The Great Disruption Part 2: A laundry list of failed predictions

I wrote earlier about The Great Disruption by Paul Gilding, a book which claimed to be an unerringly scientific prediction of the future of our climate’s future, but was in reality a pseudo-religious call to action in favor of degrowth ideology, with every counter-argument ignored without even a retort. I’ve meant to write for a while but all I have is a laundry list of grievances against the book. This is the streams of my consciousness, so let’s go.

The author understands a tiny bit of economics, and understands that technology does not destroy jobs but rather lowers costs. The powered loom didn’t destroy jobs in the clothing industry, more people work in this industry today than before it’s invention. Rather the powered loom lowered the price of clothes such that all of us can afford many more pairs of clothes than could our ancestors. Lower prices, more efficiency, more consumption.

But he considered our human drive for technology to be a “pathology” because “it doesn’t work” (in what way?). He seems to claim that our lives are not tangibly better than our predecessors, we just have “more stuff.” I strongly disagree, I live a life of much more comfort an ease than did my parents on the 20th century, and I can even point towards tangible benefits since he wrote his book in 2008. The ability to call my family no matter where either of us are has greatly eased my mind when my family are taking a long cross-country trip. I no longer worry that they may be stuck or stranded without help, or that they’ve taken a wrong turn and gotten lost. Both of those are impossible as long as smart phones exist.

Furthermore, Paul believes that we reached the limits of resource extraction in *2005*, and that the 2008 crash was proof of this. This is again laughable, US oil production has nearly tripled since 2005, China has increased its demand for coal and iron, even food production has continued to increase. There is no way in hell to defend the idea that 2005 was the point where we reached maximum resource extraction, we’ve easily breached that mark every year since 2010. In 2008 when he wrote his book, the global economy was in a recession, and his thesis may have been believable. But with 20 years of growth since then, his claim is clearly bunk.

He claims that he predicted the 2008 crash by looking at resource constraints and ecological changes. Desertification, bleaching of corals, global warming, these were all signs that humanity was reaching the limits of growth and our economy would eventually crash.

But since 2020 our economy has boomed, even if the bottom 99% haven’t felt it. So question for Paul: have those ecological changes stopped? Because if desertification, coral bleaching, and global warming all predict an economic crash, then the only way to account for our economy *not* crashing is to say that those things are no longer happening. Or perhaps Paul’s prediction was bunk and ecological changes *do not* predict economic ones.

Paul also falls into what I call the Paradox of the Evil Billionaire. On the one hand, Paul claims that we all know how billionaires don’t have a shred of patriotism in their bodies, and would gladly sell out their own countrymen to make a quick buck. On the other hand, Paul and others claim that Foreign Billionaires will buy up American farms and send all the food back to their home countries, even though they’d make much more money by continuing to sell that food in America. Note that American food prices are *much much much higher* than in places like China or India, food is worth a lot more here than it is there.

So why are these Evil Billionaires, who *only* care about making more money and *definitely* will sell out their own countrymen for a buck, suddenly being secret patriots by taking a loss in order to send American food back to their home countries instead of selling it for a profit in America?

It’s because Paul (and others) believe in conspiracies more than facts, and the conspiracy that “foreigners are out to get us” is a much more powerful one than “all rich folks are amoral bastards.”

So Paul has this fantasy that in the future, countries will be forced to enact harsh laws on who can own farmland, because there won’t be enough food to go around and people will be sending food to their homelands instead of selling it for the highest price. In reality, farm production has continued to increase and food is still affordable for most Americans. Egg prices for one have crashed in 2025, making them much more affordable than last year.

Paul brashly contends that “2008 was the year that growth stopped.” LOL. LMAO even.

Paul contends that 2008 was only the beginning of a sustained economic downturn and global emergency which would last decades. Here’s some of his predictions, and the results of the past 20 years:

  • Food demand will increase but agricultural output will decrease, causing skyrocketing food prices. Hasn’t happened
  • Fresh water, fisheries, and arable land will run out leading to sky-high prices for food and water. Nope, hasn’t happened.
  • “Sustained and rapid increases in oil prices as peak oil is breached.” LMAO, no.
  • He does claim that “there could be” a global pandemic which shuts down air travel, so he weasels his way into one correct prediction. Still, the pandemic is over and air travel is back, so it didn’t lead to any lasting effects like he claimed.
  • He also puts the global pandemic right alongside “terrorists attacks wiping out a major city,” so I think clearly he was just making shit up that sounded scary. Again no, terrorists haven’t wiped out any major cities.
  • He claims there will be a “dramatic drop in global [stock] markets and a tightening of capital supply.” Again, no.

So basically all of his predictions are bad. He’s a degrowther, after all.

He essentially predicted a mass global crisis because we’d run out of oil and coal. He wasn’t really an environmentalist either, he didn’t think renewables could ever bridge the gap. Rather he just wanted the economy to be *smaller*, and so he created a bunch of fanciful predictions that proved it would become smaller in the future. He was wrong of course, the global economy has never been larger.

Here are also some of the changes he thinks society must make, and WILL make, to stave off the catastrophe, along with my commentary:

  • He thinks the societies that will best cope with the catastrophe will be the ones that start to “ration electricity.” In reality, rationing electricity is a sign that your society is *failing*, not succeeding, at coping with the present.
  • He wants to “erect a wind turbine and solar plant in every town.” This is just stupid on top of everything else. Not every town is suitable for wind or solar power, and besides power generation is done best using *economies of scale*, where lots of power is generated all in one place and then distributed to the markets far away. His idea would be inefficient and bad, so of course it hasn’t happened.
  • He wants to “ration the use of ICE cars,” “ground 1/2 of all aircraft,” “shop less, live more.” No, no, and no. And what does he mean by “live more?” People buy things they want because they think it will improve their lives. When he says “live more” he just comes across as a boomer complaining that society is too fast-paced for his old back to handle, and that he doesn’t like how women wear so much makeup these days. Most of his complaints come across as cultural rather than economic, and these are severely *conservative* cultural complaints at that.
  • He thinks we must (and therefore WILL) stop using fossil fuels by 2024. Hasn’t happened.
  • He thinks that as of 2008 there is “no significant future for coal or oil, short of some surprising breakthrough technology.” Was fracking really all that surprising?
  • “The market hasn’t priced in that all coal and oil companies will be worthless.” LMAO, nope. I’m sure he’s moved the goal-posts by now, but these companies have continued chugging along regardless.

