De-Politicizing Climate Activism

Or how Greta Thunberg can create more converts.

“Nature is not a temple. It is a workshop, and a human being is the worker in it.”                               _                                                                                                         Ivan Turgenev

Item 1: The outbreak of coronavirus that threatens to create a global pandemic and the tragic sudden death of basketball star Kobe Bryant both remind us that the unexpected can happen quickly and that we humans live in an environment that can at times be ruthlessly hostile.

Nature, fate, providence, or whatever one chooses to call it, works in inscrutable ways. The virus will spread and endanger millions, if humans do not stop it. It has no will or conscience and would inexorably destroy those who are dearest to us, in a matter of days. And, before downing Bryant’s helicopter and killing him, his young daughter and seven others, fate or gravity did not pause for a millisecond to ponder the sadness that it would inflict on hundreds of millions all over the world through such a senseless death.

Modern society is generally free of deadly viruses and helicopters are generally safe to fly. But it took centuries of human progress to get there in both instances. And it will take more human progress and ingenuity to seal the cracks in our vigilance that allowed the coronavirus to emerge and spread, and the helicopter to crash .

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CDC photo by Dr. Fred Murphy.

Item 2: Last week in Davos, US Treasury Secretary Steven Mnuchin volunteered that climate activist Greta Thunberg ought to get an economics degree before preaching her message to grown-up policy makers. That is more confidence in university economics departments than most of Miss Thunberg’s critics would be willing to concede. It is true that Miss Thunberg’s message is incomplete, but that is not for lack of economic pedigree. The building blocks that are glaringly missing from her campaign are 1) a better understanding of Turgenev’s aphorism on nature and man, and 2) a trip or two to China, India or other fast developing countries.

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Talking About Cities, with Aaron Renn

“You go to some of these places [Midwestern cities], the question they ask when they meet you is ‘where did you go to high school’?… The fact that where you went to high school is a social marker places you in a community. You go to Washington DC and nobody cares where you went to high school… In New York, they ask ‘where are you from?’ because it is assumed that you are not from here. Some of these places in the Midwest… need more outsiders to come in because outsiders are the natural constituency of the new.” _____Aaron Renn

AaronRennAaron Renn, a Senior Fellow at the Manhattan Institute, speaks to Sami J. Karam about US cities. What makes the large coastal cities so successful? What are the prospects for mid-sized and smaller cities in the Rust Belt? What is the current state of play for mass transit? What role does immigration play in the development of cities?

Among the cities discussed, New York, Los Angeles, Chicago, Boston, Washington DC, Seattle, Houston, Dallas, Austin, San Francisco, Charlotte, Minneapolis-St Paul, Nashville, Columbus, Cincinnati, Pittsburgh, St Louis, Cleveland, Detroit, Madison, Iowa City, Rochester (MN), Singapore, Paris.

Topics include:

  • 0:00 Introduction of Aaron Renn
  • 1:15 What makes the large coastal cities so successful at creating wealth?
  • 8:30 Can a large city become dominant in a new sector? (e.g., New York in tech)
  • 13:00 How would you categorize non-coastal cities in terms of their prospects?
  • 16:30 Why some cities are struggling while others are restructuring successfully
  • 20:55 Will some smaller cities turn into ghost towns within twenty years?
  • 26:35 What is going on with Detroit’s recovery?
  • 30:40 The role of new immigrants in the development of a city
  • 36:50 Immigration policy in Canada and Australia compared to the US and UK
  • 43:50 What is the future for mass transit?
  • 48:00 The lack of city to city benchmarking in infrastructure costing and execution
  • 53:40 Is there anything going on in high-speed rail, other than in California?
  • 59:40 The decline of trust in institutions and the problem of cronyism.

TO HEAR THE PODCAST, CLICK HERE OR ON THE TIMELINE BELOW:

Facebook Should Pay Users

A user’s content and browsing history are monetizable assets.

Rather than tax, regulate or break up Facebook and Google, we should ask that they pay for the monetizable assets that they have so far mined for free. These assets are a user’s content and browsing history.

