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julia rhodes

How our brain assess bargains - 0 views

  • The 'supermarket shoppers' were brain-scanned to test their reactions to promotions and special offers in a major cutting-edge project by UK-based SBXL, one of Europe's leading shopping behaviour specialists and Bangor University's respected School of Psychology.
  • We know from other research that people are not as good at making rational decisions as they might expect, often using "rules of thumb" and educated guesses to evaluate decisions. Using brain imaging techniques we hope to get a better understanding of how the brain responds to special offers and how this may influence the decisions we make. This also gives us the chance to do some research on how we make decisions in a real world context."
  • Our data also agrees with previous research suggesting that as offers, or decisions get more complex, instead of working things out, our brains take shortcuts, and may guess that an offer is good. Interestingly, in our study people were just as good at selecting good complex offers from bad as they were for less complex ones, suggesting this guessing method may be as good in some cases as "working it out"."
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  • "It turns out we are not as good at picking good offers as you might expect, with the average shopper in our experiment only picking 60% of good offers compared to bad. We also found that age had a strong negative affect on the ability to choose good offers, with older people less able to choose good offers over bad ones. We find this latter effect very interesting and would like to do some more research to find out why this may be the case."
  • The advantage of using fMRI to image the brain while actively making shopping decisions is that it enables us to see how the whole brain responds, including the 'deeper' areas of the brain, such as those associated with emotion and desire. This lets us understand more about what makes an offer appealing: in some cases the choice appears to be more rational, and in other cases we can see emotional circuitry getting involved in the decision-making process".
  • In particular we are interested in how factors we are unconsciously aware of can override what might be considered the optimal choice based on conscious judgements. We hope this partnership with SBXL will lead to further research in this area."
Javier E

Welcome to the Age of Denial - NYTimes.com - 1 views

  • instead of sending my students into a world that celebrates the latest science has to offer, I am delivering them into a society ambivalent, even skeptical, about the fruits of science.
  • The triumph of Western science led most of my professors to believe that progress was inevitable. While the bargain between science and political culture was at times challenged — the nuclear power debate of the 1970s, for example — the battles were fought using scientific evidence.
  • many of our leaders have abandoned the postwar bargain in favor of what the scientist Michael Mann calls the “scientization of politics.”
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  • Today, however, it is politically effective, and socially acceptable, to deny scientific fact.
  • We face many daunting challenges as a society, and they won’t all be solved with more science and math education. But what has been lost is an understanding that science’s open-ended, evidence-based processes — rather than just its results — are essential to meeting those challenges.
  • My professors’ generation could respond to silliness like creationism with head-scratching bemusement. My students cannot afford that luxury. Instead they must become fierce champions of science in the marketplace of ideas.
sgardner35

Unions Subdued, Scott Walker Turns to Tenure at Wisconsin Colleges - NYTimes.com - 0 views

  • CHICAGO — Gov. Scott Walker of Wisconsin, who began building a national profile four years ago by sharply cutting collective bargaining rights for most government workers, has turned his sights to a different element of the public sector: state universities.
  • As a new and unknown governor in 2011, Mr. Walker quickly drew national attention by announcing legislation to limit collective bargaining rights for most public-sector unions and require workers to pay more for their health care and pensions.
  • “It’ll be impossible for us to attract and retain people if we’re the only one that has such a weak protection of tenure,” said Donald Moynihan, a professor of public affairs at the University of Wisconsin-Madison, who has been at the institution for 10 years and was among hundreds of faculty members in recent days to sign a letter opposing the changes.
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  • “The reality is that we are not eliminating tenure,” said Senator Sheila Harsdorf, a Republican, adding that she believed the effort had been misunderstood as a broad condemnation of tenure.
  • All of the changes still require a vote by the state’s full Senate and House. The proposal is expected to come to the full chambers later this month as part of the state’s budget for the next two years.
  • Mr. Walker has called for still more sweeping changes to the state university system. As part of his budget proposal in February, the governor said he wanted to shift the entire university system out from under direct state oversight. He called for the creation of a “quasi-governmental” authority that could act on its own on issues of personnel, purchasing, capital projects and tuition. He also wanted to cut state spending on the system by about $300 million, or 13 percent, as part of his answer to an anticipated budget shortfall.
  • Wisconsin has hardly been the only place where public universities have struggled in relationships with their states, and leaders elsewhere have been closely watching the events unfold in Wisconsin. As state funding for higher education has dwindled in recent years, public universities in several states have been involved in discussions over cutting, or loosening, their ties with state government, so they would not have to comply with state regulations governing areas like purchasing and construction.
  • “We are as a board and always have been and always will be supportive of tenure,” Regina Millner, the regents’ vice president, said in an interview. “Our commitment to tenure, our commitment to academic freedom, our commitment to a strong faculty with secure support for the work they do, it’s absolute.
  • “Increasingly, the excuse of financial difficulty has been used as a reason to overpower the faculty, with a lot of people in administration saying we need to be flexible,” said Henry Reichman, vice president of the American Association of University Professors. “If you just took the Wisconsin language on eliminating tenure, and moved it from the statute into board policy, you could argue that there would be no problem. But the shared governance change seems to undermine the whole structure.”
Javier E

