Stocks Business Quotes

Advertising is like a stock market for your business investment.

A stock is not just a ticker symbol or an electronic blip; it is an ownership interest in an actual business, with an underlying value that does not depend on its share price.

Well, I spent six or seven years after high school trying to work myself up. Shipping clerk, salesman, business of one kind or another. And it's a measly manner of existence. To get on that subway on the hot mornings in summer. To devote your whole life to keeping stock, or making phone calls, or selling or buying. To suffer fifty weeks of the year for the sake of a two-week vacation, when all you really desire is to be outdoors, with your shirt off. And always to have to get ahead of the next fella. And still — that's how you build a future.

We need a moderately-priced stock market… The market, like the Lord, helps those who help themselves. But, unlike the Lord, the market does not forgive those who know not what they do. For the investor, a too-high purchase price for the stock of an excellent company can undo the effects of a subsequent decade of favorable business developments.

you must thoroughly analyze a company, and the soundness of its underlying businesses, before you buy its stock; you must deliberately protect yourself against serious losses; you must aspire to “adequate,” not extraordinary, performance.

Arbitrage is not investing.

All conservative ideologies justify existing inequities as the natural order of things, inevitable outcomes of human nature. If the very rich are naturally so much more capable than the rest of us, why must they be provided with so many artificial privileges under the law, so many bailouts, subsidies and other special considerations - at our expense? Their "naturally superior talents" include unprincipled and illegal subterfuge such as price-fixing, stock manipulation, insider training, fraud, tax evasion, the legal enforcement of unfair competition, ecological spoliation, harmful products and unsafe work conditions. One might expect naturally superior people not to act in such rapacious and venal ways. Differences in talent and capacity as might exist between individuals do not excuse the crimes and injustices that are endemic to the corporate business system.

A Gift for You I send you... A cottage retreat on a hill in Ireland. This cottage is filled with fresh flowers, art supplies, and a double-wide chaise lounge in front of a wood-burning fireplace. There is a cabinet near the front door, where your favorite meals appear, several times a day. Desserts are plentiful and calorie free. The closet is stocked with colorful robes and pajamas, and a painting in the bedroom slides aside to reveal a plasma television screen with every movie you've ever wanted to watch. A wooden mailbox at the end of the lane is filled daily with beguiling invitations to tea parties, horse-and-carriage rides, theatrical performances, and violin concerts. There is no obligation or need to respond. You sleep deeply and peacefully each night, and feel profoundly healthy. This cottage is yours to return to at any time.

The King emerged from the library, paperwork in hand, eyebrows furrowed. "Well, what is it, what is it?" he said crossly. "Can you not let me work for five minutes at a time?" The girls burst into angry cries. Kale let out another piercing shriek. "Him-him-him-" said Delphinium, pointing a shaking finger at Mr. Hyette, who laughed still. "He-he-him!" "He-he-he was spying on us!" "And we weren't even wearing our boots!" "Or even our stockings!" Thunpfwhap. The King threw Mr. Hyette up against the paneling. My Hyette's head slammed against the wainscot. Kale stopped midscream, hiccupped, and giggled. "Mr. Hyeete!" said the King. Mr. Hyette struggled against the King's steel grip. "Ow," he said. "I say, ow!" The King yanked Mr. Hyette from the wall and grabbed him by the scruff of his fluffy cravat. He handled Mr. Hyette out the entrance hall doors, slamming them behind him. Outside, gravel scuffled. "I say," said Bramble, in an impeccable impersonation of Mr. Hyette. "I say, I say! I say-this Royal Business could actually be quite a lot of fun!

I have no respect to merchants and preachers; as far as I’m concerned, their only talent is coming up with the right word at the right time. What is a professional preacher, really? He is a kind of middleman who for the wrong reasons tries to make people buy his goods. The more he sells, the more his stock rises. The louder he hawks his wares, the larger his business grows.

I presumably lost $150,000 in the depression of 1937—on my one stock investment—because I did everything Lehman Brothers told me. I said, well, this is a fool’s procedure . . . buying stock in other people’s businesses.

Real investors talk more about business than about stock prices. Real investors are reading company P&L statements and Balance Sheets and getting on Earnings Calls. Real investors are learning about customers and attending meetings and getting involved.

He was too busy checking out and checking in, making and breaking plans, buying and losing cell phones, playing computer games and pool, looking at stock quotes, and living the chaotic life that effectively took up all his energy and time.

People have come to the erroneous conclusion that if they’re not willing to start something separate, world-changing, and risky, they have no business starting anything. Somehow, we’ve fooled ourselves into believing that the project has to have a name, a building, and a stock ticker symbol to matter.

Invest like a bull, sit like a bear and watch like an eagle. (mantra for long term investing)

Wall Street never changes. The pockets change, the suckers change, the stocks change, but Wall Street never changes because human nature never changes

The value of a company has very little to do with it's stock price.

The attitude of our managers vividly contrasts with that of the young man who married a tycoon's only child, a decidedly homely and dull lass. Relieved, the father called in his new son- in-law after the wedding and began to discuss the future: Son, you're the boy I always wanted and never had. Here's a stock certificate for 50% of the company. You're my equal partner from now on.' Thanks, dad.' Now, what would you like to run? How about sales?' I'm afraid I couldn't sell water to a man crawling in the Sahara.' Well then, how about heading human relations?' I really don't care for people.' No problem, we have lots of other spots in the business. What would you like to do?' Actually, nothing appeals to me. Why don't you just buy me out?

A surprising fact about the magician Bernard Kornblum, Joe remembered, was that he believed in magic. Not in the so-called magic of candles, pentagrams, and bat wings. Not in the kitchen enchantments of Slavic grandmothers with their herbiaries and parings from the little toe of a blind virgin tied up in a goatskin bag. Not in astrology, theosophy, chiromancy, dowsing rods, séances, weeping statues, werewolves, wonders, or miracles. What bewitched Bernard Kornblum, on the contrary, was the impersonal magic of life, when he read in a magazine about a fish that could disguise itself as any one of seven different varieties of sea bottom, or when he learned from a newsreel that scientists had discovered a dying star that emitted radiation on a wavelength whose value in megacycles approximated π. In the realm of human affairs, this type of enchantment was often, though not always, a sadder business—sometimes beautiful, sometimes cruel. Here its stock-in-trade was ironies, coincidences, and the only true portents: those that revealed themselves, unmistakable and impossible to ignore, in retrospect.

TURTLE SPENT THE night at the bedside of eighty-five-year-old Julian R. Eastman. T. R. Wexler had a master’s degree in business administration, an advanced degree in corporate law, and had served two years as legal counsel to the Westing Paper Products Corporation. She had made one million dollars in the stock market, lost it all, then made five million more.

I don't take much stock of detectives in novels - chaps that do things and never let you see how they do them. That's just inspiration: not business.

When you were making excuses someone else was making enterprise.

