Category: Economics

Matters of money

Roberts and Savage on American progressivism after the Trump re-election

David Roberts’ Volts podcast recently had a segment with sex columnist Dan Savage about the US election and what has gone wrong in progressive politics: Dan Savage on blue America in the age of Trump

It makes me wonder: can there ever be an effective political constituency against the commodification and financialization of housing (where houses are more important as stores of wealth than as shelters)? Could there be people who want house prices to fall a lot and stay low? Or will every political party inevitably end up caring more about house owners who want to keep prices high forever, while they live alone and in couples inside big houses in neighbourhoods where nobody with a growing family can afford to live?

As young people continue to internalize that their elders would rather see all future generations die in torment than change their lifestyles, will we see generation-based political movements of young people calling to reduce funding for end-of-life healthcare and cut tax breaks and subsidies for home-owners? Is such a movement always doomed since the rich and well-connected will always be able to capture whoever gets elected?

There are a lot of other interesting points in the discussion, including how living densely together seems to make people liberal and how the purity politics of the progressive left inhibit movement-building (“conservatives chase converts, liberals hunt heretics”).

Working on geoengineering and AI briefings

Last Christmas break, I wrote a detailed briefing on the existential risks to humanity from nuclear weapons.

This year I am starting two more: one on the risks from artificial intelligence, and one on the promises and perils of geoengineering, which I increasingly feel is emerging as our default response to climate change.

I have had a few geoengineering books in my book stacks for years, generally buried under the whaling books in the ‘too depressing to read’ zone. AI I have been learning a lot more about recently, including through Nick Bostrom and Toby Ord’s books and Robert Miles’ incredibly helpful YouTube series (based on Amodei et al’s instructive paper).

Related re: geoengineering:

Related re: AI:

Caring and the need to preserve the status quo

It strikes me that recognizing that a great deal of work is not strictly productive but caring, and that there is always a caring aspect even to the most apparently impersonal work, does suggest one reason why it’s so difficult to create a different society with a different set of rules. Even if we don’t like what the world look like, the fact remains that the conscious aim of most of our actions, productive or otherwise, is to do well by others; often, very specific others. Our actions are caught up in relations of caring. But most caring relations require we leave the world more or less as we found it. In the same way that teenage idealists regularly abandon their dreams of creating a better world and come to accept the compromises of adult life at precisely the moment they marry and have children, caring for others, especially over the long term, requires maintaining a world that’s relatively predictable as the grounds on which caring can take place. One cannot save to ensure a college education for one’s children unless one is sure in twenty years there will still be colleges—or for that matter, money. And that, in turns, means that love for others—people, animals, landscapes—regularly requires the maintenance of institutional structures one might otherwise despise.

Graeber, David. Bullshit Jobs : A Theory. New York : Simon & Schuster, 2018. p. 219

Related:

The obligation for cheerful dishonesty in much of working life

Here, though, I want to focus on what students forced into these make-work jobs actually learn from them—lessons that they do not learn from more traditional student occupations and pursuits such as studying for tests, planning parties, and so on. Even judging by Brendan’s and Patrick’s accounts (and I could easily reference many others), I think we can conclude that from these jobs, students learn at least five things:

  1. how to operate under others’ direct supervision;
  2. how to pretend to work even when nothing needs to be done;
  3. that one is not paid money to do things, however useful or important, that one actually enjoys;
  4. that one is paid money to do things that are in no way useful or important and that one does not enjoy; and
  5. that at least in jobs requiring interaction with the public, even when one is being paid to carry out tasks that one does not enjoy, one also has to pretend to be enjoying it.

…

Yet at the same time, it is precisely the make-believe aspect of their work that student workers like Patrick and Brendan find the most infuriating—indeed, that just about anyone who’s ever had a wage-labor job that was closely supervised finds the most maddening aspect of the job. Working serves a purpose, or is meant to do so. Being forced to pretend to work just for the sake of working is an indignity, since the demand is perceived—rightly—as the pure exercise of power for its own sake. If make-believe play is the purest expression of human freedom, make-believe work imposed by others is the purest expression of lack of freedom. It’s not entirely surprising, then, that the first historical evidence we have for the notion that certain categories of people really ought to be working at all times, even if there’s nothing to do, and that work needs to be made to fill their time, even if there’s nothing that really needs doing, refers to people who are not free: prisoners and slaves, two categories that historically have largely overlapped.