Paul also says “I talk to people all the time who understand this *common sense*, they know that despite so-called “experts” saying their lives are improved these past few decades, they don’t feel any better off.” He has just discovered nostalgia, and thinks he’s the only one who understands. Again, he is fundamentally a cultural conservative, things were better in the “good old days.”

Anyway these are just my thoughts on Paul’s book. It really is not worth a read as anything other than blog fodder. It is badly written, badly argued, and hasn’t stood the test of time. I’m glad I didn’t pay for it, I got it at the library instead. But they should really discard it and put something better on their shelves.

EDIT: one final aside: when I posted this post, WordPress suggested I add additional tags to increase it’s reach. They suggested “faith” and “Jesus” as appropriate tags. Why?

The Great Disruption: A Degrowth Apocalypse

In 1972, a report on “the limits to growth” was published laying out a detailed argument that there simply weren’t enough resources in the world for economies to continue growing.  In 2008, the fruits of that 1972 paper came to pass, as every grifter who’d read it published a book saying that the financial crisis was proof that economic growth was now at an end.  Richard Heinberg said this in 2010, and in 2011 Paul Gilding did the same.

In a blurb, “The Great Disruption” by Paul Gilding is just like “The End of Growth” By Richard Heinberg, which I reviewed previously.  The two books both claim that resources, *especially fossil fuels* are running out (or rather, ran out back in 2010-2011 when these books were published).  Both books claim that the 2008 financial crisis was caused by this resource constraint (and *not* by the sub-prime mortgage crisis which actually caused it).  And both claim that since we’ve reached the limits of growth (back in 2010…) we now have to live in a world where no more growth is possible.  We instead need to adopt Degrowth, where we eliminate fossil fuels entirely and shrink out economies and our livelihoods in order to continue living on this earth.

But unlike “The End of Growth,” this book is much more than a thesis, it’s a sermon.  In my opinion, “The Great Disruption” is Paul Gilding’s stab at writing a Degrowther Book of Daniel.  

For those of you who aren’t faithful, the Book of Daniel is one of the primary “apocalypse” books of the old testament.  An apocalypse doesn’t really mean the “end of the world,” rather it literally means “revealing,” and an apocalypse book is when the truth of the future is revealed to a prophet and he writes that truth down for all to read.

In the Book of Daniel, Daniel foresees the rise and fall of several earthly empires, culminating in the rejuvenation of Israel and the eternal reign of God.  It doesn’t matter, says Daniel, that the current world is ruled by tyrants and that the situation seems hopeless.  God will destroy the evil and restore the righteous, and it *will* happen just as Daniel says it will.

In “The Great Disruption,” Paul Gilding foresees the inevitable fall of capitalism and the liberal world order, culminating in a degrowther paradise where we all agree to consume at little resources as possible to maintain the world’s stability.  It doesn’t matter, says Gilding, that the current world is ruled by capitalism and the situation seems impossible.  “We have no other choice” he says, and so everything he says *will* happen, just as he says it will.

This comparison to scripture isn’t an idle one.  The whole time I read “The Great Disruption” I kept noting how it felt like a sermon, not a argument.  Paul Gilding doesn’t really try to persuade the reader that his plan for a degrowth future is the best one, instead he repeatedly asserts that “we have no other choice” and that everyone *will eventually accept* that “we have no other choice.”  And so, once Government, Corporations, and People eventually accept that we “we have no other choice,” they will all begin acting exactly as he thinks they should act, by cutting off fossil fuels, travel, and all consumer goods in order to degrow the economy.

He tries to persuade the reader of some things, yes.  He works to persuade us that climate change needs to be addressed, that there are limits to growth, and that the 2008 financial crisis was the moment when Growth Finally Stopped for all time.  

But he doesn’t ever try to persuade the readers that his degrowth future is possible, feasible, or better than the other options.  He doesn’t even try to persuade us that it will actually happen.  He keeps writing anecdotes about people questioning the possibility and feasibility of his plans and predictions, and he keeps responding the same way: “we have no other choice.”

This is the hallmark of a sermon, or an apocalypse.  In such works as these, The Truth (capital Ts) isn’t something you argue or persuade, but something you announce and reveal, with no room for questioning or doubt.  Any quibbles about the details are brushed aside because “it will happen, don’t question it.”  Instead, the focus is on laying out this revealed future, what will it look like, who will be punished, and who will be rewarded.

I’ll try to write more on Paul Gilding’s book, but I can’t recommend it as anything other that a hoop to be dunked on.  Paul’s predictions and prognostications are all wildly off-base, he doesn’t understand economics *or* energy, and everything he said Will Happen simply Hasn’t.  He wanted to impart a moral imperative into the Degrowth movement, with a vision of the future that was as utopian as it was unquestioned.  But his predictions for the future have all been disproven by our present, and he looks as mad as the Malthusians who believed we’d run out of food in the 19th century.

Overall this book is what I’ve come to expect from degrowthers.  Every single prediction of theirs has been disproven, yet they keep pretending that history is on their side.  I don’t know if they’ll ever learn. But their books give me something to dunk on.

When will the glaciers all melt?

