[meteorite-list] Meteorite economics revisited
From: Adam Hupe <adamhupe_at_meteoritecentral.com>
Date: Thu Apr 22 10:32:45 2004 Message-ID: <012601c40155$3cef9a40$62f61018_at_attbi.com> This is a multi-part message in MIME format. ------=_NextPart_000_0123_01C40112.2DF9C800 Content-Type: text/plain; charset="iso-8859-1" Content-Transfer-Encoding: quoted-printable Commodity Definition A physical substance, such as food, grains, and metals, which is = interchangeable with another product of the same type, and which = investors buy or sell, through futures contracts. The price of the = commodity is subject to supply and demand. Risk is actually the reason = exchange trading of basic agricultural products began. For example, a = farmer risks the cost of producing a product ready for market at = sometime in the future because he doesn't know what the selling price = will be. More generally, a product which trades on a commodity exchange, this = would also include foreign currencies and financial instruments and = indexes. This is the business definition of a commodity =20 ----- Original Message -----=20 From: Sharkkb8_at_aol.com=20 To: adamhupe_at_comcast.net ; ROBERT.D.MATSON@saic.com=20 Cc: meteorite-list_at_meteoritecentral.com=20 Sent: Wednesday, March 03, 2004 11:07 AM Subject: Re: [meteorite-list] Meteorite economics revisited adamhupe_at_comcast.net writes: dealers sometimes do set the prices. It then becomes a matter of = trust for collectors that they are not paying too much.=20 Spoken from a true seller's perspective. ;-) Sellers can think that = they set the prices, but they simply don't. A dollar-per-gram number is = not a true "price" until it's willingly paid, and only a buyer can = decide to willingly pay. If all "honest dealers" decided tomorrow (with = no interference from "rogue" sellers ;-) that the "price" of Gao was = $10,000/gram, that would just be a number printed in a lot of catalogs, = it wouldn't actually be "The Price of Gao". It wouldn't be a = dealer-decided price because no one would be paying it. Dealers would = have to keep lowering the price until buyers started consistently = buying......voila, look who "set" the price.=20 The standard business supply and demand argument only works for true commodities not for meteorites in all cases. This is because no two falls are alike just = like no two pieces of fine art are alike. Is fine art a commodity in the = business sense? =20 Yes, it absolutely is. I've been in the business side of the artistic = community for thirty years, and I believe there are ZERO economic = differences between art commerce and meteorite commerce and bread = commerce and CD-player commerce - merely minor variations of the same = unbreakable rules. Gregory J. Gregory Wilson 2118 Wilshire Blvd. #918 Santa Monica, CA 90403 ------=_NextPart_000_0123_01C40112.2DF9C800 Content-Type: text/html; charset="iso-8859-1" Content-Transfer-Encoding: quoted-printable <!DOCTYPE HTML PUBLIC "-//W3C//DTD HTML 4.0 Transitional//EN"> <HTML><HEAD> <META http-equiv=3DContent-Type content=3D"text/html; = charset=3Diso-8859-1"> <META content=3D"MSHTML 6.00.2800.1106" name=3DGENERATOR> <STYLE></STYLE> </HEAD> <BODY style=3D"FONT-SIZE: 10pt; FONT-FAMILY: Arial; BACKGROUND-COLOR: = #ffffff"=20 bgColor=3D#ffffff> <DIV><FONT size=3D2> <P>Commodity Definition</P> <P>A physical substance, such as food, grains, and metals, which is=20 interchangeable with another product of the same type, and which = investors buy=20 or sell, through futures contracts. The price of the commodity is = subject to=20 supply and demand. Risk is actually the reason exchange trading of basic = agricultural products began. For example, a farmer risks the cost of = producing a=20 product ready for market at sometime in the future because he doesn't = know what=20 the selling price will be.