In the morning I walked down the Boulevard to the rue Soufflot for coffee and brioche. It was a fine morning. The horse-chestnut trees in the Luxembourg gardens were in bloom. There was the pleasant early-morning feeling of a hot day. I read the papers with the coffee and then smoked a cigarette. The flower-women were coming up from the market and arranging their daily stock. Students went by going up to the law school, or down to the Sorbonne. The Boulevard was busy with trams and people going to work.

It's not the type of work you can put on a business card. I sometimes play the game with myself, though. What would I put on a business card? Jill Kismet, Exorcist. Maybe on a nice heavy cream-colored card stock, with a good font. Not pretentious, just something tasteful. Garamond, maybe, or Book Antiqua. In bold. Or one of those old-fashioned fonts, but no frilly Edwardian script. Of course, there's slogans to be taken into account. Jill Kismet, Dealer in Dark Things. Spiritual Exterminator. Slayer of Hell's Minions.

MOTHER TIME: Life goes by so very fast, my dears, and taking the time to reflect, even once a year, slows things down. We zoom past so many seconds, minutes, hours, killing them with the frantic way we live that it's important we take at least this one collective sigh and stop, take stock, and acknowledge our place in time before diving back into the melee. Midnight on New Year's Eve is a unique kind of magic where, just for a moment, the past and the future exist at once in the present. Whether we're aware of it or not, as we countdown together to it, we're sharing the burden of our history and committing to the promise of tomorrow.

Then, in the 1980's, came the paroxysm of downsizing, and the very nature of the corporation was thrown into doubt. In what began almost as a fad and quickly matured into an unshakable habit, companies were 'restructuring,' 'reengineering,' and generally cutting as many jobs as possible, white collar as well as blue . . . The New York Times captured the new corporate order succintly in 1987, reporting that it 'eschews loyalty to workers, products, corporate structures, businesses, factories, communities, even the nation. All such allegiances are viewed as expendable under the new rules. With survival at stake, only market leadership, strong profits and a high stock price can be allowed to matter'.

If we exaggerate the present and future value of the stock market, then as a society we may invest too much in business start-ups and expansions, and too little in infrastructure, education, and other forms of human capital.

We can't all be bakers or chefs. Many of us have modest ambitions. But we can all buy a piece of the pie.

Some people did business with me because they wanted to get close to me, others did business with me because they were afraid to say no.

they were “very clever in inventing reasons” for a sudden rise or fall in stock prices,

You have to value the business before you can accurately value the stock.

Your money habits and investment strategy is not all about what you do, but much about who you are. Become the person it takes to do, succeed, and innovate.

I thought of relationships as a mosaic, and I put more stock in the overall picture, not the individual tiles. Life was too damned short to make every moment poignant, and too damned long to make every moment perfect. You fought, you made up, you cried, you laughed, and hopefully, when you stepped back, the picture was still beautiful.

Entrepreneurship is when an individual retrieves a red hot idea from the creativity furnace without the constraint of the heat of lean resources, and with each persistent blow of the innovation hammer shapes the still malleable idea against the anvil of passion, vision, insight, strategy, and principles to forge a fitting vessel of a creative concern.

Here is an all-too-brief summary of Buffett’s approach: He looks for what he calls “franchise” companies with strong consumer brands, easily understandable businesses, robust financial health, and near-monopolies in their markets, like H & R Block, Gillette, and the Washington Post Co. Buffett likes to snap up a stock when a scandal, big loss, or other bad news passes over it like a storm cloud—as when he bought Coca-Cola soon after its disastrous rollout of “New Coke” and the market crash of 1987. He also wants to see managers who set and meet realistic goals; build their businesses from within rather than through acquisition; allocate capital wisely; and do not pay themselves hundred-million-dollar jackpots of stock options. Buffett insists on steady and sustainable growth in earnings, so the company will be worth more in the future than it is today.

Basically, we view a portfolio in the same way that a gardener views a garden. Every business or asset in our portfolio is like a plant in a gardeners garden and is subject to similar expectations; growth, purpose, and productivity.

Everybody who really makes money at some point owns a piece of a product, a business, or some IP. That can be through stock options if you work at a tech company. That’s a fine way to start. But usually, the real wealth is created by starting your own companies or even by investing. In an investment firm, they’re buying equity. These are the routes to wealth. It doesn’t come through the hours.

He had always believed that his father had not been able to save a penny from the business, at least his father had never told him anything to the contrary, and Gregor, for his part, had never asked him any questions. In those days Gregor's sole concern had been to do everything in his power to make the family forget as quickly as possible the business disaster which had plunged everyone into a state of total despair. And so he had begun to work with special ardor and had risen almost overnight from stock clerk to traveling salesman, which of course had opened up very different money-making possibilities, and in no time his successes on the job were transformed, by means of commissions, into hard cash that could be plunked down on the table at home in front of his astonished and delighted family. Those had been the wonderful times, and they had never returned, at least not with the same glory, although later on Gregor earned enough money to meet the expenses of the entire family and actually did so. They had just gotten used to it, the family as well as Gregor, the money was received with thanks and given with pleasure, but no special feeling of warmth went with it any more.

Within a couple of weeks of starting the Ph.D. program, though, she discovered that she'd booked passage on a sinking ship. There aren't any jobs, the other students informed her; the profession's glutted with tenured old men who won't step aside for the next generation. While the university's busy exploiting you for cheap labor, you somehow have to produce a boring thesis that no one will read, and find someone willing to publish it as a book. And then, if you're unsually talented and extraordinarily lucky, you just might be able to secure a one-year, nonrenewable appointment teaching remedial composition to football players in Oklahoma. Meanwhile, the Internet's booming, and the kids we gave C pluses to are waltzing out of college and getting rich on stock options while we bust our asses for a pathetic stipend that doesn't even cover the rent.

In the stock market, however, as de la Vega points out, “the news [as such] is often of little value;” in the short run, the mood of the investors is what counts.

Investing is a business, investment is a project and investor is a promoter.

If the management has not performed well in their bad times in the past, chances are they will not perform well in their good times in the future too.

There is large cap, mid cap, small cap. There is also a “BHANGAAR CAP”. More than 4000 out of 6000 companies fit in that category. They show up only in the good times. Be careful

When kids come on the dance floor it’s time for elders to go to the bed.

Your investment belongs to the market and your profits belong to you.

3 qualities of a good investor; Knowledge Courage & Patience.

3 qualities of a good management; Honest Hungry & Smart.

A bull market is very much like being in love. You don’t realise its value till it’s gone.

Chase the story behind the stock, not the money on the table. Money will make you rich, but the story will make you wealthy.

Don’t always trust what you see. In a bull market even a duck looks like a swan.

Rome was not built in a day, but Hiroshima and Nagasaki were destroyed in a day.

Regret is a lifestyle disease of equity investing.

