mobile money

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pages: 140 words: 91,067

Money, Real Quick: The Story of M-PESA by Tonny K. Omwansa, Nicholas P. Sullivan, The Guardian

BRICs, business process, business process outsourcing, call centre, cashless society, cloud computing, creative destruction, crowdsourcing, delayed gratification, dematerialisation, disruptive innovation, financial exclusion, financial innovation, financial intermediation, income per capita, Kibera, Kickstarter, M-Pesa, microcredit, mobile money, Network effects, new economy, reserve currency, Silicon Valley, software as a service, transaction costs

“Surely this can and must be replicated in other similar countries, many of which have better starting conditions than we had in Kenya,” says Michael Joseph, who since his retirement as CEO has become a global mobile money booster for the World Bank and later Vodafone. True, but so far, false. Disappointment in the scale and impact of mobile money is real. Part of ******ebook converter DEMO Watermarks******* the problem has been caused by the expectation that mobile money would automatically and effectively “bank the unbanked.” But unlike microfinance, which was also over-hyped as a way to end poverty, mobile money must scale quickly if it is to actually take hold, let alone deliver results. Thus, in looking forward, the focus should be first on the business implementation to scale and profit, rather than the notion of financial inclusion. Providers also need to take a broader view of the mobile money ecosystem. Most telecoms typically see mobile money as an opportunity to cross-sell another service to their existing customers, and in the process create stickiness for prepaid mobile services, which carry no contracts.

For mobile operators, the issue is interoperability between mobile money providers. For banks, the issue is leveling the playing field with regulations for cash merchants and bank agents. Interoperability between mobile money services Most mobile money operators seek to establish themselves on a standalone basis and see interconnecting with other operators as a longer-term issue. Early movers do not see much benefit in sharing their hard work with laggards, nor do they relish the complexity of negotiating with their competitors. However, a lack of interconnection can easily make it that much harder for mobile money services to scale fast. This, of course, was not the case with M-PESA, but you could argue that even in Kenya mobile money would be significantly more pervasive and effective if services were interoperable.

VISA bought Fundamo, a South African-based provider of platform services for mobile money services in 40 countries, and has allayed with MTN Mobile Money. It’s too early to know how well these and other brands will be able to translate their grandiose visions into practical, trustworthy mobile money schemes that are tailored for local conditions and satisfy local regulators. Certainly they will squeeze more and more cash out of the system. That said, mobile money has been a real shot in the arm for Kenya. Nairobi’s natural role as the business capital of East Africa has been solidified, and it is transforming into a global business capital. Kenyatta International Airport is besieged with hordes of visiting consultants and businesspeople, from Africa and the rest of the world. Everyone wants to witness first-hand the mobile money revolution, to unlock the code and bring it home or to another country.


pages: 383 words: 81,118

Matchmakers: The New Economics of Multisided Platforms by David S. Evans, Richard Schmalensee

Airbnb, Alvin Roth, big-box store, business process, cashless society, Chuck Templeton: OpenTable:, creative destruction, Deng Xiaoping, disruptive innovation, if you build it, they will come, information asymmetry, Internet Archive, invention of movable type, invention of the printing press, invention of the telegraph, invention of the telephone, Jean Tirole, John Markoff, Lyft, M-Pesa, market friction, market microstructure, mobile money, multi-sided market, Network effects, Productivity paradox, profit maximization, purchasing power parity, QR code, ride hailing / ride sharing, sharing economy, Silicon Valley, Snapchat, Steve Jobs, Tim Cook: Apple, transaction costs, two-sided market, Uber for X, uber lyft, ubercab, Victor Gruen, winner-take-all economy

Less than ten years later, in 2014, more than 84 percent of Kenyan mobile phone users, including many of the very poor, were able to use their mobile phones to transfer money to each other, to pay their bills, and to pay at stores.7 People can now also use new financial services available through their mobile money accounts to save money and take out loans, and many do.8 Increasingly, stores are accepting mobile money for payment. The way this happened in Kenya is a remarkable story of how a company figured out how to ignite a multisided platform in trying circumstances, to massively reduce important market frictions, and to provide financial services to millions of impoverished people. And it is a story of how multisided platforms—M-PESA and other mobile money schemes that have started in Kenya and elsewhere—are leapfrogging traditional industries. Kenyans don’t need to rely on banks for many financial services. And while it is too soon to tell, Kenyan merchants and consumers may end up using mobile money instead of traditional payment cards and point-of-sale equipment.

In early 2015, the KCB Bank Group launched a program in partnership with M-PESA. This program allowed users to access loans of between KShs 50 and KShs 1 million ($0.565–$11,300), due in one to six months, at interest rates between 4 percent and 12 percent. M-PESA and the other mobile money schemes replace many of the services that traditional banks would provide. People can use mobile money as they would a depository account. They can obtain access to that account through CICO agents instead of bank branches. And they can get various financial services through their mobile money account. Although the mobile money schemes collaborate with banks for some things, they make banks irrelevant for many other things. M-PESA, on its own, introduced a payments system in mid-2013. Lipa Na M-PESA enables brick-and-mortar merchants to receive payments from M-PESA users (Lipa Na means “pay with” in Swahili).

Africa Rising M-PESA has shown the way for countries in the rest of Africa to bring financial services to people across the income spectrum, from the poorest rural farmer to rich urban executives. Mobile money schemes have started in thirty-seven of fifty-four African countries.21 So far, though, in only eight nations, shown in Table 11-2, have these schemes cracked the chicken-and-egg problem and obtained significant growth and penetration.22 Others are sure to follow, though, since M-PESA, as a pioneering platform, has shown a way to do it successfully and has demonstrated that successful mobile money schemes can speed up economic development by leapfrogging traditional banking and payment cards. TABLE 11-2 African countries where mobile money schemes took off Country Côte d’Ivoire Ghana Kenya Rwanda Somaliland Uganda Tanzania Zimbabwe Note: Mobile money has taken off in Somaliland, which is part of Somalia; it is currently not recognized as a country, however.


pages: 275 words: 77,017

The End of Money: Counterfeiters, Preachers, Techies, Dreamers--And the Coming Cashless Society by David Wolman

addicted to oil, Bay Area Rapid Transit, Berlin Wall, Bernie Madoff, bitcoin, Bretton Woods, carbon footprint, cashless society, central bank independence, collateralized debt obligation, corporate social responsibility, credit crunch, cross-subsidies, Diane Coyle, fiat currency, financial innovation, floating exchange rates, German hyperinflation, greed is good, Isaac Newton, Kickstarter, M-Pesa, Mahatma Gandhi, mental accounting, mobile money, money: store of value / unit of account / medium of exchange, offshore financial centre, P = NP, Peter Thiel, place-making, placebo effect, Ponzi scheme, Ronald Reagan, seigniorage, Silicon Valley, special drawing rights, Steven Levy, the payments system, transaction costs, WikiLeaks

nl. 5 Bharti Airtel’s Pallab Mitra, from interview notes; The Economist, September 26, 2009, special report on mobile money, p. 4; and Associated Press, “More Cell Phones than Loos in India,” (Portland) Oregonian, October 31, 2010. 6 Andrew Steckl, Cincinnati University nanotechnology researcher, personal interview, December 2010. 7 “The Apparatgeist Calls,” The Economist, January 2, 2010. 8 “Calling Freedom,” The Economist, December 19, 2009. 9 GSMA, “Mobile Money for the Unbanked,” annual report (pdf sent by D. Lowther of GSMA); and http://mmublog.org/global/gsma-publish-2010-mobile-money-for-the-unbanked-annual-report-2/. 10 http://www.npr.org/2011/01/05/132679772/mobile-money-revolution-aids-kenyas-poor-economy. 11 Ignacio Mas, personal interview. 12 http://dailycaller.com/2010/04/10/kenya-owes-monetary-advances-to-imf-world-bank/; and http://allafrica.com/stories/201010240045.html. 13 http://technology.cgap.org/technologyblog/wp-content/uploads/2009/10/fsd_june2009_caroline_pulver.pdf (p. 27). 14 “South Korea Ready to Hang up Cash,” BBC News, February 13, 2009. 15 “Mercy Corps Mobile Wallet Innovation Brings Purchasing Power to Haitians’ Cell Phones,” (Portland) Oregonian, December 27, 2010. 16 “Sweden Weighs Benefits of Ditching Cash,” BBC News, July 17, 2010; also “Central Bank Wants Cashless Society,” nationmultimedia.com, October 27, 2009. 17 Hitachi group, personal interview, June 2010. 18 https://www.paypal-media.com/documentdisplay.cfm?

Make everyone think what you’re doing is distributing it, because that is what you’re doing, pushing it out to those villages.” That’s what mobile money can do, by way of so many thousands, even millions, of stores throughout the world providing the conversion service to people in the countryside, who receive payments from relatives or customers in cities, where wealth is disproportionately concentrated. That in turn brings business and prosperity into rural areas that badly need it. What that also does, however, is further marginalize cash. Before long, the baker where the Afghani cops buy bread, the store where the Kenyan farmer buys seed, and the pay-as-you-go medical clinic in the mountains of Mexico will all accept payment via mobile money. They will prefer it, for the same boatload of reasons about cash’s costs and risks that so infuriate Dave Birch.

It’s too massive, too variable, and, despite ballistic economic growth, too poor. Yet if mobile money systems really are going to help curb poverty and marginalize cash the way evangelists predict, they must become as diffuse and pervasive as physical money. “The whole premise is to make it really, really big,” says Mas. Big means “widely accepted,” because new forms of money have to be if they’re truly going to challenge cash. It also means big business. Without operating on huge scales, there’s little incentive for banks or telecom companies to invest in these systems, because the users themselves have little money. Collecting tiny fees from 10,000 customers and ten million are markedly different business propositions. “Because it’s so massive, and the need so pronounced, India is the ultimate proof of principle for mobile money,” says Mas. If it can work there, the impact and long-term viability of this technology will be undeniable.


pages: 275 words: 84,980

Before Babylon, Beyond Bitcoin: From Money That We Understand to Money That Understands Us (Perspectives) by David Birch

agricultural Revolution, Airbnb, bank run, banks create money, bitcoin, blockchain, Bretton Woods, British Empire, Broken windows theory, Burning Man, business cycle, capital controls, cashless society, Clayton Christensen, clockwork universe, creative destruction, credit crunch, cross-subsidies, crowdsourcing, cryptocurrency, David Graeber, dematerialisation, Diane Coyle, disruptive innovation, distributed ledger, double entry bookkeeping, Ethereum, ethereum blockchain, facts on the ground, fault tolerance, fiat currency, financial exclusion, financial innovation, financial intermediation, floating exchange rates, Fractional reserve banking, index card, informal economy, Internet of things, invention of the printing press, invention of the telegraph, invention of the telephone, invisible hand, Irish bank strikes, Isaac Newton, Jane Jacobs, Kenneth Rogoff, knowledge economy, Kuwabatake Sanjuro: assassination market, large denomination, M-Pesa, market clearing, market fundamentalism, Marshall McLuhan, Martin Wolf, mobile money, money: store of value / unit of account / medium of exchange, new economy, Northern Rock, Pingit, prediction markets, price stability, QR code, quantitative easing, railway mania, Ralph Waldo Emerson, Real Time Gross Settlement, reserve currency, Satoshi Nakamoto, seigniorage, Silicon Valley, smart contracts, social graph, special drawing rights, technoutopianism, the payments system, The Wealth of Nations by Adam Smith, too big to fail, transaction costs, tulip mania, wage slave, Washington Consensus, wikimedia commons

A remote example? Not at all, and not only on the web. It’s exactly the situation in, for example, Zimbabwe today, and it looks as if private industry is going to have a go! There are several mobile money schemes there, with many banks connecting to the ‘ZimSwitch’ mobile banking platform. (As an aside, in his splendid book Good Money George Selgin asks why the private mints put so much effort and invention into creating such high-quality tokens and suggests that marketing was one of the key reasons: because high-quality tokens were good publicity – adverts for the skills of the companies involved. I wonder if mobile money services will similarly serve to advertise the competencies of mobile operators?) These tokens gained rapid acceptance and by 1795 the problem of small change was almost solved with the official (or ‘Tower’) coins trading at a discount against the private alternatives.

One clear message from studying these factors in Kenya is that different groups will have different reasons for wanting to shift from cash to digital alternatives (Iazzolino and Wasike 2015). The non-rational, non-calculative approach helps to explain the dynamic in Kenya, where mobile money is replacing cash but cards are not. Central Bank of Kenya statistics show a decline in the use of credit and debit cards, despite the fact that an increasing number of Kenyans hold them. There are more than ten million debit cards in Kenya (and around 160,000 credit cards) but only 4 per cent of Kenyans use credit and debit cards for shopping. The study referred to above talks about the embedding of ‘financial devices’ in social structures, remarking that ‘how cash, payment cards and mobile money are used and what they stand for are entwined issues’, using the case study of chama gatherings, where people want to be seen pooling money in a public act.

M-Pesa is widely used, but it clearly isn’t part of Kenyan M0 since the ultimate liability for the M-Pesa balances rests with the commercial banks where the float is deposited (M-Pesa has a 100 per cent reserve). The fact that it isn’t part of M0 is a potential problem, however, from the government’s point of view. If M-Pesa keeps growing and M0 keeps shrinking, this deprives the state of seigniorage revenue. This has indeed happened, and the Kenyan government decided to compensate with a special tax on mobile money operators (a 10 per cent duty on transaction fees for all mobile money transfer services provided by cellular phone providers, banks, money transfer agencies and other financial service providers was introduced in a 2012 Finance Act there). The predictable impact of this was that Safaricom (Kenya’s largest taxpayer) put up its M-Pesa fees by 10 per cent. So just as the unbanked trapped in a cash economy pay the stealth tax on notes and coins, so too are they paying the not-so-stealthy tax for the replacement.


pages: 329 words: 95,309

Digital Bank: Strategies for Launching or Becoming a Digital Bank by Chris Skinner

algorithmic trading, AltaVista, Amazon Web Services, Any sufficiently advanced technology is indistinguishable from magic, augmented reality, bank run, Basel III, bitcoin, business cycle, business intelligence, business process, business process outsourcing, buy and hold, call centre, cashless society, clean water, cloud computing, corporate social responsibility, credit crunch, crowdsourcing, cryptocurrency, demand response, disintermediation, don't be evil, en.wikipedia.org, fault tolerance, fiat currency, financial innovation, Google Glasses, high net worth, informal economy, Infrastructure as a Service, Internet of things, Jeff Bezos, Kevin Kelly, Kickstarter, M-Pesa, margin call, mass affluent, MITM: man-in-the-middle, mobile money, Mohammed Bouazizi, new economy, Northern Rock, Occupy movement, Pingit, platform as a service, Ponzi scheme, prediction markets, pre–internet, QR code, quantitative easing, ransomware, reserve currency, RFID, Satoshi Nakamoto, Silicon Valley, smart cities, social intelligence, software as a service, Steve Jobs, strong AI, Stuxnet, trade route, unbanked and underbanked, underbanked, upwardly mobile, We are the 99%, web application, WikiLeaks, Y2K

On a general point, our view is that if you fast forward five years you will see every local mobile operator in the developing world offer a mobile money product, where it’s allowed by regulation. If you look back, you had Smart and Globe telecom in the Philippines offering mobile money products for nearly a decade, and there have been other schemes in Korea for example, but M-Pesa really re-energised interest in mobile money systems. What we were able to show with the success in Kenya is that it was possible to reach out far beyond the existing financial systems and bank structures, by leveraging the scale of the mobile airtime distribution networks. That’s why, by 2009, if you were a mobile operator and were anywhere near Africa, you had to be looking to offer some form of mobile money scheme. Looking at that restructuring, the banks have not been that supportive of such schemes have they?

By 2010, M-PESA had attracted 9.5 million customers increasing to 17 million by 2013, of which over 10 million make at least one transaction per month. Add on the other mobile money operators in Kenya and a large part of the country’s GDP is now transacted over the mobile network. For example, 142 billion Kenyan Shillings (ksh) were transacted in the month of April 2013, or $1.6 billion, which would translate into around $20 billion a year processed via the Kenyan mobile payments network in 2013. Kenya’s GDP was $37.23 billion in 2012, and so you can see how significant a proportion of the economy is now dependent upon mobile money. In addition, M-PESA converted many unbanked into banked users, with around 2.5 million bank customers in Kenya when the system launched in 2007 increasing to over ten million today.

Making a payment becomes a basic human right In conclusion, the fact that mobile phone ubiquity is creating a wirelessly connected planet, is a key part of changing our world for more inclusion. First, six billion people now have 1:1, P2P connections. You only need to look at mobile densities by continent to realise how ubiquitous these devices have become. According to a 2012 survey by the Gates Foundation, the World Bank and Gallup, more than 10% of adults said they had used mobile money in the last year and, of the 20 countries surveyed, 15 were in Africa. This is illustrated particularly well by Somalia, a country which lacks a functioning government but 34% of adults use mobile money (often to receive remittances from family members abroad). The fact is anyone, anywhere can now send and receive money anywhere, anytime. In Kenya it has created financial inclusion, where 2.5 million people had bank accounts in a country of over 40 million people in 2007 increasing to over ten million today thanks to mobile payments creating credit history and credit worthiness.


pages: 525 words: 116,295

The New Digital Age: Transforming Nations, Businesses, and Our Lives by Eric Schmidt, Jared Cohen

access to a mobile phone, additive manufacturing, airport security, Amazon Mechanical Turk, Amazon Web Services, anti-communist, augmented reality, Ayatollah Khomeini, barriers to entry, bitcoin, borderless world, call centre, Chelsea Manning, citizen journalism, clean water, cloud computing, crowdsourcing, data acquisition, Dean Kamen, drone strike, Elon Musk, failed state, fear of failure, Filter Bubble, Google Earth, Google Glasses, hive mind, income inequality, information trail, invention of the printing press, job automation, John Markoff, Julian Assange, Khan Academy, Kickstarter, knowledge economy, Law of Accelerating Returns, market fundamentalism, means of production, MITM: man-in-the-middle, mobile money, mutually assured destruction, Naomi Klein, Nelson Mandela, offshore financial centre, Parag Khanna, peer-to-peer, peer-to-peer lending, personalized medicine, Peter Singer: altruism, Ray Kurzweil, RFID, Robert Bork, self-driving car, sentiment analysis, Silicon Valley, Skype, Snapchat, social graph, speech recognition, Steve Jobs, Steven Pinker, Stewart Brand, Stuxnet, The Wisdom of Crowds, upwardly mobile, Whole Earth Catalog, WikiLeaks, young professional, zero day

Warlords, extortionists, pirates and criminals will—if they’re smart enough—find ways to consolidate their own power at the expense of other people’s data. This could mean targeting specific populations, such as wealthier subclans or influential religious leaders, with more precision and virtually no accountability. If the online data (say, transfer records for a mobile money platform) showed that a particular extended family received a comparatively large sum of money from relatives in the diaspora, local thugs could stop by and demand tribute—paid, probably, over a mobile money system as well. Today’s warlords grow rich by acting as the requisite pass-through for all sorts of valuable resources, and in the future, while drugs, minerals and money will all still matter, so too will valuable personal data. Warlords of the future may not even use the data they have, instead selling it to outside parties willing to pay a premium.

Vodafone’s speedy restoration of service in Egypt: “Statements—Vodafone Egypt,” Vodafone, see January 29, 2011, and February 2, 2011, http://www.vodafone.com/content/index/media/press_statements/statement_on_egypt.html. “We had people sleeping in the network centers”: Vittorio Colao in discussion with the authors, August 2011. Roshan, is also the country’s biggest investor and taxpayer: “Western Union and Roshan to Introduce International Mobile Money Transfer Service in Afghanistan,” Roshan, News, February 27, 2012, http://www.roshan.af/Roshan/Media_Relations/News/News_Details/12-02-27/Western_Union_and_Roshan_to_Introduce_International_Mobile_Money_Transfer_service_in_Afghanistan.aspx. Roshan employs thousands: Ibid. 8 percent stake in The New York Times: Russell Adams, “Carlos Slim Boosts Stake in New York Times Again,” Wall Street Journal, October 6, 2011, http://online.wsj.com/article/SB10001424052970203388804576615123528159748.html.

It will not be unusual for a French technology company to operate its sales team from Southeast Asia, while locating its human-resources people in Canada and its engineers in Israel. Bureaucratic obstacles that prevent this level of decentralized operation today, like visa restrictions and regulations around money transfers, will become either irrelevant or be circumvented as digital solutions are discovered. Perhaps a human-rights organization with staff living in a country under heavy diplomatic sanctions will pay its employees in mobile money credits, or in an entirely digital currency. As fewer jobs require a physical presence, talented individuals will have more options available to them. Skilled young adults in Uruguay will find themselves competing for certain types of jobs against their counterparts in Orange County. Of course, just as not all jobs can or will be automated in the future, not every job can be conducted from a distance—but more can than you might think.


pages: 382 words: 120,064

Bank 3.0: Why Banking Is No Longer Somewhere You Go but Something You Do by Brett King

3D printing, additive manufacturing, Airbus A320, Albert Einstein, Amazon Web Services, Any sufficiently advanced technology is indistinguishable from magic, asset-backed security, augmented reality, barriers to entry, bitcoin, bounce rate, business intelligence, business process, business process outsourcing, call centre, capital controls, citizen journalism, Clayton Christensen, cloud computing, credit crunch, crowdsourcing, disintermediation, en.wikipedia.org, fixed income, George Gilder, Google Glasses, high net worth, I think there is a world market for maybe five computers, Infrastructure as a Service, invention of the printing press, Jeff Bezos, jimmy wales, Kickstarter, London Interbank Offered Rate, M-Pesa, Mark Zuckerberg, mass affluent, Metcalfe’s law, microcredit, mobile money, more computing power than Apollo, Northern Rock, Occupy movement, optical character recognition, peer-to-peer, performance metric, Pingit, platform as a service, QR code, QWERTY keyboard, Ray Kurzweil, recommendation engine, RFID, risk tolerance, Robert Metcalfe, self-driving car, Skype, speech recognition, stem cell, telepresence, Tim Cook: Apple, transaction costs, underbanked, US Airways Flight 1549, web application

Groupon, Amazon and eBay all have offerings that fit into the mobile commerce world. Mobile Money is a term that was driven by the success of financial-inclusion initiatives in many African nations, where entire financial ecosystems were built that enabled bank-like services to be delivered over a mobile device. In these ecosystems, the primary role of the service is to create a market-optimised banking network that replaces cash while enabling nations with poor infrastructure to leap forward in adoption cycles. The main difference between mobile money and other vehicles is that in this case mobile is both the transactional and customer acquisition channel, and often the mobile is the only way to interact with the business. M-Pesa, G-Cash, WING and MTN Mobile Money are prominent examples. Mobile Banking refers to the adding of mobile as a channel for existing bank customers.

US consumers’ use of cash is predicted to decline by 17 per cent between 2010 and 2015.30 In the UK, cash was seen in 73 per cent of retail transactions in 2000, but will be a fraction of that by 2018.31 Figure 1.4: Decline in Cash Use—US Forecast (Source: Aité Group) There are the great unbanked who don’t yet have a bank account and who currently rely heavily on cash and prepaid debit cards, but as we will see with M-Pesa and G-Cash (Chapter 6), this is hardly a hurdle for mobile cash and payments. The success of the Octopus card in Hong Kong, T-money in Korea, Edy and Suica in Japan, and other emerging technologies already prove the concept. What would quickly kill the need for cash in its entirety is a technical standard for mobile money that could be adopted globally by network operators and device manufacturers. Even if only 50 per cent of cash transactions are replaced by electronic stored value cards, debit cards and mobile wallets in the next five to ten years, the current ATM and branch infrastructure that supports cash becomes untenable from a cost-burden perspective. If we no longer need to go to the ATM to withdraw physical cash or currency, then pretty much everything we do on the ATM today can be done on our mobile app phones.

