimum wage, plus stringent child-labor laws, it is not possible to stay in business and pay kids minimum wage. So now we put a french term to slave labor and call it a benefit.
This trend has come to the attention of martinets in the govt, who will now crack down on it, and that was last year.
This year, we now have colleges making students pay to work in unpaid internships by attaching college credits to the work.
But they have left in an exemption... Lawyers and politicians can have unpaid labor. Youth are in particular targeted for work for which others would be paid.  They can have it. Not you.
There has never been a govt rule that does not invite skirting around, which in turn begets more rules, and then inevitable sclerosis in the body economic.  WE need to get back to freedom to and freedom from.


More On Chinese Knives

So I sit down at the counter in a Chinese Restaurant and order a mess of Tomato Beef Chow Mein, and a beer.  Chef Henry Chen is prepping veggies for the night rush.  He grabs a plate, and then....



uses the bisque (unglazed rim) base as a steel to put and edge on his knife!  Whiskey Tango Foxtrot!

So I ask what he is doing, and he shows me very closely...  I ask if I can take a picture... no problem he says...  he shows me the rim and how it is discolored from use...

He says it is common in Chinese kitchens, because you want as sharp as possible when jumping on veggies, especially mushrooms... Yes, he has a steel to sharpen the knives, but if you want a turn a buck in the restaurant biz, you have to keep moving.... can't waste time going to get the steel if you don't have to...

but he'll give me the time to show me a properly clean sliced forest mushroom...

Then one cut with a dull(er) knife... see the raggedy edge at the bottom...parts hanging off...  I know it is hard to see, but the chef knows it is there, and it is unacceptable coming out of his kitchen...

And compared, raggedy on top, clean on bottom...

Below is my video on Chinese knives, plan B... or just go here...


Friday, May 6, 2011

Galley Up!

One of the fun things about being self-employed is being self-directed.  I did some teaching on the side which led to writing and publishing a book, and then I fired my publisher, Barnes & Noble, and imported and distributed the book.  This turned out to be such a good idea, and the results so beneficial, I decided to write a second book on how to get a book out and sold.  The principles of getting your customers first is common in any other business I have been in, and so I brought that to publishing, and it has worked out well.  My 2nd book shows this, how to.


Now I see Amazon.com has opened a business called createspace.com that in essence makes the same argument my book does.  I do not consider this competition in the sense of bad for me, but competition in the sense of good for me.  After I make the point in my book, Amazon.com comes along and says the same thing, they agree.  It does not get any better than that. (Although I doubt anyone at amazon.com read my work, plenty of people are figuring this out. I am just the first to write it down)

My second book, on how to get a book, is ready to go to the printer.  I've ut it up on my website for you to download for free, here.


Careful, it is full of images, of documents relating to importing your own books, so it is a big file, 26 megs!  It may take anywhere from a few minutes to an hour to download, depending on your internet connection.  Maybe you want to start the download before you have dinner when the computer is not otherwise being used.

If you do download and read the book, and find errors, and notify me, I will fix the error and acknowledge your help in the acknowldgements section of the book.  Just think, you'll be immortalized in print!  But you have only about 2 weeks from today to send in the errors, because by then the presses will be rolling.

The books advocates teaching and writing your way to paid publication.  Feel free to share the .pdf with anyone interested in the topic.  It can also be read as a case study in small business international trade, so you might find it interesting from that perspective.

O! And it is up for presale at Amazon.com, because, as you know, we importers do not buy the goods overseas until we have enough orders here to warrant the purchase.  I am there, so expect your book in 5 weeks if you buy through amazon.com.

How about that!  Read the book for free, find problems, get your name in the acknowledgements, and see your name in that very book within a few weeks!  Modern publishing!


Blaming Obama

Of course Obama just did what any politician does: lie.  So those who voted for Obama, regardless of their hopes for change, are to blame for Obama.

Back in the '70s there began to appear posters with topics such as Teamwork, Integrity and Service, with a  captivating picture and a small homily.  And now we have...


A Free Scotland

As a Scots-Irish, mostly Scot, I am delighted to see the Scottish vote themselves the independence party into power, and I do wish them well.  The Irish fought their way to freedom, but it was less than 100 years before they sold themselves into slavery again, by voting to bailout the banks on the backs of generations of Irish.

