The first road trip:magesh,me,frank and bala. an apache rtr FI and a tvs flame. The journey started by 2pm, bala and me starting from my house when frank joined us at ukkadam. we went went on to kuniamuthur to pick up magesh. Inspite of google’s predictions of heavy shower we carried on with the route to dhyanalingam.Google was right and in few minutes with the sky poured down like the corporation water pipes(arrgh!).awright.it was 30 km from my place. and it took us like an hour and a half to reach the destination!. not forget, we stopped half way to get miranda and then throttled all along. The main part of it was the beauty of the lush green mapping all our way on either side. we reached there by 4 or half past four. [For who havent been there] The main attraction of dhyanalingam is the humongous large Shiva lingam. Which is located inside a doom shaped structure of excellent architecture. The doom is low lit and is so serene for meditation. it gives u that unexplainable peace and silence there. yeah, after spending some 15 mins there. we back out of it in the foodcourt. We had 2 rounds of sandwich and tea,it was 6pm. The sun going down, we started our engines. The rain was still rushing with all might.We sped along the same path. and were in magesh’s place at 8. After few photo sessions and some exchange of words between frank and bala (words i mean! :P) we dotted our way back home.AS A WHOLE!. it was an excellent day and it was FIRST ROAD TRIP in college.
P.S: Sorry people i didnt have my camera, so was not able to post any pics of the trip 😦 .
(for those who havent seen dhyanalingam yet,its a must see!)
I know its too late to muse and talk about the recession and the dip in the economy of the developed and the developing nations. but still i found this article very CLEAR and explaining the very reason of the recession.
here it goes.
Once there was a little island country. The land of this country was the tiny island itself. The total money in circulation was 2 dollars as there were only two pieces of 1 dollar coins circulating around.
1) There were 3 citizens living on this island country. A owned the land. B and C each owned 1 dollar.
2) B decided to purchase the land from A for 1 dollar. So, now A and C own 1 dollar each while B owned a piece of land that is worth 1 dollar.
* The net asset of the country now = 3 dollars.
3) Now C thought that since there is only one piece of land in the country, and land is non producible asset, its value must definitely go up. So, he borrowed 1 dollar from A, and together with his own 1 dollar, he bought the land from B for 2 dollars.
*A has a loan to C of 1 dollar, so his net asset is 1 dollar.
* B sold his land and got 2 dollars, so his net asset is 2 dollars.
* C owned the piece of land worth 2 dollars but with his 1 dollar debt to A, his net residual asset is 1 dollar.
* Thus, the net asset of the country = 4 dollars.
4) A saw that the land he once owned has risen in value. He regretted having sold it. Luckily, he has a 1 dollar loan to C. He then borrowed 2 dollars from B and acquired the land back from C for 3 dollars. The payment is by 2 dollars cash (which he borrowed) and cancellation of the 1 dollar loan to C. As a result, A now owned a piece of land that is worth 3 dollars. But since he owed B 2 dollars, his net asset is 1 dollar.
* B loaned 2 dollars to A. So his net asset is 2 dollars.
* C now has the 2 coins. His net asset is also 2 dollars.
* The net asset of the country = 5 dollars. A bubble is building up.
(5) B saw that the value of land kept rising. He also wanted to own the land. So he bought the land from A for 4 dollars. The payment is by borrowing 2 dollars from C, and cancellation of his 2 dollars loan to A.
* As a result, A has got his debt cleared and he got the 2 coins. His net asset is 2 dollars.
* B owned a piece of land that is worth 4 dollars, but since he has a debt of 2 dollars with C, his net Asset is 2 dollars.
* C loaned 2 dollars to B, so his net asset is 2 dollars.
* The net asset of the country = 6 dollars; even though, the country has only one piece of land and 2 Dollars in circulation.
(6) Everybody has made money and everybody felt happy and prosperous.
