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October 11, 2008

McCraw Calls Schumpeter's History of Economic Analysis "an Epic Analytical Narrative"


McCraw on Schumpeter's History of Economic Analysis:

(p. 461) History of Economic Analysis succeeds where much economic writing or our own time fails, having sacrificed the messy humanity of its subject on the alter of mathematical rigor. Above all else, Schumpeter's History is an epic analytical narrative. It is about real human beings, moored in their own time, struggling like characters in a a novel to resolve difficult problems. Sometimes the problems (p. 462) are purely intellectual. Sometimes they are issues of public policy. Often they are both. But what Schumpeter was trying to do---and in fact did---was answer the deceptively simple question he posed in the early pages of his book: to discover "how economists have come to reason as they do."


Source:

McCraw, Thomas K. Prophet of Innovation: Joseph Schumpeter and Creative Destruction. Cambridge, Mass.: Belknap Press, 2007.

September 21, 2008

Among Academic Economists Interest in Entrepreneurship is "A Quick Ticket Out of a Job"


From McCraw's discussion of Schumpeter's "legacy":

(p. 500) In the new world of academic economics, neither the Schumpeterian entrepreneur as an individual nor entrepreneurship as a phenomenon attracts much attention. For professors in economics departments at most major universities, particularly in the United States and Britain, a focus on these favorite issues of Schumpeter's has become a quick ticket out of a job. This development arose from a self-generated isolation of academic economics from history, sociology, and the other social sciences. It represented a trend that Schumpeter himself had glimpsed and lamented but that accelerated rapidly during the two generations after his death.


Source:

McCraw, Thomas K. Prophet of Innovation: Joseph Schumpeter and Creative Destruction. Cambridge, Mass.: Belknap Press, 2007.

July 13, 2008

"Theory" Said Gene Sequencing Technique Was "Impossible"


In the book The Genome War, the story is told about how the leading theorist proved the impossibility of the gene sequencing technique. It was the Venter group that gave it a try and proved it could work. This story is similar to the one about theory saying that what Marconi was trying, was impossible. (See: Larson, 2006.)

Rosenberg and Birdzell (1986) discuss the case that theory had proven how solid objects fall. But Galileo's experiments proved them wrong. This established the primacy of experiment and evidence, over theory.

When governments decide, they usually do what is safe, which is to follow current theory (or in rare cases, they pick Lysenko).

The entrepreneurial system, takes advantage of the tacit individual knowledge that is out there, but not yet theoretically defensible, and allows it to percolate to success.

References:

Larson, Erik. Thunderstruck. New York: Crown, 2006.

Rosenberg, Nathan, and L.E. Birdzell, Jr. How the West Grew Rich: The Economic Transformation of the Industrial World. New York: Basic Books, 1986.

Shreeve, James. The Genome War: How Craig Venter Tried to Capture the Code of Life and Save the World. 1st ed. New York: Alfred A. Knopf, 2004.

July 1, 2008

The Method of Milton Friedman's Practice Was Better Than the Method of His Essay


The method of the Chicago School is often thought to be the method outlined in Friedman's famous essay "The Methodology of Positive Economics." It can be (and has been) persuasively argued that the actual methodology practiced by Friedman is broader, and more eclectic than that advocated in his early essay.

His practice continued to exemplify a kind of empiricism, but it was a kind of empiricism that included, not only 'rigorous' econometrics, but also economic history, case studies, and 'stylized facts.'

I believe that the method of Friedman's practice is sounder than the method of his essay. So it is unfortunate that the Institute founded in Friedman's name will probably only support those who practice the formal method of the essay.

(p. B5) The University of Chicago will announce Thursday that it plans to establish a center for economics honoring the late economist Milton Friedman.

The school plans to raise an endowment of $200 million to support the Milton Friedman Institute.

. . .

. . . his approach to economics embodies what has come to be known as the Chicago School. He defined that as "an approach that insists on the empirical testing of theoretical generalizations and that rejects alike facts without theory and theory without facts."

It is that approach, and the intellectual rigor that Mr. Friedman brought to it, that the Friedman Institute is meant to advocate, rather than any ideology, says Chicago economist Gary Becker, a Nobel Prize-winning former student of Mr. Friedman's who was on the faculty committee that recommended the institute.


