Coyote Blog

The original was a sort of surprise -- one expected a movie based on a toy franchise to suck, but it was actually OK.  It had a bit of wit, probably Spielberg's influence.  The new movie is not nearly as good.  I give it about 2.5 stars, with that being an average of 1.5 stars when Megan Fox is off the screen and 5 stars when she is on the screen.   The director avoids doing anything to advance the plot when she is on the screen, which is good because it is hard to concentrate during those moments.

The one highlight for me was that most of the college scenes were filmed at my old alma mater Princeton.  With all due appologies to my friends, there is a certain amount of cognitive dissonance to seeing 40 or 50 consistently smoking hot college girls wandering around the Princeton campus.  We had a name for women like that when I was there -- we called them "visitors."

One bit of credit -- unlike a lot action movie sequels, the plot was mostly coherant.   The humor was strained, more sophomoric and less witty than the original.  Thedogs having sex in the beginning was gratuitous, for example.

Anyway, my kids enjoyed it, and it was a decent way to spend a summer afternoon when it was 107 outside.  Air conditioning always adds at least 1 star to every movie during a Phoenix summer.

Lots of eulogizing going on.  This one on Ayn Rand and Fawcett is certainly unique, though.  Don't think that will make 20/20 tonight.

Postscript: Yes, I am of that age that I had her famous poster on my wall (Fawcett, not Rand).  Ms. Fawcett was a member of my personal klutz-to-the-stars club.  I once got an ink spot on her white blouse awkwardly trying to get an autograph (back when I used to value such things).  I have also stepped on Raul Julia's foot at the academy awards, slammed a door open into Martina Navratalova's face at a hotel in Houston, thrown up in Neal Armstrong's bed at a ranch in Wyoming, and spilled a large fountain drink on Brooke Shields at Princeton.

This is from Tori Barnett on John Stossel's blog (Stossel being yet another member of the powerful Princeton Tower Club libertarian blogging set):

As we approach ABC's Wednesday White House Health Care town meeting, I'm thinking more about how health insurance"”private or government run"”destroys the individual's incentive to shop around. People spending their own money and dealing directly with doctors is the only thing that honors individuals' different preferences and controls costs.  How can we hold costs down at all if the market isn't allowed to work?

But few people are talking about that.

The pundits write about the popularity of Medicare.  Of course it's popular.  People love getting free stuff.  But Medicare is on an unsustainable path. It is more than 30 trillion dollars in the red!

As I wrote previously:

Take purchasing a car.  When I need a new car, who determines what car I end up with?   Why, I do.  And who pays for the car and shops around for a price that makes sense in the context of the perceived value of the car?  Why, I do again.  The person who uses the car, the person who chooses the type and quality of the car, and the person who pays for the car are all the same person.

This clever procurement model of integrating the payer, the shopper, and the user all into a single individual is one we use for, well, just about every product and service we buy.  Milk, Internet service, DVD's, house painting, airline tickets "” all the same model.

OK, lets consider a model that does not work this way.  Let's say someone just rear-ended your car and, miracle of miracles, they actually have a good, solid insurance policy that owes you for your car repairs.  In this case, you will be consuming the repair services, and have the incentive to find the absolute best, cost-no-object body shop you can find to do the best, most fabulous job fixing your car, because someone else (ie the insurance company) is paying.  The insurance company has a different incentive.  They want to get off with as small a loss as possible, to protect their profitability as well as keeping prices low for future policy-holders.  They are going to want you car fixed cheap, particularly since you are probably not even their customer.  They are going to try to deliver the minimum.

No surprisingly, people tend to get ticked off in these situations, as they grind against the opposing incentives of the insurance company.  It's one reason that the insurance field is highly regulated (because nowadays people complain to their Congressman whenever they get irritated).  It's also a measure of how ineffective regulation is in really managing this friction, since despite zillions of government rules people still get pissed off.  The reason is that there is simply no good solution.   Both parties want a solution at the extreme end of a cost-value scale, neither have much of an incentive to compromise, and neither will be happy with a solution in the middle of these extreme incentives, and no amount of government fiddling with the tradeoff point is going to change this.

OK, but in this example, at the end of the day, it is just a car, and probably this is a once-in-a-lifetime event.  What if we replace "car" with "baby daughter" or "grandmother" or "your life?"  Now, as Bill Murray says, the kidding around is pretty much over.  It is a recipe for an incendiary disaster.  Which is exactly what we have in health care.

If we take these three roles - user, service quality specifyer, and payer/price shopper - there are very few places in medicine today where these three roles are united.  Further, despite the fact that the vast majority of the problems in US health care are demonstrably from this role separation, none of the plans currently being considered by Obama or Congress unify these three parties.

With my high deductible medical policy, I am actually one of the few middle/upper class folks who actually shops for health care.  And I can tell I am in the minority by the reaction I get from doctors and medical services companies, that look at me like I am from Mars when I ask for detailed pricing, or when I order less than the full and complete battery of potential tests and services based on my own judgment and price/value trade offs.  Folks in the medical profession are used to people saying "whatever, the insurance company is paying for it."

The post went on to show data for medical care expenses NOT generally covered by insurance, so that they are paid out of pocket.  Not surprisingly, these expenses are the only part of health care seeing actual real price drops:

Via TJIC:

It took decades and, at times, antagonistic battles, but Harvard's gay community says it has finally cemented its academic legitimacy at the nation's oldest university. College officials will announce today that they will establish an endowed chair in lesbian, gay, bisexual, and transgender studies, in what is believed to be the first professorship of its kind in the country.

Can the adults among us agree that a degree in LGBT studies has about zero economic value?  Even a history degree has more economic value, as history studies tend to still be accompanied by some academic rigor.  But the pathetic scholarship standards and non-existant statistical rigor with which most social sciences, and various [fill in the blank with oppressed group] studies departments in particular, are taught make the economic value of such a degree at best zero and at worst a negative.

