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Contents contributed and discussions participated by woodlu

woodlu

How environmental damage can lead to new diseases | The Economist - 1 views

  • THE WORLD’S monitored populations of wild animals have decreased by an average of 68% in the past 50 years
  • intensive farming and the changing use of land are largely to blame
  • More than 100 countries recognised the need to reverse species decline by 2030 and acknowledged the consequences of harmful environmental practices and climate change for biodiversity.
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  • Growing evidence points to a connection between destructive environmental practices and emerging diseases.
  • Of more than 330 diseases which emerged between 1940 and 2004, nearly two-thirds were zoonotic, meaning they were transmitted from animals to humans, as with, for example, HIV/AIDS and probably covid-19.
  • over 70% originated in wildlife,
  • Replacing old-growth forests with a single crop, such as oil palm, can also lead to the transmission of disease. If predators’ habitats are destroyed and their populations dwindle, other creatures such as rodents, mosquitoes, bats and some primates can proliferate.
  • scientists are increasingly turning their attention to how altering land interferes with a pathogen’s journey from animals to humans
  • felling trees increases contact between humans and disease-carrying animals
  • correlation between the loss of forests in west and central Africa and outbreaks of Ebola between 2004 and 2014
  • Cutting down trees may also increase the threat to humans posed by viral infections transmitted through mosquito bites, such as Zika, dengue and chikungunya.
  • link between changes in global forest cover between 1990 and 2016 and an increase in reported epidemics, even accounting for the fact that deforestation usually means more humans living nearby
  • These harbour potentially zoonotic pathogens and tend to cluster in places where they will be more frequently exposed to humans and livestock. Rodents, for example, often inhabit the border areas between newly created pastures and forests.
  • Wildlife may also move towards human settlements in search of food. Mango trees planted on pig farms in Malaysia probably attracted fruit bats carrying nipah, a virus that infected local pig farmers in 1999 and still breaks out yearly in Bangladesh.
woodlu

A triple shock slows China's growth | The Economist - 0 views

  • it is hard to imagine China could ever run short of this familiar fuel. But in recent months, the black pyramids have been not quite immense enough. A scarcity of coal, which accounts for almost two-thirds of China’s electricity generation, has contributed to the worst power cuts in a decade
  • The Chinese economy has been hit by a triple shock, stemming not only from the power cuts but also the pandemic and a property slowdown exacerbated by the financial woes of Evergrande, a developer.
  • the economy’s pace of growth slowed to 4.9% in the third quarter,
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  • Industrial production expanded by only 3.1% year-on-year in September,
  • The causes of the coal shortage fall into two categories: structural and incidental. The unlucky contingencies include floods in Henan province in July and in Shanxi this month, which forced some mines to close. In addition, in Inner Mongolia, which accounts for about a quarter of China’s coal output, an investigation into corruption has implicated and hamstrung some of the officials who might previously have approved expansions in coal mining. Shaanxi province, China’s third-largest producer of coal, slowed production to keep the skies clear for a national athletics event in September
  • When supply is tight, prices are supposed to rise, obliging customers to economise on their consumption. But as the price of coal shot up, power stations were unable to pass their higher costs on.
  • In a press conference on October 15th, China’s central bank described Evergrande as an idiosyncratic case in a generally healthy industry. That should have been reassuring, except that policymakers will not come to the property sector’s rescue until they are sufficiently worried about its plight.
  • property sector, a perennial engine of growth, employment, leverage and anxiety
  • Regulators are trying to curb speculative demand for flats and limit the excessive borrowing of homebuilders. That effort to limit financial risk has brought some pre-existing dangers to a head
  • Some homebuyers are now understandably nervous about handing over their cash to any developer who may not be in business long enough to finish the projects they are selling.
  • Another shock to the economy came from the pandemic. Outbreaks of covid-19, such as a cluster that began in Nanjing in July, prompted strict, localised lockdowns, depressing retail spending, especially catering, and travel.
  • Most economists think China’s year-on-year growth will slow even further in the last three months of the year, to 4% or below. China will maintain its vigilance against covid-19, and the property downturn has further to run.
woodlu

Ukrainians are coping stoically with Russian aggression | The Economist - 0 views