The mobile as a bank account With somewhere around 4.5 billion people owning a mobile phone, there’s a very strong case for pushing financial inclusion through the mobile phone and mobile payments, especially in developing economies where mobile penetration is 5–10 times the penetration of the basic bank account. In fact, by 2020, what we consider a bank account will most likely be defined by the mobile phone. The mobile phone is likely to be the basic bank account of the world by the next decade. Although mobile payments are quickly gaining traction in more developed markets, peer-to-peer m-payments, such as mobile money transfers, are an established and fast-growing fact of life in many developing economies. A large proportion of households in developing countries lack access to basic financial services, which impedes economic growth and development. A large body of evidence shows that access to financial services and, indeed, overall financial development, are crucial to economic growth and poverty reduction.


pages: 348 words: 97,277

The Truth Machine: The Blockchain and the Future of Everything by Paul Vigna, Michael J. Casey

3D printing, additive manufacturing, Airbnb, altcoin, Amazon Web Services, barriers to entry, basic income, Berlin Wall, Bernie Madoff, bitcoin, blockchain, blood diamonds, Blythe Masters, business process, buy and hold, carbon footprint, cashless society, cloud computing, computer age, computerized trading, conceptual framework, Credit Default Swap, crowdsourcing, cryptocurrency, cyber-physical system, dematerialisation, disintermediation, distributed ledger, Donald Trump, double entry bookkeeping, Edward Snowden, Elon Musk, Ethereum, ethereum blockchain, failed state, fault tolerance, fiat currency, financial innovation, financial intermediation, global supply chain, Hernando de Soto, hive mind, informal economy, intangible asset, Internet of things, Joi Ito, Kickstarter, linked data, litecoin, longitudinal study, Lyft, M-Pesa, Marc Andreessen, market clearing, mobile money, money: store of value / unit of account / medium of exchange, Network effects, off grid, pets.com, prediction markets, pre–internet, price mechanism, profit maximization, profit motive, ransomware, rent-seeking, RFID, ride hailing / ride sharing, Ross Ulbricht, Satoshi Nakamoto, self-driving car, sharing economy, Silicon Valley, smart contracts, smart meter, Snapchat, social web, software is eating the world, supply-chain management, Ted Nelson, the market place, too big to fail, trade route, transaction costs, Travis Kalanick, Turing complete, Uber and Lyft, uber lyft, unbanked and underbanked, underbanked, universal basic income, web of trust, zero-sum game

In Cameroon and Senegal, Julius Akinyemi: “Unleashing the Wealth of Nations,” http://wealthofnations.media.mit.edu/node/2. In yet another project from MIT Media Lab: Details on various projects from MIT’s Media Lab come from Michael Casey’s work with these groups; additional information can be found on the lab’s Web site: https://www.media.mit.edu/. there are now ninety-three countries with some form of mobile-money service: GSMA’s Mobile Money Deployment Tracker: http://www.gsma.com/mobilefordevelopment/m4d-tracker/mobile-money-deployment-tracker. “Between 60 percent and 90 percent of [mobile] accounts…”: Carol Realini, “Unbanked Consumers Strive for Better Banking Services,” www.carolrealini.com, February 7, 2015, http://www.carolrealini.com/unbanked-consumers-better-banking-services/. reluctant to make their systems interoperable: Rob Jillo, “Airtel Presses for Share of Safaricom’s M-PESA Platform,” Capital Business, July 3, 2015, http://www.capitalfm.co.ke/business/2015/07/airtel-presses-for-share-of-safaricoms-m-pesa-platform/.

If we can get fair-priced financing for marginalized people to build access to that resource in renewable form, might this be a way to both save the planet and give poor communities an economic development platform from which to build dynamic local businesses? Money Everyone Can Use Much of the hope that the development community has recently invested in the prospect for financial inclusion stems from the rapid expansion of mobile phone usage in the developing world and—with that—of mobile money systems. Following the trailblazing launch of M-Pesa in Kenya in 2007, there are now ninety-three countries with some form of mobile-money services, with 271 “live” deployments, and 101 more planned. But many are still only scratching the surface of the potential market. In fact, the statistics belie a deeper problem. “Between 60 percent and 90 percent of [mobile] accounts opened by new banking customers fall dormant almost immediately without a single transaction,” writes mobile payments expert Carol Realini.

Once credit is involved, mobile money platforms like M-Pesa, which must be backed in aggregate by each country’s financial system, fall back on the classic loan approval models of the traditional banking world. As such, inferior proofs of identity and subjective, poorly defined measures of creditworthiness become barriers to entry, especially once the dominant telecom providers use their privileged position as gatekeepers of these new e-monetary systems to charge exorbitant fees. The mobile providers, including Kenya’s Safaricom, are reluctant to make their systems interoperable with other providers, ensuring that cross-telecom and cross-border exchanges must go through the African banking system, which is inefficient, cumbersome, and expensive. These localized mobile money solutions are nothing like the open, permissionless innovation platforms that blockchain and Bitcoin purists dream of.


pages: 700 words: 201,953

The Social Life of Money by Nigel Dodd

accounting loophole / creative accounting, bank run, banking crisis, banks create money, Bernie Madoff, bitcoin, blockchain, borderless world, Bretton Woods, BRICs, business cycle, capital controls, cashless society, central bank independence, collapse of Lehman Brothers, collateralized debt obligation, commoditize, computer age, conceptual framework, credit crunch, cross-subsidies, David Graeber, debt deflation, dematerialisation, disintermediation, eurozone crisis, fiat currency, financial exclusion, financial innovation, Financial Instability Hypothesis, financial repression, floating exchange rates, Fractional reserve banking, German hyperinflation, Goldman Sachs: Vampire Squid, Hyman Minsky, illegal immigration, informal economy, interest rate swap, Isaac Newton, John Maynard Keynes: Economic Possibilities for our Grandchildren, joint-stock company, Joseph Schumpeter, Kickstarter, Kula ring, laissez-faire capitalism, land reform, late capitalism, liberal capitalism, liquidity trap, litecoin, London Interbank Offered Rate, M-Pesa, Marshall McLuhan, means of production, mental accounting, microcredit, mobile money, money market fund, money: store of value / unit of account / medium of exchange, mortgage debt, negative equity, new economy, Nixon shock, Occupy movement, offshore financial centre, paradox of thrift, payday loans, Peace of Westphalia, peer-to-peer, peer-to-peer lending, Ponzi scheme, post scarcity, postnationalism / post nation state, predatory finance, price mechanism, price stability, quantitative easing, quantitative trading / quantitative finance, remote working, rent-seeking, reserve currency, Richard Thaler, Robert Shiller, Robert Shiller, Satoshi Nakamoto, Scientific racism, seigniorage, Skype, Slavoj Žižek, South Sea Bubble, sovereign wealth fund, special drawing rights, The Wealth of Nations by Adam Smith, too big to fail, trade liberalization, transaction costs, Veblen good, Wave and Pay, Westphalian system, WikiLeaks, Wolfgang Streeck, yield curve, zero-coupon bond

It is therefore worth pausing to ask why there has been such an explosion of payment services in recent years, before discussing what it might mean for the future of money. Google Wallet and Wave and Pay are forms of “mobile money” that have been developing alongside the growth of alternative monies. Mobile monies appeal to users because they remove from the act of payment the inconveniences and impositions associated with traditional banking. Some forms of mobile money do this explicitly. Take the M-Pesa system, which mainly operates in Kenya, Tanzania, Afghanistan, South Africa, and India. M-Pesa48 uses mobile phones to transfer money, advertising itself as a cheap and easy way to move money without needing banks (or, in many cases, not visiting bank branches). Other forms of mobile money, such as Square Wallet, still use banks but eliminate most of the aggravation that usually come with banks.49 With Square, once a merchant and a customer have both registered for the service, the merchant needs only the customer’s name; the customer’s photograph appears on the merchant’s terminal while the system manages the details, sending the customer a text message to confirm.

This phenomenon is the new, private, seigniorage.50 The expansion of mobile money has proceeded hand in hand with the development of increasingly sophisticated ways for private corporations to “mine value in the act of payment” (Maurer 2011: 10). The payment services “industry” is still dominated by the credit card companies, but they are increasingly being joined by social networking platforms and mobile phone companies, all vying for the 1 to 4 percent slice that gets extracted from virtually every payment made. What this slice amounts to, essentially, is a significant “grab” for a major part of money’s infrastructure, the global payment networks, by private capital. There is an important irony here because although the emergence of mobile money appeals to money’s users for a mixture of reasons—speed and convenience are two—a significant part of their selling point is the appearance that mobile money is loosening the grip of the state over money, primarily by undermining its capacity to exploit its formal rights over money’s creation for financial advantage—otherwise known as tax.

There is an important irony here because although the emergence of mobile money appeals to money’s users for a mixture of reasons—speed and convenience are two—a significant part of their selling point is the appearance that mobile money is loosening the grip of the state over money, primarily by undermining its capacity to exploit its formal rights over money’s creation for financial advantage—otherwise known as tax. From this point of view, cash is the enemy of human freedom (Wolman 2012): never mind that it is corporations such as Visa who are in the vanguard of the “struggle” against this “enemy.” If we were to liken money’s infrastructure to a road system, the emergence of mobile money is roughly equivalent to a takeover of the highways by private corporations. We still pay a toll for using the road; indeed, we may be paying more than before. It is merely the corporations, not government, that take the proceeds. If a major advantage of this system is the damage it does to the privileges of the state, a significant potential disadvantage is that an important aspect of money’s infrastructure is potentially being taken further away from, not closer toward, the civic benefits that are meant to accrue from the emergence of alternative monies.


pages: 385 words: 111,113

Augmented: Life in the Smart Lane by Brett King

23andMe, 3D printing, additive manufacturing, Affordable Care Act / Obamacare, agricultural Revolution, Airbnb, Albert Einstein, Amazon Web Services, Any sufficiently advanced technology is indistinguishable from magic, Apple II, artificial general intelligence, asset allocation, augmented reality, autonomous vehicles, barriers to entry, bitcoin, blockchain, business intelligence, business process, call centre, chief data officer, Chris Urmson, Clayton Christensen, clean water, congestion charging, crowdsourcing, cryptocurrency, deskilling, different worldview, disruptive innovation, distributed generation, distributed ledger, double helix, drone strike, Elon Musk, Erik Brynjolfsson, Fellow of the Royal Society, fiat currency, financial exclusion, Flash crash, Flynn Effect, future of work, gig economy, Google Glasses, Google X / Alphabet X, Hans Lippershey, Hyperloop, income inequality, industrial robot, information asymmetry, Internet of things, invention of movable type, invention of the printing press, invention of the telephone, invention of the wheel, James Dyson, Jeff Bezos, job automation, job-hopping, John Markoff, John von Neumann, Kevin Kelly, Kickstarter, Kodak vs Instagram, Leonard Kleinrock, lifelogging, low earth orbit, low skilled workers, Lyft, M-Pesa, Mark Zuckerberg, Marshall McLuhan, megacity, Metcalfe’s law, Minecraft, mobile money, money market fund, more computing power than Apollo, Network effects, new economy, obamacare, Occupy movement, Oculus Rift, off grid, packet switching, pattern recognition, peer-to-peer, Ray Kurzweil, RFID, ride hailing / ride sharing, Robert Metcalfe, Satoshi Nakamoto, Second Machine Age, selective serotonin reuptake inhibitor (SSRI), self-driving car, sharing economy, Shoshana Zuboff, Silicon Valley, Silicon Valley startup, Skype, smart cities, smart grid, smart transportation, Snapchat, social graph, software as a service, speech recognition, statistical model, stem cell, Stephen Hawking, Steve Jobs, Steve Wozniak, strong AI, TaskRabbit, technological singularity, telemarketer, telepresence, telepresence robot, Tesla Model S, The Future of Employment, Tim Cook: Apple, trade route, Travis Kalanick, Turing complete, Turing test, uber lyft, undersea cable, urban sprawl, V2 rocket, Watson beat the top human players on Jeopardy!, white picket fence, WikiLeaks

If you take just iTunes, PayPal and Alipay, they currently account for 1.2 billion account holders. That is more than double what the top five banks have in terms of the number of individual customers with bank accounts. If you include M-Pesa, MTN Mobile Money, bKash, GCash and other mobile money services, you can easily add another 300 million account holders. Figure 9.2: Growth in mobile money users globally (Source: Various) That means quite simply that mobile bank accounts, mobile value stores or mobile wallets already outnumber traditional bank accounts two to one. Yes, you read that correctly. Yet the growth in mobile money accounts is set to surge further in the next few years, and most of this growth will be fuelled by people using their phone as their primary or sole means of payment. Within ten years, most of the world will be using their phone to pay for things every day.

If you look at Kenya with less than 50 branches per 1 million people and financial inclusion4 of 20 per cent through the traditional bank system, the obvious conclusion would be that this country needs more branches. That is, until you learn that since 2006 Kenya’s financial inclusion has grown to a whopping 85 per cent thanks to the M-Pesa mobile phone or mobile money account. It’s pretty simple. If you allow someone who has no banking services access to basic banking via a mobile money account on a smartphone or feature phone, this will change his or her life dramatically. In the case of M-Pesa, it means that mobile money users are likely to save 25 per cent more annually5 than their unbanked contemporaries. If you insist that someone has to have a driving licence or identity document and then needs to get to a physical branch to fill out an application form in order to open a bank account, you are actually increasing the likelihood of financial exclusion.


pages: 322 words: 84,752

Pax Technica: How the Internet of Things May Set Us Free or Lock Us Up by Philip N. Howard

Affordable Care Act / Obamacare, Berlin Wall, bitcoin, blood diamonds, Bretton Woods, Brian Krebs, British Empire, butter production in bangladesh, call centre, Chelsea Manning, citizen journalism, clean water, cloud computing, corporate social responsibility, creative destruction, crowdsourcing, digital map, Edward Snowden, en.wikipedia.org, failed state, Fall of the Berlin Wall, feminist movement, Filter Bubble, Firefox, Francis Fukuyama: the end of history, Google Earth, Howard Rheingold, income inequality, informal economy, Internet of things, Julian Assange, Kibera, Kickstarter, land reform, M-Pesa, Marshall McLuhan, megacity, Mikhail Gorbachev, mobile money, Mohammed Bouazizi, national security letter, Nelson Mandela, Network effects, obamacare, Occupy movement, packet switching, pension reform, prediction markets, sentiment analysis, Silicon Valley, Skype, spectrum auction, statistical model, Stuxnet, trade route, undersea cable, uranium enrichment, WikiLeaks, zero day

Lita Person, Mobile Wallet (NFC, Digital Wallet) Market (Applications, Mode of Payment, Stakeholders, and Geography)—Global Share, Size, Industry Analysis, Trends, Opportunities, Growth, and Forecast, 2012–2020 (Portland, OR: Allied Market Research, November 2013), accessed September 30, 2014, http://www.alliedmarketresearch.com/mobile-wallet-market; Marion Williams, “The Regulatory Tension over Mobile Money,” Australian Banking and Finance, February 17, 2014, accessed September 30, 2014, http://www.australianbankingfinance.com/banking/the-regulatory-tension-over-mobile-money/. 30. “University of Cumbria Becomes First in World to Accept Tuition Fees in Bitcoin,” India Today, January 22, 2014, accessed September 30, 2014, http://indiatoday.intoday.in/story/british-university-to-accept-tuition-fees-in-bitcoin/1/339087.html. 31. Philip N. Howard and Nimah Mazaheri, “Telecommunications Reform, Internet Use, and Mobile Phone Adoption in the Developing World,” World Development 37, no. 7 (2009): 1159–69, doi:10.1016/j.worlddev.2008.12.005. 32.

The financial services sector expects government investment in the internet, and when countries invest in information infrastructure, many industries benefit. The perception of technical innovation, the size of the information economy, and the reach of high-tech industries are all important to the evaluation of modern economic wealth. This new sense of valuation is what drives the startling rise of virtual currencies, mobile money, and other digital exchanges. Such virtual currencies are designed to free money, or more abstractly “value,” from the control of a particular country’s central bank. The World Bank estimates that by 2020, the economy of mobile-phone money exchanges might top $5 trillion and include the two billion people who otherwise have no access to banks.29 Some of the oldest institutions around—universities—have started accepting virtual currencies like Bitcoins for tuition.30 It was easier for governments to hoard and guard their gold than it is data, information infrastructure, and intellectual property.

Fortunately, there is a growing number of vigilante watchers, citizen journalists, hacktivists, and whistle blowers. In many countries, the government is also the largest employer. And payroll is a big target for corrupt officials. So any system that helps the government pay its employees properly makes the entire economy a little more transparent and efficient. In Afghanistan, when the government started paying its police officers using “mobile money” through mobile phones, many officers were surprised at the size of their paychecks. Some thought they had been given a raise, but it turns out that the new system simply cut out the middlemen who had long been taking their cut.69 Local bureaucrats could no longer carve out their portion, and funds were suddenly flowing right from the public purse to the public employees. Using digital networks in this big way not only makes it easier to manage the economic role of the state, it improves the personal financial security of public employees.


pages: 302 words: 87,776

Dollars and Sense: How We Misthink Money and How to Spend Smarter by Dr. Dan Ariely, Jeff Kreisler

accounting loophole / creative accounting, Airbnb, Albert Einstein, bitcoin, Burning Man, collateralized debt obligation, Daniel Kahneman / Amos Tversky, delayed gratification, endowment effect, experimental economics, hedonic treadmill, IKEA effect, invisible hand, loss aversion, mental accounting, mobile money, placebo effect, price anchoring, Richard Thaler, sharing economy, Silicon Valley, Snapchat, Stanford marshmallow experiment, Steve Jobs, TaskRabbit, the payments system, Uber for X, ultimatum game, Walter Mischel, winner-take-all economy

., 31–33 relative value vs. real value, 28–31, 101–2 subscription offers illustrating relativity problem, 34–35 tipping for “free” items vs. gambling, 5–6 religions and rituals, 164 reputation and expectations, 175–76 reservation price, 96–97 restaurants blowing the budget at, 52–53 and consumption vocabulary, 150–55, 158–59 deflecting blame for price increases, 146 high and low prices funneling consumer to middle option, 35–36, 101 paying the bill when dining with friends, 88–91 pay-per-bite meals, 77–78 “pay what you want” model, 142–43 relative price vs. real price, 29 restricted use payment methods, gift cards as, 76–77, 84 retirement savings connecting with our future selves, 228–30 earmarking, 232–33 effectiveness of physical representation of savings, 243–44, 247 and HR office, 228–29 human attitude toward, x–xi loss aversion and endowment effects, 120–21 making invisible savings visible, 244–46 matching funds from employer, 121–23, 231–32 mobile money system in Kenya, 242–44 paying yourself first, 250–51 Ulysses contracts, 230–34 reward substitution strategy, 234–36, 246 Rey Ray, Vinny del, 167–69, 175, 181 rituals, 163–66, 179–80, 214–16, 220 salience of paying with cash, 85 savings, 247. See also retirement savings segregating gains and aggregating losses, 125–26 Seinfeld, Jerry, 68–69 self-awareness as barrier to commercial interests, 257–58 self-control, 183–96, 227–36 overview, 227 apps for monitoring, 241–42 arousal and other barriers to, 191–92 delayed gratification, 185 and gambling, 6, 45–46 and illusion of wealth, 249–51 mobile money-saving system in Kenya, 242–44 reconnecting to our future selves, 228–30 and retirement savings, 183–85, 188–89 reward substitution strategy, 234–36, 246 spending a windfall vs., 55–57, 58, 195, 250–51 technology working against, 239–41 vs. temptations, 189–91, 195–96, 230–31, 234, 239–40 Ulysses contracts, 230–34 utilizing apps for tracking opportunity costs, 241 and value in the present vs. future, 185–89, 192–96 See also retirement savings self-herding and anchoring, 99–100 self-worth and relativity, 38–39 Shafir, Eldar, 57–58 sharing economy, 160–61 Shiv, Baba, 175–76, 199 Shkreli, Martin, 148 ski trip sunk cost example, 129 Sobe energy drink experiment, 175–76, 199 Social Security number’s influence on value, 106–7 sports luminaries, 194–95 stereo system opportunity cost research, 12–13 stock market, 123–25, 169 stop and think, 253–58 stores bulk discounting practice, 31 high and low prices funneling consumer to middle option, 35–36, 101 relative price vs. real price, 28–31 “sales” on high priced items, 21–24 subscription offers illustrating relativity problem, 34–35 sunk costs, 126–30 Surprising Adventures of Baron Munchausen (Raspe), 173 tax refund “bonus,” 58–59 temptations, self-control vs., 189–91, 195–96, 230–31, 234, 239–40 Ten Financial Sins, 52 texting and driving, 189–90 Thaler, Dick on endowment effect, 114 on loss aversion, 123–25 on mental accounting, 43, 57–58 Thompkins, Susan “Aunt Susan,” 21–25, 199 time describing amount spent in a day vs. a year, 249–50 research on pain of paying effect, 72–75 separating pleasure of consumption from time of payment, 59–60, 61–62, 69–71, 80–83 spending wisely, xi toddlers, feeding airplanes to, 166 Toyota purchase opportunity cost, 11–12 transparency, 143–48, 162 trusting ourselves, 98–99, 169, 193, 218–19.

SCRATCH AND WIN Since today’s electronic wallets make us less aware of the pain of paying in an effort to increase spending, we could raise our spending awareness, which would increase the pain of paying, which would then reduce spending and increase savings. We don’t think about saving money very often. When we finally do think about it, our thoughts rarely lead us to save more. To test the extent that the design of digital wallets could influence behavior, Dan and his colleagues conducted a large-scale experiment with thousands of customers of a mobile money-saving system in Kenya. Some participants received two text messages every week: one at the start of the week to remind them to save and another one at the end of the week with a summary of their savings. Other participants got slightly different text reminders: It was framed like it came from their kid, asking them to save for “our future.” Four other groups were bribed (formally known as “financially incentivized”) for saving.