A Different Bargain on Race - The New York Times - 0 views

  • At one end of this polarized political landscape, you have the liberal acclaim that greeted Ta-Nehisi Coates’s case for reparations, his argument that the debt owed by “the people who believe themselves to be white” to the descendants of African slaves is vast and essentially unpaid.
  • At the other end you have the fears of those white Trump voters who feel like the new liberalism offers affirmative action for everyone but them, allowing immigrants and minorities to “cut the line”
  • It can be simultaneously true that slavery and Jim Crow robbed black Americans on a scale that still requires redress, and that offering redress through a haphazard system of minority preferences in hiring, contracting and higher education creates a new set of reasonable white grievances in its turn.
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  • this week’s immodest proposal: Abolish racial preferences in college admissions, phase out preferences in government hiring and contracting, eliminate the disparate-impact standard in the private sector, and allow state-sanctioned discrimination only on the basis of socioeconomic status, if at all. Then at the same time, create a reparations program — the Frederick Douglass Fund, let’s call it — that pays out exclusively, directly and one time only to the proven descendants of American slaves.
  • But right now, giving every single African-American $10,000, perhaps in a specially-designed annuity, would cost about $370 billion, modest relative to supply-side tax plans and single-payer schemes alike. The wealth of the median black household in the United States was $11,200 as of 2013; a $10,000 per-person annuity would more than double it.
  • There is no clear or easy path to becoming a multiracial nation that isn’t divided politically by race. But reparations for the descendants of slaves today, rather than affirmative action for nonwhites forever, might be a better path than the one we’re on right now.
peterconnelly

Opinion: No more union-busting. It's time for companies to give their workers what they... - 0 views

  • This year, workers at Amazon, Starbucks and other major corporations are winning a wave of union elections, often in the face of long odds and employer resistance. These wins are showing it's possible for determined groups of workers to break through powerful employers' use of union-busting tactics, ranging from alleged retaliatory firings to alleged surveillance and forced attendance at anti-union "captive audience meetings." But workers should not have to confront so many obstacles to exercising a guaranteed legal right to unionize and bargain for improvements in their work lives and livelihoods.
  • For decades, wage suppression, growing income inequality and persistent racial and gender wage gaps have characterized the US labor market.
  • But now, as workers are pointing the way to better workplaces and a more equitable economy, employers and policymakers need to pay attention. Policymakers must better protect workers' union rights, and employers must start respecting workers' right to participate in union elections without interference or coercion.
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  • Unions are among the most effective mechanisms available for addressing massive economic inequalities. Congress should adopt labor law reforms to better protect workers' right to organize, starting with the widely popular Protecting the Right to Organize (PRO) Act. Among other things, the PRO Act would create the first serious monetary penalties for employers that retaliate against workers for unionizing.
  • Congress must also adequately fund the National Labor Relations Board (NLRB) so the agency can enforce labor law.
  • Many US workers say they want a union, but far too few have one. Right now, workers who've won recent union elections are inviting employers to meet them as equals and start bargaining union contracts.
  • Labor unions are highly correlated with safer conditions because they give workers a voice in setting workplace policies and the ability to engage management in addressing concerns without fear of retaliation.
  • The Black-led, multiracial committees that have led organizing drives at Amazon warehouses and the young women baristas leading breakthrough organizing victories at Starbucks are changing the public face of the labor movement in powerful and promising ways.
  • Two-thirds of union workers are women and/or workers of color.
  • In any company, the transparency and consistency of a union contract that sets wage rates, scheduled raises and procedures for promotions helps guard against forms of discriminatory bias that otherwise disadvantage women and workers of color.
  • Unionizing workers will continue to need extraordinary solidarity, persistence and public support in order to succeed. This is a moment of opportunity for all of us. Anyone ready to start reversing the worst economic inequalities the US has seen in almost a century can choose now to join and support workers who are organizing unions.
Emily Horwitz

U.S. Stockpiles Smallpox Drug in Case of Bioterror Attack - NYTimes.com - 0 views

  • The United States government is buying enough of a new smallpox medicine to treat two million people in the event of a bioterrorism attack, and took delivery of the first shipment of it last week. But the purchase has set off a debate about the lucrative contract, with some experts saying the government is buying too much of the drug at too high a price.
  • Smallpox was eradicated by 1980, and the only known remaining virus is in government laboratories in the United States and Russia
  • Experts say the virus could also be re-engineered into existence in a sophisticated genetics lab.
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  • the government is paying more than $200 for each course of treatment.
  • But when stockpiling a smallpox drug was first proposed in 2001 after the Sept. 11 and anthrax attacks, it was expected to cost only $5 to $10 per course, said Dr. Donald A. Henderson, who led a government advisory panel on biodefense in the wake of those attacks. Dr. Henderson was a leader in the eradication of smallpox in the 1960s and is now at the Center for Biosecurity at the University of Pittsburgh Medical Center.
  • Smallpox has such a long incubation period that the vaccine can prevent disease even if it is given as late as three days after infection. Arestvyr may also prevent infection if given early enough, but that has not been proven.
  • the price being charged for a patented drug was a bargain compared with AIDS antiretrovirals that cost $20,000 a year and cancer drugs that cost more than $100,000 a year.
  • “There are 80 million courses of Tamiflu in the strategic national stockpile,” he said. “Smallpox is just as contagious and has 30 times the mortality. By measures like that, I’d say 2 million is on the low end.”
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    After reading this article, I thought about how much fear and the perceived threat of terrorism can be used quite effectively as manipulative tools. The article seemed to suggest that, because the US is so afraid/wary of a bioterrorism attack involving smallpox, we were willing to pay an excessive amount of money for emergency-use vaccines.
Javier E

