Wednesday, July 4, 2012

The Obamacare Ruling, Part 1

So I'm about half way through the Obamacare ruling - so far, I've gotten through the Roberts opinion and the Ginsburg opinion. My thoughts on the relative merits of the cases may change when I read through the dissenters.

A couple of thoughts on what I've read so far.

First, there is a marked contrast in how much the different opinions seem to opine on the merits of the law. Here's Roberts take, at page 59 of the PDF:
The Framers created a Federal Government of limited powers, and assigned to this  Court the duty of enforcing those limits. The Court does so today. But the Court does not express any opinion on the wisdom of the Affordable Care Act.  Under the Constitution, that judgment is reserved to the people.
By contrast, Ginsburg's opinions have an irritating habit of inserting thinly disguised editorialising about her support of the laws in question as a matter of policy. From page 74 of the PDF:
To make its chosen approach work, however, Congress had to use some new tools, including a requirement that most individuals obtain private health insurance coverage. See 26 U. S. C. §5000A (2006 ed., Supp. IV) (the minimum coverage provision). As explained below, by employing these tools, Congress was able to achieve a practical, altogether reasonable, solution.
I guess she didn't get the Roberts memo about not expressing any opinions on the wisdom of the legislation.

Here's Ginsburg, dishonestly repeating one of the classic talking points of the left about healthcare, from page 70 of the PDF:
Not all U. S. residents, however, have health insurance. In 2009, approximately 50 million people were uninsured, either by choice or, more likely, because they could not afford private insurance and did not qualify for government aid.
The Census estimate was 46 million, but what's a few million between friends. And out of this number,  (by the Politifact estimate) at least 15% of those 'residents' don't have health insurance because they're illegal aliens who shouldn't be in the country in the first place. To describe their problem as being one of 'not qualifying for government aid' is deliberately disingenuous.

But what is most egregious about the Ginsburg opinion is the reliance it makes on the free-rider problem.This is an important part of her argument justifying the law under the Interstate Commerce Clause. The individual mandate is justified as being 'necessary and proper' for regulating interstate commerce. There's a long argument starting on page 70 of the pdf, which I won't reprint in full, but the gist of it is that you can't force insurers to cover people with pre-existing conditions at the same price as everyone else without the individual mandate. This is because guaranteeing that pre-existing conditions will be covered at no extra cost creates an incentive for people to wait until they get an expensive illness, and only buy insurance then. This causes huge cost-shifting in the insurance market, and threatens to make the whole thing collapse. It's a classic free-rider, or moral hazard, problem.

Ginsburg's description of this problem, as a matter of economics, is really quite good, and I don't have much to quibble about there.

But why is this a social issue? Can't the hospital just deny them treatment? That may be considered unfair, but it's a pretty damn effective solution to the free-rider problem. And here's where Ginsburg's argument comes in:
The large number of individuals without health insurance, Congress found, heavily burdens the national health-care market. See 42 U. S. C. §18091(2).  As just noted, the cost of emergency care or treatment for a serious illness generally exceeds what an individual can afford to pay on her own. Unlike markets for most products, however, the inability to pay for care does not mean that an uninsured individual will receive no care. Federal and state law, as well as professional obligations and embedded social norms, require hospitals and physicians to provide care when it is most needed, regardless of the patient’s ability to pay.
Let's reprint the key bits again, in case you missed them:
Federal and state law, as well as professional obligations and embedded social norms, require hospitals and physicians to provide care when it is most needed, regardless of the patient’s ability to pay.
Got that? Federal Law has created a free-rider problem in this market, and now it requires a solution.

Now, as a practical description of the problem, that's totally fine. It is, indeed, the root of a lot of the problems.

But as a constitutional justification for the law, this is insane.

The government wouldn't ordinarily be able to compel individuals to purchase something under the interstate commerce clause, as I read the Ginsburg opinion, unless this is 'necessary and proper' to some already constitutional purpose.

No problem! The government passes laws that create a free-rider problem. One solution (not the only solution, but who cares!) to the problem is to mandate a pool of customers to subsidise those that you've legislated to ride for free. And the existence the government-created free-rider problem is used as the constitutional basis for justifying the entire edifice.

Don't believe me? Listen to Ginsburg's description of why it would be absurd to suggest that the government might be able to create a mandate for eating broccoli:
Consider the chain of inferences the Court would have to accept to conclude that a vegetable-purchase mandate was likely to have a substantial effect on the health-care costs borne by lithe Americans. The Court would have to believe that individuals forced to buy vegetables would then eat them (instead of throwing or giving them away), would prepare the vegetables in a healthy way (steamed or raw, not deep-fried), would cut back on unhealthy foods, and would not allow other factors (such as lack of exercise or little sleep) to trump the improved diet.  Such “pil[ing of] inference upon inference” is just what the Court re­fused to do in Lopez and Morrison. 
I don't know whether this argument is presented as deliberately misleading bull#$%^, or just very sloppy thinking. This is what the government would have to do to justify a broccoli mandate under the guise of it reducing healthcare costs.

But suppose that a government wanted you to eat broccoli. Justice Ginsburg has created a far simpler method for them to justify it! Just pass a 'Broccoli Human Rights Act of 2014', requiring that no person shall be denied broccoli by any supermarket or store based on their inability to pay, provided that they can prove that they are sufficiently hungry. There's a real problem - some people go hungry. Broccoli is a good solution to that problem. Presto! Our starving poor now have access to broccoli.

But we've now created a terrible free-rider problem. Broccoli-sellers have started to lose tons of money. One might characterise the problem as being that 'Federal and State Law, as well as professional and social obligations to not let people starve to death, require stores to provide broccoli when it is most needed, regardless of the customer's ability to pay'. One solution to this is the Affordable Broccoli Food Act of 2020, with it's Broccoli Individual Mandate component.

And this is exactly the same logic that Ginsburg found so compelling above. She'd pass it here. She'd pass it there. She'd pass that legislation anywhere.

So what are the other limits on the likely existence of the Broccoli mandate under the Ginsburg reasoning?
Other provisions of the Constitution also check congressional overreaching. A mandate to purchase a particular product would be unconstitutional if, for example, the edict impermissibly abridged the freedom of speech, interfered with the free exercise of religion, or infringed on a liberty interest protected by the Due Process Clause. 
At last we've gotten an honest argument. Legislation justified under the interstate Commerce clause will be struck down if it's explicitly prohibited elsewhere.

You can tell me this is a good way of running a government. But don't tell me that this is still a Federal government of enumerated powers. Everything that is not prohibited is permitted.

Fortunately, this is not the current law of the land on the Interstate Commerce clause. (The law was upheld under the taxing authority, which I might get to in part 2). Unfortunately I fear that Justice Ginsburg will prove spot on in one assessment in particular, though:
THE CHIEF JUSTICE’s crabbed reading of the Commerce Clause harks back to the era in which the Court routinely thwarted Congress’ efforts to regulate the national economy in the interest of those who labor to sustain it.  See,  e.g., Railroad Retirement Bd. v.  Alton R. Co., 295 U. S. 330, 362, 368 (1935) (invalidating compulsory retirement and pension plan for employees of carriers subject to the Inter­state Commerce Act; Court found law related essentially “to the social welfare of the worker, and therefore remote from any regulation of commerce as such”).  It is a reading that should not have staying power. 
Absolutely.

For one reason, because the vast majority of interstate commerce clause decisions they've made in the past have gone in this direction. 'Regulating Interstate Commerce' includes banning marijuana that's grown in one state and sold within the state, regulating swimming pools (which are pretty darn hard to transport across state lines once they're in the ground), and stopping a farmer growing too much wheat on his own property for his own farm use.

The only rule I can glean from their precedents before now is 'If it affects a price of something, somewhere, somehow, it's interstate commerce.' Now the court has said that, in theory, it won't keep going in this direction, even though it didn't have the stones to overturn the law in the end.

But let's get back to the quote itself. The other half of the problem is that a good chunk of the Court thinks that it is appropriate to put in an important and widely-read opinion that it feels that New Deal legislation was 'efforts to regulate the national economy in the interest of those who labor to sustain it'.

Just under half the court think that this is what constitutes being non-partisan, and they usually manage to find a swing voter from among the rest, I suspect her assessment will prove entirely correct.