As with all types of mining, the tech giants have developed an innovative technology that they combine with an exogenous asset (an asset obtained from someone else) in order to make money. In their case, it is information and data. In the case of a traditional miner or oil company, it was copper or zinc or oil, or other resources.

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Mining before data mining. (Photo: Reinhard Jahn CC BY-SA 2.0 de, Wikimedia Commons).

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The Cure for Inequality is More Laissez-Faire

That means less cronyism and more competition.

“Inequality is not necessarily bad in itself: the key question is to decide whether it is justified.”____ Thomas Piketty in Capital in the Twenty-First Century.

Piketty’s words read like a premise that is only half right, followed by a problematic corollary. Reasonable people will agree that some inequality is not only “not necessarily bad” but also very desirable and very necessary in order to stimulate the economy’s entrepreneurial and innovative spirits. Further, if some inequality is desirable, how much is enough and how much is too much? And who gets to decide?

Clearly, there will never be a consensus on this. And it is not a satisfactory solution that the majority party would decide for the next four or eight or twelve years. The back and forth dominance of one party over the other would mean that any measures enacted to combat extreme inequality would at best amount to a feeble and erratic effort instead of a long-term cure, while the underlying problem gets larger with every electoral cycle.

To make things worse, both of the major parties in the United States are mistaken to ascribe inequality to an excess of capitalism. Democrats claim that growing inequality is the result of unbridled ‘wild west’ capitalism. And Republicans argue that it is a mostly acceptable byproduct of capitalism. But extreme inequality is in fact caused by insufficient competition. Given  that competition is the lifeblood of capitalism, it follows that inequality is the result, not of capitalism, but of a lack of capitalism.

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Purity or Universalism?

This article first appeared at Quillette.

A few days after his recent passing, the Manhattan Institute reposted a speech by V. S. Naipaul from October 1990. The title, Our Universal Civilization, captured the triumphal and optimistic spirit of that moment, nearly one year after the fall of the Berlin Wall. In order to render this universal civilization in greater relief, Naipaul related the following about his travels in Asia [emphasis added]:

“Traveling among non-Arab Muslims, I found myself among a colonized people who had been stripped by their faith of all that expanding intellectual life, all the varied life of the mind and senses, the expanding cultural and historical knowledge of the world, that I had been growing into on the other side of the world. I was among people whose identity was more or less contained in the faith. I was among people who wished to be pure.”

If we had read this paragraph without knowing its date or the subjects’ actual geography, religion, and history (in this case colonized non-Arab Muslims), we might have surmised that Naipaul was talking about parts of America and Europe that he had perhaps visited in the months preceding his death. “People whose identity was more or less contained in the faith” could easily apply to certain constituencies in the West today, the more so if one allows some latitude in the definition of the word ‘faith.’

Nearly 30 years after he delivered this speech, Naipaul’s assumption that this was primarily a religious or Muslim phenomenon seems quaint. Today, we can see that the wish to be pure has emerged in opposition to universalism in many parts of the world including our own. We can no longer claim that it is just Islam that has grown resistant to the universal civilization envisioned by the West in the late twentieth century. Some groups within the West itself have also rediscovered their own craving for purity.

In his 1996 book, The Clash of Civilizations, Samuel Huntington was already dismissive of Naipaul’s idea of a universal civilization:

“As is often the case with marginals or converts, among the most enthusiastic proponents of the single civilization idea are intellectual migrants to the West, such as Naipaul and Fouad Ajami, for whom the concept provides a highly satisfying answer to the central question Who am I? “White Man’s n___”, however, is the term one Arab intellectual applied to these migrants, and the idea of a universal civilization finds little support in other civilizations. The non-Wests see as Western what the West sees as universal. What Westerners herald as benign global integration, such as the proliferation of worldwide media, non-Westerners denounce as nefarious Western imperialism. To the extent that non-Westerners see the world as one, they see it as a threat.”

Here too, at the end of this excerpt, we find a connection to those in the contemporary West who similarly denounce global integration and worldwide media. Ironically, today’s reality devalues Huntington’s clash of civilizations to little more than a willful construct, a mirage, and an inadequate template. The clash today is not between different civilizations but within each civilization, not between countries but within each country. It is not across borders, but across other fault lines within those borders.