For the full story, see:

JUSTIN LAHART. "University Plans Institute to Honor Milton Friedman." The Wall Street Journal (Thurs., May 15, 2008): B5.

(Note: ellipses added.)


The famous Friedman method essay is:

Friedman, Milton. "The Methodology of Positive Economics." In Essays in Positive Economics, 3-43. Chicago: University of Chicago Press, 1953.

March 27, 2008

Science Would Advance Faster if Results of Failed Experiments Were Easier to Find


The passages below are from a WSJ summary of an October 2007 article in Wired:

(p. B7) Scientists shouldn't be so quick to squelch the results of failed experiments, Wired Deputy Editor Thomas Goetz says.

Even if data don't deliver hoped-for results, they still have uses. This is especially the case today, when some compelling discoveries have come from meta-studies, in which statisticians sift the data of several papers to reach conclusions. "Your dead end may be another scientist's missing link, the elusive chunk of data they needed," Mr. Goetz says. Making such data available might one day fuel advances in genetics, neuroscience and biotechnology, he contends.


For the full summary, see:

"The Informed Reader; Science; Researchers' 'Dark Data' Should Be Brought to Light." The Wall Street Journal (Thurs., Oct. 4, 2007): B7.

February 22, 2008

"Sometimes It Pays to Read the Old Literature"


(p. A1) Researchers in New York believe they have solved one of the great mysteries of the flu: Why does the infection spread primarily in the winter months?

The answer, they say, has to do with the virus itself. It is more stable and stays in the air longer when air is cold and dry, the exact conditions for much of the flu season.

. . .

(p. A22) To his surprise, Dr. Palese stumbled upon a solution that appeared to be a good second best.

Reading a paper published in 1919 in the Journal of the American Medical Association on the flu epidemic at Camp Cody in New Mexico, he came upon a key passage: "It is interesting to note that very soon after the epidemic of influenza reached this camp, our laboratory guinea pigs began to die." At first, the study's authors wrote, they thought the animals had died from food poisoning. But, they continued, "a necropsy on a dead pig revealed unmistakable signs of pneumonia."

Dr. Palese bought some guinea pigs and exposed them to the flu virus. Just as the paper suggested, they got the flu and spread it among themselves. So Dr. Palese and his colleagues began their experiments.

. . .

As for Dr. Palese, he was glad he spotted the journal article that mentioned guinea pigs.

"Sometimes it pays to read the old literature," he said.

 

For the full story, see:

GINA KOLATA. "Study Shows Why the Flu Likes Winter." The New York Times (Weds., December 5, 2007): A1 & A22.

(Note:  ellipses added.)

 

February 20, 2008

Government Biologists Spend Big Bucks Protecting Wrong Fish


CutthroatTrout.jpg

"Without DNA tests, the rare greenback cutthroat trout, left, and the Colorado River cutthroat fish are difficult to tell apart." Source of caption and photo: online version of the NYT article quoted and cited below.

 

(p. 26) DENVER, Oct. 13 (AP) -- State and federal biologists, who are smarting from research showing that they may have been protecting the wrong fish the past 20 years, are regrouping in their efforts to restore the rare greenback cutthroat trout to Colorado waters.

Tom Nesler, the state biologist, had hoped to see the fish removed from the endangered species list during his career. He concedes that might not happen if it turns out some of the greenback populations biologists thought they were saving are actually the similar but more common Colorado River cutthroat trout.

A three-year study led by University of Colorado researchers and published in August found that out of nine fish populations believed to be descendants of original greenbacks, five were actually Colorado River cutthroat trout.

The recovery effort was thought to be near its goal of establishing 20 self-sustaining greenback populations.

"Hey, science happens," said Mr. Nesler with a shrug as he discussed the findings.

. . .

The Colorado Division of Wildlife has spent an average of $320,000 annually for the past five years to restore the greenback. Most of the money has come from state lottery revenue; no state tax dollars have been used.

. . .

"Science is not about proof and certainty," he said, "it's about testable hypotheses."

