Well, yeah, like like PJ said, my name is David and I come from Mexico You can find me on the internet as David. I'm like that on Twitter and GitHub or Almost all social networks and yeah, I'm here to talk to you about how to process millions of images with elixir Versus Ruby It was a shortened the title, but I have to I do have to make a warning before starting This might not be the best way to do it But I just want to tell you like this is this is the project that I decided to use to learn elixir and I learned a few things along the way So this is this is for you if you're starting or you're undecided we're not to move to elixir This is gonna be just gonna be a good story So let's let's start I work on on An application that's for the real estate market and it looks something like this, right? So people can go there and you know, you can put your property for rent or for sale and you can upload pictures For for the properties, right? Like, you know, like any regular website do and if you use if you're familiar with the Ruby on Rails world I'm using a jam. That's called car wave that you know Creates different versions of the images like Tom Nails and maybe the big size or smaller size and And uploads them to S3 to a bucket in in Amazon web services and that's where the images live, right? And everywhere everything was what's going great except for One day I get a call from the designer and he tells me hey, you know, we have this this weird layout here on the home page Well, I want to change it. I Want to have a map on the right side of the screen and I'm like, yeah, that's not gonna fit Oh, no, no, no, of course not gonna fit. We need to make this images a little bit smaller. Oh Okay Sure, so I thought myself. Yeah carry wave. It's you know, it's easy so I can just call a method in carry wave which is called recreate versions with the with the new sizes and It will all be magic So I'll just create a rake task that goes through all the images one by one and call that method, right? Yeah, that sounded like a good idea except for one thing and that thing is that each Image since you have to download it from S3 process it and then reuploaded took around one second to process each and When I you know, I made a query to the database and I had you know 2,000,000 2,000,000 images there Which for you know, if you make the map if you have one second per image, you know, you divided by 60 that will take 45,000 minutes 750 hours at that total to 31 point 25 days and You know my boss said yeah, no, that's not gonna work. We need it like tomorrow And Yeah, that's not gonna work either, but I'll make my best so I was like, oh, okay, right Let's just use threats, right because Ruby's so good at threading. I'll just do it and this is sort of what I did What are you laughing? It's very good So this is what I did, right? I just created a There's there's a queue class in in Ruby that's used exactly for this So I just you know, pull the images in batches. I created that queue object pushed every one of the image into the queue and then just have workers in this case 20 Because that's the max number of CPUs that you can get a digital ocean so I said hey, yeah a worker for CPU sounds great and just you know started processing images and You know if you know how yeah no, that's that's MRI sorry and Yeah, so Weird as you mentioned it because if you know how Ruby works. It's something like this. This is an old slide but it sort of Gets you a picture of how it works right like in Ruby 1 8 7 there was no like parallelism at all and then In further version there came some parallelism, but it's not real because it's not really using taking care of Using all the CPUs and then yeah, there's implementation like your Ruby and Ruby news that do that But I didn't sort of wanted to use another version So the problem is the problem with Ruby is that it has a global lock And it you know, it sounds like Something that why would they put a lock and in place, but then you come to code like this I made some research and There's sometimes where for some reason you have a code like something like this where where you have an array, right? And and you can populate that array with objects out of nowhere in different threads Ruby with its global interpreter lock guarantees that you get the results that you're expecting So this code running on different versions of Ruby in MRI You get the five thousand objects that you'd expect because it's locking every time you're adding to the array And it's not letting any other code modify it before it's done with it Whereas with J Ruby or Rubinus that don't lock itself you get unexpected results, right? so the philosophy is that For mats is that he's taking care of you, right? Like he's he's making sure that you don't go ahead and do stupid stuff like trying to Tangle the code or data in it and whereas the other implementation say no We're gonna give you a performance and you are responsible of doing the right thing like implementing a mutics or whatnot, right? So there's this is this is one of the examples where the the the global interpreter lock is in place in Ruby But there's many more right like there's many more Functions or or methods on on the on the language that locks you out So you are not really using Parallelism or maybe you're using it, but at some points it will stop you and then continue So that's why it's not that efficient, but even so the new version of code that I did with threads It reduced the average of processing to 0.6 seconds per image, which is a little bit better But you know still 18 days so Buzz was still not happy at all so All right, I decided to give elixir a try and and because you know I Did not get into the go train For some reason like I never and I will listen to the people that that keep telling me like go He's so great concurrency stuff and and I didn't get into that frame, but elixir on the other hand called my attention because It has like a better syntax I am a fan of since since I became a Ruby developer I am a like a syntax knob right like the code needs to look good and and and I hate like Semi-colons and all of that stuff that you have in all languages. So elixir when I looked at some sample code It it looked better. So I decided to go with elixir and You know the biggest difference between Ruby and elixir and it's that if you have code in Ruby your code runs in a single process and When that process like if you get an exception for some reason let's say that I'm running my rake task And for some reason he can upload to it to Amazon and then there's an exception then the whole thing dies, right? And I may not notice it Whereas in elixir You have a model where you your process can spawn order smaller processes Right, it's it it distributes the work between processes and then those processes can make all their processes And if one of them dies then you just replace it with another one And you know the the application continues working perfectly. So it's a it's better on that aspect, right? so I Decided to give it a try and let's see what I needed to do. I needed to create an app and no TP application Then my app will retrieve records from the database And then I will download the original image from Amazon Create the new image sizes with image magic and then upload them back to Amazon s3 Let's like care wave does for me except there's no care wave in elixir. So So the first part creating the app was very simple You probably all already have created a new app It's just you know mix new the name of the app and it creates the whole three with the required files And you're done. You're ready to start coding. So that's that's unimportant And then here comes the the real code you need to retrieve records from database The best way to do it right now that I've found is by using ecto Which is sort of like the active record of the elixir world except it's not and all I needed to do is just configure it, you know added the adapter and The database name the username and the password and which of course as root user. You don't need a password and Create a model In the model, it's it's just a module and you use the the ecto model module and then you define the schema right the The columns that are supposed to be on your database. It doesn't do it for you except for the id I think and since I only needed the the file name from the database to create the URL for S3 That's all I added there. So Then once you have a model You can start creating queries and the queries are created sort of like Functions and then you change those functions to get your results. So let's say that you have a main query which is just the Main select everything from this table and then you can do all things like find maybe find only one So you change you change the main query into into disorder Query and then maybe you need a page. So you you can add the page thing limit an offset and And in your code you just sort of use a pipe to change all those functions and get The data that you require in my case I only needed to get everything because I was not going to pick the information So I just create a an all method and just bring them all because I need and need everything Then I needed to download the original image from Amazon S3 so that was pretty simple I just needed something to to download via HTTP like Like curl does or double you get So I found this library that's called ish TT potion and in elixir which can do that for you and And it's just a wrapper of another Erlang Library, but it works and and I needed that and here's here's an example of something that I love in elixir which is the pipe and And look at how how it gets your code like like it makes it makes it look cleaner To me and and more more descriptive right the the pipe what it does is you get the result from the first function and Passes over to the second function on on your pipe list as the first parameter Of the other pipe of the other function So I could have written this code like this, you know where this is the first parameter But it looks so much nicer when you use the pipe once you have like Four or five functions change you just start to get the benefits of using the pipe and it just looks so good And that will download like I said that will download the image from Amazon into into my local storage, right? So the second sorry the next problem that I had is that I needed to create new image sizes So I decided to look figure out what what I could use for you know image magic manipulation or anything and I found this Just package that's called Mogrify, which is like it says right there and makes a wrapper for the image magic on the command line and It did what I wanted to do, but it didn't had All the tools so here's a here's another example of how the how the pipe looks this is so awesome It has methods to resize the images, but if you have used Carewave there's there's other methods like resize to fill resize to fit resize to I don't remember the other ones that give you Different behavior on how how it it's it does it resizing so I didn't want it to like Put code in there without knowing exactly what it was doing. So I decided to port those methods from Carewave into Mogrify and send the pull request and get it accepted. So yay me I Love doing open source stuff like that. So now we had These methods for me to use on on my on my own application Now the next problem was uploading to Amazon S3 and this is where it got a little bit tricky for me You know the first thing that you do when you don't when you don't know the language is do like Google How do I upload files to S3 with Elixir?  