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What role does "financial literacy" play in your country?


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What role does "financial literacy" play in your country? #16 (permalink) Thu Mar 06, 2008 21:18 pm   What role does "financial literacy" play in your country?
 

This is fun -- using cows to explain different economic systems (or those of different countries/states):
--------------------

Explaining Economics with Cows

LIBERAL
- You have two cows.
- Your neighbor has none.
- You feel guilty for being successful.
- Instead of giving your neighbor one of your cows, you write to your congressman, demanding that he pass legislation for more government programs to help your neighbor get a cow.
- You hold a concert to raise awareness for the cow-lessness.
- Barbara Streisand sings for the cow-less, who couldn't attend because ticket prices are so expensive that only people with 3 or 4 cows can afford to attend.
- You wear a ribbon that signifies that you care about cowless people, even though you really haven't done anything to help them at all.

CONSERVATIVE
- You have two cows.
- Your neighbor has none.
- So?

SOCIALIST
- You have two cows.
- The government takes one and gives it to your neighbor.
- You form a cooperative to tell him how to manage his cow.

COMMUNIST
- You have two cows.
- The government seizes both and provides you with milk.
- You wait in line for hours to get it.
- It is expensive and sour.

CAPITALISM, AMERICAN STYLE
- You have two cows.
- You sell one, buy a bull, and build a herd of cows.

DEMOCRACY, AMERICAN STYLE
- You have two cows.
- The government taxes you to the point you have to sell both to support a man in a foreign country who has only one cow, which was a gift from your government.

BUREAUCRACY, AMERICAN STYLE
- You have two cows.
- The government takes them both, shoots one, milks the other, pays you for the milk, and then pours the milk down the drain.

AMERICAN CORPORATION
- You have two cows.
- You sell one, lease it back to yourself and do an IPO on the 2nd one.
- You force the two cows to produce the milk of four cows.
- You are surprised when one cow drops dead.
- You spin an announcement to the analysts stating you have down sized and are reducing expenses.
- Your stock goes up.

FRENCH CORPORATION
- You have two cows.
- You go on strike because you want three cows.
- You go to lunch and drink wine.
- Life is good.

JAPANESE CORPORATION
- You have two cows.
- You redesign them so they are one-tenth the size of an ordinary cow and produce twenty times the milk.
- They learn to travel on unbelievably crowded trains.
- Most are at the top of their class at cow school.

GERMAN CORPORATION
- You have two cows.
- You engineer them so they are all blond, drink lots of beer, give excellent quality milk, and run a hundred miles an hour.
- Unfortunately they also demand 13 weeks of vacation per year.

ITALIAN CORPORATION
- You have two cows but you don't know where they are.
- While ambling around, you see a beautiful woman.
- You break for lunch.
- Life is good.

RUSSIAN CORPORATION
- You have two cows.
- You have some vodka.
- You count them and learn you have four cows.
- You have some more vodka.
- You count them again and learn you have eight cows.
- The Mafia shows up and takes over however many cows you really have.

TALIBAN CORPORATION
- You have all the cows in Afghanistan, which are two.
- You don't milk them because you cannot touch any creature's private parts.
- Then you kill them and claim a US bomb blew them up while they were in the hospital.

IRAQI CORPORATION
- You have two cows.
- They go into hiding.
- They send radio tapes of their mooing.

POLISH CORPORATION
- You have two bulls.
- Employees are regularly maimed and killed attempting to milk them.

CALIFORNIAN
- You have a cow and a bull.
- The bull is depressed.
- It has spent its life living a lie.
- It goes away for two weeks.
- It comes back after a taxpayer-paid sex-change operation.
- You now have two cows.
- One makes milk; the other doesn't.
- You try to sell the transgender cow.
- Its lawyer sues you for discrimination.
- You lose in court.
- You sell the milk-generating cow to pay the damages.
- You now have one rich, transgender, non-milk-producing cow.
- You change your business to beef.
- PETA pickets your farm.
- Jesse Jackson makes a speech in your driveway.
- Cruz Bustamante calls for higher farm taxes to help "working cows."
- Hillary Clinton calls for the nationalization of 1/7 of your farm "for the children."
- Gray Davis signs a law giving your farm to Mexico.
- The L.A. Times quotes five anonymous cows claiming you groped their teats.
- You declare bankruptcy and shut down all operations.
- The cow starves to death.
- The L.A.Times' analysis shows your business failure is Bush's fault.

(from ihatedemocrats.com)
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What role does "financial literacy" play in your country? #17 (permalink) Thu Mar 06, 2008 21:41 pm   What role does "financial literacy" play in your country?
 

Torsten wrote:
The generation of my parents are very suspicious of stocks, bonds and any other kind of financial investment products because this type of market was almost non-existent when we were a socialist country. The percentage of homeowners was extremely low and most people would keep their money in state owned banks generating interest rates slightly above inflation.

I deal with this kind of person in my work and personal life all the time. Another major factor in their minds is the degree of corruption in the countries they came from.

For example, more than once, people from Third World or communist countries (same thing) have asked me what to do when their employers said it was time for them to enroll in the company's retirement investment plan. The questions always go like this:

1. What if I lose all my money?
It's almost impossible for you to lose all your money, if you diversify your investments, as the program forces you to do.

2. But I'll lose all that money if I quit my job.
No you won't. As soon as you contribute to the plan, the money goes into an independent fund that you own and that you manage through a separate financial company.

3. But my employer can steal all my money.
No, he can't. He doesn't have any way to touch your money, because it's all in an account in your name at the financial company, under your control.

4. But the financial company can steal all my money.
They won't.

5. But if I change jobs, I'll lose it all.
I've already told you that the money follows you from job to job. It's YOUR account.

6. But what if I lose all the money?
I've told you that the plan forces you to diversify, and there's almost no chance you'll lose it all.

Then they just repeat the same questions over and over.
Jamie (K)
I'm a Communicator ;-)


Joined: 24 Feb 2006
Posts: 6552
Location: Detroit, Michigan, USA

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