I have no problem with anyone studying whatever they wish using their own resources.  This is one place I diverge with Ayn Rand -- she might say that pursuing non-productive activity is inherently immoral.  I would say that pursuing your own goals, whatever they be and however valuable or valueless they might be to others, is just fine as long as you don't demand that everyone else to support you.

The problem is that a degree at Harvard probably requires a $200,000 investment to complete.  Given that, beyond a few career spots in academia, a LGBT studies degree is unlikely to ever recover enough (versus having no degree)  to pay for such an investment, problems are inevitable.  Either someone (read: taxpayers) will likely foot the bill, or else some student is going to find herself with tens of thousands of dollars of student debt and no realistic way to pay it back.

In fact, this latter situation is a common leitmotif of recent media stories, the college grad unable to handle his or her shocking debt load.  Somehow, stories all seem to blame the capitalist system as a failure point.  Michelle Obama, who similarly pursued [historically oppressed group] studies at Princeton, has expressed just this point of view.

Despite their Ivy League pedigrees and good salaries, Michelle Obama often says the fact that she and her husband are out of debt is due to sheer luck, because they could not have predicted that his two books would become bestsellers. "It was like, 'Let's put all our money on red!' " she told a crowd at Ohio State University on Friday. "It wasn't a financial plan! We were lucky! And it shouldn't have been based on luck, because we worked hard."

Is this problem really so hard to diagnose, or have we gotten so politically correct we cannot state a fact out loud that everyone understands -- that is, some degrees have more economic power than others.  LGBT studies degrees likely have very little economic utility.  So it is fine to pursue such a degree, but don't be surprised when you are not offered a six-figure income at graduation, and don't come to me expecting that I pay for your choice.

My Princeton roommates and I back in college and at reunions last week.

In the reunion photo, I am the guy in the orange and black on the left.  Libertarian readers might also recognize Brink Lindsey of Cato third from the left.  Each 25th reunion class gets their own blazer of unique design to cherish forever.  I thought ours was pretty good.

I am on vacation with my family.  We went to my 25th reunion at Princeton last week, and are now spending some tourist time in Washington DC.  Be back soon.

Queen Beatrix of the Netherlands survived an assassination attempt, though several of her staff and onlookers were not so lucky.

Years ago, my parents actually hosted Queen Beatrix's visit to Houston.   As a libertarian, I don't have much use for hereditary monarchy, but she was quite approachable and helped smooth over my wtf-am-I-doing-here nervousness at the event.  She also paid a visit to Princeton University while I was there, so she's got that going for her too.

My old Princeton roommate Brink Lindsey and I agreed today that our 25th reunion jackets meet the primary test of such apparel:  They must be both original and so hideous that one would never wear them outside of zip code 08544.

Can clothing be both hideous and cool at the same time?  I think so (which my wife would say explains a lot).  Now, if I could get Robert Graham to do an orange and black shirt to go with it....

PS:  Brink has a new paper out,  "Paul Krugman's Nostalgianomics: Economic Policies, Social Norms, and Income Inequality"

Update: Hat tip to the commenter who seems to be a fellow rail geek for coming up with the D&RGW locomotive analogy.  I almost ran this post differently.  I was going to have a joke post claiming to be an item from the stimulus bill, claiming one provision to increase employment was to replace traffic cones at construction sites with live humans wearing appropriate gear.  But I am having trouble seeing very much funny in the stimulus bill right now.  Never has so much been spent so quickly with so little deliberation or even understanding of what is being spent.

As for the test pattern comment, this does remind me of the "moiré" test patterns -- in fact, I had trouble trying to compress it too much as the jpeg  started producing moiré patterns.

In the 75th Annual (lol) Maggie's Farm blog awards, Coyote Blog tied with Tigerhawk (good company) for best Princeton Alum Blog.  Thanks!

Sorry, an unfinished version of this post may have shown up earlier today in your feed readers.  This one is the completed version.

For years, America has pushed home ownership.   Mortgage interest is one of the few personal expenses that is tax deductible, giving people a strong financial incentive to shift from renting to owning.  The Federal Reserve has pursued a policy of keeping interest rates low, further decreasing the cost of owning.   Congress passed a myriad of laws and created numerous organizations to help insure that anyone who wanted to buy a home could probably get credit.  And every politician, talking head, "expert", etc. who ever got in front of a camera tended to advise everyone regardless of circumstance to try to buy a home.  It was not just home ownership, it was The American Dream Of Home Ownership.

Hayek could have told us years ago that there was a fundamental problem with this.  In short, 300 million people do not have the same situation and needs and preferences.  Take just one example.  Does it really make sense to encourage a worker who has a risky income stream (e.g. is vulnerable to layoffs or reduced hours) to buy a house?  Leasing provides much greater flexibility to adjust fixed housing costs to changing circumstances.  Rent, get your hours reduced, move to a smaller apartment.  Buy, get your hours reduced, default, ruin your credit.

The result of our full-court press for home ownership has been rising home ownership rates ... and rising foreclosure and bankruptcy rates.

OK, none of the above is new information.  But I was having a conversation with my dad about education, and it struck me that we may be doing the exact same thing with four-year college liberal arts degrees.  Every talking head, from talk show hosts to politicians, push kids to go to college.  Along with home ownership, the BA is described as a keystone to the American Dream.  As with home ownership, we subsidize college education with state-run schools and government loan programs.  Just as the government tries to make sure everyone can own a home, they try to make sure every kid can go to college.

Returning to Hayek for a moment, is it really likely that spending four years getting a college liberal arts degree is really the best possible course for every single person?  Sure, one can argue that the state offers community colleges and other alternatives to the standard 4-year degree, as do private companies like the University of Phoenix, but I get no sense that politicians and the intelligentsia are really promoting this kind of nuance and choice.  I think the message clearly is "four year liberal arts degrees are the goal, everything else is second best."

