Tuesday, March 10, 2009

Cows on economic model

SOCIALISM: You have 2 cows, and you give one to your neighbour.

COMMUNISM: You have 2 cows. The State takes both and gives you some milk.

FASCISM: You have 2 cows. The State takes both and sells you some milk.

NAZISM: You have 2 cows. The State takes both and shoots you.

BUREAUCRATISM: You have 2 cows. The State takes both, shoots one, milks the other, then throws the milk away...

TRADITIONAL CAPITALISM: You have two cows. You sell one and buy a bull.
Your herd multiplies, and the economy grows. You sell them and retire on the income.

SURREALISM: You have two giraffes. The government requires you to take harmonica lessons

AN AMERICAN CORPORATION: You have two cows. You sell one, and force the other to produce the milk of four cows. Later, you hire a consultant to analyse why the cow has dropped dead.

ENRON VENTURE CAPITALISM: You have two cows. You sell three of them to your publicly listed company, using letters of credit opened by your brother-in-law at the bank, then execute a debt/equity swap with an associated general offer so that you get all four cows back, with a tax exemption for five cows. The milk rights of the six cows are transferred via an intermediary to a Cayman Island Company secretly owned by the majority shareholder who sells the rights to all seven cows back to your listed company. The annual report says the company owns eight cows, with an option on one more. Sell one cow to buy a new president of the United States, leaving you with nine cows. No balance sheet provided with the release. The public buys your bull.

THE ANDERSEN MODEL: You have two cows. You shred them.

A FRENCH CORPORATION: You have two cows. You go on strike, organise a riot, and block the roads, because you want three cows.

A 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.
You then create a clever cow cartoon image called 'cowkimon' and market it worldwide.

A GERMAN CORPORATION: You have two cows. You re-engineer them so they live for 100 years, eat once a month, and milk themselves.

AN ITALIAN CORPORATION: You have two cows, but you don't know where they are. You decide to have lunch.

A RUSSIAN CORPORATION: You have two cows. You count them and learn you have five cows. You count them again and learn you have 42 cows. You count them again and learn you have 2 cows. You stop counting cows and open another bottle of vodka.

A SWISS CORPORATION: You have 5000 cows. None of them belong to you. You charge the owners for storing them.

A CHINESE CORPORATION: You have two cows. You have 300 people milking them.
You claim that you have full employment, and high bovine productivity, and arrest the newsman who reported the real situation.

AN INDIAN CORPORATION: You have two cows. You worship them.

A BRITISH CORPORATION: You have two cows. Both are mad.

IRAQI CORPORATION: Everyone thinks you have lots of cows. You tell them that you have none. No-one believes you, so they bomb the **** out of you and invade your country. You still have no cows, but at least now you are part of a Democracy....

WELSH CORPORATION: You have two cows. The one on the left looks very attractive.

AUSTRALIAN CORPORATION: You have two cows. Business seems pretty good.
You close the office and go for a few beers to celebrate.
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Sunday, March 8, 2009

Syariah Insurance

Insurance, some idea is to protect themselves from any unpredictable and unacceptable accident (loss), or just to have saving account or investment for additional advantage (i.e. PruLink, product of Prudential). we have also have Loss Insurance, other than Live Insurance we mention above. Loss Insurance needed to protect our vehicles, house, or other valuable manner. Nowadays, we heard there's something new in Insurance world, called Syaria Insurance. It based from Islamic rule of live, that everything in their live, must based on their rule of live of Holy Qur'an and Al Hadist. The principal of this kind of insurance is that every stakeholders and/or participants must agree each other for all the akad (pre requisite or agreement), condition, every single of them must known and acceptable, so no one will dissapointed to take the services. The interesting piece is that customer have a right to control the premium, that they able to pay, with ofcourse agree with the procentage claim they'll get for the risk.
Insurance Company works as a underwriter (policy holders), as collector (as pool of Tabarru’ Fund), and as Fund Manager which can invest the Tabarru’ fund base on Syariah rule. This Syariah rule is that the surplus will divide fairly with all participants (stakeholders) and company as fund manager also. The Syaria Insurance system collect all the premium from customer participants, to share the risk together, and deliver the claim from those premium money. This collecting premium called Tabarru. Insurance company take fees from this Syaria insurance for their revenue, but they can not use the Tabarru fund to greed themselves, coz this fund is untouchable and become customer's right. So where the company make money? Well.. the company get the fee from this services, such as Underwriter fee, Collector & Payer fee, and Fund Management fee. Also there’s sharing for the investment surplus from the Investment Tabarru’ Fund.