Wednesday, June 9, 2010

Daniel Klein: Are You Smarter Than a Fifth Grader?

Are You Smarter Than a Fifth Grader?
Self-identified liberals and Democrats do badly on questions of basic economics.

By DANIEL B. KLEIN

Who is better informed about the policy choices facing the country—liberals, conservatives or libertarians? According to a Zogby International survey that I write about in the May issue of Econ Journal Watch, the answer is unequivocal: The left flunks Econ 101.

Zogby researcher Zeljka Buturovic and I considered the 4,835 respondents' (all American adults) answers to eight survey questions about basic economics. We also asked the respondents about their political leanings: progressive/very liberal; liberal; moderate; conservative; very conservative; and libertarian.

Rather than focusing on whether respondents answered a question correctly, we instead looked at whether they answered incorrectly. A response was counted as incorrect only if it was flatly unenlightened.

Consider one of the economic propositions in the December 2008 poll: "Restrictions on housing development make housing less affordable." People were asked if they: 1) strongly agree; 2) somewhat agree; 3) somewhat disagree; 4) strongly disagree; 5) are not sure.

Basic economics acknowledges that whatever redeeming features a restriction may have, it increases the cost of production and exchange, making goods and services less affordable. There may be exceptions to the general case, but they would be atypical.

Therefore, we counted as incorrect responses of "somewhat disagree" and "strongly disagree." This treatment gives leeway for those who think the question is ambiguous or half right and half wrong. They would likely answer "not sure," which we do not count as incorrect.

In this case, percentage of conservatives answering incorrectly was 22.3%, very conservatives 17.6% and libertarians 15.7%. But the percentage of progressive/very liberals answering incorrectly was 67.6% and liberals 60.1%. The pattern was not an anomaly.

The other questions were: 1) Mandatory licensing of professional services increases the prices of those services (unenlightened answer: disagree). 2) Overall, the standard of living is higher today than it was 30 years ago (unenlightened answer: disagree). 3) Rent control leads to housing shortages (unenlightened answer: disagree). 4) A company with the largest market share is a monopoly (unenlightened answer: agree). 5) Third World workers working for American companies overseas are being exploited (unenlightened answer: agree). 6) Free trade leads to unemployment (unenlightened answer: agree). 7) Minimum wage laws raise unemployment (unenlightened answer: disagree).

How did the six ideological groups do overall? Here they are, best to worst, with an average number of incorrect responses from 0 to 8: Very conservative, 1.30; Libertarian, 1.38; Conservative, 1.67; Moderate, 3.67; Liberal, 4.69; Progressive/very liberal, 5.26.

Americans in the first three categories do reasonably well. But the left has trouble squaring economic thinking with their political psychology, morals and aesthetics.

To be sure, none of the eight questions specifically challenge the political sensibilities of conservatives and libertarians. Still, not all of the eight questions are tied directly to left-wing concerns about inequality and redistribution. In particular, the questions about mandatory licensing, the standard of living, the definition of monopoly, and free trade do not specifically challenge leftist sensibilities.

Yet on every question the left did much worse. On the monopoly question, the portion of progressive/very liberals answering incorrectly (31%) was more than twice that of conservatives (13%) and more than four times that of libertarians (7%). On the question about living standards, the portion of progressive/very liberals answering incorrectly (61%) was more than four times that of conservatives (13%) and almost three times that of libertarians (21%).

The survey also asked about party affiliation. Those responding Democratic averaged 4.59 incorrect answers. Republicans averaged 1.61 incorrect, and Libertarians 1.26 incorrect.

Adam Smith described political economy as "a branch of the science of a statesman or legislator." Governmental power joined with wrongheadedness is something terrible, but all too common. Realizing that many of our leaders and their constituents are economically unenlightened sheds light on the troubles that surround us.

