diff --git a/docs/training/corpus/Layer_1--Worked_Examples/CORPUS-0008-material-redirection-timber.md b/docs/training/corpus/Layer_1--Worked_Examples/CORPUS-0008-material-redirection-timber.md new file mode 100644 index 0000000..67a09d4 --- /dev/null +++ b/docs/training/corpus/Layer_1--Worked_Examples/CORPUS-0008-material-redirection-timber.md @@ -0,0 +1,178 @@ +# CORPUS-0008 +## Material Redirection: Timber +### Status: Training Corpus Seed +### Layer: Layer_1--Worked_Examples +### Purpose: Teach that a material may gain or lose value when redirected from one use to another +### Repository Path: docs/training/corpus/Layer_1--Worked_Examples/CORPUS-0008-material-redirection-timber.md + +--- + +## 0. Scenario + +A trader in Ostia learns that a stack of timber was originally priced for ordinary building work. + +A new need appears: cart repairs in Capua require straight, dry boards. + +The timber has not changed physically. + +Its possible use has changed. + +The trader must decide whether the timber is still only construction material, or whether its higher-value use changes the opportunity. + +--- + +## 1. Known Facts + +| Fact | Value | +|---|---| +| Location of timber | Ostia | +| Original intended use | ordinary construction | +| New possible use | cart repair stock in Capua | +| Timber condition | dry, straight boards | +| Original local value | 30 asses | +| Expected Capua repair-use value | 48 asses | +| Movement and handling cost | 10 asses | + +Expected result if redirected: + +```text +sale value: 48 asses +total cost: 30 + 10 = 40 asses +expected profit: 8 asses +``` + +The profit comes from changed use, not changed material. + +--- + +## 2. First Incorrect Interpretation + +A weak model may reason: + +> The timber is construction timber, so it should be valued only as construction timber. + +This misses the opportunity. + +The trader must ask what the timber can become under current conditions. + +--- + +## 3. Use-Value Comparison + +| Use | Value | Notes | +|---|---:|---| +| local construction | 30 asses | ordinary use | +| cart repair stock in Capua | 48 asses | higher urgency | +| fuel | lower | poor use for good boards | +| storage for later | uncertain | ties up capital | + +The same physical material has different values depending on use. + +--- + +## 4. Cost And Transformation Questions + +The trader must ask: + +- is the timber dry enough? +- is it straight enough? +- can it fit cart repair needs? +- who can cut or shape it? +- does transformation require extra cost? +- will Capua buyers pay for boards or finished parts? +- does transport damage reduce value? +- will a rival buy it first? + +The higher-value use exists only if the material actually fits the need. + +--- + +## 5. Variant A — Timber Fits Repair Need + +The boards are dry and suitable. + +```text +sale value = 48 asses +total cost = 40 asses +result = 8 asses profit +``` + +The redirection succeeds. + +--- + +## 6. Variant B — Timber Needs Extra Shaping + +A craftsman must shape the boards before sale. + +Additional cost: 6 asses. + +```text +sale value = 48 asses +total cost = 46 asses +result = 2 asses profit +``` + +The opportunity remains, but the margin is narrow. + +--- + +## 7. Variant C — Timber Misjudged + +The boards are not suitable for cart repair. + +They sell only as ordinary timber in Capua for 34 asses. + +```text +sale value = 34 asses +total cost = 40 asses +result = 6 asses loss +``` + +The trader misread possible use. + +--- + +## 8. Correct Model Behavior + +The model should reason: + +- material value depends on possible use +- original intended use does not fix final value +- higher-value use may require quality, skill, and timing +- transformation cost must be counted +- misjudging suitability can create loss +- redirection is an opportunity only when the material fits the new need + +--- + +## 9. Incorrect Model Behavior + +The model should not: + +- treat timber as having one fixed value +- assume all timber fits every use +- ignore quality differences +- ignore shaping or preparation cost +- ignore transport cost +- assume emergency demand guarantees profit +- confuse possible value with certain sale value + +--- + +## 10. Layer-0 Concepts Used + +This example uses: + +- `CORPUS-0002-goods-have-local-prices` +- `CORPUS-0004-cost-includes-more-than-purchase-price` +- `CORPUS-0005-profit-is-sale-minus-total-cost` +- `CORPUS-0012-every-venture-risks-loss` +- `CORPUS-0015-materials-can-change-value-through-use` +- `CORPUS-0018-rivalry-changes-conditions` + +--- + +## 11. Success Condition + +If the model sees timber and asks not only what it is, but what it can become, what that transformation costs, and whether the material fits the higher-value use, this file is functioning correctly.