WEBVTT - Inclusive Stakeholding and Redefining Health 0:00:00.160 --> 0:00:03.760 This is Bloomberg Business Week with Carol Messer and Jason 0:00:03.840 --> 0:00:14.720 Kelly on Bloomberg Radio. So I'm still looking forward to 0:00:14.840 --> 0:00:17.439 Jason is too to our next conversation. Our next guest 0:00:17.520 --> 0:00:19.919 is a doctor hedge fund manager looking for answers to 0:00:20.040 --> 0:00:24.160 aging along with really promoting the greater good. Dr Junior 0:00:24.200 --> 0:00:27.080 and as president of Palo Alto Investors, based of course 0:00:27.240 --> 0:00:29.800 in Palo Alto, California, but he made his way to 0:00:29.840 --> 0:00:32.879 our Bloomberg Interactive Broker's studio here in New York. Welcome, 0:00:33.240 --> 0:00:35.320 Thank you for having me. We have been looking forward 0:00:35.840 --> 0:00:38.480 to having you on with us. Talk to us though, 0:00:38.520 --> 0:00:42.199 a little bit about your your world and your approach. 0:00:42.360 --> 0:00:45.239 And you're investing because you are looking I feel like 0:00:45.400 --> 0:00:49.000 to make things better in this world in a couple 0:00:49.040 --> 0:00:51.640 of different ways. Tell us a bit about Palo Alto 0:00:51.720 --> 0:00:54.600 Investors though. Yeah, we've been our thirty years and we 0:00:54.640 --> 0:00:56.760 invest in things that improved the lives of people, and 0:00:56.800 --> 0:00:59.720 healthcare is a great way to improve their lives. Now, 0:00:59.800 --> 0:01:03.080 all that said, we've been extending life without actually addressing aging. 0:01:03.280 --> 0:01:07.160 So the product of healthcare ultimately is old people that 0:01:07.200 --> 0:01:09.920 need more healthcare. So that's actually the vicious cycle. Um, 0:01:10.000 --> 0:01:12.480 So as amazing as the healthcare industry is and all 0:01:12.480 --> 0:01:15.160 the people that work in and uh at the tratructor 0:01:15.240 --> 0:01:17.120 we're on, it's just gonna self inflate, get bigger and 0:01:17.120 --> 0:01:20.000 bigger as populashing gets older, and then eventually is going 0:01:20.040 --> 0:01:22.080 to consume the whole economy. So as amazing as it is, 0:01:22.080 --> 0:01:24.119 I think we need something completely different. In fifteen years, 0:01:24.160 --> 0:01:26.280 the average healthcare costs of an American, I take care 0:01:26.319 --> 0:01:28.959 of an American, it's gonna equal the average salary. So 0:01:28.959 --> 0:01:30.760 it's gonna be game over fairly soon. So we need 0:01:30.800 --> 0:01:34.160 to radically shift our approach. So how about keeping people 0:01:34.200 --> 0:01:38.399 healthy uh and really work on the underlying causes of 0:01:38.440 --> 0:01:41.080 aging rather than treating the symptoms of aging. So treating 0:01:41.120 --> 0:01:45.360 things like uh, diabetes and hypertension and obesity are really 0:01:45.400 --> 0:01:48.080 addressing the symptoms and not your underlying cause. Then if 0:01:48.120 --> 0:01:52.080 you can actually improve the underlying health and make sure 0:01:52.120 --> 0:01:53.560 you don't age, then you don't end up with the 0:01:53.560 --> 0:01:56.240 symptoms of aging, then you would actually not only be 0:01:56.240 --> 0:01:59.040 able to live longer potentially, but have a much healthier 0:01:59.120 --> 0:02:03.080 quality of life as well. All right, So that makes 0:02:03.480 --> 0:02:08.240 an immense amount of sense. And and I think you, 0:02:08.720 --> 0:02:11.200 as someone who is not only a medical doctor but 0:02:11.280 --> 0:02:15.640 also an investor, understand that better than we do. That 0:02:15.760 --> 