Most homes have some sort of carpet in them, and carpets run from dollar store items to those worth hundreds of thousands of dollars. If you are interested in the upper end, the book The Carpet Wars by Christopher Kremmer, published by Harper Canada, Toronto, 2002 is an interesting read. The famed Silk Road from China to Europe leads through the area of Afghanistan and for the past 2500 years, carpet making has been going on, it was the work of women. The skills being passed from mother to daughter and part of the reason for doing the trade was a good weaver is a good marriage prospect. The other part was for income and clothing for the family.
There are many stories in the book and an early one is Mr. Kremmer early days in Kabul – he ended up buying carpets and the dealer gave him two receipts – one for the government which lower the price of the carpet; the other for the next person who may buy or value the rug – the value was higher. Although the prices were within what could be determined as reasonable; one can easily imagine what would happen if the original agreed price was in the thousands.
Using the Silk Road as his guide and carpet making as his entrance point to conversations, Mr. Kremmer discusses the history of the region. To look at carpets is not to look at a floor covering it is a piece of art. The religion of the area does not welcome paintings, so the next best thing is the art and beauty of the carpet – brimming with human, animal and vegetable life forms. The ruling was because carpets and pillows are stepped on, sat on or leaned on these are deprecatory acts, the images of life forms is ok to be on a carpet. As such they can be priced for two things – as pieces of art and pieces for the home.
Linking to dividend paying stocks, for century’s people and been making and selling carpets, some have gone up in value, depending on the knots per sq in, the homemade dyes, the quality and picture. It takes a good eye and expertise to know what is good and what is not likely to go up in value. Similarly, with investing by keeping it simple – what is good – companies making profits to pay dividends. These companies will pay you two ways – the dividend and the capital gain as well as enabling you to look to the future with hope.
There are more questions than answers, till the next time – to raising questions