Knowledge Problems
Since we're doing Kevin Williamson (and markets) today, his piece on Davos has a very strong middle. It begins and ends in easy mockery, but in the center he makes a well-crafted argument.
There exists in every human being, in every human organization, and every human system a sort of epistemic horizon, a real and meaningful boundary on the amount of knowledge and cognitive firepower that that person or agency can bring to any given problem. This is a fact that is at some level known and understood across the political spectrum: It is the cornerstone of the progressives’ case for diversity, in that people with different knowledge inventories, different experiences, and different perspectives are more likely to discover effective solutions to complex problems than are groups that are more intellectually homogeneous. For conservatives of a Hayekian bent, this is the familiar “knowledge problem,” the understanding that markets will allocate resources more productively than political agencies will because markets are the only effective means of aggregating usable information about specific economic situations.I think progressives would be happier with the market if it came with a guaranteed income: the idea of inclusively deciding what we value by individually deciding what we'll spend money on would be more persuasive to them if people reliably had money to spend. This also may be a privilege problem for them more than it's a capitalism problem.
We understand the problem of the epistemic horizon, but we do not apply that understanding nearly broadly enough. Progressives believe that “diversity” increases when an organization dominated by white men who are overwhelmingly graduates of the same five law schools, who have read the same books, watch the same television shows, and hold the same relatively narrow range of political opinions adds to its personnel a white woman or a black man who is also a graduate of one of those same five law schools, who has read the same books, watches the same television shows, and holds political views within that same relatively narrow range. Conservatives, to their credit, generally understand that intellectual homogeneity is different from ethnic or sexual homogeneity, but they, too, are generally too unwilling to carry through the more radical implications of that knowledge.
The intellectual homogeneity of policymaking elites is a serious and underestimated problem. To take an obvious example: The American policymaking class includes both progressives and conservatives, but it is overwhelmingly dominated by college graduates and people in occupations that are largely open only to college graduates. Unsurprisingly, our educational-policy debate is almost exclusively focused on how to get more people prepared for college, how to get more people through college, and how to help college graduates deal with financial obligations incurred in the course of a college education. Even a celebrity like John Ratzenberger (Cliff Clavin of Cheers), whose background is in carpentry and whose interest is in cultivating skilled labor, has a difficult time influencing that debate. This is not a result of ill will, selfishness, or malfeasance on the part of elites; it is just that it seems natural to them that the sorts of problems people like them tend to have are the ones that we need to focus on, and that what worked in their lives will work for everybody else....
People whose profession is the crafting of legislation or the application of regulation reflexively (and understandably) assume that if you want more of something, then the thing to do is to pass a law mandating it, and that if you want less of something, then the thing to do is to pass a law punishing it. The bigger picture — that laws and regulations and other aspects of policy interact with one another in unexpected ways — is generally invisible to them. If you are a lawyer, then you understand most social questions as a matter of law; if you are an economist, you understand them as questions of economics; if you are a teacher, you think that the answer to many social problems is better schools. This habit is only natural.
Conservatives are generally inclined to make a moral case for limited government... but the more important argument is the problem of ignorance. Even if Congress were populated exclusively by saintly super-geniuses, there is only so much that 535 human beings can know and understand. The more that decision-making is centralized in political agencies, or even in elites outside of formal government, the more intensively those decisions will be distorted by ignorance. This is true of market-oriented institutions, too, in the sense that big businesses make big mistakes. One of the lessons of the 2007 financial crisis is that the guys who run the banks do not actually know that much about how banks work, even if they know 100 times what the banking regulators know. Free markets offer a critical, if imperfect and partial, corrective to that in the form of financial losses and business failures, which is why things like cars and computers consistently improve while schools and welfare programs don’t. Big markets with lots of competing buyers and sellers are the biggest thinking machines we have, offering the broadest epistemic horizon that our species has figured out how to achieve.
There is a deep philosophical challenge for progressives in that: Progressives say that they want inclusive social decision-making, but the most radically inclusive process we have for social decision-making is the thing that they generally distrust and often hate: capitalism — or, as our left-leaning friends so often put it, “unfettered” capitalism.