Inequality and the Modern Culture of Celebrity - NYTimes.com - 0 views

  • The Depression that ended Fitzgerald’s Jazz Age yielded to a new order that might be called the Roosevelt Republic. In the quarter-century after World War II, the country established collective structures, not individual monuments, that channeled the aspirations of ordinary people: state universities, progressive taxation, interstate highways, collective bargaining, health insurance for the elderly, credible news organizations.
  • One virtue of those hated things called bureaucracies is that they oblige everyone to follow a common set of rules, regardless of station or background; they are inherently equalizing.
  • Our age is lousy with celebrities. They can be found in every sector of society, including ones that seem less than glamorous
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  • This new kind of celebrity is the ultimate costume ball, far more exclusive and decadent than even the most potent magnates of Hollywood’s studio era could have dreamed up.
  • after decades of widening income gaps, unequal distributions of opportunity and reward, and corroding public institutions, we have gone back to Gatsby’s time — or something far more perverse. The celebrity monuments of our age have grown so huge that they dwarf the aspirations of ordinary people, who are asked to yield their dreams to the gods: to flash their favorite singer’s corporate logo at concerts, to pour open their lives (and data) on Facebook, to adopt Apple as a lifestyle. We know our stars aren’t inviting us to think we can be just like them. Their success is based on leaving the rest of us behind.
Javier E

Here is the news - but only if Facebook thinks you need to know | John Naughton | Opini... - 0 views

  • power essentially comes in three varieties: the ability to compel people to do what they don’t want to do; the capability to stop them doing what they want to do; and the power to shape the way they think
  • This last is the kind of power exercised by our mass media. They can shape the public (and therefore the political) agenda by choosing the news that people read, hear or watch; and they can shape the ways in which that news is presented.
  • For a long time, Google was the 800lb gorilla in this domain, because its dominance of search determined what people could find in the unimaginable wastelands of cyberspace
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  • search could be – and was – personalised, because Google’s algorithms could figure out what each user was most likely to be interested in, and therefore what kinds of information would be most relevant for her or him. So, imperceptibly, but inexorably over time, we have come to live in what Eli Pariser christened a “filter bubble”.
  • Before the internet, our problem with information was its scarcity. Now our problem is unmanageable abundance. So now the scarce resources are attention and time, over which a vicious war has broken out between traditional media and the internet-based upstarts.
  • YouTube has a billion users, half of whom access it via mobile devices. The average time spent on the site is 40 minutes. Facebook now claims to have 1.65 billion monthly active users, who spend on average 50 minutes a day on its services. So if Google is an 800lb gorilla, Facebook is a megaton King Kong.
  • Competition for attention and time is a zero-sum game that traditional media are losing. In desperation, they are trying both to appease Facebook and to harness its hold on people’s attention
  • In doing so, they have entered into a truly Faustian bargain. Because while publishers can without difficulty ship their stuff to Instant Articles, they cannot control which ones Facebook users actually get to see. This is because users’ news feeds are determined by Facebook’s machine-learning algorithms that try to guess what each user would like to see (and what might dispose them to click on an advertisement).
  • when you ask – as Professor George Brock memorably did – whether Mark Zuckerberg and his satraps understand that they have acquired editorial responsibilities, they look blank. Facebook is not a publisher, they explain, merely a “platform”. And, besides, no humans are involved in curating users’ news feeds: it’s all done by algorithms and is therefore neutral. In other words: nothing to see here; move on.
  • Any algorithm that has to make choices has criteria that are specified by its designers. And those criteria are expressions of human values. Engineers may think they are “neutral”, but long experience has shown us they are babes in the woods of politics, economics and ideology.
Javier E

Robert Reich: A single-payer health care system is inevitable - Salon.com - 1 views

  • In a nutshell, the more sick people and the fewer healthy people a private for-profit insurer attracts, the less competitive that insurer becomes relative to other insurers that don’t attract as high a percentage of the sick but a higher percentage of the healthy.
  • If insurers had no idea who’d be sick and who’d be healthy when they sign up for insurance (and keep them insured at the same price even after they become sick), this wouldn’t be a problem. But they do know — and they’re developing more and more sophisticated ways of finding out.
  • Health insurers spend lots of time, effort and money trying to attract people who have high odds of staying healthy (the young and the fit) while doing whatever they can to fend off those who have high odds of getting sick (the older, infirm and the unfit).
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  • As a result we end up with the most bizarre health-insurance system imaginable: One ever better designed to avoid sick people.
  • America’s giant health insurers are now busily consolidating into ever-larger behemoths.
  • In reality, they’re becoming huge to get more bargaining leverage over everyone they do business with — hospitals, doctors, employers, the government and consumers. That way they make even bigger profits.
  • researchers found, for example, that after Aetna merged with Prudential HealthCare in 1999, premiums rose 7 percent higher than had the merger not occurred.
  • The real choice in the future is either a hugely expensive for-profit oligopoly with the market power to charge high prices even to healthy people and stop insuring sick people.
  • Or else a government-run single payer system — such as is in place in almost every other advanced economy — dedicated to lower premiums and better care for everyone.
Javier E