After the stock market crash, some New York editors suggested that hearings be held: what had really caused the Depression? They were held in Washington. In retrospect, they make the finest comic reading. The leading industrialists and bankers testified. They hadn’t the foggiest notion what had gone bad. You read a transcript of that record today with amazement: that they could be so unaware. This was their business, yet they didn’t understand the operation of the economy. The only good witnesses were the college professors, who enjoyed a bad reputation in those years. No professor was supposed to know anything practical about the economy.

I often hear skeptics say that, if psychic behavior was real, the psychics would be playing the stock markets or the ponies. In my experience, many of them do. There is, in fact, a kind of secret level of activity in which psychics consult to major corporations and businesses. People seem embarrassed to admit this activity but it takes place, just as you'd expect it to.

Consider this scenario. You own shares in Company A. During the past year you considered switching to stock in Company B but decided against it. You now find that you would have been better off by 1200$ if you had switched to the stock of Company B. You also owned shares in Company C. During the past year you switched to stock in Company D. You now find out that you'd have been better off by 1200$, if you kept your stock in Company C. Which error causes you more regret? Studies show that about Immune to Reality nine out of ten people expect to feel more regret when they foolishly switch stocks than when they foolishly fail to switch stocks, because most people think they will regret foolish actions more than foolish inactions. But studies also show that nine out of ten people are wrong. Indeed, in the long run, people of every age and in every walk of life seem to regret "not" having done things much more than they regret things they "did", which is why the most popular regrets include not going to college, not grasping profitable business opportunities, and not spending enough time with family and friends.

People open shops in order to sell things, they hope to become busy so that they will have to enlarge the shop, then to sell more things, and grow rich, and eventually not have to come into the shop at all. Isn't that true? But are there other people who open a shop with the hope of being sheltered there, among such things as they most value - the yarn or the teacups or the books - and with the idea only of making a comfortable assertion? They will become a part of the block, a part of the street, part of everybody's map of the town, and eventually of everybody's memories. They will sit and drink coffee in the middle of the morning, they will get out the familiar bits of tinsel at Christmas, they will wash the windows in spring before spreading out the new stock. Shops, to these people, are what a cabin in the woods might be to somebody else - a refuge and a justification.

Now the situation is different, I admit: I have a wristwatch, I compare the angle of its hands with the angle of all the hands I see; I have an engagement book where the hours of my business appointments are marked down; I have a chequebook on whose stubs I add and subtract numbers. At Penn Station I get off the train, I take the subway, I stand and grasp the strap with one hand to keep my balance while I hold the newspaper up in the other, folded so I can glance over the figures of the stock market quotations: I play the game, in other words, the game of pretending there's an order in the dust, a regularity in the system, or an interpretation of different systems, incongruous but still measurable, so that every graininess of disorder coincides with the faceting of an order which promptly crumbles.

Some of you, we all know, are poor, find it hard to live, are sometimes, as it were, gasping for breath. I have no doubt that some of you who read this book are unable to pay for all the dinners which you have actually eaten, or for the coats and shoes which are fast wearing or are already worn out, and have come to this page to spend borrowed or stolen time, robbing your creditors of an hour. It is very evident what mean and sneaking lives many of you live, for my sight has been whetted by experience; always on the limits, trying to get into business and trying to get out of debt, a very ancient slough, called by the Latins aes alienum, another's brass, for some of their coins were made of brass; still living, and dying, and buried by this other's brass; always promising to pay, promising to pay, tomorrow, and dying today, insolvent; seeking to curry favor, to get custom, by how many modes, only not state-prison offences; lying, flattering, voting, contracting yourselves into a nutshell of civility or dilating into an atmosphere of thin and vaporous generosity, that you may persuade your neighbor to let you make his shoes, or his hat, or his coat, or his carriage, or import his groceries for him; making yourselves sick, that you may lay up something against a sick day, something to be tucked away in an old chest, or in a stocking behind the plastering, or, more safely, in the brick bank; no matter where, no matter how much or how little.

When good things are so low that no one wants them, I buy them and lay them away in the safe; when owing to some new development, they go up and my shares are so needed that men will pay well for them, I am ready to sell.

Basically, CEOs have five essential choices for deploying capital—investing in existing operations, acquiring other businesses, issuing dividends, paying down debt, or repurchasing stock—and three alternatives for raising it—tapping internal cash flow, issuing debt, or raising equity. Think of these options collectively as a tool kit. Over the long term, returns for shareholders will be determined largely by the decisions a CEO makes in choosing which tools to use (and which to avoid) among these various options. Stated simply, two companies with identical operating results and different approaches to allocating capital will derive two very different long-term outcomes for shareholders.

It is not real estate, gold, stocks, hard work, or money that makes you rich; it is what you know about real estate, gold, stocks, hard work, and money that makes you rich. Ultimately, it is your financial intelligence that makes you rich.

One sticking point was that Jobs wanted his payout to be in cash. Amelio insisted that he needed to "have skin in the game" and take the payout in stock that he would agree to hold for at least a year.” Jobs resisted. Finally, they compromised: Jobs would take $120 million in cash and $37 million in stock, and he pledged to hold the stock for at least six months.

Your goal as an investor should be simply to purchase, at a rational price, a part interest in an easily understood business whose earnings are virtually certain to be materially higher, five, ten, and twenty years from now. Over time, you will find only a few companies that meet those standards-so when you see one that qualifies, you should buy a meaningful amount of stock.

But do you know what happened during this period? Where do we begin ... 1.3 million Americans died while fighting nine major wars. Roughly 99.9% of all companies that were created went out of business. Four U.S. presidents were assassinated. 675,000 Americans died in a single year from a flu pandemic. 30 separate natural disasters killed at least 400 Americans each. 33 recessions lasted a cumulative 48 years. The number of forecasters who predicted any of those recessions rounds to zero. The stock market fell more than 10% from a recent high at least 102 times. Stocks lost a third of their value at least 12 times. Annual inflation exceeded 7% in 20 separate years. The words “economic pessimism” appeared in newspapers at least 29,000 times, according to Google.

However we resolve the issue in our individual homes, the moral challenge is, put simply, to make work visible again: not only the scrubbing and vacuuming, but all the hoeing, stacking, hammering, drilling, bending, and lifting that goes into creating and maintaining a livable habitat. In an ever more economically unequal world, where so many of the affluent devote their lives to ghostly pursuits like stock trading, image making, and opinion polling, real work, in the old-fashioned sense of labor that engages hand as well as eye, that tires the body and directly alters the physical world tends to vanish from sight. The feminists of my generation tried to bring some of it into the light of day, but, like busy professional women fleeing the house in the morning, they left the project unfinished, the debate broken off in mid-sentence, the noble intentions unfulfilled. Sooner or later, someone else will have to finish the job.

