In my last post, I challenged you to find at least five examples of inequity, ineffectiveness, or inefficiency in a formula that is governing the allocation of transportation stimulus funds to the states: 25 percent based on total lane miles of federal-aid highways, 40 percent based on vehicle miles traveled in lanes on federal-aid highways, and 35 percent based on . . .
Akhil Amar and I just published an op-ed piece in the Los Angeles Times suggesting that President Obama might nominate two justices for the Supreme Court: Souter‘s formal letter to Obama indicates that he will step down at the end of this term — presumably late June. But nothing prevents the president from nominating now and the Senate from confirming . . .
No less an authority than my brother called my last post on the transportation stimulus package “spectacularly uninformative.” Fortunately (or unfortunately), this shows I got my message across; I feel pretty uninformed about the transportation program and perhaps you do too. Photo: Artem Finland One problem is that, paradoxically, a major strength of the way we make transportation policy can . . .
Quotes Uncovered Here are more quote authors and origins Shapiro’s tracked down recently. Did Emerson Define Success? Why Go To Hell Via Handbasket? Your Quote Authors Uncovered Ten weeks ago, I invited readers to submit quotations for which they wanted me to try to trace the origins, using The Yale Book of Quotations and more recent research by me. Scores . . .
Dozens of proposals are floating around suggesting different ways to fix what seems to be the broken business model for newspapers. Michael Kinsley‘s Op-Ed, working backwards from the gross numbers, provides a devastating critique of the claim that micropayments on the Internet could save the industry: Micropayment advocates imagine extracting as much as $2 a month from readers. The Times . . .
As the Senate and the House look to reconcile competing stimulus plans, the big debate is whether to emphasize government spending or tax cuts. A new paper by the New York Fed’s Gauti Eggertsson argues that the risk of deflation should tilt the balance to government spending. Our current problem is deficient aggregate demand. The government can raise total spending . . .
Reuters reports that the “cash for clunkers” program, which I criticized in an earlier blog post, has been removed from the stimulus package. I wish I could say that the reason for abandoning the program was that policymakers had come to understand the likely adverse economic consequences of the program. The real explanation, as usual, appears to be political, not . . .
I can’t help but wonder how many urban planners were inspired to enter the profession by computer games like SimCity or Railroad Tycoon. I can’t help but admit to spending a few hours (O.K., more than a few) blasting virtual tunnels through the Rockies and rebuilding Tokyo after those annoying SimCity Godzilla attacks.
Last week, we solicited your questions for Keith Hennessey, the outgoing White House chief economic adviser and director of the National Economic Council.
In his answers below, Hennessey explains (among other things) what he thinks are some of the “most absurd economic assumptions” by Washington politicians; where, exactly, the first few hundred billion dollars of the TARP money has gone; and why he had “the coolest job ever.” Thanks to all of you for the good questions and to Hennessey for his candid and thorough answers.
Our resident quote bleggar Fred Shapiro, editor of The Yale Book of Quotations, is back with another request. If you have a bleg of your own — it needn’t have anything to do with quotations — send it along here. Turning from comic strips to a weightier arena, I would welcome suggestions of notable quotations from United States Supreme Court . . .
Yesterday we wondered how the Blagojevich Affair would influence other politicians who need to fill vacant seats in the Senate or elsewhere. (BTW, the procedure for filling a vacant Senate seat varies state-by-state; here’s a related article.) We particularly wondered how New York Governor David Paterson would approach the task of replacing Hillary Clinton, now that the eyes of the . . .
Very, it would seem. This isn’t exactly a surprise. Obama campaigned hard on the subject. But a couple of personnel moves in recent days suggest that, despite the cratering economy, the administration is also eager to tackle the energy/global warming issues. The first move is the ouster of John Dingell as chairman of the House Committee on Energy and Commerce, . . .
Ron Paul When we solicited your questions for Congressman Ron Paul shortly after the election, so many questions came in that we split Paul’s answers into two batches, the first of which was published last week. Here is the second. Like the first batch, they are well-considered and interesting throughout; they will surely make many readers continue to wish fervently . . .
Larry Summers There is a lot of speculation about whether President-elect Barack Obama will choose Larry Summers to be his Treasury Secretary. But some people are openly opposing Summers’s appointment, in part because of controversial comments he made about women in science. It’s a close question, but I’m hoping that Obama appoints Summers. I have three reasons: First, Summers is . . .
So the bailout proposal before Congress seems to have been rejected because legislators were worried that voters back home saw it as a bailout of Wall Street at the expense of Main Street. Is such a fear rational? It may be that voters simply don’t understand or believe that a broader Wall Street failure could quickly trickle down and harm . . .
