A Modest Proposal

January 19, 2009

As we at JPGB have been arguing for many months and in many posts, giant federal bailouts are unlikely to have any beneficial effects and may well do harm.  (See for example here, here, and here.)  But if we have to have a new $800 billion stimulus package on top of the already adopted  $700 billion financial bailout on top of the trillions in implied or explicit loan guarantees via the federal takeovers of Fannie, Freddie, AIG, Bank of America, Citi, etc…, there might be a smarter way to do it.

So I would like to offer my modest proposal for the new $800 billion stiumuls package — voucherize it.  Give every man, woman, and child in the US a check good for an equal portion of the $800 billion.  With 300 million people that works out to about $2,667 dollars.  A family of four would get a total of $10,667. 

If it’s true that the federal government needs to tax, borrow, or print the money to stimulate the economy (a theory that makes no sense to me), can’t we at least empower everybody to use the money in the way they think best rather than the way that a bunch of log-rolling, pork-eating, back-slapping politicians think best? 

If schools really need to be rebuilt, let local communities pass a bond referendum and raise their taxes,whose cost could be defrayed by the extra cash we just put in everybody’s pockets.  If the community thinks that they need better roads instead of better school buildings, they could direct their bailout voucher funds in that direction.  If banks really need more capital, then they can earn the deposits from these bailout vouchers.  If the consumer needs more resources to keep spending, the bailout voucher puts cash in their pocket.  If people are having trouble paying their mortgages, the bailout voucher eases their burden.

Rather than having the priorities set in Washington, the bailout voucher lets the priorities of the stimulus package be determined by everybody.  Do we have any reason to believe that Washington knows best which schools need to be remodeled or which bridges need to be built or which mortgages should be refinanced?

Much of the intellectual work over the next four years is going to be to reshape dumb policy ideas that are going to get passed even though they shouldn’t.  Let’s start by urging that the stimulus package be voucherized.

(edited to correct typos)


Man On Wire

January 18, 2009

I just saw the excellent documentary Man on Wire last weekend about Philippe Petit’s daring tight-rope walk between the two towers of the World Trade Center in 1974.  Petit, a Parisian street performer, juggler, and high-wire artist, obsessed for six years on his dream to rig a wire between the roofs of the two buildings almost 1/4 mile above the street and walk across it.  With the elaborate planning of a bank heist, he studied the towers, devised a method to rig the wire, and sneak his team and equipment into place.  And then he did it.  And it was spectacular. 

We are drawn to people with the vision, determination, and skill to accomplish great things.  Petit is a Howard Roark… or a Howard Hughes.  But like Roark and Hughes, Petit also comes off as crazy and narcissistic.  Does great achievement require some amount of insanity?  The right amount of obsessive compulsive disorder might help provide the focus and drive to do something extraordinary.

And like Roark and Hughes, people might doubt the true worth of Petit’s accomplishments.  In the movie he’s asked why he went to all this effort to walk on a tight-rope between the twin towers.  “There is no why,” he replies.  At other times he would answer: “When I see three oranges, I juggle; when I see two towers, I walk.”


Greg Nails the School Stimulus Proposal

January 18, 2009

Think we should spend $100 billion as part of the new “stimulus” (read: pork) plan on school buildings?  Greg Forster’s piece on Pajamas Media will convince you otherwise.


Get Lost in Time

January 17, 2009

Richard meets Ben for the first time in the jungle. ("The Man Behind the Curtain")Richard learns that the majority of the survivors have left the camp. ("Through the Looking Glass")

The Ageless Richard Alpert

Our Get Lost feature would normally appear on Friday, but it has encountered “negatively charged exotic matter” and was moved in time to today (Saturday).  Similarly, when Ben moved the Island, I suspect he moved it in time, not space.  The question is when is the Island, not where. 

There are several clues to support the view that time travel is a central to understanding the mysteries of the Island.  To find the island Charles Widmore required the services of time-travel scientist, Daniel Faraday.  People who approach (or leave) the island incorrectly are dislocated in time, as was Desmond and several of the freighter’s crew.  The rocket fired from the freighter obviously time travelled before it reached the island.  The Island is hidden by time, not space.

Even off the Island, Ms. Hawking is able to predict the future, suggesting time travel.  Miles is able to speak with the dead; perhaps he travels back in time.  When Ben is transported to the Tunisian desert he asks the hotel clerk what year it is. 

Back on the Island we know that Desmond could glimpse the future (time travel).  And Richard does not age (more time travel). 

