From the comments: All of the Bad Things that democratic governments do

My general point has to do with this anti-democratic argument:

[…] where are the masses to stand up against war, bank bailouts, taxation, police aggression etc?

These are all Bad Things that democratic governments do, but they are also Bad Things that all governments do. And, in turn, these Bad Things are much less prevalent in democratic societies than they are in non-democratic societies.

In fact, it is only in democratic societies that you can complain about these Bad Things. It is only in democratic societies that you can do something about these Bad Things (even if it’s just blog-ranting).

This simple observation leads me to conclude that anti-democratic libertarians have it back asswards when it comes to democracy. Democracy is a byproduct of liberty. Maybe anarchy would lead to even less “war, bank bailouts, taxation, police aggression etc,” but as of now it is in democracies that these Bad Things have been made less prevalent.

Anti-democratic libertarians aren’t thinking on the margin when it comes to democracy. (Hence the dogmatism you find in certain anarcho-capitalist circles.)

This is from yours truly, in another dialogue with Chhay Lin on democracies, anarchies, and meritocracies. Read it from the top!

From the comments: Microstates and military protection

I took a look at the table Easterly & Kraay provided in the paper that you cited (here is an ungated pdf; it’s on pg 22) and all of the rich small states save for The Bahamas (which is 50 miles away from Florida) enjoy military protection from larger polities.

Bahrain and Qatar have the US Navy looking after them, Iceland is in NATO, Bermuda is a Crown Colony, and Luxembourg is nestled comfortably in between France and Germany (and people say the EU is worthless!). If you throw Macau and Hong Kong into the mix you’re looking at a well-protected group of microstates.

It’d be very interesting to see how empirically robust this observation is, but I suspect it won’t be done because most people who focus on microstates tend to have a soft spot for them. To acknowledge the deep intertwinement that successful microstates have with larger polities is to acknowledge the prominence that incoherence and messiness enjoy when it comes to existence of states and the issue of sovereignty.

This is from yours truly, in a dialogue with Chhay Lin on microstates and economic development. Read the whole thing from the top!

Cyclical History

An interesting result from behavioral/experimental economics is that bubbles can happen even with smart people who should know better. But once those people go through a bubble, they do a better job of avoiding bubbles in the future.

I think this result has major implications for society more broadly and I think we’re seeing it play out in the news. In the ’70s people learned a lot of hard lessons about things like stagflation (and racism–but ask a sociologist about that) that made the following decades easier. But those people gradually retired and were replaced with people who weren’t inoculated to certain ideas (like the idea of inflating your way out of a supply-side recession).

We’re now living in a world where the median voter and her elected representatives have unlearned those hard lessons. And so we’re going to live through the 1970’s again. Hopefully. If we’re not so lucky we might live through the 1930’s again.

Evolution in Everything: Handwriting

There’s a whole set of simple but profound lessons that, if I were being lazy, I might call “the economic way of thinking.” We move through a hand-me-down world, solving some problems and creating new problems, adjusting and adapting, and shaping the world that we pass on to the next generation.

I just stumbled on a lovely example in an article about ballpoint pens and the end of cursive. A technological change changed the nature of handwriting, but the structure of human capital lagged behind. Specifically, the widespread adoption of ballpoint pens meant the old way of writing–how to hold the pen, how to form the letters, etc.–was poorly suited to the tool being used. This should have been an opportunity to test unchecked assumptions (e.g. about what the “correct” way to write is) but instead an inefficient practice (cursive writing with a bic pen) persisted in the face of increasing obsolescence.

I particularly like the idea of trying something new (fountain pens) can lead to a realization that some old method has a lot more going for it than was obvious to the non-alert.

I wonder how many other mundane skills, shaped to accommodate outmoded objects, persist beyond their utility. It’s not news to anyone that students used to write with fountain pens, but knowing this isn’t the same as the tactile experience of writing with one. Without that experience, it’s easy to continue past practice without stopping to notice that the action no longer fits the tool. Perhaps “saving handwriting” is less a matter of invoking blind nostalgia and more a process of examining the historical use of ordinary technologies as a way to understand contemporary ones. Otherwise we may not realize which habits are worth passing on, and which are vestiges of circumstances long since past.

How the Ballpoint Pen Killed Cursive

Learning takes time. So in a dynamic society, it’s natural that there will always be some sort of practice outliving its utility. The only other way I see is stagnation: no new methods, no new problems, and we eventually setting into a “making the best of it” equilibrium.

The discovery of each of these inefficiencies creates some pocket of entrepreneurship. Sometimes it’s a massive, market oriented bit of entrepreneurship–like Bic industrializing the process of making cheap, reliable pens. Sometimes it’s a niche community of hobbyists (who might be incubating the next big thing). But that entrepreneurial reaction to inefficiency is pretty exciting. Realizing how my bad handwriting is the outcome of a technical problem makes me want to try fountain pens.

