Natural monopoly Essay Example for Free

Natural monopoly Essay The concept of â€Å"Natural Monopoly† comes from economics. It is a situation in which majority of the portion of market is covered by a single firm or company. The goods, services or products offered by the company covers the maximum portion of the market. A Natural Monopoly is a situation in which the cost of producing the product (goods or services) is lower due to economies of scale. In a situation of Natural Monopoly, there are no close substitutes to offer the same product or services. Economies of scale is a situation or condition in which the cost to a company of producing or supplying each additional unit of a product or service decreases as the volume of output increases. Economies of scale is not the only reason for the existence of monopoly. A Natural Monopoly also exists because of sole access to a particular resource or technology and because of the use of non-market means to eliminate competition, including buying up competitors and colluding with customers or suppliers to discriminate against competitors. A Natural Monopoly also exists even if there are multiple competitors in the market. In such case, the firm which can attain the largest volume of output and the lowest production cost will be called as a Natural Monopoly. All the other firms will have to exit the industry because they are unable to compete on a price basis. Basically, it is very difficult for any competitor to enter the market of natural monopoly because of very high cost of production facilities which includes the cost of infrastructure. There is also a high uncertainty among the intended competitors that they will be able to oust the existing monopolist. Some of the most commonly used examples for natural monopoly are utilities such as water supply system, electric power transmission system, railroads and pipelines. Though it is very difficult for any intended competitor to enter the market of natural monopoly, but it is very important for us to remember that natural monopoly is not permanent. This is because technological advances can lead to the development of new forms of competition for an industry, change its cost structure and affect the demands for its products. For example, canals were once a natural monopoly for bulk transport in parts of Europe and the U. S. , but these monopolies disintegrated during the nineteenth century as a result of the development of railway.

A Study About TK Maxxs Commerce Essay

A Study About TK Maxxs Commerce Essay The first T.K. Maxx opened in Bristol in 1994.[2] T.K. Maxxs United States parent company, T.J. Maxx, adopted the name T.K. Maxx to avoid confusion with the existing but separate discount chain T J Hughes[citation needed]. TK Maxx is part of TJX Europe headed by Paul Sweetenham as SEVP Group President. TJX Europe is split into four divisions: TK Maxx UK Ireland headed by Susanne Given, TK Maxx Germany headed by Gino Barrera, and HomeSense UK headed by Dave Alves. The fourth division is Shared Services which as the title suggests consists of shared services between the three trading divisions such as distribution, logistics, buying and finance. Each trading division has their own Human Resource, Marketing Loss Prevention departments to meet the individual needs of each division. In 2007, TK Maxx began a slowing down of new store openings within the UK. Focus was given to revamping older inner city stores or relocating them. Some of the chains first stores such as Bristol and Reading have been expanded and extensively refurbished while others such as Southampton, Cardiff and Hull have been relocated to bigger sites. As part of the businesses slow down of new stores, TK Maxx confirmed that they were only interested in opening stores averaging 30,000 sq ft. This decision saw the creation of the Maxx Maxx concept, a new department store format that saw TK Maxx get away from its pack it high, sell it cheap reputation into a large store format that sees a much larger product offer. Examples of Maxx Maxx store are Leeds The Headrow, Cardiff, Birmingham Bull Ring, Hammersmith, Manchester Market Street, Dundee Cork. We make daily deliveries to our stores and its essential that our fleet of trucks is as efficient and environmentally responsible as possible. Were working hard on innovative solutions to make our delivery process as green as it can be and here are just some of the ways were doing this already. For the first time ever, we have joined forces with Sainsburys to sell the exclusive Sport Relief T-shirt designed by the whole Beckham family and yes, that includes Brooklyn, Romeo and Cruz. So far, over our 5 year partnership weve raised  £6.3 million for Comic Relief through Red Nose Day. Supporting Sport Relief through selling the T-shirt gives us both another opportunity to contribute financially to this fantastic cause and to grow an even stronger partnership. Half of the money from each T-shirt goes towards helping some of the most vulnerable people in the world so please visit us instore or online to buy your very own fantastic Sport Relief T-shirt. Welfare to work is a scheme designed to get people who have been out of work for a long time back into the workforce. Weve had an initial Education to Employment trial with Action for Children and we are now in the early stages of rolling out a specific programme to further develop this. Weve also extended our five year relationship with Remploy and continue to remain committed to making our own workplace more accessible for people with disabilities. P4 The fundamental economic problem in any society is to provide a set of rules for allocating resources and/or consumption among individuals who cant satisfy their wants, given limited resources. The rules that each economic system provides function within a framework of formal institutions (e.g., laws) and informal institutions (e.g., customs). What and how much will be produced? Literally, billions of different outputs could be produced with societys scarce resources. Some mechanism must exist that differentiates between products to be produced and others that remain as either unexploited inventions or as individuals unfulfilled desires. How will it be produced? There are many ways to produce a desired item. It may be possible to use more labor and less capital, or vice versa. For whom will it be produced? Once a commodity is produced, some mechanism must exist that distributes finished products to the ultimate consumers of the product. The mechanism of distribution for these commodities differs by economic system. P5 Until ten years ago the term Welfare Work was a phrase without meaning in the industrial world. Today it stands for a definite policy on the part of employers which may bring about the solution of many of the vexed problems of labor and capital. The leaven of this policy already has begun to work. A branch of welfare work through which the company has had a great influence on the people and the surroundings of the neighborhood is that of landscape gardening. At the time when welfare work was started the surroundings of the factory were like those of most industrial plants—anything but attractive. After the company has made its own property beautiful with lawns, shrubbery and