0:02:19.960 the economics of the business are such that that's not 0:02:20.120 --> 0:02:23.080 how it works. Is that the problem the the economics 0:02:23.080 --> 0:02:26.520 of the system or is it more structural than that. Well, 0:02:26.560 --> 0:02:28.760 it's interesting. So I think the economics actually play a 0:02:28.800 --> 0:02:31.160 key role here because incentives aren't there to look at 0:02:31.200 --> 0:02:33.920 that problem, the deeper problem, and so therefore it's just 0:02:33.919 --> 0:02:36.560 been hiding in plane side. It's just been lagging. Um. 0:02:36.639 --> 0:02:38.520 So I do think that people are becoming aware of 0:02:38.560 --> 0:02:41.840 just how important opportunity aging is as a scientific field, 0:02:41.840 --> 0:02:44.720 and also it's an investment investable opportunity. Where does traditional 0:02:44.720 --> 0:02:47.720 health care they'll play into this, like pharmaceutical companies and 0:02:47.800 --> 0:02:50.440 insurance companies. Are they the ones holding us back from 0:02:50.480 --> 0:02:53.840 really changing the model? No, it's actually us. So we 0:02:53.960 --> 0:02:56.400 just forgot to really do inclusive stakeholding. If you actually 0:02:56.400 --> 0:02:59.200 think about all the stakeholders in the system, um, then 0:02:59.240 --> 0:03:02.040 you would actually everything differently, including the science itself. But 0:03:02.080 --> 0:03:04.800 we've been doing narrow stakeholding, and so we've really missed 0:03:04.840 --> 0:03:08.040 the opportunity to think about the problem. Right now, everybody 0:03:08.080 --> 0:03:09.840 benefits a little bit from the system, except when you 0:03:09.840 --> 0:03:12.280 look at the long haul, the future version of ourselves, 0:03:12.280 --> 0:03:14.600 our bodies and the system is much worse off. So 0:03:14.639 --> 0:03:18.000 we've gotta we gotta internalize that externality so we don't 0:03:18.040 --> 0:03:20.600 pollute the world with old sick people. We actually need 0:03:20.639 --> 0:03:23.960 healthier population. And I think this is really really straightforward 0:03:23.960 --> 0:03:26.480 to do in terms of systems perspective. So how do 0:03:26.520 --> 0:03:29.119 we get there? So yeah, I'm trying to understand, right, 0:03:29.320 --> 0:03:31.680 So what does that mean in terms of our approach 0:03:31.720 --> 0:03:34.800 to how we do things? Um? Well, so actually I'll 0:03:34.800 --> 0:03:36.440 talk about the biology first and then how do we 0:03:36.480 --> 0:03:37.720 how do we get how do you do this in 0:03:37.760 --> 0:03:40.240 other systems because the healthcare and institutions were terrified of them. 0:03:40.240 --> 0:03:41.840 I mean, it's an amazing system, but people are not 0:03:41.880 --> 0:03:45.200 happy with health care. So really we have to redefine health. Um, 0:03:45.240 --> 0:03:47.160 the way you and I think about health. Um, there's 0:03:47.200 --> 0:03:49.720 like this vague definition. But biologically, I come from a 0:03:49.720 --> 0:03:52.839 medical background and study and your biology in college, and 0:03:52.960 --> 0:03:56.400 I think about health as homeostetic capacity and not homeostasis 0:03:56.480 --> 0:03:58.440 is when word change. But for the audience, they can 0:03:58.440 --> 0:04:00.840 think about as a weebo wobble. You're young when you 0:04:00.840 --> 0:04:03.800 push it. Everything self centers, and after forty, your weebel 0:04:03.840 --> 0:04:05.320 doesn't self set anymore. So all of a sudden, you 0:04:05.360 --> 0:04:06.720 can't do the things you used to be able to do, 0:04:06.920 --> 0:04:08.560 Like