In many ways the effect of the crash on embezzlement was more significant than on suicide. To the economist embezzlement is the most interesting of crimes. Alone among the various forms of larceny it has a time parameter. Weeks, months, or years may elapse between the commission of the crime and its discovery. (This is a period, incidentally, when the embezzler has his gain and the man who has been embezzled, oddly enough, feels no loss. There is a net increase in psychic wealth.) At any given time there exists an inventory of undiscovered embezzlement in — or more precisely not in — the country’s businesses and banks. This inventory — it should perhaps be called the bezzle — amounts at any moment to many millions of dollars. It also varies in size with the business cycle. In good times people are relaxed, trusting, and money is plentiful. But even though money is plentiful, there are always many people who need more. Under these circumstances the rate of embezzlement grows, the rate of discovery falls off, and the bezzle increases rapidly. In depression all this is reversed. Money is watched with a narrow, suspicious eye. The man who handles it is assumed to be dishonest until he proves himself otherwise. Audits are penetrating and meticulous. Commercial morality is enormously improved. The bezzle shrinks. … Just as the boom accelerated the rate of growth, so the crash enormously advanced the rate of discovery. Within a few days, something close to a universal trust turned into something akin to universal suspicion. Audits were ordered. Strained or preoccupied behavior was noticed. Most important, the collapse in stock values made irredeemable the position of the employee who had embezzled to play the market. He now confessed.

Before Volcker’s speech, bonds had been conservative investments, into which investors put their savings when they didn’t fancy a gamble in the stock market. After Volcker’s speech, bonds became objects of speculation, a means of creating wealth rather than merely storing it.

And I hope that all my readers are acquainted with an old English Cathedral town or I fear the significance of Mr Norrell’s chusing that particular place will be lost upon them. They must understand that in an old Cathedral town the great old church is not one building among many; it is the building - different from all others in scale, beauty, and solemnity. Even in modern times when an old Cathedral town may have provided itself with all the elegant appurtenances of civic buildings, assembly and meeting rooms (and York was well-stocked with these) the Cathedral rises above them - a witness to the devotion of our forefathers. It is as if the town contains within itself something larger than itself. When going about ones business in the muddle of narrow streets one is sure to lose sight of the Cathedral, but then the town will open out and suddenly it is there, many times taller and many times larger than any other building, and one realizes that one has reached the heart of the town and that all streets and lanes have in some way led here, to a place of mysteries much deeper than any Mr Norrell knew of. Such were Mr Segundus’s thoughts as he entered the Close and stood before the great brooding blue shadow of the Cathedral’s west face.

Something out of the ordinary course of business is taking place that creates an investment opportunity. The list of corporate events that can result in big profits for you runs the gamut—spinoffs, mergers, restructurings, rights offerings, bankruptcies, liquidations, asset sales, distributions.

And in what business is there not humbug? “There’s cheating in all trades but ours,” is the prompt reply from the boot-maker with his brown paper soles, the grocer with his floury sugar and chicoried coffee, the butcher with his mysterious sausages and queer veal, the dry goods man with his “damaged goods wet at the great fire” and his “selling at a ruinous loss,” the stock-broker with his brazen assurance that your company is bankrupt and your stock not worth a cent (if he wants to buy it,) the horse jockey with his black arts and spavined brutes, the milkman with his tin aquaria, the land agent with his nice new maps and beautiful descriptions of distant scenery, the newspaper man with his “immense circulation,” the publisher with his “Great American Novel,” the city auctioneer with his “Pictures by the Old Masters”—all and every one protest each his own innocence, and warn you against the deceits of the rest. My inexperienced friend, take it for granted that they all tell the truth—about each other! and then transact your business to the best of your ability on your own judgment.

So I got to witness firsthand how those metal links got broken. The muscles in his upper arms pumped to the size of grapefruits, and the fabric of the T-shirt tightened around them almost to tearing… Then the metal gave way with a musical twang, and the chain snaked noisily from the grate, falling to the rain-softened earth with a clunk. “By all means,” John said, brushing his hands together in a self-satisfied way, “let’s call Mr. Smith.” I ducked my head, hiding my blushing cheeks by pretending to be busy putting my cell phone back in my bag. Encouraging his occasional lapses into less than civilized behavior seemed like a bad idea, so I didn’t let on how extremely attractive I’d found what he’d just done. “You know,” I remarked coolly, “I’m already your girlfriend. You don’t have to show off your superhuman strength for me.” John looked as if he didn’t for one minute believe my disinterest. He opened the grate for me with a gentlemanly bow. “Let’s go find your cousin,” he said. “I’d like to be home in time for supper. Where’s the coffin?” “It’s at my mom’s house,” I said. “What?” That deflated his self-satisfaction like a pin through a balloon. He stood stock-still outside the door to his crypt, the word HAYDEN carved in bold capital letters above his head. “What’s it doing there?” “Seth Rector and his girlfriend and their friends asked me if they could build it in my mom’s garage,” I said. “They said it was the last place anyone would look.” John shook his head slowly. “Rector,” he said, grinding out the word. “I should have known.” I threw him a wide-eyed glance. “You know Seth Rector?” “Not Seth,” he said, darkly.

The president, the secretary of state, the businessman, the preacher, the vendor, the spies, the clients and managers—all walking around Wall Street like chickens with their heads cut off—rushing to escape bankruptcy—plotting to melt down the Statue of Liberty—to press more copper pennies—to breed more headless chickens—to put more feathers in their caps—medals, diplomas, stock certificates, honorary doctorates—eggs and eggs of headless chickens—multitaskers—system hackers—who never know where they’re heading--northward, backward, eastward, forward, and never homeward—(where is home)—home is in the head—(but the head is cut off)—and the nest is full of banking forms and Easter eggs with coins inside. Beheaded chickens, how do you breed chickens with their heads cut off? By teaching them how to bankrupt creativity.

Demi-glace. There are a lot of ways to make demi-glace, but I recommend you simply take your already reduced meat stock, add some red wine, toss in some shallots and fresh thyme and a bay leaf and peppercorns, and slowly, slowly simmer it and reduce it again until it coats a spoon. Strain. Freeze this stuff in an ice-cube tray, pop out a cube or two as needed, and you are in business — you can rule the world. And remember, when making a sauce with demi-glace, don't forget to monter au beurre. Chervil,

students need only two well-taught courses—How to Value a Business, and How to Think About Market Prices. Your goal as an investor should simply be to purchase, at a rational price, a part interest in an easily-understandable business whose earnings are virtually certain to be materially higher five, ten and twenty years from now. Over time, you will find only a few companies that meet these standards—so when you see one that qualifies, you should buy a meaningful amount of stock. You must also resist the temptation to stray from your guidelines: If you aren’t willing to own a stock for ten years, don’t even think about owning it for ten minutes. Put together a portfolio of companies whose aggregate earnings march upward over the years, and so also will the portfolio’s market value. Though it’s seldom recognized, this is the exact approach

Con men need a battery of traits to win their victims’ trust and lighten their wallets. Chicago’s Leo Koretz had them all. They must be good actors and Leo, acting the part of a savvy financier who hobnobbed with a mysterious syndicate of millionaires, delivered a magnificent performance. They must be likeable, and everyone liked and trusted the generous, wisecracking, charming Leo. He could have been a top-flight lawyer, a business leader, or perhaps a powerful politician. He chose, instead, to become a master of promoting phony stocks.

