Posts tagged ‘North American’

Average People Used To Understand That Protectionism Was Welfare for Special Interests That Hurt Consumers. When Did This Change?

I have been watching the second season of Victoria on PBS (quite good, I think) and much of it has covered the famines of the 1840's and the debate over the Corn Laws.  At the time, it seems that average people understood that the British tariffs on imported food were in place solely to protect the agricultural profits of aristocratic (and by definition well-connected) landowners while hurting the country as a whole by raising food prices for every consumer and contributing to the famines that were sweeping Ireland and parts of England.

Trump's proposed tariffs are simply a disaster.  A lot of the media seems to believe the biggest reason they are bad is that they will incite retaliatory tariffs from other countries, which they almost certainly will.  But even if no one retaliated, even if the tariffs were purely unilateral, they would still be bad.  In case after case, they are justified as increasing the welfare of a certain number of workers in targeted industries, but they hurt the welfare of perhaps 100x more people who consume or work for companies that consume the targeted products.  Prices will rise for everyone and choices will be narrowed. This is Bastiat's classic seen and unseen -- the beneficiaries (say in the steel industry) are easy to identify, but the individual consumers who change their purchasing plans or industries that change their investment plans are frequently invisible.  It is the height of childish public policy to pretend those hurt by this don't exist merely because they can't easily be interviewed on TV.

Well, not completely invisible:

 A proposed expansion of an Exxon Mobil Corp oil refinery could be impacted by the Trump administration’s plan to place a 25 percent tariff on imported steel, a source familiar with the matter said on Thursday.

Exxon has been considering increasing its North American crude refining capacity since at least 2014, the company has said, but has not disclosed a final decision. An Exxon spokeswoman was not available for immediate comment.

 The nation’s largest oil producer has been weighing adding new processing capacity to its 362,000 barrel-per-day Beaumont, Texas, plant that could make it the nation’s largest. (Reporting by Erwin Seba Editing by James Dalgleish)

$10 Amazon Gift Card Giveaway

I will give a $10 Amazon gift card to the first person with an email in my inbox (coyote--at---coyoteblog dot com) with a North American retail source (no large lots) for something similar to this:

Does not need to be a scissor lift, could be cables but must be motorized.   We have a very modern house which sometimes results in odd rooms.  Our laundry room is tiny in footprint but has a 12 foot ceiling (!).  So I was just in the process of designing a motor lifted frame with poles to hang clothes for drying** that could lift up and down from the ceiling when I saw this.  They seem to have many in Asia but I can't find one here.    This one has some sort of air drying system which we don't need so that is not a necessary part of the package.   This is a (homemade I think) hand winched version which would also be OK if it were motorized.

PS, this is not quite it

Update:  Thanks.  I have a couple of winners I will announce.

**Phoenix has approx. 5% humidity so we don't need to bother hanging them outside, they will dry anywhere in hours.

Massive SimCity 5 Fail

First, I have always enjoyed the SimCity games.  Sure, I know that these games take a planning and technocratic control approach that I find distasteful in real life, but I enjoy playing first-person shooters as well despite being a pacifist.

So I have been extremely disappointed in their implementation of their new version.  In this sort of mad rush to be like all the other games out there, SimCity built in a multi-player mode where you play online interacting with neighboring cities run by other players.   This is all fine as far as it goes, thought the appeal escapes me so far.

But the true fail is that they require players to log in and play online on their servers, even when playing solo.  What was an irritant yesterday became an enormous mess today, as every North American server for the game is full.  Run the game, and you immediately get hit with a pop-up window with a counter forcing you to wait in what is at least a 20-minute queue before you can play.  There is no offline mode - even if your intent is to play solo, you have to wait for a spot to open up on their multi-player servers.

At this point I would seriously recommend that you wait before buying this game.  Combined with other irritants (the game is not available on Steam, you have to use Origins far inferior proprietary clone), and the game's high price, I am sorry I pre-ordered and did not wait for reviews to come in.  It may eventually be a good game, but I am not going to pay $70 to stare at a 20-minute count down clock every time I want to play.