 

For the full story, see:

THE ASSOCIATED PRESS. "After Possible 'Oops,' a Trout Rescue Project Regroups." The New York Times, First Section (Sun., October 14, 2007): 26.

(Note: ellipses added.)

 

February 15, 2008

Private Money Supports Quest for Dinosaur DNA

 

   Source of graphic: the online version of the WSJ article quoted and cited below.

 

(p. A1)  JORDAN, Mont. -- Prospecting in Montana's badlands, rock ax in hand, paleontologist Jack Horner picks up a piece of the jawbone of a dinosaur. He examines the splinter, then puts it back and moves on. It isn't the kind of bone he is looking for.

Prof. Horner is searching for something that many scientists believe no longer exists: dinosaur bones that harbor blood cells, protein and, perhaps, even DNA.

"Most people looking for dinosaurs are looking for beautiful skeletons," he says. "We are looking for information."

. . .  

Prof. Horner, a curator at the Museum of the Rockies in Bozeman, is among the world's most influential and offbeat paleontologists. He pioneered studies of dinosaur parent-(p. A12)ing behavior, species variation and bone cells. He is dyslexic, a former Special Forces operative of the Vietnam War era, a MacArthur Foundation "genius" fellow, and a chaired professor of Montana State University who never finished a formal college degree.

"The lenses that people normally use to look at stuff are broken in Jack," says Mary Schweitzer, an assistant professor of paleontology at North Carolina State University, who has worked with him for years. "That's what makes Jack such a good scientist. Every now and then, every field should get a renegade weirdo in it who challenges assumptions."

. . .  

"The chances of finding any [dinosaur] DNA are pretty low," Prof. Horner acknowledges. "I am still hopeful."

In a field mostly outside the mainstream of federal research funding, Prof. Horner has a knack for attracting private grants. Star Wars producer George Lucas, Qualcomm co-founder Klein Gilhousen and Wade Dokken, a developer of Montana real estate, have contributed toward his research, the university says. Nathan Myhrvold, formerly chief technology officer at Microsoft Corp. and co-founder of Intellectual Ventures LLC, is helping to underwrite this season's fieldwork.

This summer, in Montana's Hell Creek Formation, Prof. Horner is searching the last landscape inhabited by dinosaurs. More than 65 million years ago, this plain was a wetland where herds of horned Triceratops watered. Today, it is an arid outwash of boulders, cactus and sage. The red and gray soil is littered with white shards of petrified wood that ring like bone china when tapped together and countless crumbs of dinosaur bone.

. . .

"As long as you are not bound by preconceived ideas of what you can find," Prof. Horner says, "there are an awful lot of things you can discover."

 

For the full story, see:

ROBERT LEE HOTZ. "Dinosaur Hunter Seeks More Than Just Bare Bones; Prof. Horner Searches For Traces of Blood, DNA; Lucky Break From T. Rex."  The Wall Street Journal  (Fri., August 24, 2007):  A1 & A12.

(Note:  ellipses added.)

  

     At top, Prof. Horner; at bottom: "Sarah Keenan, 21, an undergraduate at the University of St. Andrews in Scotland who is working this summer for Prof. Horner, covers the fossilized triceratops frill in a protective jacket of plaster."  Source of caption and photos: the online version of the WSJ article quoted and cited above.

 

January 29, 2008

Marconi Matters

 

    Source of book image:  http://palmaddict.typepad.com/photos/uncategorized/big_larsonthunderstruckdrm_1.jpg

 

Larson's book plays off a murder mystery against Marconi as the innovator who brought us communication through the air. 

I'm most enthused about hte Marconi part.  It shows how he proceeded against the theorists of the day, whose theories told them that what he was trying to do was impossible.  He was more entrepreneur, than scientist.  And it turned out that it was a good thing that the theoretical scientists did not rule, as they might if all decisions about technology were made by the government.

What happened here is an example of what Taleb would call a Black Swan.

 

Source:

Larson, Erik. Thunderstruck. New York: Crown, 2006.