vines, it taught the people of the neighborhood, by lectures and demonstrations, the principles of landscape gardening. As a result of this campaign of education the factory neighborhood has been change from a region of tumble-down houses, ash heaps and tin cans to a neighborhood of beautiful homes and well kept yards. P6 The impact of Macro-economic (Monetary and Fisca)l Policy on the economy There are some differences in the economic effects of monetary and fiscal policy, on the composition of output, the effectiveness of the two kinds of policy in meeting the governments macroeconomic objectives, and also the time lags involved for fiscal and monetary policy changes to take effect. We will consider each of these in turn: Effects of Policy on the Composition of National Output Monetary policy is often seen as something of a blunt policy instrument affecting all sectors of the economy although in different ways and with a variable impact. In contrast, fiscal policy can be targeted to affect certain groups (e.g. increases in means-tested benefits for low income households, reductions in the rate of corporation tax for small-medium sized enterprises, investment allowances for businesses in certain regions) Consider as an example the effects of using either monetary or fiscal policy to achieve a given increase in national income because actual GDP lies below potential GDP (i.e. there is a negative output gap) Monetary policy expansion: Lower interest rates will lead to an increase in consumer and business capital spending both of which increases national income. Since investment spending results in a larger capital stock, then incomes in the future will also be higher through the impact on LRAS. Fiscal policy expansion: An expansion in fiscal policy (i.e. an increase in government spending) adds directly to AD but if financed by higher government borrowing, this may result in higher interest rates and lower investment. The net result (by adjusting the increase in G) is the same increase in current income. However, since investment spending is lower, the capital stock is lower than it would have been, so that future incomes are lower. In UK lots of multinational organization are operating, Many people from different part of the world also visited in UK for different purposes, if the global economy fall the business of UK based company also fall down. As a result they faces difficulties to earn profit and ultimately the shareholders suffer. P7 Perfect Competition: A market is said to be perfectly competitive when firms perceive that they individually have no noticeable influence on market price. The outcome in such an industry is efficient in the sense that the cost of the last unit of output (marginal cost) would just equal what consumers would be willing to pay for that unit. Perfect competition is a regarded as a benchmark market structure for evaluating other market structures. Market Structure and Competition: The market structures tells us about the environment within which an enterprise functions and the nature of external pressure on the enterprise. The elements of market structure that we look at are concentration ratio, stability of market shares, conditions of entry and exit of firms. FDI Policy Stability of Markets Shares A limitation of the above summary measures of concentration is that they ignore the dynamic changes in the market shares of individual firms. Market shares of dominant firms may increase or decline over time. Greater churning of market shares in given market suggests greater intensity of competition. P8 Market forces and organizational Response: Organizations always responses positively toward market forces. P9 Company Summary: This section presents the key facts figures, business description, and products services offered by the company. Major Competitors: This section first selects the competitors based on assets, sales, focus of business, or geographic reach. Then all the competitors are profiled. Key Business Strategies of Each Competitor: It talks about the current and future strategies of each company. All business, marketing, financial and organizational strategies are discussed here. Comparative SWOT Analysis: Our comparative SWOT analysis is a valuable step in assessing your companys and you competitors strengths, weaknesses, opportunities, and threats. It offers powerful insight into the critical issues affecting a business. Comparative Financial Analysis: This section compares the recent financials of the company and its competitors. The financial performance of each segment of all the companies is also discussed here. The objective is to evaluate the financial health of the company vis-à  -vis its competitors. The stock price comparison helps us in evaluating the performance of the company position versus its competitors from an investors viewpoint. There is an important role for tobacco control advocates in the policy development process in regulatory agencies. P10 The buying and selling of goods and services across national borders is known as international trade. International trade is the backbone of our modern, commercial world, as producers in various nations try to profit from an expanded market, rather than be limited to selling within their own borders. There are many reasons that trade across national borders occurs, including lower production costs in one region versus another, specialized industries, lack or surplus of natural resources and consumer tastes. One of the most controversial components of international trade today is the lower production costs of â€Å"developing† nations. Both the United States and the European Union have imposed severe restrictions on imports from Asian nations to try to stem this tide. Clearly, a company that can pay its workers the equivalent of dollars a day, as compared to dollars an hour, has a distinct selling advantage. P11 Consultation with UK SME representative bodies on domestic and European matters consistently shows that the main issue for their members is regulation. The 2007 EU Observatory Survey found that 36% of SMEs within Europe reported that regulations acted as a constraint or had presented difficulties in the previous two years. Whilst progress has been at the EU level, for example on the promotion of the â€Å"Think Small First† principle and the European Commissions commitment to reduce administrative burdens by 25%, we believe a much more ambitious set of measures should be introduced Another important issue is access to finance, where we believe action should be focused on improving the demand side, in particular investment readiness, and the supply of modest amounts of finance for entrepreneurs who, for various reasons, are deemed to be a higher risk. In order to grow, SME must also have access to new markets. Generally, exporting firms have been found to benefit from greater productivity growth than non-exporters. P12 The UK has to make a decision on membership of EMU in the next two years. The monetary and fiscal regimes in the Euro Area and in the UK do not differ greatly. However, we argue that membership of EMU will increase the stability of the economy and the credibility of the policy framework, and hence will enhance the prospects for growth and higher incomes and employment.