Mr. Klein is a professor of economics at George Mason University. This op-ed is based on an article published in the May 2010 issue of the journal he edits, Econ Journal Watch, a project sponsored by the American Institute for Economic Research. The article is at: http://econjwatch.org/articles/economic-enlightenment-in-relation-to-college-going-ideology-and-other-variables-a-zogby-survey-of-americans

Random Thoughts on the Passing Scene

June 8, 2010
Random Thoughts on the Passing Scene
By Thomas Sowell

All sorts of "global warming" advocates have all sorts of ideas for cooling the planet. I would be happy if they would just cool the rhetoric.

A newspaper headline said: "U.S. Growing Impatient with Iran." Boy, won't that scare them to death? If they keep going, and make enough nuclear bombs to blast us to smithereens, we will go to the United Nations and get a resolution passed, condemning their actions - or, if the U.N. won't go that far, deploring their lack of cooperation.

Contrary to what has been widely believed, scholars say that Neanderthals had bigger brains than we have. Why did they become extinct, then? Maybe they got too smart for their own good.

When someone in New York City says, "Excuse me, sir," you know that you are really old.

Umpire Jim Joyce, who publicly admitted that his wrong call cost pitcher Armando Galarraga a perfect game, and Galarraga himself both exhibited grace in the way they reacted to the situation. How long has it been since anyone has done anything that called for the word "grace"?

When you consider what an enormous windfall gain it is to be born in America, it is painful to hear some people complain bitterly that someone else got a bigger windfall than they did.

After North Korea torpedoed a South Korean ship, killing 46 sailors, was there even one-tenth the outrage that is ringing out loudly around the world because of nine deaths that resulted from Israeli commandos intercepting a ship headed for the Gaza strip?

In political rhetoric, "comprehensive immigration reform" means amnesty up front and promises of border control later - promises that have not been kept in the past and are unlikely to be kept in the future. Anyone who is serious, as distinguished from political, knows that you have to control your own borders before you can have an immigration policy that means anything in practice.

Even though some people say we are living in a "knowledge economy," we are living in a political atmosphere in which ignorance has more power than ever. Washington politicians who have never run any business are telling all kinds of businesses - from automobile companies and banks to hospitals and insurance companies - how they have to run their businesses. This is the golden age of ignorance in power.

Electrical cords seem to be very sociable. Whenever there are two that are near each other, they almost always seem to get intertwined.

It is one of the signs of our times when people in the media ask how some of our home-grown terrorists could "turn against their own country."

Even experienced politicians would have a hard time coming up with a more grossly misleading phrase than "the Middle East peace process."

We cannot recapture the past, but sometimes it can recapture us - if we are not careful.

Just as the American Left has adopted blacks as mascots, so the international Left has adopted Palestinians as mascots. In both cases, the actual well-being of the mascots is not the point.

Mascots exist to be symbols for others. In all the years when the Arab states controlled the area that Israel took over after the 1967 war, nobody cared what happened to the Palestinians, much less offered them a homeland.

Whether Barack Obama is simply incompetent as president or has some hidden agenda to undermine this country, at home and abroad, he has nearly everything he needs to ruin America, including a fool for a vice president.

We have now reached the truly dangerous point where we cannot even be warned about the lethal, fanatical, and suicidal hatred of our Islamic extremist enemies in our midst, because to do so here would be politically incorrect - and in some European countries, would be a violation of laws against inciting hostility to groups.

Copyright 2010 Creators Syndicate, Inc.

Monday, June 7, 2010

Robert Bryce: Windmills Are Killing Our Birds - WSJ.com

Windmills Are Killing Our Birds
One standard for oil companies, another for green energy sources.

By ROBERT BRYCE

On Aug. 13, ExxonMobil pleaded guilty in federal court to killing 85 birds that had come into contact with crude oil or other pollutants in uncovered tanks or waste-water facilities on its properties. The birds were protected by the Migratory Bird Treaty Act, which dates back to 1918. The company agreed to pay $600,000 in fines and fees.