Mini-crusades
Kevin Williamson really, really dislikes Jon Stewart:
The Left has been losing the Big Idea debate for a generation or more, in no small part because its last Big Idea killed 100 million people, give or take, and not in Mr. Klein’s projecting-abstractly-from-a-CBO-study way but in the concentration-camps-and-hunger-terror way. Marxism was the Left’s Big Idea for the better part of a century, and its collapse — which was moral, economic, political, and complete — left a howling void in the Left’s intellectual universe. Nothing has quite managed to fill it: In the immediate wake of the collapse of Communism, the anticapitalists sought shelter in a variety of movements, few of which grew to be of any real consequence, with the exception of the environmentalist movement. But the lenten self-mortification implied by a consistent environmentalist ethic has limited that movement’s appeal as a governing philosophy and an individual ethic both, hence its fragmentation into a motley sprawl of mini-crusades. It is easy to be anti-fracking when that does not require you to give up anything, easy to oppose the expansion of the Keystone pipeline network when you can be confident that the gas pumps in your hometown will always be full, easy for well-off Whole Foods shoppers to abominate varieties of grain that are possessed by evil spirits or cooties or whatever it is this week.I don't think the proposed replacement of the Left's failed Big Idea is only a series of mini-environmental crusades. I think it's an attempt to achieve redistribution and a command-and-control economy by force, without thinking through where the force will lead when free people resist.
The cure
Victor Davis Hanson on the strategies that do and do not work for Islamic extremism:
[I]f Islamic-inspired violence abroad does not directly and negatively affect the Middle East, or if it creates a sense of fear of radical Islam among Westerners that does not translate into hardship for the Muslim world — or that perhaps even succeeds in winning a sort of warped prestige — then there is no reason to expect the Islamic community will take the necessary measures to curb it.
The sense of perceived persecution in the Middle East is real — analogous to Germany’s lamentations after the Versailles Treaty. The retreat into Islamic-inspired terror reflects a larger, complex stew of anger at the reach of Western globalization into traditional and conservative Islamic societies and of envy of the wealth and influence of the Western world, combined with an inability to offer self-critical analyses about the role of tribalism, statism, gender apartheid, religious fundamentalism, intolerance, autocracy, and anti-Semitism in institutionalizing poverty and instability.
For a sizable minority of Muslim immigrants to the West, a sense of inferiority is sometimes enhanced rather than diminished by contact with Western liberal society. The longer and further immigrants are away from the mess of the Middle East that caused them to flee or at least stay away, the more they are able under the aegis of Western freedom, prosperity, and security to romanticize what provides them with the sense of self that they have not earned in their adopted countries.
In the Middle East, when modern societies reach such a point, they prefer to blame “Jews” or “the decadent West” rather than their own pathologies for a perceived descent from the glories of a past — and religiously pure — age. . . .
When the nihilism of radical Islam manifests itself not just in the bombings in Paris or Boston, but right at home with the rise of the murderous Islamic State, or when the Arab Spring is hijacked by Islamists who typically leave Somalias in their wake, or when Middle Eastern Muslims find it hard to emigrate to and reside in Western countries or to freely import Western goods, or when the leaders of Middle Eastern appeasing states are ostracized from international gatherings, or when states that behead and stone are shunned by the West, then support for the terrorists and what produced them will begin slowly to fade.
Market talk
Thomas Sowell is the man for me. ConservativeBlog is featuring a series of interviews with him:
[Interviewer] DH: Let’s move on to the next chapter, “Myths about Markets.” Let’s start with the phrase “dictates of the market.” What’s wrong with that phrase?
TS [Thomas Sowell]: The market is in no position to dictate. You can write a whole book on the misuse of the word “power” as it regards markets. The left likes to say Wal-Mart is a powerful force. There are people who have never set foot in Wal-Mart, who never will set foot in Wal-Mart, and there isn’t a thing Wal-Mart can do about it. Insofar as there are voluntary transactions, there are no dictates. People who use that phrase often want to create a situation whereby they, through the government, can dictate to the market.
DH: Let’s talk next about prices. You write about the concept of reasonable or affordable prices, and, here’s a direct quote, “It is completely unreasonable to expect reasonable prices.” Explain.
TS: Reasonable prices are prices that adjust to our budget. Prices, of course, are determined in part by what it costs to produce things and get them distributed and so on, and so there is no reason whatsoever to expect reasonable prices. There is no reason in the world to expect costs to conform to what you are willing to pay. There is no reason to expect the Hope Diamond to be affordable.
. . . .