Looking all the way back to 1900, we can theorize that universalism and the wish to be pure have each been dominant at different periods, especially in Europe. Before WW1, there was a period of universalism and globalization brought about by faster communications (the telegraph) and faster transportation (the steam engine, the train, the automobile). Then there was a 30 year period where the wish to be pure gained more and more adherents, some for ideological purity (communism), others for racial or nationalist purity (nazism, Francoism).

After the widespread destruction of WW2, the United States was so dominant that it could impose its view of universalism on the world, in Europe and Japan first, then on the former Soviet bloc after 1990, and ultimately via trade on China and other emerging markets too. This surge in universalism ended in the decade of the 2000s, with disillusion after the Nasdaq crash of 2000-02, the attacks of 9/11, the Afghan and Iraqi wars, and the 2008 financial crisis. As a consequence of these events, we are now dealing with a turn in the historic trend away from universalism towards the wish to be pure in many parts of the world. As was the case 100 years ago, this wish has two main arms—one for ideological orthodoxy and the other for ethnicity and nationalism, something we may call localism.

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Orthodoxy and Localism

The world’s main competing social and political blocs can therefore no longer be understood as a historic confrontation between East and West, North and South, Socialism and Capitalism, or Christendom and Islam. Although some politicians remain wedded to them, these models do a poor job explaining the present state of play. The main competition now is between universalism and the wish to be pure. Purity manifests itself in thought or ideological orthodoxy—polarized media such as Fox and MSNBC and college campuses—or as geographic localism, as seen in the resurgence of nationalism. By contrast, universalism is about the competition for ideas (not orthodoxy) and about globalization and diversity (not localism).

The orthodoxy is motivated by a ‘progressive’ belief that society is perfectible and that any backsliding in the ‘wrong’ direction is unacceptable. Adherents to this belief ascribe a righteousness and inevitability to social change usually reserved for scientific discovery.

The localism has its roots in disenchantment with globalization, nation building, mass migration, rent-seeking cosmopolitan elites, and international institutions. Its main effect has been to re-energize a nationalism and a populism thought to have died in the West at the time of Naipaul’s speech. As Anne Applebaum remarked in a recent essay about Poland for the Atlantic,

“Sooner or later, the losers of the competition were always going to challenge the value of the competition itself.”

The two principal building blocks of universal civilization are globalized competition—not only in goods, but also in ideas—and freer movement of people. But competition creates winners and losers. The winners have often been individuals or groups with a weaker connection to ideology or to geography (say investment bankers who can work as effectively in New York, London, or Hong Kong). By contrast, the losers have typically had a stronger connection to ideology or geography or both and have increasingly sought to capitalize on that connection.

Of course, universal civilization committed many errors of its own that contributed to its fall from favor. Rising inequality and rampant cronyism have played a part in convincing people in many countries that globalization does not share its wealth widely and does not spread its opportunities universally. So, Naipaul was right to identify a “wish to be pure” but he was wrong to believe that it appeared in only a few places that were culturally different from the West. We have it here, on the Left with orthodoxy and on the Right with localism.

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Origin of a Wish

But where does this wish to be pure come from? It is a way to change the rules of the game. If you can’t win at game A, switch to game B where your odds may be better. If competitive capitalism doesn’t deliver for you, switch to cronyism or to socialism. If the competition of ideas is a strain and you resent the financial success of the more competent, switch to the cleansing orthodoxy of a party line. If globalism and diversity don’t work for you and you envy the progress of the immigrant or minority, switch to localism and ethnocentric nationalism.

After the spoils of competition have been distributed, those who consider that they got less than their just deserts have an incentive to question why and how somebody deserves something. In their upended logic, if winners have deserved more by going to college, then there is something wrong with college; or if it looks ex-post that it was helpful to some people to be part of a certain ethnic group, then there is something wrong with that group; or if intellectual property (software, media, technology) has delivered more wealth than real property (real estate, extractive industries, gold), then there is something wrong with intellectualism.

There are two main ways of deserving:

> Merit: This is about competitive performance, hard work, and competence. It is the ethos of universalism.

> Faith and Identity: This is about loyalty to God or to the group. It is the ethos of the wish to be pure.