Update:  Most online games allow players to pre-load the game several days prior to when the servers are turned on.  This smooths out the load on the download servers.  Apparently Origin did not do this, and the servers for downloads crashed yesterday (these are different from the play servers which are full today).  Apparently Origin was still "polishing" the code right up to the hour of launch, which is code for, "this is likely still a bug-filled mess."

Guns, Germs, Steel

The story I was always taught is that the Spanish conquistadors rolled over the Aztecs, Maya, and Incas in what would be an inevitable victory chalked up to guns, germs, and steel.  But I always found this conclusion a bit smelly.  Sure the Spanish had guns and horses, but they didn't have very many of them (a few hundred) and they were not very good.  Three and a half centuries later, the US struggled at times in its wars with North American tribes (just ask the Custer family) despite having FAR better guns, many more trained troops (just after the Civil War), numerical superiority rather than inferiority, and a much better logistics situation (land access by rail vs. sea access by wooden boat).  In addition, Latin American civilizations faced by the Spanish were better organized, far more numerous, and technologically more advanced than plains Indians.  So why the seemingly easy victory by the Spanish?

Apparently there is a new book discussing this topic, which claims the results were much more contingent than commonly believed.

The “steel and germs” explanation for the rapidity of conquest has not convinced all specialists. The newcomers’ technological advantages were insufficient and in any case only temporary; differential mortality was a long-term process, not something that happened at the moment of outsiders’ assault. Thinking about the endemic vulnerabilities of empires helps us understand the situation. The Aztecs and the Incas were themselves imperial formations of relatively recent origin, with highly concentrated power and wealth at the center and often violent relations with not entirely assimilated people at the edges of their empires. When the Europeans arrived, indigenous people were not sure whether the newcomers were enemies, gods, or evil spirits–or potentially useful allies against an oppressive power. These uncertainties made it harder for their rulers, who had no way of knowing what was in store for them, to respond effectively. Cortes and Pizarro recruited allies among disaffected peoples, thereby making their armies as large as the Aztec and Inca forces they fought against. The battle against the Aztecs was hard-fought, with Spaniards suffering reverses, despite their indigenous allies and the hesitations of the Aztec emperor Moctezuma. The conquest of the Inca empire–more centralized than that of the Aztecs–was also facilitated by turning those excluded under Inca power into indigenous allies.

The Silly Fact-Check Genre

I do not agree with Mitt Romney's implied protectionism in his ads, particularly when he says

Obama took GM and Chrysler into bankruptcy and sold Chrysler to Italians who are going to build Jeeps in China

The problem with Obama's intervention in the GM and Chrysler bankruptcies was cronyism -- the protection of favored insiders to the detriment of the operation of the rule of law -- rather than any accelerated globalization.  The auto industry is a global business, deal with it. We should be thrilled that Chrysler is participating in the Chinese economy, an opportunity they would not have had a generation or two ago.  This kind of populist BS is exactly why I voted Johnson, not Romney, this morning.

Anyway, this statement has been subject to a lot of "fact-checking."  Chrysler head Sergio Marchionne wrote a letter in the Detroit News, and while he did not attempt to deny the part about Italians (though that would have been funny), he did write:

Chrysler Group's production plans for the Jeep brand have become the focus of public debate.

I feel obliged to unambiguously restate our position: Jeep production will not be moved from the United States to China.

OK, thanks for the clarification.  But wait, the letter goes on.  He spends a lot of time explaining how Chrysler is investing a lot in Jeep SUV development and production, and that many jobs are being added making Jeeps.  In fact, Jeep SUV's seem to be the big bright spot in the Chrysler turnaround, which is funny because Obama's logic for handing Chrysler over to Fiat for about a dollar was that Fiat would turn Chrysler around with all of its great small car designs.

Anyway, the really interesting part comes late in the article, where he says in paragraph 9:

Together, we are working to establish a global enterprise and previously announced our intent to return Jeep production to China, the world's largest auto market, in order to satisfy local market demand, which would not otherwise be accessible.

So Chrysler ... is going to build Jeeps in China.