See also opportunity costs Amazon.com, 76, 84 Amir, On, 141 anchoring, 93–109 overview, 100–102, 108, 109, 218–19 anchor price influence, 95–99, 200 arbitrary coherence, 106–8, 200, 202 and confirmation bias, 100 effect of knowledge vs. ignorance, 103–6 herding and self-herding, 99–100 listing price example, 93–95, 98, 103 reservation price, 96–97 and susceptibility to suggestion, 95–96, 97–98 anticipation period and expectations, 170, 171–72 AOL, 78–79 apps (applications) expectations and pricing of, 87–88, 102–3, 144 “I Am Rich” iPhone app, 200 overcoming temptations, 196 too much information from, 241–42 for tracking opportunity costs, 241 arbitrary coherence, 106–8, 200, 202 Ariely, Dan anchoring/pricing research, 104–5 arbitrary coherence experiments, 106–8, 200 on arousal, 191–92 coffee condiments experiment, 178 creating expectations experiment, 175–76 data recovery value research, 141 endowment effect experiments, 117 hepatitis C treatment, 235 high price as high value research, 199 Ikea effect experiments, 116 on intelligence and decision making, 34–36 mobile money-saving system experiment in Kenya, 242–44 opportunity cost research at Toyota dealership, 11–12 on ritualistic benefit of Airborne, 180 sofa for torturing visitors, 197–98 sports conference, 194–95 sunk cost game, 127–28 Arkes, Hal, 129 arms race opportunity costs, 11 arousal and self-control, 191–92 artists, 142–43, 205 Ashraf, Nava, 232 Assael, Salvador, 28 Aydinli, Aylin, 33 Belsky, Gary, 46 Benartzi, Shlomo, 123–25 benchmarking executive pay, 101–2 Bertini, Marco, 33, 178 Betsy the dairy cow, 155–56 black pearls’ value, 28, 102 Blumer, Catherine, 129 Boggs, Wade, 180, 180n Boston pothole repair website, 145 Bradley, Tom and Rachel, 111–13, 114, 116–17, 120, 130 branding and expectations, 174–76 Broadway show ticket analogy, 43–44 budgets overview, 217 example of, 41–42 irrational basis for, 47 and mental accounting, 43, 44–46, 52–53 simplifying the decision making process, 48–49 See also financial decision-making bundled products, 36–38 car dealerships, 11–12, 222–23 Carmon, Ziv, 117, 175–76, 199 cell phone purchase comparisons, 37–38, 202–3 child development accounts (CDAs), 247 chocolate industry, 155 Coca-Cola Company, 137 coffee industry, 155 college savings accounts, effects of, 246 colonoscopy experience, 66, 67 commercial interests car dealerships, 222–23 self-awareness as barrier to, 257–58 strategic planning of, 36, 196 technology working against saving money, 239–41 See also advertising common good, money as a, 8 compartmentalizing, 48, 217.


pages: 469 words: 132,438

Taming the Sun: Innovations to Harness Solar Energy and Power the Planet by Varun Sivaram

addicted to oil, Albert Einstein, asset-backed security, autonomous vehicles, bitcoin, blockchain, carbon footprint, cleantech, collateralized debt obligation, Colonization of Mars, decarbonisation, demand response, disruptive innovation, distributed generation, diversified portfolio, Donald Trump, Elon Musk, energy security, energy transition, financial innovation, fixed income, global supply chain, global village, Google Earth, hive mind, hydrogen economy, index fund, Indoor air pollution, Intergovernmental Panel on Climate Change (IPCC), Internet of things, M-Pesa, market clearing, market design, mass immigration, megacity, mobile money, Negawatt, off grid, oil shock, peer-to-peer lending, performance metric, renewable energy transition, Richard Feynman, ride hailing / ride sharing, Ronald Reagan, Silicon Valley, Silicon Valley startup, smart grid, smart meter, sovereign wealth fund, Tesla Model S, time value of money, undersea cable, wikimedia commons

The combination of supportive public policies and vibrant business-model innovation could provide hope—and a pathway toward modern energy access—for Grace’s family and countless others like it. Notes 1.  “Off-Grid Electric: Overview.” Crunchbase, Inc. 2017, https://www.crunchbase.com/organization/off-grid-electric#/entity. 2.  Varun Mehra, “Mobile Money: The Answer to Sustaining Revenue for Off-Grid Energy Service Providers?” The Energy Collective, November 20, 2015, http://www.theenergycollective.com/vmehra813/2286309/mobile-money-answer-sustaining-revenue-grid-energy-service-providers. 3.  “Off-Grid and Mini-Grid: Q1 2017 Market Outlook,” Bloomberg New Energy Finance, January 5, 2017, https://about.bnef.com/blog/off-grid-mini-grid-q1-2017-market-outlook/. 4.  Saule Baurzhan and Glenn P. Jenkins, “Off-Grid Solar PV: Is It an Affordable or Appropriate Solution for Rural Electrification in Sub-Saharan African Countries?”

To afford kerosene refills, Grace carefully stockpiles roughly $8 per month. Around this time, Patrick tends to discover that his cell phone battery is out of charge and treks into town to a communal charging kiosk. His small farming business demands that he stay in close contact with vendors in the neighboring village. Aside from coordinating logistics with them at odd hours, he constantly checks market prices and executes transactions via mobile money payments through his cell phone. To keep his phone charged, Patrick forks over around $4 per month. When one day a salesman knocks on the door, advertising a compact solar-powered system that will run three LED lightbulbs and charge a phone, Grace is understandably skeptical. But the man, a sales agent sent by the aptly named Off-Grid Electric, offers to immediately slash the family’s monthly energy spending from $12 to $5 per month.

But the man, a sales agent sent by the aptly named Off-Grid Electric, offers to immediately slash the family’s monthly energy spending from $12 to $5 per month. On top of replacing the noxious kerosene fumes and inconvenient charging trips, the solar system—a 12-watt panel hooked up to a battery and a charge controller, plus three light-emitting diode (LED) lights—comes with free maintenance and service for as long as the family uses the system. It goes without saying that payments are made by mobile money. If they are not made on time, the system will shut down remotely. Six months later, Grace and her family are hooked. They plan to upgrade to the $15 per month plan to supersize their solar system and outfit a new room they are building with two more LED lights, a radio, and a television. And Grace is eyeing a brand new offering—an electric sewing machine with which she can start her own small tailoring business.


pages: 395 words: 116,675

The Evolution of Everything: How New Ideas Emerge by Matt Ridley

"Robert Solow", affirmative action, Affordable Care Act / Obamacare, Albert Einstein, Alfred Russel Wallace, AltaVista, altcoin, anthropic principle, anti-communist, bank run, banking crisis, barriers to entry, bitcoin, blockchain, Boris Johnson, British Empire, Broken windows theory, Columbian Exchange, computer age, Corn Laws, cosmological constant, creative destruction, Credit Default Swap, crony capitalism, crowdsourcing, cryptocurrency, David Ricardo: comparative advantage, demographic transition, Deng Xiaoping, discovery of DNA, Donald Davies, double helix, Downton Abbey, Edward Glaeser, Edward Lorenz: Chaos theory, Edward Snowden, endogenous growth, epigenetics, Ethereum, ethereum blockchain, facts on the ground, falling living standards, Ferguson, Missouri, financial deregulation, financial innovation, Frederick Winslow Taylor, Geoffrey West, Santa Fe Institute, George Gilder, George Santayana, Gunnar Myrdal, Henri Poincaré, hydraulic fracturing, imperial preference, income per capita, indoor plumbing, interchangeable parts, Intergovernmental Panel on Climate Change (IPCC), invisible hand, Isaac Newton, Jane Jacobs, Jeff Bezos, joint-stock company, Joseph Schumpeter, Kenneth Arrow, Kevin Kelly, Khan Academy, knowledge economy, land reform, Lao Tzu, long peace, Lyft, M-Pesa, Mahatma Gandhi, Mark Zuckerberg, means of production, meta analysis, meta-analysis, mobile money, money: store of value / unit of account / medium of exchange, Mont Pelerin Society, moral hazard, Necker cube, obamacare, out of africa, packet switching, peer-to-peer, phenotype, Pierre-Simon Laplace, price mechanism, profit motive, RAND corporation, random walk, Ray Kurzweil, rent-seeking, reserve currency, Richard Feynman, rising living standards, road to serfdom, Ronald Coase, Ronald Reagan, Satoshi Nakamoto, Second Machine Age, sharing economy, smart contracts, South Sea Bubble, Steve Jobs, Steven Pinker, The Wealth of Nations by Adam Smith, Thorstein Veblen, transaction costs, twin studies, uber lyft, women in the workforce

The Financial Crisis and the Free Market Cure. McGraw-Hill. Friedman, Jeffrey (ed.) 2010. What Caused the Financial Crisis. University of Pennsylvania Press. Wallison, Peter 2011. The true story of the financial crisis. American Spectator May 2011. And Booth, Philip (ed.) 2009. Verdict on the Crash. IEA. On the Cantillon Effect, Frisby, Dominic 2013. Life After the State. Unbound. On mobile money, Why does Kenya lead the world in mobile money?. economist.com 27 May 2013. On the Federal Reserve, Selgin, G., Lastrapes, W.D. and White, L.H. 2010. Has the Fed been a Failure? Cato Working Paper, Cato.org. Hsieh, Chang-Tai and Romer, Christina D. 2006. Was the Federal Reserve Constrained by the Gold Standard During the Great Depression? Evidence from the 1932 Open Market Purchase Program. Journal of Economic History 66(1) (March):140–176.

Jeff Friedman, in a lengthy and influential essay on the financial crisis, came to a similar conclusion: ‘The financial crisis was caused by the complex, constantly growing web of regulations designed to constrain and redirect modern capitalism.’ Peter Wallison, a member of the government’s Financial Crisis Inquiry Commission, said something similar: ‘The financial crisis was not caused by weak or ineffective regulation. On the contrary, the financial crisis of 2008 was caused by government housing policies.’ The sub-prime crisis was a creationist, not an evolutionary phenomenon. The evolution of mobile money The government monopoly of money leads not just to the suppression of innovation and experiment, not just to inflation and debasement, not just to financial crises, but to inequality too. As Dominic Frisby points out in his book Life After the State, opportunities in finance ripple outwards from the Treasury. The state spends money before it even exists; the privileged banks then get first access to newly minted money and can invest it before assets have increased in cost.

Far more Kenyans have access to financial saving and payment systems through their mobile phones than through conventional bank accounts. A key ingredient in the success of the system in Kenya was that the regulator was kept out of the way, allowing the system to evolve. Not for want of trying: the banks have lobbied politicians to subject M-Pesa to more regulation. Elsewhere in the world, heavy-handed regulation stifled mobile money at birth. During Kenya’s post-election violence in 2008, mobile-phone balances seemed a lot safer than cash, so the system gained further popularity. Soon it reached the critical mass where enough people were using M-Pesa that it made sense to join them, so as to be able to transact business with them. In Kenya people pay wages, purchase savings products and take out loans with M-Pesa cash. Money serves three main functions – a store of value, a medium of exchange and a unit of account.


pages: 453 words: 114,250

The Great Firewall of China by James Griffiths;

A Declaration of the Independence of Cyberspace, activist fund / activist shareholder / activist investor, Albert Einstein, anti-communist, bitcoin, borderless world, call centre, Chelsea Manning, Deng Xiaoping, don't be evil, Donald Trump, Edward Snowden, gig economy, jimmy wales, Mark Zuckerberg, megacity, Mikhail Gorbachev, Mitch Kapor, mobile money, Occupy movement, pets.com, profit motive, QR code, race to the bottom, RAND corporation, ride hailing / ride sharing, Ronald Reagan, Silicon Valley, Silicon Valley startup, Skype, Snapchat, South China Sea, Steve Jobs, Stewart Brand, Stuxnet, technoutopianism, undersea cable, WikiLeaks, zero day

While the ban was successful in disrupting the opposition’s plans for greater transparency, it did not put a lid on dissent, and may have even outraged many otherwise ambivalent voters. Most pernicious, however, was the financial effect the four-day ban had on many Ugandans. Election day was a bank holiday, and so many Ugandans had topped up their mobile money accounts in order to keep making payments. Millions of Ugandans used mobile money to pay for everything from utilities and school fees to groceries. When the internet shutdown kicked in, it also blocked mobile payments, cutting off many Ugandans from their money and leaving them unable to pay for basic services for several days.41 Even worse off were small business owners, who relied on mobile money to receive payments and operated on whisper-thin margins. “It’s like shutting down a banking system,” one observer said at the time. “My boda boda man is starving and so is the woman who he buys groceries from.

Atuhaire, ‘How Ugandans overturned an election day social media blackout’, Motherboard, 24 February 2016, https://motherboard.vice.com/en_us/article/nz7zv8/uganda-election-day-social-media-blackout-backlash-mobile-payments 40Hopper, ‘“Tweeting from Canada, voting in Uganda”’. 41C. Bold and R. Pillai, ‘The impact of shutting down mobile money in Uganda’, Consultative Group to Assist the Poor, 7 March 2016, http://www.cgap.org/blog/impact-shutting-down-mobile-money-uganda 42Phillips and Atuhaire, ‘How Ugandans overturned an election day social media blackout’. 43F. Karimi, S. Ntale and G. Botelho, ‘Uganda leader Museveni declared winner – despite issues, tensions’, CNN, 21 February 2016, https://edition.cnn.com/2016/02/20/africa/uganda-election/ 44‘Tension in Kampala after Ugandan opposition leader Kizza Besigye swore himself in as the president’ [video], KTN News Kenya, 11 May 2016, https://www.youtube.com/watch?


pages: 215 words: 59,188

Seriously Curious: The Facts and Figures That Turn Our World Upside Down by Tom Standage

agricultural Revolution, augmented reality, autonomous vehicles, blood diamonds, corporate governance, Deng Xiaoping, Donald Trump, Elon Musk, failed state, financial independence, gender pay gap, gig economy, Gini coefficient, high net worth, income inequality, index fund, industrial robot, Internet of things, invisible hand, job-hopping, Julian Assange, life extension, Lyft, M-Pesa, Mahatma Gandhi, manufacturing employment, mega-rich, megacity, Minecraft, mobile money, natural language processing, Nelson Mandela, plutocrats, Plutocrats, price mechanism, purchasing power parity, ransomware, reshoring, ride hailing / ride sharing, Ronald Coase, self-driving car, Silicon Valley, Snapchat, South China Sea, speech recognition, stem cell, supply-chain management, transaction costs, Uber and Lyft, uber lyft, undersea cable, US Airways Flight 1549, WikiLeaks

Yet in much of the continent people with mobile phones outnumber those with electricity, despite the fact that they may have to walk for miles to get a signal or to recharge their phones’ batteries. A current problem Sources: IEA; GSMA Mobile phones have transformed the lives of hundreds of millions for whom they were the first, and often the only, way to connect with the outside world. They have made it possible for poor countries to leapfrog much more than landline telephony. Mobile-money services, which enable people to send cash straight from their phones, have in effect created personal bank accounts that people can carry in their pockets. By one estimate, the M-Pesa mobile-money system alone lifted about 2% of Kenyan households out of poverty between 2008 and 2014. Technology cannot solve all of Africa’s problems, but it can help with some of them. Why self-driving cars will mostly be shared, not owned When will you be able to buy a driverless car that will work anywhere?

For more explainers and charts from The Economist, visit economist.com Index A Africa child marriage 84 democracy 40 gay and lesbian rights 73, 74 Guinea 32 mobile phones 175–6 see also individual countries agriculture 121–2 Aguiar, Mark 169 air pollution 143–4 air travel and drones 187–8 flight delays 38–9 Akitu (festival) 233 alcohol beer consumption 105–6 consumption in Britain 48, 101–2 craft breweries 97–8 drink-driving 179–80 wine glasses 101–2 Alexa (voice assistant) 225 Algeria food subsidies 31 gay and lesbian rights 73 All I Want for Christmas Is You (Carey) 243 alphabet 217–18 Alternative for Germany (AfD) 223, 224 Alzheimer’s disease 140 Amazon (company) 225 America see United States and 227–8 Angola 73, 74 animals blood transfusions 139–40 dog meat 91–2 gene drives 153–4 size and velocity 163–4 and water pollution 149–50 wolves 161–2 Arctic 147–8 Argentina gay and lesbian rights 73 lemons 95–6 lithium 17–18 Ariel, Barak 191 Arizona 85 arms trade 19–20 Asia belt and road initiative 117–18 high-net-worth individuals 53 wheat consumption 109–10 see also individual countries Assange, Julian 81–3 asteroids 185–6 augmented reality (AR) 181–2 August 239–40 Australia avocados 89 forests 145 inheritance tax 119 lithium 17, 18 shark attacks 201–2 autonomous vehicles (AVs) 177–8 Autor, David 79 avocados 89–90 B Babylonians 233 Baltimore 99 Bangladesh 156 bank notes 133–4 Bateman, Tim 48 beer consumption 105–6 craft breweries 97–8 Beijing air pollution 143–4 dogs 92 belt and road initiative 117–18 betting 209–10 Bier, Ethan 153 Bils, Mark 169 birds and aircraft 187 guinea fowl 32–3 birth rates Europe 81–3 United States 79–80 black money 133–4 Black Power 34, 35 Blade Runner 208 blood transfusions 139–40 board games 199–200 body cameras 191–2 Boko Haram 5, 15–16 Bolivia 17–18 Bollettieri, Nick 197 bookmakers 209–10 Borra, Cristina 75 Bosnia 221–2 brain computers 167–8 Brazil beer consumption 105, 106 Christmas music 243, 244 end-of-life care 141–2 gay and lesbian rights 73 murder rate 45, 46 shark attacks 202 breweries 97–8 Brexit, and car colours 49–50 brides bride price 5 diamonds 13–14 Britain alcohol consumption 101–2 car colours 49–50 Christmas music 244 cigarette sales 23–4 craft breweries 98 crime 47–8 Easter 238 gay population 70–72 housing material 8 inheritance tax 119 Irish immigration 235 life expectancy 125 manufacturing jobs 131 national identity 223–4 new-year resolutions 234 police body cameras 191 sexual harassment 67, 68, 69 sperm donation 61 see also Scotland Brookings Institution 21 Browning, Martin 75 bubonic plague 157–8 Bush, George W. 119 C cables, undersea 193–4 California and Argentine lemons 95, 96 avocados 90 cameras 191–2 Canada diamonds 13 drones 188 lithium 17 national identity 223–4 capitalism, and birth rates 81–2 Carey, Mariah 243 Carnegie Endowment for International Peace 21 cars colours 49–50 self-driving 177–8 Caruana, Fabiano 206 Charles, Kerwin 169 cheetahs 163, 164 chess 205–6 Chetty, Raj 113 Chicago 100 children birth rates 79–80, 81–3 child marriage 84–5 in China 56–7 crime 47–8 and gender pay gap 115–16, 135–6 obesity 93–4 Chile gay and lesbian rights 73 lithium 17–18 China air pollution 143–5 arms sales 19–20 avocados 89 beer consumption 105 belt and road initiative 117–18 childhood obesity 93 construction 7 dog meat 91–2 dragon children 56–7 flight delays 38–9 foreign waste 159–60 lithium 17 rice consumption 109–10 Choi, Roy 99 Christian, Cornelius 26 Christianity Easter 237–8 new year 233–4 Christmas 246–7 music 243–5 cigarettes affordability 151–2 black market 23–4 cities, murder rates 44–6 Citizen Kane 207 citrus wars 95–6 civil wars 5 Clarke, Arthur C. 183 Coase, Ronald 127, 128 cocaine 44 cochlear implants 167 Cohen, Jake 203 Colen, Liesbeth 106 colleges, US 113–14 Colombia 45 colours, cars 49–50 commodities 123–4 companies 127–8 computers augmented reality 181–2 brain computers 167–8 emojis 215–16 and languages 225–6 spam e-mail 189–90 Connecticut 85 Connors, Jimmy 197 contracts 127–8 Costa Rica 89 couples career and family perception gap 77–8 housework 75–6 see also marriage cows 149–50 craft breweries 97–8 crime and avocados 89–90 and dog meat 91–2 murder rates 44–6 young Britons 47–8 CRISPR-Cas9 153 Croatia 222 Croato-Serbian 221–2 D Daily-Diamond, Christopher 9–10 Davis, Mark 216 De Beers 13–14 death 141–2 death taxes 119–20 democracy 40–41 Deng Xiaoping 117 Denmark career and family perception gap 78 gender pay gap 135–6 sex reassignment 65 Denver 99 Devon 72 diamonds 13–14, 124 digitally remastering 207–8 Discovery Channel 163–4 diseases 157–8 dog meat 91–2 Dorn, David 79 Dr Strangelove 207 dragon children 56–7 drink see alcohol drink-driving 179–80 driverless cars 177–8 drones and aircraft 187–8 and sharks 201 drugs cocaine trafficking 44 young Britons 48 D’Souza, Kiran 187 E e-mail 189–90 earnings, gender pay gap 115–16, 135–6 Easter 237–8 economy and birth rates 79–80, 81–2 and car colours 49–50 and witch-hunting 25–6 education and American rich 113–14 dragon children 56–7 Egal, Muhammad Haji Ibrahim 40–41 Egypt gay and lesbian rights 73 marriage 5 new-year resolutions 233 El Paso 100 El Salvador 44, 45 emojis 215–16 employment gender pay gap 115–16, 135–6 and gender perception gap 77–8 job tenure 129–30 in manufacturing 131–2 video games and unemployment 169–70 English language letter names 217–18 Papua New Guinea 219 environment air pollution 143–4 Arctic sea ice 147–8 and food packaging 103–4 waste 159–60 water pollution 149–50 Equatorial Guinea 32 Eritrea 40 Ethiopia 40 Europe craft breweries 97–8 summer holidays 239–40 see also individual countries Everson, Michael 216 exorcism 36–7 F Facebook augmented reality 182 undersea cables 193 FANUC 171, 172 Federer, Roger 197 feminism, and birth rates 81–2 fertility rates see birth rates festivals Christmas 246–7 Christmas music 243–5 new-year 233–4 Feuillet, Catherine 108 films 207–8 firms 127–8 5G 173–4 flight delays 38–9 Florida and Argentine lemons 95 child marriage 85 Foley, William 220 food avocados and crime 89–90 dog meat 91–2 lemons 95–6 wheat consumption 109–10 wheat genome 107–8 food packaging 103–4 food trucks 99–100 football clubs 211–12 football transfers 203–4 forests 145–6, 162 Fountains of Paradise, The (Clarke) 183 fracking 79–80 France career and family perception gap 78 Christmas music 244 exorcism 36–7 gender-inclusive language 229–30 job tenure 130 sex reassignment 66 sexual harassment 68–9 witch-hunting 26, 27 wolves 161–2 G gambling 209–10 games, and unemployment 169–70 Gandhi, Mahatma 155 gang members 34–5 Gantz, Valentino 153 gas 124 gay population 70–72 gay rights, attitudes to 73–4 gender sex reassignment 65–6 see also men; women gender equality and birth rates 81–2 in language 229–30 gender pay gap 115–16, 135–6 gene drives 153–4 Genghis Khan 42 genome, wheat 107–8 ger districts 42–3 Germany beer consumption 105 job tenure 130 national identity 223–4 sexual harassment 68, 69 vocational training 132 witch-hunting 26, 27 Ghana 73 gig economy 128, 130 glasses, wine glasses 101–2 Goddard, Ceri 72 Google 193 Graduate, The 207 Greece forests 145 national identity 223–4 sex reassignment 65 smoking ban 152 Gregg, Christine 9–10 grunting 197–8 Guatemala 45 Guinea 32 guinea fowl 32–3 guinea pig 32 Guinea-Bissau 32 Guo Peng 91–2 Guyana 32 H Haiti 5 Hale, Sarah Josepha 242 Hanson, Gordon 79 Hawaii ’Oumuamua 185 porn consumption 63–4 health child obesity 93–4 life expectancy 125–6 plague 157–8 and sanitation 155 high-net-worth individuals (HNWIs) 53 Hiri Motu 219 holidays Easter 237–8 St Patrick’s Day 235–6 summer holidays 239–40 Thanksgiving 241–2 HoloLens 181–2 homicide 44–6 homosexuality attitudes to 73–4 UK 70–72 Honduras 44, 45 Hong Kong 56 housework 75–6, 77–8 Hudson, Valerie 5 Hungary 223–4 Hurst, Erik 169 I ice 147–8 Ikolo, Prince Anthony 199 India bank notes 133–4 inheritance tax 119 languages 219 rice consumption 109 sand mafia 7 sanitation problems 155–6 Indonesia polygamy and civil war 5 rice consumption 109–10 inheritance taxes 119–20 interest rates 51–2 interpunct 229–30 Ireland aitch 218 forests 145 St Patrick’s Day 235–6 same-sex marriage 73 sex reassignment 65 Italy birth rate 82 end of life care 141–2 forests 145 job tenure 130 life expectancy 126 J Jacob, Nitya 156 Jamaica 45 Japan 141–2 Jighere, Wellington 199 job tenure 129–30 jobs see employment Johnson, Bryan 168 junk mail 189 K Kazakhstan 6 Kearney, Melissa 79–80 Kennedy, John F. 12 Kenya democracy 40 mobile-money systems 176 Kiribati 7 Kleven, Henrik 135–6 knots 9–10 Kohler, Timothy 121 Kyrgyzstan 6 L laces 9–10 Lagos 199 Landais, Camille 135–6 languages and computers 225–6 gender-inclusive 229–30 letter names 217–18 and national identity 223–4 Papua New Guinea 219–20 Serbo-Croatian 221–2 Unicode 215 World Bank writing style 227–8 Latimer, Hugh 246 Leeson, Peter 26 leisure board games in Nigeria 199–200 chess 205–6 gambling 209–10 video games and unemployment 169–70 see also festivals; holidays lemons 95–6 letter names 217–18 Libya 31 life expectancy 125–6 Lincoln, Abraham 242 lithium 17–18 London 71, 72 longevity 125–6 Lozère 161–2 Lucas, George 208 M McEnroe, John 197 McGregor, Andrew 204 machine learning 225–6 Macri, Mauricio 95, 96 Macron, Emmanuel 143 Madagascar 158 Madison, James 242 MagicLeap 182 Maine 216 Malaysia 56 Maldives 7 Mali 31 Malta 65 Manchester United 211–12 manufacturing jobs 131–2 robots 171–2 summer holidays 239 Maori 34–5 marriage child marriage 84–5 polygamy 5–6 same-sex relationships 73–4 see also couples Marteau, Theresa 101–2 Marx, Karl 123 Maryland 85 Massachusetts child marriage 85 Christmas 246 Matfess, Hilary 5, 15 meat dog meat 91–2 packaging 103–4 mega-rich 53 men career and family 77–8 housework 75–6 job tenure 129–30 life expectancy 125 polygamy 5–6 sexual harassment by 67–9 video games and unemployment 169 Mexico avocados 89, 90 gay and lesbian rights 73 murder rate 44, 45 microbreweries 97–8 Microsoft HoloLens 181–2 undersea cables 193 migration, and birth rates 81–3 mining diamonds 13–14 sand 7–8 mobile phones Africa 175–6 5G 173–4 Mocan, Naci 56–7 Mongolia 42–3 Mongrel Mob 34 Monopoly (board game) 199, 200 Monty Python and the Holy Grail 25 Moore, Clement Clarke 247 Moretti, Franco 228 Morocco 7 Moscato, Philippe 36 movies 207–8 Mozambique 73 murder rates 44–6 music, Christmas 243–5 Musk, Elon 168 Myanmar 118 N Nadal, Rafael 197 national identity 223–4 natural gas 124 Netherlands gender 66 national identity 223–4 neurostimulators 167 New Jersey 85 New Mexico 157–8 New York (state), child marriage 85 New York City drink-driving 179–80 food trucks 99–100 New Zealand avocados 89 gang members 34–5 gene drives 154 water pollution 149–50 new-year resolutions 233–4 Neymar 203, 204 Nigeria board games 199–200 Boko Haram 5, 15–16 population 54–5 Nissenbaum, Stephen 247 Northern Ireland 218 Norway Christmas music 243 inheritance tax 119 life expectancy 125, 126 sex reassignment 65 Nucci, Alessandra 36 O obesity 93–4 oceans see seas Odimegwu, Festus 54 O’Reilly, Oliver 9–10 Ortiz de Retez, Yñigo 32 Oster, Emily 25–6 ostriches 163, 164 ’Oumuamua 185–6 P packaging 103–4 Pakistan 5 Palombi, Francis 161 Papua New Guinea languages 219–20 name 32 Paris Saint-Germain (PSG) 203 Passover 237 pasta 31 pay, gender pay gap 115–16, 135–6 Peck, Jessica Lynn 179–80 Pennsylvania 85 Peru 90 Pestre, Dominique 228 Pew Research Centre 22 Phelps, Michael 163–4 Philippe, Édouard 230 phishing 189 Phoenix, Arizona 177 Pilgrims 241 plague 157–8 Plastic China 159 police, body cameras 191–2 pollution air pollution 143–4 water pollution 149–50 polygamy 5–6 pornography and Britain’s gay population 70–72 and Hawaii missile alert 63–4 Portugal 145 Puerto Rico 45 punctuation marks 229–30 Q Qatar 19 R ransomware 190 Ravenscroft, George 101 Real Madrid 211 religious observance and birth rates 81–2 and Christmas music 244 remastering 207–8 Reynolds, Andrew 70 Rhodes, Cecil 13 rice 109–10 rich high-net-worth individuals 53 US 113–14 ride-hailing apps and drink-driving 179–80 see also Uber RIWI 73–4 robotaxis 177–8 robots 171–2 Rogers, Dan 240 Romania birth rate 81 life expectancy 125 Romans 233 Romer, Paul 227–8 Ross, Hana 23 Royal United Services Institute 21 Russ, Jacob 26 Russia arms sales 20 beer consumption 105, 106 fertility rate 81 Rwanda 40 S Sahara 31 St Louis 205–6 St Patrick’s Day 235–6 salt, in seas 11–12 same-sex relationships 73–4 San Antonio 100 sand 7–8 sanitation 155–6 Saudi Arabia 19 Scotland, witch-hunting 25–6, 27 Scott, Keith Lamont 191 Scrabble (board game) 199 seas Arctic sea ice 147–8 salty 11–12 undersea cables 193–4 secularism, and birth rates 81–2 Seles, Monica 197 self-driving cars 177–8 Serbia 222 Serbo-Croatian 221–2 Sevilla, Almudena 75 sex reassignment 65–6 sexual harassment 67–9, 230 Sharapova, Maria 197 sharks deterring attacks 201–2 racing humans 163–4 shipping 148 shoelaces 9–10 Silk Road 117–18 Singapore dragon children 56 land reclamation 7, 8 rice consumption 110 single people, housework 75–6 Sinquefeld, Rex 205 smart glasses 181–2 Smith, Adam 127 smoking black market for cigarettes 23–4 efforts to curb 151–2 smuggling 31 Sogaard, Jakob 135–6 Somalia 40 Somaliland 40–41 South Africa childhood obesity 93 diamonds 13 gay and lesbian rights 73 murder rate 45, 46 South Korea arms sales 20 rice consumption 110 South Sudan failed state 40 polygamy 5 space elevators 183–4 spaghetti 31 Spain forests 145 gay and lesbian rights 73 job tenure 130 spam e-mail 189–90 sperm banks 61–2 sport football clubs 211–12 football transfers 203–4 grunting in tennis 197–8 Sri Lanka 118 Star Wars 208 sterilisation 65–6 Strasbourg 26 submarine cables 193–4 Sudan 40 suicide-bombers 15–16 summer holidays 239–40 Sutton Trust 22 Sweden Christmas music 243, 244 gay and lesbian rights 73 homophobia 70 inheritance tax 119 overpayment of taxes 51–2 sex reassignment 65 sexual harassment 67–8 Swinnen, Johan 106 Switzerland sex reassignment 65 witch-hunting 26, 27 T Taiwan dog meat 91 dragon children 56 Tamil Tigers 15 Tanzania 40 taxes death taxes 119–20 Sweden 51–2 taxis robotaxis 177–8 see also ride-hailing apps tennis players, grunting 197–8 terrorism 15–16 Texas 85 Thailand 110 Thanksgiving 241–2 think-tanks 21–2 Tianjin 143–4 toilets 155–6 Tok Pisin 219, 220 transgender people 65–6 Trump, Donald 223 Argentine lemons 95, 96 estate tax 119 and gender pay gap 115 and manufacturing jobs 131, 132 Tsiolkovsky, Konstantin 183 Turkey 151 turkeys 33 Turkmenistan 6 U Uber 128 and drink-driving 179–80 Uganda 40 Ulaanbaatar 42–3 Uljarevic, Daliborka 221 undersea cables 193–4 unemployment 169–70 Unicode 215–16 United Arab Emirates and Somaliland 41 weapons purchases 19 United Kingdom see Britain United States and Argentine lemons 95–6 arms sales 19 beer consumption 105 chess 205–6 child marriage 84–5 Christmas 246–7 Christmas music 243, 244 drink-driving 179–80 drones 187–8 end of life care 141–2 estate tax 119 fertility rates 79–80 food trucks 99–100 forests 145 gay and lesbian rights 73 getting rich 113–14 Hawaiian porn consumption 63–4 job tenure 129–30 letter names 218 lithium 17 manufacturing jobs 131–2 murder rate 45, 46 national identity 223–4 new-year resolutions 234 plague 157–8 police body cameras 191–2 polygamy 6 robotaxis 177 robots 171–2 St Patrick’s Day 235–6 sexual harassment 67, 68 sperm banks 61–2 Thanksgiving 241–2 video games and unemployment 169–70 wealth inequality 121 unmanned aerial vehicles (UAVs) see drones V video games 169–70 Vietnam weapons purchases 19 wheat consumption 110 Virginia 85 virtual reality (VR) 181, 182 Visit from St Nicholas, A (Moore) 247 W Wang Yi 117 Warner, Jason 15 wars 5 Washington, George 242 Washington DC, food trucks 99 waste 159–60 water pollution 149–50 wealth getting rich in America 113–14 high-net-worth individuals 53 inequality 120, 121–2 weather, and Christmas music 243–5 Weinstein, Harvey 67, 69 Weryk, Rob 185 wheat consumption 109–10 genome 107–8 Wilson, Riley 79–80 wine glasses 101–2 Winslow, Edward 241 wireless technology 173–4 witch-hunting 25–7 wolves 161–2 women birth rates 79–80, 81–3 bride price 5 career and family 77–8 child marriage 84–5 housework 75–6 job tenure 129–30 life expectancy 125 pay gap 115–16 sexual harassment of 67–9 suicide-bombers 15–16 World Bank 227–8 World Health Organisation (WHO) and smoking 151–2 transsexualism 65 X Xi Jinping 117–18 Y young people crime 47–8 job tenure 129–30 video games and unemployment 169–70 Yu, Han 56–7 Yulin 91 yurts 42–3 Z Zubelli, Rita 239