Monday, July 2, 2012

That's why you're in admin, not in IT

In the annals of hilariously lame administrative @$$-covering messages, I always enjoy receiving these emails:
'Department [X] would like to recall the message titled '[Mistaken Subject Y]'.
You'd like to recall it, would you? I bet you would.

Unfortunately, that's not how email works - you don't get an 'undo' button after you send it, and you don't get to magically delete it from people's computers if you send the wrong thing.

So why don't you just send the obvious message:
'The message [Mistaken Subject Y] was sent in error - please disregard it. My apologies for the confusion.'
Ah, because that would imply that someone in particular was to blame, and admin fools can't ever commit that to writing. Let's just press the magic 'recall' button instead!

Tools.

Friday, June 29, 2012

The Imagined Thoughts of Randolph Churchill

John Derbyshire reprints this wonderful essay by Winston Churchill, written in 1947, where he recounts a fictional conversation with his father, Lord Randolph Churchill, who had been dead over 50 years by that point.

If you ever doubted that political views have changed a lot in the last 200 years, this essay does a great job of imagining how a Tory in the 1890s would view the history of Europe in the 20th century.

To pick a line that is straight out of Mencius Moldbug, how's this from Churchill:
'War?' he said, sitting up with a startled air. 'War, do you say? Has there been a war?'
'We have had nothing else but wars since democracy took charge.'
'You mean real wars, not just frontier expeditions? Wars where tends of thousands of men lose their lives?'
'Yes, indeed, Papa,' I said. 'That's what has happened all the time. Wars and rumours of war ever since you died.'
Indeed.

Read it all here.

Thursday, June 28, 2012

Ugh

So Obamacare is constitutional.

I'm going to swallow my own advice and refrain from commenting on the substance of the case until I've read the decision. But it's going to be a glum and melancholy task alright.

In the meantime, does anyone seriously doubt the wisdom of Mencius Moldbug on this matter:
In reality, no sovereign can be subject to law. This is a political perpetual motion machine. Law is not law unless it is judged and enforced. And by whom? For example, if you think a supreme court with judicial review can make government subject to law, you are obviously unfamiliar with the sordid history of American constitutional jurisprudence. All your design has achieved is to make your supreme court sovereign. Indeed if the court had only one justice, a proper title for that justice would be "King." Sorry, kid, you haven't violated the conservation of anything.
The Kings have spoken - Obamacare stands.

Bad News, Good News

The bad news: Chicago is broke, homicides are up 37% this year, and the police department is feeling the strain.

The good news:  Chicago is so broke that they've decided to stop flushing money and lives down the toilet for marijuana possession:

People caught with small amounts of marijuana in Chicago will be ticketed instead of arrested under a new ordinance passed by the city council on Wednesday, as the third largest U.S. city became the latest to support more lenient penalties for using the drug.
The council voted 43-3 in favor of the measure, which was backed by Mayor Rahm Emanuel.
Under the ordinance, police in Chicago can issue a written violation with a fine of between $250 and $500 for possession of 15 grams (0.5 ounces) of marijuana or less rather than make an arrest.
It turns out that ruining lives for needless drug convictions are a luxury good, and one that Chicago has decided it can no longer afford. This is a great outcome - off the top of my head, this would have to be one of the worst NPV projects the city undertakes, so it's good that this is the one that gets canned when the crunch comes.

Somewhere at HBS, Michael Jensen is muttering to himself, 'I told you so.'

Wednesday, June 27, 2012

Your Daily Schadenfreude

Journalists go to play paintball with Hezbollah to see what happens.

Psychologically illuminating hilarity ensues:
We figured they’d cheat; they were Hezbollah, after all. But none of us—a team of four Western journalists—thought we’d be dodging military-grade flash bangs when we initiated this “friendly” paintball match.
The battle takes place underground in a grungy, bunker-like basement underneath a Beirut strip mall. When the grenades go off it’s like being caught out in a ferocious thunderstorm: blinding flashes of hot white light, blasts of sound that reverberate deep inside my ears.
As my eyesight returns and readjusts to the dim arena light, I poke out from my position behind a low cinder-block wall. Two large men in green jumpsuits are bearing down on me. I have them right in my sights, but they seem unfazed—even as I open fire from close range, peppering each with several clear, obvious hits. I expect them to freeze, maybe even acknowledge that this softie American journalist handily overcame their flash-bang trickery and knocked them out of the game. Perhaps they’ll even smile and pat me on the back as they walk off the playing field in a display of good sportsmanship (after cheating, of course).
Instead, they shoot me three times, point-blank, right in the groin.
Ha!

Scumbag terrorists demonstrate their worthiness for having a state by acting like scumbags - naive western reader expectations hardest hit.

(Via Kottke)

Monday, June 25, 2012

'This is Dylan and Maddie's Mum'

The New Yorker has an interesting piece on how American children end up so spoiled. They relate it to the idea of parents doing ever more for their children, rather than giving them responsibilities early on and making them follow through.

I don't know the right parenting strategy to combat it, but I've certainly noticed an unusual indulgence of misbehaviour by kids in this country. Is you child of 4 yelling in the plane/restaurant/shopping centre? Never mind, that's just the joys of children, and everyone should just deal with your little precious! How dare you, stranger, ask my son to keep his voice down!

It's one thing when your kids are brats in your own home. It's another when you merrily let them impose social costs on everyone around you without making any effort to stop it. Everyone understands when your one-year old baby is crying on the airplane that there's not much you can do. They'll be irritated, but they'll understand. But when your 4-year old keeps kicking the seat in front of you and you do nothing to stop it? That makes you a tool, not just your child.

I remember thinking about a broader version of this problem when I was behind a four-wheel drive. Everyone seems to have those stickers that have stick figures of all the people in the family. This lady had gone one step further - her license plate decal read 'This is Dylan and Maddie's Mum'.

What a strange way for an adult to define their identity! Not only inwardly, but to proclaim this to the whole world. I understand the solicitude for one's children, but it seems perverse that the parents come to view their own existence in terms of being appendages to their offspring. Is that really the first sentence that you want to use to describe yourself - I am my children's mother? Even if you were to phrase it as 'I have two children', that would be an improvement, as you haven't relegated the subject (of yourself) to an implied noun to emphasise the object.

Can you imagine a parent of a hundred years ago writing such a thing? Or even fifty years? It seems pretty damn unlikely.

If I were a gambling man, I would bet that Dylan and Maddie were indulged a lot as children. I hope it didn't turn them into entitled brats, but I'm not optimistic.

Here's one thing you can take to the bank - you wouldn't have caught Papa or Mama Holmes with a license plate like that, and when/if I sire offspring, you won't find me with one either.

Saturday, June 23, 2012

Just Circling the Drain Isn't Nearly Fast Enough! We Need A Vacuum Pump!

Some people think that Europe is a bloated, worthless bureacratic state that has managed to transform an attitude of self-important entitlement amongst its citizenry into some of the most inflexible labour regulations on the planet.

Some people may think that such regulations, making labour ever more costly and ever more difficult to fire, contribute to the massive unemployment and economic stagnation that has seen large parts of Europe unable to repay their national debt, thereby threatening the existence of the Euro and the economic security of European countries.

Some people may think that as the Euro, and European economies, appear to be on the brink of collapse, it would behoove any sensible leaders to be doing all they can to address these problems.

Some people may think that Europe's leaders, institutions, and ultimately, voters, have proven themselves unwilling or unable to address these issues, and would rather vote for more government-provided lollipops even as their countries collapse around them.

Such people are clearly nothing but embittered, Euro-hating capitalist pigs. And here to prove this to them comes the European Court of Justice! Their latest ruling is, as the New York Times puts it:
[W]orkers who happened to get sick on vacation were legally entitled to take another vacation.
Yep, that's going to be just the shot in the arm that sluggish European economies need. All those unemployed citizens who were afraid to take jobs because they worried that being sick might eat into their holiday time will now flood back into the labour force, reinvigorating national output and tax coffers.

Master of moral hazard, these clowns at the ECJ don't appear to have considered the possibility that claiming you were ill while in Tahiti is very difficult to disprove, and thereby easily allows workers to effortlessly expand their vacation time. Which, in case you Yanks had forgotten, currently is between four and six weeks.

Somebody give these countries a bailout!

At least the New York Times Reporter seems to have a sense of humour about the whole thing, evidenced by his closing line:
The ruling does not apply to the 25 percent of the Spanish labor force that is currently unemployed.
Ha! You don't say.