…

Of course, we learned our lesson: if you’re on the clock, do not be too efficient. You will not be rewarded, not even by a gruff nod of acknowledgement (which is all we were really expecting). Instead, you’ll be punished with meaningless busywork. And being forced to pretend to work, we discovered, was the most absolute indignity—because it was impossible to pretend it was anything but what it was: pure degradation, a sheer exercise of the boss’s power for its own sake. It didn’t matter that we were only pretending to scrub the baseboard. Every moment spent pretending to scour the baseboard felt like some schoolyard bully gloating at us over our shoulders—except, of course, this time, the bully had the full force of law and custom on his side.

Graeber, David. Bullshit Jobs : A Theory. New York : Simon & Schuster, 2018. p. 86, 92, 99

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While global conditions and humanity’s prospects for the future are disastrous, my own life has become a lot more stable and emotionally tolerable over the course of this past year of employment. The PhD did immense psychological damage to me. After a lifetime in a competitive education system in which I had done exceptionally well, the PhD tended to reinforce the conclusion that everything I did was bad and wrong, and that I had no control over what would happen to my life. I had serious fears about ever finding stable employment after that long and demoralizing time away from the job market (though still always working, to limit the financial damage from those extra years in school). Being out and employed — and even seeing shadows of other possibilities in the future — gives me a sense materially, psychologically, and physiologically of being able to rebuild and endure.

As noted in my pre-US-election post, having a stable home and income makes the disasters around the world seem less like personal catastrophes, though the general population are behaving foolishly when they assume that the 2020–60 period will bear any resemblance to the ‘normality’ of, say, the 1980–2020 period. Of course, there has been no such thing as intergenerational stability or normality since the Industrial Revolution; after centuries where many lives remained broadly similar, the world is now transforming every generation or faster. In the 20th century, much of that change was about technological deployment. In the years ahead, ecological disruption will be a bigger part of the story — along with the technological, sociological, and political convulsions which will accompany the collapse of systems that have supported our civilization for eons.

My own answer to living through a time of catastrophe — in many ways, literally an apocalypse and the end of humanity, as we are all thrown into a post-human future where technology and biology fuse together — is to apply myself in doing my best in everything I undertake, whether that’s photographing a conference, making sandwiches for dinner, or advocating for climate stability and reduced nuclear weapon risks.

None of us can control the world. A huge dark comet could wipe us out tomorrow. A supervolcano or a coronal mass ejection from the sun could abruptly knock us into a nuclear-winter-like world or a world where all our technology gets broken simultaneously, stopping the farm-to-citizens conveyer belt that keeps us alive. There are frighteningly grounded descriptions of how a nuclear war could throw us all into the dark simultaneously, perhaps unable to resume long-distance contact with others for months or years.

It really could happen all of a sudden, with no opportunities for takesies-backsies or improving our resilience after the fact. We live in a world on a precipice, so all we can do is share our gratitude, appreciation, and esteem with those who have enriched our lives while it is possible to do so, while retaining our determination to keep fighting for a better world, despite our species’ manifest inabilities and pathologies.

Struggles in the post-secondary sector

Even before the appalling Trump re-election, there have been deep problems in the post-secondary and university space. COVID was obviously a disruption to everyone, but there are also deeper and longer-term forces changing how universities operate and how students interact with them.

Sadly, the near-to-medium future seems certain to be characterized by further resource conflicts, tough decisions by schools, and continued political contention about higher education. It is particularly worrisome to see cost-saving measures eroding things which likely can never be replaced: when you get rid of the specialist ancient language training that makes history possible, you effectively close down those historical fields by ending the pipeline of new experts. More broadly, universities are full of important fields of work which nonetheless have trouble defending their value to legislators and an angry public.

Ironies abound in a world where knowledge is more important than ever yet education is suffering – where technical knowledge is more indispensable than ever for being politically informed, yet dominant political movements sideline and disparage expertise. Collectively, we have a lot to survive and overcome in the decades ahead and in order to have a fighting chance we need trained and informed minds.