Programmers don't use Amazon at all or what's going on? This is this is dramatization, but yeah, I found no results about uploading files To S3 with Elixir. So I was like, all right, that's not gonna stop me because I have the command line and I can use Amazon's own tools like S3 CM CMD and I'll just make a system call and upload the files through the system and do something like this So I was done and run the script and every image I was taking 1.6 seconds per image, huh? so at that point I was like What's going on someone lied to me because you know This is this is not working right this this was me at the moment Am I am I wrong so I? Fortunately, I know people that's experienced with elixir and I you know I call them and say hey Your elixir things not working. This is this is what's happening to me I'm doing this and doing that and it's taking longer like what's going on and as I explained to my friend What I was doing his face went like this basically like Dude, he told me look at your code What you're doing right there is that you're opening a Operating system process and then doing your thing and then closing it and then opening closing for 2.7 million times That's gonna take a lot of time what you're doing is totally wrong And I was like, okay. Yeah, I understand what's going on. Yeah, of course makes sense right open the process close the process Open the closes that's that's a lot of work. He told me. Well, let's let's talk about the library They're using s3 cmd is a Python library so why don't you use airport and Open which is used to connect Erlang to our languages and Open a Python process and then load the Amazon's code and use that That process for the 2.7 million images and it's only gonna be like once right and then you'll be you'll be processing like the images way way faster and That sounded like a good idea except I didn't have the time to do that So at some point when when I was when I was talking about this, I would like wait, wait, wait, wait So I can you you're telling me that I can call any Erlang library From elixir. You're like, yeah, you can just you know use the syntax like this like that and Whatever code that's written in Erlang. It's a library. Whatever you can just call it in elixir And I don't know that's that's interesting. So what I did was went back to Google and Google Please tell me a way to upload Files to s3 using Erlang and that's what I found it There's a library to do that in Erlang not in elixir yet, but there's something for a length Yeah, I should have started there So once I found this it was very simple. You just need to Add your library to your to your dependencies and then just call it like this and you're basically on your way except for one small thing that I forgot to Make it, you know more Clear is that When I found this I started getting a lot of errors from from the from the call to the to the to the library because it was not there was no matching of the of the Of the arguments that I was sending to to the function and Because there was something missing and the problem was that I was using strings in elixir And when you call Erlang libraries you you most most of the time you're gonna want to send Character lists, so I needed to convert that All of the all of the arguments into character lists before sending them to Erlang that's This way I also learned that there's a difference between the two double commas and and the single ones in elixir and it's you know, I Learned it the bad way basically because it was just blowing up and I didn't know what like what's going on It's it's the right. There's a string it has what I'm looking for and and it still said that it there was no match because I was sending a string and It was expecting a character list. Hmm. So if you ever use Erlang libraries, you're probably gonna need this advice Obviously when I when I when I told my friend he told me he was right there in the example I send you and I was like, I didn't read your example He's talking about so anyway, I Can now upload files to Amazon and I can do it linearly So what about concurrence right because that was the whole point of this So if you think about What I need to do to process every image is just retrieve the records from the database and then download the image from S3 and then create two new image sizes and then upload the result to S3 Those things are sort of unrelated right like I can download I can retrieve the records from the database and as soon as I get them I can start downloading Images and then as they are being downloaded Another process can start processing them and then another process can start uploading them So they're separate things that you can just Separate into different processes and that will be like the optimal thing. I didn't have the time to do that but at least what I did is separate all the the processing per image on different Erlang processes, so The only thing that happens is that I retrieved the records from the database and then I created several processes for the whole thing of downloading processing and uploading and for that I Found a tool that's called pool boy which is basically that it's just a worker pool factory and You use it for cases like this. It's actually I was actually trying to add it into Into my dependencies and it was nice that it was already there because apparently ecto uses it to handle the connections or whatever So I already had it and that was that was cool so what you do with pool boy is that you create a worker model which You know it just Basically just starts The gen server and then you put some code that you want to initialize it with Every every worker. This is where you put the code that that you don't want to be repeated every time So in this case, I just initialized The connection to to Amazon When when the when the worker starts and then you have the code that actually process Whatever, whatever you want to process. So in this case I'm just calling the the process method that will do everything from downloading the images all the way to Upload it again and then return, you know a reply and and the result of that and You keep the state because there's no state per se in Electric classes, so you need to you know pass it over through through the whole life of the of the worker and Then you need a supervisor, which is the one that's going to be handling That's gonna know when when everything's up and working and you initialize it Well, basically you just need to tell it its name Which I put in another function in case I needed it for for future reference and the model That's gonna that's gonna handle over which is the worker that we just saw and then you can handle the size of the queue which is It has it's very flexible and I found it very very interesting how how the police work because you can set a Size first of of of the queue Let's say that I say 20 and if you start sending work to the queue Then you can set another parameter, which is max overflow and you can say it Hey, if you if you get a lot of work, then you can grow maybe up to 50 or 100 or wherever So the 20 the 20 processes that I that I specify there are always gonna be up But the other ones will only will only excess if the 20 is not enough So your pool if it gets a lot of work It will grow and then as soon as it's done then it shrinks back to do whatever you want So I could have done also like said hey the size is zero. I want I want the processes to be off and then max overhaul 20 so it will grow as as the word question and this is This is relevant because maybe you don't want your resources on your server to be spent if they're not being used Right, so you don't want maybe you want 200 queues But you don't want them to be up if no one's no one is using them Right because that will waste a CPU memory and whatnot. So that's that's pretty powerful in terms of flexibility You can you can row and shrink that the queue pool and and it will just do it for you You don't have to do anything but but stating it there Then So the main model the one that starts everything is it looks like this So I just start the program and start that supervisor which is going to handle the queue Then call this method in queue which is going to just send all the records to the database and and then to the queue and Just return to supervisor so the sort of process stays up And queue what it does like I said it just pulls all the records from the database then goes one by one and Creates this this piece of code is what creates the actual process to process that is sent into the queue and Then the queue will manage when to run the process and just you know as soon as it It will have to matter to say hey, I have a Process available for you. I will handle it and then just discard it as soon as it's done. And so it just works Basically like magic. So my server just started working like insane Look at that. It's using all its CPU power to To do all the processing of the images with so little memory used like this is this is this is amazing It's it's so it's great. How how elixir just takes care of it and it's it's it's really there The Erlang virtual machine, but still it's elixir. What's what's to me? It's elixir. What's doing all the magic? So in conclusion It took about Four days to process the 2.7 million images, you know It still took time time, but it was way better than the the month that I had forecast with with Ruby Which if you if you split if you do the math to split it it took like 96 hours 5,760 minutes and all those seconds and if you average it in Took around 0.128 second per per image, which is Insanely fast right and it's only problem. Well, it sort of solved my problem because it took me like 12 days to figure it out So in total, you know, it it was like 16 18 days So my boss was still not happy, but it was it was you know was quite the learning experience and the second conclusion will be This is Like elixir is it's so so great and not just because of elixir, but because you're you can Use technology that's been there for years and in in Erlang right Erlang it has existed for 25 something years and You know at this point you'd expect them to do to for for the airline developers To have done and solve all the problems in the world So so you you're not you're not reinventing the wheel You're just making it a little bit better with the syntax and that's that's cool, right? And and I know because I know people that do Erlang for living and Now that elixir is getting hype and when I talk to them about all the all the amazing stuff that I can do They're like, you know that yeah, I've been telling you for years. You're wrong Erlang is the right It's the right path, right? So so yeah, they they were right for they have been right for 25 years all these problems that that you That we are still solving in other languages like fretting and currency all that it's already there It has been there for for for years and years and it was actually designed for it You know, you're not patching a language that already exists that to handle threads No, no, no this Erlang was designed to handle, you know multiple processes at the same time So so you're when you use elixir You're using all that experience in your code and and that's great because you're not it's it's harder to find Weird box or unexpected behavior and if you do find it it's probably because you caused it, right? And like like the whole strings and charts difference like I did right so so So this is this is great. There's also a lot to learn obviously and Another thing that that makes me excited. It's that that's a lot to to give It's All the libraries in elixir right now are still, you know looking for for help in terms of Code and I like to do that like I like to find gems or or X packages that it can be improved or that can can can be better and just code something and Make a pull request so for me that's that's great it's the state of the current state of elixir and To me it's like there's a lot of opportunities to to give back to the community by you know patching stuff So that's great The other thing is that the syntax is very very Beautiful like I like the syntax like I said, I'm a syntax guy and and you know the whole pipeline thing and And and everything makes it look very very elegant and and I really like that And I guess the other part which I haven't yet explored but I will at some point is that whole airports thing Where you can open processes in other languages? I can I can at least think I have it on my bucket list to create What if I could create a server a web server that can that handles all the all the connections via our link But then it can open a process of Ruby and just you know send the request to to be a rack And then you know the web server will be in Erlang but handling Rails applications that sounds that sounds like something that will definitely someone to explore even if just for hobby and That's it. I hope I hope you you guys are really enjoying Coding with elixir like I am Like I said at the beginning there were probably 10 different ways of doing what I did It will have probably been Faster if I just refactor the code to use j ruby or rubiness, but that was not the point Well, maybe for my boss. It was the point but not for me. I Decided to do it really except because I wanted to try it out in a real-case scenario and and you know figuring things out and and I did and so that's that's how I ended up handling all those images and learning a lot about ecto about, you know threads concurrency and all that so I Guess my last piece of advice is if you have a project that you Think you can do with with elixir Just go ahead and do it and and learned you some stuff and that's it. Thanks