 

Marconi Matters

 

    Source of book image:  http://palmaddict.typepad.com/photos/uncategorized/big_larsonthunderstruckdrm_1.jpg

 

Larson's book plays off a murder mystery against Marconi as the innovator who brought us communication through the air. 

I'm most enthused about hte Marconi part.  It shows how he proceeded against the theorists of the day, whose theories told them that what he was trying to do was impossible.  He was more entrepreneur, than scientist.  And it turned out that it was a good thing that the theoretical scientists did not rule, as they might if all decisions about technology were made by the government.

What happened here is an example of what Taleb would call a Black Swan.

 

Source:

Larson, Erik. Thunderstruck. New York: Crown, 2006.

 

November 29, 2007

Let the Evidence Decide if the Mapinguary is Myth or Real

 

   A statue of the mapinguary in Rio Branco, Brazil.  Source of the photo:  online version of the NYT article quoted and cited below. 

 

RIO BRANCO, Brazil — Perhaps it is nothing more than a legend, as skeptics say. Or maybe it is real, as those who claim to have seen it avow. But the mere mention of the mapinguary, the giant slothlike monster of the Amazon, is enough to send shivers down the spines of almost all who dwell in the world’s largest rain forest.

The folklore here is full of tales of encounters with the creature, and nearly every Indian tribe in the Amazon, including those that have had no contact with one another, have a word for the mapinguary (pronounced ma-ping-wahr-EE). The name is usually translated as “the roaring animal” or “the fetid beast.”

. . .  

The giant ground sloth, Megatherium, was once one of the largest mammals to walk the earth, bigger than a modern elephant. Fossil evidence is abundant and widespread, found as far south as Chile and as far north as Florida. But the trail stops cold thousands of years ago.

“When you travel in the Amazon, you are constantly hearing about this animal, especially when you are in contact with indigenous peoples,” said Peter Toledo, an expert on sloths at the Goeldi Institute. “But convincing scientific proof, in the form of even vestiges of bones, blood or excrement, is always lacking.”

Glenn Shepard Jr., an American ethnobiologist and anthropologist based in Manaus, said he was among the skeptics until 1997, when he was doing research about local wildlife among the Machiguenga people of the far western Amazon, in Peru. Tribal members all mentioned a fearsome slothlike creature that inhabited a hilly, forested area in their territory.

Dr. Shepard said “the clincher that really blew me away” came when a member of the tribe remarked matter of factly that he had also seen a mapinguary at the natural history museum in Lima. Dr. Shepard checked; the museum has a diorama with a model of the giant prehistoric ground sloth.

“At the very least, what we have here is an ancient remembrance of a giant sloth, like those found in Chile recently, that humans have come into contact with,” he said. “Let me put it this way: Just because we know that mermaids and sirens are myths doesn’t mean that manatees don’t exist.”

Even so, the mystery of the mapinguary is likely to continue, as is the search.

“There’s still an awful lot of room out there for a large sloth to be roaming around,” Dr. Shepard said.

 

For the full story, see: 

LARRY ROHTER.  "A Huge Amazon Monster Is Only a Myth. Or Is It?"  The New York Times, Section 1  (Sun., July 8, 2007):  3. 

(Note:  ellipsis added.)

 

Some scientists believe that the mapinguary may be based on actual sightings of a real creature related to the Megarium, two of whom are depicted above.  Source of the photo:  online version of the NYT article cited above. 

RioBrancoAmazonMap.jpg   Source of the map:  online version of the NYT article cited above. 

 

October 27, 2007

Academic Entrepreneurs in a Toxic Wasteland

 

   The Berkeley Pit was once a copper mine, and now holds a lake of toxic waste.  Source of photo:  online version of the NYT article quoted and cited below.

 

Here are a few paragraphs from a fascinating story about a couple of people who seem to be practicing what Taleb is preaching in The Black Swan:

 

BUTTE, Mont. — Death sits on the east side of this city, a 40-billion-gallon pit filled with corrosive water the color of a scab. On the opposite side sits the small laboratory of Don and Andrea Stierle, whose stacks of plastic Petri dishes are smeared with organisms pulled from the pit. Early tests indicate that some of those organisms may help produce the next generation of cancer drugs.