Efficient Market Hypothesis (EMH) History and

Efficient Market Hypothesis (EMH) History and PART 2 EFFICIENCY MARKET HYPOTHESIS Introduction In order to better understand the origin and the idea behind the Efficient Market Hypothesis (EMH), an overview of the EMH, The Random Walk Model, different degrees of information efficiency and the implications of efficient markets for investors are studied in the paper. Efficient Market Hypothesis The efficiency concept is one of the most essential concepts for investment management and analysis. Market efficiency basically revolves around three related assumptions on proper- allocation efficiency, informational efficiency and operational efficiency. Efficiency in allocation is a vital characteristic of a strong market wherein the allocation of capital is done in a proper way so that it benefits all the participants and helps in promotion of economic growth and status. Efficiency in operation is another crucial parameter which is used commonly by economists to determine and analyzes how resources are utilized in the market to benefit operational activities in the market and industry. Efficiency in information helps to determine the actual market value of shares based on its intrinsic value. The Information efficiency signifies that reflection on all available information pertaining to the security’s price must be used to determine the security’s observed market price. (Hossain,Rahman, 2006) The introduction to the idea of market efficiency was given by Bachelier (1900) and later it was termed as efficient market by Fama (1965) Fama (1970) further went on to state the vital conditions/ assumptions for maintaining efficiency: Provision of no transactional costs during the trading of securities; All information is freely available to all the participants in the market, and Agreement of all of them on the implications of the information relating to the current price and future distribution of prices of each security He identified three forms of informational efficiency, which are the weak form(underdeveloped), the semi-strong form(developing) and the strong form efficiency(developed). Forms of Market Efficiency Weak-Form Efficiency Weak form efficiency market implies that it is an efficient market which reflects all its market information accurately and does not provide profit for the investor based on past records or rates. This past records stands invalid for the market. Fama (1970) stipulates in his theory that no investor can avail greater returns when the market is weak-form efficient. Example African economy has a weak efficiency market wherein the means to attain gains on investment is narrow based on past investment experience. Example trading test, auto correlation test and run test. Semi-Strong Form Efficiency Semi Strong Form Efficiency market indicates that market is efficient and it reflects all public information. It says that the stocks are absorbant of all new information and incorporates it by adjusting to it. It is partly like the weak form efficiency market wherein the stocks rate are based upon new information that is released after the stocks are bought. So making it difficult for the market to be predictable. Fama (1970) explains the semi-strong form efficient market as the one where share price not only reflect on all information regarding its past and historic prices, but also includes additional public information which is later on integrated with the shared price and adjusted to reveal the true share value. This also implies that an investor will not be able to use the public information for the generation of gains in the evolving stock market. Event tests and time series/ regression tests are some examples. Strong Form Efficiency The Strong form efficient market relies on both public as well as private information wherein the stock prices are based and reflected upon. So an average investor cannot make much profit more than others also when he is given the new information. It incorporates both the weak form and semi strong form of market efficiency. Private information concerns the information that is not yet published or known only to the security analysts/ fund managers. The new public and private information is then incorporated into the share price to represent its true share value. This makes it even more difficult for the investor to assess share values. Examples are insiders, exchange specialists, institutional money managers and analysts who have access to new information. Fundamental analysis and technical analysis This analysis makes use of analysing and evaluating the financial statements, health of the business, efficiency of the management and their competitive advantages, while also examining the competition in the market. When applied on forex and futures market it uses production, interest rates, earnings, GDP, employment, manufacturing, housing and management analysis. While technical analysis predicts the future of market based on past prices, volume and market information. This is useful for behaviour economics and quantitative analysis. Both these methods of analysis contradict the premise and study made on efficiency market theory which states that study of market with accuracy cannot be determined by any method. Implications of EMH Market efficiency has some prominent implications concerned with both authorities and investors, which are mentioned below: When a market is efficient they must 1. Not worry about analysis on their investments, but concentrate rather on developing a diversified portfolio to get rewarded for their investments. 2. Adopt to the policy of buy and hold after establishing their portfolios as making frequent changing by shifting from one securities group to another would raise for them unwarranted transaction costs. Other implications are based on the fact that changes in price are random and cannot be predicted, investors are smart enough to not get fooled by the financial reports circulated and lastly the timing of security issues are not crucial. Investors must pay more attention to construct and hold diversified and efficient portfolios rather than taking to fundamental and technical analysis. This approach will definitely benefit them in the long run. Empirical Evidences for anomalies The empirical evidence lists some of the significant ‘anomalies which contradict the efficient market theory as listed below: The January Effect It is often noticed that the stock returns raise high abnormally in the first week of January which is defined as the January effect wherein most of the investors opt to sell some of the stocks befor the year end and later claim for a capital loss to evade tax and then go on to make their reinvestments later on. (Rozeff and Kinney, 1976) Size Effect The Size Effect is the small firm’s tendency, which holds a small capital market, to outweigh and surpass the market of larger companies and rise as an underdog over the long term. (Banz, 1981) and (Reinganum, 1981) Weekend Effect This is a notable phenomenon wherein the stock returns are observed to be comparatively lower on Mondays as against those on the preceding Fridays. ( French, 1890).. Value Effect The value effect related to the nature of stocks that hold low cost, earnings ratio to outdo other alternative portfolios of stocks which have higher cost, earnings ratio. Empirical Evidences from Developing Countries Despite huge empirical studies conducted in order to test and validate the Efficient Market Hypothesis in developed countries which witness a flourishing financial market, the pertinent studies on weak efficiency markets are limited in countries like Africa. Most developing and underdeveloped countries suffer a setback due to the problem of thin trading (Mlambo and Biekpe, 2005). Fisher (1966) who first identified this bias due to thin trading on his observation on correlation of return index, stated that the security’s price that are recorded are not similar to their respective underlying values based on theory as when a share trade fails, the recorded price remains the closing price as per the last share trade. It is also stressed that reasons like transactional costs, delay in operations and illiquidity of the market are crucial in determining a concrete statistical evaluation of the study. Bibliography Cohen, W. W., 1996. Learning trees and rules with set valued features. s.l.:s.n.vol1. Fama, E., 1970. Efficient Capital markets: A review of theory and empirical work. 1ed. s.l,American Economic Review. Fisher, R. A., 1966. The design of experiments. 8ed. New York: Hafner publishing. Mikhail, M. W. R., 2004. Do security analysts exhibit persistent Differences in Stock picking ability. s.l.Journal of financial economics. Reiter, S. W. P. F., n.d. Scientific conversations in financial economics. Burlington: Ashgate publishing company.

Mass Communication :: Communication Essay

Mass communication, by definition, is the process in which professional communication using technological devises share messages over great distances to influence large audiences. The technology of modern mass communication results from the confluence of many types of inventions and discoveries, some of which ( the printing press, for instance) actually preceded the Industrial Revolution. Technological ingenuity of the 19th and 20th centuries has developed the newer means of mass communication, particularly broadcasting, without which the present near- global diffusion of printed words, pictures, and sounds would have been impossible. The steam printing press, radio, motion pictures, television, and sound recordings- as well as systems of mass production and distribution- were necessary before public communication, in its present form, might occur. What I would like to discuss now is the actual process of mass communication and how it works. In mass communication, a professional communicator is the source, someone who shares information, ideas, or attitudes with someone else. The source may be an author, a newspaper reporter, a television reporter, or an announcer. The technological devices are the channels, or the means by which the message was sent. An example of this would be that radio and television messages are transmitted via cable and satellite systems. The message is whatever the source attempts to share with another person. In mass communication, the large audience comprises the receivers, the people who are the attended recipients of the message. Occasionally a receiver of the message will sent feedback to the source, that is, a response that allows the source to determine if the message was correctly understood. In mass communication feedback can be conveyed through a letter to the editor, for instance, or a telephone call to a television station. There are several reasons why it is important to understand the process off mass communication. Probably the most important is that by understanding the process of mass communication we will learn to think critically about the messages the media send us. We will become more thoughtful media consumers.