Global fertility and the climate crisis

Foreign Affairs has an interesting article on “The Age of Depopulation: Surviving a World Gone Gray“.

It describes several hypotheses for explaining the reduced fertility rates and falling populations almost all over the world, but emphasizes that women simply voluntarily don’t want to have as many children:

Pritchett determined that there is an almost one-to-one correspondence around the world between national fertility levels and the number of babies women say they want to have. This finding underscored the central role of volition—of human agency—in fertility patterns.

Personally, I wonder if the ecological crisis is a major background psychological cause. To everyone who is paying attention, the unambiguous message from scientists and policy experts is that we are destroying our own civilization and the capacity of the Earth to support us through our selfish and short-sighted determination to turn burning hydrocarbons into dollars. Even when it comes to my own life, I am profoundly afraid that prosperous, open, and advanced societies will cease to exist as the ecological basis for our entire civilization collapses. I think there is a decent chance – if I live until 2060 or so – that the young people in that time will look at photos of the produce sections in our supermarkets and be unwilling to accept that they were ever real: that we had so much bounty, such tremendous gifts from nature, and we squandered it all because we allowed psychopaths to rule us. It’s even worse than that in democratic societies: we demanded that psychopaths rule us, because we are unwilling to accept the truth of our situation.

Having children when you expect the future to be chaos demands an even greater act of faith from prospective parents. I would say that if we do want more children (which is questionable) we need to stop acting as though the future is something which we can and should destroy for the sake of our near-term ease and convenience.

Related:

Game theory and the limits of reason

I myself suffer from a morbid sense of despair, and even now, decades after I worked with von Neumann, I still find myself questioning our central tenet: Is there really a rational course of action in every situation? Johnny proved it mathematically beyond a doubt, but only for two players with diametrically opposing goals. So there may be a vital flaw in our reasoning that any keen observer will immediately become aware of; namely, that the minimax theorem that underlies our entire framework presupposes perfectly rational and logical agents, agents who are interested only in winning, agents who pose a perfect understanding of the rules and a total recall of all their past moves, agents who also have a flawless awareness of the possible ramifications of their own actions, and of their opponents’ actions, at every single step of the game. The only person I ever met who was exactly like that was Johnny von Neumann. Normal people are not like that at all. Yes, they lie, they cheat, deceive, connive, and conspire, but they also cooperate, they can sacrifice themselves for others, or simply make decisions on a whim. Men and women follow their guts. They heed hunches and make careless mistakes. Life is so much more than a game. Its full wealth and complexity cannot be captured by equations, no matter how beautiful or perfectly balanced. And human beings are not the perfect poker players that we envisioned. They can be highly irrational, driven and swayed by their emotions, subject to all kinds of contradictions. And while this sparks off all the ungovernable chaos that we see all around us, it is also a mercy, a strange angel that protects us from the mad dreams of reason.

Labatut, Benjamin. The MANIAC. Penguin Random House, 2023. p. 144-5. (italics in original)

Reading Kahneman’s Thinking Fast and Slow recently, at several points I was struck by what seemed like the unjustified assumption that people are competent at mental arithmetic. Specifically, that you can give a person a list of probabilities and payouts and then find it legitimately surprising that they can’t or don’t pick the best one. For people constantly immersed in calculation this may be puzzling, but I also have personal experience of highly intelligent and knowledgeable people struggling at (or being unwilling to even try) calculating what a certain percentage of a number is, like for a tip. Studies on the numerical literacy of the general public reveal a worrisome inability to properly gauge millions against billions.

When mathematicians, logicians, and game theorists forget that much of the population cannot or will not calculate, they miss the obvious cause of deviations from their predictions and theories.

Everyone is still developing fossil fuels

As my recent blackboard talk emphasized, climate stability means fossil fuel abolition. Arguments to the contrary are cynical mechanisms to keep the petro profits coming, regardless of the consequences for the climate.

Unfortunately, despite endless talk about ‘net zero’ and ‘ensuring’ climate stability, essentially everybody is still chasing fossil fuels:

Remember: it takes decades for the full effects of our greenhouse gas pollution to be fully manifest. That means much worse is still to come, even if we start making the right choices, and a nightmare looms if we persist with our current approaches.