Assorted links

by on April 19, 2014 at 12:23 pm in Uncategorized | Permalink

1. Scott Winship reviews Piketty.  And Kevin Hassett on Piketty.

2. Why should there be deflation in Sweden?

3. Why is the singing of the national anthem so much better for hockey?

4. Liberalism unrelinquished, a project headed by Daniel Klein to reclaim the use of this word.  They are looking for signers.

5. Professional actor reading a Yelp review.

6. Will health care spending balloon again?

Arrived in my pile

by on April 18, 2014 at 2:24 pm in Books, Uncategorized | Permalink

Nicholas Carr, The Glass Cage: Automation and Us.

David Zetland, Living with Water Scarcity.  Amazon here.

Robert E. Mutch, Buying the Vote: A History of Campaign Finance Reform.

William D. Ferguson, Collective Action & Exchange: A Game-Theoretic Approach to Contemporary Political Economy.

Jacob Soll, The Reckoning: Financial Accountability and the Rise and Fall of Nations.

British retirees may soon receive a novel kind of financial advice, courtesy of the state: They could be told when they are likely to die.

“People are living a lot longer, so we have to make sure they have up-to-date information,” the pensions minister, Steve Webb, said Thursday in an interview with the BBC.

“There’s no point being all British and coy about it,” he said. Gender, age and “perhaps asking one or two basic questions, like whether you’ve smoked or not,” Mr. Webb said, should be enough to determine how long, on average, someone is likely to live. Having an idea of life expectancy would help retirees with private pensions manage their finances more efficiently, he said.

There is more here.

Assorted links

by on April 18, 2014 at 12:07 pm in Uncategorized | Permalink

1. Austin Frakt draws up metrics for Obamacare success.

2. People who think they are attractive are less concerned with income inequality.

3. The forgotten giant arrows that guide you across America.

4. Fragmentary data on the duration of sex, as measured in ten countries.  Which economic variables predict the differences?  And against passwords.

5. “How burrowing owls lead to vomiting anarchists.” (on the SF housing crisis)

6. Orphan Black starts up again this Saturday.

7. Will manufacturing ever boom in sub-Saharan Africa?

That is the new and excellent book by Dan Jurafsky, due out this September, and I found it interesting throughout.  Here is just one bit:

In fact, the more Yelp reviewers mention dessert, the more they like the restaurant.  Reviewers who don’t mention a dessert give the restaurants an average review score of 3.6 (out of 5).  But reviewers who mention a dessert in their review give a higher average review score, 3.9 out of 5.  And when people do talk about dessert, the more times they mention dessert in the review, the higher the rating they give to the restaurant.

This positivity of reviews, filled with metaphors of sex and dessert, turns out to be astonishingly strong.

That is another reason not to trust customer-generated restaurant reviews.

And how exactly do Americans conceive of dessert?

Americans usually describe desserts as soft or dripping wet…US commercials emphasize tender, gooey, rich, creamy food, and associate softness and dripping sweetness with sensual hedonism and pleasure.

This association between soft, sticky things and pleasure isn’t a necessary connection.  For example, Strauss found that Korean food commercials emphasize hard, textually stimulating food, using words like wulthung pwulthung hata (solid and bumpy), coalis hata (stinging, stimulating), thok ssota (stinging), and elelhata (spicy to the extent one’s nerves are numbed).

How can you resist a book with sentences such as these?

The pasta and the almond pastry traditions merged in Sicily, resulting in foods with characteristics of both.

Here is a previous MR post on Jurafsky, including a link to his blog, and concerning “Claims about potato chips.”

The citation is here:

Matthew Gentzkow has made fundamental contributions to our understanding of the economic forces driving the creation of media products, the changing nature and role of media in the digital environment, and the effect of media on education and civic engagement.

Matt is at the Booth School of Business at the University of Chicago and there is much more at that link.  Here is Matt at scholar.google.com.  Matt’s well-known paper on ideological segregation, with Jesse Shapiro, is here (pdf).  Our class on the economics of the media at MRUniversity.com considers Matt’s work, for instance see this video on ideological segregation.

Here is A Fine Theorem on the Bayesian persuasion paper.

An excellent choice, of course, and hearty congratulations are in order.

Assorted links

by on April 17, 2014 at 11:52 am in Uncategorized | Permalink

1. Japan’s latest trend?

2. Young Americans are shunning the suburbs.

3. Will DNA-marker-assisted breeding outpace GMOs?

4. Profile of Alisha Holland.

5. Quick tour of British Isles accents (short video).  And are knighthoods bad for CEO performance?

6. Soft robots.

7. Worst video ad ever?  Or a really good ad? (Singapore, Philippines value)

For rent and utilities to be considered affordable, they are supposed to take up no more than 30 percent of a household’s income. But that goal is increasingly unattainable for middle-income families as a tightening market pushes up rents ever faster, outrunning modest rises in pay.

The strain is not limited to the usual high-cost cities like New York and San Francisco. An analysis for The New York Times by Zillow, the real estate website, found 90 cities where the median rent — not including utilities — was more than 30 percent of the median gross income.

In Chicago, rent as a percentage of income has risen to 31 percent, from a historical average of 21 percent. In New Orleans, it has more than doubled, to 35 percent from 14 percent. Zillow calculated the historical average using data from 1985 to 2000.