Worldly Philosophers Wanted - NYTimes.com - 0 views

  • Keynes himself was driven by a powerful vision of capitalism. He believed it was the only system that could create prosperity, but it was also inherently unstable and so in need of constant reform. This vision caught the imagination of a generation that had experienced the Great Depression and World War II and helped drive policy for nearly half a century.
  • Friedrich Hayek and Milton Friedman, who envisioned an ideal economy involving isolated individuals bargaining with one another in free markets. Government, they contended, usually messes things up. Overtaking a Keynesianism that many found inadequate to the task of tackling the stagflation of the 1970s, this vision fueled neoliberal and free-market conservative agendas of governments around the world.
  • It took extensive government action to prevent another Great Depression, while the enormous rewards received by bankers at the heart of the meltdown have led many to ask whether unfettered capitalism produced an equitable distribution of wealth. We clearly need a new, alternative vision of capitalism. But thanks to decades of academic training in the “dentistry” approach to economics, today’s Keynes or Friedman is nowhere to be found.
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  • To refuse to discuss ideas such as types of capitalism deprives us of language with which to think about these problems. It makes it easier to stop thinking about what the economic system is for and in whose interests it is working.
  • Perhaps the protesters occupying Wall Street are not so misguided after all. The questions they raise — how do we deal with the local costs of global downturns? Is it fair that those who suffer the most from such downturns have their safety net cut, while those who generate the volatility are bailed out by the government? — are the same ones that a big-picture economic vision should address. If economists want to help create a better world, they first have to ask, and try to answer, the hard questions that can shape a new vision of capitalism’s potential.
Javier E

Walmart's Visible Hand - NYTimes.com - 1 views

  • Conservatives — with the backing, I have to admit, of many economists — normally argue that the market for labor is like the market for anything else. The law of supply and demand, they say, determines the level of wages, and the invisible hand of the market will punish anyone who tries to defy this law.
  • Specifically, this view implies that any attempt to push up wages will either fail or have bad consequences. Setting a minimum wage, it’s claimed, will reduce employment and create a labor surplus, the same way attempts to put floors under the prices of agricultural commodities used to lead to butter mountains, wine lakes and so on
  • Pressuring employers to pay more, or encouraging workers to organize into unions, will have the same effect.
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  • But labor economists have long questioned this view
  • the labor force — is people. And because workers are people, wages are not, in fact, like the price of butter, and how much workers are paid depends as much on social forces and political power as it does on simple supply and demand.
  • What’s the evidence? First, there is what actually happens when minimum wages are increased. Many states set minimum wages above the federal level, and we can look at what happens when a state raises its minimum while neighboring states do no
  • the overwhelming conclusion from studying these natural experiments is that moderate increases in the minimum wage have little or no negative effect on employment.
  • Then there’s history. It turns out that the middle-class society we used to have didn’t evolve as a result of impersonal market forces — it was created by political action, and in a brief period of time
  • America was still a very unequal society in 1940, but by 1950 it had been transformed by a dramatic reduction in income disparities, which the economists Claudia Goldin and Robert Margo labeled the Great Compression.
  • How did that happen?
  • Part of the answer is direct government intervention, especially during World War II, when government wage-setting authority was used to narrow gaps between the best paid and the worst paid. Part of it, surely, was a sharp increase in unionization. Part of it was the full-employment economy of the war years, which created very strong demand for workers and empowered them to seek higher pay.
  • the Great Compression didn’t go away as soon as the war was over. Instead, full employment and pro-worker politics changed pay norms, and a strong middle class endured for more than a generation. Oh, and the decades after the war were also marked by unprecedented economic growth.
  • Walmart is under political pressure over wages so low that a substantial number of employees are on food stamps and Medicaid. Meanwhile, workers are gaining clout thanks to an improving labor market, reflected in increasing willingness to quit bad jobs.
  • its justification for the move echoes what critics of its low-wage policy have been saying for years: Paying workers better will lead to reduced turnover, better morale and higher productivity.
  • What this means, in turn, is that engineering a significant pay raise for tens of millions of Americans would almost surely be much easier than conventional wisdom suggests. Raise minimum wages by a substantial amount; make it easier for workers to organize, increasing their bargaining power; direct monetary and fiscal policy toward full employment, as opposed to keeping the economy depressed out of fear that we’ll suddenly turn into Weimar Germany. It’s not a hard list to implement — and if we did these things we could make major strides back toward the kind of society most of us want to live in.
  • The point is that extreme inequality and the falling fortunes of America’s workers are a choice, not a destiny imposed by the gods of the market. And we can change that choice if we want to.
Javier E

