Categories
History & heritage

[1133] Of heroes of Ides of March

More than 2000 years ago on this day, Ides of March, Brutus along with several Roman senators stabbed Julius Caesar to death, in hope to prevent Rome, a republic, from falling into authoritarianism. The irony is, of course, the act, which was done to preserve democracy, only accelerated Rome’s journey to dictatorship.

So, who is the hero here?

It would depend on how one look at the event.

Intention-wise, Brutus and the senators would be the heroes. Action-wise, there would be no heroes. Morally, a great dilemma; kill and preserve democracy, let live and kill democracy.

It is a tragedy, no more, no less, even if it is a false dilemma.

Categories
Economics Science & technology

[1132] Of for WiMAX, the winners are…

A big event is expected to occur tomorrow, possibly testing the efficient market hypothesis along the way:

PUTRAJAYA, March 15 (Bernama) — The government will announce the WiMax (Worldwide Interoperability for Microwave Access) licence recipients Friday. [Govt To Announce WiMax Licence Recipients Tomorrow, Bernama, March 15 2007]

Four WiMAX licenses are to be awarded with 17 entities bidding for it in this natural experiment:

The applicants for the Wimax tender include three of the country’s four 3G (third generation) spectrum holders, namely Telekom Malaysia Bhd, Maxis Communications Bhd and MiTV Corp Bhd.

The other bidders are DiGi.Com Bhd, NasionCom Sdn Bhd, MIB Comm Sdn (controlled by Green Packet Bhd), Jaring Communications Sdn Bhd, Asiaspace Bhd, Go Lightspeed Broadband Sdn Bhd, Bizsuft (M) Sdn Bhd, IP Mobility Sdn Bhd, Optical Communications Engineering Sdn Bhd, Celcom Timur (Sabah Sdn Bhd), Fibrecomm Network (M) Sdn Bhd, SGR Capital Bhd, REDTone-CNX Broadband Sdn Bhd, YTL e-Solutions and Electcoms Wireless Sdn Bhd. [Govt To Announce WiMax Licence Recipients Tomorrow, Bernama, March 15 2007]

By looking at the share prices, a lot of people are betting their money on YTL E-Solutions:

Copyrighted by The Star. Fair use.

According to various sources, another two other leading candidates are Greenpacket…:

Copyrighted by The Star. Fair use.

…and Redtone:

Copyrighted by The Star. Fair use.

In economics, efficient market hypothesis states that all information relevant to security pricing is reflected in prices. Let us see whether those prices, as far as the WiMAX bids are concerned, fall under weak, semi-strong or strong efficiency. Or none at all for that matter. If those prices fall under strong efficiency categorization, one has every reason to believe that YTL e-Solutions is going to win one of the licenses.

Let us see if those science fictions I learned at Michigan would bring some quick buck.

Categories
Conflict & disaster Economics Environment

[1131] Of internalizing externality at the Malacca Strait

The Pigou Club would love this:

KUALA LUMPUR: Every ship transiting the Strait of Malacca should pay 1 U.S. cent per dead weight tonnage into a fund to help maintain the world’s most important maritime trade route, regional maritime experts proposed Wednesday. [Experts propose upkeep for Malacca Straits, The Star, March 14 2007]

While I think it is marvelous, we should carefully differentiate the act of internalizing externality and the act of taxing for the sake of generating income. On top of that, the possibility shippers using the Sunda Strait instead of Malacca needs to be considered; a sufficiently high charge would increase that possibility. Further, an improperly implemented Pigovian tax would simply transfer the problems the Malacca Strait is facing to other areas with no Pigovian tax, instead of eliminating it.

Categories
Liberty

[1130] Of road to conscription

The real deal on the Malaysian national service is now one step closer towards its logical conclusion:

A THREE-MONTH stint in the National Service is insufficient to build good character and instil discipline. At least a year is needed, says Datuk Seri Najib Razak.

The deputy prime minister said the government was willing to consider lengthening the programme. [National Service stint ‘too short to instil discipline’, NST, March 13 2007]

The program could be lengthened to two years:

SEOUL: The Government is willing to consider extending national service (NS) to one or two years because three months is not enough to build up character and instil good values in Malaysian youths. [Najib: NS could be extended to two years, The Star, March 13 2007]

The politician opined:

“If you ask me, one year is most ideal, but two years would be better,” he said at a dinner with Malaysian students here in conjunction with his visit to South Korea. [Govt Prepared To Extend NS Training Period, Says Najib, Bernama, March 13, 2007]

We are on the road to conscription. The term “national service” is simply an euphemism.

Categories
Economics Liberty

[1129] Of spontaneous order at the Malaysian Nature Society

While helping to clear out the ground where Raptor Watch was held last Sunday, I was impressed at how liberalism, classical liberalism, came to life at the Malaysian Nature Society-organized event. It started out when we had lots of stuff that needed to be moved from one spot into a storage room. Not only there were too many things to be moved, they were heavy too. Since there was a Miss Malaysia helping out too, I doubly sure everybody wanted to help out too!

That definitely eliminated the problem of non-participation.

At first, people, including me, picked the things up and carried it all the way from that one spot into the store. The presence of the beautiful Miss Malaysia somehow made the route between the spot and the store crowded. Ah, boys will be boys. The fact that the things were heavy did not make the congestion any easier to shallow, especially for a frail guy like me. We actually had to line up to get to the room.

Suddenly, after awhile, no longer we found ourselves moving to and fro, doing no work as sadistically described by Newtonian physics. Upon discovering that lining up slowed down the process, the line became a human conveyor belt instead; only the things moved as a person passed it to the next and the next to the others up front, right up to the store. The system, from chaos to order, sped things up though it did not become perfect immediately. Each of us was standing too close to each other. So, it took up too many resources; too many persons working in the system. Soon, we spread out, made the processes more efficient and inevitably, forced several individuals into redundancy.

Instead of doing nothing, probably encouraged by the presence of Miss Malaysia, they went to do something else useful by picking up some trash or stamping on the aluminum cans and plastic bottles for recycling purpose. Better yet, some started to feed the human conveyor belt with weird stuff to the point I could only mutter, “what the hell?”

The belt became so efficient that practically anything reasonable that could be carried by a reasonable person could be fed into the reasonable system reasonably. Totally reasonable!

After it all was done, I sat down, smiling. Partly because I was munching some kind of nuts with Miss Malaysia, partly because I understood exactly what had happened; it was spontaneous order; to an extent, an analogy to free market. There were no central command; only free agents doing what they thought would be best at the moment. The system sought efficient equilibrium without a dictator. I was so impressed of the incident that on the way back to Kuala Lumpur, that was all I could think of.

Hayek would have smiled too. Probably, both Salma and Friedrich, too.