  • He is the mayor of Pavlopil, a village in eastern Ukraine. When Vladimir Putin started grabbing Ukrainian territory in February 2014, Mr Shapkin knew his village was in danger.
  • On one side were pro-Russian separatists, armed by the Kremlin. On the other were loyalist forces. If they fought over Pavlopil, villagers would surely die.
  • He suggested that the separatists enter in the morning, unarmed and on foot, to buy food and cigarettes. The Ukrainian army could do the same each afternoon. That way, they would not bump into each other and start shooting.
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  • It worked—there was no fighting in Pavlopil
  • sporadic shooting continues in eastern Ukraine. Just on October 12th, the day of an EU-Ukraine summit in Kyiv, monitors counted nearly 300 ceasefire violations
  • Mr Putin wrote an essay in July expanding his argument that Russia and Ukraine are a single nation. Since he has already annexed Crimea, a Ukrainian peninsula, and sponsored the takeover of a big chunk of eastern Ukraine by ethnic Russian separatists, Ukrainians take his threats seriously
  • Russia will turn off the gas again
  • In 2009 it shut off the flow of gas through Ukraine for two weeks. This cost Russia a fortune, since its gas needs to pass through Ukraine to reach customers in Europe
  • Once it opens—which could be soon, though it is subject to legal and diplomatic challenges—Mr Putin will be able to choke off supplies to Ukraine almost at will
  • Technically Ukraine does not buy gas directly from Russia, but from downstream countries such as Hungary
  • it takes Russian gas in the east and substitutes its own gas, which is produced in the west of Ukraine, for transmission onwards. So if the flow through Ukraine were to stop, the east of the country would be in trouble
  • President Volodymyr Zelensky seeks shelter for his country inside NATO and the EU. But this is a non-starter. NATO members do not want to extend their principle of “an attack on one is an attack on all” to a country that Russia has already attacked.
  • Mr Zelensky’s first taste of geopolitics was when President Donald Trump urged him to supply dirt on Joe Biden, with a veiled threat that American support for Ukraine’s security might depend on his co-operation.
  • To cement relations with Germany, he waived sanctions that might have blocked Nord Stream 2 in May.
  • Oligarchs dominate the economy, control two of the bigger political parties and put other lawmakers on retainer. The IMF hesitates to throw money at a state from which billions have been stolen with apparent impunity.
  • Before the war two-thirds of people in Mariupol supported a pro-Russia political party. That share has halved. Mr Putin’s aggression has alienated the very people he claims to defend
  • Yet Russia still has a hand on Mariupol’s throat. The amount of cargo processed in its port has halved since 2012, first because of the war, then because Mr Putin made it harder for big ships to reach it from the Black Sea.
  • critics wonder if it is healthy for a city to depend so much on one tycoon. Mr Akhmetov is thought to be Ukraine’s richest man.
  • Mr Zelensky, a former comedian, has vowed to cut Ukraine’s oligarchs down to size. He is expected to sign a new law soon, which would allow a panel he appoints to label as “oligarchs” anyone who is very rich, finances a political party and controls media assets. This would make it harder for anyone so labelled to raise capital.
  • They also worry that the law might give Mr Zelensky too much discretion to cow his enemies and force them to sell their television channels to his friends.
  • His firms have huge unpaid debts to Naftogaz, the state wholesale supplier. This is money that could have been invested to raise domestic gas production. Meanwhile, a new Naftogaz CEO appointed by Mr Zelensky agreed to pay the state a fat dividend out of the firm’s frosty-day fund. This will help Mr Zelensky build roads, which are popular.
woodlu

Biden to Announce Expansion of Port of Los Angeles's Hours - The New York Times - 0 views

  • President Biden will announce on Wednesday that the Port of Los Angeles will begin operating around the clock as his administration struggles to relieve growing backlogs in the global supply chains that deliver critical goods to the United States.
  • Mr. Biden is set to give a speech on Wednesday addressing the problems in ports, factories and shipping lanes that have helped produce shortages, long delivery times and rapid price increases for food, televisions, automobiles and much more.
  • The resulting inflation has chilled consumer confidence and weighed on Mr. Biden’s approval ratings. The Labor Department is set to release a new reading of monthly inflation on Wednesday morning.
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  • brokered a deal to move the Port of Los Angeles toward 24/7 operations, joining Long Beach, which is already operating around the clock, and that they are encouraging states to accelerate the licensing of more truck drivers.
  • On Wednesday, the White House will host leaders from the Port of Los Angeles, the Port of Long Beach, and the International Longshore and Warehouse Union to discuss the difficulties at ports, as well as hold a round table with executives from Walmart, UPS and Home Depot.
  • Imports for the fourth quarter are on pace to be 4.7 percent higher than in the same period last year, which was also a record-breaking holiday season,
  • Companies are exacerbating the situation by rushing to obtain products and bidding up their own prices.
  • Administration officials acknowledged on Tuesday in a call with reporters that the $1.9 trillion economic aid package Mr. Biden signed into law in March had contributed to supply chain issues by boosting demand for goods, but said the law was the reason the U.S. recovery has outpaced those of other nations this year.
  • Consumer demand for exercise bikes, laptops, toys, patio furniture and other goods is booming, fueled by big savings amassed over the course of the pandemic.
  • The blockages stretch up and down supply chains, from foreign harbors to American rail yards and warehouses.
  • Home Depot, Costco and Walmart have taken to chartering their own ships to move products across the Pacific Ocean.
  • the average anchorage time had stretched to more than 11 days.
  • Companies that had been trying to avoid passing on higher costs to customers may find that they need to as higher costs become longer lived.
  • worsening supplier delivery times and conditions at ports suggested that product shortages would persist into mid- to late next year.
  • governments around the world could help to smooth some shortages and dampen some price increases, for example by encouraging workers to move into industries with labor shortages, like trucking
  • “But to some extent, they need to let markets do their work,” she said.
  • a Transportation Department official gathering information on what the administration could do to address the supply chain shortages had contacted his company. Flexport offered the administration suggestions on changing certain regulations and procedures to ease the blockages, but warned that the problem was a series of choke points “stacked one on top of the other.”
  • from the whole big picture, the supply capacity is really hard to change in a noteworthy way.”
  • The shortages have come as a shock for many American shoppers, who are used to buying a wide range of global goods with a single click, and seeing that same product on their doorstep within hours or days.
  • The political risk for the administration is that shortfalls, mostly a nuisance so far, turn into something more existential. Diapers are already in short supply. As aluminum shortages develop, packaging pharmaceuticals could become a problem,
  • slow deliveries could make for slim pickings this Christmas and Hanukkah.
  • Consumer price inflation probably climbed by 5.3 percent in the year through September, data from the Bureau of Labor Statistics is expected to show on Wednesday.
  • They often point out that much of the surge has been spurred by a jump in car prices, caused by a lack of computer chips that delayed vehicle production.
  • the pandemic has shut down factories and slowed production around the world. Port closures, shortages of shipping containers and truck drivers, and pileups in rail and ship yards have led to long transit times and unpredictable deliveries for a wide range of products
  • Tesla, for instance, had been hoping to reduce the cost of its electric vehicles and has struggled to do that amid the bottlenecks.
  • the concern is that today’s climbing prices could prompt consumers to expect rapid inflation to last. If people believe that their lifestyles will cost more, they may demand higher wages — and as employers lift pay, they may charge more to cover the cost.
  • If demand slumps as households spend away government stimulus checks and other savings they stockpiled during the pandemic downturn, that could leave purveyors of couches and lawn furniture with fewer production backlogs and less pricing power down the road.
  • If buying stays strong, and shipping remains problematic, inflation could become more entrenched.
  • To get their own orders fulfilled, companies have placed bigger orders and offered to pay higher prices.
woodlu

