Saturday, May 26, 2007

The New Business Model

I read this Post today, and asked how a worthy Economist could be so wrong. Going Green is not costly, or Time-consuming. Maybe Phil should read this article by James Lardner; Why has Business decided to go Green in such a unified and rapid a Movement? The reason is very simple: Green is the new technological horizon. The growth potentials of IT are reaching a natural Sundown, continuously regenerating but without sweeping growth opportunities. Going Green has multiplex avenues for technological engineering at good Sale pricing.

Let Us be kind to Phil Miller, and suggest he is only leading the vanguard of the Business missionary effort to get the Government to fund the new technology, for even higher Profit ratios. Green, though, is not extremely Costly, or does it even contain extreme amounts of technical difficulty. Most efforts to go Green resolve to an Expenditure of no more than an average 11% of the total Capitalization Cost of Production (We are talking about technically Doable initiatives, which do not have falsified Readout data as Propaganda). Rising Fuel Costs with Standard rate of Energy usage increase would eat up the added Cost within about 2.3 years average operation of the new Capital equipment anyway. Business is simply trying to get American Taxpayers to fund the Changeover to more efficient operation (my use of 2.3 years is debatable, but even Conservative economists, if honest, would say the equalization of Costs by the two means of operation could not exceed 9.4 years of operation).

What Readers need to understand equates to the Statement that old technological methods of Production have become too expensive to maintain, in the face of rising Fuel Costs. Business wants Consumers to pay for the Changeover, and they want a Guarantee of this payment by Government subsidy. Here is where I separate from the ranks of Economists. I would approve of a Government guarantee of Profits of a range of 6-8% of Operational Costs; Business would desire a Government subsidy program with guarantee of a 16-20% Profit on Operational Costs. This I find to be highly excessive, with potential to reduce Consumer Standard of Living ratios by about 15%. I find this sentiment outrageous considering that Business has a functional Profit picture coming from normal operations and Capitalization with no Guarantee. lgl

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