Eating Disorders and Image Essay -- Anorexia Bulimia Health Weight Los

Eating Disorders and Image As humans on this planet we often think about what others think about our appearance. We often, in this society, look at a person through their characteristics such as: looks, height, clarity of skin, and by how fat or thin one appears to be. In the article, The Diet Zone: A Dangerous Place, by Natascha Pocek, she states the fact that, in this society, we put a lot of emphasis on diets and appearing thin. From when we are children we tend to change our views according to the ways of man, and find ways to stay fit or to lose weight. With this constant loss of weight we tend to get into a hole of wanting to be thinner, and in my opinion that want leads to the attempts of so many girls developing some sort of eating disorder. That fact has struck America hard, and Americans try harder to be what the image of the world is telling them to be. This image is to be thinner and prettier than you could possibly imagine. Dieting is a good thing to a point, but when one crosses the line of going to eating disorders, then dieting is not just a way to lose a few pounds. This way of dieting is a death trap. In Pocek’s discussion, she describes her story about the fad diets that she has tried and how they ended up not working for her. Pocek went through period where she would try a diet and either would not be able to follow through with it or the diet would not work for her. When her diets did not work out she would get really upset and try another diet. This method of dieting is common among most Americans today because commercialization is telling people that they will never be good enough unless they are slim. This is seen through the television and many ads that are placed in magazines. Sinc... ...as you keep it under control, dieting is not a bad thing. Pocek says in paragraph 7 of her essay that â€Å"losing weight lies in the power of our minds, not in the power of chemicals† (Pocek 167). Therefore, we have the power to keep our dieting under control. I am for dieting but when it comes to eating more when it says diet, or eating less to lose those numbers on that scale than the line of dieting has been crossed. Sometimes we are blind to seeing that line though, and cross over it daily because of the way America views people as always needing to be thinner. That image is causing thousands of people to feel they will never be good enough. Work Cited Pocek, Natascha. â€Å"The Diet Zone: A Dangerous Place.† Good Reasons with Contemporary Arguments. Ed. Lester Faigley and Jack Selzer. Needham Heights, Massachusetts: Allyn & Bacon, 2001. 164-167. Eating Disorders and Image Essay -- Anorexia Bulimia Health Weight Los Eating Disorders and Image As humans on this planet we often think about what others think about our appearance. We often, in this society, look at a person through their characteristics such as: looks, height, clarity of skin, and by how fat or thin one appears to be. In the article, The Diet Zone: A Dangerous Place, by Natascha Pocek, she states the fact that, in this society, we put a lot of emphasis on diets and appearing thin. From when we are children we tend to change our views according to the ways of man, and find ways to stay fit or to lose weight. With this constant loss of weight we tend to get into a hole of wanting to be thinner, and in my opinion that want leads to the attempts of so many girls developing some sort of eating disorder. That fact has struck America hard, and Americans try harder to be what the image of the world is telling them to be. This image is to be thinner and prettier than you could possibly imagine. Dieting is a good thing to a point, but when one crosses the line of going to eating disorders, then dieting is not just a way to lose a few pounds. This way of dieting is a death trap. In Pocek’s discussion, she describes her story about the fad diets that she has tried and how they ended up not working for her. Pocek went through period where she would try a diet and either would not be able to follow through with it or the diet would not work for her. When her diets did not work out she would get really upset and try another diet. This method of dieting is common among most Americans today because commercialization is telling people that they will never be good enough unless they are slim. This is seen through the television and many ads that are placed in magazines. Sinc... ...as you keep it under control, dieting is not a bad thing. Pocek says in paragraph 7 of her essay that â€Å"losing weight lies in the power of our minds, not in the power of chemicals† (Pocek 167). Therefore, we have the power to keep our dieting under control. I am for dieting but when it comes to eating more when it says diet, or eating less to lose those numbers on that scale than the line of dieting has been crossed. Sometimes we are blind to seeing that line though, and cross over it daily because of the way America views people as always needing to be thinner. That image is causing thousands of people to feel they will never be good enough. Work Cited Pocek, Natascha. â€Å"The Diet Zone: A Dangerous Place.† Good Reasons with Contemporary Arguments. Ed. Lester Faigley and Jack Selzer. Needham Heights, Massachusetts: Allyn & Bacon, 2001. 164-167.

Animal Farm-a political satire :: Animal Farm Essays

The book Animal Farm, is a political satire of a totalitarian society ruled by a mighty dictatorship, in all probability an allegory for the events surrounding the Russian Revolution. The animals of "Manor Farm" overthrow their human master (Mr. Jones) after a long history of mistreatment. Little by little, the pigs become dominant, gaining more power and advantage over the other animals, so much so that they become as corrupt and power-hungry as their predecessors, the humans. Major (an old boar) tells them that the source of all their problems is man, and that they must remove man from their midst for hopes of a Utopia. After Major's death Napoleon and Snowball, two boars led the rebellion where soon things start to change. Orwell builds Napoleon's career in reference to this quote, "Power tends to corrupt and absolute power corrupts absolutely." Napoleon cheated, manipulated, and killed because of greediness for one's place in power. Mr. Jones tries to re claim his power but the animals prevent him from doing so in what they call "The Battle of the Cowshed." After the battle, Napoleon drives Snowball off the farm telling everyone that Snowball was on Mr. Jones' side. This is just the beginning of what Napoleon's plans are for the future of Manor Farm. This is no surprise coming from Napoleon, based on what he has done before, always disagreeing with Snowballs plans and thinking of his own. Napoleon is further appreciated by the other animals for exposing and removing the traitor, Snowball, from their midst. Napoleon now is on the midst of gaining more power then he could possibly handle. On one part, he didn't get this power fairly in the first place. Napoleon didn't do much while Snowball was around, so when Napoleon thought that the pigs were becoming corrupt bye Snowball. The theme in Animal Farm maintains that in every society there are leaders who, if given the opportunity, will likely abuse their power. The pigs, the most intelligent of the animals, gain control to make wise decision against the humans, but in turn they turn against each other. In one part of the book Napoleon had used the dogs to kill what he believed were the traitors at Manor Farm. Some of the pigs had confessed to being apart of Snowballs plans and having something to do with the neighboring farms, so Napoleon had them all killed in front of all the other animals.

