Tuesday, January 30, 2007

None of your business.

Arthur Guinness started brewing ales initially in Leixlip, then at the St. James's Gate Brewery, Dublin, Ireland from 1759. He signed a 9,000 year lease at £35 per annum for the unused brewery.


I'm sure that whoever owns the property that the Guinness brewery is on really really regrets that their ancestor agreed to such a deal but an agreement is just that, an agreement. It seems like some people get a better deal all the time. Take for instance the family that won the big lottery just this past weekend. Sure its a big family but that's a hell of a lot of money to go around, $250+ million. Sure would be nice to get a share of that too wouldn't it? But looking at the other side of things I can imagine that their life will be hell for some time with the number of people soliciting for a slice of that pie. Those that have a worthy cause, or perhaps feel that life had unfairly treated them and they deserve a break at the expense of someone else.

Going back to Sir Arthur Guinness and his 9000 year lease, a free market society is what allowed that to take place. The land owner felt at the time that was his best option, since the brewery was already in place but vacant, the previous tenant either going bankrupt or moved on. Probably the former. Now if that same family interest owns similar properties today, and a lessee came forward and said I want the Guinness deal, they would first be met with laughter and then shown the door. Times were different back in the 1700's. That 35 Pounds a year was probably a very good deal for the land owner. Keep in mind that over 100 years later even a $50 a year income was about average in the US.

So if one of the potential lessee's couldn't get the Guinness deal then a free market society allows that person to move on to another location. See unlike governmental regulations that are to ensure that the government treats all people in a like manner, land owners aren't so tightly restricted. With exception to discrimination of race, gender, place of origin and sexual preference, and of course price gouging, a land owner can elect who they will rent to and by what terms.

Of course you could always accept what my dad told me, if it doesn't' concern you then its none of your business.

No comments: