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Showing posts from July, 2008

Sub-prime Crisis for Dummies

THE CLOUD OF SUB-PRIME CRISIS JUST GOT HEAVIER, DARKER AND LARGER. The New York Times reported that the Federal Government may assume direct control of the two of the biggest mortgage-finance companies in the US to bail them out: Fannie Mae and Freddie Mac. These two have nearly 45% of mortgage market share between them, and could potentially tank about USD 5 trillion if they go down. On the other hand, the bail-out of this magnitude might blow away credibility of USD, and imperilling the Fed budget. [Left: Nose-dive - from USD 70 per share last year to USD 9 per share. source: Reuters.com] There is a sense of politics being involved since the NYT report of "nationalization" came out earlier this week. This further took a large chip off the share prices of both and the decline continued for the whole week in spite of confident building reports from the promoters. Fannie Mae's stock, for one, has lost most of its value, swooning from peaks around $70 in August 2007 to

HBR: "The Right Way To Be Fired"

NO EMPLOYMENT CONTRACT HAS A PERMANENCY CLAUSE. The category "permanent employee" is only to differentiate one from temps - both remain time-bound nonetheless. There may be a clause in the employment contract talking about retirement age of an employee, and rather misleadingly, that might go on to give an impression to the newly joined that her job is secure and permanent until the age of say 60 years. However, in reality that section of the employment terms is just another clause suggesting when would you be required to leave your present job. As the "globalization" story propagates to more and more regions and industries, it is getting increasingly important, especially to the optimistic lot like myself too young for that retirement age yet, that the realities of the impermanent nature of jobs and employment be realised, the sooner the better, such that one can make a more informed and rewarding career planning. They also call it acting "professional".

"mind × the + gap" overhauled (July '08)

AFTER SPENDING NEARLY 6 MONTHS under the old 'skin', I thought it was almost time to give " Mind the Gap " an overhaul in look-and-feel. And trust me, it turned out to be a worthwhile and satisfying weekend indeed: Loading up Photoshop for 'grafix' on one hand and coding/debugging xHTML, css, js, and the whole of tech jargon on the other. Almost reliving the time ten years ago, the dot-com boom, and designing, developing and coding of websites with a passion of a rather naive young rookie, just "out-of-the-box" programmer! It was annoying to some degree that Google has most of its products and services under Beta - and they never seem to move out of wrappers. You hardly see any changes or progress. In specifics, I was not happy at all with the tiny collection of templates that are available by default with the Blogger system (have you ever visited any of those beautiful WordPress or LiveJournal pages of your friends (or competition) that left you

4th of July, The US National Anthem, and Outsourcing

THE U. S. CELEBRATES ITS INDEPENDENCE DAY TODAY, July 4th. The custom involves the state sponsored fireworks accompanied by songs such as the National Anthem - The Star-Spangled Banner . [Right: A Ganges-class ship, to which HMS Minden belonged, at war with French Navy in 1806.] The national anthem, which originally was a poem titled "Defence of Fort McHenry" was written by one Francis Scott Key. Mr. Key, a lawyer by profession, was visiting certain British officials at Royal Navy ships at that time. The point in case here is that the ship HMS Minden , a Ganges-class ship, aboard which this national anthem is first conceived and written was Made in India . The ship was built by one Mr. Jamshedji Bomanji Wadia, a merchant of Bombay. And by this account of trivia, the Outsourcing relationship, as it were, between the US and India is as old as 1801 when this ship was first built at Bombay dockyard, one of the best ship-building dockyards of the world at the time. Happy 4

Who Pockets the Extra Money I Pay For Gas?

THERE IS NO PLACE CALLED "KING ABDULLAH ECONOMIC CITY" in the world as of now. But perhaps it wouldn't be long before we see a spot on Google Earth with such a name having 3 million in population, partly thanks to the sky-rocketing Oil prices. Interesting Headlines: "The Crude At Rude Prices" and "Oil Crises called Oil Prices" The crude prices reached a historical record USD 145 per barrel - nearly doubling compared to the previous year. A barrel holds 42 US gallons or about 159 litres of crude oil, making it USD 0.91 for 1 litre - almost double from USD 0.44 per dollar last year. This is the purchasing price of crude oil from the OPEC countries, and is not yet usable. The actual process is much more complicated, but at a very high level, it follows steps like transport it, refine it, process it, transport it again, store it, distribute it and make available at the local gas station. This adds additional costs to the original purchase price of Oil.