The rewards of merit are largely uncontrollable, especially in a hyper-competitive society. But faith and identity can deliver for people who organize in groups to restrict competition from outsiders.

There is a global trend today of people in many countries looking for a shortcut towards success by reinforcing their identity, through either orthodoxy or localism. This pursuit of purity holds that if a person were truer to his identity, then his mind and body will be cleansed of the toxins that contribute to his misery. If a believer is more religious, his co- religionists and his god will reward his devotion, respectively; if a nationalist is more patriotic, his nation will reward his loyalty; and if a person of a certain gender or race is more representative of his demographic, his community will reward his solidarity.

This mode of thinking is no longer chiefly found in developing countries or god-fearing theocracies. The global wish for purity is nearly everywhere and it is spreading.

Purity for the Many

The main problem with the quest for purity is that it is fine in one’s own home or church but it becomes a problem in the public square, which—by virtue of being inherently diverse and competitive—is configured to resist the wish to be pure. In all but the most homogeneous countries or regions, the desire for purity is difficult to reconcile with competitive politics.

Yet it is very much present in politics today, here and abroad. In the United States, both parties cater to constituents whom they view as having a purer American identity. Both parties try to thwart competition and to reinforce group identity. The battle lines are drawn among the 80 to 90 percent who constitute the middle class and poorer segments of the population. Increasingly, they are called upon to choose between two forms of purity, the more ideological orthodox vision that seeks to equalize outcomes as much as possible in the name of fairness, diversity, and inclusion, or the more traditional localist vision of a mainly white, mainly Christian America that is increasingly challenged by shifting demographics.

Cronyism for the Few

Meanwhile, the wealthier 10 to 20 percent of the population have done a superlative job of taking care of themselves. They speak the language of universalism but are increasingly involved in anti-competitive rent-seeking occupations and hoarding the American dream for themselves and their children. Unlike the rest of the population, they have access to the best education, plum jobs, and huge pools of capital.

Upon closer examination, each proposition of purity is a subterfuge to harness the backing of the multitude while a small percentage of the population consolidates ever more power and wealth. This may sound like cynicism at first but this template of cronyism for the few, purity for the many fits the data in most countries in the world. The main thing that the cronies at the top have in common with those seeking purity is that they both want to limit competition in one form or another.

In a recent article titled “America is moving toward an oligarchical socialism” Joel Kotkin provides a good example of this phenomenon:

“Particularly since Donald Trump’s election, the leaders of corporate America— especially in tech and finance—have merged with the Democrats. They appeal to progressives by advocating politically correct views on immigration, gender rights, and climate change, while muzzling conservatives both inside and outside their companies”.

If we want to be honest, socialism, capitalism, theocracy, and nationalism have all shown themselves to be flawed. Socialism and its more pernicious extreme, communism, are unattainable notions that cannot accommodate human beings’ natural competitive drive for more personal comfort and efficiency. Capitalism has had its periodic moments on center stage but its Achilles’ heel is that it has nearly always been corrupted by cronyism.

The wish to be pure exemplified by ideology, tribalism, nationalism, and religious orthodoxy promises a better tomorrow but never delivers except for the leading cronyistic elites. It promotes at great cost an illusion of purity that eventually wears thin except for the more ascetic members of society. By then, it is too late as the few at the top now command all the levers of money and power and have no qualms decapitating and ruthlessly suppressing any revolt that dares extend its neck.

This is the story of the present. Nearly all constituencies are working to limit competition, the lifeblood of universalism. In an increasing number of countries, a small entourage of cronies are trying to hoard wealth and power while at the same time selling a sterile purity to the people. Universalism and competition will be on their back legs for as long as the people fall for this destructive manipulation.

Later, we will once again heed the words of John Stuart Mill:

“It is hardly possible to overrate the value, in the present low state of human improvement, of placing human beings in contact with persons dissimilar to themselves, and with modes of thought and action unlike those with which they are familiar… Such communication has always been, and is peculiarly in the present age, one of the primary sources of progress. To human beings, who, as hitherto educated, can scarcely cultivate even a good quality without running it into a fault, it is indispensable to be perpetually comparing their own notions and customs with the experience and example of persons in different circumstances from themselves.”