So at the debate, Bernie Sanders had the strongest line on climate change that I think I have ever heard from a politician, ever. So this wasn't a discussion about climate change. This was a conversation that the candidates were having about foreign policy. And not only did Bernie Sanders dominate that portion, but he really centered the entire argument of foreign policy around making sure that all of the nations in the world, China, Russia, India, Pakistan, realized that we have a common enemy and it's not each other, it's climate change. That is the existential threat to all of us. It's not us versus you. It's climate change versus all of us. And what he said here was just, it was a profound moment and it gave me chills. That's how powerful this was. Take a look. Here is my dream. Maybe it's a radical dream, but maybe just maybe, given the crisis of climate change, the world can understand that instead of spending $1.8 trillion a year collectively on weapons of destruction designed to kill each other, maybe we pool our resources and fight our common enemy, which is climate change. So David Sanders, thank you. George, back to you. That was incredible because when I kind of envisioned this ideal scenario where we're actually taking climate change seriously, it is really trying to build this international coalition where you tell everyone, look, why are we spending all of this money killing each other, building up our militaries, you know, pursuing nuclear weapons when we have climate change at our doorstep. And all of this is meaningless if our planet becomes uninhabitable. Like that's what I've always envisioned. And for Bernie Sanders to just explicitly say that tonight, it was like, it was really something that resonated with me. Like it was almost like a game changer to me. Like the first real game changer was when Bernie Sanders on a national stage claimed that Palestinian rights are human rights. And that's something that isn't, it's not controversial. It's not shocking, but just to hear someone say it on a debate stage, you know, it's powerful. It's meaningful. So for Bernie Sanders to say this now and really get everyone on board or at least try, if you're serious about climate change, you have to vote for Bernie Sanders. It's not only the case that he has the best climate change policy. According to Greenpeace, they scored it.  And so for Bernie Sanders to come together, even if he's elected and he's dealing with a Republican house in Senate, as, you know, the leader of the country, you can still use diplomacy to your advantage and talk to the UK, talk to India and Pakistan, bring them together, create this national coalition, and even if he can't get anything codified, you know, legislatively speaking, I mean, he can still bring the world together and that can make a huge, huge difference. We're not just talking about pursuing peace, suspending aggression, but making sure we tackle the number one threat to humanity. And really this humanist approach, that's what really speaks to me. I mean, the show's called the Humanist Report, so obviously it does. But I mean, to hear someone on a debate stage say it, even for Bernie Sanders, it's surprising. And I love it.  And maybe it is. But we can't not try this. Like, you have to understand, this is the only way that we can really save the world. Like, we can't go at this alone. We can't just choose to unilaterally reduce our carbon footprint. We have to work with other countries. We have to make sure that we create this huge international consensus where other countries actually understand the threat of climate change. And if they don't want to act, then we put pressure on them. We use, you know, soft power and diplomacy to make sure that we're doing everything in our power to stop this threat because we can't afford not to. Like, on the day of this debate, there was an article that came out that said that Antarctica is 65 degrees. You can wear a t-shirt in Antarctica. That's where we're at. Australia's on fire. You can wear a t-shirt in Antarctica. So anything short of this will not suffice. So Bernie Sanders here just hit it out of the park. I love this and I really, really hope that everyone who's worried about climate change hears him say that because it is just, it's everything at this point in time.


Much of John's work has been focused on the practical consequences of the last 25 years of the mixed but ever more socialist economy of Britain and I think it's therefore particularly apposite that he should address us today on the subject of the failure of the middle way. Ladies and gentlemen, I must apologize for being somewhat late arriving here this morning but I live in the same block of apartments as Chris Tame and I'm deputed with the responsibility of feeding his cat while he is running vast intellectual events down here and this morning I forgot to feed it and I had to go back from Waterloo Station realizing that if I let his cat die then I might not be getting my lunch here as well. Well the entire session of this morning is really about the issue of 1984 and the road to serfdom and of course this is the 40th anniversary of the publication of Hayek's book on the road to serfdom and as a small plug for our Institute I would like to point out that an especially important book is being published by us very soon called Hayek's Serfdom Revisited, examining from a variety of angles economics, politics, philosophy what a number of modern thinkers and scholars think about our situation now whether we're still on the road to serfdom or not or whether we're on a different road to that which Hayek envisaged and how we get off it and so forth and my talk today partly comes from one of the essays in that volume which will appear under the name of Norman Barry at Al and I think you had Professor Barry speaking to you very recently. Well as I read Hayek's book The Road to Serfdom it is not really primarily about the concept of the mixed economy or the so-called middle way. As I read Hayek's book the majority of it is a warning about the consequences of comprehensive central planning. The main theme of the book is the argument that a comprehensively socialised economy involving central planning must become totalitarian and a totalitarian society inevitably has certain other consequences. It cannot be democratic and also the worst tend to get on top that I think in a nutshell if you like is one of the main themes in the road to serfdom. Well what is the relevance of that to our own situation because if we take Britain we have not had comprehensive central planning apart from the war years when we had central planning that was even more extensive than in Germany at the time and we had central planning for some years after the war but by and large we've had a different sort of economic system in Britain over the post-war years which we can call the mixed economy or the welfare state and this is generally being true as it not absolutely all so-called advanced Western countries. It is complete folly as so many people do to call the Western economies capitalist or free market economies. Any country in which the state takes somewhere between 25% and over 50% of national income as is true of all the Western economies cannot possibly be called capitalist they might be called a mixed economy but they cannot be called a capitalist economy. So we have in a sense in the Western world followed a different path to the particular road to serfdom about which Hayek was speaking. Nevertheless Hayek did have something to say about the middle way in the road to serfdom and he said this he warned that it probably would not work very well the mixed economy would not work well and it might prove to be worse than the alternatives this is what he actually said he said the idea of complete centralization of the direction of economic activity still appalls most people not only because of the stupendous difficulty of the task but even more because of the horror inspired by the idea of everything directed from a single center. If we are nevertheless rapidly moving towards such a state this is largely because most people still believe that it must be possible to find some middle way between the atomistic competition of the free society and central direction. Nothing indeed seems more plausible or is more likely to appeal to reasonable people than the idea that our goal must be neither the extreme decentralization of free competition nor the complete centralization of a single plan but some judicious mixture of the two methods. I think that insight of Hayek still provides us with an understanding of much of the thinking that is going on today. It seems to so many people common sensical that there must be a judicious balance between central direction and the free society and I think that is why we have had a reigning economic philosophy and practice of the middle way and the mixed economy throughout the post war period in general. In fact I might go on from that to say that the very idea of the middle way was not coined by some social democrat. The very term the middle way was coined by a conservative politician, Mr. Harold MacMillan subsequently become the Prime Minister of Britain for a lengthy stretch of years in the post war period and now Lord Stockton and he wrote a book published in 1938 entitled the middle way and to give you some idea of the flavor of his views of what a middle way constituted let me just give you a quotation from his book on the middle way. He says the weaknesses of partial planning seem to me to arise from the incomplete and limited application of the principles of planning. The lessons of these errors that is of partial planning of the economy which I regard as errors of limitation is not that we should retreat on the contrary we must advance more rapidly and still further upon the road of conscious regulation. Now that is the idea of the middle way as expressed by Harold MacMillan who was in a subsequent position to put that program into effect for many many