State university systems that were originally founded to help teach scientific agriculture to farmers wouldn't be caught dead having anything so pedestrian show up in their marketing brochure today.  They want to have Nobel prize-winning faculty and be influencing public policy and be doing (and getting grants for) state-of-the-art research.   Teaching students a useful trade?  That's so ... uncool.  Let 'em go to DeVry if they want that.

To some extent this is the result of the takeover of most campuses by the faculty, who wield most of the power nowadays (just ask Neil Rudenstein and Larry Summers at Harvard).   Academics are a special class of folks who work as much for, or more for, prestige among their peers as for money.  Those incentives are great when you want someone to focus in 120 hours a week on inventing a new type of superconducting material.  But in a university, it tilts the entire institution towards a focus on teaching interesting things vs. teaching useful things.

So what has been the result?  Well, college has an equivalent to foreclosure and bankruptcy, and it is called drop-out rates.  And drop-out rates seem to be rising, at least reading articles anecdotally.  The only actual figure I can find was this one:

Just 54 percent of students entering four-year colleges in 1997 had a degree six years later "” and even fewer Hispanics and blacks did, according to some of the latest government figures. After borrowing for school but failing to graduate, many of those students may be worse off than if they had never attended college at all.

I can't prove there is a trend, because I just can't find a good online source, but 46% non-graduation rate strikes me as pretty high.  And I would argue that there is, in addition to drop-out rate, a second figure one must consider.  How many of those that did graduate could actually do with their degree what they thought they could?  How many have a 4-year journalism degree from Michigan and now are working at Starbucks, either by choice or necessity?  I call this the soft drop-out rate, the rate of, for lack of a better word, underemployment of one's education investment.

I know that education leaders can all give a nice speech about how important a liberal arts degree is to the health and functioning of the polis, but the fact of the matter is that it is a luxury.  It is an incredibly rich world that can have its youth in their strongest and most productive years studying Italian Renaissance poetry or Portuguese literature for four years.  And I am not talking about this as a luxury for garbage collectors or auto mechanics, but a luxury even for future white collar workers, who need basic skills like these but are, based on my hiring observations, graduating from college without them:

1. A strong sense of personal responsibility and a commitment to excellence in one's work
2. The ability to break down a task and organize work towards its completion
3. The ability to write a well-organized five paragraph persuasive essay or letter
4. The ability to do basic computational math
5. The ability to manage personal finances and make smart financial decisions
6. The ability to understand basic accounting terms and concepts
7. The ability to interact with other people honorably and on the basis of a reasonable level of self-awareness
8. A reasonably well-developed sense of ethics and responsibility

To illustrate this further, I want to end with something I have observed over the past year.  During the last election, I sensed something in the average 20-something Obama supporter that went beyond just frustration with the incumbent President and the normal level of youthful flirtation with progressivism.   I sensed a real anger that somehow some promise had not been kept to these folks.  One interpretation of this is that these folks were all promised that a 4-year liberal arts degree would be the guaranteed ticket to success, and that their college degree would make them future leaders and the world would soon tremble at their pronouncements (seriously, just go read the marketing literature from any college).  Having gotten this "promise," they suddenly find the world doesn't really hang on the every word of a 22-year-old who has never really been out of the womb, and the employers of the world are not beating the doors down to hire a gender studies major who wrote a really well-received thesis on the role of women in the Paraguayan post-modernist movement.

The Washington Post had a great profile on such folks (though written with far more sympathy than I would have mustered).  Here is an example from that article:

Armed with a Georgetown University diploma, Beth Hanley embarked in her 20s on a path hoping to become a professional world-saver. First she worked at nonprofit Bread for the World. Then she taught middle school English in central Africa with the Peace Corps. Finally, to certify her idealism, she graduated last spring with a master's degree in international relations from Johns Hopkins University.

But now the 29-year-old faces a predicament shared by many young strivers in Washington's public interest field. After years of amassing so many achievements, they struggle to find full-time employment with decent pay and realize they might not get exactly what they set out for. Hanley, a think tank temp who dreams of aiding the impoverished and reducing gender discrimination in developing countries, is stuck.

TJIC had some classic comments on this article, and I added some more.

Which brings me finally, of all places, to Michelle Obama.  She said something that I thought was relevant to this post:

Despite their Ivy League pedigrees and good salaries, Michelle Obama often says the fact that she and her husband are out of debt is due to sheer luck, because they could not have predicted that his two books would become bestsellers. "It was like, 'Let's put all our money on red!' " she told a crowd at Ohio State University on Friday. "It wasn't a financial plan! We were lucky! And it shouldn't have been based on luck, because we worked hard."

You can see the whole piece here, but she is a pretty clear example of what I am talking about.  She got a Princeton liberal arts degree and is just amazed that it did not automatically pay off for her.  Somehow, some promise to her has been broken.

Just as she is an example of this phenomenon, she is now endeavoring to be part of the problem, working hard to further confuse the expectations of young people.  Her message to them is -- go get an expensive education, but whatever you do don't do anything money-making with it:

"We left corporate America, which is a lot of what we're asking young people to do," she tells the women. "Don't go into corporate America. You know, become teachers. Work for the community. Be social workers. Be a nurse. Those are the careers that we need, and we're encouraging our young people to do that. But if you make that choice, as we did, to move out of the money-making industry into the helping industry, then your salaries respond." Faced with that reality, she adds, "many of our bright stars are going into corporate law or hedge-fund management."

I have no particular problem with people taking on these occupations, as long as I don't have to pay for it.  And I am proud that my university, Princeton, is one of the few that has changed its financial aid rules to allow students to graduate debt-free and have the financial flexibility to pursue careers that are not high-paying (making Ms. Obama's comments doubly ironic since this is her alma mater as well).

