Ideas

  • The Experience Economy: Man Vs. Food Edition

    I recently drove several hours (to the middle of nowhere) in order to try the Burger you see below.  And, yes, I know you don't have to capitalize the word "burger" … But, in this case, it deserved it!  Take a look.

     

    7222017 man vs food

     

    If you are curious, the restaurant is Big Jud's in Rexburg, Idaho.  And the monstrosity is Big Jud.  No, sorry, it is their "Man Versus Food Burger" (which was featured on the TV show Man V. Food).

    It's got 4 pounds of meat and all the accouterments … It's the type of burger that makes  you say "Holy Cow!"  Even the knife they give you to eat it with is scary. 

    Obviously, it is not the type of burger you eat because you're hungry … you eat it because you want the experience.

    The idea of an Experience Economy isn't new.  

    Rich people know it makes sense to spend money on experiences.  

    And smart businesses know that it makes sense to avoid competing on a commodity, and to create something unique. For example, think about Cowboys Stadium (Click to read about the Experience).

    Even millennials are spending more on experiences than on physical products.

    Something to think about … How would your business be different if you prioritized the experience?  

    Just another way to win.

  • AI Isn’t Just Crawling Forward … Now It’s Learning To Walk

    The pace of AI progress is awe inspiring.

    We are entering a golden age of innovation, disruption, and new possibilities.

    Here is a small example.  It's not the first time computers have learned to walk, but Google's DeepMind taught itself to walk with no human interaction.

    Here is a video.

     

     

    With very little structure around their knowledge, it's interesting to see how they developed movement – and where it seems distinctly artificial. 

    For a more instructional video, you can check out "Flexible Muscle-Based Locomotion for Bipedal Creatures" from 2013.  It shows the generational differences between their bots as well. 

    AI is getting smarter, faster.  Soon it'll have knowledge that we don't understand. And that will still only be the beginning.

    Cool stuff!

  • Here Are Some Links For Your Weekly Reading – July 16th, 2017

    Science, Art, or "PooPoo De Toro"…

      

    7162017 Dilbert

     

    Here are some of the posts that caught my eye. Hope you find something interesting.

    Lighter Links:

    Trading Links:

  • Paul McCulley: “The Coming War between Trump & The Fed”

    I just got back from an economic summit in Wyoming where I spent some time with Paul McCulley.  He is an economist and former managing director at PIMCO.   

     

    Facetune (002)

    He is the guy that coined the terms "Minsky moment" and "shadow banking system". 

    Recently, he put together this explanatory cartoon about the relationship between Trump & The Fed.

    Truth, Humor, and a Unique Perspective … Worth a watch.

     

     

    Ultimately, he is fairly bullish … but cautious.  He says: "After eight good years on Wall Street, it's bound to end soon.  Don't be greedy."

  • When Will You Die? A Look At Cause of Death in Different Demographics

    As I get older, I've noticed how much more often my mental perception of myself, and the physical realities are incongruent. 

    I remember routinely being the youngest guy in the room. Obviously, that isn't true anymore (unless I'm at Denny's at 4pm).

    I remember running around the park (without stopping).  And I certainly remember enjoying working out with my son.

    Things that used to be easy (or at least routine) now cause me stress.

    But age affects everyone – and while my 24-year-old can still eat like a pig and lift heavily, those days are behind me.  

    I recently shared an article on "Conditioning Yourself To Take The Next Best Step," and I talked about getting back in shape … the mentality it takes, and the habits I carried with me from my days as an athlete

    One of the hardest lessons for me to learn has been that I can't work out how I used to … or I injure myself.

    It is not too far a leap to go from that – to thinking about mortality. 

    This interactive graphic, below, shows how people of different ages die.  Click the image to try it yourself.

     

    7132017 year of deathvia FlowingData

    You can see what average mortality looks like (by plugging in "0" as your age) … or plug in your current age, sex, and race to see what's most likely to kill you (based on you having survived to now). 

    Unsurprisingly, congenital issues stop having high mortality around 10, and circulatory/respiratory issues become more prevalent as you get older. 

    Sure, this is based on averages – but it's interesting to see how locale and income play a role in your life expectancy. 

    According to a Harvard-run study, people live longer in more educated and affluent areas even if they're less well-off, and that's taking even after taking into account labor market, social connectedness, and other factors. 

    As well, the richest Americans live approximately 10-15 years longer than the other end of the spectrum as seen below. 

    7132017 Harvard

    via Harvard Gazette

    Live Long and Prosper! … Or is it prosper and live long?

  • Rich People Spend Their Time Differently: An Income Distribution in Americans’ Pastimes

    When it comes to American pastimes, many people focus on the big 3 sports: Football, Basketball, and Baseball. Nevertheless, there are a lot of different ways people spend their time.  It is interesting to see what they watch – and what they actually play. 

    Nevertheless, there are a lot of different ways people spend their time.  It is interesting to see what they watch – and what they actually play. 

    There is also a big difference based on income distribution.   Here is an infographic.

     

    792017 americans-pasttimes-income-1

    via VisualCapitalist

    Apparently, rich people like golfing,  yoga and racquet sports … while poorer people disproportionately liked relaxing, writing for personal interest, and having hobbies.

    It is also kind of interesting to see when people tend to do certain activities.   Here is a chart showing the peak time for various sports and activities.

    782017 Peak exercise times

    via Henrik Lindberg

    You could build a business around data like that.

    Interesting?

  • Conditioning Yourself To Take The Best Next Step

    6202017 Dad Sweat 3Is How You Do Something … How You Do Everything?

    I think so.  To make the point, let me start with a brief story. 

    I was at the gym and getting pretty close to the end of my workout.

