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 £45 per annum for the unused brewery.Why 9,000 years? Why not 9 million? Weird. I bet £45 was a rip off for several years, but I don't know of an inflation calculator that goes that far back. Beer being one of the most important products in history, the industry has many different econ lessons for us.
Friday, May 23, 2008
Infinite Time Horizon and Guinness Beer
Sometimes the writers of the contract should read the fine print. Summarized by Wikipedia: