Peggy Lee sings Black Coffee: http://bit.ly/fnzuEE
Deep water delights: http://bit.ly/ikohB3
Most expensive car crash ever: http://read.bi/frfYna
How to foreclose on a bank in the US (it's not easy, you have to beat
their lawyers at their game): http://bit.ly/faLvZN
The guy who beat Wells Fargo's lawyers and foreclosed on one of their
branches: http://bit.ly/ecJP9R
Have a good week-end,
Brad
26 February 2011
25 February 2011
Ask an economist for marital advice
On "General Theory of the Second Best," I told the story of a female
economist who went to Gary Becker for marital advice. At the time, I
couldn't find the reference, so I told the story as I recalled it.
The nature of the Second Best is that, in the real world, the Second
Best is often better than the pristine best, shown in the academic
world. So, I wanted a real world example. Something on the hoof, as we
say here in the US.
Now I've found the actual reference. It's here: http://bit.ly/hicwjJ.
I guess you can decide if it's an example of the second best being
better than the best in the real world or not.
Brad
economist who went to Gary Becker for marital advice. At the time, I
couldn't find the reference, so I told the story as I recalled it.
The nature of the Second Best is that, in the real world, the Second
Best is often better than the pristine best, shown in the academic
world. So, I wanted a real world example. Something on the hoof, as we
say here in the US.
Now I've found the actual reference. It's here: http://bit.ly/hicwjJ.
I guess you can decide if it's an example of the second best being
better than the best in the real world or not.
Brad
24 February 2011
The General Theory of the Second Best
As I understand it, the general theory of the second best states that
the second best is often better than the best. The original article by
Lipsey and Lancaster is here: http://bit.ly/hiLgM8.
An anecdote, possibly true, helps to understand the concept.
A woman, looking sad, comes to Gary Becker, the economist, for marital
help. "Gary," she says, "I'm a professor of economics. I've proven,
mathematically, that the most efficient way to run a marriage is
50:50. Here's the paper. My husband, also a professor of economics,
has read it. He finds nothing wrong with my paper. We have two small
children. I try to run my household by the 50:50 rule. I do 50%, I
expect him to do 50%. I vacuum 50%, I expect him to vacuum 50%, for
instance. I cook a meal, I expect him to cook a meal, but he just
microwaves or we go out to eat. It's just not working. I'm not happy.
I'm measuring every thing all the time. My husband is disgruntled. Our
marriage is in crisis. What's wrong?"
Prof. Becker says, "Well, your paper is perfect, I can find nothing
wrong with the concepts or the mathematics. You've come to me for
advice and so I say what I want you to do is stop measuring. Stop the
50:50 business and just see how things go. Come back in a month and
let me know things are going."
One month later, the woman returns. "Gary," she effuses, "life
couldn't be better. I'm happy. My husband's happy. Things get done,
and, if they don't perhaps, they didn't need doing in the first place.
If I were measuring, I'm sure I'm doing more than 50%, but for some
things he does 100%. It varies. Best of all, our love life's returned.
Why is this way better than the 50:50?"
Gary says, "Sometimes the second best is better than the best."
Yves Smith referenced this article a lot in her book, Econned, which
is her account of the recent financial crisis.
Brad
the second best is often better than the best. The original article by
Lipsey and Lancaster is here: http://bit.ly/hiLgM8.
An anecdote, possibly true, helps to understand the concept.
A woman, looking sad, comes to Gary Becker, the economist, for marital
help. "Gary," she says, "I'm a professor of economics. I've proven,
mathematically, that the most efficient way to run a marriage is
50:50. Here's the paper. My husband, also a professor of economics,
has read it. He finds nothing wrong with my paper. We have two small
children. I try to run my household by the 50:50 rule. I do 50%, I
expect him to do 50%. I vacuum 50%, I expect him to vacuum 50%, for
instance. I cook a meal, I expect him to cook a meal, but he just
microwaves or we go out to eat. It's just not working. I'm not happy.
I'm measuring every thing all the time. My husband is disgruntled. Our
marriage is in crisis. What's wrong?"
Prof. Becker says, "Well, your paper is perfect, I can find nothing
wrong with the concepts or the mathematics. You've come to me for
advice and so I say what I want you to do is stop measuring. Stop the
50:50 business and just see how things go. Come back in a month and
let me know things are going."
One month later, the woman returns. "Gary," she effuses, "life
couldn't be better. I'm happy. My husband's happy. Things get done,
and, if they don't perhaps, they didn't need doing in the first place.
If I were measuring, I'm sure I'm doing more than 50%, but for some
things he does 100%. It varies. Best of all, our love life's returned.
Why is this way better than the 50:50?"
Gary says, "Sometimes the second best is better than the best."
Yves Smith referenced this article a lot in her book, Econned, which
is her account of the recent financial crisis.