The Da Vinci Code Chapter 56-59

CHAPTER 56 Sophie stared at Teabing a long moment and then turned to Langdon. â€Å"The Holy Grail is a person?† Langdon nodded. â€Å"A woman, in fact.† From the blank look on Sophie's face, Langdon could tell they had already lost her. He recalled having a similar reaction the first time he heard the statement. It was not until he understood the symbology behind the Grail that the feminine connection became clear. Teabing apparently had a similar thought. â€Å"Robert, perhaps this is the moment for the symbologist to clarify?† He went to a nearby end table, found a piece of paper, and laid it in front of Langdon. Langdon pulled a pen from his pocket. â€Å"Sophie, are you familiar with the modern icons for male and female?† He drew the common male symbol The Da Vinci Code The Da Vinci Code â€Å"Of course,† she said. â€Å"These,† he said quietly,† are not the original symbols for male and female. Many people incorrectly assume the male symbol is derived from a shield and spear, while the female symbol represents a mirror reflecting beauty. In fact, the symbols originated as ancient astronomical symbols for the planet-god Mars and planet-goddess Venus. The original symbols are far simpler.† Langdon drew another icon on the paper. The Da Vinci Code â€Å"This symbol is the original icon for male,†he told her. â€Å"A rudimentary phallus.† â€Å"Quite to the point,† Sophie said. â€Å"As it were,† Teabing added. Langdon went on. â€Å"This icon is formally known as the blade, and it represents aggression and manhood. In fact, this exact phallus symbol is still used today on modern military uniforms to denote rank.† â€Å"Indeed.† Teabing grinned. â€Å"The more penises you have, the higher your rank. Boys will be boys.† Langdon winced. â€Å"Moving on, the female symbol, as you might imagine, is the exact opposite.† He drew another symbol on the page. â€Å"This is called the chalice.† The Da Vinci Code Sophie glanced up, looking surprised. Langdon could see she had made the connection. â€Å"The chalice,† he said,† resembles a cup or vessel, and more important, it resembles the shape of a woman's womb. This symbol communicates femininity, womanhood, and fertility.† Langdon looked directly at her now.† Sophie, legend tells us the Holy Grail is a chalice – a cup. But the Grail's description as a chaliceis actually an allegory to protect the true nature of the Holy Grail. That is to say, the legend uses the chalice as a metaphor for something far more important.† â€Å"A woman,† Sophie said. â€Å"Exactly.† Langdon smiled. â€Å"The Grail is literally the ancient symbol for womanhood, and the Holy Grail represents the sacred feminine and the goddess, which of course has now been lost, virtually eliminated by the Church. The power of the female and her ability to produce life was once very sacred, but it posed a threat to the rise of the predominantly male Church, and so the sacred feminine was demonized and called unclean. It was man, not God, who created the concept of â€Å"original sin,† whereby Eve tasted of the apple and caused the downfall of the human race. Woman, once the sacred giver of life, was now the enemy.† â€Å"I should add,† Teabing chimed,† that this concept of woman as life-bringer was the foundation of ancient religion. Childbirth was mystical and powerful. Sadly, Christian philosophy decided to embezzle the female's creative power by ignoring biological truth and making man the Creator. Genesis tells us that Eve was created from Adam's rib. Woman became an offshoot of man. And a sinful one at that. Genesis was the beginning of the end for the goddess.† â€Å"The Grail,† Langdon said,† is symbolic of the lost goddess. When Christianity came along, the old pagan religions did not die easily. Legends of chivalric quests for the lost Grail were in fact stories of forbidden quests to find the lost sacred feminine. Knights who claimed to be† searching for the chalice† were speaking in code as a way to protect themselves from a Church that had subjugated women, banished the Goddess, burned nonbelievers, and forbidden the pagan reverence for the sacred feminine.† Sophie shook her head. â€Å"I'm sorry, when you said the Holy Grail was a person, I thought you meant it was an actual person.† â€Å"It is,† Langdon said. â€Å"And not just any person,† Teabing blurted, clambering excitedly to his feet. â€Å"A woman who carried with her a secret so powerful that, if revealed, it threatened to devastate the very foundation of Christianity!† Sophie looked overwhelmed. â€Å"Is this woman well known in history?† â€Å"Quite.† Teabing collected his crutches and motioned down the hall. â€Å"And if we adjourn to the study, my friends, it would be my honor to show you Da Vinci's painting of her.† Two rooms away, in the kitchen, manservant Remy Legaludec stood in silence before a television. The news station was broadcasting photos of a man and woman†¦ the same two individuals to whom Remy had just served tea. CHAPTER 57 Standing at the roadblock outside the Depository Bank of Zurich, Lieutenant Collet wondered what was taking Fache so long to come up with the search warrant. The bankers were obviously hiding something. They claimed Langdon and Neveu had arrived earlier and were turned away from the bank because they did not have proper account identification. So why won't they let us inside for a look? Finally, Collet's cellular phone rang. It was the command post at the Louvre. â€Å"Do we have a search warrant yet?† Collet demanded. â€Å"Forget about the bank, Lieutenant,† the agent told him. â€Å"We just got a tip. We have the exact location where Langdon and Neveu are hiding.† Collet sat down hard on the hood of his car. â€Å"You're kidding.† â€Å"I have an address in the suburbs. Somewhere near Versailles.† â€Å"Does Captain Fache know?† â€Å"Not yet. He's busy on an important call.† â€Å"I'm on my way. Have him call as soon as he's free.† Collet took down the address and jumped in his car. As he peeled away from the bank, Collet realized he had forgotten to ask who had tipped DCPJ off to Langdon's location. Not that it mattered. Collet had been blessed with a chance to redeem his skepticism and earlier blunders. He was about to make the most high-profile arrest of his career. Collet radioed the five cars accompanying him. â€Å"No sirens, men. Langdon can't know we're coming.