DH: I think most people hear the term “non-profit” and think of a group that is selfless, works for the public good and not private gain, and embodies just about everything that is good about human nature. You don’t quite see it that way. You write, “What are called ‘non-profit organizations’ can be better understood when they are seen as institutions which are insulated, to varying degrees, from a need to respond to feedback from those who use their goods and services, or those whose money enabled them to be founded and continue operating.” Can you expand on that?
TS: The difference is that a profit-seeking organization has to please simultaneously the customers and the investors. A non-profit organization doesn’t have to do that with either one—particularly if it is a long-lived organization. Many of the people who have invested in it are already dead. Among those that are still alive it is very hard for them to monitor what is going on inside the organization.
There is overlap in the things that for-profit and non-profit organizations do, like publishing magazines and stuff like that. And so they compete. Over time, if it was true that non-profits didn’t have the problem of generating profits and had better people, the non-profits would be taking away market share from the profit sector. In point of fact, just the opposite happens. For example, it is very common for college bookstores to be taken over by a Barnes & Noble or cafeterias to be taken over by profit-seeking companies. The test of market share is usually won by the profit-seekers.
45 Degrees is Cold? Please.
Some NYT lib is congratulating himself on surviving a house whose thermostat he set to 45 degrees F.
Doesn't hurt anything. When the temperature gets down low enough to be genuinely dangerous -- say the teens -- we all move into the room with the wood stove, tarp it off with blankets, and sleep snugly. The rest of the time, if you're cold you need to work. There's always work to do.
The lowest the thermostat would go was 45 degrees, which I figured was good because I had to make sure the pipes wouldn’t freeze. At first it was fairly unpleasant. I wore two pairs of wool socks, thermal underwear, a thin pair of pants, sweatpants, a wool shirt, a sweatshirt, a light hoodie, a light jacket, a big poofy winter jacket, two winter hats and those fingerless gloves. Yet I was still having trouble typing because of my numb hands. That’s when I pulled out my down sleeping bag, and decided to wear it whenever I was sitting. With the sleeping bag, now that my core had been warmed, my extremities were warming up, too....Here at Grim's Hall, there is no bottom to the thermostat. We shut the heat off when we moved in, and don't turn it on but a few days a year. If the temperature is going to get very low, I shut off the water from the well, open the taps so the pipes can't burst, and let the house freeze.
I’m not going to say that I liked living in a 45-degree house, but eventually I didn’t mind it, and it taught me that one’s sense of comfort can be redefined with a bit of grit and resourcefulness. Sitting in my sleeping bag, I began to wonder: If we all set our thermostats to our own “comfortable low,” how many West Virginia mountains could we save? How many fewer wells would need to be fracked? How much less greenhouse gas would we emit?
Doesn't hurt anything. When the temperature gets down low enough to be genuinely dangerous -- say the teens -- we all move into the room with the wood stove, tarp it off with blankets, and sleep snugly. The rest of the time, if you're cold you need to work. There's always work to do.
Is crowdfunding unfair?
Compared to what? Letting experts decide how the rest of us should allocate our own resources to research?
Cruel & Unusual Punishment
Aftenposten sends three young fashion bloggers to work in the Cambodian sweatshops where their favorite garments are made.
It's Time Again for One of Eric Blair's Favorite Songs
This time in Yemen.
More recently in September 2014 Obama hailed Yemen, along with Somalia, as a model of the kind of “small footprint” approach he favored for fighting terrorism–sending American advisers and drones but not combat troops.... Yemen, in short, is on the verge of plunging into a Libya-like or Syria-like abyss, which would certainly make it representative of Obama’s foreign policy in the Middle East but not in the way the president intended.So what you're saying is that we needed a bigger footprint. That's easy for you to say, "Max Boot."
The administration in recent weeks has softened its anti-Houthi rhetoric. Many inside and outside the administration are tempted to see the Houthis as allies because they are fighting AQAP. This is a big mistake. The Houthis are, like Hezbollah, an Iranian-sponsored militia whose slogan is “God is great; death to America; death to Israel.”
Why Not Tax Savings?
I mean, I know we all oppose doing it, but what's the principle that justifies savings not being taxed that is consistent with our current system of taxation?
The Federal government taxes money you earn, then the state (usually) taxes it again. Any of it you spend get taxed a third time; if you save it, any interest it earns gets taxed. If you invest it, and make a profit, the profit gets taxed. If you buy real estate, the real estate -- which is just something you exchanged for the money -- gets taxed every year (and if you can't or don't pay the taxes, they'll sell it out from under you at auction, making sure they get 100% of what they tax before you get whatever, if anything, was left from the fire-sale price they accepted).