Russian elections once again had a suspiciously neat result | The Economist - 0 views

  • In the months leading up to the three-day parliamentary vote, opposition politicians were jailed, barred from running or forced into exile. The Kremlin labelled media outlets and journalists critical of the government as “foreign agents”.
  • Political organisations linked to Alexei Navalny, President Vladimir Putin’s main political rival, were branded “extremist” and banned from participating.
  • Mr Putin’s United Russia party had won decisively, retaining a two-thirds majority in parliament, enough to make changes to the country’s constitution.
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  • Had the votes been counted fairly, however, the tally would have been quite different. Golos, an election monitoring group, reported thousands of violations at polling stations.
  • Videos of ballot-stuffing circulated widely on social media.
  • an unusually high number of turnout and vote-share results were multiples of five (eg, 50%, 55%, 60%), a tell-tale sign of manipulation.
  • there were at least 1,310 polling stations (out of 96,325) with results that were suspiciously tidy, with rounder numbers than you would expect to see by chance.
  • the researchers estimate that such fraudulent results may have boosted United Russia’s vote share by nearly 20 percentage points
  • Messrs Kobak and Shpilkin estimate that 1,700 polling stations returned statistically anomalous results in the Russian presidential election in 2018; 3,600 did so in the constitutional referendum in 2020.
  • When all 11 Russian federal elections since 2000 are shown on a scatter plot, with turnout on the x-axis and the vote share of the ruling United Russia party on the y-axis, the fraud is visible to the naked eye.
  • Whereas normal data would show no obvious pattern
  • many expect the current voting system, which is conducted mainly by paper ballot, to be replaced by an all-electronic format. But fraud is likely to persist. In several races last month in Moscow, where nearly 2m votes were cast online, Kremlin-backed candidates were losing until online votes were included, at which point they surged ahead.
woodlu

Why Hong Kong's "zero-covid" strategy could backfire | The Economist - 0 views

  • And it is one of the few remaining places to have fended off the Delta variant, which in recent months has foiled the attempts of countries such as Australia, New Zealand and Singapore, to eradicate the virus.
  • The result is relative freedom for Hong Kongers at home, but strict immigration and quarantine rules which leave the territory isolated.
  • Carrie Lam, the chief executive, says she does not intend to learn to “live with” covid-19. And until the vaccination rate improves any breaches could be disastrous.
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  • vaccine hesitancy is high.
  • The Economist’s normalcy index finds life in Hong Kong to be more similar to pre-pandemic times than anywhere else in the world. But restrictions are starting to chafe.
  • The territory reacted quickly to the spread of covid-19. The government closed the border with mainland China in February last year and banned all non-residents from entering. Laws mandate mask-wearing, the use of contact-tracing apps and testing.
  • Hong Kong has offered free shots for all since April but many people opted to wait and see. Some worry about side effects; others do not trust their government which has pushed a jab produced by Sinovac, a Chinese firm, despite questions over its efficacy (Pfizer’s vaccine is also available for free).
  • Vaccination rates were boosted somewhat by incentives, including prize draws for flats and Rolex watches, and within younger groups around 70-80% have had a second dose. But among the vulnerable over-80s just 13% have had two shots, leaving them at risk when Delta does arrive.
  • With the rest of the world slowly opening up, Hong Kong is stuck in isolation. The border with China is still closed, to the frustration of many families and businesses
  • Since September Hong Kong has allowed 2,000 people from the mainland and Macau (Hong Kong’s tiny neighbour) to enter each day without quarantine. But the offer has not been reciprocated.
  • Hong Kong must go further: more vaccines, better testing and longer hospital stays for recovering patients.
  • Giving the government in Beijing access to its data will make many Hong Kongers uncomfortable, but the dismantling of the territory’s political opposition has intimidated many people, forcing them to swallow any such grievances.
  • The only clear way out is through vaccinations. Hong Kong could do more to encourage its citizens to get jabbed.
  • Some places offer more freedoms to vaccinated citizens. For example New South Wales, an Australian state, will allow them to use gyms and visit each other’s homes.
  • monetary incentives have been effective at encouraging vaccination. But spending vouchers distributed to Hong Kongers this year were not linked to vaccine status.
  • As most of the world accepts that covid-19 will become endemic, Hong Kong will be forced to close itself off even further.
woodlu

Facebook is nearing a reputational point of no return | The Economist - 2 views

  • The next day a whistleblower, Frances Haugen, told Congress of all manner of wickedness at the firm, from promoting eating disorders to endangering democracy.
  • Politicians are angry but so far seem incapable of co-ordinating reform to rein it in.
  • investors have kept buying the stock, regardless of the bad headlines. Yet the company should take no comfort from this. The blind fury unleashed shows that its reputational problems have got out of hand
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  • Reports highlighted internal research showing that Instagram, Facebook’s photo-sharing app, makes one in five American teenagers feel worse about themselves.
  • They paid less attention to the finding that Instagram makes twice as many feel better about themselves.
  • She revealed internal projections that a drop in teenagers’ engagement could lead to an overall decline in American users of 45% within the next two years. Investors have long faced a lack of open disclosure.
  • The question of how to regulate viral content for children goes beyond Facebook, as any parent who has left their child with YouTube knows. Likewise, dilemmas over how the firm amplifies attention and how to draw the line between upholding free speech and minimising harm.
  • Facebook repeated its plea that Congress should weigh in on matters such as minimum ages, rather than leaving it to firms.
  • Facebook’s critics are right that it should be more open. But the firm has half a point when it says that the hysterical reaction to unsurprising findings will lead companies to conclude that it is safer not to do such research at all.
  • The most damaging claim this week gained the least attention. Ms Haugen alleges that Facebook has concealed a decline in its young American users.
  • Misleading advertisers would undermine the source of nearly all the firm’s sales, and potentially break the law.
  • Although Facebook’s share price has lagged behind some tech giants, it has risen by almost 30% in the past 12 months. Politicians threaten to break the company up, but the antitrust case is flawed.
  • The Justice Department’s claim that Facebook is a monopoly rests on defining its market so as to exclude most social networks.
  • Facebook is nearing a reputational point of no return. Even when it set out plausible responses to Ms Haugen, people no longer wanted to hear.
  • The firm risks joining the ranks of corporate untouchables like big tobacco. If that idea takes hold, Facebook risks losing its young, liberal staff.
  • Even if its ageing customers stick with the social network, Facebook has bigger ambitions that could be foiled if public opinion continues to curdle.
woodlu