† Forty kilometers away, a black Audi pulled off a rural road and parked in the shadows on the edge of a field. Silas got out and peered through the rungs of the wrought-iron fence that encircled the vast compound before him. He gazed up the long moonlit slope to the chateau in the distance. The downstairs lights were all ablaze. Odd for this hour, Silas thought, smiling. The information the Teacher had given him was obviously accurate. I will not leave this house without the keystone, he vowed. I will not fail the bishop and the Teacher. Checking the thirteen-round clip in his Heckler Koch, Silas pushed it through the bars and let it fall onto the mossy ground inside the compound. Then, gripping the top of the fence, he heaved himself up and over, dropping to the ground on the other side. Ignoring the slash of pain from his cilice, Silas retrieved his gun and began the long trek up the grassy slope. CHAPTER 58 Teabing's† study† was like no study Sophie had ever seen. Six or seven times larger than even the most luxurious of office spaces, the knight's cabinet de travail resembled an ungainly hybrid of science laboratory, archival library, and indoor flea market. Lit by three overhead chandeliers, the boundless tile floor was dotted with clustered islands of worktables buried beneath books, artwork, artifacts, and a surprising amount of electronic gear – computers, projectors, microscopes, copy machines, and flatbed scanners. â€Å"I converted the ballroom,† Teabing said, looking sheepish as he shuffled into the room. â€Å"I have little occasion to dance.† Sophie felt as if the entire night had become some kind of twilight zone where nothing was as she expected. â€Å"This is all for your work?† â€Å"Learning the truth has become my life's love,† Teabing said. â€Å"And the Sangreal is my favorite mistress.† The Holy Grail is a woman, Sophie thought, her mind a collage of interrelated ideas that seemed to make no sense. â€Å"You said you have a picture of this woman who you claim is the Holy Grail.† â€Å"Yes, but it is not I who claim she is the Grail. Christ Himself made that claim.† â€Å"Which one is the painting?† Sophie asked, scanning the walls.† Hmmm†¦Ã¢â‚¬  Teabing made a show of seeming to have forgotten. â€Å"The Holy Grail. The Sangreal. The Chalice.† He wheeled suddenly and pointed to the far wall. On it hung an eight-foot-long print of The Last Supper, the same exact image Sophie had just been looking at. â€Å"There she is!† Sophie was certain she had missed something. â€Å"That's the same painting you just showed me.† He winked. â€Å"I know, but the enlargement is so much more exciting. Don't you think?† Sophie turned to Langdon for help. â€Å"I'm lost.† Langdon smiled. â€Å"As it turns out, the Holy Grail does indeed make an appearance in The LastSupper.Leonardo included her prominently.† â€Å"Hold on,† Sophie said. â€Å"You told me the Holy Grail is a woman.The Last Supper is a painting of thirteen men.† â€Å"Is it?† Teabing arched his eyebrows. â€Å"Take a closer look.† Uncertain, Sophie made her way closer to the painting, scanning the thirteen figures – Jesus Christ in the middle, six disciples on His left, and six on His right. â€Å"They're all men,† she confirmed. â€Å"Oh?† Teabing said. â€Å"How about the one seated in the place of honor, at the right hand of the Lord?† Sophie examined the figure to Jesus' immediate right, focusing in. As she studied the person's face and body, a wave of astonishment rose within her. The individual had flowing red hair, delicate folded hands, and the hint of a bosom. It was, without a doubt†¦ female. â€Å"That's a woman!† Sophie exclaimed. Teabing was laughing. â€Å"Surprise, surprise. Believe me, it's no mistake. Leonardo was skilled at painting the difference between the sexes.† Sophie could not take her eyes from the woman beside Christ. The Last Supper is supposed to be thirteen men.Who is this woman? Although Sophie had seen this classic image many times, she had not once noticed this glaring discrepancy. â€Å"Everyone misses it,† Teabing said. â€Å"Our preconceived notions of this scene are so powerful that our mind blocks out the incongruity and overrides our eyes.† â€Å"It's known as skitoma,†Langdon added. â€Å"The brain does it sometimes with powerful symbols.† â€Å"Another reason you might have missed the woman,† Teabing said,† is that many of the photographs in art books were taken before 1954, when the details were still hidden beneath layers of grime and several restorative repaintings done by clumsy hands in the eighteenth century. Now, at last, the fresco has been cleaned down to Da Vinci's original layer of paint.† He motioned to the photograph. â€Å"Et voila!† Sophie moved closer to the image. The woman to Jesus' right was young and pious-looking, with a demure face, beautiful red hair, and hands folded quietly. This is the woman who singlehandedly could crumble the Church? â€Å"Who is she?† Sophie asked. â€Å"That, my dear,† Teabing replied,† is Mary Magdalene.† Sophie turned. â€Å"The prostitute?† Teabing drew a short breath, as if the word had injured him personally. â€Å"Magdalene was no such thing. That unfortunate misconception is the legacy of a smear campaign launched by the early Church. The Church needed to defame Mary Magdalene in order to cover up her dangerous secret – her role as the Holy Grail.† â€Å"Her role?† â€Å"As I mentioned,† Teabing clarified,† the early Church needed to convince the world that the mortal prophet Jesus was a divine being. Therefore, any gospels that described earthly aspects of Jesus' life had to be omitted from the Bible. Unfortunately for the early editors, one particularly troubling earthly theme kept recurring in the gospels. Mary Magdalene.† He paused. â€Å"More specifically, her marriage to Jesus Christ.† â€Å"I beg your pardon?† Sophie's eyes moved to Langdon and then back to Teabing. â€Å"It's a matter of historical record,† Teabing said,† and Da Vinci was certainly aware of that fact. The Last Supper practically shouts at the viewer that Jesus and Magdalene were a pair.† Sophie glanced back to the fresco. â€Å"Notice that Jesus and Magdalene are clothed as mirror images of one another.† Teabing pointed to the two individuals in the center of the fresco. Sophie was mesmerized. Sure enough, their clothes were inverse colors. Jesus wore a red robe and blue cloak; Mary Magdalene wore a blue robe and red cloak. Yin and yang. â€Å"Venturing into the more bizarre,† Teabing said,† note that Jesus and His bride appear to be joined at the hip and are leaning away from one another as if to create this clearly delineated negative space between them.† Even before Teabing traced the contour for her, Sophie saw it – the indisputable V shape at the focal point of the painting. It was the same symbol Langdon had drawn earlier for the Grail, the chalice, and the female womb. â€Å"Finally,† Teabing said,† if you view Jesus and Magdalene as compositional elements rather than as people, you will see another obvious shape leap out at you.† He paused. â€Å"A letter of the alphabet.† Sophie saw it at once. To say the letter leapt out at her was an understatement. The letter was suddenly all Sophie could see. Glaring in the center of the painting was the unquestionable outline of an enormous, flawlessly formed letter M. â€Å"A bit too perfect for coincidence, wouldn't you say?