By accident, the Spanish scholastics who were able to access Aristotle compliments of the Islamic scholars began to work on the topics of freedom in the late middle ages.  This moved to France and became the idea of laissez faire, and from Catholic France to Catholic Scotland, where protestant moral philosophers turned it into the study we call economics.  From there to USA and Hong Kong.
(http://thescotsman.scotsman.com/politics/Parliament-to-set-standard-colour.2403689.jpg)

The worst slums in Europe are in Scotland, and where once the Scottish pound for pound were the most innovative people on earth, they are not so today. What is missing is freedom, and they have the chance to reclaim that.  But a line form the article scares me...

 the SNP have promised that tuition fees will never be introduced in Scotland, and that education will remain as an investment in the future made available to all young people. 


yikes...  what Scotland needs is a free market in education, not substituting Scottish pusillanimity for Englander pusillanimity.


UK Criticism, Plan A and Plan B

Deep within the UK internet someone has said nice things about my book, and recommended it.  He made some other comments that got me thinking...


And it's not possible to get ANY product manufactured, either.

Well, we conceive of a solution to a problem, as a product or a service, and then we try to buy it, what I call plan A.  This process tells us if the item, or a reasonable substitute exists, and if the idea is a good one.  That double check, "good idea, doesn't exist" is the opening you need to start a business, and is only available from the people you expect to be your customers.

Now in reality, that very process is likely to result in the improving of your ideas, as idea meets reality customer.  The next step is the designer, who also improves your idea.  Next the supplier is another great contributor to the design, and also tempers your enthusiasm for over-engineering and over-specification.  As novices we desire to spend too much to do too much.  Often we are obliged to scale back our initial offering.



Next, he states there are people who import and distribute "off-the-shelf" items.  True.  I call this Plan B.  You local Mercedes Benz dealer, and of course Hadad the Henna dealer.  If it is not big business, or your unique item, then you are likely to get caught competing on price.  But the more important criticism is within you is something unique to you, that needs expression in business, and in the measure you sell off the shelf items, is the measure the world is denied the good of your creativity.




It's the only book out there that isn't a mother lode of platitudes but actually tells you what to do and how to do it. He tends to be an idealist (politics) and oversimplifies a lot of things... for example, there ARE importers who just deal in off the shelf products whatever you may state...


So it is likely very true that not "everything" can be made, but anything we need made to get started can certainly be accomplished.  It may be a matter of much compromise, but it is always a matter of customer satisfaction.

Here is a video on plan B...



Thursday, May 5, 2011

U S A Pays the Most

And now, so does China...  when I get into discussions with doctrinaire Austrian acolytes, and tell them the "price" of a given commodity is the price USA pays, and everyone else pays less, they say it cannot be so, because the hard rules of economics prevents it.  And this from people who are aware of government distortion of markets.

Subsidies, regulations, loan programs, are just three of many factors which cause people to act uneconomically, or at best, find a bad idea tradable.  By that I mean they see a bad situation forming, but realize they can get in, make money and get out, before it goes bad.  I got in TalkCity.com at 22 cents, tried to sell at $35 (the top), but got out at $13.  It was never worth 22 cents, let alone 13 or 35.  But it was "tradable."

The circumstances had nothing to do with free markets, or even business, it was pure fraud, goosed by government planners.  Better people, like the Amish, stay out of it, but it is easy to rationalize participating.

Mish quotes Michael Pettis on Chinese traders buying copper overseas when local copper is cheaper, bidding up the world price of copper, or at least allowing copper traders to sell into China at a higher price than elsewhere.  (Why not sell all your copper if China price is higher?  Because the price would drop, and your sane customers might go out of business.  In free markets cartels form to manage madness and disband after the trouble has passed.)

At any rate, in essence, Chinese business can find credit for importing commodities, but not for domestic operations.  So, get govt credit to import copper, sell the copper at a loss, but net proceeds constitute working capital.  (Borrow 100, buy copper for 100, sell copper for 90, lose ten, but have 90 to work with. Hope your 90 working capital earns enough to cover the 100 loan.)

I doubt the Chinese do not view this as madness, they likely do.  They view it as tradable, but these things, like TalkCity.com, tend to unwind real fast, where even those with eyes wide open get caught in the storm.

So now China, like USA, pays the most.  In neither instance does it have anything to do with free markets.  In both instances it has everything to do with people make a living, or more, by exploiting tradable circumstances.  AS Pettis points out, someone has to pay for all of this inefficiency.  The cost is normally applied to people who draw a paycheck, employees.  The lost is nationalized and laid on paychecks as taxes.