ExxonMobil is hardly alone in running afoul of this law. Over the past two decades, federal officials have brought hundreds of similar cases against energy companies. In July, for example, the Oregon-based electric utility PacifiCorp paid $1.4 million in fines and restitution for killing 232 eagles in Wyoming over the past two years. The birds were electrocuted by poorly-designed power lines.

Yet there is one group of energy producers that are not being prosecuted for killing birds: wind-power companies. And wind-powered turbines are killing a vast number of birds every year.

A July 2008 study of the wind farm at Altamont Pass, Calif., estimated that its turbines kill an average of 80 golden eagles per year. The study, funded by the Alameda County Community Development Agency, also estimated that about 10,000 birds—nearly all protected by the migratory bird act—are being whacked every year at Altamont.

Altamont's turbines, located about 30 miles east of Oakland, Calif., kill more than 100 times as many birds as Exxon's tanks, and they do so every year. But the Altamont Pass wind farm does not face the same threat of prosecution, even though the bird kills at Altamont have been repeatedly documented by biologists since the mid-1990s.

The number of birds killed by wind turbines is highly variable. And biologists believe Altamont, which uses older turbine technology, may be the worst example. But that said, the carnage there likely represents only a fraction of the number of birds killed by windmills. Michael Fry of the American Bird Conservancy estimates that U.S. wind turbines kill between 75,000 and 275,000 birds per year. Yet the Justice Department is not bringing cases against wind companies.

"Somebody has given the wind industry a get-out-of-jail-free card," Mr. Fry told me. "If there were even one prosecution," he added, the wind industry would be forced to take the issue seriously.

According to the American Wind Energy Association, the industry's trade association, each megawatt of installed wind-power results in the killing of between one and six birds per year. At the end of 2008, the U.S. had about 25,000 megawatts of wind turbines.

By 2030, environmental and lobby groups are pushing for the U.S. to be producing 20% of its electricity from wind. Meeting that goal, according to the Department of Energy, will require the U.S. to have about 300,000 megawatts of wind capacity, a 12-fold increase over 2008 levels. If that target is achieved, we can expect some 300,000 birds, at the least, to be killed by wind turbines each year.

On its Web site, the Wind Energy Association says that bird kills by wind turbines are a "very small fraction of those caused by other commonly accepted human activities and structures—house cats kill an estimated one billion birds annually." That may be true, but it is not much of a defense. When cats kill birds, federal law doesn't require marching them to our courthouses to hold them responsible.

During the late 1980s and early '90s, Rob Lee was one of the Fish and Wildlife Service's lead law-enforcement investigators on the problem of bird kills in Western oil fields. Now retired and living in Lubbock, Texas, Mr. Lee tells me that solving the problem in the oil fields "was easy and cheap." The oil companies only had to put netting over their tanks and waste facilities.

Why aren't wind companies prosecuted for killing eagles and other birds? "The fix here is not easy or cheap," Mr. Lee told me. He added that he doesn't expect to see any prosecutions of the politically correct wind industry.

This is a double standard that more people—and not just bird lovers—should be paying attention to. In protecting America's wildlife, federal law-enforcement officials are turning a blind eye to the harm done by "green" energy.

Mr. Bryce is the managing editor of Energy Tribune. His latest book is "Gusher of Lies: The Dangerous Delusions of 'Energy Independence'" (PublicAffairs, 2008).

Thursday, June 3, 2010

For all of you out there in America and across the globe who have fought so hard to tackle the hideous enemy of our planet, namely carbon emissions, that bogus god you worship named "Climate Change" or "Global Warming", there is some really bad news that will be very painful for you to process. But it is my duty to pass it on to you anyway.

Are you sitting down?