years. Now what I want to do in this talk is not to argue normatively about whether we ought to have a free society or a so called middle way or complete control of economic life by some supreme in quotes authority. I want to analyze as an economist how the mixed economy works and I want to suggest that firstly we have a situation in which we've lived under a regime of a mixed economy now for let's say roughly 40 years yet we've got no decent economic theory about how the mixed economy operates overall. The fact of the matter is that most economists are proponents of the middle way but they don't in fact analyze how it works and the second point that I want to make is that according to the analysis which I'm going to suggest to you the middle way or the mixed economy is a greatly unstable and indeed chaotic economic system I think it more should be better expressed as the mixed up economy rather than the mixed economy. Now the grounds on which I'm going to argue this are not going to be great new theorems in economic analysis I'm going to take the three most basic microeconomic laws of political economy and I'm going to say because of those three laws and all of the evidence we have are that these three processes do exist in economic life in whatever context we're looking at and they cannot be but the there now I'm saying because of those three basic economic laws this system is going to prove to be unstable those three principles are firstly that when there is a negative sum game between a number of contestants and there are a very large number of participants in the game a situation known as a prisoner's dilemma emerges the group can find no way of getting itself out of the negative sum game which depresses everyone's standard of living now we know from very many studies in politics and economics that the where there are large numbers of people involved in that situation they tend to be unstoppable and the other two principles of economics which I'm going to rely upon are the first law of demand the higher the price of a good the lower the quantity demanded and the so-called second law of demand that is the great the length of time that people have to adjust to a price rise or price fall the more flexibility they will have in their arrangements and the better they will be able to adjust to it now that that's the simple basis of why I think the mixed economy will prove to be unstable now let me start off by defining more carefully what I think the middle way or the mixed economy is and I think the the best typification of it the best description of it was given not in fact by Huyck but by his mentor and colleague Ludwig von Mises who pointed out in a number of his writings including human action the book human action and his book on socialism and various other writings that really the mixed economy was a system of what he called interventionism he pointed out that the French had long had a term for this type of economic system and they called it interventionism now interventionism is an economic system in which although voluntary arrangements between individuals remain extensive state regulation and intervention in the economy permeates virtually everywhere that is the economic system of interventionism now Huyck in volume 3 of his law legislation and liberty has analyzed how and why this system of interventionism comes about and I largely support his analysis of that he points out that we're widely adopted in Western countries the notion that democratic governments need be subject to absolutely no constraint in the exercise of unlimited powers except the right of the electorate to vote the body of representatives and it has been widely believed that this singular constraint the power of general election is sufficient to discipline the possibly discretionary power of representative governments and it's possible to dispense with all other limitations or constitutional constraints on the behavior of government except for this one principle that the electorate has the right at some period of time to get rid of the elected government and replace it with another now the problem as Huyck points out with that philosophy is that if government has unlimited power to intervene then it creates an incentive for groups to lobby for government to use that unlimited power on their own behalf and so a system of incentives has been created within a political economy whereby all groups are given an incentive to lobby for government to use unlimited power on its own behalf in a sense as professor Jensen has put it in effect a market in police powers has been created by the fact that government has unlimited power and groups can lobby for the use of that unlimited power well in other words the mixed economy is a system of interventionism now we can save something very simple about absolutely all types of government intervention and every type is subject to this observation all acts of government intervention create a body of gainers and a body of losers there are some people who gain from the intervention they are net beneficiaries and there is another group who are the losers from the intervention just to give some very obvious examples government regulation of air flights in Western Europe today aid state-owned industries state-owned airlines and their staffs it harms consumers and tends to harm independent airlines minimum wage laws help those people who retain employment at the higher wage it damages the interests typically of those people who become unemployed as a result of the minimum wage set above market levels and it also damages the interest typically of youths who cannot substitute lower wages from the job training some people will also argue that it tends to have particularly concentrated effects upon the ethnic composition of the work force but again there are gainers and losers again any inflation which is a form of government intervention under a fiat money system such as we have any inflation creates gainers and losers the gainers of the people who are net monetary debtors the course the monetary value of their debt is reduced the losers of the net monetary creditors and this of course is why government likes inflation so much government is always the largest net monetary debtor but there are other groups in society we're also net monetary debtors so to point out any type of government intervention of which we think even including the provision of public goods is going to create gainers and losers the losers from the provision of public goods for example in the case of let's say defense of pacifists the losers from the provision of public goods in a form of law and order people like the mafia although they sometimes come to agreements with the state police powers to use them things for themselves but in general every gap act of government intervention means that there are set of gainers and losers now the point is that the two groups the gainers and the losers are going to react differently to the government intervention the gainers from any intervention are on the whole going to rather like it it's adding to their pockets or their utility or their security and on the whole they are going to enjoy that experience the losers quite obviously also if they are aware of the burdens imposed upon them are going to resent the imposition of that burden and would prefer to be without it and would rather like to escape it now this is all very very common sense stuff every act of intervention creates gainers and losers and gainers and losers will react differently now as a result of these very common sense and absolutely undeniable matters I would argue that we are now witnessing the generation and have witnessed the generation of the unleashing of two very powerful economic processes within the system of interventionism and I'm going to label these two processes as follows the first one I'm going to call the new Hobbesian process and the second one I'm going to call the process of intervention entropy or intervention decay have you like to call it let me speak briefly about the new Hobbesian process well of course it was the English political philosopher Thomas Hobbes in his famous treatise published in 1651 entitled Leviathan who pointed out that selfish individuals acting in a state of nature that is where behavior is unconstrained by custom or framework of enforced law and custom such individuals would be led to steal and plunder from each other leading to what he called a war of all against all and from these considerations Hobbes derived the case for an absolute sovereign power the state to enforce laws against coerced redistribution of goods and resources in order to end the war of all against all and to the general benefit now I would argue that under the system of interventionism or the middle way or the mixed economy we are witnessing a very powerful Hobbesian process of war of all against all at work but it's a new type of Hobbesian process which has three distinguishing features from the process which Thomas Hobbes himself diagnosed so many centuries ago first the new Hobbesian process involves redistributionary struggles not between individuals as in the original Hobbesian analysis primarily this struggle is are between highly organized groups and it the groups involved include things such as the farmers protectionist lobbies trade unions the NUM executive would be a fairly clear example of the sort of thing I'm talking about but also professional associations such as doctors and lawyers lobbies such as the education lobby the health care industry in this country we also have other groups who are not necessarily highly organized but which are so large in number that from a voting point of view it they constitute such important fiscal interest groups that government wants to carry their favor now all of these groups under interventionism are seeking to redistribute income or security towards themselves and away from other groups and in other words they're looking for the gains from intervention they are rent seeking as the economist puts it they are trying to get these special privileges and protection which only the state can give by imposing harm upon others but there are very very large numbers of groups involved and it constitutes a sort of Hobbesian struggle of group economic warfare which even sometimes becomes military warfare as we can see in the Midlands of Britain today there is a form of civil war going on and it is partly a Hobbesian struggle now the second major difference of this new Hobbesian process is that it does not typically take place as a direct confrontation between the groups involved the health care workers don't go out and beat up the teachers the farmers don't go out and steal from the urbanites and the city boys typically the way this process this new Hobbesian process takes place is through the political arena and it takes place not as a diet direct coercive struggle as Hobbes envisaged it takes place as the presentation of pressure upon government and bureaucrats and their agencies in order that government and will then use its coercive powers in order to redistribute income to the group in question and it's only in particular cases as when British miners or French farmers surround ports and power stations in order to block blockade them or to cause public mayhem that we see this Hobbesian process becoming an actual matter of physical confrontation now the third feature of this Hobbesian process is that it cannot be cured by the Hobbesian device of an absolute power the state the reason is that the whole process is taking place within the state the state is the arena in which the struggle is taking place so therefore the state cannot act as an outside body in order to suppress this Hobbesian struggle as