This is why the whole "fact check" genre is so stupid.   We could fact-check this three ways, depending on what political axe we want to grind:

  1. We could say that Romney's ad was exactly correct, that Chrysler's CEO says it is going to build Jeeps in China, just as Romeny said.  Romney's statement is literally true as written, which one would think might be a good criteria for a fact-check.
  2. We could say that Romney's ad was misleading, because the implication was meant to be that Chrysler is shifting North American production to China, and they are not (Politifact took this tack).
  3. We could argue that Romney's entire premise is wrong, because what matters to long-term economic health and wealth creation in this country is that Chrysler is making the optimum production decisions, wherever the factories end up.  And further, that making these decisions the subject of political discourse virtually guarantees they will be made for reasons other than optimizing efficiency.  This is the fact-check I would make but you will not hear in mainstream media fact-checks, because the level of economic ignorance on trade in most of the media is simply astonishingly high.

If You Are Buying All Your Games at Toys R Us, You Are Missing Out

For some reason I do not fully understand, there are two worlds of gaming - the Wal-Mart/Target/Toys R Us world of Monopoly and Risk, and the geeky world of strategic gaming.

It used to be that the strategic gaming world was just too complicated and arcane for prime time.  I once spent a whole summer playing through a game called "War in Europe" from SPI.  It had a 42-square foot map of Europe, thousands and thousands of counters, hundreds of pages of instructions, and simulated WWII in weekly turns.

However, there is now a whole slew of games in the strategic arena, mostly from Europe, that are very accessible.   A number are not much harder to learn than Risk but are more fun and play a lot faster.  Unfortunately, few of these have migrated to mainstream stores, so you may be missing them.  Here are a few my family plays that are excellent places to start.  I have put them in approximate order of complexity, from low to high.

[By the way, don't have a family or friends?  Your in luck!  At least 3 of the games below have very high quality iPad game apps with good to very good AI competitors]

  1. Ticket to Ride. Very easy to learn.  Even visiting kids get the idea immediately.  This is a railroad line building game.  Start with the original North American version, it is the least complicated.  Also, if you have an iPad, there is a very good game app port of this game.
  2. Small World. This is an absolute freaking classic. Totally fun, pretty easy to learn, fast to play.  Sort of a wargame ala Risk but it doesn't feel like Risk.  Very repayable because the army or race (e.g. dwarves, elves, giants, etc) you play changes each game as special powers are mixed and matched.  As important to taking territories will be recognizing when your race has become senescent and when it is time to start a new race.  If you have an iPad, there is an awesome Small World game app I heartily recommend.
  3. 7 Wonders. A new game that has quickly become a favorite.    This game is typical of many modern strategy games -- there are many ways to score and you only have a limited number of actions, so the trick is figuring out your priorities.  The play rules of this game are dead simple.  The complicated part is deciding what action to take among many alternatives, since the scoring is complicated.  Here is my advice on this game and for many of these games that follow.  Just play the game once.   This is what my kids and I did with 7 Wonders.  They yelled at me at scoring time that they hadn't understood that such and such scored so well or poorly, but they understood it better with one play-through than by any number of times parsing the rules.  This is our current favorite.  Interesting dynamic here as after each card play, everyone passes his or her whole hand to their neighbor.
  4. Dominion.  Similar to 7 Wonders in that it is a card game building to victory points.  There is a constant tradeoff of getting victory points now or building up "infrastructure" that will allow more scoring later.  It is more complex than 7 wonders as it has even more options and paths.  I play it with my family but both this and the next game fall out of what are typically called "family" games.
  5. Race for the Galaxy.  Again, similar to 7 Wonders and Dominion, just more complicated.  A planet development game.

Here are some other family accessible games I can't recommend as much

  1. Settlers of Catan. This is a popular strategy classic, and is simple to learn.  My kids think its kind of meh.  It has a diplomacy negotiating element that does not seem to work well in my family for games
  2. Cargo Noir. I have only played this once, so I can't say how it wears.  My kids liked it better than I did.  It is easy to learn, but I thought the strategic options were a bit thin.
  3. Carcasonne.  There are very few games I don't care for, but I have tried this game several times and it just does not click for me.  But it is wildly popular, so what do I know?  A game where you add tiles of roads and cities to try to score based one where you have put your mini people (meeple in euro-game speak).   There is a high quality port of this game on iPad.