From death’s soup, the Stierles hope to coax life.

“I love the idea of looking at toxic waste and finding something of value,” said Ms. Stierle, 52, a chemistry researcher at Montana Tech of the University of Montana.

For decades, scientists assumed that nothing could live in the Berkeley Pit, a hole 1,780 feet deep and a mile and a half wide that was one of the world’s largest copper mines until 1982, when the Atlantic Richfield Company suspended work there. The pit filled with water that turned as acidic as vinegar, laced with high concentrations of arsenic, aluminum, cadmium and zinc.

. . .

Mr. Stierle is a tenured professor at Montana Tech, but his wife gets paid only for teaching an occasional class or if there is a grant to finance her research. From 1996 to 2001 they applied for dozens of grants, but received only rejection letters. So they financed their own research, using personal savings and $12,000 in annual patent royalty payments. In 2001, they won a six-year, $800,000 grant from the United States Geological Survey.

“Their work is considered a very high-risk approach,” said Matthew D. Kane, a program director at the National Science Foundation. “It takes a long time to get funding, and some luck to find active compounds.”

Unlike scientists at large research universities, who commonly teach only one class a year and employ graduate students to run their laboratories, Mr. Stierle teaches four classes each semester at a college with 2,000 undergraduates and no major research presence.

. . .

The couple said they were negotiating privately with a pharmaceutical company to test some of the compounds they have discovered and possibly turn them into drugs. As they wait, they open another Mason jar filled with murky pit water, draw a sample and return to work.

“The pit very easily could have been a complete waste of time,” Mr. Stierle said. “We just had luck and worked our butts off. We take that first walk into the dark.”

 

For the full story, see:

CHRISTOPHER MAAG.  "In the Battle Against Cancer, Researchers Find Hope in a Toxic Wasteland."   The New York Times  (Tues., October 9, 2007):  A21.

(Note:  ellipses added.)

 

BerkeleyPitMap.gif   In the photo immediately above, Don and Andrea Steirle work in their lab.  The map to the left shows the location of the Berkeley Pit.  Source of the photo and map:  online version of the NYT article quoted and cited above.

 

October 7, 2007

Thales of Miletus Lives

 

   Source of book image:  http://store.43folders.com/books-3-1400063515-The_Black_Swan_The_Impact_of_the_Highly_Improbable

 

This is part entertaining rant and part serious epistemology.  I've finished 9 of 19 chapters so far--almost all of my reading time spent smiling. 

Historians of Greek philosophy used to tell the story of one of the first philosophers, Thales of Miletus, that he once was watching the stars, and fell into a well.  The citizens of Miletus made fun of him being an impractical philosopher.  To prove them wrong, he used his knowledge to corner the market in something, and made a fortune. 

Not a very plausible story, but appealing to us philosophers.  (Like Thales, we like to think we could all be rich, if we didn't have higher goals.)

Well apparently Taleb is the real Thales.  He wanted to be a philosopher, got rich on Wall Street using his epistemological insights, and is now using his wealth to finance his musings on whatever he cares to muse on.

Beautiful!

 

Here's an amusing sentence that broadened my grin.  (It was even more amusing, and profound, in context, but I don't have time to type in the context for you.)

(p. 87)  If you are a researcher, you will have to publish inconsequential articles in "prestigious" publications so that others say hello to you once in a while when you run into them at conferences.

 

Reference for the book:

Taleb, Nassim Nicholas. The Black Swan: The Impact of the Highly Improbable. New York: Random House, 2007.

 

October 5, 2007

Sherwin Rosen Approves a Positive Review of Rosenberg's Book

 

Another of Sherwin Rosen’s minor acts of methodological delinquency, this time in his role as co-editor of the Journal of Political Economy, was his asking me to review Alexander Rosenberg’s criticism of the economics profession for drifting further and further into irrelevant mathematical puzzle-solving.  My review was basically favorable to Rosenberg, and my memory is that Rosen was quite content with my review.

 

The reference to my review is:

"Review of:  Alexander Rosenberg's Economics--Mathematical Politics or Science of Diminishing Returns?."  Journal of Political Economy 104, no. 3 (June 1996):  655-659.