..."extreme capitalism": the obsessive, uncritical penetration of the concept of the market into every aspect of American life, and the attempt to drive out every other institution, including law, art, culture, public education, Social Security, unions, community, you name it. It is the conflation of markets with populism, with democracy, with diversity, with liberty, and with choice---and so the denial of any form of choice that imposes limits on the market. More than that, it is the elimination of these separate concepts from our political discourse, so that we find ourselves looking to the stock market to fund retirement, college education, health care, and having forgotten that in other wealthy and developed societies these are rights, not the contingent outcomes of speculative games. James K. Galbraith, Lloyd M. Bentsen Jr. Chair in Government/Business Relations and Professor of Government, University of Texas.

What is weak, emphasize as strong. Not sure how to pronounce a word? Then say it loudly with confidence. If technology is outdated, the company board of directors will spend fortunes advertising that their products are the newest and best. To finance the lies, the board will fire a third of the employees, making stock prices go up. Then, before customers disconnect and go to competitors, the company will have made enough money on its lies to buy a startup company with new technology. But, of course, the new technology should not be a backdoor for thieves.

How often does it occur that information provided you on morning radio or television, or in the morning newspaper, causes you to alter your plans for the day, or to take some action you would not otherwise have taken, or provides insight into some problem you are required to solve? For most of us, news of the weather will sometimes have consequences; for investors, news of the stock market; perhaps an occasional story about crime will do it, if by chance it occurred near where you live or involved someone you know. But most of our daily news is inert, consisting of information that gives us something to talk about but cannot lead to any meaningful action...You may get a sense of what this means by asking yourself another series of questions: What steps do you plan to take to reduce the conflict in the Middle East? Or the rates of inflation, crime and unemployment? What are your plans for preserving the environment or reducing the risk of nuclear war? What do you plan to do about NATO, OPEC, the CIA, affirmative action, and the monstrous treatment of the Baha’is in Iran? I shall take the liberty of answering for you: You plan to do nothing about them. You may, of course, cast a ballot for someone who claims to have some plans, as well as the power to act. But this you can do only once every two or four years by giving one hour of your time, hardly a satisfying means of expressing the broad range of opinions you hold. Voting, we might even say, is the next to last refuge of the politically impotent. The last refuge is, of course, giving your opinion to a pollster, who will get a version of it through a desiccated question, and then will submerge it in a Niagara of similar opinions, and convert them into—what else?—another piece of news. Thus, we have here a great loop of impotence: The news elicits from you a variety of opinions about which you can do nothing except to offer them as more news, about which you can do nothing.

They became the directing power in the life insurance companies, and other corporate reservoirs of the people’s savings-the buyers of bonds and stocks. They became the directing power also in banks and trust companies-the depositaries of the quick capital of the country-the life blood of business, with which they and others carried on their operations. Thus four distinct functions, each essential to business, and each exercised, originally, by a distinct set of men, became united in the investment banker. It is to this union of business functions that the existence of the Money Trust is mainly due.[1]

Stocks are the things to own over time. Productivity will increase and stocks will increase with it. There are only a few things you can do wrong. One is to buy or sell at the wrong time. Paying high fees is the other way to get killed. The best way to avoid both of these is to buy a low-cost index fund, and buy it over time. Be greedy when others are fearful, and fearful when others are greedy, but don’t think you can outsmart the market. “If a cross-section of American industry is going to do well over time, then why try to pick the little beauties and think you can do better? Very few people should be active investors.

Many historians, many sociologists and psychologists have written at lenght, and with deep concern, about the price that Western man has had to pay and will go on paying for technological progress. They point out, for example, that democracy can be hardly expected to flourish in societies where political and economic power is being progressively concentrated and centralized.But the progress of technology has led and is still leading to just such a concentration and centralisation of power. As the machinery of mass production is made more efficient it tends to become more complex and more expensive - and so less available to the eterpriser of limited means. Moreover, mass production cannot work without mass distribution; but mass distribution raises problems which only the largest producers can satisfactorily solve. In a world of mass production and mass distribution the Little Man, with his inadequate stock of working capital, is at a grave disadvantage. In competition with Big Man, he loses his money and finally his very existence as an independent producer; the Big Man has grobbled him up. As the Little Men disappear, more and more economic power comes to be wielded by fewer and fewer people. Under a dictatorship the Big Business, made possible by advancing technology and the consequent ruin of Little Business, is controlled by the State - that is to say, by small group of party leaders and soldiers, policemen and civil servants who carry out their orders.

Our essential difficulty is that we are seeking in a mechanism, which is necessary, qualities it simply does not possess. The market does not lead, balance or encourage democracy. However, properly regulated it is the most effective way to conduct business. It cannot give leadership even on straight economic issues. The world-wide depletion of fish stocks is a recent example. The number of fish caught between 1950 and 1989 multiplied by five. The fishing fleet went from 585,000 boats in 1970 to 1.2 million in 1990 and on to 3.5 million today (1995). No one thought about the long- or even medium-term maintenance of stocks; not the fishermen, not the boat builders, not the fish wholesalers who found new uses for their product, including fertilizer and chicken feed; not the financiers. It wasn't their job. Their job was to worry about their own interests. (IV - From Managers and Speculators to Growth)

Back in Brooklyn, the wind was sharp and the streets were slick and Kat just really wished her Uncle Eddie believed in leaving a key under the mat instead of maintaining his strict stance that anyone who could not break into his Brooklyn brownstone had absolutely no business staying there without him. “Is there a problem, Kitty Kat?” a voice said from over Kat’s shoulder. Kat’s fingers were frozen and her breath fogged, and she’d had a far too upbeat rendition of “White Christmas” stuck in her head on a perpetual loop for the past eight hours. So, yes, there was a problem. But Kat would never, ever admit it. “I’m fine, Gabrielle,” she told her cousin. “Really?” Gab asked. “Because if you can’t handle Uncle Eddie’s lock then someone is going to get a lump of coal in her stocking again this Christmas.” “It wasn’t coal,” Kat shot back. “It was a very rare mineral from a condemned mine in South Africa, and it was a very thoughtful gift.

The god of unreflecting drunkenness advised me to take no reading matter at all, or if I absolutely insisted on reading matter, then a little stack of Rasputin would do; Apollo, on the other hand, in his shrewd, sensible way, tried to talk me out of this trip to France altogether, but when he saw that Oskar's mind was made up, insisted on proper baggage; very well, I would have to take the highly respectable yawn that Goethe had yawned so long ago, but for spite, and also because I knew that The Elective Affinities would never solve all my sexual problems, I also took Rasputin and his naked women, naked but for their black stockings. If Apollo strove for harmony and Dionysus for drunkenness and chaos, Oskar was a little demigod whose business it was to harmonize chaos and intoxicate reason. In addition to his mortality, he had one advantage over all the full divinities whose characters and careers had been established in the remote past: Oskar could read what he pleased whereas the gods censored themselves.

