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Some Points About PowerPoint
AALS Annual Meeting
January 3, 2004
Eric J. GouvinAssociate Dean &Professor of Law
Western New England School of [email protected]
How Not to Use PowerPoint
What’s the likely outcome?
If Player 1 knew that Player 2 was going left, he would too, and vise versa
If Player 1 wanted to play left, but heard ahead of time that Player 2 was choosing right, then Player would would abandon his strategy and go right.
Although Player 1 slightly prefers left, he would rather have right than no payoff
Nash Equilibrium
Although neither player has a dominant strategy, this game is said to have two “Nash equilibria.”
A Nash Equilibrium is the combination of strategies that players are likely to choose because no player could do better by choosing a different strategy given the strategy the other chooses.
That is, the strategy of each player is the best response to the strategy of the other.
Ways that I Use PowerPoint
• Text of Statutes/Restatements/Opinions
• Present drawings I would have made on the Board
• Liven up the presentation
Text of Statutes, etc.
§ 24. OFFER DEFINED
An offer is the manifestation of willingness to enter into a
bargain, so made as to justify another person in understanding
that his assent to that bargain is invited and will conclude it.
§9-301 Governing Law
Except as otherwise provided in Sections 9-303 through 9-306, the following rules determine the law governing perfection, the effect of perfection or nonperfection, and the priority of a security interest in collateral:
(1) Except as otherwise provided in this section, while a debtor is located in a jurisdiction, the local law of that jurisdiction governs perfection, the effect of perfection or nonperfection, and the priority of a security interest in collateral.
§9-301 Governing Law
Except as otherwise provided in Sections 9-303 through 9-306, the following rules determine the law governing perfection, the effect of perfection or nonperfection, and the priority of a security interest in collateral:
(1) Except as otherwise provided in this section, while a debtor is located in a jurisdiction, the local law of that jurisdiction governs perfection, the effect of perfection or nonperfection, and the priority of a security interest in collateral.
PROPERTY COVERED BY ARTICLE 9
Goods 9-102(a)(44)Consumer goods (23)Farm products (34)Inventory (48)Equipment (33)
Semi- IntangiblesInstruments (47)
Promissory notes (65)
Documents (30)
Investment property (49)
Chattel paper (11)
Money Letter of credit rights (51)Supporting Obligations (77)
IntangiblesAccounts (2)
Health ins. receivables (46)
Commercial tort claims (13)Deposit accounts (29)
General intangibles (42)
Payment intangibles (61)
Software (75)
Things in action
Real Estate Related ItemsFixtures (41)
Standing Timber/Crops (44)
“As extracted Collateral” (6)
Next
Drawings
Timelines
8/4 a.m. noon
House listedw/ Hawkins
Byer showshouse to N&K
Byer helps N&Kpp offer -- must accept by 5 pm on 8/5
eve. later 8/5 5 pm
Miller makescounteroffer
N&K wantto sleep on it
B inks dealw/ Segal
2 pm
“You snooze You lose”
N&K acceptCO
12:30 am!
March1952
3/26 4/7
Ad inpaper
L makesinquiry
S sendsletter
L writesto S
4/8 4/12 4/14 4/28
S writes back“better actfast”
S sells to3rd party
L rec’s4/8 ltr
4/15
L“accepts”
S refuses to convey
March1952
3/26 4/7
Ad inpaper
L makesinquiry
S sendsletter
L writesto S
4/8 4/12 4/14
S writes back“better actfast”
S sells to3rd party
L rec’s4/8 ltr
4/15
L putsacceptancein the mail
What if….. 4/13
S rec’s L’s4/12 ltr
Illustrating the case/problem
Acme, Inc.
Mortgagee
Mortgage and Note
$$$
Working Capital Lender
$$$
InventoryEquipment
Fixtures
Instruments &Intangibles
Accounts
Note andSecurity Agmt
Vendor
?
BNIOCOBBankruptcy T’eeStatutory LienorJudgment CreditorGeneral Creditors
BIOCOB
Right FieldBleachers
Visitor’sBullpen
Chain LinkFence
(Re-enactment)
(Re-enactment)
ManningGrimsely
Orioles Suck!
I’ve had enoughof that guy
D’OH!
HA HA!
