Welcome to European Tribune. It's gone a bit quiet around here these days, but it's still going.
Chris - you're still not facing the basic problem, which is that there are approximately two types of people in the world:

  1. Those who are happy sharing
  2. Those who want everything for themselves

No scheme is going to work unless it deals with this basic social reality.

The current financial system would be perfectly workable if it only had Type 1 people in it.

Conversely any political or social system can be, and will be, hijacked by Type 2s unless it has explicit built-in resilience against them.

No amount of financial or legal engineering will solve our problems unless it deals with this fact explicitly.

by ThatBritGuy (thatbritguy (at) googlemail.com) on Sun Sep 23rd, 2007 at 10:57:28 AM EST
[ Parent ]
I couldn't agree more, having worked in the Belly of the Beast myself for quite long enough.

It's not a question of me "facing" anything, actually.

I am observing what people - very greedy Type 2 people for the most part - are actually doing with the new legal tools I observe, document and am analysing in my amateurish way.

Canadian "Income Trusts" did not emerge because Chris Cook said so, but because they work for both the providers and users of Capital.

And the use of UK LLP's/ US LLC's actually allows the same outcome more simply and with less cost and complexity because they are not encrusted with the legal barnacles of trust law.

Ditto Real Estate Investment Trusts ("REIT's") - I didn't invent those either, nor Exchange Traded Funds ("ETF's")and Sukuks and other "asset-based" alternatives to "the Corporation".

ALL of these present opportunities for practical alternatives to the existing "Debt/Equity" Public/Private paradigm even now cracking up under the strains imposed by the mathematics of compound interest.

All I'm doing is "Simplifying" and developing existing trends and emergent products. In order to do so, I am using the simplest and most flexible legal entities ever invented - by definition, since there is not even a requirement for a written agreement for an LLP, and few prescriptions for an LLC.

The consensual partnership-based methodology I observe actually have the effect of turning Type 2's into Type 1's because it is MORE PROFITABLE to share (and have a smaller piece of a bigger pie) than to do otherwise.

"The future is already here -- it's just not very evenly distributed" William Gibson

by ChrisCook (cojockathotmaildotcom) on Sun Sep 23rd, 2007 at 11:26:01 AM EST
[ Parent ]


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