Nebraska – Page 4 – artdiamondblog.com

Entrepreneurs Should Seek Problems, Not Opportunities

“Jim McKelvey drew on experiences as a businessman and glassblower in his speech at Big Omaha 2012.” Source of caption and photo: online version of Macy Koch, “Jim McKelvey: “Just go ahead and build it”.” Silicon Prairie News. (Thursday May 10, 2012).

(p. 2D) The dynamics of the glass-blowing industry changed when a new, smaller version of the traditional glass-blowing furnace was developed. The economics of glass-blowing suddenly changed.

But as McKelvey’s glass-blowing skills grew and as he developed more products, including a patented glass water faucet, another barrier emerged: access to the financial system.
At one point, McKelvey was about to sell one of his faucets. The customer wanted to pay with an American Express credit card, but McKelvey couldn’t accept it without the requisite hardware. The sale fell through.
McKelvey then had a problem he needed to solve: Why wasn’t there a way to accept payments on a smartphone?
So he teamed up with Jack Dorsey, a co-founder of Twitter who worked with McKelvey at Mira, to start Square, which allows users to accept payments through their phones.
It was an idea that tackled a problem, McKelvey said, suggesting to attendees: “Go out there and seek problems. Don’t look for opportunities.”

For the full story, see:
Ross Boettcher. “Traveling the Road to Innovation; A former ‘Quitter’ and Others Offer tips at the Big Omaha Conference.” Omaha World-Herald (Fri., May 11, 2012): 1D & 2D.
(Note: the online version of the article has the title “Many roads to innovation at Big Omaha.”)

“”Go out there and seek problems. Don’t look for opportunities.” Jim McKelvey, co-founder of Square.” Source of caption and photo: online version of the Omaha World-Herald article quoted and cited above.

In Supporting Bailouts Buffett Was More Bootlegger than Baptist

Source of book image: online version of the Omaha World-Herald review quoted and cited below.

(p. 9A) Peter Schweizer’s new book, “Throw Them All Out” (Houghton Mifflin Harcourt, 211 pages, $26) mostly goes after members of Congress for profiting from inside information and making investments that are legal for them but would be illegal for almost anyone else.

But Chapter 6 is titled, “Warren Buffett: Baptist and Bootlegger.”
Buffett is neither an actual Baptist nor a bootlegger, of course. Schweizer’s reference is to the alliance of churchgoers and illegal marketers of liquor who both favored laws to limit the legal sale of alcohol, although for different reasons.
Schweizer wrote that during the 2008-09 financial crisis, Buffett pushed for government action and called attention to the problems, looking like a noble Baptist, but profited from the bailouts, like a bootlegger, through investments in Goldman Sachs, General Electric, Wells Fargo and other financial companies.
“Buffett needed the bailout,” Schweizer wrote. “He began immediately to campaign for the $700 billion TARP rescue plan that was being hammered together in Washington.” Several senators, including Ben Nelson, D-Neb., are Berkshire shareholders, Schweizer wrote, “and they had to know that passing the bailout bill would bring big returns for their Berkshire stock.”
“There were many legitimate reasons to support the bill, and it can hardly be said that Buffett’s support was the deciding factor,” Schweizer wrote. “But his Baptist-bootlegger position was noteworthy for its strength in both directions: a lot of people followed his advice, and he and they made (p. 10A) a lot of money by pushing for the bailout. . . .
“Warren Buffett is a financial genius. But even more important for his portfolio, he’s a political genius.”

For the full story, see:
Steve Jordon. “Warren Watch: Author Says Buffett Is a ‘Political Genius’.” Omaha World-Herald (Sunday, November 20, 2011): 9A -10A.
(Note: ellipsis in original.)
(Note: the online version of the article has the title “Warren Watch: A ‘Political Genius’.”)

Steve Jordan is discussing the book:
Schweizer, Peter. Throw Them All Out. New York: Houghton Mifflin Harcourt Trade, 2011.