you can't ride a roller coaster because now when 0:04:08.560 --> 0:04:10.240 you come out of it, you don't recalibrate your kind 0:04:10.240 --> 0:04:11.720 of wobboys, I don't want to do it anymore. I 0:04:11.720 --> 0:04:14.280 am well aware of this phenomenon. Thank you for pointing 0:04:14.280 --> 0:04:17.520 it out, Like it didn't face you when you're younger 0:04:18.880 --> 0:04:20.720 forty it's gonna change. It's like, it's not gonna change 0:04:20.720 --> 0:04:22.920 for me, And then it did. Right. There's so many 0:04:22.920 --> 0:04:24.360 things we start to feel at forty then we never 0:04:24.360 --> 0:04:27.039 felt before, such as when you're young, you don't feel 0:04:27.080 --> 0:04:29.120 cold cold at fifty. My kids are running on a 0:04:29.120 --> 0:04:31.960 T shirt at fifty, I got two layers on. Yeah, 0:04:31.960 --> 0:04:34.760 when it's eighty, I'm sweating and I can't stand it. 0:04:34.760 --> 0:04:38.320 They're like totally fine. Um, So what's really happening is, um, 0:04:38.480 --> 0:04:42.200 we're not able to tolerate the dynamic range anymore, the 0:04:42.279 --> 0:04:44.640 variance anymore. Um, Like everybody wants to be saving to 0:04:44.760 --> 0:04:46.039 use all the time. When you go to California, your 0:04:46.080 --> 0:04:48.279 blood is not thin it. You're losing home. Instead of capacity, 0:04:48.320 --> 0:04:51.960 you're weels getting weaker. Same with late night jet lag, hangover. 0:04:52.000 --> 0:04:55.359 Everything's longer to recover after forty broken bone cuts, everything's longer. 0:04:55.680 --> 0:04:57.640 So you weebel doesn't self centered. Now I want to 0:04:57.680 --> 0:04:59.760 go to a restaurant, my pupils don't open up enough, 0:05:00.000 --> 0:05:01.360 so it's too dark. When I go outside, it doesn't 0:05:01.360 --> 0:05:05.560 close enough, it's too bright. It's all homeostidic capacity um 0:05:05.680 --> 0:05:08.200 altitude at eight thousand feet, I'm huffing and puffing. My 0:05:08.279 --> 0:05:10.200 kids are sprinting around there, like Dad, why can't you 0:05:10.400 --> 0:05:12.680 keep up with us? It's because my ability, my weebel 0:05:12.680 --> 0:05:14.919 bobble doesn't self So how do we are we just 0:05:14.920 --> 0:05:16.200 gonna have to deal with that? Or how do we 0:05:16.240 --> 0:05:18.320 better deal with that? Yeah, this is the I think 0:05:18.320 --> 0:05:20.080 one of the great paradox of the twentieth century. I 0:05:20.080 --> 0:05:22.640 think we swung and missed the twentieth century by the way. 0:05:22.640 --> 0:05:24.359 I shouldn't mention things like that. There's things that you 0:05:24.400 --> 0:05:27.960 can't feel that wobble when you're young, that always self centered, 0:05:28.000 --> 0:05:30.920 like your blood sugar and blood pressure always self center. 0:05:31.000 --> 0:05:33.400 After forty it stays high in some of us and 0:05:33.400 --> 0:05:35.960 we call it diabetes and hypertension. Inflammation is a good 0:05:35.960 --> 0:05:38.560 thing when it's self centers. If it stays lag, that's 0:05:38.600 --> 0:05:40.760 why it's dangerous. Right. So instead of about thinking about 0:05:40.760 --> 0:05:42.480 all these things that separate diseases, I'm a kind of 0:05:42.480 --> 0:05:44.560 a lumper. I think it's all one disease. It's impossible 0:05:44.600 --> 0:05:46.480 thousand different things are going wrong. One thing's going wrong, 0:05:46.480 --> 0:05:48.760 your weeble doesn't self center. And then the way we 0:05:48.839 --> 0:05:52.080 treat it, I think it's been uh seductive, but I 0:05:52.120 --> 0:05:53.920 think it's been exactly wrong. So