Woo Pig Sooie!

I visited University of Arkansas a few weekends ago. As we did the college tour, two students were showing us around on campus. As we got to the business building, they started to explain some cool things about the department. The guy told that there is an investing class that every business major/minor has to take. The school donates $1,000,000 for the students to invest in the class so they can really get a hands on experience on the real stock market, rather than just learning through simulators for practice. I think using real money would put more pressure on the students to take it more seriously, in the chances of actually making/loosing real money. I thought this was pretty cool. This gives students the tools and knowledge to invest money early on. Especially being a business major, it is important to invest your money to make a good living. The earlier you start the more you will make. This is becoming more and more important because we need to start planning to save for retirement earlier on because our generations will not be able to plan for social security. Its cool that the university is investing money into their students, which will not only make the school money, but will overall drive the economy because those students will more than likely invest on their own, putting more money into the economy. I don’t know how common these classes are, but I think its an awesome idea that will spread if it hasn’t already. A lot of people, especially young adults, are scared to invest their money. By taking this class, more young adults will begin to put back money and start retirement funds early on and be smarter with their money.

Colombia's Production Possibilities

Colombia produces 10% of the worlds coffee, making it the 2nd largest coffee producer in the world (beneath Brazil). If you try to imagine how much coffee is consumed by the average person everyday, you will realize how important coffee production really is to the Colombian economy. Keeping this in mind, Colombia also produces 90% of the worlds cocaine. The Colombian coffee industry is at risk because the opportunity costs of production are increasing. Rising temperatures, unpredictable rainfall and the intensive labor that goes along with producing coffee is making it more and more undesirable to farmers. As a result, farmers have begun to abandon coffee and take on the coca plant, which produces cocaine. The popularity of cocaine production is increasing because of the multi-billion dollar cocaine trade between South America up towards Mexico into the United States. Poverty stricken families have either added coca plants to their coffee farms, or switched over to coca all together. As the popularity of cocaine production in Colombia has increased within the years, the US has given money and supplies to destroy coca crops and aid the government in reducing production. The UN has also invested in coffee to reduce the drug trade. Though these factors might stunt the amount produced, coca will continue to be farmed in Columbia because of money that is entailed. Though coffee is and will continue to be the more popular crop, production continues to be shared with the coca plant. This is sad to see knowing that the out-of-control drug trade is inevitable and there will always be a demand for cocaine. Maybe if other countries continue to help, technology can aid in making coffee farming more efficient to increase production. So pick your stimulant- cocaine or coffee?