Paid Sick Leave and Schelling Focal Points

Paid sick leave is something I want more people to have. Of course it’s a good thing. Sick leave is valuable, but it’s not free so we have to ask it it’s worth it.

Right around the 11:30 mark is a tragic and hilarious line: “Dildos are not essential items. Books for kids, yes, but dildos? … No!” Good for John Oliver noting that deciding what is essential isn’t straight forward–apparently frivolous things might keep people inside and so serve the public health.

This is a classic Austrian point: prices (are supposed to) communicate information about how urgently people want a product. We run into trouble trying to prevent prices from reflecting the underlying economic crappiness of a crisis. Price gouging should be allowed for toilet paper and especially for grocery/Amazon workers. And the price of grocery workers should be passed on to consumers.

What we’ve got now requires each of us to not only ask “am I willing to pay this price?” but also engage in a moral calculus that is hard. I have to ask (as a person striving to be moral) if it’s really worth ordering X, Y, and Z from Amazon. But as a person who has to strive to be moral, it’s entirely too easy to fall for bad rationalizations.

So how do we help these essential-yet-replaceable* workers? Paid sick leave sure sounds good. And given the externalities involved in a pandemic, there’s a strong argument for mandating it.

But it’s worth remembering (particularly as a long run policy) that if we push on one part of a compensation bundle, something’s going to give. If we require employers to provide a company car (or simply encourage company cars through preferential tax laws), we shouldn’t be surprised to see monetary compensation fall. The same logic applies to paid sick leave.

But I’m my own devil’s advocate, so let me make a counter argument. I rarely use my sick days. I think I’ve taken 2 or 3 in the last 6 years. (I’m absolutely reevaluating that position now!) There’s this idea floating around in the back of my head that tells me to just tough it out and keep working. This isn’t because I carefully weighed pros and cons, it’s just received “wisdom” picked up by osmosis from the broader culture.

American culture values work over value. There’s no shortage of bullshit work because we’re in a work-too-hard equilibrium. This is not to say that hard work doesn’t have benefits. I’m happy when ambitious entrepreneurs work “too” hard to provide greater value. But there are a lot of cases where we create work for its own sake (especially in the higher ed racket, but apparently we’re not alone).

Essentially, we’re all playing a coordination game where we choose between “[appear to] work to make things better” and “stay home instead of passing your illness to other people.” Given American work culture, the Schelling focal point is <work, work>.

On the compensation end of things employers have to decide between offering more sick leave or some other compensation (like money). In this end, there is some benefit to zigging where other employers zag. If I’m running the only business to offer paid paternity leave, I get my pick of the best family-oriented workers while my competitors have to outbid each other to get the best of the other workers. But any mid-level HR manager is more likely to play the risk-averse strategy of following “best practices.”

So we’re in an equilibrium that underrates sick leave. We want to be in an equilibrium where it’s just good business sense to offer sick leave during a global pandemic. But coming from our current equilibrium, offering sick leave is a costly decision to privately provide a public good; it’s unlikely to happen unless the culture already promotes it.

I think we can get that equilibrium. I think we’re already moving towards it (ask yourself: would the board of the East India Company be more likely to offer sick leave than Amazon?). But we’re not there yet.

Paid sick leave should be good business sense right now**. But it depends on a culture where such behavior is widespread. I’m not convinced we could flip a switch and get that culture over night. Given that, I’m at least somewhat okay with contradicting my libertarian priors and calling for emergency mandates for paid sick leave. 2020 America isn’t likely to coordinate on the “right” short-term solution and coercion is probably the most efficient*** way to deal with this common pool problem. But outside of a public health emergency we shouldn’t allow top down mandates about the mix of compensation offered in markets (certainly not with the sort of people we elect to be on top).


(A couple rhetorical points: First, John Oliver isn’t speaking the language of those on the right. They won’t even be convinced that the issues he’s talking about are important. I think that’s a shame. Second, this is a tough time to try to argue against paid sick leave. In 2020 America, mandatory paid sick leave is probably required because we’re at the wrong Schelling point. Again, I don’t think conservatives or right-libertarians will find Oliver’s motivations convincing, but I believe that they could be persuaded. But that’s another blog post.)

(Two important counterpoints to the above: first, price increases hurt the poor. The way to solve that is to give charity money to the poor, not to try to make markets communicate information about relative scarcity and act as charity–that’s half-assing twice and it’s bound to be more inefficient than the charity would be costly. Second many people categorized as “essential” aren’t in a position to demand higher wages*. I don’t have an easy solution to this issue. Let’s talk about it in the comments.)

*Which is to say, workers who are in the same position as water in the diamond-water paradox.
**Not to say it would be cheap or easy.
***There you go. Now my friends on the left can accuse me of being a bloodless economist for opposing paid sick leave in general, and my friends on the right can accuse me of being a bloodless economist for supporting

Everyone understands what your GPA this semester means

In my industry there’s been a ton of discussion about how to handle grading for this spring semester. Campuses shifted to online instruction mid-semester. Students are losing jobs, struggling with home responsibilities, and otherwise being utterly thrown into the deep end of an unfair situation.