Friday, June 22, 2012

How Not To Interact With The Police

File this one under 'Positive, Not Normative'.

I think not nearly enough people give any thought to plausible psychology when interacting with police. You can observe this by the dumb@$$ things they do.

If I had to guess at what motivates people to be police officers, it might be some combination of the following:
1. They like the idea of keeping the city safe.
2. They like the thrill of fighting crime.
3. They like having authority over other people.
4. They like being part of a fraternal organisation that looks out for each other while doing the first three items.
You can read blogs like Second City Cop to get a sense of what I'm talking about.

To my mind, this set of motivations explains both the positive and negative aspects of typical police responses:

a) If a police officer decides that you're an innocent bystander being threatened by some thug, they'll put themselves in physical danger to help you out. Say what you will about this being their job, it's still an admirable trait.

b) If the police officer decides that you're a minor nuisance but otherwise not a serious problem (speeding by a small amount, yelling too loudly in public) and are being polite and respectful to them, they'll likely tell you to stop, and will perhaps be content to let you go on your way, or give you some small fine.

c) If the police officer decides that you're being disrespectful to him, even if you're not posing a serious threat to public order, they're almost certainly going to make your life difficult. They'll do this knowing that point #4 will work in their favor - other cops, and law enforcement generally, will back them up, even if they've acted like a bully.

d) If the police officer decides that you're being disrespectful to him AND being a threat to public order, you'd better believe that they're going to bring the pain.

Let's suppose the 4 stated assumptions form a fair amount of motivating psychology for police officers. How should you react when interacting with a police officer who stops you?

Consider the following example of one way to behave:




Let's begin by noting that you have no legal obligation to be polite. The cop in question was acting like a power-mad bully, and manufactured a bogus reason to arrest the guy. In a more just society, the cop would be fired, and the guy would get an apology, if not compensation.

We all know, however, that that ain't gonna happen. The cop will get off scot free, and the motorcycle rider has already had several hours in prison, regardless of whether he eventually gets prosecuted. Remember, positive not normative. We're working with the world as it is, not as it should be.

If you're the kind of person who stands on principle that you're going to be rude to a cop who acts rudely to you first, I can see a fair case to applaud that action. Cops shouldn't just be able to get away with any kind of bad behaviour.

But suppose you're just interested in making your life as easy as possible. What overarching principle would you choose?

I would venture the following four bits of advice :

1. Always be scrupulously respectful.

2. Only offer verbal resistance to the cop's demands in order to assert your legal rights.

3. Think very carefully whether asserting your legal rights is likely to be worth it, and do not offer any verbal resistance unless you think you're going to be arrested or charged anyway. 

4. Never offer physical resistance.

If we believe the psychology we described earlier, cops really hate it when you don't defer to their authority over you. Being rude or swearing is an obvious way of getting them pissed off. You're already in either case c) or d) of their likely responses, and what have you gained? You've given vent to your feelings. If that's all the benefit you get, you're paying very heavily in the amount of hassle in the next hours and days of your life for that opportunity to tell Officer O'Malley to get f***ed.

Another obvious mistake is to demand to know their badge number. People think that because this isn't swearing, it won't land them in trouble. Think again - this indicates your desire to retaliate against the cop, and that's going to annoy him a ton. If you're getting arrested, there'll be plenty of time later to find out the arresting officer's name and file a complaint - why make that intention obvious up-front? Demanding to know his badge number if you don't actually intend to file a complaint is just as stupid as swearing at him.

But does that mean you should always submit to everything a cop asks you?

No. This is where point #2 comes in. You do not want to give the police officer further evidence that will help convict you of a crime, should the matter proceed to court. What kind of things does that mean?

If they want to ask you questions about a crime you may have committed, don't answer anything without a lawyer. If you're unsure, just don't answer. What if you didn't commit the crime, or don't think you did? Doesn't matter - shut the hell up.

If they want to search your car, house or pockets, you want to indicate that you don't offer your consent. In the US, if you  don't consent to a search, the police must establish probable cause in order for any evidence they find to be admissible. If you consent to the search, they don't have to establish squat.

But, (and here is the rub), you can't refuse to do any of those things without indicating that you're not submitting to their authority. And that will piss them off - there's no avoiding it.

Hence point #3 - you want to be very careful before offering the first signs of not acquiescing to the cop. You only get one chance to be a nice obedient citizen. Once you've given that away (by politely resisting demands or by being a jackass), it won't come back. Trying to be polite once he starts arresting you won't win back his good graces.

It's not easy to know exactly what the threshold is for resisting demands though.

If you've been pulled over for speeding and they ask you if you know how fast you were going, most answers you give are going to hurt you from a legal standpoint:

-"I was going 70 in the 65 zone" - you just confessed your guilt. Case closed.

-"I don't know how fast I was going" - this makes it hard for you to assert in court that you weren't speeding, since the officer will testify that you claimed at the time you couldn't be sure you weren't speeding.

-"I was doing 65" - if the officer can prove you were speeding, they might decide to get you for making false statements, yet another crime.

So legally, it's in your interests to refuse to answer the question. But this will piss off the cop, and at a minimum it guarantees they'll give you a ticket, and perhaps hold you up for longer. Is that worth it?

In general, probably not. The main time it might be is if you're planning to challenge the ticket in court. If you're not, you're probably just better off admitting you were speeding and offering your apologies.

For me, I'd draw the line at the point that they want to search my car (or house). At that point, my response would be 'I know you're just trying to do your job officer, and I don't have anything to hide, but I'm sorry, I don't consent to searches.'

I'd do this knowing that they're going to be pissed off. They might call the K-9 unit. They might call for backup. They might insist I get out of the car and search it anyway. They might hold me up for the next 3 hours.

That's the price I pay to increase my chances in an actual court case. If the officer wants to search my car, he's already pissed off with me. I'd rather not take the chance that he breaks something, or plants evidence and I've now consented to the search.

None of this means that we shouldn't be angered by scenes like the video above. It's maddening that cops get to act like thugs and bullies and just get away with it.

But everything in the video was entirely predictable. Guy is part of a motorcycle group roaming around. That's your right, but it makes you look like a potential threat to public order. At 1:42, the guy gives the two-finger 'up-yours' sign to the cop as he drives by. When he gets pulled over, the guy tells the police officer that he can't take the camera (instead of just that he doesn't consent to the camera being taken although he will not physically resist such an action, a different formulation). Guy asks for the cop's badge number. Shortly afterwards, guy gets arrested. Guy doesn't immediately acquiesce when asked to place his hands behind his back, raising the possibility of a resisting arrest charge.

It may well be that the cop was going to make up a bogus arrest reason in order to confiscate the camera. It may be that the arrest was unavoidable.

But all the acts of resistance displayed were almost certain to irritate the cop, and did very little to help the man in court.

If you feel that as a matter of principle that it's worth it, more power to you.

If you, like me, don't feel it's worth it, you're better off swallowing your pride, shutting up, and acquiescing to  their demands when the po-po start acting like bullies.

Either way though, you should know the cost of your actions when you make them. Otherwise you resist running afoul of the advice of the great Sun-Tzu:
To begin by bluster, but afterwards to take fright at the enemy's numbers, shows a supreme lack of intelligence.

How To Be Alone

Thursday, June 21, 2012

Random Observations From Travels Around The USA

Apologies for the lack of updates, I've been travelling around a fair bit recently. Here's my sociological travelogue.

Miami

-To slightly paraphrase Athenios's memorable econ-nerdy description: Take the set of {Los Angeles} AND NOT {New York}. Then lever it up like crazy. The result is Miami.

-To my politically incorrect eye, it seemed like that, for a US city with a high Hispanic population, there was a much larger and more visible Hispanic middle class and upper-middle class than other places I've been. My guess is that this is partly to do with the fact that Miami has a lot of Cuban immigrants, many of them refugees from Castro. During the 70s these tended to be some of the elite of Cuban society, which seems to be less true of the median immigrant from Mexico. The fact that Cubans tend to vote Republican already puts them in a somewhat odd position relative to other Hispanic groups, and the visible trends in Miami seemed consistent with that.

-In the multiple times I've been there, I think I've gotten Haitian cab drivers on nearly every occasion - the giveaway is always the French names on the ID cards in the cab.

Vegas

Earlier thoughts here, here and here.