Do pandemics normally lead to rising inflation? | The Economist - 0 views

  • In the euro zone annual inflation hit 3.4% in September, the highest rate in over a decade. Some economists worry that the world economy is entering a period of “stagflation”—weak growth and high inflation—reminiscent of the 1970s.Off the ChartsTaking you behind the scenes of our data journalismDirectly to your inbox every weekSign up
  • A recent paper by Dennis Bonam and Andra Smadu, two economists at the Dutch central bank, looks at the effect of pandemics on inflation and concludes that they typically lead to lower, not higher, price pressures.
  • Using data going back to the 14th century, covering six European countries and 19 pandemics, the authors find that such events have historically caused inflation to fall for more than a decade, on average, yielding an inflation rate about ​​0.6 percentage points lower than if the pandemic had not occurred.
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  • The more prolonged and severe the outbreak, the more pronounced and persistent the negative effects on trend inflation.
  • Pandemics disrupt the balance between supply and demand.
  • Historically, however, the dominant economic effect of pandemics was falling demand. As populations were decimated by disease, consumption fell, investment withered and economies suffered for decades, keeping prices in check.
  • This time around policymakers responded with trillions of dollars worth of fiscal and monetary stimulus, propping up demand and softening the economic damage.
  • central bankers remain confident that they are transitory, the result of “base effects”—whereby unusually low prices create the illusion of unusually high prices one year later
  • pent-up demand and short-term supply bottlenecks.
woodlu

A malaria vaccine is approved by the World Health Organisation | The Economist - 0 views

  • But so far only one, a jab called RTS,S, made by GlaxoSmithKline, has proved effective in the final stages of clinical trials. On October 6th the World Health Organisation (WHO) recommended RTS,S for use in childhood vaccination in places with transmission of Plasmodium falciparum, the deadliest of the five parasites that cause malaria, and the most common in Africa.
  • The WHO reached its decision after reviewing results from Ghana, Kenya and Malawi, where more than 800,000 infants were vaccinated with a four-dose regimen.
  • RTS,S was included among the routine childhood vaccines distributed by primary health-care centres. This implementation programme, in which RTS,S reduced by 30% the number of cases of severe malaria which led to hospital admissions, therefore measured what kind of efficacy can be expected if the vaccine is rolled out widely across Africa.
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  • in parts of sub-Saharan Africa children contract malaria six times a year on average. Each year more than 260,000 African children die of it before their fifth birthdays.
  • Those who survive often suffer lifelong harm, including stunting, a form of impaired growth that affects the ability to learn.
  • the WHO says that the vaccine was found to be safe after more than 2.3m doses had been administered—clearing the air on three “safety signals” that had popped up in an earlier trial.
woodlu

The French Catholic church acknowledges a staggering pattern of sexual abuse | The Econ... - 0 views

  • between 1950 and 2020 at least 216,000 children were sexually abused in France by Catholic clergy.
  • on October 5th, concluded a two-year, independent inquiry commissioned by the church. Jean-Marc Sauvé, the president of the commission that conducted the investigation, said it uncovered “the lead weight of silence smothering the crimes” committed by 2,900-3,200 clergy. If lay members were also included, the number of abused could reach 330,000.
  • “for a very long time the Catholic church’s immediate reaction was to protect itself as an institution and it has shown complete, even cruel, indifference to those having suffered abuse.”
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  • France has an unusual relationship with Catholicism, due chiefly to strict secular rules, known as laïcité, entrenched by law in 1905 and designed to keep the state neutral in religious affairs. Catholic schools, which are all private, cater only to a small minority of pupils.
  • As was revealed after reports of sexual abuse by Catholic clergy in other countries, including America, Chile, Germany and Ireland, the crimes in France involved a sinister web of misplaced trust, manipulated authority, concealment, silence and shame.
  • The abuse was not confined to a particular region, or diocese, but was spread across the country: including in local parishes, scout groups and catechism classes.
  • About 90% of the victims were boys, many between ten and 13 years old.
  • The country lacks the wide network of church-linked boarding schools and powerful state institutions that helped to conceal paedophilia in some other countries.
  • the Catholic church in France is a hollowed-out version of its former self. It struggles to recruit priests. Numbering 12,000 today, the priesthood is half what it was 20 years ago—and half of those serving are older than 75.
  • Only 49% say they believe in God. Two years ago, as the scandal began to emerge, 56% said in one survey that they held a bad image of the Catholic church.
  • Catholic church is not the only arena of French society in which deceit and denial of sexual abuse have been uncovered in recent years. Another is politics, where, until #MeToo, abuse and sexual violence, mostly towards women, tended to be covered up.
  • By exposing the manipulation and cruelty of the predators, those brave enough to speak out, as in the report on the Catholic church, may also prevent such abuse in the future from going undetected for so long.
woodlu

