STRATEGIC INVESTMENT, January 2003

One hundred and sixty years ago, in 1843, the Commissioner of the US Patent Office, Henry Ellsworth, reported to Congress:  “The advancement of the arts, from year to year, taxes our credulity and seems to presage the arrival of that period when human improvement must end.”  (This is the source of the spurious quote attributed in 1899 to Ellsworth’s successor, Charles Duell, who never said “Everything that can be invented has been invented”).

Human improvement did not come to an end in 1843, nor will it in 2003.  In fact, I think 2003 is going to

When penguins in Antarctica get hungry, they get nervous.  Grouped together on an iceberg, none of them wants to be the first to jump in the water and go fishing — because there just might be a leopard seal waiting for them.  There’s nothing in the sea a leopard seal finds more tasty to eat than fresh penguin.

So the waddle (on land or ice, a group of penguins is a waddle;  in the water, it’s a raft) bunches together, the ones in the back pushing forward, the ones in the front backing up away from the ice edge.  When

This month we’re going to focus upon books on Islam.  The first thing to do in this regard, however, is to go into the To The Point  Archives and read the Myth of Mecca article.  It explains how the religion of Islam was invented as a religious rationale to justify Arab imperialism.  At the end of that article, you’ll see a list of sources, all of which I strongly recommend as works of serious professional scholarship:

 • Al-Rawandi, I.M. Origins of Islam:  A Critical Look at the Sources.  Prometheus, 2000
 • Crone, P.M.  Meccan Trade and the Rise of Islam.  Oxford, 1987.**

Jack Wheeler
Strategic Investor, July 2001

The origin of the phrase “thinking out of the box” comes from an intelligence test called the Nine Dot Box.  Imagine three rows of three dots, each equally spaced some distance apart on a regular piece of paper.  The task is to connect the dots with a  minimum number of lines drawn by a pen or pencil.  The only rules are:  you must draw a line through every dot once and only once, all lines must be straight (no curves), and your pen/pencil cannot leave the paper. 

Most people cannot figure out how to do

When Albert Einstein wrote and offered his initial papers on the Special Theory of Relativity in 1905, he was an unknown clerk in the Swiss Patent Office with no academic credentials.  Needless to say, for established professional physicists, the overthrow of the principles upon which their lives' work was based by a 26 year-old kid nobody every heard of did not go over too well.

So almost 100 years later, here comes another kid, a high school dropout no less, who may impact 21st Century science the way Einstein did the 20th.  Peter Lynds, a 27 year-old broadcasting school tutor from Wellington, New Zealand,  may change the way that we think about time and its relationship to classical and quantum mechanics and cosmology.

Early last October, a senior White House henchman, let’s call him Richard Head, paid Janet Reno a visit.  The conversation went something like this. 

Head:  Ms. Reno, the president is very concerned that you do the right thing regarding criminal investigations of his administration. 

Reno:  That’s reassuring, Richard — may I call you Dick? 

Head:  Yes — so we at the White House would like you to prosecute Bill. 

Reno (spilling her coffee):  Prosecute the president?  But I thought no matter how massive the evidence against him, I was to stonewall… 

Head:  No, Ms. Reno, that’s the wrong Bill —

BOOK DISCUSSION : Adventure Capitalist by Jim Rogers (Random House, 2003)

It’s a great concept: A guy makes a killing on Wall Street, then drives a bright yellow Mercedes 152,000 miles around the world through 116 countries with his girlfriend (later wife), making interesting observations and giving you valuable investment advice all along the way.

Well, it’s a concept. This book is a real rough ride. There’s “take-home value” here that you can use for your portfolio’s benefit, but there are so many chuckholes, so many intellectual flat tires that the journey can be grindingly infuriating.

Rogers is one of

I could not suggest more strongly that you read Bernard Lewis’ latest book, The Crisis of Islam: Holy War and Unholy Terror (Modern Library, 2003).  Its compact 164 pages contain an abundance of revelations. 

We are so often told, for example, that a basic cause of the hatred radical Moslems feel for the West is the Crusades.  Yet, Mr. Lewis explains, the capture of Jerusalem by the Crusaders in 1099 was largely ignored by the main Moslem powers in nearby Damascus and in Baghdad.  After Saladin retook the city in 1187, the Moslem world forgot about it for 700 years, until

Book Discussion : Harry Potter and the Order of the Phoenix (Scholastic: 2003)

Like so many other kids, my son learned how to read by reading Harry Potter. He was five years old, and would sit next to me as I read Harry Potter and the Sorcerer’s Stone to him.

He began picking out words as his eyes followed my hand moving down the page as I read. Then phrases, then parts of sentences, and by the end of the book, entire sentences. That was in 1997. When Harry Potter and the Chamber of Secrets came out the next year,