-Outside of a cocktail party itself, I can't think of any place I've been to where the cocktail dress was so prevalent on the women walking around. Day time, night time, doesn't matter.

-Part of this seemed to from the, how shall I put it, 'professionals'. They tend to stick out. I wonder if the men who partake in such services realise how easy they are to spot at a distance of 50m. My guess is that they kid themselves that people might be mistaking them for friends, girlfriends etc. But they're not.

-Related to the above, it's amusing when you think about it how much men will pay to probabilistically sleep with a women, but how they'll shy away from paying money to sleep with a woman with certainty. The most likely explanations are a very high implied cost of dignity, or the fact that the purchase itself is not the same. In the latter case, one ultimately wants the pursuit and the conquest, and only the probabilistic scenario delivers that. Of course, there's always the explanation of George Costanza cheapness - why should I pay, when if I apply myself, maybe I could get it for free?

Thursday, June 14, 2012

Caned!

Nigel Farage lays into the EU over the madness of having the Spanish bailout being funded by the same countries who are themselves on the brink of needing a bailout.



I love watching Nigel Farage in action. He's aware that he's never going to change anything at the EU, so he just acts like a professional troll for their dim-witted schemes, pointing out all the ridiculous fictions that EU boosters love to tell each other.

Wednesday, June 13, 2012

Truly Understanding What Combat Mortality Statistics Mean

I find it interesting sometimes to imagine how my worldview might change if I experienced different events.

It seems elementary that if you've made the best use of the data available, you should only change your mind based on new information. Merely experiencing an event without finding out anything you didn't know before ought not change your perception of things.

So it's funny to read about how the average person's views change with a particular experience, and try to hypothesize where your current views fit along the claimed evolution.

What prompted this (and continuing with the 'All-Fussell-All-The-Time' theme of the blog of late) was Paul Fussell's description of how the average soldier's views on the chances of death change over time.
In war it is not just the weak soldiers, or the sensitive ones, or the highly imaginative or cowardly ones, who will break down. All will break down if in combat long enough. "Long enough" is now defined by physicians and psychiatrists as between 200 and 240 days. For every frontline soldier in the Second World War, according to John Ellis, there was the "slowly dawning and dreadful realisation that there was no way out, that . . . it was only a matter of time before they got killed or maimed or broke down completely." As one British officer put it, "You go in, you come out, you go in again and you keep doing it until they break you or you are dead." This "slowly dawning and dreadful realisation" usually occurs as a result of two stages of rationalization and one of accurate perception:
1. It can't happen to me. I am too clever / agile / well-trained / good-looking / beloved / tightly laced / etc.
Personally, I can't imagine ever thinking this. Death is always certain, and there's always a chance that you're going to draw the unlucky number even in much safer events than combat. So while this might be a subconscious starting point, I doubt it. What about the second stage?
This persuasion gradually erodes into
2. It can happen to me, and I'd better be more careful. I can avoid the danger by keeping extra alert at all times / watching more prudently the way I take cover or dig in or expose my position by firing my weapon / etc.
This conviction attenuates in turn to the perception that death and injury are matters more of bad luck than lack of skill...
At a minimum, I think I'd start at this stage (or the first half, anyway) - it definitely can happen to you. The question is how much agency you have over the matter. Note that the description above tends to not focus on probabilities - it can happen, but if I do X, then it can't. I think this is empirically a good description of the world - most people don't think in probabilities.

But to those that do, it's obvious that you dying in warfare can be both a) largely determined by chance, and b) something you can still shift a bit at the margin by not doing stupid things.

In essence, you're spinning a roulette wheel, and any number above 3 means you're dead, or something equivalent. You can have crummy odds and still understand what the odds are.

So that, in short, would be where I think I'd view World War 2 combat probabilities.

But I don't think I would have gotten to the conclusion that makes up Fussell's stage 3:
...making inevitable the third stage of awareness:
3. It is going to happen to me, and only my not being there is going to prevent it.
Huh.

On a number of dimensions, that is actually incredibly clear-sighted. Granted, it still makes the mistake of not thinking in the probabilistic way (a probability of 99% is not the same thing as a probability of 100%).

But which bias are you more likely to be succumbing to? Being overly optimistic that you will somehow be different and escape it all, or ignoring the tiny chance that you might actually make it? To ask the question is to know the answer. The bias is all on the side of optimism - if you round your estimated survival probability down to zero, it won't change the answer by much, the same way as if you assume that you'll never win the lottery you'll almost certainly make better choices than if you assume any non-trivial probability of the event occurring.

And indeed, it only takes a minor modification to the premise to make it technically correct as well, by beginning the sentence with the phrase 'Given long enough, ...' . This is expressed most memorably in the motto of Zero Hedge - on a long enough timeline, the survival rate for everyone drops to zero.

In wartime, you don't even need the timeline to be that long.

Which makes the second half of the sentence all the more powerful - the only way out is to not be there.

That is something that I wouldn't have figured out with equivalent clarity.

In the middle of combat, there are also very few ways out. Desert and you run a good chance of getting shot.

I can imagine that goes a fair way to explaining why people go insane in war - you figure out that it is now inevitable that you'll die a horrible, gruesome death at some random (but imminent) point, and until then you're going to be surrounded by horror and brutality.

The phrase 'only my not being there is going to prevent it' can also be paraphrased as 'the only winning move is not to play.'

Tuesday, June 12, 2012

Fatties Are Optimising

Let me repeat a frequent refrain that I hear from smug skinny people from time to time:
Hur hur hur. Look at that fat guy at McDonalds, getting a super-sized Big Mac meal with a diet coke. As if the diet coke makes up for the huge number of calories he's consuming! What a moron!
Reader, I am here to tell you that at least along one metric, the fattie is behaving in an entirely rational way, and the skinny guy is in fact the moron for not understanding optimisation.

When I say 'rational', I don't mean that they are doing the optimal thing in some cosmic sense. Rather, I mean it in the classical applied microeconomics sense that they are maximising something.

So what exactly might they be maximising that would be consistent with their behaviour?

Consider that they get utility from eating equal to

U = Taste*Quantity

It's better to eat tastier stuff, and it's better to eat more of it. Not too controversial, right?

In addition, suppose they can't eat an unlimited amount - let's grant them a binding calorie budget for each meal. The exact budget doesn't actually matter for the analysis.

So the fatties want to eat as much tasty food as possible given a maximum total calorie allowance. How do they choose the amounts of foodstuffs to get to this point?

Well, if you work through the fairly simple constrained optimisation, the relevant metric for comparing across food items is the taste per unit calorie. This is a measure of how good the 'value' of each food is, if you think of calories like money. In other words:

"Value(Food X)" = Taste (Food X) /  Calories (Food X)

In equilibrium, you will want to allocate more consumption towards foods that deliver higher value, and reduce consumption in low value foods.* When faced between two foods, that's how you'll decide between them.

Let's add further the assumption that the person must have at least one food item and one drink item.

So how do you choose between the items?

Let's start by comparing Coke versus Diet Coke.

A 12 ounce can of Coke has 140 calories. Let's call it's tastiness = y.

A 12 ounce can of diet coke has, say, 1 calorie (it's closer to zero, but never mind). Let's say you find diet coke much worse than coke - it's only 30% as tasty, say.

So the value of coke is V(coke) = y/140
The value of diet coke is V(diet coke) = 0.3y/1

In other words, Diet Coke is 42 times better value than Coke.

Now let's compare a serve of fries relative to our equivalent of 'Diet Fries', say a Premium Southwest Salad with Chicken.

A large McDonalds French Fries has 500 calories. The salad has 290 calories.

But everyone knows that the salad is not 60% as tasty as the French Fries. At best, it's about a quarter as tasty.

In other words, the Salad is worse value than the large fries.

So the fatty that is rationally optimising the problem we've set out will choose the large fries and the diet coke, and ignore the southwest salad and the coke. This will give him more tasty food for the same amount of calories.

And this conclusion holds no matter what the calorie budget. It doesn't matter if you let the guy eat a huge meal - he's still better off ordering more fries and a diet coke. Coke has a much (calorie)-cheaper substitute than fries do for the same level of taste.

I think it's a mistake to assume that fatties don't care about being fat. My guess is that they care deeply about it. They just really like food.

And these are exactly the people whom I'd expect to figure out the optimal way to eat the most amount of tasty food for a given level of calories.