</P> <P>More generally, a product which trades on a commodity exchange, this = would=20 also include foreign currencies and financial instruments and = indexes.</P> <P>This is the business definition of a commodity</P> <P> </P></FONT></DIV> <BLOCKQUOTE dir=3Dltr=20 style=3D"PADDING-RIGHT: 0px; PADDING-LEFT: 5px; MARGIN-LEFT: 5px; = BORDER-LEFT: #000000 2px solid; MARGIN-RIGHT: 0px"> <DIV style=3D"FONT: 10pt arial">----- Original Message ----- </DIV> <DIV=20 style=3D"BACKGROUND: #e4e4e4; FONT: 10pt arial; font-color: = black"><B>From:</B>=20 <A title=3DSharkkb8_at_aol.com = href=3D"mailto:Sharkkb8_at_aol.com">Sharkkb8@aol.com</A>=20 </DIV> <DIV style=3D"FONT: 10pt arial"><B>To:</B> <A = title=3Dadamhupe_at_comcast.net=20 href=3D"mailto:adamhupe_at_comcast.net">adamhupe@comcast.net</A> ; <A=20 title=3DROBERT.D.MATSON_at_saic.com=20 href=3D"mailto:ROBERT.D.MATSON_at_saic.com">ROBERT.D.MATSON@saic.com</A> = </DIV> <DIV style=3D"FONT: 10pt arial"><B>Cc:</B> <A=20 title=3Dmeteorite-list_at_meteoritecentral.com=20 = href=3D"mailto:meteorite-list_at_meteoritecentral.com">meteorite-list@meteor= itecentral.com</A>=20 </DIV> <DIV style=3D"FONT: 10pt arial"><B>Sent:</B> Wednesday, March 03, 2004 = 11:07=20 AM</DIV> <DIV style=3D"FONT: 10pt arial"><B>Subject:</B> Re: [meteorite-list] = Meteorite=20 economics revisited</DIV> <DIV><BR></DIV> <DIV> <DIV> <A title=3Dmailto:adamhupe_at_comcast.net=20 href=3D"mailto:adamhupe_at_comcast.net">adamhupe@comcast.net</A> = writes:</DIV> <BLOCKQUOTE=20 style=3D"PADDING-LEFT: 5px; MARGIN-LEFT: 5px; BORDER-LEFT: blue 2px = solid"><FONT=20 face=3DArial>dealers sometimes do set the prices. It then = becomes a=20 matter of trust<BR>for collectors that they are not paying too=20 much. </FONT></BLOCKQUOTE> <DIV>Spoken from a true seller's perspective. ;-) = Sellers=20 can <EM>think</EM> that they set the prices, but they simply=20 don't. A dollar-per-gram number is not a true "price" until = it's=20 willingly paid, and only a buyer can decide to willingly=20 pay. If all "honest dealers" decided tomorrow (with no = interference from "rogue" sellers ;-) that the "price" of Gao = was=20 $10,000/gram, that would just be a number printed in a lot of = catalogs, it=20 wouldn't actually be "The Price of Gao". It wouldn't be a=20 dealer-decided price because no one would be paying it. Dealers = would=20 have to keep lowering the price until buyers started consistently=20 buying......voila, look who "set" the price. </DIV> <BLOCKQUOTE=20 style=3D"PADDING-LEFT: 5px; MARGIN-LEFT: 5px; BORDER-LEFT: blue 2px = solid"><FONT=20 face=3DArial>The standard business<BR>supply and demand argument = only works=20 for true commodities not for<BR>meteorites in all cases. This is = because no=20 two falls are alike just like no<BR>two pieces of fine art are = alike. =20 Is fine art a commodity in the business<BR>sense? = </FONT></BLOCKQUOTE> <DIV>Yes, it absolutely is. I've been in the business side of = the=20 artistic community for thirty years, and I believe = there are ZERO=20 economic differences between art commerce and meteorite commerce and = bread=20 commerce and CD-player commerce - merely minor = variations of=20 the same unbreakable rules.</DIV></DIV> <DIV> </DIV> <DIV><FONT lang=3D0 face=3DArial size=3D2 FAMILY=3D"SANSSERIF"=20 PTSIZE=3D"10"></FONT><FONT lang=3D0 face=3DArial color=3D#ff0000 = size=3D3=20 FAMILY=3D"SANSSERIF" PTSIZE=3D"12"></FONT><FONT lang=3D0 face=3D"Comic = Sans MS"=20 color=3D#ff0000 size=3D3 FAMILY=3D"SCRIPT" = PTSIZE=3D"12">Gregory</FONT><FONT lang=3D0=20 face=3DArial color=3D#000000 size=3D2 FAMILY=3D"SANSSERIF" = PTSIZE=3D"10"><BR><BR>J.=20 Gregory Wilson<BR>2118 Wilshire Blvd. #918<BR>Santa Monica, CA=20 90403</FONT></DIV></BLOCKQUOTE></BODY></HTML> ------=_NextPart_000_0123_01C40112.2DF9C800-- Received on Wed 03 Mar 2004 02:25:06 PM PST |
 StumbleUpon del.icio.us reddit Yahoo MyWeb
|