[FoRK] The World Is Not Flat

Ken Ganshirt @ Yahoo ken_ganshirt at yahoo.ca
Tue Jan 19 19:04:35 PST 2010


--- On Tue, 1/19/10, Stephen Williams <sdw at lig.net> wrote:

> > 
> > ... How does any of that relate to any of my comments or questions?
> > Clearly I've missed your point completely. 
> 
> I was responding to JB's original message on those
> points.  I was actually more agreeing with your
> resistance metaphor than disagreeing with anything.
>


I see that now. Thanks for clarifying.


> > 
> > In assessing resistance of intermediations, as a
> metric, I'm suggesting that the factors in assessing the
> resistance would be something like the ratio of:
> > 
> > a) the value added to the good by an intermediation, ...
> >   
> 
> As long as you include as "value added" the savings over
> alternate paths to the market or saved inefficiencies over
> less capable local suppliers. 


Certainly.


> > ... TO
> > b) the extraction from the available aggregate margin
> > of the good by an intermediation.
> >   
> 
> As long as there is competition, this is the price of an
> incentive to create a less resistance path.
> 


Yes.


> 
> In other words, the higher the existing costs, the higher
> the incentive to go into business to lower those costs,
> benefiting everyone.
>

And he brings it right back to one of Jeff's thorniest of thorns. Good work. And, Yes.

          ...ken...


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