Frankly, if I only optimised over the things above, I'd eat McDonalds a lot more. It's tasty as hell, and doesn't even have that many calories. As we've seen, you can eat it every day and not necessarily get fat.

The only thing that stops me getting to this point is adding in a health cost to each item. If you care about your health (and on this front, I think it's safe to assume that fatties may not care as much), then you're more likely to pick the salad. But most people are unlikely to pick the salad based on the taste/calorie tradeoff alone. Unless they're idiots. In addition, Kevin Murphy's back-of-the-envelope calculations about how large the health costs of a hamburger are suggest that they're only in the range of $2-$3 per hamburger. What the costs are in terms of attractiveness, however, is another story.

But the bottom line is that it's the fattie at McDonalds who isn't ordering the diet coke who is more likely to be making the mistake. You're always better off ordering the diet coke and getting a larger fries instead.

*Technical aside: if you don't specify a declining function of taste with greater consumption (i.e. each fry tastes as good as the last), the equilibrium will be a corner solution - e.g. you only eat french fries. The fact that people tend to want a burger and fries suggests that taste declines with consumption, and thus the optimisation is at an interior solution. Fact.

Monday, June 11, 2012

Betteridge's Law of Headlines

Via Hacker News comes this great observation:
Any headline which ends in a question mark can be answered by the word 'no'.
The logic being that this tends to be attached to controversial claims, and if the author had enough facts to determine conclusively that the the claim were true, they would assert the matter directly.

Sunday, June 10, 2012

'Wartime', by Paul Fussell

After the previous post on the subject, I've been making my way through Paul Fussell's book on World War II, 'Wartime: Understanding and Behavior in the Second World War'.

Like his essay on the same subject, it's very eye-opening.

On the tendency of bomber crews to place enormous importance on medallions and other tokens of luck:
In a world whose behavior seems to define it as nothing but mad, "You cannot call the things that happen to bomber crews superstition." In the midst of calmly committed mass murder, reliance on amulets will seem about the most reasonable thing around. 
On the frequent indignities suffered by soldiers at the hands of their own officers, a concept that Fussell describes as 'chickens***':
'I joined the army to fight facsim', says [a British soldier], 'only to find the army full of fascists.'
On the German understanding of why, just because they were fighting the Japanese after Pearl Harbor, they wanted to invade Europe as well:
Few in Germany had any idea why the Americans had invaded Europe. One German officer could conclude only, as he told his interrogator, that they had attacked the Reich "in order to save Churchill and the Jews". 
On the reputation of the Italian army:
This myth of Italian military haplessness served a useful psychological function in the Second World War, helping secretly to define what Allied soldiers wanted the "enemy" universally to be - pacifists, dandies, sensitive and civilized non-idealogues, even clowns. The antithesis of committed, fanatic National Socialists. At the same time the Italians could serve as the definition of incompetence, fraudulence, and cowardice: no one really wanted to be like them to be sure, but how everyone wished it were possible! The world was laughing at Italy, and yet the Italians were sensibly declining to be murdered. The Allied soldier couldn't help wondering that if contempt and ridicule are the price of staying alive, perhaps the price is worth paying.  
Interesting stuff indeed.

The People's Kleptocracy of China

An interesting theory of the Chinese economic system.

It includes answers to the questions of 'why do the Chinese keep buying US T-Bills', 'why do the Chinese build so many worthless buildings' and 'why do Chinese peasants riot over inflation', among others.

I don't know if I buy the whole thing (if the SOEs are so efficient, and the peasants only earn negative real returns on bank deposits, how would they be so badly off if the SOEs do worse under low inflation? Economic contraction, perhaps, but that seems to imply that the house of cards may have some positive value).

Still, it makes oddly compelling narrative

Wednesday, June 6, 2012

Thought of the Day

"No man can ever truly be secure until he has been forsaken by Fortune."
Boethius, The Consolations of Philosophy

Tuesday, June 5, 2012

Burn That Money!

I suspect I joined the ranks of the 'sufficiently wealthy to not sweat the small stuff' when I stopped noticing petrol prices very much. I would be vaguely aware of the total dollar amount when I filled up, but the choice of which petrol station to go to was largely dictated by 'do I need petrol right now?', rather than 'is this place 5 cents cheaper than the other place?'.

This is fine, and I can totally rationalise this to myself - reducing the number of trips to the petrol station is worth the extra dollar or two I might pay.

But I can cement exactly when the 'careless rich' threshold was reached, and it was yesterday. I was driving home along a route I don't normally take, and the fuel light was on. There are two petrol stations right next to each other on the same side of the road, a Shell and a 76. As I was approaching deciding which one to go to, I actually thought 'I like the Shell Logo better, let's go there'. It was only when I passed the 76 that I realised that I actually had the chance to look at the signs and go to the cheaper option at zero cost, but it had been so long since I'd done that that the thought didn't actually occur to me in time.

At this point, I was sufficiently embarrassed at myself, that I got flustered and drove past both. This made me feel like even more of a lame-o. I went to one further up the road - I have no idea if it was cheaper or more expensive.

Ha. I guess there's a good reason they call it 'Overcoming Bias' and 'Less Wrong', not 'Perfect Rationality'.

Athenios periodically accuses me of being 'part of the 1%', in his hilarious attempts to ignite class war nonsense, and I have no doubt this post will be catnip to him.

Monday, June 4, 2012

How It Ends

Further in the category of 'Songs That Are Made By One Really Good Line' comes the song 'How It Ends', by Devotchka. It was on the 'Little Miss Sunshine' soundtrack - I really disliked the movie, but the soundtrack was excellent.



The line in question is as follows:
'And you already know,
Yes you already know... how... this.. will... end.'
This is true for a surprisingly large number of things in life.

Deep down, you know how things will turn out. You pretend otherwise, thinking that somehow it won't end up the way you suspect it will. You convince yourself of the motivational power of optimistic thinking, and push aside doubts about the outcome.

The curse of having fairly good models of the world is that sometimes they'll tell you things that you wish weren't true.

Saturday, June 2, 2012

Good News, Bad News

The good news - the US and Israel created the Stuxnet virus to destroy the centrifuges in Iran being used to enrich uranium. I suspected this was probably true, but it's nice to have it "confirmed" (to the extent that national security secrets are ever really confirmed).

This is actually doubly good news, because it means that

a) Somebody in the administration is actually doing something active to try to prevent (delay is probably a better word) the Iranian nuclear program. I thought the unofficially stated policy was 'We'll keep holding talks about talks until they develop a bomb, then announce that there's nothing that can be done since they've already got the bomb'.

b) My earlier presumption that the US was clueless about using cyberwarfare and was just being schooled by the Chinese might be incorrect. I still imagine we're being schooled by the Chinese, but it looks like (thankfully) the margin may be less than I thought. The mitigating factor was always that Chinese attacks on the US were likely to be exposed (since the US has a free press), but US attacks on China would only be exposed if China felt that it was in their interests to expose it, which would be less common.

The bad news is that Stuxnet wasn't meant to spread in the wild, it was only meant to stay in the centrifuges. So it wasn't as good as planned. It also fits into a), in the sense that US attacks appear to be designed so that nobody ever finds out about them.

But I'm still definitely calling this as a net win, and my opinion of the NSA has gone up.

Thursday, May 31, 2012

Heritage Listing is Theft in Disguise

A recurring theme of this blog is that government policies should be honest about what they cost, and who's paying. Few things irritate me more than politicians implementing policies that they pretend to be cost-free, when in actual fact the costs are just being shifted to someone else, or disguised as part of a price increase, or similar such dubious methods.

Another one to file in this category is heritage-listed properties. Some homes have real historical value - period pieces that exemplify a style of architecture, or homes of important historical figures.

So society decides that it wants to preserve those buildings. Fair enough. But how do they do it?

Simple! They slap an order restricting the owner's ability to make modifications to the home.

The home hasn't gotten any more historical. It hasn't gotten any more quaint.

It has, however, gotten a lot more difficult to replace the electrical wiring, or replace the paving in the back, or re-tile the roof, or whatever the hell they've put restrictions on.

Before you had unrestricted property rights over your house.

Now, you're a part-owner of the house, with some government bureaucrat having a part ownership stake that gives them veto-power over your renovation decisions.

So clearly they've taken something of value and paid you nothing for it. How do these thieves justify this to themselves?