There is another possibility, if you look at the list of commodities Chinese traders are buying, it sure looks like war materiel.  Maybe the Chinese know what they are doing.

In the meantime our leaders gather to watch live-action snuff movies and expend immeasurable resources on people who do not matter and enrage decent people everywhere by killing the children of our "enemies." (Saddam, Gaddafi, bin Laden...)  We did not kill the children even of the nazis.  We have become so barbaric.

If I were a Chinese leader, I would worry about the irresponsible USA leadership.


Wednesday, May 4, 2011

Safety Valves

We do not read the Bible the way the founders did, nor the classics of Greece and Rome at all.  Both sources speak of a radical freedom otherwise unknown in their times, albeit for those who were citizens.  Slavery was a integral part and presumed necessity in those cultures, but history has proven otherwise.

Vestiges of the radical freedoms bequeathed to us are everywhere in USA.  I consider them sorts of pressure valves that keep the creative in place, and in essence buys us off when things are wrong.  

Probably the most important item fairly unique to USA is our right to arm ourselves.  In my own lifetime I have seen USA go from where nobody particularly cared if another was armed to where an armed person is presumed guilty.  althought there has been some legal curtailment of self-protection, the degeneration of this right is largely socially conditioned.

Personally I am not into guns, I go the other way, nonviolence.  Another great pressure valve is nobody has to be drafted or join the military in USA.     If you are a conscientious objector, you do not have to serve.    People who object to certain wars are not conscientious objectors.  If you truly object to all wars, then you can opt out.

Taxes are very objectionable, and you can largely avoid them without too much trouble, and with a lot of trouble avoid them completely (grow your own food in the wilderness).  As I’ve outlined previously, being self-employed allows great opportunity to avoid taxes, as intended in the tax codes.  Gummint wants businesses, and when it realluy needs money, they go after employees and property owners anyway.  What they miss from us they don’t really need.

The Amish have been exempt from Social Security taxes in USA, so this is avoidable too.

In USA you can publish anything you want, althugh just about all distribution is under government control.  

In many countries you can be fined or even jailed if you do not vote. Such laws are enforced in Australia and Argentina, and on the books but not enforced in Belgium and Turkey.  This list of countries that punish you for not voting is long.  In USA there is no obligation to vote.

For legal matters we are free to settle our disputes outside of court.  Where we are obliged to come to court, we may represent ourselves, pro se, and the law is judges are supposed to cut us slack if we are not lawyers. All  lawyers are government workers in essence, and their work is a direct tax on citizens.  You can avoid falling into their trap and games by representing yourself in court.

And while on the topic of courts, juries are never obliged to convict anyone, even if the person is guilty.  There are plenty of laws that are just stupid, like 3-strikes -your -out, marijuana laws, and securities regulations.  Any jury can perform what is called “jury nullification” and overthrow the government in that given instance.

At the same time, citizens can form a government in USA. there are thousands of governments in each state: port authorities, water districts, parks, all formed, maintained and beholden only to their voters.

Of course in USA you are free to pick any religion you want, or make one up, or have none of it.  Not so in many countries.  In Germany once you pick a religion, the government tithes you to support it.

In USA you can move.  If you do not like where you are, then split.  You can even leave the country.  

Failry unique to USA is anyone can import and export without license (technically there is an export  license, but it is more a check than a permission), you do not even have to be a citizen to import and export in USA.

You can make own booze.

You can home school, although that is being curtailed.

What made USA unique was a radical freedom, that has been reduced over the last generation.  But it started a long time ago, for example, after the US War between the states, the US Constitution was changed to make slavery expressly permitted.

The government now has a monopoly on currency via us treasury and a central bank that fiddles with interest rates and fosters moral hazards.

The taxes are inherently evil, but not the big problem.  The big problem is the taxes pay for people to crush freedom through subsidies and regulations. The problm is not deregulation, because there is no such thing, the problem is any regulation, because regulation is necessarily a process of picking winners and loswrs, something only a market should do.  A few government workers cannot substitute themselves for millions of daily signals between buyers and sellers.

We have lost a lot, and are losing more each day.  Students cannot bankrupt their way out of bad decisions made while teens (student loans), and we cannot avoid being assaulted when getting on an airplane.  A people who will tolerate these will tolerate anything.



Tuesday, May 3, 2011

Cartoons and War

Osama's dream dorm, according to Donald Rumsfeld:


Bongos' dream dorm, according to Apple Computer (click to enlarge):



Neither was ever real or serious.


