Investing

From: Adrian Tymes (wingcat@pacbell.net)
Date: Tue Jun 10 2003 - 17:54:28 MDT

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    --- Robin Hanson <rhanson@gmu.edu> wrote:
    > It seems to me that you are the most conservative
    > investor there is; you
    > invest all of your income in immediate consumption.
    > You want your returns
    > so immediate that there is not time to invest them
    > at all. And then you
    > criticize other investors, who actually take a
    > chance by putting their
    > income into ventures that may or may not be
    > successful, saying they should
    > take even more chances than they do. Ever hear of
    > the mote in another's eye?

    I believe he said he had too little to invest. In his
    defense, there is a demonstrated minimum amount of
    financial resources, which most people are presently
    unfortunately below, where one can achieve meaningful
    progress in various technologies with just that
    amount.

    In theory, if one could produce sudden and rapid
    prosperity for many people, such that various costs of
    living do not get a chance to slowly rise to consume
    most of this prosperity before it is around long
    enough for the people are secure in its existance,
    then one could generate a large investor class from
    the significant percentage of these people who would
    see nothing better to do with their newfound wealth
    than to make more of it, achieving some non-financial
    gains along the way. (Put shortly: give a lot of
    people $1 billion each, and you could talk a lot of
    'em into investing in technologically progressive
    companies, or even charities.)

    In theory, this is what most US presidential elections
    boil down to for most voters (concerned more about
    their own economy than about anything else), though
    there has yet to be a candidate who has successfully
    tapped into the "Make Money Fast: Vote For Me" meme
    (at least without paying voters directly, which is
    widely perceived as an unsustainable wealth generation
    mechanism among other negative qualities, and was thus
    made illegal). I wonder if it would be possible, once
    space access has been made much cheaper by certain
    processes already underway, to propose federal backing
    for space mining initiatives to achieve this effect.
    Say, charge NASA, under credible threat of dissolution
    if they do not perform fast (if they have not already
    been reformed), with nudging some M-type asteroids
    into Earth orbit within one or two years. Meanwhile,
    make sure American companies can extract anything of
    value Earth-side (platinum-group metals, say) for
    cheap before any effective international competition
    can come around (say, put some guards up there, then
    let the international legal challenges play out for
    the year or two that mining takes). Let the market
    start bottoming out for said valuables - it doesn't
    matter, the voters have their bucks and you've got
    re-election. Want an encore so your veep can sit in
    your chair? The not-so-valuable metals left behind
    can be converted into a vast horde of solar power
    satellites: a jobs program funded by the above wealth.
    Or maybe a crash program into practical helium-3
    fusion, if that seems viable, and set up American
    helium-3 mining companies. And that's just space
    access; severely reducing food and synthetic gasoline
    costs via biotech is another path, albeit perhaps not
    quite as easy to do fast enough.



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