Take the New South Wales Office on Environment and Heritage.

What's their justification?
There is growing evidence to support the view that heritage listing has a positive impact on property values, ...
Bulls***, you crooks! Do you know how I know this is a bald-faced lie?

Because no property owner in history has ever lobbied to have their private residence heritage listed. 
... and real estate advertisements are starting to reflect this.
It's the job of real estate agents to put lipstick on whatever turd property they're given. Hence euphemisms like 'charming' (='ugly'), 'vibrant area'  (='boring' or 'terrifying'), 'renovator's delight' (='falling to pieces'). Ensuring that they don't have to deal with disappointed prospective buyers is part of the job, so they screen out the folks (like me) who wouldn't buy a heritage-listed property in a fit.

These vultures actually have the temerity to steal part of the value of your property, and expect you to thank them for it. Talk about shamelessness.

But what are the other benefits they tout?
Heritage listing provides certainty for owners, neighbours and intending purchasers. This is important when people are looking for a particular environment within which to live and work. It explains why certain suburbs, towns, villages and rural properties are sought after.
It provides certainty that you can't add an extra bedroom, that's for sure.
Protection of an item also requires the local council to consider the effect of any proposed development in the area surrounding heritage items or conservation areas. This is positive as it ensures an appropriate context for heritage items.
Your neighbours might soon be in the same hell that you're in!
It confirms a heritage status that is a source of pride for many people. This status can be very useful for commercial operators in their advertising.
It's useful if they've got too many potential buyers coming through, and don't have enough time to show them all around. Drive them away!
The assessment process leading to listing often unearths new information on the history and style of the item.
For values of 'often' equal to 'based on how frequently local government officials go above and beyond the call of duty' (i.e. 'rarely' to 'never')
Through flexibility clauses in local environmental plans, owners of heritage items can request councils to agree to land use changes, site coverage and car parking bonuses unavailable to other owners.
You can beg for some small changes to the nearby area. See how well your requests go down. You sure as hell can't request a land use change for a new apartment on your property.
Listing gives owners access to the free heritage advisory services provided by many councils. Currently 103 councils in the state have such services.
You'll get a free listing on a website, and if you're really lucky, strangers knocking on your door on the weekend expecting your house to be a free museum.
Listing provides potential savings through special heritage valuations and concessions. If the property is listed in a Local or Regional Environmental Plan (individually or in a conservation area) you can request a “heritage restricted valuation” for land tax and local rate purposes from the Valuer-General. If your property is on the State Heritage Register under the Heritage Act, you automatically receive a heritage valuation for both local rates and land tax purposes. Heritage restricted valuations are designed to ensure that valuations of property are made on an existing development basis rather than on any presumption of future development.
When your property price goes down, you'll pay slightly less in property taxes! Score!
Listing enables access to heritage grants and loans through both the NSW Heritage Office and local councils. Listing is generally a requirement for NSW Heritage Office funding.
Listing on the State Heritage Register also enables owners to enter into heritage agreements, which can attract land tax, stamp duty and local rate concessions.
If you decide to actually turn your house into a (completely unattractive) museum, the government might kick in a hundred bucks.
Listing on the State Heritage Register makes the property eligible for consideration under the Commonwealth's Annual Cultural Heritage Grants Program, which is open to both private owners and community groups.
And they give out how much to each person? How often? Are random private property owners included? Want to bet on that?
Heritage listing enhances applications to other bodies where the building or site might be eligible for funding.
In case you want to spend the rest of your life filling in government forms.

This is such egregious theft that I can't believe they get away with it.

You know the Holmes method for heritage listing properties?

Have the government (or even better, a private group) buy them at fair market prices, and preserve them themselves.

That way nothing is stolen. You can also bet your @** that the local council is going to think a lot harder over whether that ghastly 1960s cottage really is such an amazing period piece, or actually an eyesore that nobody wants to pay a cent for.

Until that happens, should I find myself in possession of any vaguely historical property, I'm going to renovate the hell out of it immediately just to make sure that government busybodies don't find it a 'vibrant' example of period architecture. Or just bulldoze it to be on the safe side, and put in a bunch of condos.

Up yours, New South Wales Department of Heritage.

What you should be doing

Every now and again, I find myself reading somebody else's writings, and I'm filled with the urge to yell out to everyone 'Stop reading my stuff, it's all junk anyway. Put down whatever you're doing and go read this guy instead, he's much better!"

This is one of those times.

I've said it before, but go read Mencius Moldbug. Right now. Go here. Start with the posts at the top (the 'How Richard Dawkins Got Pwned) posts which I linked to earlier, and work your way down. You'll find out, for instance:

-Why the complaints that the American revolution were founded on were largely nonsense (and why reasonable people should have supported the Loyalist position).

-How you might organise a system of government where the sovereign is a profit-making corporation, and why it might work a lot better than you'd think.

- The most interesting  13 paragraph summary of the last 300 years of world history that I've read. It reads nothing like the standard narrative at all - the events are the same, but the interpretations are probably unlike anything you've encountered.

These are just to whet your appetite - it's probably better to read them in order.

I don't agree with all of it - his views on Austrian economics seem unpersuasive, and I'm not sure that his patchwork theory of sovereign corporation-states wouldn't turn into tyranny in the hands of the wrong set of shareholders. The biggest weakness to the argument, I think, is that it doesn't explain how the massive scientific and industrial revolutions occurred over the same time span that the forms of government were (in his view) going to hell. I'm about halfway down the list of posts, and maybe he has an answer to that, but the conservative in me retains a nervousness that we might be throwing out the baby with the bathwater if it turns out that economic and scientific progress are more entwined with current forms of government than he seems to assume. I imagine Moldbug might retort that the Nazis and the Soviets were both pretty good at scientific advances as well, and there's no reason to assume that democracy has any special advantage in this area. But still - we're left with the big mystery of the scientific revolution, which needs some explaining before you ought (IMHO) start meddling with current forms of government.

But that's all detail. The bottom line is that this is the most interesting stuff I've read in years.

Go read it now. Don't have time? Shut up, I don't care. Trust me on this, just do it right away.

Wednesday, May 30, 2012

The Colourful History of Pawnee, Indiana

It's rare for civic authorities to have a sense of humour, but check out the classic welcome signs they've had over the years. Comedy gold!

Update: Athenios points out that Pawnee, Indiana is actually the fictional town from the series 'Parks and Recreation', making me feel like a right duffer, as the Brits might say.

Monday, May 28, 2012

The Real Value of the Peace Corps

I always find the Peace Corps to be an interesting idea. Started by JFK, the idea was that young Americans could go overseas and volunteer in poor countries to help in various development projects, and receive some small payment from the US government.

A number of my good friends did the program, and found it enormously beneficial (OKH did , for sure, and I hope he doesn’t take too much exception to this post). They made a lot of friends, got to see fascinating countries overseas, help out somewhat in these places, and meet the locals.

Don’t get me wrong, these are all great things. But the marginal value of the Peace Corps over, say, studying abroad, or just going backpacking for two years, is harder to tell. Along the aforementioned dimensions, the benefits seem similar, even if the Peace Corps has different advantages.

But the Peace Corps does have one particular benefit that I don’t think staying in a youth hostel can provide.
Based on my rough understanding, the Peace Corps tends to attract smart, idealistic young college graduates eager to do good in the world. This is an entirely admirable thing – a lot of them have come from liberal arts backgrounds that emphasise the injustice in the third world, and they’re eager to do their small part to rectify this.

You’ll note from my previous post that I think, sadly, that this is a Sysephean task that’s likely to result in disappointment and wasted effort.

On the other hand, convincing the average Peace Corps volunteer of this fact seems likely to be an almost equally thankless task. Do you think that after 4 years of relentless lefty agitprop from college professors the average peace corps volunteer is likely to be reasoned out of their convictions, either by my poor scribblings or those of others more eloquent than I? Hardly.

Some lessons just need to be learned firsthand. You can witness personally the sheer level of corruption and inefficiency that characterizes the governments of these benighted places. In some places, you’ll also see the hostility towards capitalism and tribalist attitudes towards wealth (“If my cousin runs a successful business, I deserve a share in the profits despite having contributed nothing”) that help to mire the place even further in permanent poverty. You can also see the general inefficiency of western charity and aid projects, whose implementation is sadly often little better than local governments, despite the loftiest of sentiments and goals.