But the general expectation here is just unrealistic.  Here is how I responded previously to Ms. Obama's comments on her education:

This analogy comes to mind:  Let's say Fred needs to buy a piece of earth-moving equipment.  He has the choice of the $20,000 front-end loader that is more than sufficient to most every day tasks, or the $200,000 behemoth, which might be useful if one were opening a strip mine or building a new Panama Canal but is an overkill for many applications.  Fred may lust after the huge monster earth mover, but if he is going to buy it, he better damn well have a big, profitable application for it or he is going to go bankrupt trying to buy it.

So Michelle Obama has a choice of the $20,000 state school undergrad and law degree, which is perfectly serviceable for most applications, or the Princeton/Harvard $200,000 combo, which I can attest will, in the right applications, move a hell of a lot of dirt.  She chooses the $200,000 tool, and then later asks for sympathy because all she ever did with it was some backyard gardening and she wonders why she has trouble paying all her debt.  Duh.  I think the problem here is perfectly obvious to most of us, but instead Obama seeks to blame her problem on some structural flaw in the economy, rather than a poor choice on her part in matching the tool to the job.

And this is what it is all about when you cut through all the misty-eyed Utopian notions about education:  For most people, it is a tool.  And the tool needs to fit the circumstance, the goals, the capabilities, and the budget.  Its time to stop advocating (and subsidizing) and one-size fits all college education program.

Ilya Somin wonders why some top universities don't have law schools:

It recently occurred to me that there are several big-name
universities that don't have law schools, even though a law school
established at any of those institutions would probably do well.
Princeton arguably heads this list, along with Brown, Johns Hopkins,
Rice, and Tufts. Brandeis University also doesn't have a law school
(ironically, for a prominent university named after a Supreme Court
justice).

Why these universities haven't established law schools is a bit of a
mystery (at least to me). Law schools tend to bring in net revenue for
the university. This is even more likely to be true at a big-name
institution that can quickly attract good faculty and students. If
Princeton were to establish a law school tommorrow, appoint a credible
dean, and provide adequate initial financial backing, they could very
quickly turn it into a highly successful (and profitable) enterprise.
Many good students would come just because of the Princeton name, and
most outstanding scholars who are not already at top 20 or top 30
institutions might well be willing to move to Princeton if asked.

Princeton, by the way, does not have a law school or business school or medical school.  It really tries to hold itself up as primarily and undergraduate institution, and works hard to be the premier undergraduate school in the country.  It has graduate schools only in disciplines for which there is an undergraduate degree (e.g. math, economics, chemistry, history).  I have always suspected that they maintain these graduate programs mainly because they have to to attract top academic talent to be available for their undergraduates.  Unlike any other university with which I am familiar, and certainly unlike Harvard where I also attended, graduate students at Princeton feel themselves to be second class citizens.

Somin acknowledges this a bit when he says:

Various commenters suggest that these universities choose not to
have a law school because of their desire to focus on undergraduate
education. That may indeed be the right explanation, though several of
these institutions (including Johns Hopkins, Tufts, and Rice) have
other professional schools on campus. But it doesn't strike me as a
very compelling reason not to establish a law school. If the law school
were to drain resources away form undergrad education, there might
indeed be a conflict between the two. In fact, however, a law school is
likely to bring in net revenue that could be used to improve
undergraduate education. Moreover, some law school professors
(especially at elite schools) teach courses that undergraduates might
be interested in taking, as sometimes happened at Yale, when I was a
law student there.

Even if a law school adds resources to undergrad education instead
of draining them, it's possible that its presence could detract from
undergraduate education in some other, more subtle way. But it's hard
for me to see how. If Yale Law School were closed down tomorrow, would
undergraduate education at Yale improve? Are undergraduates at Yale
currently worse off than at Princeton in some way traceable to the fact
that Yale has a law school and Princeton doesn't? Possibly. But I
remain skeptical.

I would argue that there is an important difference that you can't just get at through incremental analysis.  That is, that the management and faculty of Princeton have a culture and focus on undergraduates that universities like Harvard do not have.  Somin is right that grad schools bring in lots of money -- and so the sum of a med school and a law school and a business school and all that tuition and grant and consulting money (not to mention resultant faculty egos) is hugely distracting for an institution.  Particularly in the case of Princeton where it does not really need incremental money anyway.  Take my word for it, having attended both Harvard and Princeton, there are enormous differences in their institutional foci which have real impacts, both substantial and subtle, on undergraduate life. 

I would love to do a poll.  Ask the faculty of both Harvard and Princeton, "Which would you give up first, your university's graduate program or undergraduate program,"  I bet I know what the answer would be.

But what do I know - we Princeton grads are all nuts, anyway.

I have argued many times on this page that there is a dangerous new rights theory gaining traction in today's college campuses.  That theory holds that there exists a freedom (mostly for people in "protected" groups -- women, minorities, etc) from being offended or even being criticized, and that this trumps free speech. 

For years I have supported the legality of what is called hate speech -- not because I agreed with it, but because I thought its expression, no matter how contemptible, should be legal.  Free speech should have no content tests.  I also argued that there was a slippery slope.  If making racist remarks is illegal today, perhaps just criticizing a woman or an African American might be illegal tomorrow.

Enter Priya Venkatesan, former English teacher at Dartmouth.  Ms. Venkatesan was hired by Dartmouth to teach all kinds of odd (but always trendy) socialist eco-feminist babble.  Such courses seem to be a staple of colleges today.  I remember a number of such professors at Princeton, but it was no big deal as long as the course were clearly labeled and one could avoid them.  After all, if people really were attracted to such drivel, it just left more spots open for the rest of us in classes that actually prepared us for the real world. 

The problems began, though, when Ms. Venkatesan's students refused to blindly agree with her  (apparently, they did not attend the University of Delaware indoctrination course that explained why you are not allowed to criticize anyone but white males).