pages: 233 words: 66,446

Bitcoin: The Future of Money? by Dominic Frisby

3D printing, altcoin, bank run, banking crisis, banks create money, barriers to entry, bitcoin, blockchain, capital controls, Chelsea Manning, cloud computing, computer age, cryptocurrency, disintermediation, Ethereum, ethereum blockchain, fiat currency, fixed income, friendly fire, game design, Isaac Newton, Julian Assange, land value tax, litecoin, M-Pesa, mobile money, money: store of value / unit of account / medium of exchange, Occupy movement, Peter Thiel, Ponzi scheme, prediction markets, price stability, QR code, quantitative easing, railway mania, Ronald Reagan, Ross Ulbricht, Satoshi Nakamoto, Silicon Valley, Skype, slashdot, smart contracts, Snapchat, Stephen Hawking, Steve Jobs, Ted Nelson, too big to fail, transaction costs, Turing complete, War on Poverty, web application, WikiLeaks

People can deposit and withdraw money, transfer money (even to non-users), pay bills, buy airtime and, in some cases, actually transfer money to a bank account. They can even obtain credit. This is precisely how Szabo envisages Bitcoin changing the world. Mobile phones are replacing banks. ‘Financial inclusion is reported to be at 80% in Kenya’, says Sitoyo Lopokoiyit of Safaricom. ‘When you remove mobile money, it drops to 23%. So you can see what mobile money does for financial inclusion in Kenya.’193 The M-Pesa has been launched in Tanzania, South Africa, India, Afghanistan and Eastern Europe. It has had some success in Afghanistan and Tanzania, rather less in South Africa – but nowhere has it worked as well as in Kenya. Steps are currently being taken to launch it in India. I’ve spoken to some of the venture capitalists involved.

Technology was at such a point where China was able to bypass all that and go straight to wireless. It’s very easy to get all excited and imagine something similar with developing Third World nations by-passing banks and banking infrastructure altogether and going straight to Bitcoin. In fact, something similar is already happening – but it doesn’t involve Bitcoin. It is most apparent in Kenya with the M-Pesa. M stands for mobile. Pesa is Swahili for money – so you have ‘mobile money’. It began quite organically in the early 2000s in various parts of Africa. People started transferring their mobile phone minutes – their airtime credits – to friends or family. This airtime, of course, has a definite value. Based on a ‘real thing’ it would become a modern day commodity currency. Safaricom and Vodafone both picked up on the practice and brought in systems to both regulate and facilitate it.


pages: 505 words: 147,916

Adventures in the Anthropocene: A Journey to the Heart of the Planet We Made by Gaia Vince

3D printing, agricultural Revolution, bank run, car-free, carbon footprint, citizen journalism, clean water, congestion charging, crowdsourcing, decarbonisation, deindustrialization, energy security, failed state, Google Earth, Haber-Bosch Process, hive mind, informal economy, Intergovernmental Panel on Climate Change (IPCC), Kickstarter, load shedding, M-Pesa, Mars Rover, Masdar, megacity, mobile money, off grid, oil shale / tar sands, out of africa, Peter Thiel, phenotype, planetary scale, Ray Kurzweil, Silicon Valley, Skype, smart cities, smart grid, smart meter, South China Sea, sovereign wealth fund, stem cell, supervolcano, sustainable-tourism

Further into the Anthropocene, some researchers believe, we will increasingly think of our smartphone as a partner – even in emotional terms.1 In East Africa, I saw how mobile money services, such as M-Pesa, are enabling phone users to transfer cash and pay for goods with the speed and convenience of an SMS text message.2 A customer pays cash to his local corner-shop agent, who then tops up his mobile money account using a special kind of secure SMS. He can then transfer money to another person or pay for something by sending a text to the recipient’s mobile phone account, which transfers the money straightaway. Even people without mobile money accounts can receive payments in the form of a text code, which can be exchanged for cash by their local corner-shop agent. For the millions of Africans who don’t meet the criteria for a bank account, or who live too far from a branch, mobile money presents an opportunity to save securely for the first time.

The village belongs to the smallest tribe in Kenya, the El Moro, who number about fifty, although so many have intermarried with Samburu, it’s hard to know whether there are any ‘true’ El Moro left. This is one of the only traditional fishing tribes in Kenya – the men take log rafts out and pull in Nile perch and tilapia weighing as much as 100 kg. Like the widows of Loiyangalani, they dry and salt the fish for sale in Lake Victoria. All the transactions can be made using the M-Pesa mobile money service. Mass is conducted with much beautiful, harmonious singing, wafting of incense and plenty of curious glances my way. The children and adults have deformed bones and teeth. Fabio thinks it is because they are drinking water straight from the lake. It could be that the minerals dissolved in the water are preventing them from absorbing calcium. Child mortality is high here. Women have six or seven children and losing one or two is normal and an accepted part of life – children ‘don’t count’ as permanent people in the fragile years up to 5 years old, after which they more securely join the living.


pages: 677 words: 206,548

Future Crimes: Everything Is Connected, Everyone Is Vulnerable and What We Can Do About It by Marc Goodman

23andMe, 3D printing, active measures, additive manufacturing, Affordable Care Act / Obamacare, Airbnb, airport security, Albert Einstein, algorithmic trading, artificial general intelligence, Asilomar, Asilomar Conference on Recombinant DNA, augmented reality, autonomous vehicles, Baxter: Rethink Robotics, Bill Joy: nanobots, bitcoin, Black Swan, blockchain, borderless world, Brian Krebs, business process, butterfly effect, call centre, Charles Lindbergh, Chelsea Manning, cloud computing, cognitive dissonance, computer vision, connected car, corporate governance, crowdsourcing, cryptocurrency, data acquisition, data is the new oil, Dean Kamen, disintermediation, don't be evil, double helix, Downton Abbey, drone strike, Edward Snowden, Elon Musk, Erik Brynjolfsson, Filter Bubble, Firefox, Flash crash, future of work, game design, global pandemic, Google Chrome, Google Earth, Google Glasses, Gordon Gekko, high net worth, High speed trading, hive mind, Howard Rheingold, hypertext link, illegal immigration, impulse control, industrial robot, Intergovernmental Panel on Climate Change (IPCC), Internet of things, Jaron Lanier, Jeff Bezos, job automation, John Harrison: Longitude, John Markoff, Joi Ito, Jony Ive, Julian Assange, Kevin Kelly, Khan Academy, Kickstarter, knowledge worker, Kuwabatake Sanjuro: assassination market, Law of Accelerating Returns, Lean Startup, license plate recognition, lifelogging, litecoin, low earth orbit, M-Pesa, Mark Zuckerberg, Marshall McLuhan, Menlo Park, Metcalfe’s law, MITM: man-in-the-middle, mobile money, more computing power than Apollo, move fast and break things, move fast and break things, Nate Silver, national security letter, natural language processing, obamacare, Occupy movement, Oculus Rift, off grid, offshore financial centre, optical character recognition, Parag Khanna, pattern recognition, peer-to-peer, personalized medicine, Peter H. Diamandis: Planetary Resources, Peter Thiel, pre–internet, RAND corporation, ransomware, Ray Kurzweil, refrigerator car, RFID, ride hailing / ride sharing, Rodney Brooks, Ross Ulbricht, Satoshi Nakamoto, Second Machine Age, security theater, self-driving car, shareholder value, Silicon Valley, Silicon Valley startup, Skype, smart cities, smart grid, smart meter, Snapchat, social graph, software as a service, speech recognition, stealth mode startup, Stephen Hawking, Steve Jobs, Steve Wozniak, strong AI, Stuxnet, supply-chain management, technological singularity, telepresence, telepresence robot, Tesla Model S, The Future of Employment, The Wisdom of Crowds, Tim Cook: Apple, trade route, uranium enrichment, Wall-E, Watson beat the top human players on Jeopardy!, Wave and Pay, We are Anonymous. We are Legion, web application, Westphalian system, WikiLeaks, Y Combinator, zero day

Vaughan-Nichols, “First Case of Android Trojan Spreading via Mobile Botnets Discovered,” ZDNet, Sept. 5, 2013. 26 As such, criminals: “Gartner Says Worldwide PC, Tablet, and Mobile Phone Shipments to Grow 5.9 Percent in 2013 as Anytime-Anywhere-Computing Drives Buyer Behavior,” Gartner Newsroom, June 24, 2013. 27 The vulnerability meant: Salvador Rodriguez, “Hackers Can Use Snapchat to Disable iPhones, Researcher Says,” Los Angeles Times, Feb. 7, 2014. 28 Moreover, hackers were also: Selena Larson, “Snapchat Responds to Massive Hack,” ReadWrite, Jan. 3, 2014. 29 Worse, it was revealed: Kashmir Hill, “Snapchats Don’t Disappear: Forensics Firm Has Pulled Dozens of Supposedly Deleted Photos from Android Phones,” Forbes, May 9, 2013. 30 As a result, tens of thousands: Tyler Kingkade, “Ohio University Student Accused of Using Nude Snapchat Photos to Extort Sex,” Huffington Post, Dec. 30, 2013. 31 Today 89 percent of employees: Juniper Networks, “Trusted Mobility Index,” May 2012. 32 For just a few hundred dollars: Brian Montopoli, “For Criminals, Smartphones Becoming Prime Targets,” CBS News, Aug. 7, 2013; Dan Nosowitz, “A Hacked Mobile Antenna in a Backpack Could Spy on Cell Phone Conversations,” Popular Science, July 16, 2013. 33 In Kenya, for example: “Why Does Kenya Lead the World in Mobile Money?,” Economist, May 27, 2013. 34 Mobile money payment: Claire Pénicaud, “State of the Industry: Results from the 2012 Global Mobile Money Adoption Survey,” GSMA, Feb. 2013. 35 The Google Wallet system: Keith Wagstaff, “Google Wallet Hack Shows NFC Payments Still Aren’t Secure,” Time, Feb. 10, 2012. 113 Moreover, if and when a user loses: Sarah Clark, “Google Wallet Faces Its Second Hack of the Week,” NFC World, Feb. 10, 2012. 36 Given the volumes: Anthony Wing Kosner, “Tinder Dating App Users Are Playing with Privacy Fire,” Forbes, Feb. 18, 2014. 37 In fact, in 2012 police in South Australia: Miles Kemp, “Police Warn Photos of Kids with Geo-tagging Being Used by Paedophiles,” Herald Sun (Melbourne), April 18, 2012. 38 In 2012, the U.S.

One area in which this will be most clearly seen is in the disappearance of physical currency. The future of money is mobile and virtual, and a bevy of new sensors and apps are on track to replace your wallet and the cash in your pocket. In fact, some mobile phone providers, such as Safaricom in Africa, dominate the overall payment space. In Kenya, for example, 25 percent of the nation’s GNP is actually transacted on Safaricom’s M-PESA payment system. Mobile money payment systems, which did not even exist at the turn of the last century, are now available in over seventy countries and are used to move billions of dollars every month. In particular, they have been incredibly useful in getting previously “unbanked” populations in the developing world access to the global world of commerce with significant positive impact for local economies. In the developed world, there has also been a rush to adopt and deploy mobile phone payment systems.