I don’t want to come across as a total cynic here – many of the people you’ll meet are also lovely, and they have a cheerfulness and joy in their lives that the west sometimes lacks. Read some of Theodore Dalrymple's writings (who is surely no bleeding heart) comparing poor people in the third world with poor people in Britain’s public housing projects, and you realize that you’d much rather be surrounded by the former than the latter. In my own meager travels, I had more friendly strangers introduce themselves to me in India than I ever have in Australia. Some were trying to rip me off. Others just wanted to talk. Human nature is a complicated thing.

But my guess is that either way, two years in the third world is sufficient to convince most Peace Corps volunteers that their efforts to fix the world’s problems are destined to be largely fruitless.

This is useful, because such people tend to be smart and motivated folks, and they’ll do a lot more good for the world by working a regular job in America. Once you’re realized that you can’t change the world, it’s okay to go to law school.

Winston Churchill once remarked that any man who was under 30 and was not a liberal had no heart, while any man who was over 30 and was not a conservative had no brains.

The Peace Corps probably speeds this process up by about 5 years, and with a higher rate of success than the ‘they’ll just figure it out eventually’ school of thought.

And that is immensely valuable, even though it’s a heck of a long way from the intended aim of the whole thing.

Saturday, May 26, 2012

Rough, Serious Business

Via Hacker News comes this amazing article from The Atlantic in 1989, written by Paul Fussell. It describes what World War II was like from the perspective of ground troops. It makes for rather shocking reading, describing in unflinching detail the parts that tend to get left out of the traditional narratives:
You would expect frontline soldiers to be struck and hurt by bullets and shell fragments, but such is the popular insulation from the facts that you would not expect them to be hurt, sometimes killed, by being struck by parts of their friends' bodies violently detached. If you asked a wounded soldier or Marine what hit him, you'd hardly be ready for the answer "My buddy's head," or his sergeant's heel or his hand, or a Japanese leg, complete with shoe and puttees, or the West Point ring on his captain's severed hand. 
Or try this description of fear in war, for something I knew but had forgotten:
More than a quarter of the soldiers in one division admitted that they'd been so scared they'd vomited, and almost a quarter said that at terrifying moments they'd lost control of their bowels. Ten percent had urinated in their pants. 
Or this description of corpse-robbers in civilian London during the Blitz:
The first thing which the rescue squads and the firemen saw, as their torches poked through the gloom and the smoke and the bloody pit which had lately been the most chic cellar in London, was a frieze of other shadowy men, night-creatures who had scuttled within as soon as the echoes ceased, crouching over any dead or wounded woman, any soignée corpse they could find, and ripping off its necklace, or earrings, or brooch: rifling its handbag, scooping up its loose change.
When they say war is hell, they mean more than they tend to describe in detail.

It is easy to look on a scene such as this:

File:Normandy American Cemetery 9830a.jpg
and think of the immense sacrifice that such soldiers made.

It is altogether another to look openly on the sheer horror that they faced, stripped of the gauzy image that Hollywood gives us.

I don't think it diminishes what they did, but rather makes it more incredible when you reflect on those that came back, and managed to get on with their lives.

Fussell recounts the words of a frontline infantryman to a somewhat naive reporter on the front lines:
Tell 'em it's rough as hell. Tell 'em it's rough. Tell 'em it's rough, serious business. That's all. That's all.
It surely is.

Read the whole thing.

I don't think that was what you intended

When magazines I never subscribed to send me letters telling me that my subscription is running out, with the words 'LAST LETTER' on the front in big red letters, I find myself thinking "Is that a threat, or a promise?"

Friday, May 25, 2012

Sometimes the solution is not where you think it is.

The story of Brett Kimberlin is a very scary one about how the American legal system can be used as a weapon to silence criticism. You can read a summary of it here or in the International Business Times here.

Have a read of one of those. Do it now. Then come back.

I want to focus on a statement attributed to Kimberlin, because I think it says a lot about the American legal system. The blogger Patterico reported on an email he received purporting to be from Kimberlin after Patterico wrote negatively about Kimberlin. The email contained the following statement:
I have filed over a hundred lawsuits and another one will be no sweat for me. On the other hand, it will cost you a lot of time and money and for what.
Let's focus on the above quote, which I assume for the time being to be genuine.

There is something deeply wrong with a legal system where a person would ever have cause to boast about the number of lawsuits they've filed.

America has a legal system uniquely well-designed for filing frivolous lawsuits. Unlike nearly every other common law country, America does not institute a loser-pays system. What this means is that if you're willing to represent yourself and sue lots of people, the only cost to you is likely to be your time.

Outside of America, it is virtually inconceivable that a statement like 'I have filed over 100 lawsuits' would be a credible threat - partly because losing a series of lawsuits would wind one up in bankruptcy long before they reached 100, but also because respondents in civil cases can take the risk of defending the suit knowing that they'll be largely reimbursed if they win. In America, for the most part if a pro se litigant sues you, no matter how ridiculous the claim, even if you win, you lose - in your time, in your lawyers fees, if you have to travel interstate to defend yourself, if you have to go through lengthy discovery processes etc. Anti-SLAPP statutes (such as California's quite robust one) help out to some extent, but they're an imperfect whack-a-mole type solution

It's a lot easier to just make it the default - if you lose, you pay.

Back when William Wilberforce was trying to outlaw the slave trade in Britain, he found it hard to get laws passed to abolish the trade directly. Instead, he very brilliantly got passed a law that allowed the Royal Navy to seize ships flying foreign flags of convenience (which is what slave ships would do). It wasn't directed specifically at slave traders, but it ended up severely depriving them of their ships and profit.

If you don't like harassing lawsuits like these, regardless of what they're about, the easiest way to stop the whole lot of them is a loser-pays legal system. Most people don't seem to regard that as the lesson of the whole affair, but it should be.

Thursday, May 24, 2012

Why Foreign Aid Fails

I think at this stage in history, there’s not really much question that foreign aid has been a colossal failure. Shovelling money and goods from first world taxpayers to third world tyrants has definitively failed to improve the standard of living in third world countries. By some measures, it’s made the problem worse – foreign aid is easy to seize, and selectively distributing it to one’s political allies is a great way to shore up political loyalty for corrupt kleptocrats.

The question is, how surprised should we be that didn’t the experiment work? 

My answer is ‘not very’. And here’s why.

The reality is that the principle of foreign aid has embedded in it an important assumption about development. This assumption is so insidious that I doubt that most of the proponents of aid even realize that it’s the basis on which their whole program is built.

The assumption being made sounds almost comically simple, and it is this: poor countries are poor because they don’t have enough stuff. Hence if we give them the stuff, they’ll stop being poor.

Sounds almost too obvious to state, right?

The ‘stuff’ takes on a variety of different forms – food aid, infrastructure spending, bed nets to combat malaria, vaccines, laptops for children, cash transfers, etc.

And that’s exactly what we’ve provided. So why hasn’t this worked?

Because there’s an alternative possibility. It may be that the lack of stuff is not the problem, but is just the symptom of the problem. The real wealth of society is its ability to produce stuff. Rich countries are defined by their ability to produce all of their own bed nets, etc. And when you take the stuff away from a wealthy country, it gets replenished. Haiti, Biloxi and Fukushima all got destroyed by natural disasters. But local production was vastly different a few years later in each place. I’m sure if you switched the populations (moved the Japanese tsunami survivors to Haiti just after the hurricane, for instance) and repeated the experiment, the outcome would take longer, but the end result would be similar. The Singaporeans took 50 years to turn the whole country from a swamp into a first world nation.

What if the things that produce the wealth can’t be easily shipped in? If it’s institutions, it’s hard to transplant those in without a hefty dose of colonialism (although Paul Romer is giving it a red hot go in Honduras, and more power to him). If it’s culture (such as an allegiance to civil society, instead of a tribalist mindset), that’s much harder to fix. If it’s genetics – yikes. Thankfully, cases like Singapore suggest that you can get a hell of a large change in a short period of time without altering the genetic makeup of your country.

People have talked about all these things plenty of times. But what I think isn’t properly appreciated is that the assumption that “more stuff -> development” was entirely unproven when the aid experiment started.