The agenda of Ms. Venkatesan's seminar, then, was to
"problematize" technology and the life sciences. Students told me that
most of the "problems" owed to her impenetrable lectures and various
eruptions when students indicated skepticism of literary theory. She
counters that such skepticism was "intolerant of ideas" and "questioned
my knowledge in very inappropriate ways." Ms. Venkatesan, who is of
South Asian descent, also alleges that critics were motivated by
racism, though it is unclear why.

After a winter of discontent, the snapping point came
while Ms. Venkatesan was lecturing on "ecofeminism," which holds, in
part, that scientific advancements benefit the patriarchy but leave
women out. One student took issue, and reasonably so "“ actually,
empirically so. But "these weren't thoughtful statements," Ms.
Venkatesan protests. "They were irrational." The class thought
otherwise. Following what she calls the student's "diatribe," several
of his classmates applauded.

Ms. Venkatesan informed her pupils that their behavior
was "fascist demagoguery." Then, after consulting a physician about
"intellectual distress," she cancelled classes for a week. Thus the
pending litigation.

Litigation, exposure of the names behind anonymous course evaluations, and email threats from Ms. Venkatesan follow.  More from Lubos Motl.

Postscript:  By the way, it is just astounding to me that anyone with an over-room-temperature IQ could passionately believe that technological progress is bad for women.  One might argue that way society is organized still under-utilizes women and/or puts artificial roadblocks up to a woman's progress, but get some perspective!

Pre-modern life for women was horrible.  Because of the biological complexities of child-rearing alone, they died young far more often than men and their physical vulnerability caused them to be marginalized in virtually every society of every culture of the world until at least 1750 and really until 1900.  The whole women's movement is built on a platform of technology that only begins with the pill and encompasses a thousand things from automobiles to computers that reduce the importance of size and physical strength in getting ahead in the world. 

I posted this in 2004, but it seems relevant today:

OK, but what is this Antarctica thing?  Back when I was an undergrad
at Princeton, one of my fondest memories was of a bizarre Student Body
Governing Council (USG) election.  The previous USG administration,
headed by none other than fellow Princetonian Eliot Spitzer, had so
irritated the student body that, for the first time in memory, the
usually apathetic voting population who generally couldn't care less
who their class president was actually produced an energetic opposition
party.  Even in his formative years, Spitzer was expert in using his
office to generate publicity, in this case frequent mentions in the
student newspaper that finally drove several students over the edge.

The result was the incredibly funny and entertaining Antarctic
Liberation Front.  I wish I had saved their brochures, but their
proposals included things like imposing a dawn to dusk curfew on the
school and funding school parties by annexing the mineral rights
between the double yellow lines of the US highways.  All of this was
under the banner of starting jihad to free Antarctica.  The ALF swept
the USG election.  This immensely annoyed Spitzer and other USG
stalwarts, who decried the trivialization of such an august body.  The
pained and pompous wailing from the traditional student council weenies
(sounding actually a lot like liberals after the last presidential
election) only amused the general student population even further.
After a few student-council-meetings-as-performance-art, the ALF
resigned en mass and life went back to being just a little bit more
boring.

If you think I am exaggerating in saying that the Spitzer-led
student council types had a whiny reaction to this bit of fun, you
should know that Spitzer was still whining about it 20 years later to the New Yorker magazine.  Virginia Postrel, also a Princetonian at the time, had a similar reaction to mine here, and fisks the New Yorker article.

My novel BMOC included an incompetent and power-abusing Senator who managed to remain a darling of the press as long as he focused his attention on pork-barrel spending and using government power to help and hurt his friends and enemies.  However, the press finally turned on him when it became known he was involved with prostitutes.  The fairly cynical (if not realistic) moral was that it was fine to abuse government power, just don't get caught in a sex scandal.

Well, it seems that we will get to test that notion in real life.  Apparently, NY governor Eliot Spitzer has been dallying with prostitutes.  Now, I couldn't really care less about his purchase of sex -- I have argued many times for legalization of prostitution.  But it will be an interesting test of my book's cynical hypothesis, since to date the press has been in love with Spitzer despite (even because of) his abusive practices as AG and governor.  The radio news a few minutes ago actually said "Mr. Spitzer, who to date has had a squeaky clean reputation..."  Huh?  Only if you read the fawning PR work done for him by the NY Times in the past.

Update: Here is the passage from the book.  Sound familiar?

Taking a deep
breath, Givens said, "Senator, there is a reason that this one is not going
away. I will spell it out: S-E-X. The press doesn't give a shit about a few billion dollars of waste. No one tunes in to the evening news if the
teaser is "˜Government pays too much for a bridge, news at eleven.' The Today Show doesn't interview the
contractors benefiting from a useless bridge."

"However, everybody and his dog will tune in if
the teaser is "˜Your tax dollars are funding call girls, film at eleven'. Jesus, do you really think the CBS Evening
News is going to turn down a chance to put hookers on the evening news? Not just tonight but day after day? Just watch "“ Dan Rather will be interviewing
hookers and Chris Mathews will be interviewing hookers and for God's sakes
Barbara Walters will probably have a weepy interview with a hooker."....

"You guys in the Senate can get away with a lot,
as long as long as a) you don't get caught or b) the scandal is so boring or
complex that it won't sell newspapers. Hell, I saw a poll the other day that a substantial percentage of
Americans to this day don't understand or even believe what Richard Nixon did
was wrong. But if you polled those same
people, every freaking one of them would say that they knew and believed that
Bill Clinton got [had sex with] an intern.

Update #2: Disclosure -- I did not like Spitzer, even at Princeton.  This, however, was not uncommon.  In fact, Spitzer managed to inspire a jihad in response to his governance of the student council there.

Update #3:  ROFL!  I got this email from a reader:

I eagerly await your
comments on the latest imbroglio involving your favorite Princeton
classmate.  Please don't take the high road.

It seems I may not be the only person who does not care for Mr. Spitzer.

