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A study confirms every suspicion you ever had about high-school dating - 0 views

  • A recently released paper—called "Terms of Endearment," but don't hold its too-cute title against it—looked at how and when high-school students choose mates and their preferences when searching for a partner.
  • in examining the Add Health data, he and his colleagues found one classic economic tenet driving the byzantine high-school dating market: Scarcity determines value. Among freshman boys, what's rare, and therefore valuable, are freshman girls willing to have a relationship and, even better, willing to have sex. Among senior girls, what's valuable and scarce are boys willing to have a relationship without having sex.
  • Dating, in other words, is a market like any other, and market power is determined by the abundance of resources.
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  • The conclusion? Though high-school girls don't really want to have sex, many more of them end up doing so in order to "match" with a high-school boy. For them, a relationship at some point becomes more important than purity. Because of that phenomenon, in schools with more boys than girls, the girls hold more cards and have less sex. Where there are more girls, the male preference for sex tends to win out.
  • And who does the high-school dating system disadvantage most, statistically? Senior girls, at least according to the skew between stated sexual preferences and actual sexual activity. Though that will undoubtedly come as cold comfort to those legions of lonely 14-year-old boys.
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    "In the Darwinian world of high-school dating, freshman girls and senior boys have the highest chances of successfully partnering up. Senior girls (too picky!) and freshman boys (pond scum!) have the least. These are truisms known to anyone who has watched 10 minutes of a teen movie or spent 10 minutes in a high school cafeteria. Now, however, social scientists have examined them exhaustively and empirically. And they have found that for the most part, they're accurate. So are some other old prom-era chestnuts: Teen boys are primarily-obsessively?-interested in sex, whereas girls, no matter how boy-crazy, tend to focus on relationships. Young men frequently fib about their sexual experience, whereas young women tend to be more truthful. Once a student has sex, it becomes less of an issue in future relationships." By Annie Lowrey at Slate on November 15, 2010.
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Geopolitical Journey, Part 4: Moldova - 0 views

  • First, there is the question of what kind of country Moldova is. Second, there is the question of why anyone should care.
  • Stalin wanted to increase Ukraine’s security and increase Romania’s and the Danube basin’s vulnerability.
  • After the Soviet collapse, this territory became the Republic of Moldova. The portion east of the Dniester revolted with Russian support, and Moldova lost effective control of what was called Transdniestria.
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  • Let me emphasize the idea that it “began to shift,” not that it is now a strategic asset. This is an unfolding process. Its importance depends on three things: the power of Russia; Russia’s power over Ukraine; a response from some Western entity.
  • Seventy years after the partition, Moldova has become more than a Romanian province, far from a Russian province and something less than a nation. This is where geopolitics and social reality begin to collide.
  • In the Eastern European countries, the Soviet era is regarded as a nightmare and the Russians are deeply distrusted and feared to this day. In Moldova, there is genuine nostalgia for the Soviet period as there is in other parts of the former Soviet Union.
  • For a large part of the Moldovan population, Russian is the preferred language.
  • three-way tension between Romanians, Moldovan Romanian speakers and Russian speakers.
  • The real struggle is between those who back the communists and those who support an independent Moldova oriented toward the European Union and NATO.
  • The real issue behind the complex politics is simply this: What is Moldova?
  • There is consensus on what it is not: It is not going to be a province of Romania. But Moldova was a province of Romania and a Soviet Socialist Republic. What is it now? What does it mean to be a Moldovan?
  • It is said to be one of the poorest countries in Europe, if not the poorest. About 12 percent of its gross domestic product is provided by remittances from emigrants working in other European countries, some illegally.
  • we have a paradox. The numbers say Moldova is extremely poor, yet there are lots of banks and well and expensively dressed young women.
  • There are three possible explanations.
  • The first is that remittances are flooding the country
  • The second is that there is a massive shadow economy that evades regulation, taxation and statistical analysis.
  • The third explanation is that the capital and a few towns are fairly affluent while the rural areas are extraordinarily poor.
  • From the Moldovan point of view, at least among the pro-Western factions, Moldova’s strategic problems begin and end with Transdniestria
  • The Russian view, driven home by history, is that benign situations can turn malignant with remarkable speed.
  • Regardless of the collapse of the Soviet Union, the Russians are the ones concerned about things like a defensive river position while the Ukrainians see the matter with more detachment.
  • Moldova is a borderland-within-a-borderland. It is a place of foreign influences from all sides. But it is a place without a clear center.
  • If geopolitics were a theoretical game, then the logical move would be to integrate Moldova into NATO immediately and make it a member of the European Union.
  • geopolitics teaches that the foundation of national strategy is the existence of a nation.
  • Romania is still there. It is not a perfect solution, and certainly not one many Moldovans would welcome, but it is a solution, however imperfect.
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    "This is the fourth installment in a series of special reports that Dr. Friedman will write over the next few weeks as he travels to Turkey, Moldova, Romania, Ukraine and Poland. In this series, he will share his observations of the geopolitical imperatives in each country and conclude with reflections on his journey as a whole and options for the United States." By George Friedman at StratFor on November 19, 2010.
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Obama's Health Beast Squashes State Experiments - 0 views