Biker Gangs, Tamir Rice, And The Rise Of White Fragility - 0 views

  • The most dangerous uprising that's threatening America's stability isn't black protests in places like Ferguson or Baltimore. It's taking place among an aging white majority that is losing its bearing on reality and destroying the gears of government, media and public welfare. At its center is an inexplicable, illogical and dangerous fear that some sociologists are now defining as white fragility.
  • In her 2011 academic pedagogical analysis titled “White Fragility,” DiAngelo goes into a detailed explanation of how white people in North America live in insulated social and media spaces that protect them from any race-based stress. This privileged fragility leaves them unable to tolerate any schism or challenge to a universally accepted belief system. Any shift away from that (like a biracial African-American president) triggers a deep and sustaining panic. Racial segregation, disproportionate representation in the media, and many other factors serve as the columns that support white fragility
  • misunderstanding was caused by misidentification of what white privilege and power means. Privilege doesn’t mean automatic wealth and health. What “white privilege” means is that society is rooting for one particular segment of the population to succeed over all others, and has installed a disproportionately high amount of institutional and psychological helpers every step of the way.
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  • “Part of white fragility is to assume that when we talk about racism, we are calling someone out as being individually a racist,” he said. “So if you say we're going to talk about racism, white people think you're going to call them a name. But for most people of color it's a system. And we're talking about dealing with a structure so the real problem is the system.”
  • When separate groups of people are using the same word with different implied meanings then problems will persist.
  • When it comes to racism and increased segregation, both Wise and DiAngelo noted that there seems to be this rigid unwillingness to address any inequality, because it would upset the very people who are both benefiting from the injustice and refusing to acknowledge its existence.
  • The fear is that if someone seeks to define and fix racism, many white people feel like they’re being directly attacked. So instead of waiting for the attack, white fragility promotes protection by putting punitive restrictions on “the others.”
  • The Obama era has been an interesting petri dish of white fragility. On the heels of a moderate economic recovery, we’ve seen sweeping new state laws aimed at social issues: voting rights restrictions, defunding of Planned Parenthood, anti-gay legislation, Stand Your Ground bills, and restrictive union laws to weaken their bargaining power. These laws have resulted in a rollback of rights for minorities, women, the LGBT movement, and the working class.
  • The strangest thing about white fragility politics is that the detrimental policy results are spread out across race and class. Yet, the political results for the conservative movement priming the pump of white fragility and rage is election victories. And why should they change when they can get large sections of an aging white population to consistently vote for policies proven to statistically hurt their economic chances, personal health, their children’s education, and their very safety?
  • These are not rational decisions. These are fear-based politics that create avoidable disasters in which all suffer. This new wave of segregation fear is surging across the country. In response to the continued white fragility panic of 2008, conservative political movements are set to capitalize on the cycles of manufactured hysteria. “We are watching the repeal of the 20th century,” Wise said.
  • When I asked Wise and DiAngelo to give me something hopeful for the future, they both gave me a bleak picture. When I suggested that more facts and evidence could sway people, they disagreed. “People who are deeply committed to a world view don’t change their opinions when confronted with new facts,” Wise said. “Oddly enough, new facts cause them to dig in more deeply.”
Javier E

Big Tech Has Become Way Too Powerful - The New York Times - 1 views

  • CONSERVATIVES and liberals interminably debate the merits of “the free market” versus “the government.
  • The important question, too rarely discussed, is who has the most influence over these decisions and in that way wins the game.
  • Now information and ideas are the most valuable forms of property. Most of the cost of producing it goes into discovering it or making the first copy. After that, the additional production cost is often zero. Such “intellectual property” is the key building block of the new economy
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  • as has happened before with other forms of property, the most politically influential owners of the new property are doing their utmost to increase their profits by creating monopolies
  • The most valuable intellectual properties are platforms so widely used that everyone else has to use them, too. Think of standard operating systems like Microsoft’s Windows or Google’s Android; Google’s search engine; Amazon’s shopping system; and Facebook’s communication network
  • Despite an explosion in the number of websites over the last decade, page views are becoming more concentrated. While in 2001, the top 10 websites accounted for 31 percent of all page views in America, by 2010 the top 10 accounted for 75 percent
  • Amazon is now the first stop for almost a third of all American consumers seeking to buy anything
  • Google and Facebook are now the first stops for many Americans seeking news — while Internet traffic to much of the nation’s newspapers, network television and other news gathering agencies has fallen well below 50 percent of all traffic.
  • almost all of the profits go to the platforms’ owners, who have all of the bargaining power
  • The rate at which new businesses have formed in the United States has slowed markedly since the late 1970s. Big Tech’s sweeping patents, standard platforms, fleets of lawyers to litigate against potential rivals and armies of lobbyists have created formidable barriers to new entrants
  • The law gives 20 years of patent protection to inventions that are “new and useful,” as decided by the Patent and Trademark Office. But the winners are big enough to game the system. They make small improvements warranting new patents, effectively making their intellectual property semipermanent.
  • They also lay claim to whole terrains of potential innovation including ideas barely on drawing boards and flood the system with so many applications that lone inventors have to wait years.
  • Big Tech has been almost immune to serious antitrust scrutiny, even though the largest tech companies have more market power than ever. Maybe that’s because they’ve accumulated so much political power.
  • Economic and political power can’t be separated because dominant corporations gain political influence over how markets are maintained and enforced, which enlarges their economic power further. One of the original goals of antitrust law was to prevent this.
  • We are now in a new gilded age similar to the first Gilded Age, when the nation’s antitrust laws were enacted. As then, those with great power and resources are making the “free market” function on their behalf. Big Tech — along with the drug, insurance, agriculture and financial giants — dominates both our economy and our politics.
  • The real question is how government organizes the market, and who has the most influence over its decisions
  • Yet as long as we remain obsessed by the debate over the relative merits of the “free market” and “government,” we have little hope of seeing what’s occurring and taking the action that’s needed to make our economy work for the many, not the few.
Javier E