Glacier National Part in Montana [has] fewer than 30 glaciers remaining, [it] will be entirely free of perennial ice by 2030, prompting speculation that the park will have to change its name – The Ravaging Tide, Mike Tidwell

Americans should plan on the 2004 hurricane season, with its four super-hurricanes (catagory 4 or stronger) becoming the norm […] we should not be surprised if as many as a quarter of the hurricane seasons have five super-hurricanes – Hell and High Water, Joseph Romm

Two points of order:

  • In 2006, when Mike Tidwell wrote about glaciers, Glacier national park had 27 glaciers. It now has 26 glaciers, and isn’t expected to suddenly suddenly lose them all in 5 years.
  • Since 2007, when Joseph Romm wrote about hurricanes, just four hurricane seasons have had four so-called “super-hurricanes,” and just one season has had five. The 2004 season has not become the norm, and we are averaging less than 6% of seasons having five super-hurricanes

I do not write this to dunk on climate science, I write only to dunk on the popular press. The science of global warming is fact, it is not a myth or fake news. But the popular press has routinely misused and abused the science, taking extreme predictions as certainties and downplaying the confidence interval.

What do I mean by that? Think of a roulette wheel, where a ball spins on a wheel and you place a bet as to where it will land. If you place a bet, what is the maximum amount of money you can win (aka the “maximum return”)? In a standard game the maximum amount you can win is 36 times what you bid, should you pick the exact number the ball lands on. But remember that in casinos, the House Always Wins. Your *expected* return is just 95/100 of your bid. You’re more likely to lose than to win, and the many many loses wipe out your unlikely gains, if you play the game over and over.

So how should we describe the statistical possibilities of betting on a roulette wheel? We should give the expected return (which is like a mean value how much money you might win), we should give the *most likely* return (the mode), and we should give the minimum and maximum returns, as well as their likelihood of happening. So if you bet 1$ on a roulette wheel:

  • Your expected return is 0.95$
  • Your most likely return is 0$ (more than half of the time you win nothing, even if betting on red or black. If you bet on numbers, you win nothing even more often).
  • Your minimum return is 0$ (at least you can’t owe more money than you bet), this happens just over half the time if you bet on red/black, and happens more often if you bet on numbers
  • Your maximum return is 36$. This happens 1/38 times, or about 2.6% of the time.

But would I be lying to you if I said “hey, you *could* win 36$”?

By some standards no, this isn’t lying. But most people would acknowledge the hiding of information as a lie of omission. If someone tried to entice someone else to play roulette only by telling them that they could win 36$ for every 1$ they put down, I would definitely consider that lying.

So too does the popular press lie. Climate science is a science of statistics and of predictions. Like Nate Silver’s election forecasting, climate modeling doesn’t just tell you a single forecast, they tell you what range of possibilities you should expect and how often you should expect them. For instance, Nate Silver made a point in 2024 that while his forecast showed Harris and Trump with about even odds to win, you shouldn’t have expected them to split the swing states evenly and have the election come down to the wire. The most common result (the mode) was for either candidate to win *all* the swing states together, which is indeed what happened.

Bad statistics and prediction modellers will misstate the range of possible probabilities. They will heavily overstate their certainties, understate the variance, and pretend that some singular outcome is so likely as to be guaranteed.

This kind of bad statistics was central to Sam Wong of the Princeton Election Consortium‘s 2016 prediction, which gave Hillary Clinton a greater than 99% chance of victory. Sam *massively* overstated the election’s certainty, and frequently attacked anyone who dared to caution that Clinton wasn’t guaranteed to win.

Nate Silver meanwhile was widely criticized for giving Hillary such a *low* chance of victory, at around 70%. He was “buying into GOP propaganda” so Sam said. Then after the election Silver was attacked by others for giving Clinton such a *high* chance, since by that point we knew she had lost. But 30% chance events happen 30% of the time. Nate has routinely been more right than anyone else in forecasting elections.

I don’t doubt that some people read and believed Sam Wong’s predictions, and even believed (wrongly) that he was the best in the business. When he was proven utterly, completely wrong, how many of his readers decided forecasting would never be accurate again? How much damage did Sam Wong do to the popular credibility of election modeling?

However much damage Sam did, the popular press has done even more to damage the statistical credibility of science, and here we return to climate change. Climate change is happening and will continue to accelerate for the foreseeable future until drastic measures are taken. But how much the earth will warm, and what effects this will have, have to be modeled in detail and there are large statistical uncertainties, much like Silver’s prediction of the 2016 election.

Yet I have been angry for the last 20 years as the popular press continues to pretend long-shot possibilities are dead certainties, and to understate the range of possibilities. Most of the popular press follows the Sam Wong school.

In the roulette table, you might win 36$, but that’s a long-shot possibility. And in 2006 and 2007, we might have predicted that all the glaciers would melt and super-hurricanes would become common. But those were always long-shot possibilities, and indeed these possibilities *have not happened*.

The climate has been changing, the earth has been warming, but you don’t have to go back far to see people making predictions so horrendously inaccurate that they destroy the trust of the entire field. If I told you that you were dead certain to win 36$ when putting 1$ on the roulette wheel, you might never trust me again after you learned how wrong I was. Is it any wonder so many people aren’t trusting the science these days, when this is how it’s presented? When we were told 20 years ago that all the glacier in America would have melted by now? Or that every hurricane season would be as bad as 2004?

And it isn’t hard either to find numerous even more dire predictions couched in weasel words like “may” and “possibly.” The oceans “may” rise by a foot, such and such city “may” be under water. It’s insidious, because while it isn’t *technically* wrong (“I only said may!”) it makes a long-shot possibility seem far more likely than it really is. Again, it’s a clear lie of omission, and it’s absolutely everywhere in the popular press.

We have to be accurate when modelling our uncertainty. We have to discuss the *full range of possibilities*, not just the possibility we *want* to use for fear-mongering. And we have to accurately state the likelihoods for our possibilities, not just declare the long-shot to be a certainty.

Because the earth *has* warmed. A glacier has disappeared from Glacier national park and the rest are shrinking. Hurricane season power is greater than it was last century. But writers weren’t content to write those predictions, and instead filled books with nonsense overstatements that were not born out by the data and are easily disproven with a 2025 google search. When it’s so easy to prove you wrong, people stop listening. And they definitely won’t listen to you when you “update” your predictions to match the far less eye-catching trend that you should have written all along. Lying loses you trust, even if you tell the truth later.