the best way to 0:05:53.960 --> 0:05:55.760 lower blood pressure is not to take a blood presure 0:05:55.960 --> 0:05:58.960 lowering medicine. You know what it is, exercise exercise, and 0:05:58.960 --> 0:06:01.159 when you're exercise, you're ray in your boot pressure. So 0:06:01.200 --> 0:06:03.599 when you reach when you take a blood persure lowering medicine, 0:06:03.680 --> 0:06:06.240 it's like propping up chouldren. They get weaker. So every 0:06:06.279 --> 0:06:09.160 drug in the market were now causes atrophy of your 0:06:09.279 --> 0:06:11.520 innate system. So you need more drugs. This is the 0:06:11.520 --> 0:06:13.840 self fulfilling prophecy, more drugs. But this we have to 0:06:13.880 --> 0:06:15.360 take a break and we'll come back and talk more. 0:06:15.400 --> 0:06:17.440 But that gets to my point. That is part of 0:06:17.440 --> 0:06:21.240 the problem. Like the pharmaceutical industry. Right, the system is 0:06:21.240 --> 0:06:23.400 exactly right. We're gonna talk about this systems shortly, so 0:06:23.400 --> 0:06:25.159 we need to change it incentives. So what our family 0:06:25.200 --> 0:06:28.480 did was we actually need to focus on homeostetic capacity 0:06:28.600 --> 0:06:30.920 and studying the body dynamically. All of your book, all 0:06:30.920 --> 0:06:35.159 of your annual I'm sorry, so all of your tests 0:06:35.720 --> 0:06:38.279 we should be testing, not your blood presure, heartwrey, glucose cholesterol. 0:06:38.320 --> 0:06:41.239 We should be testing your HeartWare recovery, blood person recovery 0:06:41.360 --> 0:06:45.120 from exercise, glu close recovery. So everything should be four dimensional. 0:06:45.160 --> 0:06:47.800 Everything should be dynamic diagnostics intead of static dyno. Al Right, 0:06:47.880 --> 0:06:49.840 hold that thought. We're gonna come right back. We're talking 0:06:49.920 --> 0:06:53.480 to Dr June. You and he's president of Palo Alto Investors. 0:06:53.839 --> 0:06:56.080 We are still visiting with Dr June. You know, he's 0:06:56.120 --> 0:06:58.920 the president of Palo Alto Investors. He's based out in 0:06:58.920 --> 0:07:01.160 Palo Alto. So going to take this sort of quick 0:07:01.480 --> 0:07:03.160 a bit that we have here to ask you about 0:07:03.240 --> 0:07:05.800 sort of the mood and the tenor of Silicon Valley. 0:07:05.880 --> 0:07:07.680 Right now, you've been there for a long time, you've 0:07:07.680 --> 0:07:11.240 sort of seen it grow into what it is. How 0:07:11.280 --> 0:07:13.880 are people feeling right? Now, especially as big tech comes out, 0:07:13.880 --> 0:07:16.720 are a little more fire sure, and overall it's the 0:07:16.800 --> 0:07:20.360 rising sun mentality and Silka Valley there's a can do attitude. Yes, 0:07:20.440 --> 0:07:22.920 there's always challenges and everybody's always thinking about how do 0:07:22.920 --> 0:07:24.360 we make it better. So it's a little bit different 0:07:24.360 --> 0:07:25.640 than where I grew up in the East Coast, I mean, 0:07:25.720 --> 0:07:28.640 which is more um, you know, a little more pessimistic. 