Here are some games I really love but are not appropriate for the entry level family

  1. Twilight Struggle - replay the cold war.  My son and I played this and it was awesome, but it took some time to learn and was pretty wonky.
  2. Agricola - one of the reigning kings of hard-core Euro-style strategy games, this game is fairly complicated to learn (not helped by instructions that really need a re-write) and very complicated to master.   The concept -- trying to keep a medieval family alive - bored the hell out of my kids but it is similar to many of the games above in that there are far more ways to score than one can pursue in a turn, and it has a very strong element of balancing immediate returns against investments in the future.   I have never played Puerto Rico but my sense it is in a similar genre.

The Boardgame Geek website is a great place to learn about these games (I have just listed a few of the most popular of literally thousands of games).  Their ranking of top family games is here.  To give you an idea, Monopoly is rates #781 in family games and #7148 overall by their readers (though there is some geek snob factor in this, it really is not a very good game), so you probably have some good games to discover.

PS- Most all of these are on Amazon.

Japanese Nukes, Michael Crichton, and Frank Borman

I have always enjoyed Michael Crichton's books, but sometimes turn up my nose at his science.  I must say though that the chain of seemingly stupid errors that led to the park crashing in Jurassic Park bear an amazing resemblance to what is going on with the Japanese nuclear plans.  I don't buy his application of chaos theory to the chain of events, but its hard not to see parallels to this:

Engineers had begun using fire hoses to pump seawater into the reactor — the third reactor at the Fukushima No. 1 complex to receive the last-ditch treatment — after the plant's emergency cooling system failed. Company officials said workers were not paying sufficient attention to the process, however, and let the pump run out of fuel, allowing the fuel rods to become partially exposed to the air.

Once the pump was restarted and water flow was restored, another worker inadvertently closed a valve that was designed to vent steam from the containment vessel. As pressure built up inside the vessel, the pumps could no longer force water into it and the fuel rods were once more exposed.

The other line I am reminded of comes from the docu-drama "From the Earth to the Moon."  In the episode after the fire on Apollo 1, they have Frank Borman testifying to a hostile Congressional committee about the fire.  When asked to explain the root cause, he said "a failure of imagination."  I don't know if this is a true quote of his or purely fiction, but it resonates with me from my past troubleshooting work.  Almost every fire or major failure we looked at in the refinery resulted from a chain of events that no one had even anticipated or thought possible, generally in combination with a series of stupid human screwups.  I would describe the Japanese nuclear plant problems in the same light.

Update: Failure of Imagination from Wikipedia

From IMDB, how the line was quoted in the mini-series

Clinton Anderson: [at the senate inquiry following the Apollo 1 fire] Colonel, what caused the fire? I'm not talking about wires and oxygen. It seems that some people think that NASA pressured North American to meet unrealistic and arbitrary deadlines and that in turn North American allowed safety to be compromised.
Frank Borman: I won't deny there's been pressure to meet deadlines, but safety has never been intentionally compromised.
Clinton Anderson: Then what caused the fire?
Frank Borman: A failure of imagination. We've always known there was the possibility of fire in a spacecraft. But the fear was that it would happen in space, when you're 180 miles from terra firma and the nearest fire station. That was the worry. No one ever imagined it could happen on the ground. If anyone had thought of it, the test would've been classified as hazardous. But it wasn't. We just didn't think of it. Now who's fault is that? Well, it's North American's fault. It's NASA's fault. It's the fault of every person who ever worked on Apollo. It's my fault. I didn't think the test was hazardous. No one did. I wish to God we had.

23 Different Health Reform Plans, and Not One Mentions Torts

It is amazing to me that there can be numerous health care plans in Congress plus a jillion speeches on the topic by the President and not once does anyone mention "torts."  Now, I am not one to ascribe all cost problems in the medical field to defensive medicine and tort settlements.  Buthey t certainly are a factor.  It is just stunning that a President can stand up and talk numerous times about "unnecessary tests and procedures" and ascribe all of these to some weird profit motive by the doctors - weird because generally, the doctor gets no extra revenue from these tests, so somehow he or she is motivated by the profits of a third party lab.

But I think the rest of us understand that American tort law, which allows juries to make multi-million dollar judgements based on emotions and empathy rather than facts and true liability, has at least a share of the blame.   Not just the settlements, but the steps doctors go through to try to protect themselves from frivolous suits down the road.  Here are two interesting stories along these lines.  The first from Carpe Diem:

Zurich University Hospital has stopped treating North American "medical tourists," fearing million-dollar claims from litigious patients if operations go wrong. Hospitals in canton Valais have also adopted measures to protect themselves against visitors from the United States, Canada and Britain.