I think Nate Silver should be taken as the gold standard for modelers, statistician, and more importantly *the popular press*. You *need* to model the uncertainties, and more importantly you need to *tell people* about those uncertainties. You need to tell them about the longshots, but also about *how longshot they are*. You need to tell them about the most likely possibility too, even if it isn’t as flashy. And you need to tell them about the range of possibilities along the bell curve, and accurately represent how likely they all are.

Nate Silver did just this. In 2016 he accurately reported that Trump was still well within normal bounds of winning, an average size polling error in his favor was all it would take. He also pointed out that Clinton was a polling error away from an utter landslide (which played much better among the twitterati), and that she was the favorite (but not enough of the favorite to appease the most innumerate writers).

In *every* election Silver has covered, he has been the primary modeller accurately measuring the range of possibilities, and preparing his readers for every eventuality. That gets him dogpiled when he says things that people don’t like, but it means he’s accurate, and accuracy is supposed to be more important than popularity in science.

So my demand to the popular press is to be more like Nate Silver and less like Sam Wong. Don’t overstate your predictions, don’t downplay uncertainties, don’t make extreme predictions to appeal to your readers. Nate Silver has lost a lot of credibility for his temerity to continue forecasting accurately even in elections that Democrats don’t win, but Sam Wong destroyed his credibility in 2016 and has been an utter joke ever since. If science is to remain a force of informing policy, it needs to be credible. And that means making accurate predictions even if they aren’t scary enough to grab headlines, or even if they aren’t what the twitterati would prefer.

Lying only works until people find you out.

Would you work more hours if it meant you didn’t have to do housework?

I don’t have a catchier title, but this *is* a question I’ve been pondering. When I was young I thought that having someone else do housework for you was the height of luxury, but these days it doesn’t seem to be that uncommon. I don’t know anyone who paints their own fence, mows their own yard, or cleans their own roof. These jobs used to be seen as just part of owning a house, either you did it or you forced your kid to do it as part of their chores. But it seems nowadays most people hire professionals to do it instead.

Even the most basic housework has been outsourced, with services available to clean your bathroom and kitchen twice a month, or your whole house if you like. And of course think about restaurants and fast food: eating outside your own home has almost doubled in the past 50 years. That’s a lot less meals that people have to cook, a lot less dishes they have to clean, and even less groceries that they have to buy.

So housework is being outsourced, and is it related to how Americans seem to work many more hours than the rest of the developed world?

Shifting gears now, I’ve written before about the Europe vs America economic debates. Inevitably in such debates, the conversation shifts to working hours, workers in Europe work less hours than workers in America.

But Josh Barro on twitter has pushed back against claims about European quality-of-life: they don’t have dryers. Reddit too has a huge thread about the lack of dryers and high-energy appliances in Europe. Can a place without such creature comforts really be comfortable?

I don’t want to dwell on the dryer debate. Yes Europeans can dry their clothes in the sun. Yes, it may be cheaper. But does it require more work? Is an electric dryer not a labor-saving device that lets you cut out the work of hanging up your clothes and taking them down?

And coming back to housework, doesn’t paying someone to do your housework also save you from doing that labor? And if so, how much is your time worth it to you? To restate the question from the title of this post: if working 45 hours a week instead of 40 meant you never had to do housework, would you take it?

Some people like doing housework, I get that. But for most people, it’s a chore. And so I wonder if Americans on the whole have made a choice: they work more at work so they can work less at home, and I wonder if anyone has quantified this. European’s extra housework may not show up in the metrics, but it should still be quantified to know if Americans really do “work more hours.”

Working at work vs working at home is a dichotomy any student of economic history understands. When women first entered the private sector workforce, it didn’t mean that women *started working*, and that they weren’t working before that. Women had been doing work at home without pay since the dawn of time. If you calculate the labor done by homebound women and compare it to the paid labor plus housework done by working women, women’s’ overall working hours went down when they entered the workforce. They could use the money they made at work to pay for other people’s labor or labor-saving devices at home.

Men had also taken this leap from housework to paid work centuries before. During the days of subsistance farming, men, women, everyone had to do a hell of a lot of odd jobs to keep themselves housed, clothed, and fed, even when they weren’t actively “working” on their farm. This is why claims of how few hours medieval farmers worked are so misleading: they had many “holidays,” sure, but besides attending church those days would still be spent doing work around the house even if they wouldn’t be spent in the field.

If you were a medieval peasant, you might have a roof that needs mending, food that needs preserving, you need a new chair to fix the old one, a new patch to cover the hole in your cloak, and you had to do all this yourself or it wouldn’t get done. It didn’t show up in “hours worked” because it’s housework in the home. But it still needed to be done to maintain quality of life.

When men started moving from farms to factories, they traded their labor in for money, and could then use that money to *have their roof fixed, buy their own food, buy a new chair, or have their cloak patched*. They could use money to get someone else to do labor for them. They started working *less hours* when you account for both house work and factory work.

Factories workers worked a *lot*. But subsistence farmers worked far more for far less. But if you only calculate “hours worked” using work *outside* the house, then you’d wrongly conclude that subsistence farmers lived cushy lives and that women’s liberation destroyed women’s free time. Nothing could be further from the truth, instead, people these days work much more outside the house in exchange for working much less in it.

And I wonder how much that feeds in to the America vs Europe debate on working hours. How much labor do Europeans do around their homes that Americans *don’t* do. How much labor do Americans save by using dryers, by hiring landscapers, by hiring homecleaners, and are they happy with the extra hours they work to afford that? Do Americans work more hours to save themselves from housework?

Not knowing your Enemies

One of the oldest maxims in military strategy is this: know your enemies. Colonel Santiago of the Spartans added “do not forget above all to yourself.” It’s amazing how badly people fail at this most basic maxim when “knowing your enemy” requires understanding their political goals and ideology instead of just guessing how many tanks and artillery pieces they have on hand.

a nuclear explosion

I’ve been watching a lot of Indy Neidell recently. For those who don’t know, he’s a youtube historian who presents a lot of programs where he recounts the history of a conflict in chronological order. He has presented “World War 1: Week by Week,” “The Cuban Missile Crisis: Day by Day,” and “The attack on Pearl Harbor: Minute by Minute.” It’s the Cuban Missile Crisis I’d like to talk about today.