Brad
The Nutmobile
Kitsch works for branding in the US at least: http://usat.ly/eMJhXV.
The best part is that the thing can run on peanut oil.
Brad
The best part is that the thing can run on peanut oil.
Brad
20 February 2011
Weekend Relaxation
Audio: (Peter Gunn theme) http://bit.ly/enmnyx
Video: (humpback whales off coast of Dominican Republic): http://bit.ly/fzUmyi
Brad
Video: (humpback whales off coast of Dominican Republic): http://bit.ly/fzUmyi
Brad
18 February 2011
Government officials explain themselves
On the right, we have Donald Rumsfeld: http://n.pr/fcYBi5.
On the left, budget director Jack Lew: http://n.pr/eMbMea.
They're interviewed by the same guy.
No, it's not you and the fact that you may not be a native speaker of
English.
There's a lot of words, but no substance. There's no taking
responsibility for anything. There's no explaining; only obfuscation
(blowing smoke).
Who pays, or paid, these guys? US taxpayers.
Brad
On the left, budget director Jack Lew: http://n.pr/eMbMea.
They're interviewed by the same guy.
No, it's not you and the fact that you may not be a native speaker of
English.
There's a lot of words, but no substance. There's no taking
responsibility for anything. There's no explaining; only obfuscation
(blowing smoke).
Who pays, or paid, these guys? US taxpayers.
Brad
17 February 2011
15 February 2011
A strategy
Here is an interesting post: http://bit.ly/eIthsI.
When you surf the web, you can do it better if you have a strategy.
What are you looking for? For me, I am looking for people who have
information I don't have, a point of view I don't have, intelligence I
don't have, or something. They have to be able to communicate to me.
Right now I don't have a goal.
Anyhow, this is one blog I'll subscribe to for awhile at least.
Brad
When you surf the web, you can do it better if you have a strategy.
What are you looking for? For me, I am looking for people who have
information I don't have, a point of view I don't have, intelligence I
don't have, or something. They have to be able to communicate to me.
Right now I don't have a goal.
Anyhow, this is one blog I'll subscribe to for awhile at least.
Brad
14 February 2011
Spy versus spy
A lot of this has happened in the US, so you may not have heard the
story, which proceeded in steps...
1) Wikileaks gets and publishes US Federal Government cables
2) Paypal, and, as I recall, VISA and Mastercard, deny payments to
Wikileaks
3) Anonymous, an organization of computer hackers, decides this is an
attack on freedom of information
(http://bit.ly/hmEwMn)
4) Anonymous hacks Paypal, VISA, Mastercard websites
5) Chambers of Commerce, US I think, who are usually sleepy inactive
little organizations, decide to attack
Anonymous
6) They hire a security firm called HBGary (http://bit.ly/hCQWW9)
7) The Feds close in on Anonymous and/or their contacts, shutting at
least part of their of operations down
8) Anonymous gets wind of the Chambers of Commerce-HBGary
negotiations and publishes that
9) More to follow??
Brad
story, which proceeded in steps...
1) Wikileaks gets and publishes US Federal Government cables
2) Paypal, and, as I recall, VISA and Mastercard, deny payments to
Wikileaks
3) Anonymous, an organization of computer hackers, decides this is an
attack on freedom of information
(http://bit.ly/hmEwMn)
4) Anonymous hacks Paypal, VISA, Mastercard websites
5) Chambers of Commerce, US I think, who are usually sleepy inactive
little organizations, decide to attack
Anonymous
6) They hire a security firm called HBGary (http://bit.ly/hCQWW9)
7) The Feds close in on Anonymous and/or their contacts, shutting at
least part of their of operations down
8) Anonymous gets wind of the Chambers of Commerce-HBGary
negotiations and publishes that
9) More to follow??
Brad
The political economy of revolution
This is Robert H. Frank's review of Kuran's book Private Truths,
Public Lies: http://bit.ly/gZnPRm.
Frank is a behavioral economist from Cornell. Kuran is an economist
from Duke. Kuran popularized the concept of preference falsification,
which is the idea that people in a public setting often don't tell the
truth.
It sounds childishly simple, but it helps explain why revolutions can
strike unexpectedly. I suppose it might explain why revolutions might
spread too.
Brad
Public Lies: http://bit.ly/gZnPRm.
Frank is a behavioral economist from Cornell. Kuran is an economist
from Duke. Kuran popularized the concept of preference falsification,
which is the idea that people in a public setting often don't tell the
truth.
It sounds childishly simple, but it helps explain why revolutions can
strike unexpectedly. I suppose it might explain why revolutions might
spread too.
Brad
06 February 2011
How to be somewhat happier
by Oliver Burkeman here: by Oliver Burkeman here: http://bit.ly/i1aZmS.
Different, funny and interesting.
Brad
Different, funny and interesting.
Brad
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