0:07:29.120 --> 0:07:31.160 All that said, there is a challenge out there about 0:07:31.360 --> 0:07:34.000 how to really address the issues that are emerging. And 0:07:34.120 --> 0:07:35.800 this is where I think we have an enormous opportunity 0:07:35.840 --> 0:07:38.080 to Silken Boy. His major constribution to the world was 0:07:38.200 --> 0:07:40.120 skin in the game, giving labor at a time when 0:07:40.800 --> 0:07:43.240 capital have had not included labor a hundred years ago. 0:07:43.240 --> 0:07:45.960 So skives them of capitalism and socialism. Uh, And we 0:07:46.000 --> 0:07:47.840 have that discussion today too, right, But the inclusion of 0:07:47.960 --> 0:07:49.840 labor changed everything because now you're on the same page 0:07:49.960 --> 0:07:52.640 Skin in the Game what. But what do you think 0:07:52.680 --> 0:07:54.840 about big tech in the future. Certainly in terms of 0:07:54.880 --> 0:07:58.480 the privacy concerns, I feel like certainly regulators on both 0:07:58.480 --> 0:08:00.560 sides of the AIS, I'll agree that maybe something needs 0:08:00.600 --> 0:08:01.920 to be done. I feel like those things are all 0:08:01.960 --> 0:08:04.320 symptoms kind of like the news going on today when 0:08:04.360 --> 0:08:07.280 you don't have inclusive stakeholding, if you don't include all 0:08:07.280 --> 0:08:09.960 the stakeholders and you inavertently actually exclude them, and that's 0:08:10.160 --> 0:08:13.800 that's when the suffering starts. So to me, internalizing those externalities, essentially, 0:08:13.840 --> 0:08:16.280 all those issues are pollutions of a system that doesn't 0:08:16.280 --> 0:08:18.640 include stakeholders. So while still confided that a great job 0:08:18.640 --> 0:08:21.960 included labor, we're not doing a good enough job including environment, 0:08:22.560 --> 0:08:26.640 including consumers. Imagine now tokenizing everything making them a stakeholder. 0:08:26.840 --> 0:08:28.760 So we're not We're thinking about them much more like 0:08:29.040 --> 0:08:31.760 the way parents think about kids. Will that change that? 0:08:31.920 --> 0:08:35.040 Will that change totally double? We have an algorithm now, no, no, no, 0:08:35.160 --> 0:08:36.760 But do you think Big tex is going to be 0:08:36.840 --> 0:08:38.679 forced to think a little bit more about that? I 0:08:38.720 --> 0:08:40.200 think they're gonna do it on their own, because everybody 0:08:40.240 --> 0:08:42.200 guess that we're in the global village where this closer 0:08:42.280 --> 0:08:45.400 great society, and I think we just internalize all the 0:08:45.440 --> 0:08:48.480 stakeholders were neglected. I think we have a path forward. 0:08:48.559 --> 0:08:50.360 All right, stick with us. We're going to continue this 0:08:50.400 --> 0:08:53.400 conversation in just a minute. Dr Jr, President of Palo 0:08:53.440 --> 0:08:57.520 Alto Investors, here with us in New York City. You're 0:08:57.559 --> 0:09:00.400 listening to Bloombergs this week. Jason Kelly, Carol Lasts are 0:09:00.440 --> 0:09:03.440 here on a Friday afternoon after a very busy week. 0:09:03.520 --> 0:09:07.160 A good conversation ahead. This is Bloomberg Continue our conversation 0:09:07.280 --> 0:09:10.440 with Dr Jr. President of Palo Alto Investors. We had 0:09:10.480 --> 0:09:13.280 such a fascinating conversation a few minutes ago about sort 0:09:13.280 --> 0:09:16.760 of the biology aspect of this. I want to broaden 0:09:16.840 --> 0:09:21.120 it into this notion that you have around inclusive stakeholding, 0:09:21.240 --> 0:09:24.880 because those are words that you hear, they're a little intimidating, 0:09:25.280 --> 0:09:27.520 and yet what you really have is a vision of 0:09:27.559 --> 0:09:31.640 the future that is quite holistic in all senses. Tell 0:09:31.720 --> 0:09:33.640 us about it's it's it's no fun to live a 0:09:33.720 --> 0:09:35.439 long life and healthy life if the plant is like 0:09:35.520 --> 0:09:38.079 in the decay. Right. So we want to now expand 0:09:38.120 --> 0:09:40.760 the same concept of not treating those symptoms, but treating 0:09:40.800 --> 0:09:43.520 the underlying cause of the