A revised bailout plan has been announced, and President Bush has thrown his weight behind it. To my eye, the rewriting of Paulson‘s plan this past week has been worthwhile; and the final plan, while imperfect, is a useful step forward, and a clear improvement on the original plan in terms of likely effectiveness, cost to the taxpayers, accountability, fairness, . . .
Screen Shot from the Marketplace Web site. It’s next to impossible to find an economist who will support a gas tax holiday, but cutting the gas tax altogether is an option in Budget Hero, a surprisingly entertaining online game that puts you in charge of balancing the federal budget. Based on budget models from the Congressional Budget Office, Budget Hero . . .
There is no shortage of groups made up of citizens banding together for a cause: Greenpeace, Doctors without Borders, Save the Children, the KKK, etc. I suspect that if you look at the data, you will see that economists are nearly always underrepresented in these organizations. No doubt there are many factors contributing to this result. In general, economists tend . . .
Economist Austan Goolsbee has a $44 billion idea called the “Simple Return”: Around two-thirds of taxpayers take only the standard deduction and do not itemize. Frequently, all of their income is solely from wages from one employer and interest income from one bank. For almost all of these people, the IRS already receives information about each of their sources of . . .
We’ve blogged about obesity at length here at Freakonomics. The health economist Eric Finkelstein has been studying the subject for years, and, along with co-author Laurie Zuckerman, has just published a book, The Fattening of America, which analyzes the causes and consequences of obesity in the U.S. Finkelstein agreed to answer our questions about the book. Q: You state that . . .
Peter Hain has resigned as the U.K.’s Secretary of State for Work and Pensions because he failed to declare “donations to his campaign for the Labour deputy leadership worth more than ?100,000.” But Bruce Ackerman and I think that the campaign disclosure law is misguided, and suggest an alternative in an op-ed that we wrote in The Guardian. Transparency in . . .
The odds are pretty good that if you are a reader of this blog, you’ll have the opportunity to vote today in one of the Super (Duper) Tuesday primaries. Here are today’s Democratic primaries and here are the Republican primaries. Two Novembers ago, we wrote a column headlined “Why Vote?” that discussed the rationality of voting. One point we made . . .
Coming into this very long, harried, and intensely reordered presidential primary season, there was a lot of talk about how poorly the nominating process serves the electorate. The common argument seemed to be that the acceleration and clustering of states’ primaries would create a chaos from which no electoral good would come. I’d like to suggest an opposing view: this . . .
Warning: what follows is a long blog post, perhaps better suited for a newspaper or magazine, and it will at times require your close attention. But I believe it is easily one of the best quorums we’ve ever published here. I’d like to thank all the participants for their thoughtful, well-considered, and fascinating answers, and for taking the time to . . .
California’s environmental policy has made headlines recently, with Gov. Arnold Schwarzenegger announcing that he plans to sue the federal government over its refusal to let the state enact its own plan to reduce greenhouse gas emissions, and instead adopt a more lax federal plan. While the E.P.A.’s regulation promises to increase fuel efficiency standards by 40 percent come 2020, the . . .
Please say hello to a new guest blogger, Sudhir Venkatesh, a professor of sociology and African-American studies at Columbia. You may remember him as the grad student who embedded himself with a Chicago crack gang, which we wrote about in “Freakonomics,” and you may also remember this blog Q&A. On Jan. 10, Venkatesh will publish a memoir about his research, . . .
The Harvard economist (and blogger) Greg Mankiw has written an excellent primer on the Federal Reserve’s power to influence the economy, making much of the the fact that the Fed is politically independent and can therefore afford to ignore public sentiment more than politicians can. His piece got me thinking about what a lot of people have been thinking for . . .
The 2008 U.S. Presidential campaign is heating up, and as always a lot of the questions revolve around economic issues. So we thought we’d ask the economic advisers to all the main candidates to tell us about their roles. As you’ll see, we didn’t get all that many responses but we’re grateful to those who replied. Economic advisers for John . . .
Controversy over corporate media consolidation has been brewing for decades. In 1975, the Federal Communications Commission enacted a rule prohibiting a single media company from owning both a newspaper and radio or TV station in the same city. Twenty-eight years later, the issue drew national attention when former FCC Chairman Michael Powell introduced a plan to overturn the ban. His . . .
In the last few years, magazine covers and newspaper front pages have often been dominated by disaster coverage: wildfires in California, hurricanes in the Gulf and elsewhere, and of course the Sept. 11 attacks and their myriad repercussions. (Whether the incidence of such events is higher or coverage is just noisier is a separate question, which is addressed below.) So . . .