Here’s my best guess of how time loops and travel will help resolve the mysteries:  Under Lost rules one cannot really change Fate because the world auto-corrects for any attempt to change it (as Ms. Hawking suggests).  The plot of Lost will be resolved by showing the futile attempts to change Fate loop back into the same time-line. 

I think the time-line begins with the Black Rock, which carrying metals from a slave-operated mine, is attracted to the exotic material of the Island and hurled upon its mountain-side.  The survivors of the Black Rock include Charles Widmore and someone from the Hanso family.  Widmore was in charge, but over time there are schisms among the Black Rock survivors and Charles is forced to move the Island in time and is teleported off the island and to modern times. 

The Others, including Richard, are the descendents of the Adam and Eve skeletons, which I suspect are two of the survivors of Flight 815 who looped back in time.  They stop being able to reproduce for some reason, perhaps related to the arrival of the Black Rock and Charles’ moving of the Island.  Time stops moving forward for the Others, which is why they can’t age but also can’t reproduce.

Hanso clashes with these Others and eventually brings in Dharma to study and exploit the Island’s time-travel properties.  Widmore desperately wants to get back to the Island to reclaim what was his.  The Others recruit Ben to get rid of the Hanso led Dharma group and to re-start time for them by discovering how to reproduce.

The Losties are drawn to the Island as part of the auto-correction for whatever changes the Dharma experiments have produced.   All of these efforts are doomed to failure since changing Fate is impossible.  Locke is cured of his paralysis and Rose is cured of cancer only because they have moved back in time, but eventually Fate will auto-correct and their ailments will return.

In the end both Jack, the man of science, and Locke, the man of faith, will be vindicated.  They were destined to be on that Island, as Locke suggests, but the exotic material and time-travel will provide the “scientific” explanation Jack insists must exist.  And in the very end, we’ll discover that the two skeletons in the cave — the Adam and Eve — are two of the last people remaining alive on the Island — perhaps Sawyer and Kate.  And maybe Aaron survives that time loop and is the initial leader of The Others.

The appearance of dead people, like Christian Shephard, and the whispers in the jungle will all be explained by time travel.

Who knows how exactly the writers will resolve the mysteries, but it is safe to bet that it will involve time loops and unchangeable Fate.  And in some ways the way in which the mysteries are resolved is beside the real point of the series.  The real point is the character development as they confront the tensions and mysteries that we all confront in some way.  Dwelling too much on the mystery of the plot is the same sort of mistake people make with M. Night Shyamalan movies.  They aren’t really about the twist.  They are about the issues and mysteries in life before the twist resolves them.


Random Surreal Pop Culture Moment

January 16, 2009

(Guest Post by Matthew Ladner)

I haven’t seen any movies lately, but here is a great moment in pop cultural apocalypse: Elton John and Miss Piggy together at last!


The Growing Charter School Consensus

January 15, 2009

A string of high quality studies is finding that students benefit academically from attending a charter school rather than a traditional public school. 

First we had a random-assignment study of Chicago charter schools by Caroline Hoxby and Jonah Rockoff that found “that students in charter schools outperformed a comparable group of lotteried-out students who remained in regular Chicago public schools by 5 to 6 percentile points in math and about 5 percentile points in reading.” 

Then Hoxby conducted a random-assignment study of charter schools in New York City and found: “that the average effect of the charter schools on math is 0.09 standard deviations for every year that a student spends in his or her charter school. The average effect on reading is 0.04 standard deviations for every year that a student spends in his or her charter school.” 

Then Kevin Booker (Mathematica), Tim Sass (Florida State), Brian Gill (Mathematica), and Ron Zimmer (Rand)used a well-designed instrumental variable analysis to see whether charter middle-schoolers who continue to charter high schools are more likely to graduate.  They are. 

And most recently a random-assignment analysis of charter schools in Massachusetts led by Tom Kane at Harvard and Josh Angrist at MIT found that charter school students accepted by lotteries significantly outperformed their counterparts in traditional public schools, unless the charter school was operated by the teacher unions.

In light of these high quality studies, it is harder to oppose charter schools on a scholarly basis.  And with the clear support of charters from the incoming Obama administration, it is getting harder to opposed charter schools on a political basis — at least at the national level.

But don’t expect to see the teacher unions waving a white flag despite their losses in research and national politics.  They don’t need facts or the support of the US Department of Education so long as they continue to dominate local school politics. 

And that is exactly why they have focused on organizing local charter schools to neutralize the threat to their grip on local school politics.  As my colleague Marcus Winters writes today in the New York Post, the unions managed to organize two successful charter schools in New York City.  The fact that union-run charter schools in Massachusetts trailed the non-union charters in performance is not of concern to the unions.  It isn’t about student achievement; it’s about keeping their hold on power even as the facts pile up against them.