 

October 3, 2007

When Sherwin Rosen Stunned the Fifth World Congress of the Econometric Society

         

I remember hearing Sherwin Rosen speak to a good-sized auditorium of technical economists at a plenary session of the Fifth World Congress of the Econometric Society in 1985.[i]  Rosen was proceeding in his typically bemused style, when he suggested to the stunned audience that they might benefit from re-reading Alfred Marshall.  I remember him saying that there are some things in Marshall that we don’t talk about any more, but that we should still talk about.  I specifically remember him mentioning that Marshall had said that the success of the institution of contract depended on the correct expectation of a certain level of ethical behavior among the participants in the economy.  I wish I could remember the specifics better, but Rosen’s auditors were visibly dismayed, and I supposed that they were thinking something like:  ‘read Marshall?, here was the sad sight of a once proud theoretician, going soft and senile.’



[i]I remember a large auditorium-like venue for the session, but could not remember any other session details, so I dug out a copy of the program for the meetings.  The only plenary session participation listed for Rosen, was his serving as a discussant for Oliver Hart and Bengt Holmstrom’s “Theory of Contracts” paper, which was delivered on August 19, 1985 (see:  “Program . . .,” 1986, p. 471).  In searching through Rosen’s publications, I cannot find any evidence that his comment was ever published.  In an email response (email dated Nov. 19, 2006) to my inquiry, Bengt Holmstrom has replied:  “I know that his comment was not published.”

"Program of the Fifth World Congress of the Econometric Society.”  Econometrica 54, no. 2 (March 1986):  459-505.

 

September 8, 2007

James Buchanan Convinced Harry Johnson to Over-Rule the Referees

 

  James Buchanan (center) flanked by economics graduate students at the the closing dinner of the 2007 Summer Institute for the Preservation of the History of Economics, held at George Mason University.  (Source of photo:  me.)

 

On the evening of Thursday, June 7, 2007, Nobel-prize-winner James Buchanan joined participants for their final dinner-gathering at George Mason's Summer Institute for the Preservation of the History of Economics.

As a young economist, you are advised that it is never productive to dispute the decisions of journal editors. 

But Buchanan, in conversation during the dinner, mentioned that he had only once disputed a journal rejection--of an article submitted to the JPE during Harry Johnson's editorship.  Buchanan said that he wrote Johnson a letter explaining that the referees had totally misunderstood his paper; Johnson read the paper himself, agreed with Buchanan, and published it.

This tells us something about Buchanan, but also something about Johnson.  I never took a class from Johnson, but had a conversation with him at a party or reception once, in the last year or two before his death.  All I remember about the conversation was that he was polite and respectful to an unknown graduate student, and that somehow we got onto the topic of car advertising.

I remember hearing that sometimes Harry Johnson whittled on wood carving projects during committee meetings.  Someone asked him why he did that, and he is reputed to have responded that at the end of the meeting he liked to feel as though something at been accomplished.

 

September 4, 2007

Astronauts (and the Rest of Us) Would Benefit from More Unscripted Time

 

Noctilucent clouds.  Source of photo:  http://apod.nasa.gov/apod/image/9907/noctilucent_pp.jpg

 

The excerpt below is from a WSJ summary of an article from the  June 2007 issue of Seed.

 

Many other scientific discoveries have come from astronauts puzzling over strange sights around them. Most of what is known about so-called noctilucent clouds -- thin, beautiful wisps that hover at the edge of the Earth's atmosphere -- comes from 30 years of astronauts sketching and trying to photograph them in their spare time. The strength of a certain type of cosmic ray was first recognized in 1969 when Buzz Aldrin asked fellow astronauts if they, like him, were seeing occasional streaks of light when their eyes were closed.

Such discoveries off the beaten path of the National Aeronautic and Space Administration's research agenda prompt the question attributed to an Apollo program geologist: "If human beings can do much better science than robots, why does NASA make its astronauts do science like robots?"

 

For the full summary, see: 

"Informed Reader; SCIENCE; Why Astronauts Need Down Time in Space."  The Wall Street Journal (Weds., May 9, 2007):  B15.