Bruce Yandle is the former President of APEE and the author of the classic article on how bootleggers and Baptists often become allies in calling for government action:
Yandle, Buce. “Bootleggers and Baptists: The Education of a Regulatory Economist.” Regulation 7, no. 3 (1983): 12-16.

When Christopher Hitchens Will Visit Nebraska

“Christopher Hitchens, after being released from the Texas hospital where he was treated for esophageal cancer.” Source of caption and photo: online version of the NYT article quoted and cited below.

A few times I have had the pleasure of seeing Christopher Hitchens interviewed. His wit is always wonderful and he skewers much that deserves skewering. I admire his perseverance at being productive, even as he battles a difficult cancer. And I admire him for sticking to his reasoned principles, even when it might be easier to accept Pascal’s Wager.
I have enjoyed the few reviews by Hitchens that I have read. I have purchased, but not yet read, two of his books—when I have read, I will write.
ADDENDUM: I wrote the above words back on November 10th, scheduled to run today. Yesterday I saw in the paper that Hitchens died on Thursday, December 15, 2011.

(p. C1) HOUSTON — Christopher Hitchens, probably the country’s most famous unbeliever, received the Freethinker of the Year Award at the annual convention of the Atheist Alliance of America here on Saturday. Mr. Hitchens was flattered by the honor, he said a few days beforehand, but also a little abashed. “I think being an atheist is something you are, not something you do,” he explained, adding: “I’m not sure we need to be honored. We don’t need positive reinforcement. On the other hand, we do need to stick up for ourselves, especially in a place like Texas, where they have laws, I think, that if you don’t believe in Jesus Christ you can’t run for sheriff.”

Mr. Hitchens, a prolific essayist and the author of “God Is Not Great: How Religion Poisons Everything,” discovered in June 2010 that he had Stage 4 esophageal cancer.
. . .
(p. C5) On balance, he reflected, the past year has been a pretty good one. He won a National Magazine Award, published “Arguably,” debated Tony Blair in front of a huge audience and added two states to the list of those he has visited. “I lack only the Dakotas and Nebraska,” he said, “though I may not get there unless someone comes up with some ethanol-based cancer treatment in Omaha.”

For the full story, see:
CHARLES McGRATH. “A Voice, Still Vibrant, Reflects on Mortality.” The New York Times (Mon., October 10, 2011): C1 & C5.
(Note: ellipsis added.)

Kiewit Corporation Earned Bonus from Los Angeles for Avoiding “Carmageddon”

“Los Angeles Mayor Antonio Villaraigosa, at left of group, and other officials celebrate the demolition of two lanes of the Mulholland Drive bridge over Interstate 405 ahead of schedule last weekend. The event that many feared would result in epic traffic jams ended early and calmly.” Source of caption and photo: online version of the Omaha World-Herald article quoted and cited below.

(p. 6A) They paid Kiewit to build the Mulholland Bridge.

Now they’re paying Kiewit to tear it down.
And they’ll pay Kiewit to build it again.
It’s all part of the billion-dollar Interstate 405 improvement project in Los Angeles, which caught national attention last weekend when the busy freeway shut down for 36 hours so workers could remove the first chunk of the bridge that spans the Sepulveda Pass.
Omaha-based Kiewit Corp.’s Kiewit Infrastructure West Co. is the main contractor for the project.
Traffic officials in Southern California, who had predicted “Carmageddon” and warned motorists to stay away, were relieved when the closure of one of the nation’s busiest freeways — the stretch is traveled by an estimated 500,000 vehicles on a typical weekend — ended on 11:30 a.m. Sunday instead of 5 a.m. Monday as originally planned.

Kiewit reportedly got a (p. 7A) $300,000 bonus for beating the deadline.

For the full story, see:
STEVE JORDON. “KIEWIT WORK ON ‘CARMAGEDDON’ BRIDGE; IT’S UP, DOWN AND UP.” Omaha World-Herald (Sat., July 23, 2011): 6A-7A.