Mark Zuckerberg, Let Me Pay for Facebook - NYTimes.com - 0 views

  • 93 percent of the public believes that “being in control of who can get information about them is important,” and yet the amount of information we generate online has exploded and we seldom know where it all goes.
  • the pop-up and the ad-financed business model. The former is annoying but it’s the latter that is helping destroy the fabric of a rich, pluralistic Internet.
  • Facebook makes about 20 cents per user per month in profit. This is a pitiful sum, especially since the average user spends an impressive 20 hours on Facebook every month, according to the company. This paltry profit margin drives the business model: Internet ads are basically worthless unless they are hyper-targeted based on tracking and extensive profiling of users. This is a bad bargain, especially since two-thirds of American adults don’t want ads that target them based on that tracking and analysis of personal behavior.
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  • This way of doing business rewards huge Internet platforms, since ads that are worth so little can support only companies with hundreds of millions of users.
  • Ad-based businesses distort our online interactions. People flock to Internet platforms because they help us connect with one another or the world’s bounty of information — a crucial, valuable function. Yet ad-based financing means that the companies have an interest in manipulating our attention on behalf of advertisers, instead of letting us connect as we wish.
  • Many users think their feed shows everything that their friends post. It doesn’t. Facebook runs its billion-plus users’ newsfeed by a proprietary, ever-changing algorithm that decides what we see. If Facebook didn’t have to control the feed to keep us on the site longer and to inject ads into our stream, it could instead offer us control over this algorithm.
  • we’re not starting from scratch. Micropayment systems that would allow users to spend a few cents here and there, not be so easily tracked by all the Big Brothers, and even allow personalization were developed in the early days of the Internet. Big banks and large Internet platforms didn’t show much interest in this micropayment path, which would limit their surveillance abilities. We can revive it.
  • What to do? It’s simple: Internet sites should allow their users to be the customers. I would, as I bet many others would, happily pay more than 20 cents per month for a Facebook or a Google that did not track me, upgraded its encryption and treated me as a customer whose preferences and privacy matter.
  • Many people say that no significant number of users will ever pay directly for Internet services. But that is because we are misled by the mantra that these services are free. With growing awareness of the privacy cost of ads, this may well change. Millions of people pay for Netflix despite the fact that pirated copies of many movies are available free. We eventually pay for ads, anyway, as that cost is baked into products we purchase
  • A seamless, secure micropayment system that spreads a few pennies at a time as we browse a social network, up to a preset monthly limit, would alter the whole landscape for the better.
  • Many nonprofits and civic groups that were initially thrilled about their success in using Facebook to reach people are now despondent as their entries are less and less likely to reach people who “liked” their posts unless they pay Facebook to help boost their updates.
  • If even a quarter of Facebook’s 1.5 billion users were willing to pay $1 per month in return for not being tracked or targeted based on their data, that would yield more than $4 billion per year — surely a number worth considering.
  • Mr. Zuckerberg has reportedly spent more than $30 million to buy the homes around his in Palo Alto, Calif., and more than $100 million for a secluded parcel of land in Hawaii. He knows privacy is worth paying for. So he should let us pay a few dollars to protect ours.
jlessner

Super Bowl Ads: Incredibly Cheap or an Incredible Waste of Money? - The Atlantic - 0 views

  • or the second straight year, advertisers are willing to pay about $4 million for a 30-second Super Bowl spot, and for the umpteenth straight year, there are questions about whether Sunday represents a sensational steal or an insane rip-off.
  • Compared to another primetime TV commercial, there's no question: Super Bowl ads are cheap.
  • But compared to, say, any other sensible way of spending money, many Super Bowl ads are something like a ritual financial sacrifice, a pyre of money set on fire to please the Buzz Gods for no particular reason.
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  • Super Bowl's audience exists on a different planet from the rest of everything we call "pop culture."
  • So if you add the year's biggest movie and the year's biggest TV show and the year's biggest album (while pretending that there is no overlap), you sum to an audience of 69 million, total. This year's Super Bowl is projected to have 120 million viewers watching—all at once. There is pop culture, and then there is the Super Bowl.
  • The argument "$4 million for 30 seconds is absurd" is sort of like saying "$1,000 for dinner is absurd." Yes, $1,000 is an expensive dinner-for-one. But what about a fancy dinner for 10 friends? Or 20 friends? Or 100? The more people at the table, the more that $1,000 starts to look like a bargain.
  • To understand why the Super Bowl is such a good deal by TV advertising standards, you have to understand the first thing about TV advertising. It's not about the price you pay for the advertisement. It's about the price you pay for the eyeballs
  • The Super Bowl's rate this year is about $35 to reach 1,000 people. Is that expensive? Not at all.
  • People in living rooms across the country say, in unison, "Everybody shut up, I want to experience this corporate messaging so that I can engage with the brand."
  • For four hours a year, a Super Bowl viewer transforms from an ordinary human, constantly rejecting the bombardment of advertising, into a marketing professor's platonic ideal of consumer, diligently seeking out great brand messaging. Surely, that remarkable metamorphosis is worth something.
Javier E