the state is the vehicle for it and that leads on to something I'm going to be saying later about how to cure it the answer of course is that the state must have its unlimited powers taken away from it by constitutional constraint the way to stop it is to have something above the state that prevents it from getting out of line on behalf of all these vested interest groups now the Virginia School of Public Choice Economists have pointed out that this Hobbesian struggle between all of these groups is likely to be a negative some game it is likely to be a game a game which depresses the ability of the economy and society to produce productive goods and resources simply put more and more resources are devoted in this Hobbesian struggle towards redistributing income and if you're trying to redistribute income you're not adding to it struggles that are simply of a redistribution nature always tend to become negative some as people invest more and more resources in trying to make sure the redistribution regain doesn't go against them now having said that the political philosopher professor Norman Barry has recently appointed has argued in an article in the journal government and opposition he argues that this Hobbesian process is likely to reach what he calls a sort of like a high-level equilibrium well there are many groups struggling against each other but it doesn't topple over into a road to serfdom of complete totalitarianism and one dominant group and the basis of his argument as follows he argues that it's not going to pay the public sector goose as it were to destroy the golden egg of the private sector it always pays to stop exploitation at some optimal rate of exploitation he argues that the public sector will come to its senses before it destroys the private sector in the free market entirely and it will stop at some stable rate of exploitation of the private sector now I have to tell you that I think that is optimistic both optimistic and wrong it is wrong for the following reasons and these are very basic and fundamental economic reasons why the hypothesis is not correct firstly this vast squabble of interest groups which hike by the way calls the para government of modern times this vast squabble of interest groups does not constitute one homogenous and undifferentiated unitary public sector the fact of the matter is that there are very many groups squabbling with each other if there was just one group mainly the public sector which was trying to exploit the private sector then yes it is true it would stop at some point which maximized its own interest but even within the public sector we have very large numbers of organized interests all operating entirely according to their own group interests for example the national union of mine workers executive in Britain is not taking too much of a damn piece of notice of the non-striking miners it's set to send troops against them in order to beat them up and things like that they are acting in their own selfish interest they're not saying oh what will maximize the rate of return for the public sector as a whole their interest in their own interests so again not all groups which are involved in this redistributionary process in the public sector there are large numbers of groups such as private sector unions trade associations claimants unions and lobbying consultants all of which are operating nominally in the private sector but are trying to use the powers of state to redistribute income towards their own clients now another reason why the Barry hypothesis is correct is that it would be impossible for all of these various groups in the power of government to come to some sort of contract together to stop squabbling in the way that they are they would never be able to enforce a stable and a police a contract of that sort just to imagine a contract to stop doing these things that would have to cover employers associations farmers bureaucracies quangos trade unions is to realize it would be impossible for such a contract to be formed so even if people can realize that they're in a negative some game it's impossible for them to come to a binding contract between themselves to stop the playing at a game now it is that which makes it a prisoner's dilemma that is it's a situation of strategic interaction between the diverse elements of the power of government which means that all could be made better off if they stop playing the game but in which no particular contestant has got any interest in doing so and therefore it is a situation where there is a dilemma it's impossible to stop the process from going on so I cannot agree with Norman Barry that this is a process that will automatically stop at some point before we reach serfdom under one dominant coalition now it seems to me this conclusion lies throw some light on a number of contemporary developments seems to me that over the past couple of decades the Hobbesian struggle has been hotting up trade unions in Britain quite clearly have been moving towards more and more vicious forms of seeking to obtain that which they want and this is particularly been so in the public sector particularly in the white collar part of the public sector notions of professional ethics and professional norms have been thrown out of the window and typically today have been replaced by notions of very militant forms of trade union activity another point that I think some light can be thrown on is what has happened to the so-called Thatcher and Reagan revolutions and the attempt to roll back the state while this Hobbesian struggle is going on the problem really that Mrs Thatcher and President Reagan face is not simply that they are not 100% libertarians I'm quite sure they would like to go part of the way towards rolling back the state I think they probably have some degree of commitment in that direction but they face a profound political problem with this new Hobbesian struggle the problem is that if any government which is of a reformist nature were to offend too many of the elements of the Para government would harm too many sectional squabbling interests then it would be possible for another party to offer to restore the status quo ante in the next election and to buy the swing votes of other groups sufficient to give them an electoral majority so the problem is that if you try to go too fast often in the face of reform you could find that your ability to do so would be undermined by the ability of the elements of the Para government to elect a different sort of government more conducive to their own interests right well I talked about one of these processes let me briefly turn to the other side of the coin which I called the process of intervention entropy well just as the potential gainers from any act of government intervention have got an incentive to employ lobbying to get the intervention and to get it reinforced so losers have got the incentive to try to avoid the burden of any intervention now in principle losers could do that by themselves forming a lobby to counteract in the political market the weight and the pressure of the gainers from intervention but the problem is that interventionist governments have got very very coming about stopping this counter coalition formation of losers the typical way that governments intervene is that they have an intervention which concentrates benefits narrowly on a section of the population like farmers or miners whereas the costs are spread by general taxation over everyone as a whole now when the coalition of potential losers is so very very large indeed covering vast continent where he is such as the size of the United States or Western Europe in the case of let's say the case of farming for example and the redistribution going on that it's very difficult for the losers to form an effective coalition to counter the force of the gainers in the political market but what losers may in fact do is try to escape the burden of the intervention instead of trying to lobby against it politically they might try to reduce the cost of the burden imposed upon them now here we come to the laws of demand and just as the laws of demand apply to positively valued goods the laws of demand also apply to bad negatively valued goods now the first law of demand applied to a bad life having a loss imposed upon you by government is that the greater the cost imposed by any government intervention the more that people will be willing to pay in order to avoid it the greater the cost imposed the more that people will be willing to pay in order to avoid it so for example the greater the tax burden imposed upon an individual then other things equal the greater the effort that the individual will expand expand to try and avoid or evade the tax burden the gate the greater the problems posed by an incomes policy wage and prices controls the greater the incentive given for any firm or individual to try and get around the effects of the incomes policy now secondly over the longer run as the result of the operation of the second law of demand we should expect that individuals become better at avoiding and evading burdens they don't want than they would be in the short run this is so for a number of reasons firstly in the short run situation when a burden is imposed upon anyone they are subject to certain fixities in their stocks of capital so for example if a tax is suddenly put on housing and people have housing they might not necessarily be able to reduce their housing stock immediately without great cost but over the longer run they can reduce the number of fixities in their consumption patterns and try to move away from the burdens imposed upon them secondly in the longer run people have learning by doing as the economist calls it that is put put the matter simply the more that you evade taxes the better that you get at doing it other things equal the more that you avoid taxes the more that you're used to fooling some government regulatory officer the better other things equal you tend to be at it a third reason why this process occurs is that actually incentives are created for entrepreneurs to find ways of getting around government burdens and offering these things as packages to individuals who want to escape it is partly an entrepreneurial process every day in the city of London not so far away from here very large sums of people are employed simply devising packages of tax avoidance and tax evasion which they sell to interested parties so there is an entrepreneurial process going on as well which is underwriting this this matter now why I call it the process of intervention entropy or decay is I'm saying the operation of losers which conforms to the first and second laws of demand has an effect rather like the second law of thermodynamics the second law of thermodynamics says that all matter is subject to increasing entropy and decay now as a result of the attempts of people to escape the burdens of intervention I think it's becoming increasingly apparent that intervention is subject to a process of decay and decline now I'm not suggesting that this occurs at the same pace in absolutely all spheres of intervention and I'm not suggesting that it means that escaping the burdens of intervention is costless typically if you want to go to a tax consultant he's want to go he's going to want to break off from the profits that you make from from escaping certain taxes nor would I suggest that this process occurs instantaneously it takes a long time for people to find ways from escaping many types of intervention but clearly for example this is happening in the areas of monetary policy I would say at the entire history of the past 40 years is the slow realization that intervention entropy occurs in monetary policy that is you can try to