Nationally, half of all renters are now spending more than 30 percent of their income on housing, according to a comprehensive Harvard study, up from 38 percent of renters in 2000.

That is from Shaila Dewan.  And Ryan Avent adds comment.

Vancouver’s cheapest house?

by on April 16, 2014 at 2:42 pm in Uncategorized | Permalink

A house listed for just under $600,000 in East Vancouver sold for $643,000 after its first weekend on the market.

According to the Huffington Post B.C., Vancouver’s cheapest listed single family home attracted large numbers to open houses, with two written offers pushing the final purchase price seven per cent over asking.

The price of the 100-year-old, 1,951-square-foot, three-bedroom, detached house at 2622 Clark Dr. was set low initially due to its smaller size and half lot site.

“It’s very rare, and that’s why all the excitement,” said RE/MAX realtor Mary Cleaver.

There is more here, and I thank Michelle Dawson for the pointer.

Assorted links

by on April 16, 2014 at 11:54 am in Uncategorized | Permalink

1. Do sex ratios affect bird behavior?  And moody lizards.

2. The Brazilian gun library.

3. The (homoerotic) culture that is Finland.  Note that the link is itself…homoerotic.  And the Indian Supreme Court recognizes transgender as a third gender.

4. Excellent Jesse Shapiro slides on how to give an applied micro talk (pdf).  It starts with: “Your audience does not care about your topic.  You have one or two slides to change their minds.”  And the short list for the Clark medal, Jesse is on it.

5. NYT profile of Peter Chang.

6. The problems of Singapore.

7. Scott Sumner on Larry Summers.

Assorted links

by on April 15, 2014 at 1:16 pm in Uncategorized | Permalink

1. Praying and fasting at high latitudes.  And how charismatic was Jesus?

2. A brief look at Modinomics.  And here.  And how can we reduce deaths on Indian railway tracks? (scroll down a bit to reach that discussion)

3. Modern Russian cancer ward?  The general topic of pain relief is one of the most neglected in public policy and it requires more deregulation in the United States as well.

4. Dutch “glow in the dark” roads.

5. Amazon seems to be proceeding with drone plans.  And what are the best options for regulatory reform?, by Philip A. Wallach.

6. The earnings of economics majors.

7. James K. Galbraith writes a Cambridge critique of Piketty.  A good and interesting piece, one of the best reviews.

From a report from today’s WaPo:

No examples have surfaced of anyone actually exploiting the vulnerability.

Of course that is no longer true, as The Royal Canadian Mounted Police are investigating the cases of 900 Canadian identity theft victims.  And there are likely undetected further cases.  Still, when I hear this crisis described as “On the scale of 1 to 10, this is an 11,” I conclude that economists think about risk differently than do most people, including tech consultants.  (To flip this coin on its other side, I am not especially reassured about the web sites judged as “safe” — should we now start trusting such judgments so strongly?)

What can the deadweight loss be of a previously unnoticed crisis?  And if that is an 11, what does a 12 look like?  How many Canadian victims would be needed to get us up to 13?

Assorted links

by on April 14, 2014 at 11:50 am in Uncategorized | Permalink

1. How the Japanese are reengineering (and improving) on American culture.

2. Viagra ice cream markets in everything.

3. Insights into Vox.com and how it views its competitors.  And here is Joshua Gans on Vox.

4. Philippe Legrain, European Spring, a useful and well-written popular look at the European economic mess, $2.99 on Kindle.

5. I call it the Thomas Piketty clothing line.  (The important point, however, is that Zara is much more important these days and that militates against Piketty.)  Here Diane Coyle reviews Piketty.

6. Chrystia Freeland dialogue with Larry Summers, starts at about 40:00.  It is the best Larry video I have viewed.  Here is a Sendhil Mullainathan talk on machine learning which I have not viewed.

7. Mohamed El-Arian is now writing for Bloomberg.

8. The new academic celebrity.

There is a new paper by Kelly Shue and Richard Townsend (pdf), it is quite intriguing though note it is preliminary work. I am not linking to it but the authors appear to have distributed the abstract on the internet:

We explore a rigidity-based explanation of the dramatic and off-trend growth in US executive compensation during the late 1990s and early 2000s. We show that executive option and stock grants are rigid in the number of shares granted. In addition, salary and bonus exhibit downward nominal rigidity. Rigidity implies that the value of executive pay will grow with firm equity returns, which averaged 30% annually during the Tech Boom. Rigidity also explains the increased dispersion in pay across firms, the difference in growth rates between the US and other countries, and the increased correlation between pay and firm-specific equity returns. Regulatory changes requiring the disclosure of the value of option grants help explain the moderation in executive pay in the late 2000s. Finally, we find suggestive evidence that number-rigidity in executive pay is generated by money illusion and reference-dependent motivation, the same behavioral biases that may underlie downward nominal wage rigidity among rank and file workers.

For the pointer I thank Robert J. Shiller.

Addendum: The authors recommend this link to a new version of the paper.

Assorted links

by on April 13, 2014 at 12:51 pm in Uncategorized | Permalink

1. Chinese signaling in the East China Sea.  Good news, sort of.

2. Kling on Krugman on Piketty.

3. A.I. remains a masterpiece and there is a new toy to prove it.

4. “Sluggish cognitive tempo” — the new disability?

5. “We just visited with the penguins,” she said. “It was very calm.”

6. The Good Judgment Project — is it outguessing national intelligence?