Facebook flounders in the court of public opinion | The Economist - 2 views

  • “YOU ARE a 21st-century American hero,” gushed Ed Markey, a Democratic senator from Massachusetts. He was not addressing the founder of one of the country’s largest companies, Facebook, but the woman who found fault with it
  • Frances Haugen, who had worked at the social-media giant before becoming a whistleblower, testified in front of a Senate subcommittee for over three hours on October 5th, highlighting Facebook’s “moral bankruptcy” and the firm’s downplaying of its harmful impact, including fanning teenage depression and ethnic violence.
  • Facebook’s own private research, for example, found that its photo-sharing site, Instagram, worsened teens’ suicidal thoughts and eating disorders. Yet it still made a point of sending young users engaging content that stoked their anxiety—while proceeding to develop a version of its site for those under the age of 13.
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  • In 2018 a different whistleblower outed Facebook for its sketchy collaboration with Cambridge Analytica, a research organisation that allowed users’ data to be collected without their consent and used for political profiling by Donald Trump’s campaign. Facebook’s founder, Mark Zuckerberg, went to Washington, DC to apologise, and in 2019 America’s consumer-protection agency, the Federal Trade Commission, agreed to a $5bn settlement with Facebook. That is the largest fine ever levied against a tech firm.
  • Congress has repeatedly called in tech bosses for angry questioning and public shaming without taking direct action afterwards.
  • Senators, who cannot agree on such uncontroversial things as paying for the government’s expenses, united against a common enemy and promised Ms Haugen that they would hold Facebook to account.
  • Congress could update and strengthen the Children’s Online Privacy Protection Act (COPPA), which was passed in 1998 and bars the collection of data from children under the age of 13.
  • If Congress does follow through with legislation, it is likely to focus narrowly on protecting children online, as opposed to broader reforms, for which there is still no political consensus.
  • Social media’s harmful effects on children and teenagers is a concern that transcends partisanship and is easier to understand than sneaky data-gathering, viral misinformation and other social-networking sins.
  • Other legislative proposals take aim at manipulative marketing and design features that make social media so addictive for the young.
  • However, Ms Haugen’s most significant impact on big tech may be inspiring others to come forward and blow the whistle on their employers’ malfeasance.
  • “A case like this one opens the floodgates and will trigger hundreds more cases,” predicts Steve Kohn, a lawyer who has represented several high-profile whistleblowers.
  • One is the industry’s culture of flouting rules and a history of non-compliance. Another is a legal framework that makes whistleblowing less threatening and more attractive than it used to be.
  • The Dodd-Frank Act, which was enacted in 2010, gives greater protections to whistleblowers by preventing retaliation from employers and by offering rewards to successful cases of up to 10-30% of the money collected from sanctions against a firm.
  • If the threat of public shaming encourages corporate accountability, that is a good thing. But it could also make tech firms less inclusive and transparent, predicts Matt Perault, a former Facebook executive who is director of the Centre for Technology Policy at the University of North Carolina at Chapel Hill.
  • People may become less willing to share off-the-wall ideas if they worry about public leaks; companies may become less open with their staff; and executives could start including only a handful of trusted senior staff in meetings that might have otherwise been less restricted.
  • Facebook and other big tech firms, which have been criticised for violating people’s privacy online, can no longer count on any privacy either.
woodlu

The latest shock to China's economy: power shortages | The Economist - 0 views

  • At least 19 of China’s provinces, including many of its industrial heartlands, have suffered power shortages in recent weeks, with some unplanned and indiscriminate cuts.
  • the high price of coal is to blame. Ten provinces are also trying to meet strict environmental limits on energy consumption. Nomura, a bank, expects China’s GDP to shrink in the third quarter, compared with the second.
woodlu

The age of fossil-fuel abundance is dead | The Economist - 0 views

  • FOR MUCH of the past half-decade, the operative word in the energy sector was “abundance”. An industry that had long sought to ration the production of fossil fuels to keep prices high suddenly found itself swamped with oversupply, as America’s shale boom lowered the price of oil around the world and clean-energy sources, such as wind and solar, competed with other fuels used for power generation, such as coal and natural gas.
  • In recent weeks, however, it is a shortage of energy, rather than an abundance of it, that has caught the world’s attention.
  • Britain’s miffed motorists are suffering from a shortage of lorry drivers to deliver petrol. Power cuts in parts of China partly stem from the country’s attempts to curb emissions. Dwindling coal stocks at power stations in India are linked to a surge in the price of imports of the commodity.
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  • a slump in investment in oil wells, natural-gas hubs and coal mines. This is partly a hangover from the period of abundance, with years of overinvestment giving rise to more capital discipline.
  • A rule of thumb is that oil companies are supposed to allocate about four-fifths of their capital expenditure each year just to stopping their level of reserves from being depleted. Yet annual industry capex has fallen from $750bn in 2014 (when oil prices exceeded $100 a barrel) to an estimated $350bn this year
  • Oil crossed $81 a barrel after the Organisation of the Petroleum Exporting Countries (OPEC), and allies such as Russia who are part of the OPEC+ alliance, resisted calls to increase output at a meeting on October 4th.
  • But it may at least accelerate the shift to greener—and cheaper—sources of energy.
  • result of growing pressures to decarbonise.
  • over the same period, the number of years’ worth of current production held in reserves in some of the world’s biggest projects has fallen from 50 to about 25
  • The industry would usually respond to robust demand and higher prices by investing to drill more oil. But that is harder in an era of decarbonisation.
  • big private-sector oil companies, such as ExxonMobil and Royal Dutch Shell, are being pressed by investors to treat oil and gas investments like week-old fish
  • shareholders reckon that demand for oil will eventually peak, making long-term projects uneconomic, or because they prefer to hold stakes in companies that support the transition to clean energy
  • Another factor inhibiting oil investment is the behaviour of OPEC+ countries. The half-decade of relatively low prices during the “age of abundance”, which reached its nadir with a price collapse at the start of the pandemic, g
  • utted state coffers. That cut funding for investment. As prices recover, governments’ priority is not to ex
  • pand oil-production capacity but to shore up national budgets.
  • Investment in thermal coal is weakest of all. Even in China and India, which have big pipelines of new coal-fired power plants, the mood has swung against the dirtiest fossil fuel.
  • All this places fossil-fuel producers in something of a bind. A slump in investment could enable some oil, gas and coal investors to make out like bandits. But the longer prices stay high, the more likely it becomes that the transition to clean energy ultimately buries the fossil-fuel industry. Consumers, in the meantime, must brace for more shortages.
woodlu