So we can't stand on the principle that the government shouldn't seize the fruit of our labor. We can't stand on the principle that they should only do it once, because we already permit double taxation even on income, and because we permit taxes on subsequent activity even after that. We can't stand on the principle that, at least once you own something and have paid all the taxes up to that point it should be yours free and clear: we continue to tax land you buy (and automobiles, at least if you want to take them off the land you bought). So accumulated wealth is already subject to taxation, in certain forms.
Progressives have been talking for years about a wealth tax, of which this is just a partial version. It strikes me that this form isn't that different from the property taxes we pay every year. Why shouldn't you have to pay for the privilege of holding a certain amount of wealth? There are lots of arguments, but are any of them consistent with what we already do?
If not, does that mean that the tax system we have is unprincipled? If so, does that make it unjust? Or is it fine to have a completely contingent system? If that, then, why oppose a wealth tax? It's just one more contingency.
The Federal government taxes money you earn, then the state (usually) taxes it again. Any of it you spend get taxed a third time; if you save it, any interest it earns gets taxed. If you invest it, and make a profit, the profit gets taxed. If you buy real estate, the real estate -- which is just something you exchanged for the money -- gets taxed every year (and if you can't or don't pay the taxes, they'll sell it out from under you at auction, making sure they get 100% of what they tax before you get whatever, if anything, was left from the fire-sale price they accepted).
So we can't stand on the principle that the government shouldn't seize the fruit of our labor. We can't stand on the principle that they should only do it once, because we already permit double taxation even on income, and because we permit taxes on subsequent activity even after that. We can't stand on the principle that, at least once you own something and have paid all the taxes up to that point it should be yours free and clear: we continue to tax land you buy (and automobiles, at least if you want to take them off the land you bought). So accumulated wealth is already subject to taxation, in certain forms.
Progressives have been talking for years about a wealth tax, of which this is just a partial version. It strikes me that this form isn't that different from the property taxes we pay every year. Why shouldn't you have to pay for the privilege of holding a certain amount of wealth? There are lots of arguments, but are any of them consistent with what we already do?
If not, does that mean that the tax system we have is unprincipled? If so, does that make it unjust? Or is it fine to have a completely contingent system? If that, then, why oppose a wealth tax? It's just one more contingency.
Evidence-based science
Yes, I have been cogitating on the difficulty of sustaining evidence-based scientific beliefs in human society. Why do you ask?
There is very interesting news out of Pakistan today that the father of a child who has developed polio has been arrested because he refused to allow his son to be vaccinated:
This report probably isn't fair to the Pakistanis. There's good reason to think that they're not so much motivated by spurious reports linking vaccines to autism as they are to fairly well-grounded suspicion of the people who show up at their doors offering public health interventions. They may or may not be mistaken about that concern, but it's not really a question of scientific integrity.After a polio case was detected here on Thursday, the Kohat administration arrested the father of the affected child because he had refused to get his child vaccinated against polio when vaccinators visited his home. Two health supervisors and a patwari have also been taken into custody for showing negligence in performing their duty. Three-year-old Mohammad is the second victim of polio in Dhodha area of Kohat district this year. Deputy Commissioner of Kohat Riaz Khan Mehsud told Dawn on telephone that he issued orders for arrest after an inquiry revealed that the father of the affected child, Mullah Mohammad Yousuf, had not allowed vaccinators to give polio drops to his son.
It's not "secret" secret
Great moments in transparency:
DAVOS, Switzerland -- The trade rules of the proposed Trans-Pacific Partnership (TPP) between the U.S. and 11 Asian nations would cover nearly 40 percent of the world economy -- but don't ask what they are. Access to the text of the proposed deal is highly restricted. Nevertheless, U.S. Trade Representative Michael Froman defended the Obama administration Friday at the World Economic Forum from intensifying criticism of its refusal to release the full text of the proposed TPP.
“We can always do better on transparency,” he said . . . .
Froman suggested that nations have varying definitions of transparency.That could explain it.
Snits
No doubt "there will be a price" for Netanyahu's addressing the Congress without the President's blessing, but who will pay it?
[I]f Obama really wanted to hurt Netanyahu’s electoral prospects, he would embrace the Israeli leader. As of last year, 70 percent of Israelis said they had no confidence in Obama to safeguard their national interests. For most of the president’s first term, his approval rating in Israel was persistently stuck in the single digits. Netanyahu could only benefit domestically from being seen as a figure nobly standing opposed to the hostile administration temporarily occupying a historically friendly American government.
