Wednesday, August 03, 2011
A worldwide financial meltdown is in progress all over the world. Only yesterday I bought KOOR shares thinking that its holdings, Makhteshim and Credit Suisse, are solid. I am disappointed. The portfolio is seriously down. I am seeing great technical progress in all the industries including the water industry, computers are unexpensive and widely used, yet GNPs are static all over the world and standards of living are sinking. Look at the motives on old money: the producing technology - hammers, fishing nets, baskets for picking fruit - are primitive and inefficient. No one remembers what work meant only a generation ago. Yet I feel strongly that 30 - 40 years ago life was much easier in Israel than it is now. I have no explanation for this paradox.