Soccer for Americans

Three rule changes to turn American soccer into a big money maker.

The experience of watching a soccer game rarely lives up to the anticipation. You go in hoping for a 4-3 cliff-hanger (as with Argentina vs. France recently) but too often you end up with 1-0 or worse, a draw, or much worse, a draw that is resolved through a penalty shootout. This chronic letdown explains why Americans prefer watching other sports.

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Photo by Torsten Bolten.

Except for anxiety-ridden upper middle-class moms trying to steer their teenage sons away from (American) football practice, most Americans don’t really care about watching soccer. If this is changing, at about the pace of a glacier inching down an Alaskan ravine, it is mainly because the percentage of immigrants in the US population has been on the rise in recent decades. These immigrants or their parents often come from countries where soccer is the leading spectator sport. It follows then that with the current crackdown on immigration, the future of American soccer is looking as frail as ever. NFL bosses need not lose much sleep.
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Northern Ambition

This post was first published in 2018 on Aaron Renn’s home page urbanophile.com.

Young and foreign in the Twin Cities circa 1987.

“For how much longer will you go by Sami instead of Sam or Samuel?… Because after a certain age, a Robby, for example, would revert to a more grown-up name like Bob or Rob or Robert”, I was once asked and informed by a senior colleague in Minneapolis. My answer that Sami was, is a real first name, albeit not necessarily one that I favored over its variants, did not seem to satisfy him.

A decade later, when I started working on Wall Street and heard a similar comment, I found that this reaction to ‘Sami’ was not unique to the midwest or to the less diverse non-coastal US but that it was instead emblematic of cultures that were somewhat insular. Minneapolis did feel insular when I lived there as a young immigrant in 1986-88.

When Aaron Renn recently suggested that I write about my experience there, I was not sure that I could do a fair job of it. Would I use a chronology, as in a fragment of biography? Would I showcase the 1987 Twins triumph at home in game 7 of the World Series? How would I insert my fast weekend escapes to New York or L.A. on discounted fares that I bought in bulk from People Express ($45 to New York!)? And my slow other weekends spent alone writing computer code in the office because I had nothing better to do?

When undecided, use data! So in the end, I settled on five main data themes. Minneapolis in 1986 was 1) cold, 2) flat, 3) remote, 4) rich, and 5) white. The first four are still true today.

But first a few general comments.

Minneapolis was and is a great place in many ways. The people around me were unfailingly kind. I liked the city’s well-designed infrastructure and amenities and its perennial ambition to turn itself into something bigger and better. “It wants desperately to be New York”, a Minnesotan college friend had told me before I moved there.

But after living there for two years, I was dubious. I thought that Minneapolis, though known as the ‘Minneapple’, was very happy just being Minneapolis. Further, if I want to be lucid, these same unfailingly kind people did not seem all that interested in me. I was an oddity in a place that seemed perfectly content without too many oddities.

As to Minneapolis becoming bigger and better, the most visible of the city’s major improvements, for example Cesar Pelli’s stunning Norwest (now Wells Fargo) Center then under construction, seemed destined to remain off bounds for the likes of me. I projected, rightly or wrongly, that were I to stay, it would take me a very long time to penetrate the higher circles of local industry.

Norwest (now Wells Fargo) Center under construction in 1987. Photo by the author.

On the whole, my time in Minneapolis was comfortable but not easy. Although I had already lived in many places away from home, I felt in this case an unfamiliar isolation that was heightened by the cold winters and by the city’s remote location deep into the northern plains.

Of little assistance to my outlook was the fact that I was reading, in the dead of winter, Roland Huntsford’s The Last Place on Earth, a chronicle of the 1911 two-team race to reach the South Pole. Would I sail through and emerge victorious like Amundsen? Or would I endure an exhausting slog only to then freeze to death like Scott? Neither, of course, though my February psychology was trending to Scott.

COLD

How bad is the weather in Minneapolis? Regarding the temperature (see first table below), it is as cold as Anchorage in winter, but no worse than Chicago in spring, and similar to New York and Denver in the summer and fall. On the whole, I found it quite bearable, and even enjoyable, except for the most extreme days of winter.