Okay, here's the bombshell. The current volcanic eruption going on in Iceland, since it first started spewing volcanic ash a week ago, has, to this point, NEGATED EVERY SINGLE EFFORT you have made in the past five years to control CO2 emissions on our planet. Not only that, this single act of God has added emissions to the earth estimated to be 42 times more than can be corrected by the extreme human regulations proposed for annual reductions.

I know, I know.... (have a group hug)...it's very disheartening to realize that all of the carbon emission savings you have accomplished while suffering the inconvenience and expense of driving Prius hybrids, buying fabric grocery bags, sitting up til midnight to finish your kid's "The Green Revolution" science project, throwing out all of your non-green cleaning supplies, using only two squares of toilet paper, putting a brick in your toilet tank reservoir, selling your SUV and speedboat, going on vacation to a city park instead of Yosemite, nearly getting hit every day on your bicycle, replacing all of your $1 light bulbs with $10 light bulbs ...well, all of those things you have done have all gone down the tubes in just the past week.

The volcanic ash emitted into the Earth's atmosphere in the past week has totally erased every single effort you have made to reduce the evil beast, carbon. And, those hundreds of thousands of American jobs you helped move to Asia with expensive emissions demands on businesses... you know, the ones that are creating even more emissions than when they were creating American jobs, well that must seem really worthwhile now.

I'm so sorry. And I do wish that there was some kind of a silver lining to this volcanic ash cloud but the fact of the matter is that the brush fire season across the western U.S.A. will start in about two months and those fires will negate your efforts to reduce carbon emissions in our world for the next two years.

So, grab a Coke, give the world a hug, and have a nice day!

Tuesday, June 1, 2010

EDITORIAL: The U.N. gun grabber - Washington Times

EDITORIAL: The U.N. gun grabber
Global Small Arms Treaty threatens your right to self defense

By THE WASHINGTON TIMES

American gun owners might not feel besieged, but they should. This week, the Obama administration announced its support for the United Nations Small Arms Treaty. This international agreement poses real risks for freedom both in the United States and around the world by making it more difficult - if not outright illegal - for law-abiding citizens to keep and bear arms.

The U.N. claims that guns used in armed conflicts cause 300,000 deaths worldwide every year, an inordinate number of which are the result of internal civil strife within individual nations. The solution proposed by transnationalists to keep rebels from getting guns is to make the global pool of weapons smaller through government action. According to recent deliberations regarding the treaty, signatory countries would be required to "prevent, combat and eradicate" various classes of guns to undermine "the illicit trade in small arms." Such a plan would necessarily lead to confiscation of personal firearms.

This may seem like a reasonable solution to governments that don't trust their citizens, but it represents a dangerous disregard for the safety and freedom of everybody. First of all, not all insurgencies are bad. As U.S. history shows, one way to get rid of a despotic regime is to rise up against it. That threat is why authoritarian regimes such as Syria, Cuba, Rwanda, Vietnam, Zimbabwe and Sierra Leone endorse gun control.

Political scientist Rudy Rummel estimates that the 15 worst regimes during the 20th century killed 151 million of their own citizens, which works out to 1.5 million victims per year. Even if all 300,000 annual deaths from armed conflicts can be blamed on the small-arms trade (which they cannot), governments are a bigger threat to most people than their neighbors.

This U.N. treaty will lead to more gun control in America. "After the treaty is approved and it comes into force, you will find out that it has this implication or that implication and it requires the Congress to adopt some measure that restricts ownership of firearms," former U.S. Ambassador to the United Nations John R. Bolton warns. "The [Obama] administration knows it cannot obtain this kind of legislation purely in a domestic context. ... They will use an international agreement as an excuse to get domestically what they couldn't otherwise."

The U.N. Small Arms Treaty opens a back door for the Obama administration to force through gun control regulations. Threats to the Second Amendment are as real today as ever.

American capitalism gone with a whimper - Pravda.Ru

American capitalism gone with a whimper
27.04.2009 Source: Pravda.Ru URL: http://english.pravda.ru/opinion/columnists/107459-american_capitalism-0

It must be said, that like the breaking of a great dam, the American decent into Marxism is happening with breath taking speed, against the back drop of a passive, hapless sheeple, excuse me dear reader, I meant people.