The Central Question: Is It 1938? - The Atlantic - 0 views

  • differences on Iran policy correspond to answers to this one question: Whether the world of 2015 is fundamentally similar to, or different from, the world of 1938.
  • the idea of recurring historic episodes has a powerful effect on decision-making in the here and now. Disagreements over policy often come down to the search for the right historic pattern to apply.
  • the idea that Europe on the eve of the Holocaust is the most useful guide to the world in 2015 runs through arguments about Iran policy. And if that is the correct model to apply, the right "picture in our heads" as Walter Lippmann put it in Public Opinion, then these conclusions naturally follow:
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  • • The threatening power of the time—Nazi Germany then, the Islamists' Iran now—is a force of unalloyed evil whose very existence threatens decent life everywhere.
  • • That emerging power cannot be reasoned or bargained with but must ultimately be stopped and broken
  • • "Compromisers" are in fact appeasers who are deluding themselves about these realities
  • • The appeasers' blindness endangers people all around the world but poses an especially intolerable threat to Jews
  • • As a result of all these factors, no deal with such an implacable enemy is preferable to an inevitably flawed and Munich-like false-hope deal.
  • Also, and crucially, it means that the most obvious criticism of the speech—what's Netanyahu's plan for getting Iran to agree?—is irrelevant. What was the Allies' "plan" for getting Hitler to agree? The plan was to destroy his regime.
  • If, on the other hand, you think that the contrasts with 1938 are more striking than the similarities, you see things differently. As a brief reminder of the contrasts: the Germany of 1938 was much richer and more powerful than the Iran of today. Germany was rapidly expansionist; Iran, despite its terrorist work through proxies, has not been. The Nazi leaders had engulfed the world in war less than a decade after taking power. Iran's leaders, oppressive and destructive, have not shown similar suicidal recklessness. European Jews of 1938 were stateless, unarmed, and vulnerable. Modern Israel is a powerful, nuclear-armed force. Moreover, the world after the first wartime use of nuclear weapons, of course by the United States, is different from the world before that point.
  • Here's what I understand the more clearly after these past few weeks' drama over Prime Minister Netanyahu's speech. These differences in historic model are deep and powerful, and people with one model in mind are not going to convince people with the other mental picture.
Javier E

Establishment Populism Rising - NYTimes.com - 0 views

  • If we had the same income distribution in the United States that we did in 1979, the top 1 percent would have $1 trillion less today [in annual income], and the bottom 80 percent would have $1 trillion more. That works out to about $700,000 [a year for] for a family in the top 1 percent, and works out to about $11,000 a year for a family in the bottom 80 percent.
  • The lion’s share of the income of the top 1 percent is concentrated in the top 0.1 percent and 0.01 percent. The average income of the top 1 percent in 2013, according to data provided by Emmanuel Saez, a Berkeley economist, was $1.2 million, for the top 0.1 percent, $5.3 million, and for the top 0.01 percent, $24.9 million.
  • In other words, any attempt to correct the contemporary pattern in income distribution would require large and controversial changes in tax policy, regulation of the workplace, and intervention in the economy to expand employment and to raise wages.
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  • To counter the weak employment market, Summers called for major growth in government expenditures to fill needs that the private sector is not addressing:In our society, whether it is taking care of the young or taking care of the old, or repairing a lot that needs to be repaired, there is a huge amount of very valuable work that needs to be done. It’s much less clear, to use a modern phrase, that there’s a viable business model for getting it done. And I guess the reason why I think there is going to need to be a lot of reflection on the role of government going forward is that, if I’m right, that there’s vitally important work to be done for which there is no standard capital business model that will get it done. That suggests important roles for public policy.
  • the report calls for tax and regulatory policies to encourage employee ownership, the strengthening of collective bargaining rights, regulations requiring corporations to provide fringe benefits to employees working for subcontractors, a substantial increase in the minimum wage, sharper overtime pay enforcement, and a huge increase in infrastructure appropriations – for roads, bridges, ports, schools – to spur job creation and tighten the labor market.
  • Summers also calls for significant increases in the progressivity of the United States tax system.
  • He advocates aggressive steps to eliminate “rents” — profits that result from monopoly or other forms of government protection from competition. Summers favors attacking rents in the form of “exclusionary zoning practices” that bid up the price of housing, “excessively long copyright” protections, and financial regulations “providing implicit subsidies to a fortunate minority.”
  • Signaling that he now finds himself on common ground with stalwarts of the Democratic left like Elizabeth Warren and Joe Stiglitz, Summers adds, “Government needs to try to make sure everyone can get access to financial markets on an equal basis.”
  • Summers supports looking past income inequality to the distribution of wealth. During our conversation, he pointed out that “a large fraction of capital gains escapes taxation entirely” through “the stepped up basis at death.”
  • The idea that an economy could suffer from a persistent shortage of demand is an enormous switch for Summers or anyone who had been adhering to the economic orthodoxy in the three decades prior to the crisisin 2008. Baker goes on to argue that Summers “now recognizes that the financial system needs serious regulation.”
  • Many of the policies outlined by Summers — especially on trade, taxation, financial regulation and worker empowerment — are the very policies that divide the Wall-Street-corporate wing from the working-to-middle-class wing of the Democratic Party. Put another way, these policies divide the money wing from the voting wing.
  • Summers has forced out in the open a set of choices that Hillary Clinton has so far avoided, choices that even if she attempts to elide them will amount to a signal of where her loyalties lie.
  • “The core problem,” according to Summers, is thatthere aren’t enough jobs, and if you help some people, you can help them get the jobs, but then someone else won’t get the jobs. And unless you’re doing things that are affecting the demand for jobs, you’re helping people win a race to get a finite number of jobs, and there are only so many of them.
  • he is “all for” more schooling and job training, but as an answer to the problems of the job marketplace, “it is fundamentally an evasion.”
  • Summers’s analysis of current economic conditions suggests that free market capitalism, as now structured, is producing major distortions. These distortions, in his view, have resulted in gains of $1 trillion annually to those at the top of the pyramid, and losses of $1 trillion every year to those in the bottom 80 percent.
  • Summers’s ascendance is a reflection of the abandonment by much of the party establishment of neo-liberal thinking, premised on the belief that unregulated markets and global trade would produce growth beneficial to worker and C.E.O. alike.
  • Larry Summers, who withdrew his candidacy for the chairmanship of the Federal Reserve under pressure from the liberal wing of the Democratic Party in 2013, has emerged as the party’s dominant economic policy strategist. The former Treasury secretary’s evolving message has won over many of his former critics.
knudsenlu