Here’s the thing: we all get it. C+ this semester will be a mighty impressive accomplishment for a lot of students this year. Nobody looking at and subjectively interpreting a transcript will fail to appreciate that. If I’m looking at your transcript, I’m going to look at your GPA for before this and heavily discount this semester’s GPA if it’s anything different than it was in the fall.

For some students, this pandemic will be a minor hiccup, or even a chance to rise to the occasion and excel. Good for them. For other students, it will be such a significant disruption that they won’t be able to learn the material they’re ostensibly in school for. And if they can’t pass the class, that sucks. Pandemics suck, and their impact on people’s educational progress is part of that suckiness.

We absolutely should look for ways to reduce the impact on those students. We need to grant exceptions for things like scholarships requiring certain timelines and GPAs (like my favorite NY state program). But life happens, and a if grades are worth having at all (which we should debate), then we shouldn’t abandon them now. We should just abandon the stakes we’ve attached to them.

Human Capital Diversification vs Pancake Mix

I went to the grocery store yesterday (late morning) expecting either business-as-usual or empty shelves. I was surprised to see both. I’m currently regretting not taking photos because it probably will be business-as-usual by the time I go back.

Some shelves were empty, and others were full. What I saw was a direct visualization of what my neighbors don’t know how to cook.

Going through my store I could see that my neighbors know how to put jarred sauce on pasta. But I saw the opportunity to blend some canned whole tomatoes and make my own sauce. “International” foods were largely untouched, but anything in the local culinary lexicon was sparse.

The whole Baking Needs aisle was basically fine, except for the pancake mix which was all gone. This is really the whole story. Who buys pancake mix? Culinary illiterates.

(Disclaimer: I’m a biased source when it comes to pancakes. I take pancakes as seriously as 75th percentile Bostonian takes the fact that the Yankees suck.)

It takes a modest amount of skill to make pancakes, but the ingredients are cheap and YouTube wants to help you. Now is a great time to up your pancake game. But even if you just follow the directions on any random pancake recipe you’re stirring together flour, salt, baking powder, sugar, eggs, oil, and milk.

The mix will either give you a crappy shelf-stable replacement for the eggs and/or milk (yuck!) or hold your hand as you stir together some powder with eggs, oil, and milk.

Thinking back to my career as an omnivore, I can recall a time when I’ve bought ingredients I really should have made. I’m not judging people who don’t know how to cook, because I’ve been there.

What I’m pointing out is that those people are always going to have the hardest time when it comes to food shortages. I’d be in the same boat if I was shopping at a store that didn’t sell the limited set of ingredients I know how to use.

There’s a tension in economics that we don’t pay enough attention to: gains from specialization vs. gains from diversification. At a system level (and in a Principles class) the two go together. But at the level of individual there is a lot to be said for diversification–you’re more robust to change, resilient in the face of problems, and perspectives gained in one domain may have lessons to apply to others.

I’m grateful I haven’t taken my own human capital specialization so far that I can’t make my own pancakes.

“There’s Nothing Morally Wrong With Not Wanting to Work Hard at School”

That’s a point I agree with in an opinion piece I recently stumbled across.

And it relates to a larger point that’s been brewing in my head the longer I hang around campus. Most of these kids simply shouldn’t be here. They don’t want it enough, and they really don’t need it. There’s nothing wrong with the fact that they don’t want to work hard enough to make school a valuable experience. College is a distraction for most kids who really should be getting work experience instead.

I’d love to live in a world where people valued education and pursued it for its own sake. I’d love to find out my garbage man is a lover of classic Russian literature. But I actually live in a world where people value schooling which they pursue for credentials. And any education they get along the way is an accidental byproduct. The one things students seem to learn is how to flatter their professors. Sure, they learn while they’re at school (how can you be 18 and not learn something?!), but I’m far from convinced that they learn because of school.

The trouble is that the one thing schools have been effective at teaching students is how important school is. Is it so important that nearly a quarter of “amusement and recreation attendants” should have bachelor’s degree or higher? I won’t argue that carnies should be high school drop-outs like in the good old days. But if I had the choice between one who passed my class (with a C+) and one who spent an extra couple years learning how to make sure a bolt is tightened properly, I know who I want operating my teacups.

As a society, we’re fooling ourselves. We’ve set up a system where we convince kids that they need a degree to live a good life, and it becomes a self-fulfilling prophecy as college graduates go on to uncritically hire college graduates. That leaves an unsustainable tension: most students (rightly) don’t want to work hard at school, but they want to go to school. “Society” wants them to work hard at school, but doesn’t want to deny anyone a degree. At best we end up wasting everyone’s time. At worst, we set kids up for failure then leave them with student loans. In either case we erode standards and diminish the signalling value of school along with the educational value. We need someone to go into high schools to tell kids that there’s nothing morally wrong with opting out of college entirely.

Brazil, the country of Carnival (?)

