Subject: Re: Tom W. Bell paper
From: Don Marti <dmarti@zgp.org>
Date: Sat, 2 Sep 2006 20:37:31 -0700

begin Thomas Lord quotation of Sat, Sep 02, 2006 at 12:50:46AM -0700:
> Don Marti wrote:
> >As an electricity customer, you're already taking
> >risks in the energy market.  What if you could offset
> >those risks by taking a position on the "no" side
> >of the energy-efficient computer prediction market?
> >Yes, the market is just moving risk, but it's not just
> >moving it from one R&D area to another, but into R&D
> >from a non-R&D market.
> 
> Wouldn't that hedge be more efficient if I did it by shorting
> shares in projects that aimed at bringing to market patented
> implementations of energy-efficient computing?

So first Intel, AMD, VIA, Sun would all break out
their energy-efficiency research into separate
securities, then you'd have to short all of them,
or someone would have to set up a mutual fund for you
to short?  And then there's the transaction costs of
the patent system as well as the transaction costs
of trading multiple securities per public company?
I don't see how this wouldn't have way more
transaction costs than the Bell proposal.

-- 
Don Marti                    
http://zgp.org/~dmarti/
dmarti@zgp.org           LinuxWorld: August 14-17, 2006, San Francisco