And in between, there should be a public agency, the Independent Service Authority, which channels public money, and especially donor money, to the retail providers.

And he invited us in particular because we have a very specific type of design process one that results in appropriate design solutions in places that don't usually have access to design services or creative capital.

That assets, A for assets, is equal to

But we'll do a whole playlist on that.

Japan is a service economy, in which services account for more than 50 of the GNP.

And what is required is a combination of physical capital, institutional capital, human capital and security, of course, is critical, but so is information.

And then on the equity side, because we have no liability, so in this case assets will be equal to equity.

It should start to make a little bit of intuitive sense

liabilities plus equity.

In a world without leverage so if I didn't have all this

So this is just another visual representation that

less capital intensive that there's less money that's required

It doesn't sound like we borrowed money or anything.

But let's say its assets are worth 1 million.

Capitalist country.

I'll do that in yellow.

liabilities plus equity is equal to assets.

I use 100 gold pieces.

And then the equity is, essentially we would look at this formula.

Let's figure it out. It's equity.

One, what shares are share of

liabilities.

In return on equity, the numerator is the net income that we got, so it's 350,000.

like an equation, but it's assets is equal to liabilities plus equity.

lay down their arms and split the so called peace dividend that results in them not having to fight the whole time.

So 26 billion of assets minus 23 billion of liabilities means that we have 3 billion of equity of shareholders' equity.

Services

Services

Service

Service

Good health is his capital.

So the only liability is this 5,000.

It's good for you.

That just comes out of the definition of what equity is.

And so liabilities plus equity is equal to assets.

I'll draw it a little bit bigger.

Generally speaking, a waiter in Japan gives good service.

So he owns it outright so all of the 100,000 of asset value is actually his equity.

My liabilities would be 145,000.

How much equity do they have?

Remember liabilities plus equities are equal to assets.

We need flat land, we need 300 days of sunlight, and we need to be near a gas pipe.

You can pass it around.

So let me do that in a vibrant color.

That's 11,000.