Maybe for most English speakers it isn’t even known, but we are in the Carnival week. Carnival is a festive season that occurs before the liturgical season of Lent. The main events typically occur during February or early March. It typically involves public celebrations, including events such as parades, public street parties and other entertainments. I’m unashamedly taking some elements from Wikipedia here to try to explain it. It is basically equivalent to Mardi Gras. Carnival (or Carnaval, as we say it in Portuguese) is a big thing in Brazil. Or maybe not. That’s what this post is about.

Carnival is a Christian feast, at least in its origin. It occurs right before lent. Lent is the forty days that antecede the Passover. The idea was that people would fast (at least to some degree) during the forty days of lent. Therefore, Carnival was the last opportunity for forty days to indulge in some pleasures of the flesh. Carnival literally means “remove meat”, from the Late Latin expression carne levare. “Farewell to meat” is another possible translation. However, carne is not solely meat in Latin; it also refers to the flesh, especially in the Christian association between sin and flesh. Carnaval, therefore, is the feast of the flesh – taken literally or not. At least in Brazil, to my knowledge, the relationship between Carnival, Lent and Passover is little known. I believe that most people just take it to be a major party that happens sometime between February and March.

Brazil is popularly known as the country of Carnival, Samba and Soccer. Of these three, I kind of like the last one. Not so much the first two. To my knowledge, Carnival has always been very popular in Rio de Janeiro, at least since the early 19th century. At that time, it was known as Entrudo, a celebration in which mostly people throw water on one another, like in a water balloon fight. However, there were some improvements: people started throwing some liquids other than water if you know what I mean and that even at strangers. The party was also an opportunity for slaves to poke on their masters. Carnaval eventually became associated with the slaves’ African culture, and I suppose that’s how the Christian origins were somewhat lost. Today, Carnaval in Rio is strongly associated with Samba music.

I haven’t done a very scientific research for this, but to my knowledge, most people in Rio actually don’t like Carnaval. Carnaval is a street party, with all that comes with it: people leave tons of trash behind; people get drunk, and often violent; the music can get really loud and sometimes going on for hours, even into the night. Given the specific nature of the festival, there are people having sex on the street and other things happening as well. It is hard to say this without sounding moralistic, but the thing is that Carnaval ends up being the most anti-libertarian thing one can imagine. If “don’t do onto others what you don’t want to be done onto you” is the golden rule we’re trying to put into practice, Carnaval is the undoing of this.

In the late 19th century, some authorities already realized that the festival was getting out of control and tried to organize it somehow, mostly to no avail. But things really got out of control in the early 20th century. Coming out of the monarchy, Brazilian intellectuals were dedicated to the task of identifying the Brazilian identity. Sérgio Buarque de Holanda made a huge contribution to this with is Roots of Brazil (Raízes do Brasil), in which he said that Brazilians had a hard time understanding and applying the impersonal relationships necessary for a modern capitalistic society. Another major contribution in this conversation was done in 1933 by anthropologist/sociologist Gilberto Freyre in his book Casa-Grande e Senzala (English: The Masters and the Slaves). In this book, Freyre argued that the Brazilian national identity was the result of miscegenation (both biological and cultural) between masters and slaves.

On the one hand, I want to say that Freyre’s argument was revolutionary because he was saying that Brazilians were not an “inferior race” because of race-mixing. Just the opposite: Brazilian culture was permeated by highly positive elements exactly because of miscegenation. Consider that Freyre was saying that in the 1930s, when race-mixing was still a major taboo in the US, not to mention Nazi Germany. But on the other hand, I believe that Freyre contributed to a movement that gave up trying to “civilize” Brazil.

The topic of civilization is always a polemic one because it implies that some cultures are superior to others. I don’t want to go that way. But I also don’t want to be a cultural relativistic. Some cultures are superior to others in some aspects. There is nothing culturally superior in leaving tons of trash in the streets after a street party. There is nothing culturally superior in imposing your music taste on others. There is nothing superior in imposing your take on sexuality on others.

In the late 19th century, some authorities were trying to organize Carnaval in Rio de Janeiro because things were getting out of control. In the early 20th century, most authorities gave up that enterprise because they decided that Rio de Janeiro (and Brazil) is that “mess”. Instead of trying to correct the bad aspects of Carnaval, they decided to celebrate it as the very essence of Brazilian culture. Eventually, into the 20th century, Carnaval became a great example of panem et circenses policy.

I understand that in the early 21st century more and more people in Brazil are getting sick and tired of Carnaval, and that has some connections with politics. Typically (though definitely not always) people on the left want to celebrate Carnaval. People on the right typically (though definitely not always) don’t want to. Some people on the left are already saying that Bolsonaro’s government represents the taking over of government by Christian fundamentalists. I doubt. They may be right at a very low degree. But for the most part, what is happening is that Brazil is too diverse for a single project of nation to work for everybody. Ironically Gilberto Freyre was right: we are the result of this mixture, and this is not a bad thing. People only need to learn to respect the opinions, tastes and preferences of the other elements in this mix.