The mess Merkel leaves behind | The Economist - 0 views

  • Mrs Merkel’s achievements are more modest. In her 16 years in the chancellery she has weathered a string of crises, from economic to pandemic. Her abilities as a consensus-forger have served her country and Europe well.
  • But her government has neglected too much, nationally and internationally.
  • when a new government forms after an election this weekend, admiration for her steady leadership should be mixed with frustration at the complacency she has bred.
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  • The public sector has failed to invest adequately or wisely, falling behind its peers in building infrastructure, especially the digital sort.
  • Penny-pinching is hard-wired into the state. In 2009, on Mrs Merkel’s watch, Germany hobbled itself with a constitutional amendment that makes it illegal to run more than a minute deficit. With interest rates so low, sensible governments ought to have been borrowing for investment, not fainting at the first spot of red ink.
  • Germany’s most severe domestic problem is a failure to reform its pension system. Germans are ageing fast, and the baby-boomers will place an even heavier burden on the budget later this decade as they retire
  • Germany has also been sluggish, and still emits more carbon per head than any other big EU country, not helped by Mrs Merkel’s shutdown of Germany’s nuclear industry after the Fukushima disaster in Japan in 2011.
  • The EU has not grappled sufficiently with the weakness of its indebted southern members. Only during the pandemic did it create a financial instrument that lets the EU issue jointly guaranteed debt, and dispense some of the cash as grants, rather than yet more loans.
  • Worse, the “stability” rules that will force countries back into austerity to shrink their stocks of debt are ready to revive, unless amended.
  • China is an increasingly challenging economic and strategic rival, Russia an unpredictable threat and America a distracted and uncertain ally.
  • Despite recent increases, it spends too little on defence. It cosies up to Beijing in the hope of better trading terms. It is giving Vladimir Putin, Russia’s president, a chokehold over European energy supplies by backing the new Nord Stream 2 gas pipeline which, as it happens, makes landfall in Mrs Merkel’s own constituency.
  • The polls suggest that Germany is set for a messy new parliament, with no single party, or even two, able to form a government. Instead, some sort of ideologically incoherent three-way coalition is on the cards—one that, by combining high-spending greens and pro-business liberals, may struggle to agree on anything ambitious.
  • Comfortable, cautious Germans seem uninterested in serious debate about the future. Crisis-management has become a substitute for initiative. Candidates have no incentive to highlight their country’s looming problems.
  • One is a coalition headed by Mrs Merkel’s party, the Christian Democrats and their Bavarian sister-party (the CDU/CSU), led by Armin Laschet. The other is a coalition led by Olaf Scholz, of the Social Democrats (SPD), who is Germany’s finance minister. In either case, the coalition would be joined by the Greens and by the pro-business Free Democrats.
  • Sixteen years in power has been enough. The party has run out of ideas and drive, as its decision to choose the gaffe-prone and uninspiring Mr Laschet for chancellor makes clear. An affable lightweight, he has run a dismal campaign, and is predicted to lead his team to its worst result since the second world war. The polls say that Mr Scholz is preferred by twice as many voters.
  • The problem is that although he belongs to the business-friendly wing of his party, the SPD is stuffed with left-wingers.
  • They may try to drag him further in their direction than the Free Democrats will wear and enterprise can comfortably bear.
woodlu

What is behind rocketing natural-gas prices? | The Economist - 0 views

  • uropean gas prices have soared in recent weeks, climbing to a high of $25 per million British thermal units (chart 1, left panel)
  • from Russian supply bottlenecks to a lack of wind in the North Sea, caused the spike.
  • Even before the recent price surge, gas was in short supply. A prolonged northern-hemisphere winter meant that European countries ran down reserves, leaving their stocks 25% below the historic average
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  • But dwindling supply from European mines and high demand from China have pushed up the price of the black stuff, too.
  • Rising demand for liquefied natural gas in Asia, as economies there have recovered from the covid-19 slowdown, has driven up prices.
  • wind turbines, which generate about 10% of Europe’s power, slowed during an unusually still summer.
  • Disruptions of imports piped from Russia and Norway, which supply nearly half of Europe’s gas, made inventories hard to replenish. The flow from Norway was limited because of work on improving the country’s infrastructure;
  • So has the rising cost of European carbon permits, which carbon producers must buy to offset their emissions. From around €30 ($35) per tonne at the start of the year, they climbed to a record €63 in early September
  • Britain, which derives about 40% of its energy from natural gas and 20% from wind turbines
  • The wholesale price paid by suppliers has spiked 250% this year
  • The government has ruled out a bail-out for ailing survivors. Heavy industry is already reeling from price increases.
  • consumers may soon feel the pinch, too. Europeans should hope for a warm and windy winter.
woodlu