"The directive applies only to patients from the US and Canada who come to Zurich for elective, non-essential health treatments," said Zurich University Hospital spokeswoman Petra Seeburger.

"It is not because treatment is not financed; it is because of different legal systems." In a statement the hospital said it was "not prepared to risk astronomical damages or a massive increase in premiums." Seeburger emphasised that the restrictions only affected people not domiciled in Switzerland.

Apologies to Mark Perry for quoting his whole post, but if you are not reading Mark Perry, you should be.  The second example comes from Overlawyered:

Oh, I miss the days when you got a radiology report that said, "fracture right 3rd rib, no pneumothorax". Because of frivolous lawsuits radiologists have learned to be vague, noncommittal and to pass the buck of possible litigation. So now you get a 2 page report that says "linear lucency in right 3rd rib, clinical correlation recommended, underinflated lung fields cannot exclude underlying interstitial disease and or masses. CT recommended for further evaluation, if condition warrants." along with several other paragraphs of lawyer imposed legalmedspeak"¦.

Laughing at Florida and Michigan

I must say I am laughing my butt off at the states of Michigan and Florida.  If they had kept their original primary dates, their elections would likely have been critical, if not decisive, in the Democratic nomination.  Both would have gotten full-bore candidate attention, much as Ohio and now Pennsylvania have.  It could have been them who were joining Iowa in the great vote sell-off, trading delegates for promises of ethanol subsidies or whatever the states are perceived to want.  But instead, in a bid to become more relevant, they tried to skirt the rules and in the process became irrelevant.  So instead of promising Floridians that they will enhance old age benefits or doing something with Cuba, the candidates instead are out there promising Pennsylvanians and Ohioans that they will throttle our North American trading partners.

More on Burying Christmas Trees

A few weeks ago I argued that if we really thought that CO2 was the biggest threat to the environment (a proposition with which I do not agree) we should not recycle paper or Christmas trees - we should wrap them in Saran Wrap and bury them.  Earlier I wrote this:

Once trees hit their maturity, their growth slows and therefore the
rate they sequester CO2 slows.  At this point, we need to be cutting
more down, not less, and burying them in the ground, either as logs or
paper or whatever.  Just growing forests is not enough, because old
trees fall over and rot and give up their carbon as CO2.  We have to
bury them.   Right?

I was being a bit tongue-in-cheek, trying to take CO2 abatement to its illogical extreme, but unfortunately the nuttiness of the environmental movement can outrun satire.  These folks advocate going into the forests and cutting down trees and burying them:

Here a carbon sequestration strategy is proposed in which certain dead
or live trees are harvested via collection or selective cutting, then
buried in trenches or stowed away in above-ground shelters. The largely
anaerobic condition under a sufficiently thick layer of soil will
prevent the decomposition of the buried wood. Because a large flux of
CO2 is constantly being assimilated into the worldas forests via
photosynthesis, cutting off its return pathway to the atmosphere forms
an effective carbon sink....

Based on data from North American logging industry, the cost for wood
burial is estimated to be $14/tCO2 ($50/tC), lower than the typical
cost for power plant CO2 capture with geological storage. The cost for
carbon sequestration with wood burial is low because CO2 is removed
from the atmosphere by the natural process of photosynthesis at little
cost. The technique is low tech, distributed, easy to monitor, safe,
and reversible, thus an attractive option for large-scale
implementation in a world-wide carbon market

Its a little scary to me that I can anticipate this stuff.