things that were terrified. We're 0:09:43.600 --> 0:09:45.520 terrified of all of the institutions right now. Why is that? 0:09:45.840 --> 0:09:48.360 So we have the simplest explanation for what's happened of 0:09:48.400 --> 0:09:50.080 the last time thousand years. So I come from an 0:09:50.120 --> 0:09:52.360 old kin tribe, and once upon a time all of 0:09:52.440 --> 0:09:54.520 us lived in kin tribes, and in a kin tribe, 0:09:54.720 --> 0:09:56.719 the incentive of such that you had kins skin in 0:09:56.760 --> 0:10:00.640 the game, and everybody in your community. You stop genetically 0:10:00.679 --> 0:10:03.319 in your kids, in your grandkids, twenty partent cousins, and 0:10:03.400 --> 0:10:05.520 so it was like it was like a startup and 0:10:06.000 --> 0:10:08.280 you acted, You act on quenty where you have invested interests. 0:10:08.280 --> 0:10:10.120 That worked for a million years until about ten thousand 0:10:10.200 --> 0:10:13.400 years ago, after the diaspora, we remeden global tribes. Uh 0:10:13.440 --> 0:10:15.079 and in a global tribe with no kids skin in 0:10:15.160 --> 0:10:17.559 the game, people focus not on you. They focused on 0:10:17.640 --> 0:10:19.920 themselves as the first priority. So now again there you 0:10:20.040 --> 0:10:23.920 replace kinships with kingships. So stewards of a village were 0:10:24.000 --> 0:10:27.600 replaced by leaders of tyranny. So every mixed society went 0:10:27.640 --> 0:10:30.480 to a tyranny. So by your ten thousand BC, you 0:10:30.600 --> 0:10:33.319 had you know, king tup building pyramid schemes from sous. 0:10:33.360 --> 0:10:35.680 Finally Plato comes out and says, we have a format 0:10:35.720 --> 0:10:38.679 problem here, let's do the republic, let's vote these bombs out. Unfortunately, 0:10:38.800 --> 0:10:41.760 he didn't anticipate that republic leaders would also self deal, 0:10:42.320 --> 0:10:44.560 and so you had corruption, and by year zero all 0:10:44.640 --> 0:10:47.480 the Republican collapse in the nearest right. Um so it 0:10:47.480 --> 0:10:49.960 took about fifte years. You're in the dark ages, you've 0:10:49.960 --> 0:10:53.160 got tyranny of um uh, you know, all sorts of institutions, 0:10:53.440 --> 0:10:57.560 vassal states, feudalism. And then fifteen fifteen hundred we finally 0:10:57.800 --> 0:11:01.319 updated the algorithm, which is a biologic algorithm called Hamilton's rule, 0:11:01.440 --> 0:11:03.840 which is skin of the game with the social algorithm 0:11:03.920 --> 0:11:06.240 called the joint stock company. You can now finally give 0:11:06.280 --> 0:11:09.760 others a steak. But we didn't include labor, which led 0:11:09.800 --> 0:11:13.760 to split of capitalism and socialism. Sods capital was written 0:11:13.800 --> 0:11:16.599 and Mark's thought it was a capital as this you 0:11:16.640 --> 0:11:19.800 know inherent problem right now social things that capitalism um, 0:11:20.000 --> 0:11:22.679 you know is doesn't serve the broad public. Capitalist sying 0:11:22.720 --> 0:11:25.640 social doesn't serve the broad public. In reality, they both 0:11:25.640 --> 0:11:29.199 struggle because of exclusive stakeholding, whereas if you do inclusive stakeholding, 0:11:29.240 --> 0:11:33.160 you internalize the stakeholders, then they would both work. Now 0:11:33.679 --> 0:11:36.960 we also didn't include third world so imperialism and colonialism 0:11:37.120 --> 0:11:41.400 they're all epiphenomen the same thing. Exclusive stakeholding of third 0:11:41.480 --> 0:11:43.840 world and labor, so they let the labor unions now 0:11:44.000 --> 0:11:46.679 silicon values. Major contribution in the world is um, they 0:11:46.720 --> 0:11:49.559 actually included labor. So once you include labor, everybody is 0:11:49.559 --> 0:11:51.800 a stockholder, your co owners again, just like you were 0:11:51.840 --> 0:11:54.199 in the village. So all of a sudden, they self inflated. 