intervene through creating inflation in the economy but inflation is a tax and once people find that inflation is a tax tax on the holdings of money balances the this process of trying to escape it will start to take place and therefore the intervention will start to decay in effectiveness that effectively is the natural right hypothesis of unemployment in economics but of course this process also occurs in the incomes policy and the whole area of the black economy in the attempt to evade and avoid taxes and I would also argue it occurs right across the whole burden of government regulation and intervention well let me come to my conclusion let me start to talk about the future of the middle way I've argued that we have two major processes at work in the interventionist order the middle way the process of intervention entropy and the new Hobbesian process what can we say about how these two processes will react or interact in the future and what will come out of it well one thing I think we can immediately say is going to be most unlikely the likelihood that the middle way will prove to be a stable economic order in the presence of these two economic processes could only that that could only be a fluke there is no automatic stabilization mechanism in the mixed economy which will return it to a stable and self-repeating order if we define a stability the situation that the system when disturbed will return to the same equilibrium then I cannot see that the middle way is a stable economic order there is absolutely no reason why the new Hobbesian process should exactly counterbalance and at every sector of the economy the process of intervention entropy there is no device which brings them into equilibrium so the idea that the middle way is a stable economic order must be argued on the basis of the most simple and most general of economic propositions how by economic science to be a delusion well if that is so if the idea of a stable middle way is a fluke what are the other possibilities it seems to me that there are two main possibilities in the absence of some major world cataclysm or some vast change in the sets of ideas of people living in such systems the first one is that the new Hobbesian process will prove to be the more stronger than the process of intervention entropy in this case governments will be led to weave ever more complex tangles of regulations subsidies special favors leading to outpacing if you like the erosive force of the process of intervention entropy and eventually leading to such a morass of restrictions that there will be severe economic side consequences of that sort of order now it seems likely to me in that event if the new Hobbesian process is the stronger of the two it seems like unlikely to me that majoritarian democracy would survive I think the basis the problem was put by Henry C. Simons also 40 years ago in his famous essay some reflections on syndicalism he pointed out that organized economic warfare is like organized banditry and if allowed to spread must lead to total revolution which will on very hard terms restore some economic order and enable us to maintain some real income instead of fighting interminably over its division amongst minorities so yes if this process intensifies and outweighs intervention entropy it would seem likely to me that a dominant coalition will emerge in the process in order to damp the process down so we could be on a road to surf them through or via group economic warfare the other possibility is that the process of intervention entropy will prove to be stronger than the process that I've described as the new Hobbesian process now in this alternative scenario although the government would perhaps keep on trying to regulate the economy and would perhaps even look as if it was extensive it would in fact have reduced capacity to run the economy because people had found so many ways around the controls that government control in fact was rather weak now it seems to me that this in fact has already come about in large part in both Italy and Peru studies suggest that in Italy for example about 30% of Italian national income is in the form income earned through the economy of some measure the submerged economy the black economy about 15% of Italian employees are existed are sorry estimated to be in jobs that do not officially exist the situation in Peru is even more indicative of the sort of scenario that I'm talking about a recent study by Hernando de Soto discovered that two out of three workers in Peru are in the black economy two out of three that include it 90% of workers in the clothing business in Lima 70% of the 75% of the furniture business 60% of construction and 95% of public of public transportation now so we are not necessarily talking about lunacy when we talk about intervention entropy and the black economy outpacing the new Hobbesian process evidently in some places it has become very very extensive indeed however having said that I think there is one a couple of worries about this rather more forthcoming Italian scenario even though I do notice that Italy by the way now leads the world in champagne and whiskey imports and it's top of the league in second home ownership in Europe and in holidays and it also puts more money into savings than any other country in Europe doesn't sound too bad in a way but on the other hand if one is going to exist in the black economy and most of the economy is going to be in the black economy productive activity has probably to be in rather small units anything that was too obvious like if you bought a black market automobile plant involving 10,000 workers you know it's difficult to hide and anything that was obviously too illegal and too offensive that you couldn't bribe your way out of it it might be difficult to sort of cover up so what worries me about this Italian scenario is that although there would be extensive capitalistic and market economic endeavor it would tend to be rather small scale and large capitalistic endeavor might migrate from such areas to more happier bodes in say the on the Pacifica Rim of Southeast Asia and the countries of the middle way will have extensive black and gray markets and extensive public sector but no large-scale capitalist enterprise earning large economies of scale well I think there is myself a fourth way and that is that we all change our ideas and become more concerned with the survival of liberty and also I believe it would be necessary to have fundamental constitutional reform of government to prevent either of these two scenarios from coming about but I think as things stands at the moment given the economic and political order we've got we can summarize the situation as saying that the middle way will prove to be a delusion and it will either become under the propulsive forces now embedded within it a road to surf them through group economic warfare or it will become a largely extensive black economy with no guarantee that this will provide a happy home for large-scale capitalist endeavor or that that could ever remain stable because remember that the Italian Communist Party is the second largest political party in Italy


Here's a recap of the module. We've learned how to approach a design challenge, why it's important for companies, and even completed one in just 72 hours. We've also heard from other designers doing the same. You got to see presentations, the good, the bad, the ugly, and finally, heard feedback hiring managers give behind closed doors. Next up, we're talking about the hiring process. See you in the next module.


Ex-Minister of Aviation Ocita Chidoka says the federal government only understands how to borrow money but does not understand how fintech platforms such as Flutterwave and Paystack operate. He spoke on Saturday at the 2021 edition of the platform, an annual conference organized by Pastor Buji Uyemade of the Covenant Christian Center, Lagos. The program was themed, his devolution of past solutions to Nigeria's problems. Chidoka, a member of the opposition People's Democratic Party, also lambasted the ruling all-progressive Congress government of the President, Muhammad Buhari, for being too old to understand how the digital financial sector works, that Peter P. Chieftain therefore urged the youth to take over. They don't know how to tax them. The tax authorities are taxing their revenues because they think that all the money received by Kobo 365 is revenue. No, it is money they are receiving as an aggregator. So we need young people like you to be the chairman of the FIRS. That's what we need. We need people who understand that importing materials into Nigeria, I have a young friend who imports raw materials to make office staple equipment like cellotakes. He pays 10% on the HS code to import the raw materials. He employs 28 people to build these things in his factory. But the Indians and the Chinese in Nigeria are importing finished products. I'm paying 10%, same 10% on the importation. And what do they do? They stock up Nigeria and then supply the Republic and then supply all the other parts of Africa. Because there is no incentive for the Nigerian. We should do away with the HS code without carrying on importing raw material so that we can create jobs in Nigeria, but they don't understand it. Hello, hope you enjoyed the news. Please do subscribe to our YouTube channel and don't forget to hit the notification button so you get notified about fresh news updates.


Outside Africa now, a manhunt is underway after two people were killed and 28 others wounded in a mass shooting at the block party in the city of Baltimore, the latest deadly incident of gun violence in the United States. The attack took place on Sunday in the Brooklyn Homes area in southern part of the city. Richard Worley, the Baltimore Police Department's acting commissioner told all victims were adults, including three who are in critical condition. 12.30 a.m. this morning, officers received numerous calls for shooting at 800 Gretna Court. Upon officers arrival, we've located multiple victims suffering from gunshot wounds. We located one female adult deceased on the scene. Nine additional victims were transported from the location to area hospitals. Additionally, we had 20 other victims walk into hospitals throughout the region. Our detectives are currently working an extensive crime scene. The two deceased victims we have are both adults. We have three other victims who are in critical condition. Our hearts and prayers are going out to the families, sending out to the families and friends of these victims as well as the community in our entire city.


Hi guys, and Merry almost Christmas, so I am so excited to announce that today is the start of my 12 Days of Nursemas giveaway on my Instagram account. I have so many amazing companies who have been so generous to sponsor each day of this 12 Days of Nursemas giveaway and are giving away their products to you guys for the giveaway. And I'm so excited. I have so many companies from scrubs to stethoscope holders to CCRN books to custom insoles for your shoes, all things that are nursing related that you can benefit from for this Christmas. I just wanted to make a quick announcement to say that the giveaway has officially started and it's going to be all through my Instagram. So my Instagram account is linked down below, but it's actually Atkins RN and you could go on there to find all the rules on how to enter each day's giveaway. Thank you guys for tuning into this video and I hope that you enjoy this giveaway. Let me know in the comments below what item you are most excited for and I also have the Instagrams of the companies participating in the description box below as well. Thanks for watching and I hope you guys have a Merry Christmas.