  • It is that states can be laboratories where the country experiments to ascertain which mix of taxes, incentives and public administration works best when it comes to health care.
    • anonymous
       
      This argument might have flown two decades ago, but in the past fifty years, most state initiatives have born little fruit.
  • Hearing the Indiana details, one is tempted to pick at them like a statistics professor. But whether Healthy Indiana is perfect isn't at issue. The issue is that an experiment proceeded.
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    From the Council on Foreign Relations. By Amity Shlaes on March 31, 2010.
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Who Makes The Randroids? Inside an ARI Weekend Workshop. - 0 views

  • A typical Objectivist assurance that rational debate is welcome and encouraged. So how did it measure up? Well, let's find out.
  • One, while arguing that abortion is permissible in the third trimester, added this classic Objectivist line to his argument: A is A. A is A entails that abortion is moral? Call the press! The pro-lifers have been officially refuted. And absolutely hilarious was the debate between a Randroid and an ideological anarchist (Editor: did the anarchist call the Randroid a "statist"?? They really hate that!). If only we had a dogmatic libertarian, we could have had the cultist right trifecta!
  • And another remarkable statement: Mr. Biddle told several students that morally we would be justified in overthrowing our government because it is more powerful than the one the Founders overthrew (he does not advocate it because it would be unpractical - but then what happened to Rand's claim that the moral is the practical?)
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  • To be fair, I don't think that most students were as enamored of the book as he was, but still there was an air of fawning about the sessions. The professors helped guide the discussions but otherwise generally stayed out of the way. Interesting to note that the handful of times I criticized Objectivism or Atlas, they were sure to 'correct' me. Not brusquely or rudely, but nonetheless the message was that we were supposed to believe what Rand said (in the group think model, they would be the "mind guards").
  • Unfortunately, his topics were pretty standard fare for those well versed in libertarianism: communism is evil, the welfare state is pretty darn bad too, we need to go back to a commodity standard, and the Fed was the prime mover behind America's Great Recession.
  • So what is the net sum of this potpourri of ideas, quackery, and economics? Some good, I'm sure, but a dangerous potential for evil. I had been a libertarian and Objectivist fanatic for long enough to be familiar with most of the ideas presented in Clemson, but my roommate, who is new to the movement, said he learned a lot, so there's a good chance that many students picked up on a lot of radical right ideas. And there's nothing inherently wrong with that.
  • The trouble is that there were almost no caveats. Dr. Thomson's encouragement to free thinking aside, Rand's ideas were presented as the truth, without any warnings that they were controversial.
  • All too often, as Robert A. Heinlein once said, man is not a rational animal, he is a rationalizing animal. And what's been 'proved' with 'reason' usually turns out to be some arbitrary claim by Rand. As Dr. Eric Daniels said: "To understand political economy, you need to understand man". Sadly, man is perhaps what Objectivism understands the least.
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    "Our ARCHNblog mole "Mr A" goes undercover at an Ayn Rand Institute weekend student workshop. Once a year, the Clemson Institute for the Study of Capitalism hosts a free conference for college students on "The Moral Foundations of Capitalism" and the greatest book ever written in defense of it...oops, I forgot, Atlas Shrugged isn't primarily about capitalism, but hey, it STILL made the best defense of capitalism in the history of the world!"
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100 years of statism, 100 years of neoliberalism - 0 views