Take all the rich countries in the world today. How many of them were made rich by being given stuff from other countries? The answer is of course ‘none’. Whatever caused their development, it wasn’t because they got huge transfers from the outside world. Even if you doubt this general principle (and you’d be wrong), you’d have to concede that this is surely true for the industrial revolution in England, since there wasn’t anybody richer to give them a handout.

So we know that being given stuff isn’t a necessary condition for development. And now we know that it’s not sufficient either. In this light, the complete failure of the foreign aid experiment shouldn’t come as a surprise at all. We were trying to make poor countries rich using a method that had not been successfully implemented before in human history. Like most experiments tried without a strong reason to presuppose success, the result was failure. Poor countries, it seems, can’t be made rich in any meaningful way just by giving them more stuff.

One of the current poverty ‘silver bullets’ seems to be microfinance. Like bed nets, I presume that it will have some benefit. Like bed nets, I also presume that it will be entirely insufficient to make meaningful changes to poverty levels. We’ll see if I’m right -  I’d be delighted to be proven wrong, but I’m not holding my breath.

The worst assumptions are the ones you don’t even realize you’re making.

Miscellaneous Joy

-The awesome story of the development of Apple's Graphing Calculator.

-A solid gold strategy for losing weight. The song in question is here.

-Cory Booker continues to impress me. I'd take him over a lot of Republicans any day.

Tuesday, May 22, 2012

The Impacts of Drug Use <<< The Impact of Being Arrested For Drug Use

Penn Jillette unloads on the Obama administration about the fact that he continues to support drug policies that lock people up for doing exactly what Obama admits to doing in his youth:
Do we believe, even for a second, that if Obama had been busted for marijuana -- under the laws that he condones -- would his life have been better? If Obama had been caught with the marijuana that he says he uses, and 'maybe a little blow'... if he had been busted under his laws, he would have done hard f*cking time. And if he had done time in prison, time in federal prison, time for his 'weed' and 'a little blow,' he would not be President of the United States of America. 
I think Jillette is right to note that relevant part about all this is not that there is hypocrisy in doing drugs yourself at one point and then maintaining the laws against drug use. People are hypocritical all the time, but that doesn't mean the right thing to do is abandon all laws. Even murderers wouldn't necessarily prefer to live in a society where murder was legal.

Few people call Obama on his hypocrisy, because I am certain that it's shared by millions of respectable middle class parents all around America. They smoked up in their youth, turned out just fine, and still dutifully turn up to the polling booths to keep marijuana illegal. They'll do this, all the while being ready to pull every string to keep their beloved child out of prison should they get unfortunately arrested for possession.

What's most striking is the sheer casualness with which the upper classes will admit to their former drug use. Obama did weed and 'maybe a little blow' (as if one might forget whether one had done blow). Bill Clinton smoked but didn't inhale. George W. Bush did 'young and foolish things when he was young and foolish', which I'm sure amounts to the same thing, if just in euphemistic form. He certainly didn't seem any more repentant than the rest.

What these statements really reveal is that our elected leaders are essentially admitting that the problem with drugs is not actually using them, but getting arrested and convicted for using them. Smoke some weed as a teenager and you'll probably turn out just fine. Get convicted for smoking some weed as a teenager and you may not.

And isn't this exactly saying that the real problems for users of marijuana are the ones created by making it illegal?

It's also sharing in the joke that enforcement is so random and sporadic that they're not even worried about admitting to what amounts to a federal crime. There's a strange gentleman's agreement that we never prosecute admissions for former drug use, if only because we'd have more prisoners than free citizens if everyone who'd ever smoked pot were to be locked up.

Now, it's not the case that extremely harsh but seldomly enforced punishments are always bad public policy. This is the Gary Becker theory of rational deterrence - you need punishments to be harsher if the probability of being caught is low, but the social harm is high, so that deterrence is strong.

Back in medieval times, things like highway robbery and horse stealing always got extremely harsh punishments. Not because they were the most repugnant crimes, but because they were committed frequently, the cost of allowing them was very high, and the punishment needed to be very nasty to encourage people not to do them.

But here's the question - can you imagine people at the time jokingly admitting in their memoirs that they'd been horse thieves and highway robbers? Of course not - they'd be hanged immediately. And that's because highway robbery was a serious social problem that the authorities were taking serious steps to try to remedy, even if they would offend our current sensibilities.

By this metric, marijuana is definitively not a serious social problem. People are happy having ridiculously harsh punishments that ruin lots of people's lives, confident that as long as they don't get caught at the time, enforcement is so lax that they can joke about it in public. It's a farce, but it's not a funny farce.

I have never, never, heard a coherent public policy rationale for why alcohol should be legal and marijuana should be illegal. Like Penn Jillette, I don't partake in either, so I have no dog in this fight personally.

But ruinous social policy is everybody's concern. It's a sick joke, and it's time to end it.

Sunday, May 20, 2012

Fun run participants - stop being so god damn smug

Suppose I were to present you with the following proposition:

"Next Sunday morning, I'm going to take a dump on your front lawn.  When I'm done, I'm then going to donate $15 to charity. You'll have no say in the matter - this is going to happen regardless of what you want.  When I'm done, I'm going to walk away and feel proud of how I helped out a good cause, and you should be honoured to be part of the charity process - in your case, the cleanup."

How persuaded would you be by this logic? Would the phrase 'not very' about sum it up?

I imagine the modal answer would be something like:

"Look, I'm glad you want to give to charity, but what the hell has that got to do with crapping on my lawn? It seems that taking a dump on someone's property is the actual point of the exercise, and the charity bit is mainly a fig leaf. The whole thing seems bizarre and contrived. Donate to charity if you want to, but leave my lawn out of it."

And that's exactly how I feel about fun runs.

A bunch of yuppie, SWPL women (and their herb boyfriends) decide to go for some charity run or other. The neighbourhood gets shut down. Local residents get the joy of having their house made inaccessible, and their streets closed down.

So if you happen to be (to pick an entirely hypothetical example) dropping someone at the airport as the run is being set up, and you had the misfortune to arrive back while it was in full swing, you might find yourself unable to get back to the street that your house is on. You might also, to extend our hypothetical, be unable to even park anywhere remotely close to your house, due to the bays all being taken by everyone trying to do the same thing, resulting in swarms of angry drivers doing police-enforced U-turns looking for parking and/or an open street. Hypothetically.

So why do these damn things keep happening? Simple - a sizable fraction of the participants find it fun to get to run in a big crowd along the road that's normally reserved for cars. Not all, of course - some are just giddy with the ability to ostentatiously give to charity, and the fun run gives them an excuse to tell their friends about their generosity in a way that writing a cheque doesn't.

But a large percentage just like the idea of doing an organised run along the streets, and don't think or care if they're inconveniencing a lot of people.

You know who else does that? A**holes like Critical Mass. Fun runs are basically just Critical Mass, but with a better PR department. At least the cyclists are honest enough to admit that they're going to piss you off, and don't care. Fun run participants convince themselves that they're actually doing you, and the world, a huge service.

In order to launder the guilt properly, there has to be the maddening two-step of blame-dodging. It's the charity that organises the run. The participants just say 'look, the run was already going ahead! It's not me blocking off your streets, I just happen to like taking part.' The charity either doesn't care (more likely), or explains it as 'look, these charity fun runs raise a lot of money because SWPLs like running on city streets. If we don't do it, someone else will.'

And so they go on.

I know exactly what response this kind of claim produces from the standard whiners - "They're doing so much for charity! Why don't you just put up with a small inconvenience for a good cause?"

This is totally bogus, and just muddies the two parts.

Nothing, nothing, is stopping these people just writing a cheque to whatever charity they're supporting. You think the charity won't take your money unless you've signed up to the fun run? Don't make me laugh. Donating directly would also have the added benefit that a) all the money goes to the cause, instead of most of it subsidising the recreation, and b) then it would have to be all made up of their own money, rather than hassling their friends.

And if they won't write the cheque unless they're allowed to do the fun run, what is that telling you? To me, it sounds exactly like the first hypothetical. I'm going to use this act of charity as moral blackmail in order to do something entirely unrelated that I want to do anyway.

The Talmud has a very different idea of charity:
Charity, ideally, should be given in secret so that the two parties, the giver and the receiver, do not know each other.
By this standard, modern charity can't be accomplished without the donors literally organising their own parade run to celebrate their generosity, and then using most of the proceeds to fund the parade itself.

You'll forgive me for not getting all misty-eyed.