Deregulation Revived Railroads

“ALL ABOARD: The Wasp magazine in 1881 lampooned railroad moguls as having regulators in the palms of their hands.” Source of caricature: online version of the WSJ article quoted and cited below.

(p. C8) Mr. Klein has written thoroughly researched and scrupulously objective biographies of the previously much maligned Jay Gould and E.H. Harriman, remaking their public images by presenting them in full. Now he has published the third and final volume of his magisterial history of the Union Pacific railroad, taking the company from 1969 to the present day.

Union Pacific–the only one of the transcontinentals to remain in business under its original name–is now a flourishing business. Thanks to a series of mergers, it is one of the largest railroads in the world, with more than 37,000 miles of track across most of the American West. Thanks to its investment in new technology, it is also among the most efficient.
In 1969, though, the future of American railroading was in doubt as the industry struggled against competition from airplanes, automobiles and trucks–all of which were in effect heavily subsidized through the government’s support for airports and the Interstate Highway System.
Another major factor in the decline of the railroads had been the stultifying hand of the Interstate Commerce Commission. The ICC had come into existence in the late 19th century to limit the often high-handed ways of the railroads as they wrestled with the difficult economics of an industry that has very high fixed costs. ( . . . .) But the ICC soon evolved into a cartel mechanism that discouraged innovation and wrapped the railroad industry in a cocoon of stultifying rules.
Mr. Klein notes that in 1975 he wrote a gloomy article about the sad state of an industry with a colorful past: “Unlike many other historical romances,” he wrote back then, “the ending did not promise to be a happy one.”
Fortunately, a deregulation movement that began under the Carter administration–yes, the Carter administration–limited the power of the ICC and then abolished it altogether. As Mr. Klein shows in the well-written “Union Pacific,” the reduction of government interference left capitalism to work its magic and produce–with the help of dedicated and skillful management–the modern, efficient and profitable railroad that is the Union Pacific.

For the full review, see:
JOHN STEELE GORDON. “Tracks Across America.” The Wall Street Journal (Sat., JUNE 11, 2011): C8.
(Note: ellipsis added.)

Book reviewed in the part of the review quoted above:
Klein, Maury. Union Pacific: The Reconfiguration: America’s Greatest Railroad from 1969 to the Present. New York: Oxford University Press, USA, 2011.

Coralville Police Close 4-Year-Old Abigail’s Lemonade Stand

(p. 2B) CORALVILLE — Police closed down a lemonade stand in Coralville, telling its 4-year-old operator and her dad that she didn’t have a permit.
. . .
Abigail’s dad, Dustin Krutsinger, said the ordinance and its enforcers are going too far if they force a 4-year-old to abandon her lemonade stand.

For the full story, see:
AP. “Coralville shuts down girl’s lemonade stand.” Omaha World-Herald [Iowa Edition] (Weds., August 3, 2011): 2B.
(Note: ellipsis added.)
(Note: the online version of the article is dated August 2, 2011 and has the title “Girl’s lemonade stand shut down.”)

The next day, the Iowa Edition of the Omaha World-Herald ran an update:

(p. 2B) CORALVILLE — Four-year-old Abigail Krutsinger wasn’t the only lemonade stand operator who was closed down when RAGBRAI bicyclists poured into Coralville last week.

At least three stands run by children were closed down because they hadn’t obtained permits and health inspections.

For the full story, see:
AP. “Coralville defends closing kids’ stands.” Omaha World-Herald [Iowa Edition] (Thurs., August 4, 2011): 2B.
(Note: the online version of the article is dated August 3, 2011, and has the title “More lemonade stands shuttered.”)

$130,000 Federal Stimulus Used by Omaha Public Schools for Manual Attacking American Institutions

(p. 1A) The Omaha Public Schools used more than $130,000 in federal stimulus dollars to buy each teacher, administrator and staff member a manual on how to become more culturally sensitive.
The book by Virginia education consultants could raise some eyebrows with its viewpoints.
The authors assert that American government and institutions create advantages that “channel wealth and power to white people,” that color-blindness will not end racism and that educators should “take action for social justice.”
The book says that teachers should acknowledge historical systemic oppression in schools, including racism, sexism, homophobia and “ableism,” defined by the authors as discrimination or prejudice against people with disabilities.
The authors argue that public school teachers must raise their cultural awareness to better serve minority students and improve academic achievement.