True, the situation has been well prepared on and off for the past century, especially the past twenty years. The initial testing grounds was conducted upon our Holy Russia and a bloody test it was. But we Russians would not just roll over and give up our freedoms and our souls, no matter how much money Wall Street poured into the fists of the Marxists.

Those lessons were taken and used to properly prepare the American populace for the surrender of their freedoms and souls, to the whims of their elites and betters.

First, the population was dumbed down through a politicized and substandard education system based on pop culture, rather then the classics. Americans know more about their favorite TV dramas then the drama in DC that directly affects their lives. They care more for their "right" to choke down a McDonalds burger or a BurgerKing burger than for their constitutional rights. Then they turn around and lecture us about our rights and about our "democracy". Pride blind the foolish.

Then their faith in God was destroyed, until their churches, all tens of thousands of different "branches and denominations" were for the most part little more then Sunday circuses and their televangelists and top protestant mega preachers were more then happy to sell out their souls and flocks to be on the "winning" side of one pseudo Marxist politician or another. Their flocks may complain, but when explained that they would be on the "winning" side, their flocks were ever so quick to reject Christ in hopes for earthly power. Even our Holy Orthodox churches are scandalously liberalized in America.

The final collapse has come with the election of Barack Obama. His speed in the past three months has been truly impressive. His spending and money printing has been a record setting, not just in America's short history but in the world. If this keeps up for more then another year, and there is no sign that it will not, America at best will resemble the Wiemar Republic and at worst Zimbabwe.

These past two weeks have been the most breath taking of all. First came the announcement of a planned redesign of the American Byzantine tax system, by the very thieves who used it to bankroll their thefts, loses and swindles of hundreds of billions of dollars. These make our Russian oligarchs look little more then ordinary street thugs, in comparison. Yes, the Americans have beat our own thieves in the shear volumes. Should we congratulate them?

These men, of course, are not an elected panel but made up of appointees picked from the very financial oligarchs and their henchmen who are now gorging themselves on trillions of American dollars, in one bailout after another. They are also usurping the rights, duties and powers of the American congress (parliament). Again, congress has put up little more then a whimper to their masters.

Then came Barack Obama's command that GM's (General Motor) president step down from leadership of his company. That is correct, dear reader, in the land of "pure" free markets, the American president now has the power, the self given power, to fire CEOs and we can assume other employees of private companies, at will. Come hither, go dither, the centurion commands his minions.

So it should be no surprise, that the American president has followed this up with a "bold" move of declaring that he and another group of unelected, chosen stooges will now redesign the entire automotive industry and will even be the guarantee of automobile policies. I am sure that if given the chance, they would happily try and redesign it for the whole of the world, too. Prime Minister Putin, less then two months ago, warned Obama and UK's Blair, not to follow the path to Marxism, it only leads to disaster. Apparently, even though we suffered 70 years of this Western sponsored horror show, we know nothing, as foolish, drunken Russians, so let our "wise" Anglo-Saxon fools find out the folly of their own pride.

Again, the American public has taken this with barely a whimper...but a "freeman" whimper.

So, should it be any surprise to discover that the Democratically controlled Congress of America is working on passing a new regulation that would give the American Treasury department the power to set "fair" maximum salaries, evaluate performance and control how private companies give out pay raises and bonuses? Senator Barney Franks, a social pervert basking in his homosexuality (of course, amongst the modern, enlightened American societal norm, as well as that of the general West, homosexuality is not only not a looked down upon life choice, but is often praised as a virtue) and his Marxist enlightenment, has led this effort. He stresses that this only affects companies that receive government monies, but it is retroactive and taken to a logical extreme, this would include any company or industry that has ever received a tax break or incentive.