I’m sure you all know the story of the Cuban Missile Crisis: the Soviet Union puts nukes in Cuba and the world sits on the brink of Armageddon as America and the Soviets decide if they want to nuke each other or not. Eventually the Soviets agree to remove the nukes on Cuba in exchange for America removing its nukes in Turkey, and a direct phone line is established between DC and Moscow so the leaders of the two superpowers can try to hash things out more peacefully in the future.

But what’s striking about the crisis is that no one involved understood each other’s motives, and that nearly led to ruin.

Soviet leader Nikita Khrushchev was the first mover. He was upset that America could threaten him with nukes from Turkey while he couldn’t threaten America with a similar first-strike. He placed nukes in Cuba so he could have such a threat in his back pocket.

Castro was mostly a bystander in the crisis, a sad state of affairs since it was his nation that the crisis was about. Castro was sold the idea that the nukes were there to protect Cuba from any future Bay Of Pigs style invasion. He thought the nukes were primarily for his benefit, and urged the Soviets to give him operational control over them.

When America found out about the nukes, they completely misunderstood things. They seemed primarily worried about West Germany, and thought the nukes were there to distract them from an upcoming West Berlin crisis. Or that the nukes were to dissuade them from coming to Germany’s aid if the Soviets invaded there. Throughout the crisis, many American decision-makers remained stuck on the question of “how does this relate to West Berlin?”

It’s somewhat understandable that the American thought this way, since West Berlin was so important to them. It was the shining beacon of freedom in the middle of Soviet Communism. And every East German who escaped to West Berlin was a diplomatic coup, proof positive that the Western system was better, and that Communism was *so bad* that it was the first government in history that needed to build a wall to keep citizens *in*.

But this fixation caused America to dangerously misjudge the USSR during the crisis. They didn’t understand that Khrushchev and Castro had their own motives for doing this, and American policy-makers were constantly looking for a West Berlin connection. America made plans to knock out the nuclear missiles in Cuba either with air strikes or a ground invasion. These ideas were ultimately shelved partly because “what if the Soviets want to tie us down here while they invade West Berlin?”

But what America *should* have realized was that the Soviets weren’t going to install nuclear missiles on Cuba without a *lot* of troops to guard them. The proposed American ground invasion would have been *severely* outnumbered by the USSR Red Army troops that America didn’t know were on the island. And that’s without even mentioning the tactical nukes that were also there to guard the strategic nukes. An American invasion would have been a slaughter, possibly including the use of said tactical nukes against the US Navy, but the Americans assumed Cuba was a small sideshow because that was how they saw it themselves.

And while the USSR was *more* interested in Cuba than the Americans thought, they were *less* interested in Cuba than Castro thought. When the USSR was moving the nukes out, Castro threw a fit and tried in vain to retain control of the tactical nukes. This earned him no favor in Moscow, as the USSR wanted to bring everything home and put the whole thing put behind them. The end of the crisis created a lot of bad blood between Cuba and the USSR, when it could have been a unifying moment instead.

In fact, I saw much the same level of American misunderstanding in Indy Neidell’s series on the Korean War. Yet again the Americans began this war being most worried about Germany, “what if they want us to pull our troops from Europe into this war in Korea?” This hamstrung troop movements and decision-making in the crucial early stages when South Korea was being overrun.

Later on, the Americans showed another failure of understanding that I’ve seen repeated in the modern day: the assumption that their enemies were united and working in lock-step against them.

The idea went like this: the USSR, China, and North Korea were all Communist. Communists were all opposed to America, and thus Communists all moved in lock-step to work against America. It became clear early on that the USSR wasn’t moving its European troops to support North Korea, and that the USSR would *not* join the Korean War with ground forces. That proved (in America’s mind) that the Korean War *was* just a side-show, and that they had to remain focused on protecting West Berlin.

It *also* proved that the “Forces of Communism” were willing to cut North Korea loose and not support them if US troops occupied the North. If the USSR wasn’t supporting them, you could be damn well sure China wasn’t supporting them either, because the two moved in lock-step. And that meant no ground forces would swoop in to aid North Korea, meaning America was free to occupy the whole country.

The USSR certainly treated Korea with less importance than its European commitments. But the Communists were *not* operating in lock-step, and China was willing, even eager to send ground forces to Korea. More than just fighting the Capitalists, China wanted to prove that the “Century of Humiliation” was over, and that the Communists had brought China back to being a super-power on the world’s stage, able to go toe to toe with anyone.

America took the lack of USSR ground troops as proof that the Forces of Communism were in no way prepared to fight them face to face in Korea. American generals and planners ignored the massive amount of Chinese ground troops even as those troops moved into Korea to start fighting. America failed to understand: China was willing to fight even if the Soviets weren’t.

This strange idea, that our enemies are all united and move in lock-step against us, is a common one amongst small-minded jingoists. Jingoists are often too intellectually stunted to understand other people having motives that don’t involve them. In the 50s that meant they didn’t realize how important Korea was to China, because Korea was a sideshow for the jingoists. In the modern day, I’ve seen jingoists propose that Iran, China, and Russia are acting in unison to oppose American interests, rather than each nation acting in its own interests even if their interest sometimes align with each other.

When Iran launched missiles at Israel, it was suggested by morons that this was in part because Russia wanted to take America’s attention and effort away from Ukraine. When the Houthis shut down Red Sea Trade, this was supposedly done because Iran wanted to help Russia by hurting Europe. And the whole war in Ukraine itself is supposedly part of China’s big strategy to put pressure on America and Europe so China can swoop in and take Taiwan.

Let’s get one thing clear: this is nonsense cooked up by morons. Russia, Iran, China, the Houthis, they all have their own beliefs, goals, and strategies. China is no more ordering Russia around than the USSR ordered China around in the Korean War. Iran is supporting the Houthis but the Houthis act mostly on their own initiative.