Okay, welcome to the bookmap platform details webinar for Friday risk disclaimer trading equities and futures involve substantial risk of loss And cryptocurrencies as well. So that's the new offering here They all involve substantial risk of loss and are not suitable for all investors past performance is not necessarily indicative of future results For more information go to bookmap.com There's a free 14-day trial of the of the platform. It comes along with education So you get access as well to the educational course. It's a four-part series And then there are there is access to the advanced order flow webinars Okay, and those are immediately following this webinar at 11 Eastern time so The idea here and the concept is 14 days of the trial of the platform Okay become educated in these platform at details webinars And then become educated in understanding order flow Through the educational course and how bookmap helps you understand order flow And then the advanced on a live webinars go through and support the educational Content that's in the course But in the live markets, so we practice what we preach there are other educational resources as well and If any questions reach us at support at book map calm Okay, go through the The website here you can see that a new offering for the digital currencies as you can see here We'll just scroll down a little bit. There's an intro video here a bit further down Information about book map. This is for the free this free webinar here They platform details webinar and I'm going to update this after today's webinar, so you'll be able to register again Just going through the basic benefits here Button here for trying book map some testimonials the book map for equities. Okay, so it's not just for futures Nor just equities now. It's also for crypto currencies our digital currencies But this is a really nice data feed that we've been offering now. It's not through us. It's through DX feed or dev experts just Really good feed you can read about the advantages here and you get the NASDAQ total view But this is all us equities. Okay, so it will include Those equity us equities that are traded at the New York Stock Exchange, etc right a bit further down Connectivity alright, so this is important. We are a software platform. We are not a data provider You will need data Connection to the markets in order to run book map in the live environment You can see that there are some other platforms here as well like Ninja trader TTX trader pro And interactive brokers trader workstation. Okay, we also connect via the API of these three platforms However, we are a platform just as they are So you can connect directly with CQG rhythmic gain IQ feed transact and then the dev experts I mentioned here for NASDAQ total view All right and digital currencies Well, that will wait until that version 7 comes out. I'll be demoing version 7 But the offering there for the digital currencies and what kind of data feed it is etc. All right, we'll go through that When we launched that which should be in mid-January here Okay, a bit further down. This is the free trial. Okay that I mentioned 14-day free trial for book map basic advanced Or quants you can reach out to us here for your own proprietary needs Book map basic is 49 per month The book map advances 99 per month. Okay, they are both or each build a quarterly You get that 14-day trial period and the differences between the two Are the add-ons? Okay add-on features here. So one is the ability to trade right from the book map chart It's quite a nice advantage because you can see the liquidity map in front of you and therefore react to the That liquidity Instead of just kind of blindly placing your orders So for example front-run high liquidity if you want to look for a higher probability of getting filled or Hide your stops behind areas of high liquidity to protect that stop just a bit more than If you didn't have that heat map there All right large lot tracker iceberg detector. It's not not only these proprietary indicators that we've developed I give you insight to Order flow in in the order book. We're starting to identify larger players and so the Who's holding a large amount of liquidity at specific price levels or who's getting filled with hidden orders? using icebergs and We also have some volume in book and balance Indicators in a correlation tracker. Okay, if if you don't have a data feed You can click here and get a trial of a data feed and then also subscribe or Do the trial here for for book map. So add these two together and you'll be able to Basically have a 14 days a free free data and free book map Just so you can check it out and see if this is the direction you want to go If you can't decide which plan you want you can click here for the complete comparison list Okay All right social media you can follow us here at a book map underscore pro Okay, latest up-to-date information or you can also Subscribe to our YouTube page and just briefly go through it all sorts of content here. So the YouTube page I would recommend starting here with the intro videos. You can click on the playlist right here Okay, and then maybe watch some of the features and components playlist here and then a bit further down these video snippets These are the Concepts in the order flow that we go through in the advanced analysis webinar In detail. So you get these very concise videos that go through the concept and illustrate one aspect Trying to be very clear and concise and then So this is kind of a quick way to start to understand order flow And how book map displays it or gives you kind of a advantage through the visualization That phenomena that you really can't see otherwise. So anyway, those are Watch some of these videos as well. And I think that you'll find them helpful All right, let's take a look at book map and what's going on. Okay, and this is a Bitcoin actually So and this is a Bitcoin. This is going to be for the New version. This is book map 7 and you can see the colored heat map here that we have but I'll cover maybe if unless you guys want to look at some of the digital currencies we can do that I have also Ethereum But the main point I want to make here is this offering here with G-DAX. It's going to be through the G-DAX exchange It's quite nice. You can see that the market right now is one tick wide here and there is plenty of liquidity All right, I'm looking at the the dome here There are 29 coins at this price level. Okay of Basically 16,000 so there are you know hundreds of thousands of dollars of liquidity at these price levels So there's plenty of liquidity and And plus the spreads are like I said one tick wide in a lot of cases. So anyway, that's a G-DAX And let's jump into NASDAQ and take a look at what's going on there You can see the let's just zoom out a little bit here Well, here's our 930 open. You see the volume really picks up now. We've got these new sliders here so I can actually bring down the Dot size quite a bit okay All right now it looks like There is a lot of activity going on in this chart Okay, and I just want to mention here We're going to simplify this because it's really very straightforward market data that is being displayed here It's just being displayed in a very unique and original way that gives you insight That's rather difficult to see in other charts and I'll demo that for you. So there's just three elements here The first element is historical best bid and offer. Okay, there's there's no aggregation here in bars or candles And then you see these dots here These are these are transactions on the historical best bid and offer and then you can see this heat map here All right, so it Starts off as kind of a darker gray and it goes to blue then white and yellow then orange Orange is the highest area of liquidity what we've done here in the heat map is record the The order book the depth of market and then projected onto the chart historically so you can see exactly where the liquidity lies Okay So that's it those are the three elements here now you can see the way we have this is a new indicator here Actually, I'm going to turn that off And I'm going to turn off a whole bunch of other data here, and we're just going to look at a candlestick for the moment here and And then that is it Okay, just to simplify things Okay, and let me clear all of these drawings here Just a moment here. Whoops. It's not the right one This one There we go. Okay, so just to clarify here. What exactly you're looking at In book map and come to compare it to so we have a reference here Okay, so here's a five-minute candlestick chart Okay, we all know open high-low close of a period here the bars the wicks etc And you know we can start to read the buying and selling pressure in some of these areas but at best this is kind of An art form or speculation looking at some of these these patterns in the candles. Well, we really we really don't know and There's just a lack of clarity here for all sorts of reasons the number one reason or the first reason is That this is aggregated data. Okay within a time period. Okay now you might be looking at an aggregated period with volume bars that's not time-based or range bars Ranko bars Rotational bars it doesn't matter. It's still aggregated data. Okay. Now the nice thing about aggregation is that it's easier to plot and look At higher time frames However, there's all sorts of data here that we just don't see And that's that's a problem with the aggregation And the way that book map very simply and easily Solves that issue is by just showing historical best bid and offer. That's it. So here we go The red line here is this historical best offer and the green is the historical best bid Okay, now we're starting to see without aggregation all sorts of price activity and action within those that five minute period okay, so Let's zoom in here and I can see a breakout right down here Okay, and this is what occurred. Okay, we actually broke down here traded down below this this area around Was it here looks like a 6623 and then We went we we actually accepted down below Okay, and then we broke out above again. Okay, that's what occurred within all of this range here Right and candlesticks showing a little bit of that range but what we want to see though is This kind of microstructural data and We can see one of them here within this five minute period Okay, it broke out kind of went sideways for a bit and then it broke up again Okay, and then it came back down and tested again Okay, where did it test to where it was down here where it broke out from All right, here it is. This is the first retest. This is a second retest. You can also see a third one you know later here in You know about ten minutes later, I guess or something like that So This kind of microstructural data is lost in the candlestick chart. We just don't see it Okay, and that's the kind of clarity. I'm speaking of when we're just Comparing historical best-bidden offer and all-price activity compared to aggregation. Okay, but that's not it That's just the first first step here And it's the first piece of data that we're showing here in the bookmap chart. The second piece Is the volume. Okay. Now. There's no volume on this candlestick chart We have a sub chart of volume, but this is Really really opaque at best We have no idea where the volume actually traded on the candlestick We have no idea when exactly it traded and we have No clue to the the size in in those specific areas and the type Okay of trader aggressive buying or selling. Okay, all of that is just it's just not in this chart okay, and Bookmap will easily display that by just showing these volume dots. Okay, and let's bring up the size