Generic Thanksgiving Post

Addendum: I wrote this post this morning, hit post, and returned to my oven. The apple pie was pretty good, the pecan was better. The stuffing and gravy were great.

While my oven pre-heats, let me give my top(ish) three things I’m thankful for:

  1. My dog Lola. This sweet little pooch entered my life this January and she’s absolutely melted my heart. Here we are on her first camping trip:

2. Capitalism. Yeah, you knew what you were signing up for when you came to this URL. For all the problems with giving any humans any authority at all, even our half-assed American capitalism does a pretty decent job of allowing me the opportunity to have a literal feast every Thanksgiving.

3. The little Internet. Not all that’s online is Google, Facebook, or Amazon. There are still cool little pockets of the Internet where a few dozen weirdos get together and make something beautiful.

I recently learned about the tildeverse a community of communities of people sharing a common web-connected computer like in ye olden days of pre-Google internet. Back before it was the Information Super Highway. Back before it ruined democracy by allowing humans to act like humans at scale. Playing around on an under-powered server is a pretty niche hobby, but there are tons of these long tail groups out there.

The friendly communities that create forums, the weird projects, the sync-tubes; the beautiful bubbles: these are the places that keep that old spirit of the Internet alive. The Internet giants are scary, but they’re not the only game in town; I’m deeply thankful for that.

Also stuffing. And gravy.

Happy Thanksgiving! Be excellent to each other!

You’re Not Worth My Time

In our polarized and politically intolerant times, intellectuals worry about the divisions in our societies. You might call it inequality or absence of social mobility, racism or rigid social structures but all pundits seem to agree that despite our apparent cosmopolitanism, many people’s opinions on lifestyles, politics, or economics are diverging. More so, their opinions about others’ opinions is less accepting. We disapprove of people that believe the wrong things, and we shun them in favor of like-minded people.

Economists like Paul Collier (The Future of Capitalism), Raghuram Rajan (The Third Pillar), and Branko Milanovic (Capitalism, Alone) are producing well-publicized books about how the social world of our current societies are collapsing – “coming apart at the seams”, as Collier phrases it. A recent book on technology and the environment by MIT researcher Andrew McAfee, states the following:

more and more people are choosing to have fewer ties to people with dissimilar values and beliefs, opting instead to spend more time among the like-minded. The journalist Bill Bishop calls this phenomenon ‘the big sort’. (2019:227)

The observation could have come straight out Jonathan Haidt, a scholar I greatly admire. Why do we do this Bishop-style sorting? A common assessment is that having people challenging my beliefs hurts my identity and I don’t like it. We rather go for echo chambers.

Let me be contrarian and obnoxious for a minute and defend this Big Sort: is it really that bad to distance oneself from those with different views and opt for like-minded people?

The Irrelevance of Political Opinion

It’s long been recognized by social scientists that politics drive people apart (together with ‘Economics’, ‘Religion’ and ‘Abortion’, forming the acronym R.A.P.E, the avoidance of which is key to successful social conversations). From being friendly customers in a decentralized marketplace, politics urges us to become enemies and opponents, demands that we confiscate one another’s stuff rather than cooperate in creating value for each other. Bringing up your position on some labor market reform or the taxation of the rich (of which your familiarity is probably quite limited) is likely to deteriorate a relation rather than improve it.

Here’s the thing: Life is much more important than politics. Life is the experiences we’ve had, the sunrises we’ve seen, the friends and relationships we’ve had and lost and the stories that came with them. Not to mention the food we ate and the things we did. What your stance is on the environment or what you think the long-term consequences of QE is going to be are all very secondary issues. They might be much more interesting to those of us who care about such things, but for the majority of people, they remain pretty immaterial.

What happens when you trumpet these R.A.P.E. topics in your indecent search for like-minded people – or even an experience-widening tolerant search for opponents? Consider the typically loud liberty-minded American: within five minutes in his (yes, his) presence, you know what his views are and he throws them in people’s faces whether they like it or not. Your group of acquaintances, likely consisting of people who couldn’t care less, gets annoyed. While some people may engage in serious conversations about politics or economics (or religion or abortion) once in a while, their lives are generally concerned with more worthwhile topics. Having some loud-mouthed libertarian invade their everyday life with provocative statements and logical argument is not just annoying, it is bad manners.

I can lecture anyone and everyone I meet on the brilliancy or markets or how Scottish banks operated in the 18th century, with the sole outcome that I will have no friends or even acquaintances. Sharing your political and economic views rarely endear you to other people; it merely makes you a nuisance.

In short: Don’t be an arse. Stop ruining our great time with mindless, hurtful, harmful politics.

What about the perspectives and knowledge of others?

If you must invade others’ lives with your pesky politics, speaking to people with diverging opinions and different background might be interesting and fruitful. Key words “might be”. More accurate words: “is rarely”.

It is true that you might learn some exciting things from random strangers, but it’s unlikely. Most people are less informed about the world than I am (if you doubt that, ask your conversation partners to take Rosling’s Gapminder test) – what are they going to “teach” me but inaccuracies and misinformation…?