Update #4:  I hope the girls paid sales taxes on their transactions and have all their payroll taxes in order.  Certainly Mr. Spitzer has established the principle that illegal businesses still owe taxes.

That seems to be the axiom in New York these days, where Gov. Eliot L.
Spitzer (D), struggling to close a $4.4 billion budget gap, has
proposed making drug dealers pay tax on their stashes of illegal drugs.
The new tax would apply to cocaine, heroin and marijuana, and could be
paid with pre-bought "tax stamps" affixed to the bags of dope.

Update #5:  Libertarians like myself will point out that this is all between consenting adults.  Of course, that did not stop Eliot Spitzer from trying to prosecute Dick Grasso for a pay package that was approved by consenting (and quite sophisticated) adults.

Update #6: It is being reported that Spitzer will resign.  QED folks.  Spitzer uses the state police to spy on political rivals and the press continues to call him a squeaky clean reformer.  But pay for sex with a consenting adult, and your gone. 

Update #7:  Tom Kirkendal has been all over Spitzer for years.  He writes:

But I hope that the most important lesson that
Spitzer's political career teaches us is not lost amidst the glare of a
tawdry sex scandal. As with Rudy Giuliani
before him, Spitzer rose to political power through the misuse of the
state's overwhelming prosecutorial power to regulate business
interests. In so doing, Spitzer manipulated an all-too-accommodating
mainstream media, which never misses an opportunity to take down an
easy target such as a wealthy businessperson. Spitzer is now learning
that the same media dynamic applies to powerful politicians, as well. 

However, as noted earlier here,
where was the mainstream media's scrutiny when Spitzer was destroying
wealth, jobs and careers while threatening to go Arthur Andersen on
American Insurance Group and other companies? Where was the healthy
skepticism of the unrestrained use of the state's prosecutorial power
to regulate business where business had no available regulatory
procedure with which to contest Spitzer's actions?

I don't know why I can't just move along from Michelle Obama's rant about the terrible cost of her Princeton / Harvard Law degree.  Maybe its because I attended the same schools (different degrees) and my reaction is just so different -- I had a fabulous experience and live in awe that I had such a unique chance to attend these schools, while Michelle Obama seems to experience nothing but misery and resentment.  Granted that I did not have to take on a ton of debt to get these degrees, but I have plenty of friends (and a wife) that did.

This analogy comes to mind:  Let's say Fred needs to buy a piece of earth-moving equipment.  He has the choice of the $20,000 front-end loader that is more than sufficient to most every day tasks, or the $200,000 behemoth, which might be useful if one were opening a strip mine or building a new Panama Canal but is an overkill for many applications.  Fred may lust after the huge monster earth mover, but if he is going to buy it, he better damn well have a big, profitable application for it or he is going to go bankrupt trying to buy it.

So Michelle Obama has a choice of the $20,000 state school undergrad and law degree, which is perfectly serviceable for most applications, or the Princeton/Harvard $200,000 combo, which I can attest will, in the right applications, move a hell of a lot of dirt.  She chooses the $200,000 tool, and then later asks for sympathy because all she ever did with it was some backyard gardening and she wonders why she has trouble paying all her debt.  Duh.  I think the problem here is perfectly obvious to most of us, but instead Obama seeks to blame her problem on some structural flaw in the economy, rather than a poor choice on her part in matching the tool to the job.  In fact, today, she spends a lot of her time going to others who have bought similar $200,000 educations and urging them not to use those tools productively, just like she did not. 

Postscript: Ironically, two Ivy League schools have actually decided that they want their graduates to be able to afford any career they wish, without fear of student debt, and so endeavor to provide student aid nowadays in the form of grants rather than loans.  One of those is Princeton University, her and my alma mater.

There.  I said it.  And I believe I am right.  My only hope for the Obama administration is that their family is like the Clintons, where Bill was much more moderate than his socialist wife who has held nothing but rent-seeking jobs that gravy-trained off her husbands political position.

"We left corporate America, which is a lot of what we're asking young
people to do," she tells the women. "Don't go into corporate America.
You know, become teachers. Work for the community. Be social workers.
Be a nurse. Those are the careers that we need, and we're encouraging
our young people to do that. But if you make that choice, as we did, to
move out of the money-making industry into the helping industry, then
your salaries respond." Faced with that reality, she adds, "many of our
bright stars are going into corporate law or hedge-fund management."

I already covered the idiocy of my fellow Princeton-Harvard grad's rant on student debt here.  And let's be clear:  You have absolutely no ground to criticize the state of the economy because kids of middle class black families are not doing well when you are busy counseling them to embrace low-paying jobs over higher-paying ones.

Megan McArdle had a stat the other day that was pretty depressing, related to the number of kids of middle class African-Americans that appear to fall back into poverty:

A chapter of the report released last fall found startling evidence
that a majority of black children born to middle-class parents grew up
to have lower incomes and that nearly half of middle-class black
children fell into the bottom fifth in adulthood, compared with 16
percent of middle-class white children

That is not good, though I am always suspicious of income statistics (for example, income statistics show me as close to or below the poverty line over the last few years, a function of an entrepreneurial startup).

Then I saw all the silly to-do about Michelle Obama's senior thesis at Princeton (I can't say I honestly even know what my wife's thesis was about).  But what got me to thinking was the fact that as an African-American Ivy League student, she felt compelled to study and write her thesis about race.  I started to remember a disproportionate number (but by no means all) of my middle-class African-American Ivy League acquaintances studied and wrote on the same thing - race.  This means that while I was studying engineering, which had obvious value in the workplace, many blacks are studying a topic that has no marketplace value except to get a very low paying job in a non-profit somewhere.  Which is all fine and good if that is what people want to do, but if blacks are worried their kids are not financially successful, they should consider whether its smart that, while other kids are studying subjects that will get them ahead, their kids are studying a subject that seems to focus mainly on explaining to them why they will never get ahead.