Why Campaign Spending Will Continue to Rise

Because the government has put itself in the job of redistributor-in-chief, and there is just too high of a financial return from influencing who are to be the beneficiaries, and who are to be the sacrificial lambs.  This is particularly the case when Congress can aim dollars at a small group who will give back generously in return, and where the costs are dispersed across large numbers of people, generally consumers or taxpayers or both:

Dan Morgan has another excellent Washington Post report
on our tangled web of farm subsidies, tariffs, government purchases,
and so on. This time he examines the sugar industry's political
contributions"“"more than 900 separate contributions totaling nearly
$1.5 million to candidates, parties and political funds" in 2007 alone.
Most of the money went to Democrats, apparently, which might explain
why Democrats opposed more strongly than Republicans an amendment
to strike the sugar subsidy provisions from the bill. Morgan delights
in pointing out members of Congress such as Rep. Carolyn Maloney of
Queens and Manhattan and Rep. Steven Rothman of bucolic Hackensack and
Fort Lee, New Jersey, who received funds from the sugar magnates and
voted to protect their subsidies despite the fact that they would seem
to have more sugar consumers than sugar growers in their districts....

So $1.5 million is a lot of money, and it seems to have done the trick.
But . . . is it really so much money? According to Morgan, the sugar
provisions in the farm bill are worth $1 billion over 10 years. That's
a huge return on investment. In what other way could a business invest
$1.5 million to reap $1 billion?

The real campaign finance reform that is needed is to get the government out of the business of naming winners and losers.

Update:  More on the sugar fiasco here.

Under the current system, the government guarantees a price floor for
sugar and limits the sugar supply "” placing quotas on domestic
production and quotas and tariffs to limit imports. According to the
Organization for Economic Cooperation and Development, sugar supports
cost American consumers "” who pay double the average world price "” more
than $1.5 billion a year. The system also bars farmers in some of the
poorest countries of the world from selling their sugar here.

The North American Free Trade Agreement is about to topple this
cozy arrangement. Next year, Mexican sugar will be allowed to enter the
United States free of any quotas or duties, threatening a flood of
imports. Rather than taking the opportunity to untangle the sugar
program in this year's farm bill, Congress has decided to bolster the
old system.

Both the House bill, which was passed in July, and the Senate
version, which could be voted on as early as this week, guarantee that
the government will buy from American farmers an amount of sugar
equivalent to 85 percent of domestic consumption "” regardless of how
much comes in from abroad. To add insult to injury, both also increase
the longstanding price guarantee for sugar.

The bills encourage the government to operate the program at no cost
to the budget, by selling the surplus sugar to the ethanol industry.
That's not likely. Ethanol makers will never accept paying anywhere
near sugar's guaranteed price. According to rough estimates from the
Congressional Budget Office, supports for sugar in the House bill could
cost taxpayers from $750 million to $850 million over the next five
years.

Steve McIntyre Comments on Historical Temperature Adjustments

Steve McIntyre, the statistician than called into question much of the methodology behind the Mann Hockey Stick chart, has some observations on adjustments to US temperature records I discussed here and here.

Eli Rabett and Tamino have both advocated faith-based climate
science in respect to USHCN and GISS adjustments. They say that the
climate "professionals" know what they're doing; yes, there are
problems with siting and many sites do not meet even minimal compliance
standards, but, just as Mann's "professional" software was able to
extract a climate signal from the North American tree ring data, so
Hansen's software is able to "fix" the defects in the surface sites.
"Faith-based" because they do not believe that Hansen has any
obligation to provide anything other than a cursory description of his
software or, for that matter, the software itself. But if they are
working with data that includes known bad data, then critical
examination of the adjustment software becomes integral to the
integrity of the record - as there is obviously little integrity in
much of the raw data.

While acolytes may call these guys "professionals", the process of
data adjustment is really a matter of statistics and even accounting.
In these fields, Hansen and Mann are not "professionals" - Mann
admitted this to the NAS panel explaining that he was "not a
statistician". As someone who has read their works closely, I do not
regard any of these people as "professional". Much of their reluctance
to provide source code for their methodology arises, in my opinion,
because the methods are essentially trivial and they derive a certain
satisfaction out of making things appear more complicated than they
are, a little like the Wizard of Oz. And like the Wizard of Oz, they
are not necessarily bad men, just not very good wizards.

He goes on to investigate a specific example the "professionals" use
as a positive example, demonstrating they appear to have a Y2K error in
their algorithm.   This is difficult to do, because like Mann, government scientists maintaining a government temperature data base taken from government sites paid for with taxpayer funds refuse to release their methodology or algorithms for inspection.

