So now look at the different lens.

The reason this is happening boils down, in my mind, to one basic problem, which is our inability to perceive the difference between public benefits and private profits.

They have no interest expense, because that's not the point of this video.

Also, in the interest of security and public safety...

This is really important to pay attention to, because so many people say, oh, a company made this much.

But here you see it means very, very different things.

And at least it'll give you a sense of how revenues, gross profit, operating profit, pre tax income and net income really are different.

Our interests clash with theirs.

Minus 500,000.

You agreed that both our governments would benefit if the two of us worked together.

The copyright industry is digging a grave for the internet.

The company announced a profit of 200 million after tax.

You want to have a lower Price to Earnings ratio for the same asset.

This is what the owners of the company get before they pay the government.

(Laughter) But I know it's the bottom line, or one's perception of it, that motivates people in the end.

Let no one appropriate a common benefit.

Kill the goose that lays the golden eggs.

And so you can already imagine that both EBlT and the way I defined it initially, operating profit divided by assets.

The Nordic Cochrane Group were trying to get a hold of the data on that to bring it all together.

Darling, this is what the benefit is for, to raise money.

We must always consider the public interest.

A benefit to both our worlds.

I'll just abbreviate that as Nl.

There is no interest... in the common good.

Go ahead, eat.

And when people talk about earnings of a company, this is what they're talking about.

And that's my dad found that.

The company earned 300 million on sales of 4,000 million.

So, that's one general conclusion about why societies make bad decisions conflicts of interest.

And that's what these brands did.

FDlC insured.

The rewards would be... enormous.

So you've probably heard not only the term earnings, you've probably also heard the term earnings per share.

They buy more of your service and they tell more of their friends, which leads to more profit.

And let's say, assume if I inherited this million dollars, I didn't finance it.

But I think we have to understand where this leak really started from.

The word arbitrage sounds very fancy, but it's actually a very simple idea.

They generate the same earning stream with the exact same risk.

This is 350,000 of net income.

Why make this thing?

All the profits go toward Phillip's hospital bills.

The taxes will be 153,000.

I'm not a charity commissioner.

We are assuming a very simple world, were the is no taxes, we have no debt, we have no intrest or things

It's also important to think about what the benefit is.