Google Wallet works with the NFC chips on a wide variety of mobile phones from HTC, LG, Motorola, and Samsung. The money as represented on these mobile devices is nothing more than data—data that are stored in vulnerable applications, controlled by deeply vulnerable mobile operating systems, using insecure sensor technologies and sensor data-transfer protocols. The obvious result? The future of mobile money may also be the future of mobile pick pocketing. The Google Wallet system has already been subverted by criminals on numerous occasions, and apps such as Wallet Cracker allow anybody to see a user’s personal identification code (PIN) number for the system on demand. Moreover, if and when a user loses his or her Android phone, any pre-stored money in the user’s Google Wallet (data on the device) can readily be spent in a store by the person who happens to steal or find the device.


pages: 239 words: 62,311

The Next Factory of the World: How Chinese Investment Is Reshaping Africa by Irene Yuan Sun

barriers to entry, Bretton Woods, capital controls, clean water, Computer Numeric Control, deindustrialization, demographic dividend, Deng Xiaoping, Donald Trump, European colonialism, floating exchange rates, full employment, global supply chain, invisible hand, job automation, low skilled workers, M-Pesa, manufacturing employment, means of production, mobile money, post-industrial society, profit motive, purchasing power parity, race to the bottom, RAND corporation, Ronald Reagan, Shenzhen was a fishing village, Silicon Valley, Skype, special economic zone, structural adjustment programs, Triangle Shirtwaist Factory, union organizing, Washington Consensus, working-age population

Omwansa and Sullivan, Money, Real Quick. 19. Ibid. 20. Michael Joseph, interview by author, Cambridge, MA, April 14, 2016. 21. Bitange Ndemo, interview by author, Nairobi, Kenya, July 11, 2016. 22. Omwansa and Sullivan, Money, Real Quick. 23. Ibid. 24. Njuguna Ndung’u, interview by author, Nairobi, Kenya, July 8, 2016. 25. Mukhisa Kituyi, “Kenya’s Mobile Money Innovation Draws World Attention,” Daily Nation, May 21, 2011, http://www.nation.co.ke/oped/Opinion/Kenyas+mobile+money+innovation+draws+world+attention+/-/440808/1166842/-/kctp0xz/-/index.html. 26. Tony Saich, Governance and Politics of China (3rd edition) (Basingstoke, UK: Palgrave Macmillan, 2010), 5, 7. 27. Ibid., 4. 28. Peter J. Katzenstein, Small States in World Markets: Industrial Policy in Europe (Ithaca, NY: Cornell University Press, 1985), 79. 29.


pages: 501 words: 114,888

The Future Is Faster Than You Think: How Converging Technologies Are Transforming Business, Industries, and Our Lives by Peter H. Diamandis, Steven Kotler

Ada Lovelace, additive manufacturing, Airbnb, Albert Einstein, Amazon Mechanical Turk, augmented reality, autonomous vehicles, barriers to entry, bitcoin, blockchain, blood diamonds, Burning Man, call centre, cashless society, Charles Lindbergh, Clayton Christensen, clean water, cloud computing, Colonization of Mars, computer vision, creative destruction, crowdsourcing, cryptocurrency, Dean Kamen, delayed gratification, dematerialisation, digital twin, disruptive innovation, Edward Glaeser, Edward Lloyd's coffeehouse, Elon Musk, en.wikipedia.org, epigenetics, Erik Brynjolfsson, Ethereum, ethereum blockchain, experimental economics, food miles, game design, Geoffrey West, Santa Fe Institute, gig economy, Google X / Alphabet X, gravity well, hive mind, housing crisis, Hyperloop, indoor plumbing, industrial robot, informal economy, Intergovernmental Panel on Climate Change (IPCC), Internet of things, invention of the telegraph, Isaac Newton, Jaron Lanier, Jeff Bezos, job automation, Joseph Schumpeter, Kevin Kelly, Kickstarter, late fees, Law of Accelerating Returns, life extension, lifelogging, loss aversion, Lyft, M-Pesa, Mary Lou Jepsen, mass immigration, megacity, meta analysis, meta-analysis, microbiome, mobile money, multiplanetary species, Narrative Science, natural language processing, Network effects, new economy, New Urbanism, Oculus Rift, out of africa, packet switching, peer-to-peer lending, Peter H. Diamandis: Planetary Resources, Peter Thiel, QR code, RAND corporation, Ray Kurzweil, RFID, Richard Feynman, Richard Florida, ride hailing / ride sharing, risk tolerance, Satoshi Nakamoto, Second Machine Age, self-driving car, Silicon Valley, Skype, smart cities, smart contracts, smart grid, Snapchat, sovereign wealth fund, special economic zone, stealth mode startup, stem cell, Stephen Hawking, Steve Jobs, Steven Pinker, Stewart Brand, supercomputer in your pocket, supply-chain management, technoutopianism, Tesla Model S, Tim Cook: Apple, transaction costs, Uber and Lyft, uber lyft, unbanked and underbanked, underbanked, urban planning, Watson beat the top human players on Jeopardy!, We wanted flying cars, instead we got 140 characters, X Prize

See their fee table here: https://www.westernunion.com/content/dam/wu/EU/EN/feeTableRetailEN-ES.PDF. Eight months after launch: Harford, Fifty Inventions, p. 229. According to research done at MIT: Tavneet Suri, “The Long-Run Poverty and Gender Impacts of Mobile Money,” Science 354, no. 6317 (December 9, 2016): 1288–1292. See: https://science.sciencemag.org/content/354/6317/1288. 30 million people in ten different countries: Read the feature news story “What Kenya’s Mobile Money Success Could Mean for the Arab World” on the World Bank’s website here: https://www.worldbank.org/en/news/feature/2018/10/03/what-kenya-s-mobile-money-success-could-mean-for-the-arab-world. bKash now serves over 23 million users: Read the International Finance Corporation’s Inclusive Business Case Study of bKash here: http://documents.worldbank.org/curated/en/560181506580665929/pdf/119870-BRI-PUBLIC-bKash-Builtforchangereport.pdf.


pages: 265 words: 70,788

The Wide Lens: What Successful Innovators See That Others Miss by Ron Adner

barriers to entry, call centre, Clayton Christensen, inventory management, iterative process, Jeff Bezos, Lean Startup, M-Pesa, minimum viable product, mobile money, new economy, RAND corporation, RFID, smart grid, smart meter, spectrum auction, Steve Ballmer, Steve Jobs, Steven Levy, supply-chain management, Tim Cook: Apple, transaction costs

.: Johns Hopkins University Press, 1983), for a fascinating history. [ CHAPTER 8 ] 194 Minimum Viable Ecosystem: In the first edition of The Wide Lens, this concept was referred to as “Minimum Viable Footprint.” 195 65 percent of the Kenyan population: “In Rural Kenya, M-Pesa Is Used as a Savings Account Tool,” Mobile Payment Magazine, March 3, 2011. 195 81 percent of Kenyans did not have access to a bank account: “Enabling Mobile Money Transfer: The Central Bank of Kenya’s Treatment of M-Pesa,” Alliance for Financial Inclusion, case study, 2010, p. 2. 195 27 percent of its citizens owned mobile phones: Ibid., p. 92. 195 63 percent of Kenyans were mobile phone subscribers: Kachwanya, “Kenyan Mobile Phone Penetration Is Now over 63%,” June 7, 2011. Data in figure 4, “Mobile Penetration,” provided by Communications Commission of Kenya. http://www.kach wanya.com/2011/06/07/kenyan-mobile-phone-penetration-is-now-over-63/.

See also http: //mobilemonday.co.ke/ page/2/. 196 “too many challenges to mention”: Jaco Maritz, “Exclusive Interview: The Woman Behind M-PESA,” How We Made It in Africa, November 11, 2010, http://www.howwemadeitinafrica.com/exclusive-interview-the-woman-behind-m-pesa/5496/. 197 considerable complexity was added: Sarah Rotman, “M-PESA: A Very Simple and Secure Customer Proposition,” CGAP.org, November 5, 2008, http://technology.cgap.org/2008/11/05/m-pesa-a-very-simple-and-secure-customer-proposition/. 197 “bottleneck in transferring the money”: Nick Hughes and Susie Lonie, “M-PESA: Mobile Money for the ‘Unbanked’—Turning Cellphones into 24-Hour Tellers in Kenya,” Innovations, Winter/Spring 2007, p. 77. 198 “we would need to find a way to simplify things”: Ibid., p. 74. 200 expanded its customer base to 7.3 million: Michael Ouma, “M-Pesa Now Ventures Abroad to Tap into Diaspora Cash,” East African, October 19, 2009, http://www.theeastafrican.co.ke/business/-/2560/673512/-/5gaimnz/-/index.xhtml. 201 (Kenya’s GDP in 2009 was $63 billion): CIA World Factbook, https://www.cia.gov/library/publications/the-world-factbook/geos/ke.xhtml.


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Geek Heresy: Rescuing Social Change From the Cult of Technology by Kentaro Toyama

Albert Einstein, Berlin Wall, Bernie Madoff, blood diamonds, Capital in the Twenty-First Century by Thomas Piketty, Cass Sunstein, cognitive dissonance, commoditize, computer vision, conceptual framework, delayed gratification, Edward Glaeser, en.wikipedia.org, end world poverty, epigenetics, Erik Brynjolfsson, Francis Fukuyama: the end of history, fundamental attribution error, germ theory of disease, global village, Hans Rosling, happiness index / gross national happiness, income inequality, invention of the printing press, invisible hand, Isaac Newton, Khan Academy, Kibera, knowledge worker, liberation theology, libertarian paternalism, longitudinal study, M-Pesa, Mahatma Gandhi, Mark Zuckerberg, means of production, microcredit, mobile money, Nelson Mandela, Nicholas Carr, North Sea oil, Panopticon Jeremy Bentham, pattern recognition, Peter Singer: altruism, Peter Thiel, post-industrial society, Powell Memorandum, randomized controlled trial, rent-seeking, RFID, Richard Florida, Richard Thaler, school vouchers, self-driving car, Silicon Valley, Simon Kuznets, Stanford marshmallow experiment, Steve Jobs, Steven Pinker, technoutopianism, The Fortune at the Bottom of the Pyramid, Upton Sinclair, Walter Mischel, War on Poverty, winner-take-all economy, World Values Survey, Y2K

Even without digital technology, Green Foundation was committed to farmers and capable of supporting them. For packaged interventions to have positive impact, they need a positive human force to amplify. Rule 2 – Use packaged interventions to amplify the right human forces. Gandhi observed what Green Foundation was already doing and used technology to amplify its work. It’s also possible to amplify the impact of unorganized social trends. In Kenya, for example, a mobile money transfer system called M-PESA famously increased the flow of money from urban to rural areas because there was already an underlying culture of urban migrants sending cash back home.12 Rule 3 – Avoid indiscriminate dissemination of packaged interventions. Digital Green doesn’t work without a strong partner that has rapport with farmers. And Digital Green didn’t branch out into, say, children’s education, because its partner organization had no expertise in that area.

Levin. (1972). Effect of feeling good on helping: Cookies and kindness. Journal of Personality and Social Psychology 21(3):384–388, http://psycnet.apa.org/doi/10.1037/h0032317. I-TECH. (2011). About I-TECH, www.go2itech.org/who-we-are/about-i-tech. ———. (2013). The leader who says “I can.” Everyday Leadership.org, www.everydayleadership.org/video/p519. Jack, William, and Tavneet Suri. (2011). Mobile money: The economics of M-PESA. National Bureau of Economic Research Working Paper 16721, www.nber.org/papers/w16721.pdf. Jakiela, Pamela, Edward Miguel, and Vera te Velde. (2012). You’ve earned it: Combining field and lab experiments to estimate the impact of human capital on social preferences. National Bureau of Economic Research Working Paper 16449, https://ideas.repec.org/p/nbr/nberwo/16449.html.

Limits to self-organising systems of learning – the Kalikuppam experiment. British Journal of Educational Technology 41(5):672–688, www.hole-in-the-wall.com/docs/Paper13.pdf. MixMarket. (2014). Microfinance institutions, www.mixmarket.org/mfi/. Mnookin, Seth. (2011). The Panic Virus: A True Story of Medicine, Science, and Fear. Simon and Schuster. Morawczynski, Olga. (2011). Examining the adoption, usage and outcomes of mobile money services: The case of M-PESA in Kenya. PhD Thesis, University of Edinburgh, https://www.era.lib.ed.ac.uk/bitstream/1842/5558/2/Morawczynski2011.pdf. Morawczynski, Olga, and Mark Pickens. (2009). Poor people using mobile financial services: Observations on customer usage and impact from M-PESA. CGAP Brief, Aug. 2009, https://www.cgap.org/sites/default/files/CGAP-Brief-Poor-People-Using-Mobile-Financial-Services-Observations-on-Customer-Usage-and-Impact-from-M-PESA-Aug-2009.pdf.


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Rebooting India: Realizing a Billion Aspirations by Nandan Nilekani

Airbnb, Atul Gawande, autonomous vehicles, barriers to entry, bitcoin, call centre, cashless society, clean water, cloud computing, collaborative consumption, congestion charging, DARPA: Urban Challenge, dematerialisation, demographic dividend, Edward Snowden, en.wikipedia.org, energy security, financial exclusion, Google Hangouts, illegal immigration, informal economy, Khan Academy, Kickstarter, knowledge economy, land reform, law of one price, M-Pesa, Mahatma Gandhi, Marc Andreessen, Mark Zuckerberg, mobile money, Mohammed Bouazizi, more computing power than Apollo, Negawatt, Network effects, new economy, offshore financial centre, price mechanism, price stability, rent-seeking, RFID, Ronald Coase, school choice, school vouchers, self-driving car, sharing economy, Silicon Valley, Skype, smart grid, smart meter, software is eating the world, source of truth, Steve Jobs, The Nature of the Firm, transaction costs, WikiLeaks

http://www.telegraph.co.uk/news/worldnews/africaandindianocean/ zimbabwe/1520590/The-100000-note-that-wont-buy-a-loaf-of-bread-in-Zimbabwe.html 14. Gustafsson, Katarina, and Magnusson, Niklas. 28 October 2013. ‘Stockholm’s Homeless Accept Cards as Cash No Longer King’. Bloomberg. http://www.bloomberg.com/news/2013-10-27/stockholm-s-homeless-accept-cards-as-cash-no-longer-king.html 15. 14 November 2013. ‘Mobile Money: The Opportunity for India’. Mobile Money Association of India (MMAI) and GSMA submission to the Reserve Bank of India. 16. Ghosh, Suprotip. 8 December 2013. ‘Banking the Unbanked’. Business Today. http://businesstoday.intoday.in/story/rbi-expansion-general-public-helps-take-banking-rural-india/1/200646.html 17. February 2015. ‘Unified Payments Interface. API and Technology Specifications (Version 1.0)’. National Payments Corporation of India.


pages: 133 words: 31,263

The Lessons of History by Will Durant, Ariel Durant

long peace, mobile money, plutocrats, Plutocrats, profit motive, Thales of Miletus, Thomas Malthus, trade route

Conquered Greeks, Orientals, and Africans were brought to Italy to serve as slaves on the latifundia; the native farmers, displaced from the soil, joined the restless, breeding proletariat in the cities, to enjoy the monthly dole of grain that Caius Gracchus had secured for the poor in 12 3 B.C. Generals and proconsuls returned from the provinces loaded with spoils for themselves and the ruling class; millionaires multiplied; mobile money replaced land as the source or instrument of political power; rival factions competed in the wholesale purchase of candidates and votes; in 53 B.C. one group of voters received ten million sesterces for its support.62 When money failed, murder was available: citizens who had voted the wrong way were in some instances beaten close to death and their houses were set on fire. Antiquity had never known so rich, so powerful, and so corrupt a government.63 The aristocrats engaged Pompey to maintain their ascendancy; the commoners cast in their lot with Caesar; ordeal of battle replaced the auctioning of victory; Caesar won, and established a popular dictatorship.


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How the Other Half Banks: Exclusion, Exploitation, and the Threat to Democracy by Mehrsa Baradaran

access to a mobile phone, affirmative action, asset-backed security, bank run, banking crisis, banks create money, barriers to entry, British Empire, call centre, Capital in the Twenty-First Century by Thomas Piketty, cashless society, credit crunch, David Graeber, disintermediation, disruptive innovation, diversification, failed state, fiat currency, financial innovation, financial intermediation, Goldman Sachs: Vampire Squid, housing crisis, income inequality, Internet Archive, invisible hand, Kickstarter, M-Pesa, McMansion, microcredit, mobile money, moral hazard, mortgage debt, new economy, Own Your Own Home, payday loans, peer-to-peer lending, price discrimination, profit maximization, profit motive, quantitative easing, race to the bottom, rent-seeking, Ronald Reagan, Ronald Reagan: Tear down this wall, savings glut, the built environment, the payments system, too big to fail, trade route, transaction costs, unbanked and underbanked, underbanked, union organizing, white flight, working poor

The M-Pesa program in Kenya is the most-cited example of mobile banking successfully leading to financial inclusion. In 2007, Kenya’s leading mobile company, Safaricom, joined up with the Central Bank of Kenya to launch M-Pesa for Kenyans, who are 80 percent unbanked. As of January 2013 (in just under six years), 17 million adults (approximately 74 percent of Kenya’s adult population) used M-Pesa, and over 25 percent of Kenya’s gross domestic product was funneled through mobile money services.77 With over forty thousand agents across the country, users can make deposits, transfer funds to anyone with a mobile phone, pay bills, distribute employee salaries, and even get loans. Financial inclusion of the unbanked in Kenya has resulted in significant benefits. Not only do Kenyans waste less time waiting in lines at banks or paying bills, one study even found that in rural Kenya, households that used M-Pesa enjoyed increased incomes of 5 to 30 percent!

It is also probable that they will trust companies like Google, Amazon, and PayPal even more than the likes of Bank of America or Wells Fargo, whether this trust is warranted or not. Danielle Douglas-Gabriel, “How Wal-Mart and Google Could Steal Young Customers from Traditional Banks,” Washington Post, May 27, 2014, accessed March 15, 2015, www.washingtonpost.com/blogs/wonkblog/wp/2014/05/27/how-wal-mart-and-google-could-steal-young-customers-from-traditional-banks/. 77. “Why Does Kenya Lead the World in Mobile Money?,” Economist, May 27, 2013, accessed March 15, 2015, www.economist.com/blogs/economist-explains/2013/05/economist-explains-18. 78. “[Sixty-nine] percent of the unbanked … [and] 88 percent of the underbanked have access to a mobile phone … 39 percent of underbanked consumers have used mobile banking in the past 12 months.” Federal Reserve Board of Governors, “Consumers and Mobile Financial Services 2014,” March 2014: 2, accessed March 15, 2015, www.federalreserve.gov/econresdata/consumers-and-mobile-financial-services-report-201403.pdf. 79.


No Slack: The Financial Lives of Low-Income Americans by Michael S. Barr

active measures, asset allocation, Bayesian statistics, business cycle, Cass Sunstein, conceptual framework, Daniel Kahneman / Amos Tversky, financial exclusion, financial innovation, Home mortgage interest deduction, income inequality, information asymmetry, labor-force participation, late fees, London Interbank Offered Rate, loss aversion, market friction, mental accounting, Milgram experiment, mobile money, money market fund, mortgage debt, mortgage tax deduction, New Urbanism, p-value, payday loans, race to the bottom, regulatory arbitrage, Richard Thaler, risk tolerance, Robert Shiller, Robert Shiller, the payments system, transaction costs, unbanked and underbanked, underbanked

Barr, 1–24. New York: Russell Sage Foundation. Bertrand, Marianne, Sendhil Mullainathan, and Eldar Shafir. 2006. “Behavioral Economics and Marketing in Aid of Decision Making among the Poor.” Journal of Public Policy and Marketing 25:8–23. Beshouri, Christopher, and others. 2010. “Mobile Money for the Unbanked: Unlocking the Potential in Emerging Markets.” McKinsey on Payments, June (www.mckinsey.com/ clientservice/Financial_Services/Knowledge_Highlights/Recent_Reports/~/media/ Reports/Financial_Services/MoP8_Mobile_money_for_the_unbanked.ashx). Borzekowski, Ron, Elizabeth K. Kiser, and Shaista Ahmed. 2008. “Consumers’ Use of Debit Cards: Patterns, Preferences, and Price Response.” Journal of Money, Credit, and Banking 40:149–72. Bucks, Brian K., Arthur B. Kennickell, and Kevin B. Moore. 2006. “Recent Changes in U.S.


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The Age of Cryptocurrency: How Bitcoin and Digital Money Are Challenging the Global Economic Order by Paul Vigna, Michael J. Casey

Airbnb, altcoin, bank run, banking crisis, bitcoin, blockchain, Bretton Woods, buy and hold, California gold rush, capital controls, carbon footprint, clean water, collaborative economy, collapse of Lehman Brothers, Columbine, Credit Default Swap, cryptocurrency, David Graeber, disintermediation, Edward Snowden, Elon Musk, Ethereum, ethereum blockchain, fiat currency, financial innovation, Firefox, Flash crash, Fractional reserve banking, hacker house, Hernando de Soto, high net worth, informal economy, intangible asset, Internet of things, inventory management, Joi Ito, Julian Assange, Kickstarter, Kuwabatake Sanjuro: assassination market, litecoin, Long Term Capital Management, Lyft, M-Pesa, Marc Andreessen, Mark Zuckerberg, McMansion, means of production, Menlo Park, mobile money, money: store of value / unit of account / medium of exchange, Nelson Mandela, Network effects, new economy, new new economy, Nixon shock, offshore financial centre, payday loans, Pearl River Delta, peer-to-peer, peer-to-peer lending, pets.com, Ponzi scheme, prediction markets, price stability, profit motive, QR code, RAND corporation, regulatory arbitrage, rent-seeking, reserve currency, Robert Shiller, Robert Shiller, Ross Ulbricht, Satoshi Nakamoto, seigniorage, shareholder value, sharing economy, short selling, Silicon Valley, Silicon Valley startup, Skype, smart contracts, special drawing rights, Spread Networks laid a new fibre optics cable between New York and Chicago, Steve Jobs, supply-chain management, Ted Nelson, The Great Moderation, the market place, the payments system, The Wealth of Nations by Adam Smith, too big to fail, transaction costs, tulip mania, Turing complete, Tyler Cowen: Great Stagnation, Uber and Lyft, uber lyft, underbanked, WikiLeaks, Y Combinator, Y2K, zero-sum game, Zimmermann PGP

Without savings accounts, without access to banking services, people in emerging markets—as well as a good number in advanced markets such as the United States—have a difficult time building up lasting wealth. It’s just one more challenge that leaves so many trapped in poverty. For them, the pursuit of other freedoms—of speech, for example—must be subordinated to the task of tackling these financial and economic challenges. The escape from all that, bitcoiners surmise, may lie in those $5 phones and a radical new mobile-money system. Mali is one of the poorest nations on the planet. It ranked 175th out of 187 nations on the UN’s Human Development Index. More than 70 percent of the population lives below the poverty line. It is largely dependent upon agriculture, and per capita income averages $500 a year. There are efforts to boost tourism, but the country’s history of violence, including the coup in 2012 that drove people such as Fatima from their homes, makes that a hard sell.

She has started a meetup culture and teaches coding to schoolchildren. Five people were at her first meetup; six months later, there were forty, and they were doing coding and coming up with their own apps. “People are responding, people are excited about it,” she says. M-Pesa, now combined with a nascent bitcoin community, is proving to be Kenya’s on-ramp to a broader technology revolution, as mobile money and the Internet spark a wave of creativity and entrepreneurship. Nairobi has become one of Africa’s most important tech hubs, if not the biggest. It is sometimes called Silicon Savannah. The city even has its own version of 20Mission, a hacker house called iHub that’s not far from the University of Nairobi’s science center. It occupies a spacious, modern space on the fourth floor of an office building that would be right at home in Silicon Valley, with lots of light, room for talks and presentations, couches and lounge space (including a foosball table), and a coffee bar.


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Smart Cities: Big Data, Civic Hackers, and the Quest for a New Utopia by Anthony M. Townsend

1960s counterculture, 4chan, A Pattern Language, Airbnb, Amazon Web Services, anti-communist, Apple II, Bay Area Rapid Transit, Burning Man, business process, call centre, carbon footprint, charter city, chief data officer, clean water, cleantech, cloud computing, computer age, congestion charging, connected car, crack epidemic, crowdsourcing, DARPA: Urban Challenge, data acquisition, Deng Xiaoping, digital map, Donald Davies, East Village, Edward Glaeser, game design, garden city movement, Geoffrey West, Santa Fe Institute, George Gilder, ghettoisation, global supply chain, Grace Hopper, Haight Ashbury, Hedy Lamarr / George Antheil, hive mind, Howard Rheingold, interchangeable parts, Internet Archive, Internet of things, Jacquard loom, Jane Jacobs, jitney, John Snow's cholera map, Joi Ito, Khan Academy, Kibera, Kickstarter, knowledge worker, load shedding, M-Pesa, Mark Zuckerberg, megacity, mobile money, mutually assured destruction, new economy, New Urbanism, Norbert Wiener, Occupy movement, off grid, openstreetmap, packet switching, Panopticon Jeremy Bentham, Parag Khanna, patent troll, Pearl River Delta, place-making, planetary scale, popular electronics, RFC: Request For Comment, RFID, ride hailing / ride sharing, Robert Gordon, self-driving car, sharing economy, Silicon Valley, Skype, smart cities, smart grid, smart meter, social graph, social software, social web, special economic zone, Steve Jobs, Steve Wozniak, Stuxnet, supply-chain management, technoutopianism, Ted Kaczynski, telepresence, The Death and Life of Great American Cities, too big to fail, trade route, Tyler Cowen: Great Stagnation, undersea cable, Upton Sinclair, uranium enrichment, urban decay, urban planning, urban renewal, Vannevar Bush, working poor, working-age population, X Prize, Y2K, zero day, Zipcar

Indian Express, last modified January 3, 2012, http://www.indianexpress.com/news/is-your-city-smart-enough/894919/. 22“UN award for SA’s Dr Math mobile tool,” SouthAfrica.info, blog, last modified June 9, 2011, http://www.southafrica.info/business/trends/innovations/drmath-090611.htm#. UHA-00IQTzI. 23Katrina Manson, “Kenya to India: exporting the mobile money model,” Financial Times, blog, last modified November 11, 2011, http://blogs.ft.com/beyond-brics/2011/11/11/kenya-to-india-exporting-the-mobile-money-model/. 24“Ericsson and Orange bring sustainable and affordable connectivity to rural Africa,” Telefonaktiebolaget LM Ericsson, Stockholm, last modified February 18, 2009, http://www.ericsson.com/news/1291529. 25Andrew Nusca, “Vodafone Debuts $32 Solar-Powered Mobile Phone for Rural India,” Smart Planet, blog, last modified July 27, 2010, http://www.smartplanet.com/blog/smart-takes/vodafone-debuts-32-solar-powered-mobile-phone-for-rural-india/9367. 26A.


