Tuesday, September 12, 2006

Humans in Crisis

Slate runs this piece:
In his New York Times column yesterday (TimesSelect subscription required), Frank Rich discussed a photograph taken by Magnum photographer Thomas Hoepker on Sept. 11, 2001, showing a group of young people chatting on the Brooklyn waterfront, apparently indifferent to the scene of destruction across the river. Slate has reproduced the photograph below, which the Times did not print with the column.
Shankar Vedantam in the Post discusses research on how people react in crisis:
"Human beings in New York, Sri Lanka and Rhode Island all do the same thing in such situations. They turn to each other. They talk. They hang around, trying to arrive at a shared understanding of what is happening."
His discussion is in terms of how we can be slow to react to alarms--we have to understand whether this is a fire drill or a real fire, etc. etc.

I'd suggest Vedantam's article explains the photo--the people are looking at each other as the towers burn in the background, but they're trying to understand, not discussing last night's bar scene.

Monday, September 11, 2006

Kevin Drum, Blair, and Gore

Kevin Drum today says that Blair's support for the war helped persuade him, as it did me. And he argues that, particularly in foreign policy, that sort of thinking is rational. I agree. Then he posts Gore's speech 5 months after 9/11. Which is interesting.

9/11

It's obligatory to write something on 9/11.

Cats and Dogs

I'm struck by the personality differences between cats and dogs. Imagine a puppy dog who energetically runs around, exploring every nook and cranny, rushing back to you with some interesting stick, running off to search out more. Then imagine a cat, sitting by your side, content to let the world come to her, sure that there's nothing in the world worthy of any exertion, snootily amused at the energy of the dog. Let dog come too near cat, and whap, blood runs from nose.

Of course, cats can be curious and dogs somnolent, but today I prefer my image.

Monday, September 04, 2006

The Rat Race and Productivity Measurement

From today's Post by Shankar Vedantam:
"For years, economists have taught their students a simple maxim: As employers hunt for workers, they want to get the best talent at the lowest price.

According to this theory, whether employees want to work long hours or short hours, employers have an incentive to accommodate them, because asking people to do something they don't want to do raises the price of labor -- workers demand more compensation.

On this Labor Day, consider a paradox: Millions of Americans say they feel overworked and stressed out. Many say they want to work fewer hours and find a better balance between responsibilities at home and work. Given that people have been saying this for quite a while, employers should have figured out by now that they can save money by being more flexible in workplace arrangements."

The piece goes on to cite some research showing that the output of law associates can't be measured, so they get rated based on hours worked. Which leads to the rate race as described by many lawyer-writers. I'm struck me two ways:
  • First, I always like cases proving economists wrong.
  • Second, Jame Q. Wilson says one of the reasons for bureaucracy is that output can't be measured (if it could, it could be quantified and monetized and marketized and privatized). So it's nice to see private enterprises sharing the characteristic.

Saturday, September 02, 2006

More Christian than American?

I was catching up with my reading of the Cliopatria blog and found a discussion of Pew's research on the feelings of European Muslims, including this quote:
"French Muslims may feel more French than British Muslims feel British, but the question of how minorities feel about their citizenship and nationality has, in the past, produced highly deceptive results. Those who claim to be true French may have more to say about how integrated French Muslims really are."
I started to wonder. Suppose Pew asked Americans if they considered themselves more Christian or more American, more Jewish or more American, etc.? From my reading, and understanding of my preacher forebears, anyone devoutly religious would have to say: "I'm more Christian than American"; or whatever religion. Certainly anyone who believes in the hereafter would have to. Wouldn't they?

Friday, September 01, 2006

Accelerated Counter-Cyclical Payments

Whoops, I screwed up. My previous post on this issue tacitly assumed that USDA was accelerating the 2006 counter-cyclical payments for cotton, sorghum, and peanuts. In fact, according to a notice issued today and available here, it's the 2005 payments. Makes a bit more sense--roughly speaking this is the final third of the payments. While the official average price data isn't available yet, the data is clear and USDA is safe to issue the payments.

Incidently, this is a case where the Bush administration effectively moves expenditures forward from one fiscal year (2007) to the previous one (2006). There was discussion on the Washington Monthly site over HHS shifting money from FY 2006 to FY 2007 to decrease the size of the deficit before Kevin Drum here concluded that Congress mandated the shift in the Deficit Reduction Act. Ironically, I'm too lazy to check this rainy afternoon but I believe this provision in the Deficit Reduction Act had the effect of moving CCC payments back from FY 2006 to FY2007. So, Johanns has undone the effect of Congress acts:

Ladies and gentlemen, boys and girls, here are 700 million dollars and three shells. Watch very carefully, very very carefully and tell me which shell hides the money--are the millions of dollars here or are they there?

Dependency Ratios Revisited

From Tyler Cowen at Marginal Revolution:
"Here is a basic argument and model that the youth dependency ratio can matter.

I can see three possible mechanisms. 1) Fewer babies mean that more women work. 2) Fewer babies mean that each baby gets more parental investment; in the long run those people are smarter. 3) Fewer babies raises the savings rate."
He goes on to argue that none of them explain Ireland, at least not very much. I'm still musing over the way economists think, compared to me. But today the Times had an interesting article on manufacturing in India, including the suggestion that manufacturers, because they can look ahead and see China will soon have a high dependency ratio while India will have a low one, are deciding to invest in manufacturing plants in India.

Thursday, August 31, 2006

USDA Does It Again (Updated)

As reported on AgWeb - Your Spot for Futures Trading, Commodities Info, Ag News, Successful Farming Tips & More, and many more media outlets serving agriculture:
"Agriculture Secretary Mike Johanns today announced during a visit to South Dakota $780 million in assistance to help farmers and ranchers manage drought and weather related production challenges. "
Sounds good, doesn't it? But the reality is less impressive, particularly in South Dakota. Upland cotton, peanuts, and grain sorghum aren't really big crops in that state, and the bulk of the $780 mill is in accelerated counter-cyclical payments for those crops. There's no explanation of why the crops were selected, but perhaps because the economists were reasonably comfortable that the payments would be earned. (The computation of the payment rate typically requires collecting national weighted average market prices for a year. So when I worked cotton payments weren't made until February of the next year.) [Updated note: According to this,
the 2002 Act changed the schedule, partial payments are made in October, then February, then after the end of the marketing year. There's nothing I've seen to specify whether USDA is just moving the October payment up by a month or more.] If I'm right, there's no intrinsic relationship between the drought and the payments, except the fact this is a year divisible by 2.

According to this site, the severest drought is in Wyoming, western South Dakota and western Nebraska, which are wheat areas, and in Texas and Oklahoma which do grow sorghum and cotton. It would be interesting to know if there was any consideration of advancing the payments just to producers in the disaster-affected counties. It would be do-able, if legal.

It's also interesting to note that Johanns has just cost the taxpayers X million dollars. Moving up the payments means the Treasury Department has to borrow the money earlier than it would have, and 5 percent interest on $700 mill starts to add up. (Relax, it's not "real money" according to Senator Dirksen's definition.)