There are other weather factors beside temperature. For one, Minneapolis has an unusually high number of completely cloudless days (next table below). “It is too cold for the humidity to hold up in the air”, my recruiter had deadpanned during the first interview.

Minneapolis-St Paul (MSP) has more clear days than Chicago and more total sunny hours than New York, and far more than Seattle. Its annual snowfall is similar to Denver’s but Denver is even sunnier. Surprisingly, Denver has more clear days than Miami and as many sunny hours.

So in sum, Minneapolis is abysmally cold and snowy in winter. But overall, it is frequently sunny even in winter. If you prefer sunny cold days to tepid wet grey ones, you could argue that the weather in Minneapolis is in fact better than in Seattle. The temperatures in Seattle are less extreme and there is little snow. But the sky is frequently overcast and releases rain in forty more days every year than in Minneapolis.

FLAT

Minnesota has little variation in its land elevations and is the fifth flattest state in the US. Standing at any high point in the city, say on the tenth floor of a building, the view is unobstructed by natural topography in all directions. Except on hazy or foggy days, the towers of downtown are clearly visible from far away. Perhaps it was this long open vista that inspired Minnesota native Sinclair Lewis in the opening lines of Babbitt:

“The towers of Zenith aspired above the morning mist; austere towers of steel and cement and limestone, sturdy as cliffs and delicate as silver rods. They were neither citadels nor churches, but frankly and beautifully office-buildings.”

In winter, the chill wind can do its work unbothered by natural obstacles and its steady sweep undulates drifts of snow from one side of the road to the other (‘snow snakes’, per one of my local friends).

I once took a drive north to Duluth and pressed on along the north shore of Lake Superior. We encountered few hills until we reached the Sawtooth range of low mountains along the lake.

REMOTE

In my view, the most unique geographic feature of Minneapolis is not its weather, but the combination of its weather and its remoteness (table below). It is very far from any other sizable city. Its own metro population has 3.6 million today, up from less than 2.5 million when I lived there. But the closest large city is Chicago, 409 miles away. That is the same distance as Boston to Baltimore, and 30 miles more than San Francisco to Los Angeles. Unlike on those trips however, there is little to break the monotony of a day-long trek through rural Wisconsin, except for a quick bypass of Madison and perhaps a lunch break at Wisconsin Dells.

On my first long drive to metro Minneapolis-St Paul (the Twin Cities), coming from Indiana, I was thrilled at dusk to finally reach Eau Claire because that meant that I only had… 90 miles to go.

Minneapolis is even more isolated to its west. Driving in that direction, the first city of over one million inhabitants is Seattle, 1,656 miles away. I never ventured in that direction. But I did head to Kansas City for New Year’s eve 1988. That was a mere 436 miles of driving through the frozen grey-brown fields of southern Minnesota, Iowa and Missouri. The city of Des Moines, helpfully located half way, was the only pretext to take a break.

The next large cities beyond Kansas City were Denver and Dallas-Fort Worth, both at over 900 miles from Minneapolis. But I never went there by road.

The brave that push northward from MSP into Canada will not encounter a sizable (say greater than 500,000) concentration of humans until Winnipeg in Manitoba, 460 miles away.

I wonder if MSP’s remoteness made it more insular back then. Today, people fly more easily and everything seems closer. But in 1986-88, I met some people in their 50s or 60s who had never left the state. In some cases, they were proud of it and intent on keeping it so until the end. There was no need to venture anywhere, other than for curiosity or a love of travel, especially when the local economy was doing so well.

RICH

Minneapolis-St Paul was quite content with its economy. Back then, it boasted higher median household income (MHI) than the US average. Today too, the MHI in Hennepin, Dakota, Ramsey, Anoka and Washington counties (the metro Minneapolis-St Paul area) is significantly higher than the national average (table below), roughly in line with that of Manhattan. And living expenses are much lower than in Manhattan.

Minnesota is home to corporate giants Cargill (agriculture, trading), Carlson (travel), United Health (health care), Target and Best Buy (retail) and others.