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The Hype Machine: How Social Media Disrupts Our Elections, Our Economy, and Our Health--And How We Must Adapt by Sinan Aral

Airbnb, Albert Einstein, Any sufficiently advanced technology is indistinguishable from magic, augmented reality, Bernie Sanders, bitcoin, carbon footprint, Cass Sunstein, computer vision, coronavirus, correlation does not imply causation, COVID-19, Covid-19, crowdsourcing, cryptocurrency, death of newspapers, disintermediation, Donald Trump, Drosophila, Edward Snowden, Elon Musk, en.wikipedia.org, Erik Brynjolfsson, experimental subject, facts on the ground, Filter Bubble, global pandemic, hive mind, illegal immigration, income inequality, Kickstarter, knowledge worker, longitudinal study, low skilled workers, Lyft, Mahatma Gandhi, Mark Zuckerberg, Menlo Park, meta analysis, meta-analysis, Metcalfe’s law, mobile money, move fast and break things, move fast and break things, multi-sided market, Nate Silver, natural language processing, Network effects, performance metric, phenotype, recommendation engine, Robert Bork, Robert Shiller, Robert Shiller, Second Machine Age, sentiment analysis, shareholder value, skunkworks, Snapchat, social graph, social intelligence, social software, social web, statistical model, stem cell, Stephen Hawking, Steve Jobs, Telecommunications Act of 1996, The Chicago School, The Wisdom of Crowds, theory of mind, Tim Cook: Apple, Uber and Lyft, uber lyft, WikiLeaks, Yogi Berra

Several recent examples of how not to regulate social media make clear why we need scalpels, not broadswords. The struggling Ugandan economy inspired Ugandan citizens and businesses to move online in an effort to leapfrog the antiquated telecommunications infrastructure there. But in July 2018, following protests against his rule, Yoweri Museveni imposed a five-cents-per-day tax on social media and increased taxes on mobile money by 5 percent to curb antigovernment sentiment and increase tax revenue. Unfortunately, this broadsword approach had devastating unintended consequences for Uganda. For many Ugandans, social media is the on-ramp to the Internet, and apps like Facebook and WhatsApp are essential for business, education, news, social support, and access to emergency services. Six months after the tax was imposed, Ugandan Internet usage fell 26 percent as the economic burden of the tax sent Ugandans fleeing offline.

Directed Technical Change and Wage Inequality,” Quarterly Journal of Economics 113, no. 4 (1998): 1055–89; David H. Autor, Lawrence F. Katz, and Alan B. Krueger, “Computing Inequality: Have Computers Changed the Labor Market?,” Quarterly Journal of Economics 113, no. 4 (1998): 1169–213. Ugandan Internet usage fell 26 percent: Abdi Latif Dahir, “Uganda’s Social Media Tax Has Led to a Drop in Internet and Mobile Money Users,” Quartz, February 19, 2019, https://qz.com/​africa/​1553468/​uganda-social-media-tax-decrease-internet-users-revenues/. tax increased Internet connection costs by 1 percent: Juliet Nanfuka, “Social Media Tax Cuts Ugandan Internet Users by Five Million, Penetration Down from 47% to 35%,” Collaboration on International ICT Policy in East and Southern Africa, January 31, 2019, https://cipesa.org/​2019/​01/​%EF%BB%BFsocial-media-tax-cuts-ugandan-internet-users-by-five-million-penetration-down-from-47-to-35/.


Design of Business: Why Design Thinking Is the Next Competitive Advantage by Roger L. Martin

asset allocation, Buckminster Fuller, business process, Frank Gehry, global supply chain, high net worth, Innovator's Dilemma, Isaac Newton, mobile money, QWERTY keyboard, Ralph Waldo Emerson, risk tolerance, six sigma, Steve Ballmer, Steve Jobs, supply-chain management, Wall-E, winner-take-all economy

Yet Americans felt confident in their place atop the global order and free to invent new ways to enjoy their burgeoning prosperity. The automobile was central to the sense of open-ended possibility shared by America’s rapidly growing middle class. Spurred by the development of the Interstate Highway System, new roads were rolling out from the cities to the suburbs springing up at their edges. The number of cars sold in America leapt from just seventy thousand in 1945 to more than six million in 1950. A mobile, moneyed lifestyle was taking root, with the automobile at its center. Some of the first entrepreneurs to see the opportunities in this cultural change planted their flags in California, where so many American trends first take root. Drive-in burger joints began to spring up across southern California, where the nascent car culture cross-fertilized a leisure culture centered on the beach. By 1955, a strong-willed salesman named Ray Kroc was able to make a good living selling milk-shake mixers to a wide collection of mom-and-pop California restaurants.


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The Driver in the Driverless Car: How Our Technology Choices Will Create the Future by Vivek Wadhwa, Alex Salkever

23andMe, 3D printing, Airbnb, artificial general intelligence, augmented reality, autonomous vehicles, barriers to entry, Bernie Sanders, bitcoin, blockchain, clean water, correlation does not imply causation, distributed ledger, Donald Trump, double helix, Elon Musk, en.wikipedia.org, epigenetics, Erik Brynjolfsson, Google bus, Hyperloop, income inequality, Internet of things, job automation, Kevin Kelly, Khan Academy, Kickstarter, Law of Accelerating Returns, license plate recognition, life extension, longitudinal study, Lyft, M-Pesa, Menlo Park, microbiome, mobile money, new economy, personalized medicine, phenotype, precision agriculture, RAND corporation, Ray Kurzweil, recommendation engine, Ronald Reagan, Second Machine Age, self-driving car, Silicon Valley, Skype, smart grid, stem cell, Stephen Hawking, Steve Wozniak, Stuxnet, supercomputer in your pocket, Tesla Model S, The Future of Employment, Thomas Davenport, Travis Kalanick, Turing test, Uber and Lyft, Uber for X, uber lyft, uranium enrichment, Watson beat the top human players on Jeopardy!, zero day

Ray Kurzweil, “The law of accelerating returns,” Kurzweil Accelerating Intelligence 7 March 2001, http://www.kurzweilai.net/the-law-of-accelerating-returns (accessed 21 October 2016). 7. Dominic Basulto, “Why Ray Kurzweil’s predictions are right 86% of the time,” Big Think 2012, http://bigthink.com/endless-innovation/why-ray-kurzweils-predictions-are-right-86-of-the-time (accessed 21 October 2016). 8. Tom Standage, “Why does Kenya lead the world in mobile money?” the Economist 27 May 2013, http://www.economist.com/blogs/economist-explains/2013/05/economist-explains-18 (accessed 21 October 2016). 9. Peter Diamandis and Steven Kotler, Abundance: The Future Is Better Than You Think, New York: Free Press, 2012, p. 9. CHAPTER FOUR 1. Tim Kise, “Uber: Congress’ [sic] new private driver,” Hamilton Place Strategies 11 November 2014, http://hamiltonplacestrategies.com/news/uber-congress-new-private-driver (accessed 21 October 2016). 2.


pages: 182 words: 53,802

The Production of Money: How to Break the Power of Banks by Ann Pettifor

Ben Bernanke: helicopter money, Bernie Madoff, Bernie Sanders, bitcoin, blockchain, borderless world, Bretton Woods, capital controls, Carmen Reinhart, central bank independence, clean water, credit crunch, Credit Default Swap, cryptocurrency, David Graeber, David Ricardo: comparative advantage, debt deflation, decarbonisation, distributed ledger, Donald Trump, eurozone crisis, fiat currency, financial deregulation, financial innovation, financial intermediation, financial repression, fixed income, Fractional reserve banking, full employment, Hyman Minsky, inflation targeting, interest rate derivative, invisible hand, John Maynard Keynes: Economic Possibilities for our Grandchildren, Joseph Schumpeter, Kenneth Rogoff, Kickstarter, light touch regulation, London Interbank Offered Rate, market fundamentalism, Martin Wolf, mobile money, Naomi Klein, neoliberal agenda, offshore financial centre, Paul Samuelson, Ponzi scheme, pushing on a string, quantitative easing, rent-seeking, Satyajit Das, savings glut, secular stagnation, The Chicago School, the market place, Thomas Malthus, Tobin tax, too big to fail

By shielding its activities from public oversight and academic scrutiny, it has been possible for the finance sector to turn society’s social construct – credit, and the social relationships between debtors and creditors – into both a false commodity and an artificial market – independent of democratic public authority. As part of a utopian scheme to create a single unregulated global ‘shadow banking’ market in credit, mobile money, trade and labour, finance capital hoped to create a parallel self-regulating planet under private authority. A planet untrammelled by human values, regulations, accountability or standards. These are values, standards and democratic institutions that societies have developed over centuries of civilising evolution. This utopian ideal – to create an autonomous parallel world of financial transactions – had been tried before, both before the First World War, when ‘globalisation’ ended in disaster, and after.


pages: 183 words: 17,571

Broken Markets: A User's Guide to the Post-Finance Economy by Kevin Mellyn

banking crisis, banks create money, Basel III, Bernie Madoff, Big bang: deregulation of the City of London, Bonfire of the Vanities, bonus culture, Bretton Woods, BRICs, British Empire, business cycle, buy and hold, call centre, Carmen Reinhart, central bank independence, centre right, cloud computing, collapse of Lehman Brothers, collateralized debt obligation, corporate governance, corporate raider, creative destruction, credit crunch, crony capitalism, currency manipulation / currency intervention, disintermediation, eurozone crisis, fiat currency, financial innovation, financial repression, floating exchange rates, Fractional reserve banking, global reserve currency, global supply chain, Home mortgage interest deduction, index fund, information asymmetry, joint-stock company, Joseph Schumpeter, labor-force participation, light touch regulation, liquidity trap, London Interbank Offered Rate, market bubble, market clearing, Martin Wolf, means of production, mobile money, money market fund, moral hazard, mortgage debt, mortgage tax deduction, negative equity, Ponzi scheme, profit motive, quantitative easing, Real Time Gross Settlement, regulatory arbitrage, reserve currency, rising living standards, Ronald Coase, seigniorage, shareholder value, Silicon Valley, statistical model, Steve Jobs, The Great Moderation, the payments system, Tobin tax, too big to fail, transaction costs, underbanked, Works Progress Administration, yield curve, Yogi Berra, zero-sum game

Some of this reflects the high level of recent immigration, legal and undocumented, and the number of households living below the poverty line—both factors that set America apart from other rich countries and always has. Some of it reflects the suspicion of banks, much of it deserved, felt by many people without much money or education. We stand at the cusp of a much cheaper and more transparent consumer financial services model based on mobile devices. Poor countries such as Kenya have already demonstrated the potential of mobile money to improve the lives of people living on a few dollars a day. These same technologies and business models could vastly increase financial inclusion in the United States. However, the rush of post-crisis legislation—including the Card Act discussed previously; the Durbin Amendment to Dodd-Frank, which sets prices on debit card transactions; and above all, the establishment of an unaccountable CFPB with expansive powers under Dodd-Frank—could swing the pendulum in the direction of reducing the incentives of banks to operate in the consumer segment.


pages: 280 words: 74,559

Fully Automated Luxury Communism by Aaron Bastani

"Robert Solow", autonomous vehicles, banking crisis, basic income, Berlin Wall, Bernie Sanders, Bretton Woods, capital controls, cashless society, central bank independence, collapse of Lehman Brothers, computer age, computer vision, David Ricardo: comparative advantage, decarbonisation, dematerialisation, Donald Trump, double helix, Elon Musk, energy transition, Erik Brynjolfsson, financial independence, Francis Fukuyama: the end of history, future of work, G4S, housing crisis, income inequality, industrial robot, Intergovernmental Panel on Climate Change (IPCC), Internet of things, Isaac Newton, James Watt: steam engine, Jeff Bezos, job automation, John Markoff, John Maynard Keynes: technological unemployment, Joseph Schumpeter, Kevin Kelly, Kuiper Belt, land reform, liberal capitalism, low earth orbit, low skilled workers, M-Pesa, market fundamentalism, means of production, mobile money, more computing power than Apollo, new economy, off grid, pattern recognition, Peter H. Diamandis: Planetary Resources, post scarcity, post-work, price mechanism, price stability, private space industry, Productivity paradox, profit motive, race to the bottom, RFID, rising living standards, Second Machine Age, self-driving car, sensor fusion, shareholder value, Silicon Valley, Simon Kuznets, Slavoj Žižek, stem cell, Stewart Brand, technoutopianism, the built environment, the scientific method, The Wealth of Nations by Adam Smith, Thomas Malthus, transatlantic slave trade, Travis Kalanick, universal basic income, V2 rocket, Watson beat the top human players on Jeopardy!, Whole Earth Catalog, working-age population

Goodall, Chris. The Switch: How Solar, Storage and New Tech Means Cheap Power for All, Profile Books, 2016. McKibben, Bill. ‘The Race to Solar-Power Africa’. New Yorker, 26 June 2017. Poushter, Jacob. ‘Cell Phones in Africa: Communication Lifeline’. Pew Global Research, 15 April 2015. ‘Reducing Risks, Promoting Healthy Life’. World Health Organization, 2002. T.S. ‘Why Does Kenya Lead the World in Mobile Money?’ Economist, 2 March 2015. Tricarico, Daniele. ‘Case Study: Vodafone Turkey Farmers’ Club’. GSM Association, June 2015. Vaughan, Adam. ‘Time to Shine: Solar Power Is Fastest-growing Source of New Energy’. Guardian, 4 October 2017. Wind Davies, Rob. ‘Wind Turbines “Could Supply Most of UK’s Electricity”’. Guardian, 8 November 2016. ‘The Guardian View of Offshore Wind: Cheaper and Greener’.


pages: 242 words: 73,728

Give People Money by Annie Lowrey

"Robert Solow", affirmative action, Affordable Care Act / Obamacare, agricultural Revolution, Airbnb, airport security, autonomous vehicles, barriers to entry, basic income, Bernie Sanders, bitcoin, clean water, collective bargaining, computer age, crowdsourcing, cryptocurrency, deindustrialization, desegregation, Donald Trump, Edward Glaeser, Elon Musk, ending welfare as we know it, everywhere but in the productivity statistics, full employment, gender pay gap, gig economy, Google Earth, Home mortgage interest deduction, income inequality, indoor plumbing, information asymmetry, Jaron Lanier, jitney, job automation, John Maynard Keynes: Economic Possibilities for our Grandchildren, John Maynard Keynes: technological unemployment, Kickstarter, Kodak vs Instagram, labor-force participation, late capitalism, Lyft, M-Pesa, Mahatma Gandhi, Mark Zuckerberg, mass incarceration, McMansion, Menlo Park, mobile money, mortgage tax deduction, new economy, obamacare, Peter Thiel, post scarcity, post-work, Potemkin village, precariat, randomized controlled trial, ride hailing / ride sharing, Robert Bork, Ronald Reagan, Sam Altman, self-driving car, Silicon Valley, single-payer health, Steve Jobs, TaskRabbit, The Future of Employment, theory of mind, total factor productivity, Turing test, two tier labour market, Uber and Lyft, uber lyft, universal basic income, uranium enrichment, War on Poverty, Watson beat the top human players on Jeopardy!, We wanted flying cars, instead we got 140 characters, women in the workforce, working poor, World Values Survey, Y Combinator

The text was there. So was the money. “I’m happy! I’m happy! I’m happy!” he shouted, jumping up and down and dancing. That very day, he went to purchase a goat. Erick Odhiambo Madoho was happy too. He walked to the cow-dotted local highway nearest the village and took a matatu, a shared minibus overloaded with twenty passengers, down to Lake Victoria. There, he found an M-Pesa stand, and converted his mobile money into shillings. He used the cash to buy the first of the three rounds of filament-thin fishing line that he would need to hand-knot into nets to catch tilapia in the lake. When the nets were done, in about three months, he told me while we sat in the minibus, he would rent a boat and hire a day laborer to work with him. He anticipated his income, minus costs, to reach as much as 2,000 shillings on a good day.


Rethinking Money: How New Currencies Turn Scarcity Into Prosperity by Bernard Lietaer, Jacqui Dunne

3D printing, agricultural Revolution, Albert Einstein, Asian financial crisis, banking crisis, Berlin Wall, BRICs, business climate, business cycle, business process, butterfly effect, carbon footprint, Carmen Reinhart, clockwork universe, collapse of Lehman Brothers, complexity theory, conceptual framework, credit crunch, different worldview, discounted cash flows, en.wikipedia.org, Fall of the Berlin Wall, fear of failure, fiat currency, financial innovation, Fractional reserve banking, full employment, German hyperinflation, happiness index / gross national happiness, job satisfaction, liberation theology, Marshall McLuhan, microcredit, mobile money, money: store of value / unit of account / medium of exchange, more computing power than Apollo, new economy, Occupy movement, price stability, reserve currency, Silicon Valley, the payments system, too big to fail, transaction costs, trickle-down economics, urban decay, War on Poverty, working poor

As a consequence, they are relegated to operate solely on a cash basis. These individuals are left vulnerable to theft; they are excluded from all e-commerce transactions and forced to utilize expensive cash-wiring ser vices. “More than a billion people worldwide lack bank accounts but do have mobile phones, providing a dramatic opportunity to achieve greater financial inclusion,” according to a recent Mobile Money Market Sizing study.27 Furthermore, and perhaps most important, mobile banking will be free to expand, unfettered legislatively, and “since no deposits are accepted or interest paid, the ser vice provider does not need a banking license.”28 The convergence between ever-cheaper computing and growing access to the Internet and to mobile phones will drastically change the global banking scene. More important, it will trigger the proliferation of further innovations and real prosperity around the globe, in domains that today seem to be the stuff of science fiction.


pages: 297 words: 84,009

Big Business: A Love Letter to an American Anti-Hero by Tyler Cowen

23andMe, Affordable Care Act / Obamacare, augmented reality, barriers to entry, Bernie Sanders, bitcoin, blockchain, Bretton Woods, cloud computing, cognitive dissonance, corporate governance, corporate social responsibility, correlation coefficient, creative destruction, crony capitalism, cryptocurrency, dark matter, David Brooks, David Graeber, don't be evil, Donald Trump, Elon Musk, employer provided health coverage, experimental economics, Filter Bubble, financial innovation, financial intermediation, global reserve currency, global supply chain, Google Glasses, income inequality, Internet of things, invisible hand, Jeff Bezos, late fees, Mark Zuckerberg, mobile money, money market fund, mortgage debt, Network effects, new economy, Nicholas Carr, obamacare, offshore financial centre, passive investing, payday loans, peer-to-peer lending, Peter Thiel, pre–internet, price discrimination, profit maximization, profit motive, RAND corporation, rent-seeking, reserve currency, ride hailing / ride sharing, risk tolerance, Ronald Coase, shareholder value, Silicon Valley, Silicon Valley startup, Skype, Snapchat, Social Responsibility of Business Is to Increase Its Profits, Steve Jobs, The Nature of the Firm, Tim Cook: Apple, too big to fail, transaction costs, Tyler Cowen: Great Stagnation, ultimatum game, WikiLeaks, women in the workforce, World Values Survey, Y Combinator

lobbying Lockheed Martin Luce, Edward Machiguenga MacIntyre, Alasdair Maheshwari, Sapna Manjoo, Farhad Marriott McCarthy, Michael A. McClellan, Mark B. McDonald’s McFadden Act media business and CEOs and Facebook and harassment scandals and new vs. old media politics and short-term thinking tech sector and Trump and See also fake news; social media Medicare See also health care MetLife Microsoft mobility Money Changes Everything: How Finance Made Civilization Possible (Goetzmann) monopolies overview real problems Monsanto Moran, Joe Motorola Mobile Mozilo, Angelo multinational corporations Musk, Elon Myspace National Security Agency (NSA) National Venture Capital Association nationalism “Nature of the Firm, The,” (Coase) Neiman Marcus New Republic magazine New York Times NIMBY (not in my backyard) regulations Nobel laureates Nokia nonprofit institutions See also profit Northern California Obama, Barack Obamacare online advertising online banking online dating online education online lending online media privacy Oswald, Andrew J.


pages: 316 words: 87,486

Listen, Liberal: Or, What Ever Happened to the Party of the People? by Thomas Frank

Affordable Care Act / Obamacare, Airbnb, Amazon Mechanical Turk, American ideology, barriers to entry, Berlin Wall, Bernie Sanders, blue-collar work, Burning Man, centre right, circulation of elites, Clayton Christensen, collective bargaining, Credit Default Swap, David Brooks, deindustrialization, disruptive innovation, Donald Trump, Edward Snowden, Fall of the Berlin Wall, financial innovation, Frank Gehry, full employment, George Gilder, gig economy, Gini coefficient, income inequality, Jaron Lanier, Jeff Bezos, knowledge economy, knowledge worker, Lean Startup, mandatory minimum, Marc Andreessen, Mark Zuckerberg, market bubble, mass immigration, mass incarceration, McMansion, microcredit, mobile money, moral panic, mortgage debt, Nelson Mandela, new economy, obamacare, payday loans, Peter Thiel, plutocrats, Plutocrats, Ponzi scheme, post-industrial society, postindustrial economy, pre–internet, profit maximization, profit motive, race to the bottom, Republic of Letters, Richard Florida, ride hailing / ride sharing, Ronald Reagan, sharing economy, Silicon Valley, Steve Jobs, Steven Levy, TaskRabbit, Thorstein Veblen, too big to fail, Travis Kalanick, Uber for X, union organizing, urban decay, women in the workforce, Works Progress Administration, young professional

His remarks are found on p. 21 of “The Microcredit Summit Report,” a booklet dated April 1997 and apparently published by the RESULTS Educational Fund. Hillary Clinton’s remarks are found on p. 29. A pdf of the report may be downloaded here: http://www.microcreditsummit.org/resource/59/1997-microcredit-summit-report.html. 27. Verveer: “Launch of the State of the Microcredit Summit Campaign Report 2011,” March 7, 2011. Otero: “Keynote Address to the Mobile Money Policy Forum,” Nairobi, Kenya, November 30, 2010. Hillary herself: Hard Choices, p. 149. 28. On microcredit in Bosnia, see Bateman’s blog post, “A New Balkan Tragedy? The Case of Microcredit in Bosnia,” April 8, 2014. In “From Poverty to Power,” an Oxfam blog post dated April 20, 2011, Bateman poses the following rhetorical question: “With so many countries having achieved microfinance ‘saturation’ this last decade or so (notably Bolivia, Bosnia, Mexico, Peru, Cambodia and others), why is it that in none of these countries can we see obvious substantive poverty reduction and ‘bottom-up’ development gains?”


pages: 223 words: 10,010

The Cost of Inequality: Why Economic Equality Is Essential for Recovery by Stewart Lansley

"Robert Solow", banking crisis, Basel III, Big bang: deregulation of the City of London, Bonfire of the Vanities, borderless world, Branko Milanovic, Bretton Woods, British Empire, business cycle, business process, call centre, capital controls, collective bargaining, corporate governance, corporate raider, correlation does not imply causation, creative destruction, credit crunch, Credit Default Swap, crony capitalism, David Ricardo: comparative advantage, deindustrialization, Edward Glaeser, Everybody Ought to Be Rich, falling living standards, financial deregulation, financial innovation, Financial Instability Hypothesis, floating exchange rates, full employment, Goldman Sachs: Vampire Squid, high net worth, hiring and firing, Hyman Minsky, income inequality, James Dyson, Jeff Bezos, job automation, John Meriwether, Joseph Schumpeter, Kenneth Rogoff, knowledge economy, laissez-faire capitalism, light touch regulation, Long Term Capital Management, low skilled workers, manufacturing employment, market bubble, Martin Wolf, mittelstand, mobile money, Mont Pelerin Society, Myron Scholes, new economy, Nick Leeson, North Sea oil, Northern Rock, offshore financial centre, oil shock, plutocrats, Plutocrats, Plutonomy: Buying Luxury, Explaining Global Imbalances, Right to Buy, rising living standards, Robert Shiller, Robert Shiller, Ronald Reagan, savings glut, shareholder value, The Great Moderation, The Spirit Level, The Wealth of Nations by Adam Smith, Thomas Malthus, too big to fail, Tyler Cowen: Great Stagnation, Washington Consensus, Winter of Discontent, working-age population