A truce in the war on drugs
Johann Hari argues that the "chemical hooks" model of addiction is all wet. What, for instance, explains why addiction to gambling looks almost exactly like an addiction to heroin? You can't inject gambling into the bloodstream. From studies of rats offered cocaine in either cheerless isolated boxes or happy rat parks, to Portugal's experimentation with decriminalizing drugs and pouring resources into restoring human connection and meaning into addicts' lives, Hari concludes that addiction is a feature of alienation and nihilism, not the inescapable danger of the addictive object. What else explains the relative ease with which miserable broken-hip patients and Vietnam conscripts kick the heroin habit as soon as they escape into a more humane environment?
I don't know. I do know that people will latch onto meaning anywhere if they can't find it in appropriate places in their lives, and onto oblivion if they can't find meaning. On a related topic, an MIT professor emeritus of meteorology warns what happens with Jonestown-like cults find their global hotcoldwetdry narrative unraveling. And the unraveling is getting serious. It won't be long, surely, before even cult members will have difficulty reconciling their assumptions about a positive-feedback greenhouse mechanism with the 19th or 20th year in a row of catastrophic global climate normalcy. Mass suicides in store, or only rampant addiction?
I don't know. I do know that people will latch onto meaning anywhere if they can't find it in appropriate places in their lives, and onto oblivion if they can't find meaning. On a related topic, an MIT professor emeritus of meteorology warns what happens with Jonestown-like cults find their global hotcoldwetdry narrative unraveling. And the unraveling is getting serious. It won't be long, surely, before even cult members will have difficulty reconciling their assumptions about a positive-feedback greenhouse mechanism with the 19th or 20th year in a row of catastrophic global climate normalcy. Mass suicides in store, or only rampant addiction?
Denying grist to the mill
What happens when journalists consider it their duty, not to report the truth, but to prevent facts from being misused by the enemies of society?
Jean-Claude Dassier, director general of the news outfit LCI—France’s version of CNN—admitted in 2005 that his network shielded viewers from seeing the true destruction wrought by angry Muslim rioters who were then besieging France. “Politics in France is heading to the right and I don’t want rightwing politicians back in second, or even first place because we showed burning cars on television,” he confided.
The only rational conclusion is that Dassier wants to keep the French public uninformed because they’d likely vote for Front National, France’s unapologetically nationalist party, if they knew what the heck was happening to their country. Better not to cover the news lest people figure out that the “bigots” have a point.
… I have no doubt that most journalists think very hard about what they broadcast and that’s the problem. They don’t give it to us straight. The constant impulse to shape the news to fit an agenda strips their reporting of any value. That omnipresent question “What would the Right do with this?” hangs over their coverage, influencing editorial decisions to the point that their end product can only be called propaganda.
Ranking Corruption
FiveThirtyEight, defending New York from the accusation of being the most corrupt state in the Union, provides four standards for corruption that "point in different directions." By one of them, Georgia is the #1 most corrupt state of all.
Of course, that's not always true, even if it is a pretty reliable principle of historiography. Alabama just passed a strict rule against the practice of shariah law within its borders, and as far as I know there's very close to none being practiced there.
What about good anti-corruption laws? The State Integrity Investigation had “experienced journalists grade each state government on its corruption risk using 330 specific measures” put into 14 categories, including campaign finance, ethics laws, lobbying regulations and management of the state pension fund.Historians say that laws against a thing are good evidence for the existence of a thing. If you find laws against polygamy, you can be pretty sure that there was some polygamy going on and people didn't like it.
The scores on these laws had little correlation with the other measures of corruption. Georgia took home the honors as having the least stringent anti-corruption laws. Somehow, New Jersey was rated as having the best anti-corruption laws, even though it ranked as the third and eighth most corrupt state, according to the reporter rankings and federal corruption convictions per capita, respectively. Illinois ranked in the top six across all the other categories, except it had some of the best anti-corruption laws on the books.
The lack of connection between the laws and actual corruption shouldn’t be that surprising. Some of the most corrupt states have recently passed laws because they were corrupt. The less corrupt states may not need the stricter laws.
Of course, that's not always true, even if it is a pretty reliable principle of historiography. Alabama just passed a strict rule against the practice of shariah law within its borders, and as far as I know there's very close to none being practiced there.
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