38 karma · joined May 16, 2008
The argument is that Intel is selling chips that at their out-of-the-box recommended use patterns can wear out extra quickly, and by default are over-volted. So it's not a "flaw" so much as not having a great engineering safety margin for premature wear.
And remember, you are assuming a zero-net-revenue change.
Maybe your former non-tipping customers would see that 6-7% increase and leave, but your former tipping customers (who may be price sensitive, but tipped because they believe in it) would see a decrease in pricing, from a 20% gratuity reduced to a 6-7% price overhead. And some of them would probably still tip anyway.
This is a site that hosts 148-character text strings.
Archer-Daniels Midland, oils, feed, ethanol, corn syrup (rev $65 B)
Sysco, restaurant supply (rev $55B)
Tyson, chicken (rev $44B)
Cargill, like ADM, oils, feed, ag products (rev $113B)
But, I'm not sure your math is quite on the money either.
First, it illustrates an MRI story with a (mislabeled) picture of a CT scanner.
Then, it overestimates the volume of gas expelled by a factor of 1000.
170L X 750 = 90k L = 90m^3.
This would fill a 35m^2 (about 350 sq ft) room, maybe the size of a living room, with pure helium.
In the A scenario, the A traders sell immediately, and act upon receipt of the inside information, rather than react to each other, so the information is furnished to the market gradually by all A traders.
Please tell me in more detail what you think of the scenario that I posed, and how it makes the point of the article.
Quick question: which of these scenarios do you think captures the mentality of an inside trader?
A: I NEVER hold shares in companies that I do not fully believe in, and I ALWAYS take a long position. If I get inside information that a company is in trouble, I will immediately liquidate my position-- it may not blow up on me today, or tomorrow, or even this year, but I trust that sooner or later the stock price will take a dive, and I want to be long gone when that happens.
B: I have inside information that a company is in trouble. I don't know when it will blow up, but I do know that I have an edge on everybody else who doesn't know what I know. So, I should ride the stock all the way up, as long as it keeps going up, and short it on the first sign of trouble on the technical indicators. This way, I can make my money on both ends-- the up and the down.
One of these strategies will act to reduce volatility, and the other will enhance it.