They accounted too for a very high proportion of trading activity on the New York and London stock exchanges. 372 The hedge fund industry had been ‘pushing the limits of financial regulation for decades.’373 When the US Congress pushed for tougher regulation of hedge funds in 2008, the industry’s lobbying organisation, the Managed Funds Association, spent $17 billion on donations to politicians with influence.374 An increasing number of companies and countries came to know only too well what it was like to be on the receiving end of hedge fund speculation. Because of this ‘active’ management—a strategy of moving huge sums of mobile money in and out countries, markets, commodities and companies often at great speed—they have the firepower to do serious economic damage. Moreover, while hedge funds rely heavily on wealthy individuals, an increasing share of their funding has been coming from once risk-averse endowments and institutional investors. In 2010, Yale University had 28 per cent of its endowment fund invested in hedge funds and 27 per cent in private equity. 375 In the same year, despite the lack of transparency, the high charges and the greater risk involved, UK pension funds invested an average of 8.1 per cent of their portfolios in hedge funds.


pages: 389 words: 87,758

No Ordinary Disruption: The Four Global Forces Breaking All the Trends by Richard Dobbs, James Manyika

2013 Report for America's Infrastructure - American Society of Civil Engineers - 19 March 2013, access to a mobile phone, additive manufacturing, Airbnb, Amazon Mechanical Turk, American Society of Civil Engineers: Report Card, autonomous vehicles, Bakken shale, barriers to entry, business cycle, business intelligence, Carmen Reinhart, central bank independence, cloud computing, corporate governance, creative destruction, crowdsourcing, demographic dividend, deskilling, disintermediation, disruptive innovation, distributed generation, Erik Brynjolfsson, financial innovation, first square of the chessboard, first square of the chessboard / second half of the chessboard, Gini coefficient, global supply chain, global village, hydraulic fracturing, illegal immigration, income inequality, index fund, industrial robot, intangible asset, Intergovernmental Panel on Climate Change (IPCC), Internet of things, inventory management, job automation, Just-in-time delivery, Kenneth Rogoff, Kickstarter, knowledge worker, labor-force participation, low skilled workers, Lyft, M-Pesa, mass immigration, megacity, mobile money, Mohammed Bouazizi, Network effects, new economy, New Urbanism, oil shale / tar sands, oil shock, old age dependency ratio, openstreetmap, peer-to-peer lending, pension reform, private sector deleveraging, purchasing power parity, quantitative easing, recommendation engine, Report Card for America’s Infrastructure, RFID, ride hailing / ride sharing, Second Machine Age, self-driving car, sharing economy, Silicon Valley, Silicon Valley startup, Skype, smart cities, Snapchat, sovereign wealth fund, spinning jenny, stem cell, Steve Jobs, supply-chain management, TaskRabbit, The Great Moderation, trade route, transaction costs, Travis Kalanick, uber lyft, urban sprawl, Watson beat the top human players on Jeopardy!, working-age population, Zipcar

“But at the same time they like to see us maintain our most advanced production technology in Britain.”56 These instantly global new entrants are not confined to developed economies. In fast-growing developing economies, more than 143,000 Internet-related businesses launch every year.57 Jumia, a Nigerian e-commerce company that now operates in Ivory Coast, Kenya, Egypt, and Morocco, in 2013 became the first African winner of the World Retail Award for “Best Retail Launch of the Year.”58 M-pesa, a mobile-money service started in Kenya, is now disrupting traditional banking, payments, and money-transfer service providers across Africa. Build New Global—and Digital—Ecosystems Digital platforms enable companies to expand rapidly and profitably to customers further away from their home markets than was possible in the past. Building cross-border ecosystems ranging from global supply chains to innovation networks could help companies take advantage of this opportunity.


pages: 317 words: 98,745

Black Code: Inside the Battle for Cyberspace by Ronald J. Deibert

4chan, Any sufficiently advanced technology is indistinguishable from magic, Brian Krebs, call centre, citizen journalism, cloud computing, connected car, corporate social responsibility, crowdsourcing, cuban missile crisis, data acquisition, failed state, Firefox, global supply chain, global village, Google Hangouts, Hacker Ethic, informal economy, invention of writing, Iridium satellite, jimmy wales, John Markoff, Kibera, Kickstarter, knowledge economy, low earth orbit, Marshall McLuhan, MITM: man-in-the-middle, mobile money, mutually assured destruction, Naomi Klein, new economy, Occupy movement, Panopticon Jeremy Bentham, planetary scale, rent-seeking, Ronald Reagan, Ronald Reagan: Tear down this wall, Silicon Valley, Silicon Valley startup, Skype, smart grid, South China Sea, Steven Levy, Stuxnet, Ted Kaczynski, the medium is the message, Turing test, undersea cable, We are Anonymous. We are Legion, WikiLeaks, zero day

Ten long years later, Jim’ale and the entire al-Barakat conglomerate were finally removed from the list of al-Qaeda-related terrorist organizations. But a separate UN Security Council committee then put Jim’ale on a new list, one that imposed a travel ban and froze his assets, the suspicion this time being that he was an arms trafficker. In its decision the Security Council noted that “Jim’ale established ZAAD, a mobile-to-mobile money-transfer business and struck a deal with Al-Shabaab to make money transfers more anonymous by eliminating the need to show identification”; that his company, Hormuud, is “one of the single largest financiers of Al-Shabaab”; and that Hormuud “cut off telephone service during Al-Shabaab attacks against pro-Somali Government forces.” Regardless of whether and to what extent Jim’ale and Hormuud have ties to al-Shabaab – or, in the past, had ties to al-Qaeda – the case shows the depth and complexity of Somalia’s cellphone system.


pages: 372 words: 92,477

The Fourth Revolution: The Global Race to Reinvent the State by John Micklethwait, Adrian Wooldridge

Admiral Zheng, affirmative action, Affordable Care Act / Obamacare, Asian financial crisis, assortative mating, banking crisis, barriers to entry, battle of ideas, Berlin Wall, Bernie Madoff, Boris Johnson, Bretton Woods, British Empire, cashless society, central bank independence, Chelsea Manning, circulation of elites, Clayton Christensen, Corn Laws, corporate governance, credit crunch, crony capitalism, Deng Xiaoping, Detroit bankruptcy, disintermediation, Edward Snowden, Etonian, failed state, Francis Fukuyama: the end of history, full employment, Gunnar Myrdal, income inequality, Khan Academy, Kickstarter, knowledge economy, Kodak vs Instagram, labor-force participation, laissez-faire capitalism, land reform, liberal capitalism, Martin Wolf, means of production, minimum wage unemployment, mittelstand, mobile money, Mont Pelerin Society, Nelson Mandela, night-watchman state, Norman Macrae, obamacare, oil shale / tar sands, old age dependency ratio, open economy, Parag Khanna, Peace of Westphalia, pension reform, pensions crisis, personalized medicine, Peter Thiel, plutocrats, Plutocrats, popular capitalism, profit maximization, rent control, rent-seeking, ride hailing / ride sharing, road to serfdom, Ronald Coase, Ronald Reagan, school choice, school vouchers, Silicon Valley, Skype, special economic zone, too big to fail, total factor productivity, War on Poverty, Washington Consensus, Winter of Discontent, working-age population, zero-sum game

The Internet reached more than half the population in a mere decade.3 Now Google is experimenting with super-high-speed connections that operate more than a hundred times faster than regular broadband.4 The second force is globalization. Sloan’s GM was upended by the Japanese, not Ford or Chrysler. Fast-growing emerging markets are throwing up global companies, such as China’s Huawei in telecoms. Even Africa is leapfrogging ahead of the West, as Kenya is doing with “mobile money” (using cell phones to make payments). The third force is consumer choice. Henry Ford’s world, in which you could have a car in any color so long as it was black, has been replaced by a rainbow of choice. ­Cable-TV companies offer hundreds of channels. Amazon offers you a selection of a million or more books and can deliver the next day. “One size fits all” is giving way to the “market of multitudes,” as Chris Anderson puts it.5 The customer is not so much a king as a tyrant.


Refuge: Transforming a Broken Refugee System by Alexander Betts, Paul Collier

Alvin Roth, anti-communist, centre right, charter city, corporate social responsibility, Donald Trump, failed state, Filter Bubble, global supply chain, informal economy, Kibera, mass immigration, megacity, mobile money, Mohammed Bouazizi, mutually assured destruction, open borders, Peace of Westphalia, peer-to-peer, race to the bottom, randomized controlled trial, rising living standards, risk/return, school choice, special economic zone, structural adjustment programs, trade route, urban planning, zero-sum game

Globalization offers a variety of ways to bring economic opportunity to people, irrespective of geography. The internet in particular offers the chance to create footloose and highly mobile livelihoods. Value chains can be disaggregated in ways that allow people in one part of the world to contribute on the basis of their particular comparative advantage. New financing opportunities, including crowdfunding, peer-to-peer networks, and mobile money, may offer ways in which even remote communities can be connected to the global economy. Business – from multinational corporations to small and medium-sized enterprises to social enterprise – is engaging with refugee issues more than it has in the past.20 There is every reason to believe that a development toolbox should offer even greater prospects than was the case even two decades ago. Creating opportunities for self-reliance is not in itself a long-term solution for refugees, but it is an important step towards all of the main long-term solutions: repatriation, local integration, or resettlement.


pages: 324 words: 96,491

Messing With the Enemy: Surviving in a Social Media World of Hackers, Terrorists, Russians, and Fake News by Clint Watts

4chan, active measures, Affordable Care Act / Obamacare, barriers to entry, Berlin Wall, Bernie Sanders, Chelsea Manning, Climatic Research Unit, crowdsourcing, Daniel Kahneman / Amos Tversky, Donald Trump, drone strike, Edward Snowden, en.wikipedia.org, Erik Brynjolfsson, failed state, Fall of the Berlin Wall, Filter Bubble, global pandemic, Google Earth, illegal immigration, Internet of things, Julian Assange, loss aversion, Mark Zuckerberg, Mikhail Gorbachev, mobile money, mutually assured destruction, obamacare, Occupy movement, offshore financial centre, pre–internet, side project, Silicon Valley, Snapchat, The Wisdom of Crowds, Turing test, University of East Anglia, Valery Gerasimov, WikiLeaks, zero day

The continent’s development at times is so behind, it’ll skip some advancements entirely—say, landline telephones—and adopt an invention two or three generations ahead. Somalia, ravaged by war and completely ungoverned, has led the continent in cell phone and money transfer companies. Today, Somalis gripped in violence or starving from famine might nevertheless be able to talk to a fellow clansman half a world away and receive mobile money in an instant—a strange twist.3 For many Africans, their first connection to global telecommunications was not mediated simply through a computer connected to the internet, but through a mobile phone social media platform. When searching for information, an African might say, “I’ll look it up on Facebook,” rather than the common Western internet shorthand, “Google it.” Somalis started off not on a computer terminal or a laptop, experimenting with a search engine, but with a cell phone, collaborating with their kin and tribe on Twitter and Facebook.


pages: 358 words: 104,664

Capital Without Borders by Brooke Harrington

banking crisis, Big bang: deregulation of the City of London, British Empire, capital controls, Capital in the Twenty-First Century by Thomas Piketty, complexity theory, corporate governance, corporate social responsibility, diversified portfolio, estate planning, eurozone crisis, family office, financial innovation, ghettoisation, haute couture, high net worth, income inequality, information asymmetry, Joan Didion, job satisfaction, joint-stock company, Joseph Schumpeter, liberal capitalism, mega-rich, mobile money, offshore financial centre, race to the bottom, regulatory arbitrage, Robert Shiller, Robert Shiller, South Sea Bubble, the market place, Thorstein Veblen, transaction costs, upwardly mobile, wealth creators, web of trust, Westphalian system, Wolfgang Streeck, zero-sum game

Salmon (1928), 46 meritocracy, 204, 218–19, 231 methodology of this study, 22–35; barriers to access, 22–27; ethnography, 27–30; participant observation, 30–32; semistructured interviews, 32–35 Michael (Guernsey-based wealth manager), 91, 137, 212 Middle East: Arabian Peninsula, 88, 110–12, 116–17, 166; EMEA (Europe, Middle East, and Africa), 243; Israel, 270, 303; Middle Easterners in cash-for-passports programs, 239–40; Saudi Arabia, 108, 111–12, 174, 280; United Arab Emirates, 128, 174 Mill, John Stuart, 18, 204 Miller, Bill, 212 Mills, C. Wright, 15, 199 mistresses, 125, 165 mobility, economic. See economic mobility money changing, 132 money laundering, 12, 23, 132 Morgan Stanley, 60 Morris (New York–based wealth manager), 118–19, 151 Mossack Fonseca, 197 multiterritorial clients, 127 Muslim clients, 111–12, 117, 166–67, 174 mutawallī, 111–12 Nadia (Panama-based wealth manager), 85, 87–88, 165, 168–69 Nancy (Buenos Aires–based sole practitioner), 71–72 Neal (Cayman Islands–based wealth manager), 81–82, 102, 207, 229, 230 Ned (Cook Islands–based wealth manager), 146–47, 158 neoliberalism, 205 net worth.


The New Harvest: Agricultural Innovation in Africa by Calestous Juma

agricultural Revolution, Albert Einstein, barriers to entry, bioinformatics, business climate, carbon footprint, clean water, colonial rule, conceptual framework, creative destruction, double helix, energy security, energy transition, global value chain, income per capita, industrial cluster, informal economy, Intergovernmental Panel on Climate Change (IPCC), Joseph Schumpeter, knowledge economy, land tenure, M-Pesa, microcredit, mobile money, non-tariff barriers, off grid, out of africa, precision agriculture, Second Machine Age, self-driving car, Silicon Valley, sovereign wealth fund, structural adjustment programs, supply-chain management, total factor productivity, undersea cable

Waage, Science and Innovation for Development (London: UK Collaborative on Development Sciences, 2010), 37. Notes 277 24. G. Conway and J. Waage, Science and Innovation for Development (London: UK Collaborative on Development Sciences, 2010), 37. 25. International Telocommunication Union, The World in 2014 ICT Facts and Figures, Geneva: International Telecommunication Union, 2014, http://www.itu.int/en/ITU-D/Statistics/ Documents/facts/ICTFactsFigures2014-e.pdf. 26. W. Jack and T. Suri, Mobile Money: The Economics of M-PESA (Cambridge, MA: Sloan School, Massachusetts Institute of Technology, 2009). 27. I. Mas, “The Economics of Branchless Banking,” Journal of Monetary Economics 4, no. 2 (2009): 57–76. 28. M. L. Rilwani and I. A. Ikhuoria, “Precision Farming with Geoinformatics: A New Paradigm for Agricultural Production in a Developing Country,” Transactions in GIS 10, no. 2 (2006): 177–197. 29.


pages: 349 words: 102,827

The Infinite Machine: How an Army of Crypto-Hackers Is Building the Next Internet With Ethereum by Camila Russo

4chan, Airbnb, algorithmic trading, altcoin, always be closing, Any sufficiently advanced technology is indistinguishable from magic, Asian financial crisis, bitcoin, blockchain, Burning Man, crowdsourcing, cryptocurrency, distributed ledger, diversification, Donald Trump, East Village, Ethereum, ethereum blockchain, Flash crash, Google Glasses, Google Hangouts, hacker house, Internet of things, Mark Zuckerberg, Maui Hawaii, mobile money, new economy, peer-to-peer, Peter Thiel, pets.com, Ponzi scheme, prediction markets, QR code, reserve currency, RFC: Request For Comment, Richard Stallman, Robert Shiller, Robert Shiller, Sand Hill Road, Satoshi Nakamoto, semantic web, sharing economy, side project, Silicon Valley, Skype, slashdot, smart contracts, South of Market, San Francisco, the payments system, too big to fail, tulip mania, Turing complete, Uber for X

Kelley Becker was brought on to manage operations for EthDev and help Aeron, who was burned out from being pulled in different directions, constantly flying between London, Berlin, and Zug, all of that with the added uncertainty of not knowing when and if he would receive agreed-upon funds (which he did always get, albeit sometimes at the very last minute). Three board members were also hired. The middle-aged, corporate men didn’t exactly mesh with the typical Ethereum developer. Lars Klawitter held a high-level job at Rolls-Royce, Vadim David Levitin ran business development for Fortune 500 companies, and Wayne Hennessy-Barrett was founder and CEO of 4G Capital, a mobile money fintech business based in Kenya. Kelley had worked with art nonprofits in San Francisco before moving to Berlin and started work at Ethereum in February 2015 with the goal of creating standards and bylaws for the foundation. But she realized very early on that there were more urgent matters. Cash was drying up. Still, she didn’t have the power to make the required decisions herself. With tensions boiling, Ming’s application for executive director came in.


pages: 364 words: 99,897

The Industries of the Future by Alec Ross

23andMe, 3D printing, Airbnb, algorithmic trading, AltaVista, Anne Wojcicki, autonomous vehicles, banking crisis, barriers to entry, Bernie Madoff, bioinformatics, bitcoin, blockchain, Brian Krebs, British Empire, business intelligence, call centre, carbon footprint, cloud computing, collaborative consumption, connected car, corporate governance, Credit Default Swap, cryptocurrency, David Brooks, disintermediation, Dissolution of the Soviet Union, distributed ledger, Edward Glaeser, Edward Snowden, en.wikipedia.org, Erik Brynjolfsson, fiat currency, future of work, global supply chain, Google X / Alphabet X, industrial robot, Internet of things, invention of the printing press, Jaron Lanier, Jeff Bezos, job automation, John Markoff, Joi Ito, Kickstarter, knowledge economy, knowledge worker, lifelogging, litecoin, M-Pesa, Marc Andreessen, Mark Zuckerberg, Mikhail Gorbachev, mobile money, money: store of value / unit of account / medium of exchange, Nelson Mandela, new economy, offshore financial centre, open economy, Parag Khanna, paypal mafia, peer-to-peer, peer-to-peer lending, personalized medicine, Peter Thiel, precision agriculture, pre–internet, RAND corporation, Ray Kurzweil, recommendation engine, ride hailing / ride sharing, Rubik’s Cube, Satoshi Nakamoto, selective serotonin reuptake inhibitor (SSRI), self-driving car, sharing economy, Silicon Valley, Silicon Valley startup, Skype, smart cities, social graph, software as a service, special economic zone, supply-chain management, supply-chain management software, technoutopianism, The Future of Employment, Travis Kalanick, underbanked, Vernor Vinge, Watson beat the top human players on Jeopardy!, women in the workforce, Y Combinator, young professional

The mobile penetration rate: “Democratic Republic of Congo—Telecoms, Mobile and Broadband—Market Insights and Statistics,” Market Briefing, October 2014, http://www.telecomsmarketresearch.com/research/TMAABOEF-Democratic-Republic-of-Congo---Telecoms--Mobile-and-Broadband---Market-Insights-and-Statistics.shtml. What goes for the Congo is: Matt Twomey, “Cashless Africa: Kenya’s Smash Success with Mobile Money,” CNBC, November 11, 2013, http://www.cnbc.com/id/101180469. Today that number is over: John Koetsier, “African Mobile Penetration Hits 80% (and Is Growing Faster Than Anywhere Else),” VentureBeat, December 3, 2013, http://venturebeat.com/2013/12/03/african-mobile-penetration-hits-80-and-is-growing-faster-than-anywhere-else/. By 2012, 19 million M-Pesa: “Is It a Phone, Is It a Bank?” Economist, March 27, 2013, http://www.economist.com/news/finance-and-economics/21574520-safaricom-widens-its-banking-services-payments-savings-and-loans-it.


pages: 357 words: 110,017

Money: The Unauthorized Biography by Felix Martin

bank run, banking crisis, Basel III, Bernie Madoff, Big bang: deregulation of the City of London, Bretton Woods, British Empire, business cycle, call centre, capital asset pricing model, Carmen Reinhart, central bank independence, collapse of Lehman Brothers, creative destruction, credit crunch, David Graeber, en.wikipedia.org, financial deregulation, financial innovation, Financial Instability Hypothesis, financial intermediation, fixed income, Fractional reserve banking, full employment, Goldman Sachs: Vampire Squid, Hyman Minsky, inflation targeting, invention of writing, invisible hand, Irish bank strikes, joint-stock company, Joseph Schumpeter, Kenneth Arrow, Kenneth Rogoff, mobile money, moral hazard, mortgage debt, new economy, Northern Rock, Occupy movement, plutocrats, Plutocrats, private military company, Republic of Letters, Richard Feynman, Robert Shiller, Robert Shiller, Scientific racism, scientific worldview, seigniorage, Silicon Valley, smart transportation, South Sea Bubble, supply-chain management, The Wealth of Nations by Adam Smith, too big to fail

The great fear associated with the transgression of customary rules of conduct had always been that the result would be anarchy: the traditional social order claimed to represent the sole bulwark against civil breakdown and a war of all against all. The monetary enlightenment argued otherwise. On the political and economic level, money promised something unprecedented: that it would combine social mobility with political stability. With money, society could have its cake and eat it too. The sterile constraints of an immutable and absolute social system could be jettisoned in favour of ambition, entrepreneurship, and social mobility: money would be the universal solvent that could dissolve all traditional obligations. Crucially, though, the society that resulted would not collapse into chaos. Because money, the concept of universal value, and the idea of an objective economic space, were founded upon the ancient institution of communal sacrifice; and as such upon the invisible but irresistible communality of mankind. And money made its miraculous promise to combine apparent opposites on the personal level as well.


pages: 422 words: 113,830

Bad Money: Reckless Finance, Failed Politics, and the Global Crisis of American Capitalism by Kevin Phillips

algorithmic trading, asset-backed security, bank run, banking crisis, Bernie Madoff, Black Swan, Bretton Woods, BRICs, British Empire, business cycle, buy and hold, collateralized debt obligation, computer age, corporate raider, creative destruction, credit crunch, Credit Default Swap, credit default swaps / collateralized debt obligations, crony capitalism, currency peg, diversification, Doha Development Round, energy security, financial deregulation, financial innovation, fixed income, Francis Fukuyama: the end of history, George Gilder, housing crisis, Hyman Minsky, imperial preference, income inequality, index arbitrage, index fund, interest rate derivative, interest rate swap, Joseph Schumpeter, Kenneth Rogoff, large denomination, Long Term Capital Management, market bubble, Martin Wolf, Menlo Park, mobile money, money market fund, Monroe Doctrine, moral hazard, mortgage debt, Myron Scholes, new economy, oil shale / tar sands, oil shock, old-boy network, peak oil, plutocrats, Plutocrats, Ponzi scheme, profit maximization, Renaissance Technologies, reserve currency, risk tolerance, risk/return, Robert Shiller, Robert Shiller, Ronald Reagan, Satyajit Das, shareholder value, short selling, sovereign wealth fund, The Chicago School, Thomas Malthus, too big to fail, trade route

Part of the reason for sketching some of the realignment of wealth that has flowed from the rise of the financial sector is simply to underscore how yesteryear’s support for the creative destruction of a free and fast-flowing marketplace would logically have evolved into support for an assets “Plunge Protection Team” or a federal assets-maintenance strategy instead. Keep the markets up. Please, gentlemen, especially with all of those crazy people in the Middle East and the dollar coming unglued. Meanwhile, the new economy is breeding more stratification and inheritance than mobility. Money makes money. When Barron’s published its 2007 survey of the top forty wealth-management firms in the United States—most part of banks or other large financial institutions—among them they appeared to have some seventy thousand private client managers.47 Wealth management has become a large and growing business in the United States, and wealthy Americans are no more likely to submit their swollen and cherished assets to the unfettered whims of the free market than Japanese asset owners were when Japan’s real estate and stock bubble began to deflate in 1989.


pages: 403 words: 111,119

Doughnut Economics: Seven Ways to Think Like a 21st-Century Economist by Kate Raworth

"Robert Solow", 3D printing, Asian financial crisis, bank run, basic income, battle of ideas, Berlin Wall, bitcoin, blockchain, Branko Milanovic, Bretton Woods, Buckminster Fuller, business cycle, call centre, Capital in the Twenty-First Century by Thomas Piketty, Cass Sunstein, choice architecture, clean water, cognitive bias, collapse of Lehman Brothers, complexity theory, creative destruction, crowdsourcing, cryptocurrency, Daniel Kahneman / Amos Tversky, David Ricardo: comparative advantage, dematerialisation, disruptive innovation, Douglas Engelbart, Douglas Engelbart, en.wikipedia.org, energy transition, Erik Brynjolfsson, Ethereum, ethereum blockchain, Eugene Fama: efficient market hypothesis, experimental economics, Exxon Valdez, Fall of the Berlin Wall, financial deregulation, Financial Instability Hypothesis, full employment, global supply chain, global village, Henri Poincaré, hiring and firing, Howard Zinn, Hyman Minsky, income inequality, Intergovernmental Panel on Climate Change (IPCC), invention of writing, invisible hand, Isaac Newton, John Maynard Keynes: Economic Possibilities for our Grandchildren, Joseph Schumpeter, Kenneth Arrow, Kenneth Rogoff, Kickstarter, land reform, land value tax, Landlord’s Game, loss aversion, low skilled workers, M-Pesa, Mahatma Gandhi, market fundamentalism, Martin Wolf, means of production, megacity, mobile money, Mont Pelerin Society, Myron Scholes, neoliberal agenda, Network effects, Occupy movement, off grid, offshore financial centre, oil shale / tar sands, out of africa, Paul Samuelson, peer-to-peer, planetary scale, price mechanism, quantitative easing, randomized controlled trial, Richard Thaler, Ronald Reagan, Second Machine Age, secular stagnation, shareholder value, sharing economy, Silicon Valley, Simon Kuznets, smart cities, smart meter, Social Responsibility of Business Is to Increase Its Profits, South Sea Bubble, statistical model, Steve Ballmer, The Chicago School, The Great Moderation, the map is not the territory, the market place, The Spirit Level, The Wealth of Nations by Adam Smith, Thomas Malthus, Thorstein Veblen, too big to fail, Torches of Freedom, trickle-down economics, ultimatum game, universal basic income, Upton Sinclair, Vilfredo Pareto, wikimedia commons

What if, then, a portion of that promised ODA were channelled directly to people living in poverty in those countries instead? It would act as a basic income, giving every person access to the market as a means of providing for their needs. What’s more, for the first time in history such a scheme could actually work, thanks to the rapid worldwide spread of mobile phones and the proven success of mobile banking. Kenya has been a trailblazer in mobile banking since launching its M-PESA mobile money service in 2007. Within six years, three quarters of all Kenyan adults had used the service, including 70% of those in rural areas, and – astonishingly – over 40% of Kenya’s GDP was passing through M-PESA.88 Worldwide, 5.5 billion people are expected to be using mobile phones by 2018, and mobile banking will come as part of the package.89 In essence, it will soon be feasible to create a phone book of the world’s ‘bottom billion’ and to text digital cash directly to them.