The Russian owners of American companies and industries should look thoughtfully at this and the option of closing their facilities down and fleeing the land of the Red as fast as possible. In other words, divest while there is still value left.

The proud American will go down into his slavery with out a fight, beating his chest and proclaiming to the world, how free he really is. The world will only snicker.

Stanislav Mishin

The article has been reprinted with the kind permission from the author and originally appears on his blog, Mat Rodina

Pravda: The sweet smell of marxism in America

Pravda: The sweet smell of marxism in America
By Michael van der Galien - Last updated: Sunday, October 11, 2009

You won’t believe it, I’m sure, but Russian newspaper Pravda (yeah, the former propaganda tool of the communist party) has zero appreciation for Barack Obama. Obama, the newspaper says, is trying to bring Marxism to America – and Americans are accepting it because he “radically transforms” their country with a friendly smile on his face.

American Marxists, Pravda says, are smarter than their ideological brethren abroad. They understand that you can’t ram marxism through voters’ throats the traditional way. No, you’ve got to take your time:

True, the situation has been well prepared on and off for the past century, especially the past twenty years…

First, the population was dumbed down through a politicized and substandard education system based on pop culture, rather then the classics. Americans know more about their favorite TV dramas then the drama in DC that directly affects their lives. They care more for their “right” to choke down a McDonalds burger or a BurgerKing burger than for their constitutional rights…

Then their faith in God was destroyed, until their churches, all tens of thousands of different “branches and denominations” were for the most part little more then Sunday circuses and their televangelists and top protestant mega preachers were more then happy to sell out their souls and flocks to be on the “winning” side of one pseudo Marxist politician or another…

The final collapse has come with the election of Barack Obama. His speed in the past three months has been truly impressive. His spending and money printing has been a record setting, not just in America’s short history but in the world. If this keeps up for more then another year, and there is no sign that it will not, America at best will resemble the Wiemar Republic and at worst Zimbabwe.

But there’s more:

These past two weeks have been the most breath taking of all. First came the announcement of a planned redesign of the American Byzantine tax system, by the very thieves who used it to bankroll their thefts, loses and swindles of hundreds of billions of dollars…

These men, of course, are not an elected panel but made up of appointees picked from the very financial oligarchs and their henchmen who are now gorging themselves on trillions of American dollars, in one bailout after another. They are also usurping the rights, duties and powers of the American congress (parliament)…

Then came Barack Obama’s command that GM’s (General Motor) president step down from leadership of his company. That is correct, dear reader, in the land of “pure” free markets, the American president now has the power, the self given power, to fire CEOs…

So it should be no surprise, that the American president has followed this up with a “bold” move of declaring that he and another group of unelected, chosen stooges will now redesign the entire automotive industry and will even be the guarantee of automobile policies. I am sure that if given the chance, they would happily try and redesign it for the whole of the world, too…

The newspaper proceeds to point out that Russian Prime Minister Vladimir Putin warned Obama and U.S. Congress not to follow the path to Marxism. ‘Apparently, even though we suffered 70 years of this Western sponsored horror show, we know nothing, as foolish, drunken Russians, so let our “wise” Anglo-Saxon fools find out the folly of their own pride.’

Now, whether or not you believe that Obama is a Marxist – I don’t think he is – that’s not the point. The point here is that Russians and others who suffered under communism realize that what the U.S. Congress has done in recent months leads to disaster. There’s a reason Eastern Europe and Russia have become capitalistic; big government does not work. It has never worked, it doesn’t work now, and it will never work.

It’s that simple.

Even if you believe that Congress and the White House are acting with good intentions, you have to admit that these good intentions will produce horrific results. And politicians shouldn’t be judged on what they want the effect of their policies to be, but on the effect their policies have.

No matter what his intentions may be, Obama has set the U.S. on a dangerous path towards collectivism and Big Government. In that, Pravda is correct.

Cross posted at Hot Air.