Category Archives: Economics

Ending Unionism As We Know It

Mickey Kaus says that the Employee Rights Act doesn’t cut it:

The problem with Wagner Act unionism isn’t necessarily that unions aren’t democratic. It’s that they are granted a power–mainly the power to go on strike as the sole and exclusive bargaining agent of a firm’s workers without the strikers getting fired–that maybe they shouldn’t have. The UAW is a democratic union. That didn’t stop it from crippling the auto industry. The problem is that the wrong people voted in the UAW’s democratic elections–not the suppliers who would be hurt when UAW members decided democratically to win themselves inefficient work rules, not the mayors whose towns were decimated, not the taxpayers who had to bail them out (in part to save the suppliers and mayors), and certainly not the customers. Making even entrenched undemocratic unions more democratic might have the perverse effect of validating those unions’ exercise of their Wagner Act power. According to Barnes, Sen. Hatch “insists the ERA isn’t antiunion.” That’s not a feature. It’s a bug.

Indeed.

The Commercial Crew Forum

Clark Lindsey is taking notes.

They are looking at different certification regime options.
– One option is to develop certification that works in parallel with the SAAs.

– Safety requirements have been posted (are “on the street”).
– So any participant will know what requirements they need to meet.
– Safety goals: What would firms do to feel comfortable flying their own people on the vehicles?

We need to have a metadiscussion about appropriate levels of safety. We can’t allow NASA’s irrational approach to contaminate the entire industry, or allow their “certification” to become a standard. Different people are going to have different risk/reward thresholds. I’m working on an Issue Analysis on this topic for CEI right now.

[BTW, the entire February space issue of Reason, from which that linked Zubrin piece on NASA’s irrational approach to safety comes, is now on line.]

The Importance Of Space Exploration

Eric Anderson says that it’s a good time to kick off a national discussion.

Two points. Can we please, please, stop using the word “exploration”? Because every time we do, we provide ammunition to the robot lovers, because one does not need to send humans into space to “explore.” Toward the end, he finally talks about settlement, but we need to make the point over and over that exploration is just a means to an end, not the goal.

The other point is that the argument that it’s good to spend money on space because “it’s spent right here on earth” is both economically spurious and weak. As I wrote years ago:

Sadly, it’s a fallacy to which space enthusiasts (and particularly NASA enthusiasts) are prone as well. Often, when touting some proposed space project, they talk about how many “jobs” will be created in Houston or Huntsville or Florida, or in the district of some California contractor. And when someone says that “money is wasted by sending it into space,” they assume that the critic is stupid, or confused, and respond, “Not a single dime is sent into space. We don’t fill up the rockets with bushels of money and send it off to Mars. Every dollar is spent right here, on good old Mother Earth.” And even more amazingly, they say it as though it’s an effective rejoinder.

But of course, they’re attacking a strawman argument, because no serious critic of the space program literally believes that we are shipping currency to the heavens.

Yes, of course paying NASA astronauts, managers, engineers and support people, and their counterparts at the contractors creates jobs for them, just as it would if we took the same amount of money and employed people to dig holes. The issue, of course, is not whether they have “jobs” and receive taxpayer dollars, and recirculate it in the economy–it’s what they create, or don’t, and whether or not their creation is as valuable as some other use of the money that it took to create it.

What were the opportunity costs of building the current International Space Station? Could that money have been spent in some way that would have made us a wealthier nation? Indeed, could it have been spent in a way that would have advanced us much further in space? Well, at least, we have a space station, finally. But could those many billions of taxpayer dollars and almost two decades (yes, time has opportunity costs as well) have provided more than a crippled facility, barely capable of supporting a half dozen people at continuing costs of billions per year?

There’s no way to know. It is, in Bastiat’s words, one of the things that “are not seen.”

If we want the taxpayers’ money, we have to make the case for how spending it in that way, rather than some other, will actually improve their lives. Simply saying that it will be spent here doesn’t cut it, any more than did the arguments for the failed “stimulus.” We simply have to hone our arguments better, and stop indulging in fallacies.

[Update a few minutes later]

Jay Barbree indulges in the same old tired, ineffective arguments and fallacies:

The late, great TV news anchor Walter Cronkite used to say, “There’s not a single McDonald’s on the moon or on Mars. Every space dollar stays in the pockets of those needing to eat on Earth.”

We see the benefits of the space program all around us in lives saved, in early detection of cancers, in NASA’s discovery of the dangers of cholesterol coupled with stress, in early detection of most diseases, in improved surgery techniques needed for repairing failing hearts, in making a child’s small body whole, and in filling our stomachs with safe foods.

We see spaceflight dollars when weather satellites warn of hurricanes, when radar systems tell us that tornadoes are approaching, when satellites log critical environmental changes, when an ATM hands us our cash, when we pay our bills and communicate through satellites. Most importantly, we see space dollars at work when doctors perform surgery robotically through eyes in space, when firefighters walk into flames breathing safely through equipment developed for NASA, when … Well, there’s simply no end to the benefits gained by science.

A repeat of the broken windows fallacy (and citing its use by Cronkite makes it no less fallacious), and very few of those benefits resulted from human spaceflight.

Sigh…

The Eco-Fascists

Why are they trying to ban incandescent bulbs? It’s got to be motivated by religion, because it’s both economically irrational, and tyrannical.

[Update a few minutes later]

Germany starts to come to its senses:

What has set it all off? One of the fathers of Germany’s modern green movement, Professor Dr. Fritz Vahrenholt, a social democrat and green activist, decided to author a climate science skeptical book together with geologist/paleontologist Dr. Sebastian Lüning. Vahrenholt’s skepticism started when he was asked to review an IPCC report on renewable energy. He found hundreds of errors. When he pointed them out, IPCC officials simply brushed them aside. Stunned, he asked himself, “Is this the way they approached the climate assessment reports?”

Vahrenholt decided to do some digging. His colleague Dr. Lüning also gave him a copy of Andrew Montford’s The Hockey Stick Illusion. He was horrified by the sloppiness and deception he found. Well-connected to Hoffmann & Campe, he and Lüning decided to write the book. Die kalte Sonne cites 800 sources and has over 80 charts and figures. It examines and summarizes the latest science.

Conclusion: climate catastrophe is called off

The science was hyped. The book started hitting the bookshops today and has already hit no. 1 on the Amazon.de list for environment books. Indications show that it will climb very high in the overall bestseller charts. It’s published by a renowned publishing house and is now sending shock waves through the German climate science establishment. The first printing will produce 20,000 copies. I expect they will sell out rather quickly.

Unfortunately, the lies and fraud in the service of the holy faith continue here.

[Update a while later]

Just in case people don’t realize the significance of this, this guy is the German equivalent of Britain’s George Monbiot.