Poisoned Wells: The Dirty Politics of African Oil by Nicholas Shaxson

Asian financial crisis, Berlin Wall, blood diamonds, business climate, clean water, colonial rule, energy security, Exxon Valdez, failed state, Fall of the Berlin Wall, Hernando de Soto, income per capita, inflation targeting, Kickstarter, Martin Wolf, mobile money, Nelson Mandela, offshore financial centre, old-boy network, Ronald Reagan, Scramble for Africa, Yom Kippur War, zero-sum game

See Ken Silverstein, “The Crude Politics of Trading Oil,” Los Angeles Times, December 12, 2002, and http://www.publicintegrity.org/about/release.aspx? aid=21. Quote from Ken Silverstein, “U.S. Oil Politics in the ‘Kuwait of Africa.’” See http://www.nci.org/05nci/02/IPC-feb7.htm, or http://www.iranpolicy. org/index.php?option=com_content&task=view&id=19&Itemid=29. Senate Hearing, page 593. The joint venture was called Nusiteles; Senate Hearing, pages 302, 346–356, and 693–695. McColm admitted that IDS and IFES received Mobil money, in an e-mail to journalist David Hecht, July 2, 1999. CMS, which sold out to Marathon, also provided support. See, for example, Duncan Campbell, “Marketing the New ‘Dogs of War,’” U.S. Center for Public Integrity, October 30, 2002, available at http://www. publicintegrity.org/bow/report.aspx?aid=149. Two sources who attended the meeting differ as to whether a coup plot was explicitly predicted or not.


pages: 320 words: 87,853

The Black Box Society: The Secret Algorithms That Control Money and Information by Frank Pasquale

Affordable Care Act / Obamacare, algorithmic trading, Amazon Mechanical Turk, American Legislative Exchange Council, asset-backed security, Atul Gawande, bank run, barriers to entry, basic income, Berlin Wall, Bernie Madoff, Black Swan, bonus culture, Brian Krebs, business cycle, call centre, Capital in the Twenty-First Century by Thomas Piketty, Chelsea Manning, Chuck Templeton: OpenTable:, cloud computing, collateralized debt obligation, computerized markets, corporate governance, Credit Default Swap, credit default swaps / collateralized debt obligations, crowdsourcing, cryptocurrency, Debian, don't be evil, drone strike, Edward Snowden, en.wikipedia.org, Fall of the Berlin Wall, Filter Bubble, financial innovation, financial thriller, fixed income, Flash crash, full employment, Goldman Sachs: Vampire Squid, Google Earth, Hernando de Soto, High speed trading, hiring and firing, housing crisis, informal economy, information asymmetry, information retrieval, interest rate swap, Internet of things, invisible hand, Jaron Lanier, Jeff Bezos, job automation, Julian Assange, Kevin Kelly, knowledge worker, Kodak vs Instagram, kremlinology, late fees, London Interbank Offered Rate, London Whale, Marc Andreessen, Mark Zuckerberg, mobile money, moral hazard, new economy, Nicholas Carr, offshore financial centre, PageRank, pattern recognition, Philip Mirowski, precariat, profit maximization, profit motive, quantitative easing, race to the bottom, recommendation engine, regulatory arbitrage, risk-adjusted returns, Satyajit Das, search engine result page, shareholder value, Silicon Valley, Snapchat, social intelligence, Spread Networks laid a new fibre optics cable between New York and Chicago, statistical arbitrage, statistical model, Steven Levy, the scientific method, too big to fail, transaction costs, two-sided market, universal basic income, Upton Sinclair, value at risk, WikiLeaks, zero-sum game

Furthermore, even as critical power over money and new media rapidly concentrates in a handful of private companies, we remain largely ignorant of critical ways in which these companies interact 10 THE BLACK BOX SOCIETY (and conflict) with public powers. Though this book is primarily about the private sector, I have called it The Black Box Society (rather than The Black Box Economy) because the distinction between state and market is fading. We are increasingly ruled by what former political insider Jeff Connaughton called “The Blob,” a shadowy network of actors who mobilize money and media for private gain, whether acting officially on behalf of business or of government. 24 In one policy area (or industry) after another, these insiders decide the distribution of society’s benefits (like low-interest credit or secure employment) and burdens (like audits, wiretaps, and precarity). Admittedly, as Jon Elster has written in his book Local Justice, there is no perfectly fair way to allocate opportunities.25 But a market-state increasingly dedicated to the advantages of speed and stealth crowds out even the most basic efforts to make these choices fairer.


Innovation and Its Enemies by Calestous Juma

3D printing, additive manufacturing, agricultural Revolution, Asilomar, Asilomar Conference on Recombinant DNA, autonomous vehicles, big-box store, business cycle, Cass Sunstein, clean water, collective bargaining, colonial rule, computer age, creative destruction, Daniel Kahneman / Amos Tversky, deskilling, disruptive innovation, energy transition, Erik Brynjolfsson, financial innovation, global value chain, Honoré de Balzac, illegal immigration, Intergovernmental Panel on Climate Change (IPCC), Internet of things, invention of movable type, invention of the printing press, Joseph Schumpeter, knowledge economy, loss aversion, Marc Andreessen, means of production, Menlo Park, mobile money, New Urbanism, Nicholas Carr, pensions crisis, phenotype, Ray Kurzweil, refrigerator car, Second Machine Age, self-driving car, smart grid, smart meter, stem cell, Steve Jobs, technological singularity, The Future of Employment, Thomas Kuhn: the structure of scientific revolutions, Travis Kalanick

The data are immediately analyzed, graphed, displayed on the screen, updated with new measurements, stored and, at the discretion of the individual, shared.”47 The range of technologies that will contribute to this transformation is expanding dramatically as a result of exponential growth in scientific advancement. Digital medicine has an even greater potential of taking root in regions of the world, such as sub-Saharan Africa, that have limited access to healthcare.48 Such regions could become the source of new medical applications that would otherwise be obstructed by incumbent interests in industrialized countries. This could follow the patterns of mobile money transfer and banking that first emerged in Africa before they spread to industrialized countries through the process of reverse innovation.49 The emergence of new fields such as the Internet of Things, 3D printing, digital learning, and open-source movements provide collaborative opportunities for inclusive innovation.50 Collaborating innovation changes the way productive systems are organized.


pages: 458 words: 134,028

Microtrends: The Small Forces Behind Tomorrow's Big Changes by Mark Penn, E. Kinney Zalesne

addicted to oil, affirmative action, Albert Einstein, Ayatollah Khomeini, Berlin Wall, big-box store, call centre, corporate governance, David Brooks, Donald Trump, extreme commuting, Exxon Valdez, feminist movement, glass ceiling, God and Mammon, Gordon Gekko, haute couture, hygiene hypothesis, illegal immigration, immigration reform, index card, Isaac Newton, job satisfaction, labor-force participation, late fees, life extension, low cost airline, low skilled workers, mobile money, new economy, RAND corporation, Renaissance Technologies, Ronald Reagan, Rosa Parks, Rubik’s Cube, stem cell, Stephen Hawking, Steve Jobs, Superbowl ad, the payments system, Thomas L Friedman, upwardly mobile, uranium enrichment, urban renewal, War on Poverty, white picket fence, women in the workforce, Y2K

As a percentage of the world’s billion or so Muslims, that’s .004 percent. So it is far below a 1 percent microtrend, but it ranks as a critically important and obviously dangerous nanotrend. It does not need to become a mass movement to be successful. Rather, it needs a growing cadre of smart, sophisticated, tough operatives. Its growth now depends not on attracting hundreds of millions but on successfully creating a leadership class that can mobilize money and resources and carry out operations. While poverty is often cited as a prime reason for the growth of fundamentalism, the founders of the terrorist movement come from surprising backgrounds. In fact, poverty and despair are remarkably unrelated to either the rich and well-educated founders like bin Laden or to many of the frontline terrorists, including the 9/11 hijackers or the July 7 train bombers in London.


pages: 460 words: 131,579

Masters of Management: How the Business Gurus and Their Ideas Have Changed the World—for Better and for Worse by Adrian Wooldridge

affirmative action, barriers to entry, Black Swan, blood diamonds, borderless world, business climate, business cycle, business intelligence, business process, carbon footprint, Cass Sunstein, Clayton Christensen, cloud computing, collaborative consumption, collapse of Lehman Brothers, collateralized debt obligation, commoditize, corporate governance, corporate social responsibility, creative destruction, credit crunch, crowdsourcing, David Brooks, David Ricardo: comparative advantage, disintermediation, disruptive innovation, don't be evil, Donald Trump, Edward Glaeser, Exxon Valdez, financial deregulation, Frederick Winslow Taylor, future of work, George Gilder, global supply chain, industrial cluster, intangible asset, job satisfaction, job-hopping, joint-stock company, Joseph Schumpeter, Just-in-time delivery, Kickstarter, knowledge economy, knowledge worker, lake wobegon effect, Long Term Capital Management, low skilled workers, Mark Zuckerberg, McMansion, means of production, Menlo Park, mobile money, Naomi Klein, Netflix Prize, Network effects, new economy, Nick Leeson, Norman Macrae, patent troll, Ponzi scheme, popular capitalism, post-industrial society, profit motive, purchasing power parity, Ralph Nader, recommendation engine, Richard Florida, Richard Thaler, risk tolerance, Ronald Reagan, science of happiness, shareholder value, Silicon Valley, Silicon Valley startup, Skype, Social Responsibility of Business Is to Increase Its Profits, Steve Jobs, Steven Levy, supply-chain management, technoutopianism, The Wealth of Nations by Adam Smith, Thomas Davenport, Tony Hsieh, too big to fail, wealth creators, women in the workforce, young professional, Zipcar

Western companies are embracing “polycentric innovation” as they spread their R&D centers around the world. And non-Western companies are becoming powerhouses of innovation in everything from telecoms to computers. A UNESCO report on innovation argues that the proportion of global R&D that is being done in the emerging world increased from 30 percent to 37 percent in 2003–07. The emerging world has already leapfrogged ahead of the West in areas such as mobile money (using mobile phones to make payments) and online games. Microsoft’s research laboratory in Beijing has produced clever programs that allow computers to recognize handwriting or turn photographs into cartoons. Huawei, a Chinese telecom giant, has become the world’s fourth-largest patent applicant. But the most exciting innovations going on in the emerging world are of the Henry Ford variety: smarter ways of designing products and organizing processes to reach the billions of consumers who are just entering the global market.


pages: 515 words: 126,820

Blockchain Revolution: How the Technology Behind Bitcoin Is Changing Money, Business, and the World by Don Tapscott, Alex Tapscott

Airbnb, altcoin, asset-backed security, autonomous vehicles, barriers to entry, bitcoin, blockchain, Blythe Masters, Bretton Woods, business process, buy and hold, Capital in the Twenty-First Century by Thomas Piketty, carbon footprint, clean water, cloud computing, cognitive dissonance, commoditize, corporate governance, corporate social responsibility, creative destruction, Credit Default Swap, crowdsourcing, cryptocurrency, disintermediation, disruptive innovation, distributed ledger, Donald Trump, double entry bookkeeping, Edward Snowden, Elon Musk, Erik Brynjolfsson, Ethereum, ethereum blockchain, failed state, fiat currency, financial innovation, Firefox, first square of the chessboard, first square of the chessboard / second half of the chessboard, future of work, Galaxy Zoo, George Gilder, glass ceiling, Google bus, Hernando de Soto, income inequality, informal economy, information asymmetry, intangible asset, interest rate swap, Internet of things, Jeff Bezos, jimmy wales, Kickstarter, knowledge worker, Kodak vs Instagram, Lean Startup, litecoin, Lyft, M-Pesa, Marc Andreessen, Mark Zuckerberg, Marshall McLuhan, means of production, microcredit, mobile money, money market fund, Network effects, new economy, Oculus Rift, off grid, pattern recognition, peer-to-peer, peer-to-peer lending, peer-to-peer model, performance metric, Peter Thiel, planetary scale, Ponzi scheme, prediction markets, price mechanism, Productivity paradox, QR code, quantitative easing, ransomware, Ray Kurzweil, renewable energy credits, rent-seeking, ride hailing / ride sharing, Ronald Coase, Ronald Reagan, Satoshi Nakamoto, Second Machine Age, seigniorage, self-driving car, sharing economy, Silicon Valley, Skype, smart contracts, smart grid, social graph, social intelligence, social software, standardized shipping container, Stephen Hawking, Steve Jobs, Steve Wozniak, Stewart Brand, supply-chain management, TaskRabbit, The Fortune at the Bottom of the Pyramid, The Nature of the Firm, The Wisdom of Crowds, transaction costs, Turing complete, Turing test, Uber and Lyft, uber lyft, unbanked and underbanked, underbanked, unorthodox policies, wealth creators, X Prize, Y2K, Zipcar

According to Tyler Winklevoss, banks don’t serve most of the world and have no existing plans to serve them. However, new technology could remove that step. He said, “A lot of African countries leapfrogged the infrastructure of landline telecoms with cellular. They skipped that step. Blockchain will have the greatest impact in areas where the payment networks don’t exist or are very poor.”20 Blockchain will push many nascent initiatives, such as mobile-money service providers like M-Pesa in Kenya, owned by Safaricom, and microcredit outfits globally, into high gear by making them open, global, and lightning fast. A bank is the most common financial institution, and so we will use it as an example here. How do you open a bank account? If you live in the developing world today, you will likely have to visit the branch in person. In Nicaragua, there are only 7 bank branches per 100,000 people compared with 34 per 100,000 in the United States.


pages: 477 words: 144,329

How Money Became Dangerous by Christopher Varelas

activist fund / activist shareholder / activist investor, Airbnb, airport security, barriers to entry, basic income, bitcoin, blockchain, Bonfire of the Vanities, California gold rush, cashless society, corporate raider, crack epidemic, cryptocurrency, discounted cash flows, disintermediation, diversification, diversified portfolio, Donald Trump, dumpster diving, fiat currency, fixed income, friendly fire, full employment, Gordon Gekko, greed is good, interest rate derivative, John Meriwether, Kickstarter, Long Term Capital Management, mandatory minimum, mobile money, mortgage debt, pensions crisis, pets.com, pre–internet, profit motive, risk tolerance, Saturday Night Live, shareholder value, side project, Silicon Valley, Steve Jobs, technology bubble, The Predators' Ball, too big to fail, universal basic income, zero day

Money keeps shifting into new forms to meet evolving needs. The concept of phone minutes as currency has recently taken hold in some African nations, where the public has so lost faith in their government and its fiat currency that it has become common for people to pay one another or make financial transactions by transferring phone minutes, or “airtime,” between mobile devices. The Economist covered the phenomenon in a 2013 piece: “Unlike mobile money, airtime’s value does not rely directly on a government’s stability or ability to hold down inflation by, say, showing restraint printing money.” Money doesn’t have to be money anymore. And a lot of that evolution has been fueled by a loss of trust in government and our financial institutions. Consider the rise of cryptocurrencies. People have become so comfortable with alternate forms of currency, while simultaneously disillusioned with our traditional financial structures, that they’re willing to put their money into something that an anonymous entity created and is nearly impossible to use for anything legal other than speculation and trading.


pages: 811 words: 160,872

Scots and Catalans: Union and Disunion by J. H. Elliott

active measures, agricultural Revolution, banking crisis, British Empire, centre right, land tenure, mass immigration, mobile money, new economy, North Sea oil, Red Clydeside, sharing economy, The Wealth of Nations by Adam Smith, urban renewal

The pressures imposed by a foreign policy designed to give his Stewart dynasty (henceforth to be called Stuart as it anglicized itself) 7 a higher continental profile and establish him as Europe’s peacemaker, were therefore minuscule in comparison with those that confronted Olivares. If Spain were to retain its European hegemony and Philip IV be acknowledged as the greatest ruler in the world, it was essential in Olivares’s eyes that all the kingdoms of the Monarchy should contribute to the common enterprise. This could only be achieved if they no longer exploited their laws, liberties and parliamentary institutions to block measures for mobilizing money and manpower across the monarquía to the benefit of all. The prime requisite, therefore, was to make Philip in practice what he already was in name, a true ‘King of Spain’. Olivares’s desire, as expressed in his secret instructions to Philip, to ‘reduce these kingdoms of which Spain is composed to the laws and style of Castile’, would seem to justify contemporary suspicions and later assumptions that he was planning a progressive ‘Castilianization’ of the peninsula.


Money and Government: The Past and Future of Economics by Robert Skidelsky

anti-globalists, Asian financial crisis, asset-backed security, bank run, banking crisis, banks create money, barriers to entry, Basel III, basic income, Ben Bernanke: helicopter money, Big bang: deregulation of the City of London, Bretton Woods, British Empire, business cycle, capital controls, Capital in the Twenty-First Century by Thomas Piketty, Carmen Reinhart, central bank independence, cognitive dissonance, collapse of Lehman Brothers, collateralized debt obligation, collective bargaining, constrained optimization, Corn Laws, correlation does not imply causation, credit crunch, Credit Default Swap, credit default swaps / collateralized debt obligations, David Graeber, David Ricardo: comparative advantage, debt deflation, Deng Xiaoping, Donald Trump, Eugene Fama: efficient market hypothesis, eurozone crisis, financial deregulation, financial innovation, Financial Instability Hypothesis, forward guidance, Fractional reserve banking, full employment, Gini coefficient, Growth in a Time of Debt, Hyman Minsky, income inequality, incomplete markets, inflation targeting, invisible hand, Isaac Newton, John Maynard Keynes: Economic Possibilities for our Grandchildren, John Maynard Keynes: technological unemployment, Joseph Schumpeter, Kenneth Rogoff, labour market flexibility, labour mobility, law of one price, liberal capitalism, light touch regulation, liquidationism / Banker’s doctrine / the Treasury view, liquidity trap, market clearing, market friction, Martin Wolf, means of production, Mexican peso crisis / tequila crisis, mobile money, Mont Pelerin Society, moral hazard, mortgage debt, new economy, Nick Leeson, North Sea oil, Northern Rock, offshore financial centre, oil shock, open economy, paradox of thrift, Pareto efficiency, Paul Samuelson, placebo effect, price stability, profit maximization, quantitative easing, random walk, regulatory arbitrage, rent-seeking, reserve currency, Richard Thaler, rising living standards, risk/return, road to serfdom, Robert Shiller, Robert Shiller, Ronald Reagan, savings glut, secular stagnation, shareholder value, short selling, Simon Kuznets, structural adjustment programs, The Chicago School, The Great Moderation, the payments system, The Wealth of Nations by Adam Smith, Thomas Malthus, Thorstein Veblen, too big to fail, trade liberalization, value at risk, Washington Consensus, yield curve, zero-sum game

But there is no incentive to do anything about either set of imbalances, as long as economists and policymakers believe in leaving control of financial flows to the financiers. V I. Ba n k i ng I m ba l a nc e s In the nineteenth century it made sense to talk of British or French savings ‘flowing abroad’ to finance the capital development of their clients, because capital-rich countries like Britain and France alone had the financial markets able to mobilize money for foreign loans. It was not accidental that financial facilities were located in the country in which saving (in the sense of non-consumed income) was most plentiful. But even then there was no automatic connection between a current account surplus and foreign lending: the Rothschilds raised money from a variety of locations. The link is even weaker today, when we have a global banking system, largely detached from a specific country location, handling the money of a global elite of rich investors.


pages: 708 words: 196,859

Lords of Finance: The Bankers Who Broke the World by Liaquat Ahamed

Albert Einstein, anti-communist, bank run, banking crisis, Bretton Woods, British Empire, business cycle, capital controls, central bank independence, centre right, credit crunch, currency manipulation / currency intervention, Etonian, full employment, German hyperinflation, index card, invisible hand, Lao Tzu, large denomination, Long Term Capital Management, margin call, market bubble, Mexican peso crisis / tequila crisis, mobile money, money market fund, moral hazard, new economy, open economy, plutocrats, Plutocrats, price stability, purchasing power parity, pushing on a string, rolodex, the market place

The Banque de France had in fact considered launching such a preemptive financial strike against Germany but rejected the idea as too risky. Moreau did not want to be blamed for a world economic collapse. Some French banks undoubtedly did pull some deposits home but this was mere commercial prudence in the light of the deteriorating turn of events. Meanwhile, in an effort to forestall a breakdown in world finances, Norman and George Harrison of the New York Fed had begun mobilizing money to support the Reichsbank. At this point, with a financial crisis looming, Lord Revelstoke saved the day by suddenly dropping dead. The consequent suspension of the proceedings forced the parties to catch their breath for a few days and step away from the brink. Schacht left with the German delegation for consultations in Berlin. There he found the cabinet up in arms. He had clearly overreached.