Sure, my car-loving friends can teach me something *fascinating* about some new car, a topic a could care less about. My baseball-crazy friends could recount the latest Sox game or why Tom Brady is the greatest – oh, ye, that’s a different sport. Soz. But is an environmentalist really going to teach me anything worth knowing about the impacts of climate change? (No, how could they – they don’t understand markets or even capitalism). Is an Occupy Wall Streeter going to lecture me about how financial markets work and what banks really do? How is my mother contributing to my perspectives on monetary policy when the sheer extent of her monetary wisdom comes from a novel where the ostensibly private Federal Reserve was purchased and controlled by some millionaire?

Don’t get me wrong: these are all amazing people that I highly cherish. I enjoy spending time with them and sharing stories about life. Point is: I’m under no illusion that they offer intellectually valuable perspectives that I could benefit from.

If I wanted to get such perspectives, I’d much rather spend time around two kinds of people: smart or curious. The majority of people you meet are neither:

Smart People are those who actually know things about the world, and I don’t meant boring things like why Israel celebrates this or that holiday, why the sky is blue (OK, that could be cool) or how one assembles a roof out of palm leaves. I mean a fair and favorable view of markets and a data-driven optimism. I mean a basic grasp of statistics. I mean a big picture understanding of what matters and the intellectual capabilities to explore them.

Curious people are those of whatever political persuasion that have thick enough skin to have their positions questioned and willing to reason to reach mutual understanding. One does not have to be smart or well-informed to be interesting – it’s enough to be sceptical and hungry for knowledge.

They rarely make ’em like that no more. So I take my probability-informed chances and avoid politically-minded people.

Elitist and Snobby?

Probably. But consider this: I have 24 hours a day, of which I sleep maybe 8. For maybe another 8 a day, I need to produce value, and so can’t be interrupted by loud and obnoxious libertarians (or environmentalists, or anthropologists or whoever). The last third of my days contain a lot of tasks: washing, workout, food, reading, wonders of the world. At best, it leaves a couple of hours a day for curious intellectual disputes. Let’s say 3. Statistically, I have another 56 years to live, for little over 60,000 hours worth of intellectual endeavors. There is an almost an endless supply of materials from interesting people out there – actually smart people: authors of books and journal articles, podcast interviews, lectures etc, all on topics that interest me. And more is produced every day. For every hour you take away from me with your “enriching perspectives” and uninformed opinions, I lose an hour of engaging with the treasure trove of actually smart people. Besides, the depth of their knowledge, the clarity of their formulation, the well-researched (and sourced!) material and examples they bring are almost certainly better than whatever you’re about to bring me. Consider the opportunity cost for me of having to listen to you “bumble-f**k your way through it“, as my beloved Samantha (Lily Collins) says in Stuck in Love. Even if you only take 10 minutes of my time, is whatever you’re about to say better than 1/360,000 of the sum of humanity’s current (and future) literary, statistic and economic treasure?

I don’t think so either. It’s simply not worth it.

This is a good reason to stick to people of similar mindset – people who are curious and open to having every argument re-examined, every proposition questioned. People with thick enough skin and sharp enough intellect not to mistake your objection for insult. People who might jump that 1/360,000 bar.

It’s not really the content of someone’s ideas that we’re shunning; it’s the intolerance and ignorance that we’re avoiding, carefully taking the opportunity cost into account. Talking to people who don’t share those views – the meta-views of intellectual discourse if you wish – is mostly a waste of time. The book on my desk is almost certainly more valuable.

With all due respect, you’re simply not worth my time.

Musings on opinions: de gustibus non est disputandum

A well-known Latin adage reads “de gustibus non est disputandum”, roughly translated as “about tastes it should not be disputed”. In English, we usually refer to the maxim as “over tastes there is no argument”, indicating the economist’s fundamental creed that tastes and preferences may very well come from somewhere but are useless to argue over. We can’t prove them. We can’t disavow them. Ultimately, they just are and we have to live with that.

In November last year, ridiculing a prominent Swedish politician, I used the example of ice-cream flavours to illustrate the point:

“I like ice-cream” is an innocent and unobjectionable opinion to have. Innocent because hey, who doesn’t like ice-cream, and unobjectionable because there is no way we can verify whether you actually like ice-cream. We can’t effortlessly observe the reactions in your brain from eating ice-cream or even criticize such a position.

Over tastes there is no dispute. You like what you like. We can theorize all we want over sociological or cultural impacts, or perhaps attempt to trace biological reasons that may explain why some people like what they like – but ultimately we must act in the world (Proposition #1) and so we shrug our shoulders and get on with life. We accept that people believe, like, and prefer different things and that’s that.