† Teabing asked. Sophie was amazed. â€Å"Why is it there?† Teabing shrugged. â€Å"Conspiracy theorists will tell you it stands for Matrimonio or Mary Magdalene. To be honest, nobody is certain. The only certainty is that the hidden M is no mistake. Countless Grail-related works contain the hidden letter M – whether as watermarks, underpaintings, or compositional allusions. The most blatant M, of course, is emblazoned on the altar at Our Lady of Paris in London, which was designed by a former Grand Master of the Priory of Sion, Jean Cocteau.† Sophie weighed the information. â€Å"I'll admit, the hidden M's are intriguing, although I assume nobody is claiming they are proof of Jesus' marriage to Magdalene.† â€Å"No, no,† Teabing said, going to a nearby table of books. â€Å"As I said earlier, the marriage of Jesus and Mary Magdalene is part of the historical record.† He began pawing through his book collection. â€Å"Moreover, Jesus as a married man makes infinitely more sense than our standard biblical view of Jesus as a bachelor.† â€Å"Why?† Sophie asked. â€Å"Because Jesus was a Jew,† Langdon said, taking over while Teabing searched for his book,† and the social decorum during that time virtually forbid a Jewish man to be unmarried. According to Jewish custom, celibacy was condemned, and the obligation for a Jewish father was to find a suitable wife for his son. If Jesus were not married, at least one of the Bible's gospels would have mentioned it and offered some explanation for His unnatural state of bachelorhood.† Teabing located a huge book and pulled it toward him across the table. The leather-bound edition was poster-sized, like a huge atlas. The cover read: The Gnostic Gospels.Teabing heaved it open, and Langdon and Sophie joined him. Sophie could see it contained photographs of what appeared to be magnified passages of ancient documents – tattered papyrus with handwritten text. She did not recognize the ancient language, but the facing pages bore typed translations. â€Å"These are photocopies of the Nag Hammadi and Dead Sea scrolls, which I mentioned earlier,† Teabing said. â€Å"The earliest Christian records. Troublingly, they do not match up with the gospels in the Bible.† Flipping toward the middle of the book, Teabing pointed to a passage. â€Å"The Gospel of Philip is always a good place to start.† Sophie read the passage: And the companion of the Saviour is Mary Magdalene. Christ loved her more than all the disciples and used to kiss her often on her mouth. The rest of the disciples were offended by it and expressed disapproval. They said to him,† Why do you love her more than all of us?† The words surprised Sophie, and yet they hardly seemed conclusive. â€Å"It says nothing of marriage.† â€Å"Au contraire.† Teabing smiled, pointing to the first line. â€Å"As any Aramaic scholar will tell you, the word companion, in those days, literally meant spouse.† Langdon concurred with a nod. Sophie read the first line again. And the companion of the Saviour is Mary Magdalene. Teabing flipped through the book and pointed out several other passages that, to Sophie's surprise, clearly suggested Magdalene and Jesus had a romantic relationship. As she read the passages, Sophie recalled an angry priest who had banged on her grandfather's door when she was a schoolgirl. â€Å"Is this the home of Jacques Sauniere?† the priest had demanded, glaring down at young Sophie when she pulled open the door. â€Å"I want to talk to him about this editorial he wrote.† The priest held up a newspaper. Sophie summoned her grandfather, and the two men disappeared into his study and closed the door. My grandfather wrote something in the paper? Sophie immediately ran to the kitchen and flipped through that morning's paper. She found her grandfather's name on an article on the second page. She read it. Sophie didn't understand all of what was said, but it sounded like the French government, under pressure from priests, had agreed to ban an American movie called The Last Temptation of Christ, which was about Jesus having sex with a lady called Mary Magdalene. Her grandfather's article said the Church was arrogant and wrong to ban it. No wonder the priest is mad, Sophie thought. â€Å"It's pornography! Sacrilege!† the priest yelled, emerging from the study and storming to the front door. â€Å"How can you possibly endorse that! This American Martin Scorsese is a blasphemer, and the Church will permit him no pulpit in France!† The priest slammed the door on his way out. When her grandfather came into the kitchen, he saw Sophie with the paper and frowned. â€Å"You're quick.† Sophie said,† You think Jesus Christ had a girlfriend?† â€Å"No, dear, I said the Church should not be allowed to tell us what notions we can and can't entertain.† â€Å"Did Jesus have a girlfriend?† Her grandfather was silent for several moments. â€Å"Would it be so bad if He did?† Sophie considered it and then shrugged. â€Å"I wouldn't mind.† Sir Leigh Teabing was still talking. â€Å"I shan't bore you with the countless references to Jesus and Magdalene's union. That has been explored ad nauseum by modern historians. I would, however, like to point out the following.† He motioned to another passage. â€Å"This is from the Gospel of Mary Magdalene.† Sophie had not known a gospel existed in Magdalene's words. She read the text: And Peter said,† Did the Saviour really speak with a woman without our knowledge? Are we to turn about and all listen to her? Did he prefer her to us?† And Levi answered,† Peter, you have always been hot-tempered. Now I see you contending against the woman like an adversary. If the Saviour made her worthy, who are you indeed to reject her? Surely the Saviour knows her very well. That is why he loved her more than us.† â€Å"The woman they are speaking of,† Teabing explained,† is Mary Magdalene. Peter is jealous of her.† â€Å"Because Jesus preferred Mary?† â€Å"Not only that. The stakes were far greater than mere affection. At this point in the gospels, Jesus suspects He will soon be captured and crucified. So He gives Mary Magdalene instructions on how to carry on His Church after He is gone. As a result, Peter expresses his discontent over playing second fiddle to a woman. I daresay Peter was something of a sexist.† Sophie was trying to keep up. â€Å"This is Saint Peter. The rock on which Jesus built His Church.† â€Å"The same, except for one catch. According to these unaltered gospels, it was not Peter to whom Christ gave directions with which to establish the Christian Church. It was Mary Magdalene.† Sophie looked at him. â€Å"You're saying the Christian Church was to be carried on by a woman?