Las Vegas: Canary in the Coal Mine

January 15, 2009

vegas

(Guest post by Matthew Ladner)

I returned from Las Vegas last night, where the Nevada Policy Research Institute put on an excellent forum on education reform in the Silver State.

If you want to get increasingly worried about the depth of the current recession, wander around the high-end shops in the casinos. You’ll see three immaculately dressed sales people, usually in black attire, standing around hoping that someone will come in the door. Few people ever do.

The black attire is quite appropriate.

I also had a chance to inspect Encore, Steve Wynn’s followup to the Wynn. My expectations were high, and I must confess that I was a little disappointed to find that he hadn’t done a grand work of public art like the Bellagio Fountains or the Wynn Waterfall. Perhaps that is still in the works, but for now, the Encore looks like a copy of the Wynn with more red hues in the interior.

Not that its a bad thing, mind you, but I was expecting to be hit with the unexpected.


New DC Voucher Study

January 13, 2009

My colleague Pat Wolf released today a new study of the DC voucher program based on focus group interviews of families.  It found high levels of parental satisfaction with the program, even among families that returned to the public system.  People appreciated having the choices and felt more involved in their children’s education.

Of course, these satisfaction outcomes don’t usually move the debate very much.  Opponents of voucher programs tend not to be persuaded by parental reports of satisfaction because they doubt the judgment of parents.  That’s why they are skeptical about choice.  And supporters of vouchers view satisfaction outcomes as important, but they are already inclined to trust parental assessments.

But the report provides plenty of contextual information that is useful and interesting even if it is not decisive.  A new test score analysis of the DC voucher program is expected sometime this Spring.


Simpson’s Paradox — D’oh!

January 12, 2009

When it is pointed out that NAEP scores for 17 year-olds or graduation rates have remained flat for roughly three decades despite a doubling in per pupil spending (adjusted for inflation), I always brace myself for the Simpson’s Paradox response.  I particularly brace for it because its most active (and grating) purveyor is Gerald Bracey — D’oh!

As Bracey explains it, “Simpson’s Paradox occurs whenever the whole group shows one pattern but subgroups show a different pattern. ”  Test scores may rise over time for every ethnic/racial subgroup but the overall average may still decline or remain flat.  “The explanation lies,” Bracey argues, “in the changing makeup of the test taking groups. At Time 1, only 20% of the test takers were minorities. At Time 2, they make up 40% of the group. Their scores are improving, but they are still lower than whites’ so as they become a larger and larger proportion of the total sample of test takers, their improving-but-lower test scores attenuate the overall average or, in this case, actually cause it to fall.”

On the surface this story sounds very appealing.  Even sensible-sounding people like JPGB commentator, Parry, repeat the argument.  But on closer examination, Simpson’s Paradox does not explain away the frustrating lack of education productivity over the last few decades.

If we want to know whether we are receiving returns on our enormous additional investment in education, we want to see progress in the overall picture.  It would provide us with little comfort to see that our investments benefited some students but did not produce an aggregate gain — unless holding steady was actually a victory in the face of significantly more difficult to educate students.

And that is the unstated argument behind the use of Simpson’s Paradox to explain the lack of educational progress: minority students are more difficult to educate and we have more of them, so holding steady is really a gain.

The problem with this is that it only considers one dimension by which students may be more or less difficult to educate — race.  And it assumes that race has the same educational implications over time.  Unless one believes that minority students are more challenging because they are genetically different, which I do not imagine Bracey or Parry believe, we have to think about race/ethnicity differently over time as the host of social and economic factors that race represents changes.  Being African-American in 1975 is very different from being African-American in 2008.  (Was a black president even imaginable back then?)  So, the challenges associated with educating minority students three decades ago were almost certainly different from the challenges today.

If we want to see whether students are more difficult to educate over time, we’d have to consider more than just how many minority students we have.  We’d have to consider a large set of social and economic variables, many of which are associated with race.  Greg Forster and I did this in a report for the Manhattan Institute in which we tracked changes in 16 variables that are generally held to be related to the challenges that students bring to school.  We found that 10 of those 16 factors have improved, so that we would expect students generally to be less difficult to educate.  For example, we observed that students are significantly more likely to attend pre-school and come to the K-12 system with greater academic preparation.  Expansions in higher educational opportunities have significantly improved the average level of parental education, which should contribute to student readiness for K-12.  Median family incomes (adjusted for inflation) have improved and a smaller percentage of children live in poverty.  Children are more likely to come to school with better health and there are fewer teen moms.