of the dots a little bit Okay, so the dots here are volume that traded on the chart Okay on the historical best-bidden offer so we know precisely where the volume traded and We know what type it is a green dot is market buy red is market sell and the We know when the location and we also have it and this is key We have it within the microstructure Okay, so this little breakout area here We want to understand what kind of volume and how much traded up in this area within the candlestick Okay, and bookmap is telling us this All right in here In fact at this point we can just probably take the candlestick off And and get some more insight here. Okay nice cluster of volume trading up in these areas here Also here start to start to note it here. All right, and this is where We're putting all the all the pieces together with structure and and just volume Look down here. Okay. Where is all that selling? We need to see big red dots down in these areas here if we're gonna get price discovery further to the downside Okay, well, we don't get that. In fact, we were making structurally we're making a higher low And and then we make a higher higher high just just barely here Come back into the range, but then that it retests here and then continues to the upside right so All sorts of activity that we're able to start to piece together that gives us a much more holistic view Of the marketplace and these are only two elements on the chart Okay, there is that third element, which is the heat map Okay, and then we're gonna see Where they're bidding and offering not just Transacting here on the chart and that's that shown in the heat map now We usually Look at that data and digest it with a dome the depth of market Okay, and here is the doleman book map this C O B column all right We can see that there's that, you know liquidity here on the on the bid liquidity here on the offer and That's that's the that's the market being made. This is the auction that's going on at this point I know this is historical here because We kind of reviewing back in time here We can go go back to the current market here. Okay, this is the live market, right? So to the right of this vertical white line here What we're looking at in this window is the the current best bid and offer All right, and this number is the last traded volume Here's our price ladder and then this current order book here Well, here's our best bid and offer here, and then you can see that the liquidity here on the On the offer and the liquidity here on the bid Okay, these are traders lining up providing liquidity at these price levels Okay, they want to be buyers down here They want to be sellers up here and we can very easily spot Areas of high liquidity like 153 contracts up here at 39 Okay on the on the offer. I'm on the bid. They're down here around this 6629 area Okay, we see we can see the we have a graphical representation in this column as well That's just giving me bars and I have numeric value here in this COB column Okay, it's just by right clicking in here and formatting it differently that you can get those different Configurations, you know if you want to look at bars only bars and numbers or just numbers only right Okay, so this is good. This is a good view. All right We we know where there's the high liquidity And in in the market right now. Let's zoom in a little bit more and just get a little more detail here We have the historical best bid and offer that gives us the microstructure right and we also have the Volume the transactions in that microstructure. All right, so not bad You know, we're seeing quite quite a bit, but the problem with this view here is in the dome is only giving us the current market right and that's lacking transparency here because when these numbers update and change It we don't know what was there before okay, and So we we can't see how they were behaving over time unless you memorize these areas All right, and bookmap solves that issue by recording it. Okay in the heat map All right, so if I turn on the heat map here Now we can see these areas of high liquidity In this window with the best bid and offer are given a graphical representation Okay, high liquidity is in this case is this orange color Less a little less is this yellow color and then here's the scaling here as you can see in the heat map So from dark gray for very low liquidity on up to blue is higher White higher then yellow and then the highest is this orange color All right. Now. There's another setting here as well with this colored heat map in version 7 and we can look at red as Being the highest It gives even more insight Okay, I'm gonna stick with this one though. I just to kind of make it simple And But this is where we can Start to see when the numbers change here in the dome in the current market They'll be they'll change here with the heat map and you'll see the heat map change color Okay, and when it does though This is where we go beyond the current order book because we record the data here and project it on the chart historically So look at these two little areas here at 33 and 36 Okay, note how the the striations here in the heat map It got a little brighter here or a little more blue and then it turned white a little bit of yellow And then it got dark again. This is the adding and pulling of liquidity at this price level Okay, it's all recorded here in book map note how it just got got brighter here And then they just pulled so it went from 77 contracts down to 64 That's the the reflection here in the heat map and historical view of it Okay, all sorts of insight can be gained from this we can start to spot larger players. We can understand their behavior and We can see where longer Liquidity that seems to be real that meaning that it stays in the book and wants to trade compared to high liquidity short term that has no intent to trade And it looks like it just wants to kind of skew the order book and the auction All right, so anyway, those are that's the the historical view here of this heat map And it gives us tremendous insight. We can see where we're channeling. Why are we channeling between? this 36 and 33 area it's because that's where the liquidity is and We can see that we're channeling there and why are we starting to break out now? Well, look at them look pulling their liquidity here. We can see that behavior. So where's the target? It's right here at 37 and a half and they're starting to pull now too So actually they're gonna trade through it and we're gonna come up and we're gonna trade into and look at him at 38 and a quarter They're also pulling so 39 is now that the the the target Okay, if the market wants to find sellers, it's got to come up to 39 Right, so there it is. There's our move right up into 39 All right, so very quick move there, but you know, we saw it unfold in real time And just by simply understanding liquidity here, we're not even looking at the traded volume We just know that that's where the market needs to go in order to trade Okay, and it indeed did that Right now. We're seeing all sorts of phenomena here already. This is a flip of the order book What was on the offer has now flipped to the bid with a hundred contracts? Okay That is kind of tightening the The area here, so it looks like I mean they're pulling kind of adding and pulling and they're down a little bit lower here as well We might we may come down and retest 37. That's where we broke from just now as well, but You can understand now areas of support and resistance or just if price is going to accept above This this new this this range here into a new range and that's what that's what it seems to be doing right now Okay, it's we're getting price discovery upside up outside of that range and and still Continuing to we discover areas Okay, and this is very typical in a breakout. Okay, we see it all the time Nice breakout nice. It's now we can start to look at not only the liquidity, but the transactions Okay, this auctioned off pretty nicely here You know, this is a nice big Green dots here pulling the market up and then the same thing is occurring yet again. Okay, so this is looking good All right And where's it going to go? Well, we can start to maybe look at and zoom out and this is where you're going to find the heat map very insightful Is that now we can start to look at? Larger areas on higher time frames So we don't have to look for a scalping a tick or two or a point or two Now we can start to outline larger areas and use this historical depth of market view For those higher time frames Okay, so let's zoom vertically a little bit And well, we see that there, you know, there's quite a bit of liquidity up here around this 48 and a half area Okay, and we also have 6650 up here. Okay, so maybe we'll come up and test into that area, too All right, or we can start to also put together some technical analysis here And we want to start to view for example these You know possibilities where you know, we may be in a an evaluation price channel here and then You know, so maybe it's overvalued up here Okay, well, we can look at the order book now if this is what you you know This is a kind of a technical analysis that that you utilize. Maybe you're using the indicator. Okay? We have a an indicator here in the sub chart that shows the cumulative volume Delta Okay, and this cumulative volume Delta here. Let me just get rid of that okay Well, I mean, maybe you're looking at an overbought oversold type of evaluation and then Up with a price channel Etc. But the point is then well, let's let's zoom in and this let's look at the order flow Okay, what is the order flow telling us at this point? And that's what we want to know All right Okay, well, I mean we see some selling coming in not really not too much a little bit here But most of this is just an auction off really nicely here So maybe this is just a small pullback into higher liquidity here And then we're looking for those buyers to step in again for another round and price discovery further to the upside here Okay Note how they're just pulling here at 42 Okay, so we'll come down maybe a little bit lower here Anyway, you get the idea Oh, Jesus you you wanted to look at the the the ES liquidity, okay, let's quickly do that and then we need to jump to the the next The next webinar Let's see here. Where's the ES? Okay, do you want to look at 2729? Okay, here we are And this was a while back. I'm sorry, Jesus. I This was about 10 minutes ago. I see your question Yeah, I mean Not a lot but You know same same type of thing here is I mean you can see this kind of activity here Actually, this this kind of looks like a you know a skew of the book here in the ES Tying to maybe spoof, especially, you know, we can start to identify these players pulled the high liquidity from here added it up higher here Perhaps trying to get it up into the goal of this 2732, which looks like it was successful and Now we need to see if you know these these guys up here are still interested in selling in these areas or You know or was this a target for short term? Etc. You know, are we gonna accept or reject above these areas? All right, all right guys Well, let's call it a day and we will catch up with you guys next week And if you're signed up with the trial, we'll see you in the next video in the next webinar Okay, take care. Have a good weekend. Bye. Bye. Oh You want access to the next one, okay Yeah, we usually do that on Fridays. So let me Let me get that set up here Okay, so what look in the chat box there? Okay, and let me get it. Okay, so go ahead and click on it there and register and and we'll see you over in the The advanced or order flow analysis webinar Okay, guys. Yeah, take care. Bye. Bye