Misrepresenting the Pope

I enjoyed reading George Weigel when he was stationed in Seattle and a member of the World Without War Council.  I read First Things cover to cover back in the 1990s, and enjoyed articles by Michael Novak and Rev. Neuhaus.  Exceptionally good writing and ideas every issue.  I bought my mother a subscription.

Then comes Geo Bush, the Iraq war, and things things started going very badly editorially at First Things.  It became pro-war, with Weigel leading the way with very twisted “just war” arguments. You can read his ouerve here and judge for yourself.  Let me be fair: Weigel is a great writer and a wonderful intellect. His just war arguments are truly junk, and not representative of his skills.  It is almost as if he was paid to put his name on trash, so do not judge his abilities by this thread.

From reading these writers, you would get the impression John Paul II was pro-USA and approved of the USA criminal acts in the middle east.  Quite the contrary, from a Catholic news service we learn USA criminality, along with Sicilian mafia criminality, as the only times Pope John Paul II got truly angry.

To wit:
***
Cardinal Stanislaw Dziwisz, the archbishop of Krakow, who was John Paul II's personal secretary for more than 40 years, spoke of the two loves of the Polish Pontiff: "God and mankind, and in particular the youth."
He also revealed the two occasions he saw John Paul II "really angry," but with "good reason."
"In Agrigento, [Sicily], he raised his voice against the mafia, and we were all a little scared," he said.
"And the other occasion was during the Angelus, before the Iraq War, when he said with force: no to war, war doesn't resolve anything. I have seen war. I know what war is."
"He sent a cardinal to Washington, [D.C], and another to Baghdad, to say: do not seek to resolve these problems with war. And he was right. The war is still ongoing and it hasn't resolved anything."
***

Weigel, Neuhaus and Novak personally met the Pope a few times, and parlayed that into the impression the Pope approved of their statements.  The problem is, when all of this middle east stuff goes even worse than it is now, and future generations study who to condemn for this travesty, Weigel, Neuhaus and Novak will be cited to condemn this Pope for supporting the crimes in the middle east.

It took a one-two punch to keep the Vatican from getting its pro-peace message out.  On the one hand, there were the wide-spread false charges of priestly pederasty, orchestrated charges that were handled poorly on advice of counsel by the Church worldwide. (I was there, I saw what happened, the media has it wrong, and people love a corrupt clergy story.) The other punch was to mischaracterize the Pope as pro-war by the theocons at First Things.  Both punches continue to do much harm to this day.

I wonder how the right wing Christians who are delirious at the Pope making sainthood would react if they knew this pope was anti-war. Anti-their war.


Monday, May 2, 2011

Watching Live Snuff

Regardless of whatever justification there is for the supposed attack on Osama Bin Laden, these people gathered together to watch the attack and killing of a human being, or several.  We are such indecent, savage people.

From Drudge:


The Starting Process

For those you see thriving in small business international trade, there is a common pattern...

The genesis of their product (or service) is an solution to a problem they experience....

They then first go to the customers, and determine if there is a market or not for their idea.

These two steps are so critical.  First you have a reason for starting a business, second you get affirmation to proceed.  As you proceed, everyone you need to work with will want to know why, besides what effort you are making, they should work with you.  The only persuasive reason is potential customers with whom you have spoken.  Not customers imagined from anecdotal evidence, but decision makers who have the authority to commit to purchases.

The good news is you need no business skill, no perseverance, no funding, no connections, no resources, no contacts, no training, no language skills, you need absolutely nothing to start, because what you need you can and will go get.

The bad news is if you have  business skills, perseverance, funding, connections, resources, contacts, training, language skills, or whatever, you are likely to rely on those, when in fact nobody knows or cares about those things.  It is completely understandable that when we have nothing to offer, we grasp at straws and offer what we think will be welcome.  People want customers, long term customers.

Starting with customers doors will be open to you.  The more people that you expect to buy from you that you talk to, the more interested suppliers are in you.

The customers people you talk to, the closer you get to what they will buy.

I very often speak to people who have done several years work only to find their premises were completely wrong, and all of the time, treasure, talent was wasted.

If you are serious about starting a business at this point, then when people ask you about your business, the first thing that should come to mind is what a buyer says about your offer.  If this is NOT the first thing that comes to mind, drop everything and get their first.

Once there, your daily work is to constantly improve your offering to get to milestone #3, and then ever improve your product or service thereafter.

Keeping to this process makes the goal of a thriving business easier, faster, cheaper and more fun.