How America should spend on child care | The Economist - 0 views

  • In 1971 Congress passed a comprehensive child-care plan. But President Richard Nixon vetoed the bill, calling it “the most radical piece of legislation” to have crossed his desk, and arguing that “good public policy requires that we enhance rather than diminish both parental authority and parental involvement with children.”
  • It is expected to consist of a universal pre-kindergarten programme for three- and four-year-olds and free or heavily subsidised child care for most Americans.
  • Some public spending on child care has such vast benefits in later life that in broad terms it is an investment that pays for itself.
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  • Women are disproportionately likely to stay at home to look after their children, so encouraging them to work in the formal sector could increase gender equality.
  • spending on some high-quality programmes for children from birth until their fifth year generated an internal rate of return of 14%.
  • The system must not only free up parents to work and be good for children; the benefits must also exceed the costs to the public purse.
  • Many studies find that universal schemes (ie, those that apply to families of all incomes) boost labour-force participation. In 1997 the Canadian province of Quebec implemented a full-time universal scheme, costing parents just C$5 (and later C$7, $4-5.50) a day.
  • The large returns on investment identified by Mr Heckman and his colleagues, for instance, relate to targeted programmes for poor families. The outcomes of universal schemes, though, are less glowing.
  • Only a third found a positive effect of the schemes on children’s outcomes, and a fifth found negative effects.
  • a study by Michael Baker of the University of Toronto, Jonathan Gruber of the Massachusetts Institute of Technology and Kevin Milligan of the University of British Columbia found that children suffered worse cognitive and health outcomes.
  • The literature review also found that poor children gained the most from universal programmes
  • as a heavily subsidised child-care scheme began expanding. They found strong positive effects on future earnings for poor children, but negative effects on rich ones, whose parents would otherwise have provided better child care than the state.
  • “that the benefits of providing subsidised child care to middle and upper-class children are unlikely to exceed the costs”.
  • low-income families are a third less likely to use early child-care schemes than richer ones. In America poorer families are more likely to tell surveys that they prefer informal, family-based child care to formal care.
  • That suggests that a universal offering would direct public funds to those who do not need it, and that means-testing is a more efficient way to target support.
  • Full-time programmes do not necessarily deliver better results than part-time ones. The disappointing results from Quebec are often attributed to wildly disparate standards.
  • Left-leaning American politicians like Elizabeth Warren tend to talk in terms of “underinvestment” and “child-care deserts”.
  • But if existing child-care arrangements are low-quality, then spending alone will not improve outcomes for children.
  • A framework that weighs up the benefits of spending on child care for families and setting that against the costs is essential, if the policy is to help the most in need. Without it, child care in America also risks becoming subject to an unseemly mess of regulations: the same tangle of subsidies, supply restrictions and poor quality that afflicts higher education and health care.
woodlu

Gavin Newsom Survives Recall Election and Will Remain Governor - The New York Times - 0 views

  • No Republican has held statewide office in more than a decade.
  • reflected the state’s recent progress against the coronavirus pandemic, which has claimed more than 67,000 lives in California
  • The state has one of the nation’s highest vaccination rates and one of its lowest rates of new virus cases
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  • “We said yes to science. We said yes to vaccines. We said yes to ending this pandemic. We said yes to people’s right to vote without fear of fake fraud and voter suppression
  • “As a health care worker, it was important to me to have a governor who follows science,” said Marc Martino, 26, who was dressed in blue scrubs as he dropped off his ballot in Irvine.
  • it was the politicization of the pandemic that propelled it onto the ballot as Californians became impatient with shutdowns of businesses and classrooms
  • Initially, Mr. Heatlie’s petition had difficulty gaining traction. But it gathered steam as the pandemic swept California and Mr. Newsom struggled to contain it
  • Though polls showed that the recall was consistently opposed by some 60 percent of Californians, surveys over the summer suggested that likely voters were unenthusiastic about Mr. Newsom.
  • President Biden, Vice President Kamala Harris and Senators Elizabeth Warren of Massachusetts and Amy Klobuchar of Minnesota traveled to California to campaign for Mr. Newsom, while Senator Bernie Sanders of Vermont and former President Barack Obama appeared in his commercials
  • The governor charged that far-right extremists and supporters of former President Donald J. Trump were attempting a hostile takeover in a state where they could never hope to attain majority support in a regular election.
  • Democrats outnumber Republicans two to one in California, and pandemic voting rules encouraged high turnout, allowing ballots to be mailed to each of the state’s 22 million registered, active voters with prepaid postage. More than 40 percent of those Californians voted early.
  • Recall attempts are common in California, where direct democracy has long been part of the political culture.
  • We said yes to women’s fundamental constitutional right to decide for herself what she does with her body, her fate, her future. We said yes to diversity.”
  • Californians who at first were supportive of the governor’s health orders wearied of shutdowns in businesses and classrooms, and public dissatisfaction boiled over in November when Mr. Newsom was spotted mask-free at the French Laundry, an exclusive wine country restaurant,
  • The recall campaign, the two men said, had expanded the small cadre that began the effort into a statewide coalition of 400,000 members who are already helping to push ballot proposals to fund school vouchers, forbid vaccine mandates in schools, and abolish public employee unions, which have been a longstanding Democratic force in California.
  • About one-quarter of the state’s registered voters are Republicans, and their numbers have been dwindling since the 1990s,
  • He took note of the voter fraud accusations that some in his party began to make well before the polls closed, echoing Mr. Trump, who claimed without evidence that Democrats had “rigged” the recall election.
  • Some Democratic observers were circumspect, warning that the disruption caused by the recall effort hinted at deeper problems.
  • And until the issues that created it get dealt with, people in power are in trouble. There’s a lot of anger and fear and frustration out there.
  • the governor moved aggressively to demonstrate that the state could both protect its economy and curb the virus. In recent months, he has rolled out vaccinations, cleaned up trash in neighborhoods neglected by pandemic-worn Californians, thrown motel rooms open to homeless Californians, announced stimulus checks and rent assistance for poor and middle-class Californians and stood repeatedly in front of a gold lamé curtain to host one of the nation’s largest vaccine lotteries.
  • Mr. Newsom and his team quickly cleared the field of potential Democratic alternatives.
  • Mr. Newsom painted the recall effort in national, partisan terms and rejected a defensive posture. His strategy galvanized major donors and his base.
  • Millions of voters chose not to answer the ballot’s second question, with Mr. Elder receiving about 44 percent of the vote from those who did. Kevin Paffrath, a Democrat, and Kevin Faulconer, a Republican and former mayor of San Diego, each had about 10 percent of the vote as of 10 p.m. Pacific time.
  • California has no limits on donations to committees for and against recalls, but the state caps contributions to candidates from individual donors.
  • Mr. Newsom capitalized on the rules, raising more than $50 million just in donations of more than $100,000 to oppose the recall.
woodlu