And this misunderstanding continues on to suggestions of strategy. There is a stupid video-game ideology that goes through the heads of jingoists: if we cut off the command center we end the rest of the war. So they propose war in Iran to stop the Houthis and war in Russia to contain China.

Yet history tells us that we time and time again misunderstand the motives of our enemies. America thought the Cuban missile crisis revolved around Europe, and believed that a resolution to the crisis must be sought there.

They were wrong.

Khrushchev offered to remove his nukes from Cuba in exchange for American nukes from Turkey, because that was what he was focused on all along. This surprised the Americans. In fact Khrushchev announced this “deal” before Kennedy and co had even agreed to it, or even heard of it, they learned it from the newspapers and were obliged to go along with it as the best way to exit the crisis.

Throughout the entire Cuban Missile Crisis and Korean War, America misunderstood its enemies, believed them to be united in opposing America, and was fixated only on what *it* saw as important. This led to failures and near catastrophe, as they didn’t predict China would enter Korea and didn’t think the Soviets would send tens of thousands of troops to guard a strategic “backwater” like Cuba.

If America had understood that China and the USSR were not joined at the hip, they might have stopped their troops half-way up the Korean peninsula and allowed the Republic of Korea to invade north on its own, since China had said that they wouldn’t attack if only Korean forces came north. Maybe Korea would have been unified. And if America had understood that the USSR was more worried about American nukes in Turkey than American bases in Germany, then they wouldn’t have courted disaster with a plan to send a few thousand troops against a vastly superior Red Army garrison in Cuba.

I’d hope that modern jingoists would take these lessons to heart, and understand that our enemies have initiative and agency all their own. Sadly most do not.

Doing the Possible: Musings on good governance

I’ve been reading “If We Can Put a Man on the Moon,” which is a book that attempts to explain why some government policy succeeds and some fails. The book outlines how public policy requires a clear objective, a clear plan to reach that objective, and the ability to follow through with it. It all seems rather obvious when you write it out like that, but the book offers some definite insights.

A clear objective seems obvious, but is surprisingly easy to overlook. Gerald Ford promised to “whip inflation now,” but how exactly did he expect to do that? Supposedly the government would politely encourage citizens to do things like grow more food and use less fuel, to increase supply and decrease demand. It’s a nice idea, but polite encouragement doesn’t move the economy, and Fords “WIN” policy went nowhere.

A clear plan is also something that seems obvious, but often gets overlooked. When California reformed its electric grid in the 90s, no one had really thought through how the new system would work. They set mandates to ensure that prices were capped for consumers, but did nothing to ensure adequate supply. It was legal, for example, to buy power at a low price in California and export it for the uncapped price in other states. Then, if California didn’t have enough power, the utility was obligated to import power from other states no matter the cost, but was not allowed to pass this cost on to customers. This lead to companies easily gaming the system by exporting power for cheap, then re-importing it at a higher price. 

People like to blame greedy companies for the failed California power experiment, but companies are always greedy in all cases. The government should create a system in which corporate greed leads to societal good, such as how tech companies have given us ever better computers at lower and lower cost. Failure to plan leads to a system that is designed to fail.

The ability to follow through is a common complaint, but it too has unexpected pitfalls. The political class has different incentives than both the bureaucrats and the people, but they all work together for a plan to succeed. Politicians have an incentive to pass a bill and say they “fixed” something, that’s why most celebration happens on when a bill is pass instead of 5 years later when its effects are being evaluated. Bureaucrats are just career workers like anyone, and have an incentive to do their job and get paid. They aren’t incentivized to go above and beyond for the benefit of a politician who might not be there in four years. 

This is why it’s so common for politicians to take office promising “big changes” but still not accomplish much. Once the bill is passed and the photo-op is finished, it’s out of their hands and they don’t has a reason to keep caring. And when someone comes in saying they’ll “upend the stuffy bureaucracy,” well if they don’t meet the career employees halfway they’ll engender resentment in a group that can drag its feet and wait for the political will to die down.

All told, the book does have a lot of prescriptions for good governance:

  • Have an idea for how to fix a problem, and don’t make a plan of action without a strong idea. Likewise, seek out good ideas from everywhere, and be willing to challenge your own ideas to see if they’re actually appropriate.
  • Make a rational design for how the problem will be fixed. Focus on the design, not just on getting buy-in from the right pressure groups. Stress-test the design and hire people to poke holes in it. Then fix those design holes before passing a new law.
  • Ensure oversight and continued evaluation even after a law is passed. The job doesn’t end after the vote and the signature.
  • Understand that government is different than any other sector, and that you have to meet people halfway. You can’t treat public employees or the public at large as workers in your company or as cogs in a machine. 
  • Don’t assume the success of a plan. And don’t assume that just because it hasn’t failed yet that it won’t in the future. Look for any signs that cracks are forming, and fix them before they get too big. The space shuttle Colombia flew 27 missions, many of which showed problem signs, before the fateful 28th mission that ended in disaster.
  • Keep re-evaluating. If a program is no longer fit for purpose, fix it, replace it, or kill it. Be willing to see that something isn’t working and be willing to change it. And don’t keep trying the same program over and over without change, be willing to go back to the beginning and look for new ideas and new designs.

That, in a nutshell is what the book is about (or at least my reading of it). It’s certainly more uplifting that what you expect from a book about governance, but without ignoring the data and the details. I’ll have more to say on it later, but I think anyone who likes this sort of thing should check it out.

Beware of maps that are just population density maps

Sorry for forgetting to post last week. I haven’t kept up with this blog as much as I should be.

XKCD has a well-known comic showing how we too often overanalyze what are really just population density maps. It’s very easy to notice a pattern and extrapolate silly things from it. I recently saw another such example of this on social media I wanted to quickly bring up.