(7) One day an evil wind blew, and an evil thought came to C’s mind. “Hey, what if the land price stop going up, how could B repay my loan. There is only 2 dollars in circulation, and, I think after all the land that B owns is worth at most only 1 dollar, and no more.”
(8) A also thought the same way.
(9) Nobody wanted to buy land anymore.
* So, in the end, A owns the 2 dollar coins, his net asset is 2 dollars.
* B owed C 2 dollars and the land he owned which he thought worth 4 dollars is now 1 dollar. So his net asset is only 1 dollar.
* C has a loan of 2 dollars to B. But it is a bad debt. Although his net asset is still 2 dollars, his Heart is palpitating.
* The net asset of the country = 3 dollars again.
(10) So, who has stolen the 3 dollars from the country ? Of course, before the bubble burst B thought his land was worth 4 dollars. Actually, right before the collapse, the net asset of the country was 6 dollars on paper. B’s net asset is still 2 dollars, his heart is palpitating.
(11) B had no choice but to declare bankruptcy. C as to relinquish his 2 dollars bad debt to B, but in return he acquired the land which is worth 1 dollar now.
* A owns the 2 coins, his net asset is 2 dollars..
* B is bankrupt, his net asset is 0 dollar. ( he lost everything )
* C got no choice but end up with a land worth only 1 dollar
* The net asset of the country = 3 dollars.
************ **End of the story; BUT ************ ********* ******
There is however a redistribution of wealth.
A is the winner, B is the loser, C is lucky that he is spared.
A few points worth noting –
(1) When a bubble is building up, the debt of individuals to one another in a country is also building up.
(2) This story of the island is a closed system whereby there is no other country and hence no foreign debt. The worth of the asset can only be calculated using the island’s own currency. Hence, there is no net loss.
(3) An over-damped system is assumed when the bubble burst, meaning the land’s value did not go down to below 1 dollar.
(4) When the bubble burst, the fellow with cash is the winner. The fellows having the land or extending loan to others are the losers. The asset could shrink or in worst case, they go bankrupt.
(5) If there is another citizen D either holding a dollar or another piece of land but refrains from taking part in the game, he will neither win nor lose. But he will see the value of his money or land go up and down like a see saw.
(6) When the bubble was in the growing phase, everybody made money.
(7) If you are smart and know that you are living in a growing bubble, it is worthwhile to borrow money (like A ) and take part in the game. But you must know when you should change everything back to cash.
(8) As in the case of land, the above phenomenon applies to stocks as well.
(9) The actual worth of land or stocks depend largely on psychology (or speculation).
Its been an excellent weekend till date. 5-days holidays after the maddened periodicals(and the paper distribution(:() needn’t say),isn’t it awesome!?. The banks also declared a holiday today due to the demise of YSR,CM of andhra pradesh.From the little knowledge i had about him, i found him to be this well-educated-politician.(where in india can u find a Doctor in politics?). But effecient people don’t stay long i guess. ok, all those things apart. As, amma and appa were at home today, i got to plan this small drive to “poondi”, a place in the foothills of velingiri mountains(yeah,near dhyanalingam),a 35 km ride from coimbatore. And its a holiday with dad home,which implies i get a chance to drive the car. So we three left home by 3p.m (with me driving the car). The whole route was AMAZING!!, with full of green and small villages enroute. Fortunalety the climate was also soo obliging,with those cold breeze and drizzle.It took us 1 hr to reach the place,where you have this very old shivan temple. Well, myself and dad have this habit of having chai during the drive and with the climate being so germane,the chai along with the britannia biscuits tasted great.After the visit to the temple and few photo sessions we started back home and reached by 6 p.m. That was the end of the trip. Where do we go for the next weekend dad? 😉
A few pics of the vellingiri hills.
My first blog. :). Just another effort to portray myelf to this world. Pen down my thoughts and speak some stuffs which i think needs some introspection. And here goes my first post online!*crowd public cheers!*.