As the manager of my hedge fund, I’ve shorted the stocks of over two hundred companies that have eventually gone bankrupt. Many of these businesses started out with promising, even inspired ideas: natural cures for common diseases, for example, or a cool new kind of sporting goods product. Others were once-thriving organizations trying to rebound from hard times. Despite their differences, they all failed because their leaders made one or more of six common mistakes that I look for: They learned from only the recent past. They relied too heavily on a formula for success. They misread or alienated their customers. They fell victim to a mania. They failed to adapt to tectonic shifts in their industries. They were physically or emotionally removed from their companies’ operations.

I carried with me into the West End Bar, the White Horse Tavern, a long list of things I would never do: I would never have my hair set in a beauty parlor. I would never move to a suburb and bake cakes or make casseroles. I would never go to a country club dance, although I did like the paper lanterns casting rainbow colors on the terrace. I would never invest in the stock market. I would never play canasta. I would never wear pearls. I would love like a nursling but I would never go near a man who had a portfolio or a set of golf clubs or a business or even a business suit. I would only love a wild thing. I didn't care if wild things tended to break hearts. I didn't care if they substituted scotch for breakfast cereal. I understood that wild things wrote suicide notes to the gods and were apt to show up three hours later than promised. I understood that art was long and life was short.

Despite his new fame and fortune, he still fancied himself a child of the counterculture. On a visit to a Stanford class, he took off his Wilkes Bashford blazer and his shoes, perched on top of a table, and crossed his legs into a lotus position. The students asked questions, such as when Apple’s stock price would rise, which Jobs brushed off. Instead he spoke of his passion for future products, such as someday making a computer as small as a book. When the business questions tapered off, Jobs turned the tables on the well-groomed students. “How many of you are virgins?” he asked. There were nervous giggles. “How many of you have taken LSD?” More nervous laughter, and only one or two hands went up. Later Jobs would complain about the new generation of kids, who seemed to him more materialistic and careerist than his own. “When I went to school, it was right after the sixties and before this general wave of practical purposefulness had set in,” he said. “Now students aren’t even thinking in idealistic terms, or at least nowhere near as much.” His generation, he said, was different. “The idealistic wind of the sixties is still at our backs, though, and most of the people I know who are my age have that ingrained in them forever.

A Voltairian of good stock,” he murmured. “What is that supposed to mean?” I growled. “To believe a little in God and much in the devil!” “Well, yes, Mister Hilmacher, and if the devil is not a part in this business, let him take me to Hell!” “Mister Burgomaster, you insult the devil. He who undervalues the devil belittles God. I fail to see why the Almighty would occupy Himself with our most insignificant actions and thoughts, like a good old woman during the endless tea hours, and I would find the role of Old Nick singularly petty indeed should he amuse himself with a giant pleasantry that sends a herd and its guardians into the mortal mud of the swamp.

If the price of a particular stock is going up, we assume good things are happening; if the price starts to go down, we assume something bad is happening, and we act accordingly. It’s a poor mental habit, and it is exacerbated by another: evaluating price performance over very short periods of time. Not only are we depending solely on the wrong thing (price), Buffett would say, but we’re looking at it too often and we’re too quick to jump when we don’t like what we see. This double-barreled foolishness—this price-based, short-term mentality—is a flawed way of thinking, and it shows up at every level in our business. It is what prompts some people to check stock quotes every day, sometimes every hour.

Science has marched forward. But civilization’s values remain rooted in philosophies, religious traditions, and ethical frameworks devised many centuries ago. Even our economic system, capitalism, is half a millennium old. The first stock exchange opened in 1602 in Amsterdam. By 1637, tulip mania had caused the first speculation bubble and crash. And not a lot has changed. Virtually every business stills uses the double-entry bookkeeping and accounting adopted in thirteenth –century Venice. So our daily dealings are still heavily influenced by ideas that were firmly set before anyone knew the world was round. In many ways, they reflect how we understood the world when we didn’t understand the world at all.

Entrepreneurs who kept their day jobs had 33 percent lower odds of failure than those who quit. If you’re risk averse and have some doubts about the feasibility of your ideas, it’s likely that your business will be built to last. If you’re a freewheeling gambler, your startup is far more fragile. Like the Warby Parker crew, the entrepreneurs whose companies topped Fast Company’s recent most innovative lists typically stayed in their day jobs even after they launched. Former track star Phil Knight started selling running shoes out of the trunk of his car in 1964, yet kept working as an accountant until 1969. After inventing the original Apple I computer, Steve Wozniak started the company with Steve Jobs in 1976 but continued working full time in his engineering job at Hewlett-Packard until 1977. And although Google founders Larry Page and Sergey Brin figured out how to dramatically improve internet searches in 1996, they didn’t go on leave from their graduate studies at Stanford until 1998. “We almost didn’t start Google,” Page says, because we “were too worried about dropping out of our Ph.D. program.” In 1997, concerned that their fledgling search engine was distracting them from their research, they tried to sell Google for less than $2 million in cash and stock. Luckily for them, the potential buyer rejected the offer. This habit of keeping one’s day job isn’t limited to successful entrepreneurs. Many influential creative minds have stayed in full-time employment or education even after earning income from major projects. Selma director Ava DuVernay made her first three films while working in her day job as a publicist, only pursuing filmmaking full time after working at it for four years and winning multiple awards. Brian May was in the middle of doctoral studies in astrophysics when he started playing guitar in a new band, but he didn’t drop out until several years later to go all in with Queen. Soon thereafter he wrote “We Will Rock You.” Grammy winner John Legend released his first album in 2000 but kept working as a management consultant until 2002, preparing PowerPoint presentations by day while performing at night. Thriller master Stephen King worked as a teacher, janitor, and gas station attendant for seven years after writing his first story, only quitting a year after his first novel, Carrie, was published. Dilbert author Scott Adams worked at Pacific Bell for seven years after his first comic strip hit newspapers. Why did all these originals play it safe instead of risking it all?