    Frankly, I was at a point where being done was way more attractive than the option of doing additional exercise.

    Over time, I've developed many habits and beliefs that focus on finding best next step -or a way to do just a little bit more. So this time, I used reverse-counting to help me finish that workout strong.

    I started with 10 push-ups. I know I can do 10 push-ups, even at the end of a hard workout. Without putting my knees down, I can rest in plank position for a moment or two … then I do nine more push-ups. That has to be easier than 10, right? Then eight more … seven … six. You get the point.

    Each set is a little bit harder than the one before; but mentally I'm prepared for it, and can convince myself that I'm so much closer to the goal.

    So I get to three, and sweat is dripping off my nose, my arms are shaking, and my hips want to sway. Somehow knowing that there's only two more sets, then only one more, allows me to finish.

    That story could have been about creating profitable trading systems, developing a new database, or recovering from a set-back.  It's about finding a way, regardless of external circumstances.

    Finding a Way to Do Just a Little Bit More.

    There are many times that it seems easier to do nothing, or to give up. That's just not my nature. It's not in my "nurture" either.

    My father used to say that the secret to success was getting up. What he meant was that if someone knocked you down 10 times, then the secret to success was getting up 11 times. And if someone knocked you down another time, then the secret was to get up 12 times. There's a lot of truth in that.

    I laugh when I think of all the little things I do that condition me to take the best next step. Here are a few examples of small things that help define that mindset.

    • I never stop reading until I finish a chapter.
    • Also, when I play a strategy game on my iPhone, I never stop until I win.
    • And, when I play a strategy game that I'm good at, I never stop until I achieve a certain score. 

    It doesn't matter if I'm frustrated or tired.  I find a way.  Each of these things, in its own small way, helps condition me to know that I can do anything I commit to do.  Ultimately, what that means is that regardless of what happens, my outcome depends most on what I choose to do.

    Sometimes these habits seem silly, quirky, or even a little bit OCD to me. Yet, they serve me.

    Many benefits come from knowing that the game's not over until you say it is … or until you win.

    Moreover, it's comforting to know that there's always a best next step, or at least a different perspective that will create new opportunities and possibilities.

    Nike-just-do-itI tend to take that perspective in business as well. We focus on the progress we're making, and what that makes possible, rather than how far we are from the ultimate goal. Why? Because as we continue to make progress, the things we shoot for are bigger and farther away. Focusing there would always show a shortfall. Obstacles and set-backs become the raw material for new growth, ideas and strategies.  The trick is getting back up, isn't it?

    Sometimes the best advice is simple. Nike got it right in their ad … Just Do It.

  • Here Are Some Links For Your Weekly Reading – June 17th, 2017

    The new normal.

     
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    Here are some of the posts that caught my eye. Hope you find something interesting.

     

    Lighter Links:

    Trading Links:

  • JIM ROGERS: “The Worst Crash In Our Lifetime Is Coming”

    Jim Rogers knows a thing or two about markets.  He is a successful investor and businessman (and was a co-founder of the Quantum Funds).

    He recently talked about his expectations for the next couple of years.  It's worth watching.

     

    Jim predicts a crash within the next year (due to the bubble on many stocks popping). 

    There are many things that could be the catalyst for the fall, but he predicts it will be not only the worst in your lifetime, but also in his lifetime (and he's pretty old!).

     

    Blodget: Can anybody rescue us?

    Rogers: They will try. What’s going to happen is they’re going to raise interest rates some more. Then when things start going really bad, people are going to call and say, "You must save me. It’s Western civilization. It’s going to collapse." And the Fed, who is made up of bureaucrats and politicians, will say, "Well, we better do something." And they’ll try, but it won’t work. It’ll cause some rallies, but it won’t work this time.

    Blodget: And we are in a situation where Western civilization already seems to be possibly collapsing, even with the market going up all the time. Often when you do have a financial calamity, you get huge turmoil in the political system. What happens politically if that happens?

    Rogers: Well, that’s why I moved to Asia. My children speak Mandarin because of what’s coming.

    You’re going to see governments fail. You’re going to see countries fail, this time around. Iceland failed last time. Other countries fail. You’re going to see more of that.

    You’re going to see parties disappear. You’re going to see institutions that have been around for a long time — Lehman Brothers had been around over 150 years. Gone. Not even a memory for most people. You’re going to see a lot more of that next around, whether it’s museums or hospitals or universities or financial firms.

     

    Scary stuff.

    What do you think is going to happen?

    If our current actions are leading us towards a crash, what will stop it?

    How will Algo trading help or hurt the outcome for the masses (and the few)?

  • Postmodern Jukebox’s Cool Cover of “Creep” [Music Video]

    Creativity isn't limited to creation.  

    Sometimes how you approach something changes it. 

    For example, in music, there are some pretty famous covers that "beat" (or revitalize) the original. 

    • Aretha Franklin's Respect (An Otis Redding song) is so familiar that it seems like it's the original.
    • Disturbed's The Sound of Silence (A Simon&Garfunkel song) has a whopping 236 million views on YouTube.
    • Johnny Cash's version of Hurt (A Nine Inch Nails song) has over 50 million views on YouTube.

    If you want to stretch it … how about a death metal version of Mary Poppins?

    Some bands exist primarily to do covers.  Few do it like Postmodern Jukebox, which an avid following – and an abundance of talent.    

    Here is one of their hits, a torch song inspired version of "Creep" by Radiohead.  Worth a listen.

     

    As I was putting this together, I came across a different version of Creep played on a Gayageum (a traditional Korean instrument).  

    Different … but interesting.

    There are many ways to approach almost everything.