  • 1.  For nearly 100 years statism was on the advance in the US, and indeed in almost every country.
  • 2.  In the US the period of growth of government started at least as far back as 1887 (the ICC) and continued until 1977, after which deregulation, free trade agreements, and MTR cuts kicked in.  In other countries one saw MTR cuts, deregulation and privatization.
  • 3.  During the statism megatrend, the term ‘reform’ implicitly meant bigger government.  That’s how governments reacted to crises.  During the current (neoliberalism) megatrend, the tern ‘reform’ implicitly means less government.
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  • 4.  In the US this pattern has recently been hidden by health care, which is one aspect of the welfare state that was never completed in the statist era (although it was completed in all other developed countries.)
  • 5.  During the megatrends, there are periods of consolidation, which are falsely viewed as countertrends.  They are not countertrends.  The trend is still intact.  In the US the 1920s and 1950s were falsely viewed as countertrends.  Don’t be fooled, we are only 1/3 of the way through the neoliberalism megatrend.
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    "I'd like to argue that to understand what's going on in the world, one needs to understand the megatrends.  Yes, I know that 'megatrend' is a rather disreputable term, associated with crackpots.  But I'm going to use it anyway.  Here's my basic hypothesis:" Thanks to Adam Gurri for the interesting read.
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The Crisis of the Middle Class and American Power - 0 views