The implications of this map seems obvious, there were way more battles in Europe than anywhere else on earth. People on social media had all sorts of explanations:

Population density: battles mostly happen where people are, see the big stretch of emptiness in the Canadian Arctic, for instance. Europe has been densely populated for most of its history, so of course it had a lot of battles.

Recency bias: Europe fought 2 World Wars within the last century or so. As the largest wars in human history these of course had the most battles in human history, so there’s a lot of data points from that.

Warlike nature: maybe Europeans are just more warlike than the peaceful people in other parts of the world?

But the most obvious explanation seemed to be missing: Wikipedia is edited by the global online community, which is dominated by the the Anglosphere and Europe. Anglospheric and European editors will naturally gravitate towards writing many many articles about Europe and it’s history rather than the history of the world outside of Europe. A battle of 3000 people in the middle ages will have been studied by students in whatever country it happened in, even if it wasn’t important globally. And if that student was European or from the Anglosphere it’s more likely that they’ll grow up to be a Wikipedia editor and so add this unimportant battle into the encyclopedia.

So while there are some trends on this map that do come from the underlying data (ie there are way less battles in places where few people live), most of it is a function of bias. People write what they know. If there was an Indian version of Wikipedia instead, I’m certain the density of dots would be a lot higher there and a lot lower in Europe.

“The Crime of ’73”

Boy, these posts aren’t quite coming out weekly now are they?

I might have posted on this topic before, but I wanted to write something down and this was on my mind. It’s interesting how the controversies of yesteryear always fade away, even though in their day they dominated the news and the mind-space of politically conscious voters.

Take the Silver vs Gold movement. When America was founded, it had a bi-metallic standard, meaning that both silver and gold were legal tender. Congress set down in writing how much weight of silver made a dollar and how much gold made a dollar, and so both could be used to buy and sell. But of course, as commodities the price of silver and gold in the market would fluctuate, but congress didn’t understand or act quickly enough to fix things.

For example, silver mines in Mexico continued to run and depressed the price of silver relative to gold. This created an arbitrage opportunity because the price of gold was higher than that of silver:

  • Take 10 silver dollars and exchange them for 10 gold dollars, as they are equivalent
  • Take the gold dollars to Mexico and melt them down.
  • Take that gold and exchange it for raw silver
  • Bring that silver back to the Mint in America and demand to have it struck into silver dollars. Because of the price difference between silver and gold, the silver you brought back will make more than 10 dollars worth, so you can pocket the extra as your profit.
  • Start back from the beginning, trading 10 silver dollars for 10 gold dollars

This happened because congress set a fixed value for a commodity who’s value changed on the market, and as that value changed there was arbitrage created. Gold flowed out of the country and was replaced with silver. When the California gold rush happened, the price of gold suddenly decreased and the whole process reversed. Congress didn’t understand what was happening, and so simply decided to remove the bimetallic standard to stop this from happening.

But now we get to “The Crime of 1873.” When congress removed the silver standard in 1873, silver miners could no longer have their pure silver struck into coins that could be used as tender. The mint was by far the largest purchaser of silver and so removing silver from the standard removed most of the demand and so killed the price. Congress therefore upended the livelihoods of thousands of miners and mining towns by changing the laws on coinage. And those people never forgave them.

For years this “Crime” was the hottest topic in certain political sections. It was the litmus test for candidates and parties. And it was the entire foundation of the presidential candidacy of William Jennings Bryan. For years, certain voters would never vote for a candidate or party who had supported the “Crime,” and they may not have even kept polite company with voters who supported those candidates. In its time, the “Crime” was seen as the greatest betrayal possible, and plenty of people pointed to it as the reason for national or local economic problems. They blamed the “Crime” and hoped that overturning it would fix things.

Of course, America never regained the silver standard. For a time, the Federal government compromised and declared it would still buy silver from the miners directly, but in time even this subsidy was removed. The people affected by the “Crime” probably never forgave the Republicans (who passed the bill) for what they did. Indeed the “Crime’s” authors had a hard time defending their actions in the face of angry voters. Some authors claimed that the bill didn’t do what critics claimed, and that the US had technically been non-silver since 1853. Others claimed that ending the silver standard was an unintended biproduct. But this had the perverse effect of amplifying conspiracy theorists who believed the bill was passed with malicious intend, and giving ammo to those who wanted to overturn it.

In the 1880s and 1890s, the “Crime of 73” was as much a controversial topic as any political topic today. Friendships could be ended by it. But it too did pass. I think most of the controversies of our day shall also pass, these days even American History students will barely remember the “Crime.”

Choosing your facts based on your beliefs; everyone believes they are the rational one

It’s very common and very well-known that people will, to an extent, choose their facts to fit their beliefs. But for many the facts they choose aren’t necessarily even well-founded.

If you are a conservative, you probably prefer generally lower taxes, and you can find well-heeled economists who generally prefer lower taxes and lower spending over higher taxes and higher spending. Likewise a liberal or leftist can find economists who support higher taxes and higher spending. The issue is not “settled” and as with anything in economics (besides rent control, which is universally known to be bad) there are voices on either side.

But there are some things that are uncontroversially accepted as true by all the experts in their field, and for some reason there are people that argue against it for no reason whatsoever.

When I was in school, I remember a debate about teaching evolution. To cut to the chase, many Christians (not all by a long shot) have thought that evolution undermines their religion, and no matter how much evidence there is for it, these Christians will choose facts to fit their beliefs. That includes denying evolution, but also denying the fossil record (which supports evolution) and the age of the Earth (which supports evolution). This sometimes means denying modern microbiology and cancer biology (which are evolution in action). It’s fairly well-known by anyone who isn’t a Christian that this is a Dumb Thing To Do, and that picking your facts based on your beliefs just leaves you looking stupid.

But then I found that while the Christians do it, the anti-Christians do it too.

Let’s be clear: some atheists are just people who don’t believe in God. That’s fine, everyone has their beliefs. But some atheists are better termed anti-theists, they are people who oppose religion and its existence entirely. And it is these atheists that have constructed their own theories of “Intelligent Design” to support their ideas. Often these theories try to prove that Christianity is not only false, but that is is a complete con from start to finish and that no one truly believes in it anyway.