In the case cited, the "professionals" also make adjustments that imply the site has
decreasing urbanization over the last 100 years, something I am not
sure one can say about any site in the US except perhaps for a few
Colorado ghost towns.  The "experts" also fail to take the basic step of actually analyzing the site itself which, if visited, would reveal recently installed air conditioning unites venting hot air on the temperature instrument.   

A rebuttal, arguing that poor siting of temperature instruments is OK and does not affect the results is here.  I find rebuttals of this sort really distressing.  I studied physics for a while, before switching to engineering, and really small procedural mistakes in measurement could easily invalidate one's results.  I find it amazing that climate scientists seek to excuse massive mistakes in measurement.  I'm sorry, but in no other branch of science are results considered "settled" when the experimental noise is greater than the signal.  I would really, really, just for once, love to see a anthropogenic global warming promoter say "well, I don't think the siting will change the results, but you are right, we really need to go back and take another pass at correcting historical temperatures based on more detailed analysis of the individual sites."

Richer and Warmer vs. Poorer and Cooler

For quite a while, I have wanted to see that someone address the question of comparing a richer and warmer world with a poorer and cooler world, and not just assuming that the latter is superior.  As I wrote here, this is one of the most important questions ignored to date by Kyoto supporters.  Supporters of immediate climate change action shout warnings about the dangers of raising the earth's temperature a degree or two.  But what if that comes at the cost of reducing world economic growth a percentage or two?  There is still a lot of work to be done to understand the impacts of a 1-2 degree temperature rise, but it is very, very well understood what 1-2 extra points of economic growth can do, especially in developing countries.  Economic growth reduces starvation, increases life expectancy, improves health care and sanitation, and increases the ability to survive natural disasters.

The Commons Blog links to this study by Indur Goklany on just this topic.  I have not had time to get through it all -- I am just happy someone is even asking the question -- but the Commons Blog folks have:

If global warming is real and its effects will one day be as devastating as
some believe is likely, then greater economic growth would, by increasing
greenhouse gas (GHG) emissions, sooner or later lead to greater damages from
climate change. On the other hand, by increasing wealth, technological
development and human capital, economic growth would broadly increase human
well-being, and society's capacity to reduce climate change damages via
adaptation or mitigation. Hence, the conundrum: at what point in the future
would the benefits of a richer and more technologically advanced world be
canceled out by the costs of a warmer world?

Indur Goklany attempted to shed light on this conundrum in a recent paper
presented at the 25th Annual North American Conference of the US Association for
Energy Economics, in Denver (Sept. 21, 2005). His paper "” "Is a
richer-but-warmer world better than poorer-but-cooler worlds?"
"” which can
be found here, draws
upon the results of a series of UK Government-sponsored studies which employed
the IPCC's emissions scenarios to project future climate change between 1990 and
2100 and its global impacts on various climate-sensitive determinants of human
and environmental well-being (such as malaria, hunger, water shortage, coastal
flooding, and habitat loss). The results indicate that notwithstanding climate
change, through much of this century, human well-being is likely to be highest
in the richest-but-warmest world and lower in poorer-but-cooler worlds. With
respect to environmental well-being, matters may be best under the former world
for some critical environmental indicators through 2085-2100, but not
necessarily for others.

This conclusion casts doubt on a key premise implicit in all calls to take
actions now that would go beyond "no-regret" policies in order to reduce GHG
emissions in the near term, namely, a richer-but-warmer world will, before too
long, necessarily be worse for the globe than a poorer-but-cooler world. But the
above analysis suggests this is unlikely to happen, at least until after the
2085-2100 period.

It is particularly important to do the economic work using the same assumptions that the climatologists use. As I posted before, climate studies tilt the playing field in the favor of warming by assuming huge economic growth rates in developing nations.  This ups CO2 emissions estimates, because it is also assumed that these countries remain inefficient energy consumers.  I have criticized this approach in the past, since it yields ridiculous outcomes (many of these smaller nations end up with economies larger than the US in 2050).  However, if they are going to insist on these assumptions, that should also be the backdrop for estimating economic impact of reductions. Presumably, since in their model CO2 comes disproportionately from developing country growth, then the costs will be seen disproportionately in terms of reduced developing country growth.  Which will have predictable results in terms of malnutrition, starvation, disease, and shorter lifespans.

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