A Real 'Very Stable Genius' Doesn't Call Himself One - The Atlantic - 2 views

  • the Dunning-Kruger effect: the more limited someone is in reality, the more talented the person imagines himself to be.
  • “Unskilled and unaware of it: how difficulties in recognizing one's own incompetence lead to inflated self-assessments.”
  • During a brief stint of actually working at a tech company, I learned that some of the engineers and coders were viewed as just operating on a different plane: The code they wrote was better, tighter, and more elegant than other people’s, and they could write it much more quickly.
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  • If you report long enough on politics and public life, even there you will see examples of exceptional strategic, analytic, and bargaining intelligence, along with a lot of clownishness.
  • They know what they don’t know. This to me is the most consistent marker of real intelligence. The more acute someone’s ability to perceive and assess, the more likely that person is to recognize his or her limits. These include the unevenness of any one person’s talents; the specific areas of weakness—social awkwardness, musical tin ear, being stronger with numbers than with words, or vice versa; and the incomparable vastness of what any individual person can never know. To read books seriously is to be staggered by the knowledge of how many more books will remain beyond your ken. It’s like looking up at the star-filled sky.
Javier E

I asked Tinder for my data. It sent me 800 pages of my deepest, darkest secrets | Techn... - 0 views

  • I emailed Tinder requesting my personal data and got back way more than I bargained for. Some 800 pages came back containing information such as my Facebook “likes”, my photos from Instagram (even after I deleted the associated account), my education, the age-rank of men I was interested in, how many times I connected, when and where every online conversation with every single one of my matches happened … the list goes on.
  • “You are lured into giving away all this information,” says Luke Stark, a digital technology sociologist at Dartmouth University. “Apps such as Tinder are taking advantage of a simple emotional phenomenon; we can’t feel data. This is why seeing everything printed strikes you. We are physical creatures. We need materiality.”
  • What will happen if this treasure trove of data gets hacked, is made public or simply bought by another company? I can almost feel the shame I would experience. The thought that, before sending me these 800 pages, someone at Tinder might have read them already makes me cringe.
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  • In May, an algorithm was used to scrape 40,000 profile images from the platform in order to build an AI to “genderise” faces. A few months earlier, 70,000 profiles from OkCupid (owned by Tinder’s parent company Match Group) were made public by a Danish researcher some commentators have labelled a “white supremacist”, who used the data to try to establish a link between intelligence and religious beliefs. The data is still out there.
  • The trouble is these 800 pages of my most intimate data are actually just the tip of the iceberg. “Your personal data affects who you see first on Tinder, yes,” says Dehaye. “But also what job offers you have access to on LinkedIn, how much you will pay for insuring your car, which ad you will see in the tube and if you can subscribe to a loan. “We are leaning towards a more and more opaque society, towards an even more intangible world where data collected about you will decide even larger facets of your life. Eventually, your whole existence will be affected.”
  • As a typical millennial constantly glued to my phone, my virtual life has fully merged with my real life. There is no difference any more. Tinder is how I meet people, so this is my reality. It is a reality that is constantly being shaped by others – but good luck trying to find out how.
clairemann

Why Some People Love Black Friday-and Others Hate It | Time - 1 views

  • If the thought of taking part in the annual ritual of Black Friday gives you cold chills rather than a rush of excitement, you’re not alone.
  • It’s not just a lack of appreciation for bargains that drives this disconnect. Psychology research indicates that several factors determine which side of the shop-‘til-you-drop divide you land on. Some people just aren’t wired to enjoy the more social aspects of shopping.
  • Task-oriented shoppers typically focus on finding the things they need as quickly as possible and with the least amount of effort. Socially oriented shoppers, on the other hand, enjoy the presence of others while they shop.
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  • The same research suggests that social shoppers are actually energized by the presence of other consumers. These folks enjoy the experience more when there are others nearby, even if they don’t directly interact.
  • Psychology researchers talk about this preference in what they call field theory. If you’ve ever been bothered by a “close-talker” who leans in too close or touches your arm as they tell you a story, then you are likely someone who requires a little more personal space than that storyteller does.
  • Taken together, these two theories explain a lot about the way you feel about Black Friday-style shopping.
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