Covid-19 vaccines - How fast can vaccination against covid-19 make a difference? | Scie... - 0 views

  • The preponderance of covid-19 deaths—around 85% in England, for example—are of people aged 70 or over
  • the worst pressure is on intensive-care units (ICUs), and most patients in these are in their 50s and 60s.
  • ovid ICUs at English hospitals, for example, currently treat about as many patients aged 20-49 as patients aged 70 or more.
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  • But ventilators and other organ-support machines impose a lot of stress on the body, and older people are often too frail to be put on them.
  • Normally, these units have one nurse per patient. Increasingly, however, ICU nurses are having to care for several patients each.
  • Israel is the place to watch for the first evidence about how mass vaccination may change things, for it has vaccinated its citizens faster than anywhere else.
  • Ran Balicer of the Clalit Research Institute in Tel Aviv and his colleagues compared, day by day, a group of 200,000 over-60s who had been vaccinated with an otherwise-similar group of unvaccinated individuals.
  • positive test rates remained identical between groups. On the 13th, the vaccinated group’s rate fell slightly. Then, on day 14, it dropped by a third.
  • the picture will not be clear until the second doses have been administered, and results from younger people have been included, too.
  • the country’s national lockdown, which tends to reduce the rate regardless of the effect of vaccines, and the spread of B.1.1.7, a variant of the virus first found in Britain, which is a lot more contagious and so tends to push the rate up.
  • the day when the proportion of those over 60 who had been vaccinated reached 40%. The number critically ill with covid-19 in that age group grew by about 30% in the week before January 2nd, and also in the following week—but by just 7% in the week after that
  • among those aged between 40 and 55 (who were vaccinated at a much lower rate at the time) the weekly change in the number of critically ill remained constant, with a 20-30% increase in each of those three weeks.
  • Eran Segal of the Weizmann Institute and his colleagues reckon that covid-19 deaths in Israel could start tapering off early in March, even if the lockdown ends, as planned, in the last week of January
  • 80% of adults get their second dose by the end of February. (The other 20% are people who cannot be vaccinated for reasons such as allergies, or who refuse to be vaccinated.)
woodlu

The Economist explains - What would a no-deal Brexit mean? | The Economist explains | T... - 0 views

  • Even if there is a last-gasp deal, it will be “thin”, at best similar to the free-trade agreement (FTA) between Canada and the EU.
  • Britain’s GDP will be 5% lower in 15 years than it would have been had the country stayed in the EU. With no deal, the cost rises to 8%.
  • The independent Office of Budget Responsibility reckons that no-deal will cut next year’s GDP by an additional 2%,
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  • With no deal, Britain and the EU would impose tariffs on each other’s imports for the first time in more than 40 years.
  • effect of tariffs on final goods prices is diluted by several factors: importers may absorb them rather than pass them on to customers, and they do not apply to rent, transport and other elements of the cost of supplying goods.
  • Cars exported from Britain to the EU would incur a tariff of 10%; most car parts would be taxed at between 3% and 4.5% (though the EU’s rates reach 8%, for soft-top roofs). That is a blow to an industry that accounts for 14% of British goods exports.
  • Non-tariff barriers, such as administrative and safety checks, and the requirement to fill in customs forms, also impose costs.
  • Even with an FTA, some of these barriers would remain. But without one, as The UK in a Changing Europe, an academic think-tank, notes, “the full panoply of checks and formalities [would apply] immediately”.
  • If they stay away, British shops and factories may find themselves short of supplies.
  • These include the treatment of pensioners and students caught on either side of the new divide, driving licences and pet passports. Of greatest economic importance is trade in services—in particular, financial services, of which Britain is a big net exporter.
  • However, companies have been waiting to see how the trade talks go before deciding whether to shift more posts to Frankfurt, Paris and elsewhere. No-deal could mean a further drain.
woodlu

The Economist explains - What is the level playing field and why is it such a problem f... - 0 views

  • The EU insisted it could allow Britain to retain its tariff- and quota-free access to its market only if the British government promised not to undercut its social, environmental, labour and state-aid rules.
  • The political declaration that was attached to the withdrawal treaty which Boris Johnson signed earlier this year duly declared that “the future relationship must ensure open and fair competition, encompassing robust commitments to ensure a level playing field.”
  • Theresa May, had sought to respond to these concerns by proposing in July 2018 that Britain and the EU should follow a “common rulebook”,
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  • Hardline Tory Brexiteers then helped repeatedly to vote down Mrs May’s withdrawal agreement, clearing the way for Mr Johnson to take over the party leadership and to become prime minister in July 2019.
  • Mrs May had at least been prepared to accept the concept of the level playing field in principle, Mr Johnson saw regulatory divergence as one of the main purposes of Brexit, and a key test of whether the EU had accepted that Britain was now a fully sovereign state
  • EU’s determination that Britain should accept “non-regression”, meaning it would not resile from current regulatory levels
  • Britain should promise to abide by all future changes in the rules. It has now partly backed away from this, in exchange for a promise of a robust British domestic regime to police state aids.
  • effort by the EU to keep the European Court of Justice as umpire, a position it has also backed away from in favour of a more neutral arbitrator of disputes.
  • the EU wants a right of instant retaliation through the imposition of tariffs if Britain diverges from its rules in a way that it deems anti-competitive.
  • having a gun on the table that can be picked up at any time.
  • The second is that any settlement of level-playing-field concerns requires mutual trust.
  • Mr Johnson proposed to legislate unilaterally (and illegally) to change the treaty’s provisions on Northern Ireland. He has now withdrawn this threat, but that may not be enough to regain the EU’s trust.
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