Yes, some factors have made things more difficult.  There are more students from homes in which English is not the first language and more children in single-parent households.

And yes, there are more minority students, but those minority students have better incomes, better educated parents, more pre-school, and lower rates of crime in their communities.  Unless one wants to make a genetic argument, it is obviously misleading to say that students in general are more difficult to educate because there are more minority students.

But that is exactly what the purveyors of Simpson’s Paradox are doing.  They focus only on race and act as if it were an immutable influence on academic performance.  Many things have changed over the last few decades and most of them tend to make students better prepared for K-12 school.  Even if you are not completely persuaded by the report that Greg and I produced (and we make no claim to having a definitive analysis), it would be very difficult to suggest that students have become twice as difficult to educate to completely off-set the doubling in resources we have devoted to their education.  Any reasonable examination of the evidence suggests that we have suffered from a serious decline in educational productivity, where we buy significantly less achievement for each additional dollar spent.


Rising Condemnation of US Incursion into Arizona

January 11, 2009

Missiles continued to fall in and near San Diego despite the US incursion into Arizona to halt the rocket-fire.  And rising condemnation from world leaders and street protests around the globe urged the US to end the humanitarian crisis.

China said it is shocked by the US attack on Arizona and has called for an immediate halt to the military campaign that has killed over 800 people.

Vice Premier Li Keqiang said in a statement on the Foreign Ministry’s Web site Sunday that “the Southwest peace process must continue and that realistic measures to ease the tension in Arizona should be carried out.”

The US unilaterally withdrew from Arizona in 2005 and Anglo settlements were dismantled.  Since that time around 7,200 rockets and mortars have struck parts of southern California.

In a recent op-ed former president Jimmy Carter explained the rationale for rocket-fire: “We knew that the 6.2 million inhabitants of Arizona were being starved, as the U.N. special rapporteur on the right to food had found that acute malnutrition in Arizona was on the same scale as in the poorest nations in the southern Sahara, with more than half of all Chicano families eating only one meal a day. Chicano leaders from Arizona were noncommittal on all issues, claiming that rockets were the only way to respond to their imprisonment and to dramatize their humanitarian plight.” 

Arizona is surrounded on three sides by US forces that restrict the flow of goods into the territory.  Commenting on the US two-week military offensive against Arizona, Cardinal Renato Martino, a former Vatican envoy to the United Nations and now Pope Benedict XVI’s top official on issues of peace and justice told the online newspaper Il Sussidiario.net that both sides were concerned only with their own interests.  “But the consequences of this selfishness is hatred, poverty, injustice. It is always the defenseless populations that pay,” he was quoted as saying. “Look at the conditions in Arizona: It looks more and more like a big concentration camp.”

Thousands of demonstrators in Madrid Sunday called for a halt to US attacks on Arizona, in a protest whose sponsors included Spain’s ruling Socialist Party.  Spain’s Socialist Prime Minister, Jose Luis Rodriguez Zapatero sharply criticized the US, calling its response to Chicano rockets fired at the US  “disproportionate.”  During this round of the conflict more than 800 Chicanos have been killed and more than 3,000 wounded compared to 10 US dead, 7 soldiers and three civilians.  Almost three million southern California residents are within the range of Chicano rockets, thousands of whom have been forced to seek shelter in bunkers or flee north.

“There is no military solution in Arizona,” the Los Angeles Times wrote in an editorial today.  “Weapons stockpiles and supply tunnels have been destroyed; leaders of the military wing and fighters have been killed. That may eventually buy short-term relief for the people of southern California who live under a rain of rocket fire, and whose government has every obligation to secure their safety. But rather than weaken the Chicano Resistance politically, it seems just as likely that the effect of the bloody siege will be to harden sentiment against the US on the Chicano street and drive new recruits into the arms of the Resistance’s military.”

Celebrities have joined human rights campaigners to call on British Prime Minister Gordon Brown to speak up against the US bombardment of Arizona.  Singer Annie Lennox and former model Bianca Jagger both made passionate pleas for an end to the bloodshed.

Student protestors at the University of California at Berkeley held aloft a photo of a Chicano man holding a key to his family’s  home in La Mesa, just east of San Diego.  “When Anglo militia groups violently took over the land that became Southwestern states in 1848,” said student leader Olin Tezcatlipoca, “They committed mass atrocities that led to the expulsion of thousands of  indigenous Chicanos from their homes. These people have never been allowed to return, and many continue to live difficult lives in refugee camps scattered throughout Latin America, as well as in temporary refugee camps in Arizona.  The only solution is to end the occupation.”