Optimists Optimism is normal, but some fortunate people are more optimistic than the rest of us. If you are genetically endowed with an optimistic bias, you hardly need to be told that you are a lucky person—you already feel fortunate. An optimistic attitude is largely inherited, and it is part of a general disposition for well-being, which may also include a preference for seeing the bright side of everything. If you were allowed one wish for your child, seriously consider wishing him or her optimism. Optimists are normally cheerful and happy, and therefore popular; they are resilient in adapting to failures and hardships, their chances of clinical depression are reduced, their immune system is stronger, they take better care of their health, they feel healthier than others and are in fact likely to live longer. A study of people who exaggerate their expected life span beyond actuarial predictions showed that they work longer hours, are more optimistic about their future income, are more likely to remarry after divorce (the classic “triumph of hope over experience”), and are more prone to bet on individual stocks. Of course, the blessings of optimism are offered only to individuals who are only mildly biased and who are able to “accentuate the positive” without losing track of reality. Optimistic individuals play a disproportionate role in shaping our lives. Their decisions make a difference; they are the inventors, the entrepreneurs, the political and military leaders—not average people. They got to where they are by seeking challenges and taking risks. They are talented and they have been lucky, almost certainly luckier than they acknowledge. They are probably optimistic by temperament; a survey of founders of small businesses concluded that entrepreneurs are more sanguine than midlevel managers about life in general. Their experiences of success have confirmed their faith in their judgment and in their ability to control events. Their self-confidence is reinforced by the admiration of others. This reasoning leads to a hypothesis: the people who have the greatest influence on the lives of others are likely to be optimistic and overconfident, and to take more risks than they realize.

To review briefly, in the late 1960s, men got paid more than women (usually double) for doing the exact same job. Women could get credit cards in their husband's names but not their own, and many divorced, single and separated women could not get cards at all. Women could not get mortgages on their own and if a couple applied for a mortgage, only the husband's income was considered. Women faced widespread and consistent discrimination in education, scholarship awards, and on the job. In most states the collective property of a marriage was legally the husband's since the wife had allegedly not contributed to acquiring it. Women were largely kept out of a whole host of jobs--doctor, college professor, bus driver, business manager--that women today take for granted. They were knocked out in the delivery room... once women got pregnant they were either fired from their jobs or expected to quit. If they were women of color, it was worse on all fronts--work education, health care. (And talk about slim pickings. African American men were being sent to prison and cut out of jobs by the millions.) Most women today, having seen reruns of The Brady Bunch and Father Knows Best, and having heard of Betty Friedan's The Feminine Mystique, the bestseller that attacked women's confinement to the home, are all too familiar with the idealized yet suffocating media images of happy, devoted housewives. In fact, most of us have learned to laugh at them, vacuuming in their stockings and heels, clueless about balancing a checkbook, asking dogs directions to the neighbor's. But we should not permit our ability to distance ourselves from these images to erase the fact that all women--and we mean all women--were, in the 1950s and '60s supposed to internalize this ideal, to live it and believe it.

Lucinda might sneak from her own house at midnight to place a wager somewhere else, but she dared not touch the pack that lay in her own sideboard. She knew how passionate he had become about his 'weakness.' She dared not even ask him how it was he had reversed his opinions on the matter. But, oh, how she yearned to discuss it with him, how much she wished to deal a hand on a grey wool blanket. There would be no headaches then, only this sweet consummation of their comradeship. But she said not a word. And although she might have her 'dainty' shoes tossed to the floor, have her bare toes quite visible through her stockings, have a draught of sherry in her hand, in short appear quite radical, she was too timid, she thought, too much a mouse, to reveal her gambler's heart to him. She did not like this mouselike quality. As usual, she found herself too careful, too held in. Once she said: 'I wish I had ten sisters and a big kitchen to laugh in.' Her lodger frowned and dusted his knees. She thought: He is as near to a sister as I am likely to get, but he does not understand. She would have had a woman friend so they could brush each other's hair, and just, please God, put aside this great clanking suit of ugly armor. She kept her glass dreams from him, even whilst she appeared to talk about them. He was an admiring listener, but she only showed him the opaque skin of her dreams--window glass, the price of transporting it, the difficulties with builders who would not pay their bills inside six months. He imagined this was her business, and of course it was, but all the things she spoke of were a fog across its landscape which was filled with such soaring mountains she would be embarrassed to lay claim to them. Her true ambition, the one she would not confess to him, was to build something Extraordinary and Fine from glass and cast iron. A conservatory, but not a conservatory. Glass laced with steel, spun like a spider web--the idea danced around the periphery of her vision, never long enough to be clear. When she attempted to make a sketch, it became diminished, wooden, inelegant. Sometimes, in her dreams, she felt she had discovered its form, but if she had, it was like an improperly fixed photograph which fades when exposed to daylight. She was wise enough, or foolish enough, to believe this did not matter, that the form would present itself to her in the end.

Takes them less than a week to run the Line thro’ somebody’s House. About a mile and a half west of the Twelve-Mile Arc, twenty-four Chains beyond Little Christiana Creek, on Wednesday, April 10th, the Field-Book reports, “At 3 Miles 49 Chains, went through Mr. Price’s House.” “Just took a wild guess,” Mrs. Price quite amiable, “where we’d build it,— not as if my Husband’s a Surveyor or anything. Which side’s to be Pennsylvania, by the way?” A mischievous glint in her eyes that Barnes, Farlow, Moses McClean and others will later all recall. Mr. Price is in Town, in search of Partners for a Land Venture. “Would you Gentlemen mind coming in the House and showing me just where your Line does Run?” Mason and Dixon, already feeling awkward about it, oblige, Dixon up on the Roof with a long Plumb-line, Mason a-squint at the Snout of the Instrument. Mrs. Price meantime fills her Table with plates of sour-cherry fritters, Neat’s-Tongue Pies, a gigantick Indian Pudding, pitchers a-slosh with home-made Cider,— then producing some new-hackl’d Streaks of Hemp, and laying them down in a Right Line according to the Surveyors’ advice,— fixing them here and there with Tacks, across the room, up the stairs, straight down the middle of the Bed, of course, . . . which is about when Mr. Rhys Price happens to return from his Business in town, to find merry Axmen lounging beneath his Sassafras tree, Strange Stock mingling with his own and watering out of his Branch, his house invaded by Surveyors, and his wife giving away the Larder and waving her Tankard about, crying, “Husband, what Province were we married in? Ha! see him gape, for he cannot remember. ’Twas in Pennsylvania, my Tortoise. But never in Maryland. Hey? So from now on, when I am upon this side of the House, I am in Maryland, legally not your wife, and no longer subject to your Authority,— isn’t that right, Gents?” “Ask the Rev,” they reply together,