Being strange rationalising creatures, you don’t have to scratch humans very deeply before you encounter convictions or beliefs that make no sense whatsoever. Most of the time we’re talking plainly irrational or internally inconsistent beliefs, but, like most tastes and political opinions, they are very cheap to hold – you are generally not taxed or suffer noticeable disadvantages from holding erroneous or contradictory beliefs. Sometimes, by giving the speaker social kudos for believing it, the cost of holding an erroneous belief might even be negative – openly portraying it gives us benefits with our in-group. (yes, we’re all Caplanites now).

Let’s continue the “what to eat” comparison since, apparently, the personal is political and what I eat seems recently to be everybody else’s business too.

When I make a decision in the world (as I must to stay alive, Proposition #1), I occasionally feel the urge to explain that choice to others – because they ask or because I submit to the internalised pressure. I might say “eating ice-cream is good for me” (Proposition #2a).

Now, most people would probably consider that statement obviously incorrect (ice-cream is a sweet, a dessert; desserts make you fat and unhealthy, i.e. not good for you). The trouble is, of course, that I didn’t specify what I meant by “good for me”.  It’s really unclear what that exactly means, since we don’t know what I have in mind and what I value as “good” (taste? Longevity? Complete vitamins? How it makes me feel? Social considerations?).

This version of Proposition 2a therefore essentially reverts back to a Proposition 1 claim; you can like whatever you want and you happen to like what ice-cream does to you in that dimension (taste, feeling, social consideration). Anything still goes.

I might also offer a slightly different version (Proposition #2b) where I say “eating ice-cream is good for me because it cures cancer”.

Aha! Now I’ve not only given you a clear metric of what I mean by ‘good’ (curing cancer), I’ve also established a causal mechanism about the world: ice-cream cures cancer.

By now, we’ve completely left the domain of “everything goes” and “over tastes there is no argument”. I’m making a statement about the world, and this statement is ludicrous. Admittedly, there might be some revolutionary science that shows the beneficial impacts of ice-cream on cancer, but I seriously doubt it – let’s say the causal claim here is as incorrect and refuted as a claim can possibly be.

Am I still justified in staying with my conviction and eating ice-cream? No, of course not! I gave a measure of what I meant by ‘good’ and clear causal criteria (“cure cancer”) for how ice-cream fits into that – and it’s completely wrong! I must change my beliefs, accordingly – I am no longer free to merely believe whatever I want.

If I don’t change my behaviour and maintain enjoying my delicious chocolate-flavoured ice-cream, two things happen: First, I can surrender my outrageous claim and revert back to Proposition 1. That’s fine. Or I can amend Proposition 2b into something more believable – like “eating ice-cream makes me happy, and I like being happy”.

What’s the story here?

If we substitute ice-cream for – I posit with zero evidence – the vast majority of people’s beliefs (about causality in the world, about health and nutrition, about politics, about economics and religion), we’re in essentially the same position. All those convictions, ranging from what food is good for you, to how that spiritual omnipotent power you revere helps your life, to what the government should do with taxes or regulations to reduce poverty, are most likely completely wrong.

Sharing my own experiences or telling stories about how I solved some problem is how we socially interact as humans – that’s fine and wonderful, and essentially amounts to Proposition 1-style statements. If you and I are sufficiently alike, you might benefit from those experiences.

Making statements about the world, however, particularly causal relations about the world, subjects me to a much higher level of proof. Now my experiences or beliefs or tastes are not enough. Indeed, it doesn’t even matter if I invoke the subjective and anecdotal stories of a few friends or this or that family member. I’m still doing sh*t science, making claims about the world on seriously fragile grounds. It’s not quite Frankfurt’s “Bullshit” yet, since we haven’t presumed that I don’t care about the truth, but as a statement of the world, what I’m saying is at least garbage.

I am entitled to my own beliefs and tastes and political “opinions“, whatever that means. I am not, however, entitled to my own facts and my own causal mechanisms of the world.

Keeping these spheres separate – or at least being clear about moving from one to the other – ought to rank among the highest virtues of peaceful human co-existence. We should be more humble and realise that on most topics, most of the time, we really don’t know. But that doesn’t mean anything goes.

Introducing “Be Our Guest,” a new component of NOL

Check out NOL‘s newest feature, a place where you can have your thoughts and arguments published in a house of decency and legitimacy. The first guest essay comes from Ben Sharvy, a teacher in Portland, on, among other things, vaccines and the lack thereof:

What’s the damage done? Cancer patients who forego conventional treatment and exclusively choose alternative medicine are 2.5 times more likely to die. Women with breast cancer fare the worst — with a 5.7 times higher death rate among those who choose only alternative therapies. Multiple studies agree, including a 2017 report from the National Cancer Institute: Alternative medicine kills.

Read the rest, and by all means, submit your own thoughts to us. Tell your friends about this project, too.

Why this feature? Mostly because of the rather high volume of submissions I have been getting lately. Many of these pieces don’t really fit in with NOL‘s overall vibe, but that doesn’t mean they’re not worth reading or putting out into the world. So, be our guest.