For the full story, see:
Joe Dejka. “OPS Says It Won’t Go totally by the Book.” Omaha World-Herald (Sunday, July 10, 2011): 1A & 2A.
(Note: the online version of the article has the title “OPS buys 8,000 diversity manuals.”)

Omaha’s Mayor Suttle Proposes Toilet Paper Tax

(p. 1A) Mayor Jim Suttle went to Washington Tuesday flush with ideas for how federal officials could help cities like Omaha pay for multibillion-dollar sewer projects.

Among the items on his brainstorming list: a proposal for a 10-cent federal tax on every roll of toilet paper you buy.
Based on the four-pack price for Charmin double rolls Tuesday at a midtown Hy-Vee, such a tax would add more than 10 percent to the per-roll price, pushing it over a buck.

For the full story, see:
MAGGIE O’BRIEN. “Mayor unrolls a novel way to wipe out sewer costs ■ His suggestion– a toilet paper tax — strikes some city industries as a gentler approach.” Omaha World-Herald (Weds., March 23, 2011): 1A.
(Note: the online version has the slightly different title “Mayor unrolls a novel way to wipe out sewer costs ■ His idea– a toilet paper tax — strikes some city industries as a gentler approach.”)

Father of Cornhusker Kickback Is Named “2010 Porker of the Year”

(p. 6A) Sen. Ben Nelson can’t shake the “Cornhusker Kickback.”
This week, a government watchdog group named the Nebraska Democrat its “2010 Porker of the Year,” based on an online poll.
Citizens Against Government Waste included Nelson in the poll, citing his role negotiating a provision of the federal health care bill that would have exempted Nebraska from paying the added costs of the law’s expanded Medicaid coverage. That provision was later dropped in favor of relief for all states, which Nelson has said was his goal all along.
Nelson cast the decisive 60th vote for the bill in late 2009.
. . .
Mark Fahleson, chairman of the Nebraska Republican Party, said Nelson was trying to rewrite history. “The fact is he’s the father of the Cornhusker Kickback,” he said.

For the full story, see:
MICHAEL O’CONNOR. “Nelson rejects group’s ‘Porker of Year’ label.” Omaha World-Herald (Fri., March 4, 2011): 6A.
(Note: ellipsis added.)

Feds Protect Us from Freshly Baked Cookies

“Schools like Omaha’s Masters Elementary, which held a recent holiday bake sale, count on the profits from selling cupcakes, caramel corn and other goodies to raise money for field trips and other activities.” Source of caption and photo: online version of the Omaha World-Herald article quoted and cited below.

(p. 1A) A business club at Millard West High School peddles freshly baked cookies, raking in $15,000 annually to help send students to national conferences.

At Omaha’s Masters Elementary, cupcakes, fudge and other bake-sale treats raise $500 for field trips, rain jackets for the safety patrol and playground equipment.

But the federal government could slam the brakes on those brownies and lower the boom on the lemon bars.
A child nutrition bill passed recently by Congress gives a federal agency the power to limit the frequency of school bake sales and other school-sponsored fundraisers that sell unhealthy food.
To some, the bake sale provision makes about as much sense as leaving the marshmallows out of Rice Krispies treats.
It maybe makes sense for the federal government to monitor the quality of ground beef, eggs and milk sold in grocery stores. But caramel corn and snicker doodles whipped up by parents for school bake sales?
“Aren’t there more important (p. 2A) things for them to be worried about?” Sandy Hatcher, president of Masters’ parent organization, said of the federal government.

For the full story, see:
MICHAEL O’CONNOR. “Putting the brakes on bake sales; New federal rules on frequency during school day may affect fundraising.” Omaha World-Herald (Sun., December 12, 2010): 1A-2A.