Update:  I want to be careful not to call race / gender / group identity majors "worthless."  Worthless is in the eye of the beholder, and if a student values such a course of study, then it has worth.  However, by the same token, the student should be prepared for the fact that most of the world, particularly the subset called "hiring managers", does not value degrees in majors that have little practical application outside of academia and which have a reputation in general for having low academic standards.  The student does not have to accept the rest of the world's judgement of her degree, but in turn the student can't demand that the rest of the world adopt hers.

In fact, when I made these comments, I didn't know Ms. Obama's choice of course of study.  Knowing that now, it is even more amazing to me that she sees her student debt experience as an average data point indicating a structural flaw in the economy instead of the fact that she chose perhaps the most expensive college in the country and then chose to dedicate four years of study to a major that is nearly impossible to monetize in the job market.

I think it's so cute when my fellow Princeton grads who pull down nearly a half million dollars a year complain about being put down by "the man."

Blaming your student debt on the structure of the economy when you chose to go to the most expensive school in the country is a bit like trying to get sympathy for the size of the note on your Lamborghini. 

By the way, lost in all this is the fact that Princeton is one of the two schools in the country that now help students graduate debt-free.  In most cases, Princeton has replaced student loans with outright grants. Somehow she kind of forgot to mention that Princeton solved this problem years ago, without even a whiff of government intervention. 

I probably shouldn't criticize a curriculum that I have not observed, but as someone who studied engineering the old-fashioned way (ie with lots of math and equations) this looks kind of worrisome:

Today's Christian Science Monitor profiles Glenn Ellis, a professor who helped develop Smith's innovative engineering curriculum, which emphasizes context, ethics, and communication as much as formulas and equations.

We know that when the goals in public schools were shifted from education to graduation and retention (e.g. social promotion), the results were disastrous.   So one has to be a little wary of a curriculum aimed more at retention than, you know, designing bridges correctly:

Smith, the first women's college to offer an engineering degree, graduated its first class of engineers in 2004, and since the program's creation, in 1999, has attained a 90-percent retention rate.

Hmm.  Well, if they are teaching the same material in a more engaging manner, fine.  But lower degree retention rates in hard core engineering programs is not a "female thing."  I know that we had a lot of attrition from the harder engineering degrees (mechanical, chemical) at Princeton even among Ivy-League-Quality students and even among the males. 

Hat tip: TJIC

The Colorado faculty is going apeshit because the state has proposed making Bruce Benson, a Colorado oilman-Republican, who *gasp* only has a paltry BA degree, head of the University of Colorado system.  To a large extent, folks are going nuts largely because he has different politics than 97% of the faculty and because he has actually done something productive in his life.  However, not being able to say this out loud  (we're a government body so we are not supposed to have political tests, wink wink) his lack of an advanced degree has become the centerpiece of the opposition.

State House Majority Leader Alice Madden, a Democrat and CU law school
graduate, declared that Benson would be "the least educated president
ever considered in modern history."

Apparently, his academic record does not live up to University of Colorado standards, which has gleefully employed academic titans like Ward Churchill.  (By the way, isn't it interesting that these folks respect a couple of years at the age of 23 getting a masters in petroleum engineering more than 50 years of demonstrated excellence actually practicing petroleum engineering.)

But here is my advice to Mr. Benson:  Don't take the job.  Mr. Benson, in the private sector, you were probably used to having employees who didn't like you or think you were the best person for your job.  However, you knew that they could either be persuaded by demonstrated performance over time, or else you at least knew that people would work for your goals despite their dislike for you, since they knew that their success lay in the success of the organization as a whole.

University faculty do not behave this way.  They have a completely different set of incentives.  With a job for life, and knowing that no matter how bad the university gets, it will still get state support, they have absolutely no incentive to pull together for the good of the institution or, even less likely, for the well-being of the student body.  There are many exceptions to this; in fact, the exceptions may number more than 50% of the faculty.  But these exceptions do not drive faculty behavior.  Those that drive faculty behavior are the ones that are out for either self-aggrandizement or the promotions of symbols over performance or both. 

There once was a dean at Princeton University I liked and respected named Neil Rudenstine (actually he was Provost when I was there, but who the hell knows what a Provost is?).   Rudenstine was named President of Harvard, and was a good fundraiser (like Benson) and was very hands-off in his management style (as Benson promises to be).  Neil was a good man, but he was broken by the Harvard faculty, driven to what probably was literally a mental breakdown.  And then there was Larry Somers.  He was a very different type of man than Rudenstine -- tougher, more politically experienced.  But he too was broken by the Harvard faculty in an attempt to move that institution perhaps 1% of the way towards where you probably want to move Colorado. 

Don't do it. 

Sorry, but we don't get to celebrate this kind of thing very often:

The Class of 2008's No. 11-rated inside linebacker Jonathan Meyers
spoke with ESPN's Billy Tucker about his recent commitment to Princeton
over Division I powers Florida and Michigan.

"When it came down to
it, Princeton just offered so much more besides football; it just fit
really well with me. Its academics are number one, the football program
is highly-respected [2006 Ivy League Champions] and I have a chance to
play lacrosse as well."

Additionally, Meyers received some helpful advice from Princeton graduate and current Washington Redskin Ross Tucker.

For much of my adult life, Ralph Nader was my least favorite living Princeton alum*.  But Eliot Spitzer may be challenging for the title.  Sure, I never really liked Spitzer when he was at Princeton, but I never really liked any of the student government types, as evidenced by the fact that I led a mass-mooning of one governing council meeting (yes, I know, you are shocked that this sophisticated commentator could have been so immature).  Besides, Spitzer was the butt of one of Princeton's great jokes and works of performance art, when he was defeated by the Antarctic Liberation Front.

But since his tenure as AG and now governor of New York, the guy has turned from an irritating joke to a real threat to freedom.  His abuse of the AG job for personal aggrandizement is legend, and, after having been given a free pass by the press in that job, he is finally being cornered for various ethical violations. 