  • At the same time, I would agree that the United States faces a potentially significant but longer-term geopolitical problem deriving from economic trends.
  • The threat to the United States is the persistent decline in the middle class' standard of living, a problem that is reshaping the social order that has been in place since World War II and that, if it continues, poses a threat to American power.
  • The median household income of Americans in 2011 was $49,103. Adjusted for inflation, the median income is just below what it was in 1989 and is $4,000 less than it was in 2000.
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  • It is also vital to consider not the difference between 1990 and 2011, but the difference between the 1950s and 1960s and the 21st century. This is where the difference in the meaning of middle class becomes most apparent.
  • In the 1950s and 1960s, the median income allowed you to live with a single earner -- normally the husband, with the wife typically working as homemaker -- and roughly three children. It permitted the purchase of modest tract housing, one late model car and an older one. It allowed a driving vacation somewhere and, with care, some savings as well. I know this because my family was lower-middle class, and this is how we lived, and I know many others in my generation who had the same background. It was not an easy life and many luxuries were denied us, but it wasn't a bad life at all.
  • Someone earning the median income today might just pull this off, but it wouldn't be easy. Assuming that he did not have college loans to pay off but did have two car loans to pay totaling $700 a month, and that he could buy food, clothing and cover his utilities for $1,200 a month, he would have $1,400 a month for mortgage, real estate taxes and insurance, plus some funds for fixing the air conditioner and dishwasher.
  • At a 5 percent mortgage rate, that would allow him to buy a house in the $200,000 range. He would get a refund back on his taxes from deductions but that would go to pay credit card bills he had from Christmas presents and emergencies. It could be done, but not easily and with great difficulty in major metropolitan areas. And if his employer didn't cover health insurance, that $4,000-5,000 for three or four people would severely limit his expenses. And of course, he would have to have $20,000-40,000 for a down payment and closing costs on his home. There would be little else left over for a week at the seashore with the kids.
  • And this is for the median. Those below him -- half of all households -- would be shut out of what is considered middle-class life, with the house, the car and the other associated amenities.
  • I should pause and mention that this was one of the fundamental causes of the 2007-2008 subprime lending crisis. People below the median took out loans with deferred interest with the expectation that their incomes would continue the rise that was traditional since World War II.
  • The caricature of the borrower as irresponsible misses the point. The expectation of rising real incomes was built into the American culture, and many assumed based on that that the rise would resume in five years. When it didn't they were trapped, but given history, they were not making an irresponsible assumption.
  • American history was always filled with the assumption that upward mobility was possible. The Midwest and West opened land that could be exploited, and the massive industrialization in the late 19th and early 20th centuries opened opportunities. There was a systemic expectation of upward mobility built into American culture and reality.
  • The Great Depression was a shock to the system, and it wasn't solved by the New Deal, nor even by World War II alone. The next drive for upward mobility came from post-war programs for veterans, of whom there were more than 10 million. These programs were instrumental in creating post-industrial America, by creating a class of suburban professionals. There were three programs that were critical:
  • The GI Bill, which allowed veterans to go to college after the war, becoming professionals frequently several notches above their parents.
  • The part of the GI Bill that provided federally guaranteed mortgages to veterans, allowing low and no down payment mortgages and low interest rates to graduates of publicly funded universities.
  • The federally funded Interstate Highway System, which made access to land close to but outside of cities easier, enabling both the dispersal of populations on inexpensive land (which made single-family houses possible) and, later, the dispersal of business to the suburbs.
  • There were undoubtedly many other things that contributed to this, but these three not only reshaped America but also created a new dimension to the upward mobility that was built into American life from the beginning.
  • there was consensus around the moral propriety of the programs.
  • The subprime fiasco was rooted in the failure to understand that the foundations of middle class life were not under temporary pressure but something more fundamental.
  • the rise of the double-income family corresponded with the decline of the middle class.
  • But there was, I think, the crisis of the modern corporation.
  • Over the course of time, the culture of the corporation diverged from the realities, as corporate productivity lagged behind costs and the corporations became more and more dysfunctional and ultimately unsupportable.
  • In addition, the corporations ceased focusing on doing one thing well and instead became conglomerates, with a management frequently unable to keep up with the complexity of multiple lines of business.
  • Everything was being reinvented. Huge amounts of money, managed by people whose specialty was re-engineering companies, were deployed. The choice was between total failure and radical change. From the point of view of the individual worker, this frequently meant the same thing: unemployment.
  • From the view of the economy, it meant the creation of value whether through breaking up companies, closing some of them or sending jobs overseas. It was designed to increase the total efficiency, and it worked for the most part.
  • This is where the disjuncture occurred. From the point of view of the investor, they had saved the corporation from total meltdown by redesigning it. From the point of view of the workers, some retained the jobs that they would have lost, while others lost the jobs they would have lost anyway. But the important thing is not the subjective bitterness of those who lost their jobs, but something more complex.
  • As the permanent corporate jobs declined, more people were starting over. Some of them were starting over every few years as the agile corporation grew more efficient and needed fewer employees. That meant that if they got new jobs it would not be at the munificent corporate pay rate but at near entry-level rates in the small companies that were now the growth engine.
  • As these companies failed, were bought or shifted direction, they would lose their jobs and start over again. Wages didn't rise for them and for long periods they might be unemployed, never to get a job again in their now obsolete fields, and certainly not working at a company for the next 20 years.
  • The restructuring of inefficient companies did create substantial value, but that value did not flow to the now laid-off workers. Some might flow to the remaining workers, but much of it went to the engineers who restructured the companies and the investors they represented.
  • Statistics reveal that, since 1947 (when the data was first compiled), corporate profits as a percentage of gross domestic product are now at their highest level, while wages as a percentage of GDP are now at their lowest level.
  • It was not a question of making the economy more efficient -- it did do that -- it was a question of where the value accumulated. The upper segment of the wage curve and the investors continued to make money. The middle class divided into a segment that entered the upper-middle class, while another faction sank into the lower-middle class.
  • American society on the whole was never egalitarian. It always accepted that there would be substantial differences in wages and wealth. Indeed, progress was in some ways driven by a desire to emulate the wealthy. There was also the expectation that while others received far more, the entire wealth structure would rise in tandem. It was also understood that, because of skill or luck, others would lose.
  • What we are facing now is a structural shift, in which the middle class' center, not because of laziness or stupidity, is shifting downward in terms of standard of living. It is a structural shift that is rooted in social change (the breakdown of the conventional family) and economic change (the decline of traditional corporations and the creation of corporate agility that places individual workers at a massive disadvantage).
    • anonymous
       