On this particular day her father, the vicar of a parish on the sea-swept outskirts of Lower Wessex, and a widower, was suffering from an attack of gout. After finishing her household supervision Elfride became restless, and several times left the room, ascended the staircase, and knocked at her father's chamber-door. 'Come in!' was always answered in a heart out-of-door voice from the inside. 'Papa,' she said on one occasion to the fine, red-faced, handsome man of forty, who, puffing and fizzing like a bursting bottle, lay on the bed wrapped in a dressing-gown, and every now and then enunciating, in spite of himself, about one letter of some word or words that were almost oaths; 'papa, will you not come downstairs this evening?' She spoke distinctly: he was rather deaf. 'Afraid not - eh-h-h! - very much afraid I shall not, Elfride. Piph-ph-ph! I can't bear even a handkerchief upon this deuced toe of mine, much less a stocking or slipper - piph-ph-ph! There 'tis again! No, I shan't get up till tomorrow.' 'Then I hope this London man won't come; for I don't know what I should do, papa.' 'Well, it would be awkward, certainly.' 'I should hardly think he would come today.' 'Why?' 'Because the wind blows so.' 'Wind! What ideas you have, Elfride! Who ever heard of wind stopping a man from doing his business? The idea of this toe of mine coming on so suddenly!... If he should come, you must send him up to me, I suppose, and then give him some food and put him to bed in some way. Dear me, what a nuisance all this is!' 'Must he have dinner?' 'Too heavy for a tired man at the end of a tedious journey.' 'Tea, then?' 'Not substantial enough.' 'High tea, then? There is cold fowl, rabbit-pie, some pasties, and things of that kind.' 'Yes, high tea.' 'Must I pour out his tea, papa?' 'Of course; you are the mistress of the house.' 'What! sit there all the time with a stranger, just as if I knew him, and not anybody to introduce us?' 'Nonsense, child, about introducing; you know better than that. A practical professional man, tired and hungry, who has been travelling ever since daylight this morning, will hardly be inclined to talk and air courtesies tonight. He wants food and shelter, and you must see that he has it, simply because I am suddenly laid up and cannot. There is nothing so dreadful in that, I hope? You get all kinds of stuff into your head from reading so many of those novels.

Bait & Switch Buddhism is a classic bait-and-switch operation. We’re attracted by the enlightenment in the window, but as soon as we’re in the door they start steering us over to the compassion aisle. Buddhists could be honest and change their name to Compassionism, but who wants that? There’s the rub. They can’t get us in the door with compassion, and they can’t deliver on the promise of enlightenment. It’s not limited to compassion, of course. Their shelves are stocked with all sorts of goodies and enticements, practically anything anyone could ever want, with just the one rather notable exception. If they had just stopped when they had Anicca, impermanence, and Anatta, no-self, then they would have had a true and effective teaching they could be proud of, except there would be no they because Buddhism would have died with the Buddha. They’d have a good product, but no customers. This untruth-in-advertising is the kind of game you have to play if you want to stay successful in a business where the customer is always wrong. You can either go out of business honestly, or thrive by giving the people what they want. What they say they want and what they really want, though, are two very different things.

Probably the first book that Hamilton absorbed was Malachy Postlethwayt’s Universal Dictionary of Trade and Commerce, a learned almanac of politics, economics, and geography that was crammed with articles about taxes, public debt, money, and banking. The dictionary took the form of two ponderous, folio-sized volumes, and it is touching to think of young Hamilton lugging them through the chaos of war. Hamilton would praise Postlethwayt as one of “the ablest masters of political arithmetic.” A proponent of manufacturing, Postlethwayt gave the aide-de-camp a glimpse of a mixed economy in which government would both steer business activity and free individual energies. In the pay book one can see the future treasury wizard mastering the rudiments of finance. “When you can get more of foreign coin, [the] coin for your native exchange is said to be high and the reverse low,” Hamilton noted. He also stocked his mind with basic information about the world: “The continent of Europe is 2600 miles long and 2800 miles broad”; “Prague is the principal city of Bohemia, the principal part of the commerce of which is carried on by the Jews.” He recorded tables from Postlethwayt showing infant-mortality rates, population growth, foreign-exchange rates, trade balances, and the total economic output of assorted nations.

A 1997 study of the consumer product design firm IDEO found that most of the company’s biggest successes originated as “combinations of existing knowledge from disparate industries.” IDEO’s designers created a top-selling water bottle, for example, by mixing a standard water carafe with the leak-proof nozzle of a shampoo container. The power of combining old ideas in new ways also extends to finance, where the prices of stock derivatives are calculated by mixing formulas originally developed to describe the motion of dust particles with gambling techniques. Modern bike helmets exist because a designer wondered if he could take a boat’s hull, which can withstand nearly any collision, and design it in the shape of a hat. It even reaches to parenting, where one of the most popular baby books—Benjamin Spock’s The Common Sense Book of Baby and Child Care, first published in 1946—combined Freudian psychotherapy with traditional child-rearing techniques. “A lot of the people we think of as exceptionally creative are essentially intellectual middlemen,” said Uzzi. “They’ve learned how to transfer knowledge between different industries or groups. They’ve seen a lot of different people attack the same problems in different settings, and so they know which kinds of ideas are more likely to work.” Within sociology, these middlemen are often referred to as idea or innovation brokers. In one study published in 2004, a sociologist named Ronald Burt studied 673 managers at a large electronics company and found that ideas that were most consistently ranked as “creative” came from people who were particularly talented at taking concepts from one division of the company and explaining them to employees in other departments. “People connected across groups are more familiar with alternative ways of thinking and behaving,” Burt wrote. “The between-group brokers are more likely to express ideas, less likely to have ideas dismissed, and more likely to have ideas evaluated as valuable.” They were more credible when they made suggestions, Burt said, because they could say which ideas had already succeeded somewhere else.

There was once a businessman who was sitting by the beach in a small Brazilian village. As he sat, he saw a Brazilian fisherman rowing a small boat toward the shore having caught quite a few big fish. The businessman was impressed and asked the fisherman, “How long does it take you to catch so many fish?” The fisherman replied, “Oh, just a short while.” “Then why don’t you stay longer at sea and catch even more?” The businessman was astonished. “This is enough to feed my whole family,” the fisherman said. The businessman then asked, “So, what do you do for the rest of the day?” The fisherman replied, “Well, I usually wake up early in the morning, go out to sea and catch a few fish, then go back and play with my kids. In the afternoon, I take a nap with my wife, and [when] evening comes, I join my buddies in the village for a drink—we play guitar, sing and dance throughout the night.” The businessman offered a suggestion to the fisherman. “I am a PhD in business management. I could help you to become a more successful person. From now on, you should spend more time at sea and try to catch as many fish as possible. When you have saved enough money, you could buy a bigger boat and catch even more fish. Soon you will be able to afford to buy more boats, set up your own company, your own production plant for canned food and distribution network. By then, you will have moved out of this village and to São Paulo, where you can set up an HQ to manage your other branches.” The fisherman continues, “And after that?” The businessman laughs heartily. “After that, you can live like a king in your own house, and when the time is right, you can go public and float your shares in the Stock Exchange, and you will be rich.” The fisherman asks, “And after that?” The businessman says, “After that, you can finally retire, you can move to a house by the fishing village, wake up early in the morning, catch a few fish, then return home to play with [your] kids, have a nice afternoon nap with your wife, and when evening comes, you can join your buddies for a drink, play the guitar, sing and dance throughout the night!” The fisherman was puzzled. “Isn’t that what I am doing now?