So it is with great satisfaction that I read today that Spitzer was forced to back off his plan to tax out of state Internet sales, abandoning his unique view that an affiliate program created a corporate presence in-state.

Update:  A Spitzer roundup of sorts at Reason.

Everybody is always trying to spend someone else's money.  This kind of thing would really make me sick, except it is a little funny to see the kind of class warfare and redistributionist economics preached by elite universities come back to bite them:

Dr. Gravelle points out that endowment wealth is concentrated in the
upper ranks, much of it at 62 institutions with endowments larger than
$1 billion. But just three years ago only 39 schools had billion-plus
endowments. That's a 38% increase in just a few years. In 2006, 125
schools had endowments over $500 million"”a third more than in 2002. The
number of schools that can count themselves as endowment-rich or
super-rich is growing rapidly....

What the data shows is that endowment wealth is everywhere"”except in
the hands of the students who need it today. Last year endowments
increased 17.7% on average"”those larger than a billion increased 18.4%.
Yet, despite double-digit increases stretching back a decade or more
"”endowment spending is at a nearly all-time low of 4.2%--down from 5.1%
in 1994, 6.5% in 1982, and 5.2% in 1975....

Tuition has been going up so rapidly for so long it has reached nearly
ungraspable levels. So let me put today's tuition cost in concrete
terms. Senators, what would your constituents say if gasoline cost
$9.15 a gallon? Or if the price of milk was over $15? That is how much
those items would cost if their price had gone up at the same rate that
tuition has since 1980.

I believe that skyrocketing tuition is
undoubtedly the biggest "access" problem in higher education. What can
possibly be more discouraging to a capable student whose parents are
not wealthy than a school with a $45,000 price tag on the door?...

Congress should not hesitate to consider a minimum payout
requirement"”and 5% should be considered a starting point. The 5% number
is a dated one"”even for private foundations. Many schools have been
rolling over so much money for so long that they should easily be able
to accommodate a higher rate of payout. Possibly the most significant
challenge for policymakers will be to make sure that any newly directed
monies actually go toward aid or tuition reduction and don't become
part of a shell game.

Seriously, is there no pocket of private money that socialists won't stick their hand into?  In effect, at the same time Americans get lambasted for saving too little, this guy is going after private universities for saving too much?  And note the implicit assumption about government intervention he holds and expects all of Congress to hold in the third paragraph above:  It is just assumed that if prices go up enough to upset the constituents, then it is Congress's job to act.

Far be it for facts to get in the way of good populism, but I do know what Princeton does with its 2nd or 3rd largest endowment:

• Every student who gets admitted gets a financial aid package from the University that will allow them to attend, no matter what their finances are.  Yes, the student may have to work his butt off, but if he really wants to go to Princeton he will be able to go.  Princeton's wealth also allows it to be much more friendly in these financial assessments.  For example, many assets like the parent's house are taken off the table when assessing ability to pay
• If a student graduates normally, then all of her debts are paid off at graduation.  Every student graduates debt-free, giving them far more flexibility in what jobs they choose our of college.  No longer must they eschew non-profit or low-paying jobs due to the burden of debt.
• Princeton has accepted that applying more money to increasing the educational intensity of its existing 4000 students by an additional 0.1% is not the best use of its investment.  It has committed (in too small of a way for my preferences, but that is another matter) to using its fortunes to increase its size and bring Ivy League education to more people.  This year, it increased its entry class size by 250, which may seem small to those of you from large universities but is about a 20% increase for Princeton.

Since all Princeton students get whatever aid they need and graduate debt-free.  So the tuition number is irrelevent.  And statements like "I believe that skyrocketing tuition is
undoubtedly the biggest "access" problem in higher education" are virtually meaningless. 

Scored 58 of 60 on the Civic's Quiz that apparently 40% of Ivy Leaguer students don't seem able to pass.  Missed the Jamestown founding date and Just War Theory.   Now I can be the crotchety old Princeton alum:  "Well in my day..."

Last week, I pointed out that my alma mater Princeton had again topped the USN&WR college rankings.  But those college rankings were for those who wanted to invest their tuition money and four years of their life at the school that would, you know, educate them the best. 

If, however, you would rather choose a college based on how well it serves everyone else's interests rather than your own, you can use this ranking from Washington Monthly, presumably chosen with help from special correspondent Ellsworth Toohey.  Universities are chosen for social contribution and research and number of Peace Corps volunteers and the like.  No indicators of educational quality or student satisfaction are used.  Really, they don't seem to be joking:

U.S. News & World Report publishes its university rankings
every year, and every year people complain about them. So starting in
2005 we decided to do more than just complain, and instead came out
with our own rankings "” based not on reputation or endowment size, but
rather on how much of a contribution each university actually makes to
the country.

Top universities on the list presumably teach important skills like:

• How to find a job that helps lots of people but doesn't pay very much and provides no job satisfaction
• How to find a boyfriend who beats you a lot and never can hold a job, but needs your financial support really badly
• How to invest in companies with no prospects but who need the money very much (taught presumably by Eugene Lawson)

In this list, a Peace Corps volunteer is ranked to have made a larger contribution to America than say:  Jimmy Stewart, Meg Whitman, Jeff Bezos,  James Madison,  etc.  (Oh, and Pete Conrad, probably my personal favorite Princeton Grad, and first man on the moon after Neil Armstrong's dress rehearsal on a Hollywood soundstage with Buzz Aldrin and OJ Simpson.)

This is maybe a great list if you have a billion dollars burning a hole in your pocket and want to find a university to endow, but of what utility is this for prospective students?

Postscript: You do, though, have to give Washington Monthly props for putting Texas A&M at the top of their list, a university whose student body is probably least likely of almost any major state school to purchase very many copies of their magazine  [a comment on their political orientation, not their ability to read].

Update: OK, this is how people REALLY pick schools, from this list.