† â€Å"That was the plan. Jesus was the original feminist. He intended for the future of His Church to be in the hands of Mary Magdalene.† â€Å"And Peter had a problem with that,† Langdon said, pointing to The Last Supper. â€Å"That's Peter there. You can see that Da Vinci was well aware of how Peter felt about Mary Magdalene.† Again, Sophie was speechless. In the painting, Peter was leaning menacingly toward Mary Magdalene and slicing his blade-like hand across her neck. The same threatening gesture as in Madonna of the Rocks! â€Å"And here too,† Langdon said, pointing now to the crowd of disciples near Peter. â€Å"A bit ominous, no?† Sophie squinted and saw a hand emerging from the crowd of disciples. â€Å"Is that hand wielding a dagger?† â€Å"Yes. Stranger still, if you count the arms, you'll see that this hand belongs to†¦ no one at all. It's disembodied. Anonymous.† Sophie was starting to feel overwhelmed. â€Å"I'm sorry, I still don't understand how all of this makes Mary Magdalene the Holy Grail.† â€Å"Aha!† Teabing exclaimed again. â€Å"Therein lies the rub!† He turned once more to the table and pulled out a large chart, spreading it out for her. It was an elaborate genealogy. â€Å"Few people realize that Mary Magdalene, in addition to being Christ's right hand, was a powerful woman already.† Sophie could now see the title of the family tree. THE TRIBE OF BENJAMIN â€Å"Mary Magdalene is here,† Teabing said, pointing near the top of the genealogy. Sophie was surprised. â€Å"She was of the House of Benjamin?† â€Å"Indeed,† Teabing said. â€Å"Mary Magdalene was of royal descent.† â€Å"But I was under the impression Magdalene was poor.† Teabing shook his head. â€Å"Magdalene was recast as a whore in order to erase evidence of her powerful family ties.† Sophie found herself again glancing at Langdon, who again nodded. She turned back to Teabing. â€Å"But why would the early Church care if Magdalene had royal blood?† The Briton smiled. â€Å"My dear child, it was not Mary Magdalene's royal blood that concerned the Church so much as it was her consorting with Christ, who also had royal blood. As you know, the Book of Matthew tells us that Jesus was of the House of David. A descendant of King Solomon – King of the Jews. By marrying into the powerful House of Benjamin, Jesus fused two royal bloodlines, creating a potent political union with the potential of making a legitimate claim to the throne and restoring the line of kings as it was under Solomon.† Sophie sensed he was at last coming to his point. Teabing looked excited now. â€Å"The legend of the Holy Grail is a legend about royal blood. When Grail legend speaks of ‘the chalice that held the blood of Christ'†¦ it speaks, in fact, of Mary Magdalene – the female womb that carried Jesus' royal bloodline.† The words seemed to echo across the ballroom and back before they fully registered in Sophie's mind. Mary Magdalene carried the royal bloodline of Jesus Christ?† But how could Christ have a bloodline unless†¦ ?† She paused and looked at Langdon. Langdon smiled softly. â€Å"Unless they had a child.† Sophie stood transfixed.† Behold,† Teabing proclaimed,† the greatest cover-up in human history. Not only was Jesus Christ married, but He was a father. My dear, Mary Magdalene was the Holy Vessel. She was the chalice that bore the royal bloodline of Jesus Christ. She was the womb that bore the lineage, and the vine from which the sacred fruit sprang forth!† Sophie felt the hairs stand up on her arms. â€Å"But how could a secret that big be kept quiet all of these years?† â€Å"Heavens!† Teabing said. â€Å"It has been anything but quiet! The royal bloodline of Jesus Christ is the source of the most enduring legend of all time – the Holy Grail. Magdalene's story has been shouted from the rooftops for centuries in all kinds of metaphors and languages. Her story is everywhere once you open your eyes.† â€Å"And the Sangreal documents?† Sophie said. â€Å"They allegedly contain proof that Jesus had a royal bloodline?† â€Å"They do.† â€Å"So the entire Holy Grail legend is all about royal blood?† â€Å"Quite literally,† Teabing said. â€Å"The word Sangreal derives from San Greal – or Holy Grail. But in its most ancient form, the word Sangreal was divided in a different spot.† Teabing wrote on a piece of scrap paper and handed it to her. She read what he had written. Sang Real Instantly, Sophie recognized the translation. Sang Real literally meant Royal Blood. CHAPTER 59 The male receptionist in the lobby of the Opus Dei headquarters on Lexington Avenue in New York City was surprised to hear Bishop Aringarosa's voice on the line. â€Å"Good evening, sir.† â€Å"Have I had any messages?† the bishop demanded, sounding unusually anxious.† Yes, sir. I'm very glad you called in. I couldn't reach you in your apartment. You had an urgent phone message about half an hour ago.† â€Å"Yes?† He sounded relieved by the news. â€Å"Did the caller leave a name?† â€Å"No, sir, just a number.† The operator relayed the number. â€Å"Prefix thirty-three? That's France, am I right?† â€Å"Yes, sir. Paris. The caller said it was critical you contact him immediately.† â€Å"Thank you. I have been waiting for that call.† Aringarosa quickly severed the connection. As the receptionist hung up the receiver, he wondered why Aringarosa's phone connection sounded so crackly. The bishop's daily schedule showed him in New York this weekend, and yet he sounded a world away. The receptionist shrugged it off. Bishop Aringarosa had been acting very strangely the last few months. My cellular phone must not have been receiving, Aringarosa thought as the Fiat approached the exit for Rome's Ciampino Charter Airport. The Teacher was trying to reach me.Despite Aringarosa's concern at having missed the call, he felt encouraged that the Teacher felt confident enough to call Opus Dei headquarters directly. Things must have gone well in Paris tonight. As Aringarosa began dialing the number, he felt excited to know he would soon be in Paris. I'll beon the ground before dawn.Aringarosa had a chartered turbo prop awaiting him here for the short flight to France. Commercial carriers were not an option at this hour, especially considering the contents of his briefcase. The line began to ring. A female voice answered. â€Å"Direction Centrale Police Judidaire.† Aringarosa felt himself hesitate. This was unexpected. â€Å"Ah, yes†¦ I was asked to call this number?† â€Å"Qui etes-vous?† the woman said. â€Å"Your name?† Aringarosa was uncertain if he should reveal it. The French Judicial Police? â€Å"Your name, monsieur?† the woman pressed. â€Å"Bishop Manuel Aringarosa.† â€Å"Un moment.† There was a click on the line. After a long wait, another man came on, his tone gruff and concerned. â€Å"Bishop, I am glad I finally reached you. You and I have much to discuss.†