0:11:54.200 --> 0:11:58.000 They created unbelievable things because they're all online that go congruous, 0:11:58.040 --> 0:12:00.800 incentives are aligned. The only issue is they didn't include 0:12:01.000 --> 0:12:03.960 users enough as a stakeholder. So now they're creating call 0:12:04.040 --> 0:12:05.959 before Congress. Well, and I want to pick up on 0:12:06.040 --> 0:12:08.920 that because that's such an important point. If you think 0:12:08.960 --> 0:12:12.679 about the Silicon Valley of forty fifty years ago, there 0:12:12.880 --> 0:12:15.960 was this sense that they are creating something for the user, 0:12:16.360 --> 0:12:20.079 and now when we think about Valley, there is a 0:12:20.200 --> 0:12:26.040 sense that the data is the is where the value is. Yeah, exactly, 0:12:26.120 --> 0:12:28.439 So everything kind of becomes a commodified version of itself. 0:12:28.679 --> 0:12:31.040 Like in a kin tribe, you tell the story because 0:12:31.120 --> 0:12:33.360 you want to serve the public, and the post contribe 0:12:33.400 --> 0:12:35.360 you tell the story to promote yourself. So all the 0:12:35.440 --> 0:12:38.880 stories that emerged after the kintribe era are the fake versions. 0:12:38.960 --> 0:12:41.040 They're the ones that are most sellable, but they're not 0:12:41.080 --> 0:12:44.440 actually true. So for instance, UM, in a kin tribe, 0:12:44.600 --> 0:12:46.760 your mom has your best interests in arts. So all 0:12:46.800 --> 0:12:48.360 the food she was giving you was for you. Now 0:12:48.480 --> 0:12:50.599 in the modern era, all the food is to maximize 0:12:51.000 --> 0:12:53.760 profits right of somebody else. Same with information, you just 0:12:53.880 --> 0:12:55.640 be for you and now it's about them. So now 0:12:55.760 --> 0:12:56.920 that the end, you have the race at the bottom. 0:12:56.920 --> 0:12:58.640 If you have one food company put in less sugar, 0:12:58.679 --> 0:13:01.160 another stuff puts in more. If get one media company 0:13:01.240 --> 0:13:03.319 put in less, clicking on another puts in more, so 0:13:03.400 --> 0:13:05.719 you always end up with high fuxiness corn syrup. You 0:13:05.840 --> 0:13:08.120 always end up the Cardassians. You can rerun the simulation 0:13:08.120 --> 0:13:10.320 of civilization. You always have the worst at the bottom 0:13:10.360 --> 0:13:12.280 because that's the race to the bottom line. And then 0:13:12.320 --> 0:13:14.320 what surfaces the power And then we feel like, oh 0:13:14.360 --> 0:13:16.920 my god, we're like we're at the We're kneeling before 0:13:16.960 --> 0:13:21.360 the powerful institutions all over the place, social economic, political ones. So, um, 0:13:21.480 --> 0:13:24.280 I think it's really getting the story right. Um, so 0:13:24.440 --> 0:13:28.960 this helps explain the equality gaps completely, right. Equality inequality 0:13:29.000 --> 0:13:30.959 is an emergent property of the power, right, So the 0:13:31.000 --> 0:13:33.600 way to solve that is to to internalize the stakeholders, 0:13:33.640 --> 0:13:35.840 and the stakeholder could be a sigling one like the environment. 