      I would revise: "(breakdown of the contentional family) is too unclear. The 'conventional family' that Friedman notes was very much outlier behavior for most Americans. Having enough money for a wife to stay home was an unprecedented situation in American history.
  • The inherent crisis rests in an increasingly efficient economy and a population that can't consume what is produced because it can't afford the products. This has happened numerous times in history, but the United States, excepting the Great Depression, was the counterexample.
  • In political debates, someone must be blamed. In reality, these processes are beyond even the government's ability to control. On one hand, the traditional corporation was beneficial to the workers until it collapsed under the burden of its costs. On the other hand, the efficiencies created threaten to undermine consumption by weakening the effective demand among half of society.
  • The greatest danger is one that will not be faced for decades but that is lurking out there.
    • anonymous
       
      One decade, but not two, if you ask me.
  • The United States was built on the assumption that a rising tide lifts all ships. That has not been the case for the past generation, and there is no indication that this socio-economic reality will change any time soon.
  • That means that a core assumption is at risk. The problem is that social stability has been built around this assumption -- not on the assumption that everyone is owed a living, but the assumption that on the whole, all benefit from growing productivity and efficiency.
  • If we move to a system where half of the country is either stagnant or losing ground while the other half is surging, the social fabric of the United States is at risk, and with it the massive global power the United States has accumulated.
    • anonymous
       
      Which is why this is an effective tactic for linking 'evil Socialist' programs to national security.
  • Other superpowers such as Britain or Rome did not have the idea of a perpetually improving condition of the middle class as a core value. The United States does. If it loses that, it loses one of the pillars of its geopolitical power.
  • The left would argue that the solution is for laws to transfer wealth from the rich to the middle class. That would increase consumption but, depending on the scope, would threaten the amount of capital available to investment by the transfer itself and by eliminating incentives to invest. You can't invest what you don't have, and you won't accept the risk of investment if the payoff is transferred away from you.
  • The right will argue that allowing the free market to function will fix the problem.
  • The free market doesn't guarantee social outcomes, merely economic ones.
  • In other words, it may give more efficiency on the whole and grow the economy as a whole, but by itself it doesn't guarantee how wealth is distributed.
  • The left cannot be indifferent to the historical consequences of extreme redistribution of wealth. The right cannot be indifferent to the political consequences of a middle-class life undermined, nor can it be indifferent to half the population's inability to buy the products and services that businesses sell.
  • The most significant actions made by governments tend to be unintentional.
    • anonymous
       
      Unintended consequences: A thing that always happens but which politicians are allergic to.
  • The GI Bill was designed to limit unemployment among returning serviceman; it inadvertently created a professional class of college graduates.
  • The VA loan was designed to stimulate the construction industry; it created the basis for suburban home ownership.
  • The Interstate Highway System was meant to move troops rapidly in the event of war; it created a new pattern of land use that was suburbia.
  • The United States has been a fortunate country, with solutions frequently emerging in unexpected ways.
  • It would seem to me that unless the United States gets lucky again, its global dominance is in jeopardy. Considering its history, the United States can expect to get lucky again, but it usually gets lucky when it is frightened.
  • And at this point it isn't frightened but angry, believing that if only its own solutions were employed, this problem and all others would go away.
  • I am arguing that the conventional solutions offered by all sides do not yet grasp the magnitude of the problem -- that the foundation of American society is at risk -- and therefore all sides are content to repeat what has been said before.
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    "When I wrote about the crisis of unemployment in Europe, I received a great deal of feedback. Europeans agreed that this is the core problem while Americans argued that the United States has the same problem, asserting that U.S. unemployment is twice as high as the government's official unemployment rate. My counterargument is that unemployment in the United States is not a problem in the same sense that it is in Europe because it does not pose a geopolitical threat. The United States does not face political disintegration from unemployment, whatever the number is. Europe might."
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