Usability and Gov Gab

To be fair to Gov Gab, which I've questioned before, I found this post to be interesting, particularly the bit on the usability testing Social Security Admin did on the drug benefit. Usability testing was a cutting edge tool in IT in the late 80's but it was difficult to implement. When you're in a time crunch, usability testing is the first thing to go (then training, then instructions, etc. etc.). It takes a lot of discipline to say: do it right the first time and you'll save time (resources) over the long run. It's also true that most times usability testing didn't show a smoking gun, so it's easy to minimize its importance.

Environmentalism versus Locavores

Farmgate has an article on the complications of corn after corn. Someone like Michael Pollan, Barbara Kingsolver, or Bill McKibbern would read it and say--you see, industrial agriculture, tweaking the inputs of chemicals, not natural at all. But the article is based on the higher price for corn, which is based on ethanol, which is a result of environmentalism.

Some times you just can't win.

Mr. Pollan Again

Michael Pollan had an op-ed on the farm bill in yesterday's Times. Warning--I'm not a fan of his, to put it mildly. I'm not impressed by the article (surprise!)--he hit the usual points of the "greens". I think he'd do better sticking to his books.

Payment Limitation for Real?

Just for the hell of it, I'd suggest if people really want payment limitation to work, you'd need to give the Justice Department funds for a team of attorneys to prosecute fraud cases. (Now I doubt anyone in Justice has much interest in prosecuting people for violating the U.S.Code in connection with farm payments, even if some conscientious bureaucrat in FSA comes up with some information that warrants referral to Justice. They've got bigger fish to fry.

(This is inspired by a provision in one bill to make farmers ineligible for payments if they're determined to have committed fraud. That's a step, but ask FSA how many farmers fit this description now.)

Absent such provision, payment limitation is like the speed limit.

[note to self--I seem to be in a dour mood today.]

The Old Congressional Shell Game

In order to get the bill scored right (i.e., for the Congressional Budget Office to evaluate the changes in farm programs under the farm bill and assign a dollar figure to the costs), Congress is engaging in its usual shell game tactics. What you do is look at the fiscal years, which is the basis of scoring. Then you move as much revenue as you can from the fiscal years beyond the period of the bill into the period and reverse the process with costs. It looks as if they're doing that with advance payments, and with crop insurance revenues (based on a quick review of the CBO summary of the bills).

It's much the same process with tax paying--if this is a high income year, any tax adviser will say, consider raising your deductibles, like move charitable contributions into this year.

Of course Congress will reverse their shell game down the road, once the "scoring" is safely in the past. Only taxpayers who indulge in fraud can do the same with taxes.

Greenspan the Libertarian Bureaucrat

I mentioned I was reading Greenspan's book. It's not as personal and detailed as I would like--the last part is discussion of geo-politico-economic issues, which takes some effort to plow through. A couple notable points

• He is very complimentary of Clinton--brains, sustained interest in economics, a fellow devotee of facts with good economic policies. Other presidents suffer by contrast.
• He's notorious as an early devotee of Ayn Rand, for whom I have little regard (which no doubt is worrying her as she suffers in the circle of Dante's Inferno designed for libertarians). But, as often seems the pattern, while he generally doesn't believe much in government, he praises the Federal Reserve highly. I say it's a pattern--it seems I often notice Republicans who come into government skeptical of the bureaucracy who, when they leave, say something like: my bureaucracy was able and effective.
  

Comparison of Farm Bills

Via Uof IL farmgate, the URL for the Congressional Budget Offices comparison of House, Senate, bills and current law.

Can States Have "Dutch Disease"?

Reading Alan Greenspan's book. He discusses "dutch disease"--the adverse consequences of having oil or similar natural wealth. Thought of it when I read this post on Alaska by Kevin Drum. Apparently Alaska is riding its oil wealth for all it's worth, and not developing the tax structure needed to support a good society once it's gone. Hence the "Bridge to Nowhere"--if Uncle Sugar will fund our infrastructure, fine.

Problems with Farm Policy

Tom Philpott at Grist writes:

From an ecological standpoint, the fundamental problem with U.S. farm policy dating back to the '70s is that it rewards farmers for maximizing yield at all cost.

I assume that his reference is to the 1970's, but the same statement would be true for the 1870's and the 1770's. As long as farmers are producing for the market, which they've been since Captain John Smith decided that pursuing gold in the New World was not a paying proposition, at least not in coastal Virginia, their incentives lead to short term over-production at the cost of long-term productivity. That's an issue in the cash lease/share lease controversy in Illinois, I just posted on.

Straws in the Wind--Uof Illinois

John Phipps comments on a policy change by the University of Illinois, which owns 11,000 acres of farmland (from donations) and has been share leasing the land. They've decided to switch to cash leasing, which means putting the lease out for bids, and may price the past operators out of the market. See this article, via John.

The Illinois Farm Bureau is opposed to the policy change.

John comes down on the side of the right of the owner to rent to whom he chooses.

Random observations:

• the article comments that 3/4 of the IL farmland is rented, which is higher than I would have guessed.
• There's no comment in the article about the possible role of payment limitation rules. UofIL would no longer be eligible for farm payments when they cash lease. I don't know what the current rules are, but educational institutions used to be exempt from payment limitation. According to EWG, the university got $450K in 2005. I don't know how they might be affected by the pending proposals.
• John mentions the outdated notion that a leasor's labor and improvements gave him some sort of moral ownership of the land. That ties back to Ireland, whence came many of my ancestors, where you couldn't buy land and the best you could hope for was a long term lease. If I'm not mistaken, the English passed a law giving the tenant some right to his improvements. It also goes back to western New York in the early 1800's, where people hoping to buy land from the Holland Land Company also felt they had a right to their improvements. Unrest reached such a point that a Company's office in Mayville, NY was burned, destroying all the records.