LoC Transaction -- Set Up
Buyer(Applicant)
Seller(Beneficiary)
Correspondent
IssuerAdvising
Bank
Negotiated K Terms
Applies for LoC, Pays fee
Transmit LoC
Confirm
LoC Transaction -- Payment
Buyer(Applicant)
Seller(Beneficiary)
Correspondent
IssuerAdvising
Bank
Ship Goods
$
$
$
Maps
Warren
Graphs
Supply and Demand
Quantity
PriceDemand
Supply
p*
q*
Supply and Demand
Quantity
Price
DemandSupply
p*
q*
Consumer Surplus
Producer Surplus
Legal Restrictions on Interest rates
Quantity
PriceDemand for Loans
Supply of Loans
p*
q*
Maximum Interest Rate
qdqs
Legal Restrictions on Interest rates
Quantity
PriceDemand for Loans
Supply of Loans
p*
q*
Maximum Interest Rate
qd
qs
Gained Consumer Surplus
Legal Restrictions on Interest rates
Quantity
PriceDemand for Loans
Supply of Loans
p*
q*
Maximum Interest Rate
qd
qs
Lost Producer Surplus
Legal Restrictions on Interest rates
Quantity
PriceDemand for Loans
Supply of Loans
p*
q*
Maximum Interest Rate
qd
qs
Lost Producer Surplus
Lost Consumer Surplus
Deadweight Loss
Legal Restrictions on Interest rates
Quantity
PriceDemand for Loans
Supply of Loans
p*
q*
Maximum Interest Rate
qdqs
Lost Producer Surplus
Lost Consumer Surplus
Deadweight Loss
Numbers
Strategy A Medium-Risk Allocation of Assets
Scenario Yield on Assets Owners' Profit Cost to Depositors
Worst Case 7 % 0 0 (25 percent)
Middle Case 8 % 1 0 (50 percent)
Best Case 9 % 2 0 (25 percent)
AVERAGE 8 % 1 0
Strategy B Low-Risk Allocation of Assets
Scenario Yield on Assets Owners' Profit Cost to Depositors
Worst Case 7.25 % 0.25 0 (25 percent)
Middle Case 7.5 % 0.50 0 (50 percent)
Best Case 7.75 % 0.75 0 (25 percent)
AVERAGE 7.5 % 0.5 0
Strategy CHigher-Risk Allocation of Assets
Scenario Yield on Assets Owners' Profit Cost to Depositors
Worst Case 5 % (1) (1) (25 percent)
Middle Case 9 % 2 0 (50 percent)
Best Case 13 % 6 0 (25 percent)
AVERAGE 9 % 2.25 (0.25)
Comparison of Returns
Strategy Ave Return Expected Expected Cost Profit for Owner to
Depositors
A 8.0% $ 1 $0
B 7.5% $ 0.5 $0
C 9.0% $ 2.25 ($0.25)
Liven Up the Presentation
Livening things up
• Stuff you can’t do on the board:
Web LinksPicturesSoundsMovies
Web Links
Mechanics of Incorporation
CALI Lesson
Pictures
Mrs. Carlill
Wampum
Continental Notes -- 1776
Private Notes-- Banks
Stonington Bank -- 1858-1865
1862 -- The “Greenback” -- U.S. Notes
These were obligations of the US government
1863 -- National Bank Notes
Issued by a local National Bank
1913 -- Federal Reserve Notes
Issued by the 12 federal reserve banks --First truly national currency
Plucky Americans
Industrial Workers
Wm. J. Bryan
American Farmers
McKinley’s Minions
Listing to Port in the Bushey Shipyard
“The Coast Guard’s Only Submarine”
Sounds
Clauses
Movies
Rules For Monica
What is the “Holding”?
The Normal Form Game Player 2 Cooperate Defect
Cooperate
Player 1
Defect
(Player 1 Payoff, Player 2 Payoff)
1 payoff, 2 payoff
1 payoff, 2 payoff 1 payoff, 2 payoff
The Prisoners’ DilemmaA Game of Cooperation
Prisoner 2 Silent Confess
Silent
Prisoner 1
Confess
-2, -2 -10, 0
0, -10 -6,-6
An Application -- Bank Runs
The IAWL Bank Run Game
Everybody Else Leave $ Sell to Potter
Leave $
Tom
Sell to Potter
100%, 100% 0, 50%
50%, 100% 50%, 50%
The Bank Run Game w/ Deposit Insurance
Other Insured Depositors Leave $ Withdraw $
Leave $
Tom
Withdraw
100%, 100% 100%, 100%
100%, 100% 100%, 100%
The End