From the Comments: Dual loyalties and American hypocrisy

I am on the road. I’m in Utah, actually, for a wedding. I drove here with my little family. From Texas. It’s a beautiful drive. But long. I’ll have more American pop-sociology soon enough. In the mean time, here’s Irfan on an important topic, and one that’s gone almost cold in libertarian circles:

Thanks for mentioning this post of mine. I hope people will take a look at the comments as well as the post itself. One hears so much loose talk about “anti-Semitism,” and the insult implied by talk of “dual loyalties.” But it’s not a criminal offense in the United States to believe or assert that Muslims celebrated the 9/11 attacks, or imply that Muslims side with Al Qaeda or ISIS. The President encourages people to believe and say such things, and they do, from the federal executive down to the local level.

https://thehill.com/blogs/blog-briefing-room/news/454555-new-jersey-school-board-member-says-his-life-will-be-complete

https://www.northjersey.com/story/news/2019/07/25/sussex-gop-backlash-over-anti-muslim-tweets-governor/1821539001/

Meanwhile, the State of New Jersey is seeking to make it a criminal offense to assert that Palestinians have a right of self-defense against attackers who happen to be Jewish: $250 fine, six months in the county lock up. In this universe, either there is no such thing as a Jew who aggresses against a non-Jew, or if it happens, non-Jews are not to resist in such a way as to “harm” their attackers.

As for “dual loyalties,” here is an undeniable, demonstrable fact that no one engaged in the “dual loyalties” debate has managed to address: American Jews have the right to maintain dual citizenship, US and Israeli, to enter the Israeli military, and to serve under Israeli commanders. Those commanders have the authority to order those under their command (including American “Lone Soldiers,” as they’re called) to shoot at anyone deemed a threat under rules of engagement that cannot be questioned by anyone outside of the chain of command. The potential targets include Americans like me (or Rachel Corrie, or Tariq Abu Khdeir). No soldier has the right to refuse such an order. You get the order? You fire at will–to kill.

If an American serving under foreign command faces the prospect of shooting an American in a foreign country, exactly what description are we to give that situation but precisely one of dual loyalties? The soldier holding the weapon has one loyalty to a foreign commander, and one to the United States (or else to the principle of rights), which proscribes shooting a fellow citizen under questionable circumstances. How he resolves the dilemma is up to him, but you’d be out of touch with reality to deny that he’s in one. Is it really “racist” or “anti-Semitic” to identify this blatantly obvious fact? Apparently so.

If the New Jersey bill passes, my merely raising the preceding issue out loud, even as a question–iin the presence of someone who might report me to the police–makes me a criminal suspect, subject to arrest and prosecution. Though I teach at a private university, and the bill seems to apply only to public universities, the wording is extremely vague and ambiguous, and in case, even on the narrow interpretation of its scope, it implies that I lose my rights of free speech if I move to a public university or (perhaps) if I engage in a speech act while being present at a public university.

As someone who’s already been arrested on campus for “saying the wrong thing” (where the offended parties weren’t the usual left-wing snowflakes) this whole censorship thing is starting to get old pretty fast. If the passage of this bill wouldn’t mark a descent into fascism, with a rather large assist from the pro-Israel lobby, what would? If a constituency threatens to imprison you for exercises of free speech and academic freedom in the name of a sectarian state, are you really obliged to pretend that it’s not doing what it practically admits to be doing?

Dr Khawaja blogs at the always-excellent Policy of Truth.

Here is stuff on antisemitism at NOL. And on Palestine. And on free speech.

From the Comments: Yes, the EU is, and will continue to be, democratic and voluntary

Here’s Barry countering a good, common, anti-EU argument:

Denmark Maastricht Treaty: after a referendum rejected it, opt outs were negotiated and the Treaty was approved by referendum with the opt outs

There was no referendum in Italy on the Nice Treaty, or if there was evidence appears to have disappeared from the net. Maybe it’s a beneficiary of the right to be forgotten law.

France and Netherlands: Constitution was dropped. Replaced by less ambitious Lisbon Treaty.

Italy: same comment for Lisbon Treaty as for Nice Treaty

Greece: Euro bailout referendum The rejection of the bailout package was a referendum held in Greece only for an agreement affecting all member states of the Eurozone. They did not wish to change the terms of the bailout and how would it be democratic for a vote in one state to override the wishes of the elected governments in other states. The elected Greek government was free to choose to leave the Euro if it was not willing to accept the terms for a bailout, The elected government and the national assembly chose to stay in the Eurozone and continue bail out negotiations on terms acceptable to the other states.

All states choose freely to remain in the EU apart from the UK, which has not provided a brilliant example so far of the advantages of withdrawal. When the UK voted to leave, the EU respected the result and entered into negotiations while the UK Parliament failed to agree on a withdrawal plan. States which stay in the Union are to some degree constrained by other stages of the union, as applies to the member states of the USA or the states which make up federal Germany.

Here is more from Barry on Brexit. And here is his stuff at NOL on the European Union. Tridivesh has some interesting stuff on the EU, too.

For a more skeptical take on the EU, try Edwin. Or Chhay Lin.