QuoteOriginally posted by: Traden4AlphaI have no idea where you get this idea that debt grows faster than V. What "theory" tells you that this must be so?I see that you like chess,Quote"It often happens that a player carries out a deep and complicated calculation, but fails to spot something elementary right at the first move." -- grandmaster Alexander Kotov --inscribed on gift chess sets given by Amaranth hedge fund. Here is the famous chess story that explains the power of exponential growth,QuoteWhen the creator of the game of chess (in some tellings an ancient Indian mathematician, in others a legendary dravida vellalar named Sessa or Sissa) showed his invention to the ruler of the country, the ruler was so pleased that he gave the inventor the right to name his prize for the invention. The man, who was very wise, asked the king this: that for the first square of the chess board, he would receive one grain of wheat (in some tellings, rice), two for the second one, four on the third one, and so forth, doubling the amount each time. The ruler, arithmetically unaware, quickly accepted the inventor's offer, even getting offended by his perceived notion that the inventor was asking for such a low price, and ordered the treasurer to count and hand over the wheat to the inventor. However, when the treasurer took more than a week to calculate the amount of wheat, the ruler asked him for a reason for his tardiness. The treasurer then gave him the result of the calculation, and explained that it would be impossible to give the inventor the reward. The ruler then, to get back at the inventor who tried to outsmart him, told the inventor that in order for him to receive his reward, he was to count every single grain that was given to him, in order to make sure that the ruler was not stealing from him.The amount of wheat is approximately 80 times what would be produced in one harvest, at modern yields, if all of Earth's arable land could be devoted to wheat.Wheat and chessboard problem
Last edited by torontosimpleguy
on February 5th, 2010, 11:00 pm, edited 1 time in total.