0:13:36.120 --> 0:13:39.040 So if you're a company that doesn't include university stock stockholder, 0:13:39.280 --> 0:13:41.040 then you will probably extract from to and pollute them. 0:13:41.320 --> 0:13:45.280 Um same with like intertemporo imperalism. Roosevelt didn't sufficiently include 0:13:45.600 --> 0:13:48.240 future children as a stakeholder, so again that basically borrowed 0:13:48.240 --> 0:13:50.240 from the future and then leaving them debt. And you know, 0:13:50.320 --> 0:13:52.800 again they just didn't think it through. And that's why 0:13:53.000 --> 0:13:56.120 you have to include all these stakeholders. Be really mindful 0:13:56.320 --> 0:13:58.599 so we don't keep having these whackamore revolutions, just like 0:13:58.640 --> 0:14:02.120 what health care. So that's the solution, because we only 0:14:02.120 --> 0:14:04.280 have about a minute or so. So we have a 0:14:04.360 --> 0:14:06.719 grand challenge on inclusive stakeholding, and we want you to 0:14:06.840 --> 0:14:09.959 tell us how to rewire incentives to create a much 0:14:10.000 --> 0:14:13.000 better future for everyone. So we're proposing we give some ideas. 0:14:13.080 --> 0:14:15.760 Instead of universal basic income, which is a payoff from 0:14:15.760 --> 0:14:17.520 the system that has already caused inequality. We got to 0:14:17.520 --> 0:14:18.839 solve the inequality, and the way to do it is 0:14:19.120 --> 0:14:22.560 universal basic stakeholding. Give everybody stock in the country rather 0:14:22.560 --> 0:14:24.400 than a payout, so it doesn't feel like an extract. 0:14:24.400 --> 0:14:26.320 Do you give everybody stock in the kind of you 0:14:26.360 --> 0:14:28.920 can tokenize it like on blockchain. So just the same 0:14:28.960 --> 0:14:30.360 thing as like, how do you give stock in a 0:14:30.400 --> 0:14:32.680 company just assigned? The mistake? Right, just that I see 0:14:32.720 --> 0:14:35.040 you and here's a stake for you to the same 0:14:35.080 --> 0:14:36.720 thing with health insurance instead of getting paid on a 0:14:36.800 --> 0:14:39.200 one year tinder contract which is fee for service, and 0:14:39.280 --> 0:14:40.840 then they put your on drug and your one year 0:14:40.880 --> 0:14:42.720 older and sicker, and then you're somebody else's problem and 0:14:42.760 --> 0:14:45.360 at six five year the public's problem. That's just you know, 0:14:45.560 --> 0:14:47.400 they're just kicking the can down the road. How about 0:14:47.440 --> 0:14:49.040 you being paid as an insurance company as a one 0:14:49.080 --> 0:14:50.640 in twenty like a hedge fund, get paid a little 0:14:50.640 --> 0:14:52.600 bit of management feel front, and then you get paid 0:14:52.640 --> 0:14:55.040 as a percentage of health savings ten years on the road. 0:14:55.280 --> 0:14:57.720 So as an insurer, now I'm an investor in your health. 0:14:57.920 --> 0:15:00.720 I'll do preventative health and I benef I win as 0:15:00.800 --> 0:15:04.760 you win motif. That's very interesting. All right, You're gonna 0:15:04.760 --> 0:15:06.480 have to come back and see us, uh and let 0:15:06.560 --> 0:15:09.400 us know how this is going. There's a book. Where 0:15:09.400 --> 0:15:11.360 do we find the book? Inclusive stakeholder? You can just 0:15:11.600 --> 0:15:14.240 go go on Amazon, uh, and everything we just talked about, 0:15:14.240 --> 0:15:16.480 it's just a prologue. That's just a prologue, everything else, 0:15:16.520 --> 0:15:18.280 all the other chapters about what you can do from now? 0:15:18.440 --> 0:15:21.560 All right, very very good, really interesting. Dr June, you 0:15:21.680 --> 0:15:24.440 know what a great Friday conversation President of Pelo alto 0:15:24.960 --> 0:15:30.000 investors his idea about inclusive stakeholding. It's radical, but doable.