Monthly Archives: April 2016

A Splendid Exchange and movement of capital in Hemp investment

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Let’s begin with the great book A Splendid Exchange By Bernstein, an author  of three books at the time I bought this a financial theorist and historian who in this book tells the story of trade how this shaped the world, what I found most interesting is his telling the idea that investment follows low wages where investment happens where labor prices for work needed is cheapest very much so where yiur dealing with low skilled or unskilled labor.

One might ask what does this to do with Hemp?

Easy, as i write this the great state of PA has legislated Medical Marijuana making this by my count State number 26 to do so.

Of course with other effects from this law, more Marijuana for this will be needed, this must be grown etc for use in this State. How big of a market will PA be for Marijuana in say two years ? 5 Million 10 Million more?

From a Podcast I heard on Cannia-insider  the number of $30 an hour was brought up by a guest ass being paid to even some types of unskilled labor in the State of CA for jobs in the Hemp field.

Just for fun lets go along with that number above, wow talk about high prices a lot of money for companies to spend bring  Marijuana to market (unlike Hemp where machinery is far more used plus green houses are not needed nor used) a lot  of cash spend every day on unskilled labor.

So let’s add more information to this:

Read the great book Narco-Nomics by Tom Wainwright  he looks at the Drug trade as a business vs Crime and how as a business the trade as a whole and segments of  act as any other being Agriculture or making Cars many of the same economic laws bear true

The biggest on being cost of labor  will be reduced when it can as long product does not suffer.

So lets turn to Mexico as we see Mexico start the process of legalizing hemp  from not only the Courts but long time Mexican leaders like V. Fox calling for at least industrial hemp to be legal should see Hemp in all forms being legal in Mexico in a few yeas ( I project 5) then be Katy bar the door.

The same labor you pay $15 an hour for min wage in CA now will cost you  if your being nice $15 a day in Mexico

Why then set up shop in CA when you could do the same in Mexico for pennies on the dollar  costs in the USA?

Think of the hundreds of millions flowing to Mexico from grows to processing to tourism and then some.

Thinking we will see very soon the beginnings of the infrastructure need to make Hemp happen in Mexico very soon

Reflections

Reflections

Ever have a feeling that something was going on directing to a course of action?

Over the course of this journey, I thought I knew the path we would go how a show would come about (and still just might) would it be a Web series of some sort a live streaming effort using Blab or the like (boy does Blab suck now) or what exactly, and some events shocked me others not so much

Shocking was the lack of interest in the T shirts gave away far more then I sold that’s OK got them out of my hands not taking up space here shows again that your fan base will tell you what they want and will also tell you what they are interested in.

So what are others interested in?  Good question not the same things I am.

Tons of places to go to buy Bongs, Papers, and the like. Places to go that you can find Seeds best places to get medical cards the whole 9 yards but that part of Hemp is a small part yes its their spending that is fueling the 2 Billion + Hemp field.

However they  are not the movers and shakers the men and women who are reaping tons of money in the legal Hemp Business some working 10 12  hour days risking money to make money.

The more I read about the business side of Hemp the more interesting it is to me.

How do folks get involved in Hemp? How do they come up with the idea they do? How do they find the money? What oppertunies might be coming up?

I find these questions fascinating to look into

You might too

So stay tuned to as I explore this area of Hemp the business side the investment side.

As other topics come up I will talk about them as well be fun