I saw first hand and was inspired by the Minnesota work ethic that seemed to strike just the right balance between personal ambition and team work. I was employed by an architecture-engineering design firm that had at the time its headquarters in Minneapolis and a small satellite office in Milwaukee. I had no doubt that it would grow smartly. Today it has eight offices coast to coast.

WHITE

When I lived there, Minneapolis’s ethnic makeup was over 80% white. Today, this percentage has dropped to the mid 60s. I am guessing that the new diversity has changed the character of the city and opened up new cultural vistas.

Someone like me would probably find it easier to integrate today than I did in the late 1980s and may more readily decide to settle in Minnesota for the long term. To be sure, it is still brutally cold. It is also still very far, but it may feel closer today thanks to easier travel and social media. The locals are probably more interested in the foreign-born today because there are more of them around. And they bring with them something new and interesting.

My guess overall is that Minneapolis is a much better place for an outsider today than thirty years ago, though still not as socially navigable as the traditionally more universal cities on either coast. Nonetheless, as I alluded above about Wall Street, coastal America seems more inclusive overall but it still comprises smaller sub-cultures that can be just as exclusionary as some midwestern cities. The outer walls are gone but smaller inner citadels remain off limits.

In 1986, as a Mediterranean in the land of the Scandinavian and German-American, I sought warmer personal connections. As luck would have it, baseball rescued me in the end. When the Twins made it to the 1987 World Series, a groundswell of camaraderie and good cheer spread through my entourage, one that was broad and generous enough to see me invited to several homes where I watched the games and liberally high-fived everybody. There was no going back to formality after that.

Forever etched in my memory is a night drive into downtown on the last day of the World Series. Every window of every building was lit up in tribute to the Twins victory and the entire city was glowing like a celebratory thank you to the heavens.

Fertility and Literacy in India’s States

Higher female literacy is a reliable predictor of lower fertility and improved prosperity.

In a previous article, we highlighted a clear connection in sub-Saharan Africa between a country’s total fertility rate (TFR = average number of children per woman) and its young female literacy rate. The data showed that higher literacy may set off a chain reaction that results progressively in lower infant mortality, improved health for women, and lower fertility. While literacy rises to 90%, fertility falls gradually. Above 90%, it falls precipitously.

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End of the year exams in Mahatma Gandhi Seva Ashram, Jaura, India. © Yann Forget / Wikimedia Commons.

In turn, this lower fertility can, under the right conditions, open a window of opportunity for the economy to realize a demographic dividend. Read more →

Future Hubs of Africa and Asia

On UN projections between 2015 and 2050, the world population will grow by nearly 2.38 billion people, from 7.35 billion to 9.73 billion. Although this 32% growth is a big increase, it marks a slowdown from the 66% growth rate recorded in the preceding 35 years (1980-2015). Total Fertility Rates (TFRs) have come down all over the world and are expected to continue falling.
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About half of the 2.38 billion increase will take place in sub-Saharan Africa and nearly 40% in Asia. India is the biggest contributor with a net addition of 394 million, followed by Nigeria (216m), Pakistan (120m), DR Congo (118m) and Ethiopia (89m). By 2050, all of these countries will feature in the top 10 populations by size, a list that will include the United States (expected to rank fourth) but not one European country. Outside of Africa and Asia ex-China, regional populations will be growing slowly (the Americas), stagnating (China, Europe), or receding (Japan, Eastern Europe). Read more →

Cronyism and its Scapegoats

Cronyism destroys trust and assigns the blame to scapegoats of its own creation.

Only a fiercely committed left or right-winger would fail to recognize that there is today a social and political divide that does not easily fit within the traditional mold of left vs. right. If, loosely speaking, the left leans socialist and the right leans capitalist, there is a third branch, cronyism, that is characterized by the rising power and wealth of rent-seeking industries and individuals. In the past, this branch was dominant mainly in poorer countries with weaker institutions. But today it has also gained significant strength in a number of developed countries, including the United States.

In fact, if the Republican Party has been hijacked by Trumpism, as some allege, then we could say that capitalism has been similarly hijacked by cronyism. In our view, this parallel is nearly seamless, given that the GOP is traditionally pro-capitalism – in words if not always in deeds – and that the incumbent administration is largely populated with captains of rent-seeking industries. Read more →