The Atheist version of Intelligent Design is the “Jesus Myth Theory.” This is the idea that not only was Jesus just a mortal man (not the son of God), but that there was never even a person called Jesus at all, and that this is proof that Christianity was an invented scam. To be blunt, this idea has no more credence than Intelligent Design, but so-called rational atheists who turn up their nose at the stupid Christians with their stupid Intelligent Design will still believe this idea because they have chosen their facts based on their beliefs. I may write a post later about the evidence for Jesus’ existence, but the point I’m trying to make is that even communities which are adamant in their own rationality can wind up being suckered into myths just because those myths agree with what they want to believe.

Let’s get one thing straight: EVERYONE believes that they’re rational. Everyone believes that their opinions are backed by evidence, backed by science, fundamentally true, and that only the dumb and misled would ever believe something different. That’s what makes the self-professed “Rationalist” community so misguided: claiming you’re the only community focused on rational beliefs is just admitting that you’ve never spoken to a community different than your own.

EVERY community believes they are the rational ones, believes they are driven by facts and not emotions, believes that the others are ignoring facts to suit their opinions. And the Rationalist community has it’s own Intelligent Design theories just as the Atheist and the Christian communities do. A good Rationalist, Atheist, or Christian should of course never believe something just because their compatriots believe it, or just because it would support some of their ideology, but a good Rationalist, Atheist, or Christian must also recognize that they probably have biases themselves and that their own community probably harbors an “Intelligent Design” theory all its own.

In the hallowed halls of Twitter and social media it’s widely believed that only the Left of the political spectrum knows and respects science, all right-wing beliefs are obviously false and dis-proven by data. The the exact inverse is believed on the right. I know both communities are havens of their own misinformation. I have seen too many on the Left tell me that supply and demand don’t exist, that building more housing doesn’t lower rent and cost and that inflation is driven only by corporate greed and not supply or demand. I have likewise seen the misinformation on the right over gun deaths, drug crime, vaccines and the like. I’m sure some of my own beliefs are misinformation, but we are all the heroes in our own stories and so self-reflection is very hard.

But I just wrote this post because even if I’m only screaming into the void I wanted to remind people that everyone thinks they are rational. Your political enemies who you consider irrational and emotional idiots are human just like you, and they arrived at their beliefs through the exact same human mechanisms you did. Are you sure anything and everything you believe is true? Are you sure there could never be any evidence that supports your opponents? Don’t dismiss people are idiots just because they believe something else, most humans are just as rational as you.

The Many Failures of Industrial Policy

“Industrial policy” is once again the word of the day. Much like how Margaret Thatcher’s greatest triumph was Tony Blair, Donald Trump’s greatest triumph will be Joe Biden. Thatcher forced her opponents to change their policy, socialism was nixed from Blair’s Labour, and Starmer it seems unlikely to bring it back. So too did Donald Trump make free trade into a dirty word for Democrats and American politicians in general. Whereas Obama, Clinton, and 2 Bushes all championed free trade agreements, Biden increased tariffs on everyone he could (even Canada). And instead of free trade and free competition, he has made directed subsidies of domestic industry his main economic plank.

Tariffs and subsidies make up the economic policy known as “industrial policy” and to be blunt, I hate it. Industrial Policy exactly what Servan-Schreiber proposed in his book “The American Challenge,” and I think looking at that book with a modern lens outlines industrial policy’s biggest flaws. You can’t predict the future, and so a government that tries to force its economy in certain directions often winds up funding dead ends and missing out on the next big thing. Look at what Servan-Schreiber thought governments should fund (supersonic planes, space industry), and look how much of it was bunk. Now look at all the things Servan-Schreiber didn’t think were worth a mention (genetics, the Internet, renewable energy) and look at how they’ve transformed our modern economies. And Servan-Schreiber wasn’t some rando, he was a French politician who could make actual decisions on French industrial policy.

The government just isn’t as good as the market in actually innovating. And a hands-on government is more likely to try to smother innovation to protect jobs rather than allow creative destruction to increase productivity and national happiness.

There’s also the inherent corruption that comes with the government funding industries. Why is Intel given so much money for making microchips when there are plenty of other chip companies out there? The excuse is that Intel is making “more important” chips, but it looks to me like they’re just plowing government subsidies right back into their dividend, handing that money to their billionaire share-holders. So billionaires receive billions of Federal Dollars, and we’re supposed to assume this isn’t corruption?

I don’t like the government giving handouts and bailouts to their favorite, politically connected billionaires. I’d prefer companies be forced to stand up on their own 2 feet like the workers have to. You want to corner the chip industry? Do it by providing a better product, don’t just demand ever more subsidies and protectionism.

This sort of policy is exactly the kind of failure that we learned about in Latin American history as well. Many countries in the 20th century instituted a policy of “imports subsidizing industrialization,” where they raised tariffs on foreign goods to subsidize domestic industry. This led to political capture by the industrialist however, as they realized it was far easier to protect their profits by demanding ever higher tariffs and subsidies rather than investing in producing better products. In the end these countries were left with bloated, uneconomical industrial sectors giving sub-par products to customers. The customers lost as they got less for their money than if they could just buy foreign products without the tariffs. Even today Brazil has extortionate prices on consumer electronics, higher than any other country, and the prices only go down on the rare occasions when the tariffs get cut.

So I don’t want industrial policy, and I want it even less knowing that my political opponents can control it. America currently has a divided government, but a united government that engage in industrial policy is by far the most likely to simply hand the money to the most politically connected industrialists at the expense of everyone else. If you’re a Democrat, would you want Trump to be handing billions of taxpayer’s dollars to his favorite industries?

And I don’t want the government to subsidize dead end industries at the expense of growing ones. I don’t want them to cut off creative destruction and leave us with hand-weavers instead of looms. I don’t want them to protect domestic manufacturers and leave consumers worse off. I don’t like industrial policy, and I think Biden’s greatest failure is that he has become Trump’s greatest triumph.