 

August 10, 2007

The Courage of Milton Friedman

 

The following two paragraphs are from a paper I am currently working on.

 

Milton Friedman wrote a Newsweek column many years ago that caused a firestorm of anger among his colleagues in the economics profession. Friedman’s argument was that, in general, the government is not going to do a good job of identifying the best and most productively innovative economists. In particular, he argued that economics funding by the National Science Foundation (NSF) had made the economics profession more mathematical than was appropriate.

Even his ‘Chicago’ colleagues, who were otherwise inclined to be sympathetic to his work, were appalled: Robert Lucas wrote against Friedman in the New York Times, and Zvi Griliches spoke against him before Congress. 

 

Not too long after Friedman’s article came out, I praised it during one of the sessions of a Liberty Fund colloquium held in California.  After the session, a very distinguished economist came up to me, and started talking about the Friedman article in a very irritated and animated manner.  He said that what Friedman wrote in the article, might be true, but he shouldn’t have written it in a public forum.[i]  He said that within the NSF, the physicists have always been opposed to funding economics, and that Friedman’s article gave the physicists just the ammunition they needed.  I remember distinctly that after this conversation, the distinguished economist got into his very large and very expensive car and drove off.  To the cynical, it may also be worth mentioning that this economist had received very substantial funding from the NSF.

I also remember mentioning to George Stigler my disappointment that Lucas had written contra Friedman, and Stigler gave me his cynical smile, and said that I should have expected that Lucas, and the rest of the profession, would defend NSF funding.


[i] Most of the conversation I remember in broad terms, but specifically, I remember he said something very close to:  ‘Friedman shouldn’t air the profession’s dirty laundry in public.’

 

The reference for the Friedman article, is: 

Friedman, Milton.  "An Open Letter on Grants."  Newsweek, May 18 1981, 99.

August 3, 2007

Beebe's "Colleagues Reacted Coolly"

 

    Photos of strange deep sea creatures.  Source of photos:  online version of the NYT article cited below.

 

When, more than 70 years ago, William Beebe became the first scientist to descend into the abyss, he described a world of twinkling lights, silvery eels, throbbing jellyfish, living strings as “lovely as the finest lace” and lanky monsters with needlelike teeth.

“It was stranger than any imagination could have conceived,” he wrote in “Half Mile Down” (Harcourt Brace, 1934). “I would focus on some one creature and just as its outlines began to be distinct on my retina, some brilliant, animated comet or constellation would rush across the small arc of my submarine heaven and every sense would be distracted, and my eyes would involuntarily shift to this new wonder.”

Beebe sketched some of the creatures, because no camera of the day was able to withstand the rigors of the deep and record the nuances of this cornucopia of astonishments.

Colleagues reacted coolly. Some accused Beebe of exaggeration. One reviewer suggested that his heavy breathing had fogged the window of the submarine vessel, distorting the undersea views.

Today, the revolution in lights, cameras, electronics and digital photography is revealing a world that is even stranger than the one that Beebe struggled to describe.

The images arrayed here come from “The Deep: The Extraordinary Creatures of the Abyss” (University of Chicago Press, 2007), by Claire Nouvian, a French journalist and film director.

. . .

Beebe, who ran the tropical research department at the New York Zoological Society, surely had intimations of what lay beyond the oceanic door he had opened. “The Deep” brings much of that dark landscape to light, even while noting that a vast majority of the planet’s largest habitat remains unexamined, awaiting a new generation of explorers. 

 

For the full story, see: 

WILLIAM J. BROAD.  "Mysteries to Behold in the Dark Down Deep: Seadevils and Species Unknown."  The New York Times  (Tues.,  May 22, 2007):  D3.

(Note:  ellipsis added.)

 

    "A Ping-Pong tree sponge."  Source of caption and photo:  online version of the NYT article cited above.

 

July 29, 2007

A Public Choice Theory of "Taxonomic Inflation"

 

The excerpt below is from a WSJ summary of an article that appeared in The Economist on May 19, 2007.

 

Scientists have taken to upgrading animals once thought to be subspecies into full-fledged species, in what the Economist says is an overzealous attempt to boost conservation of seemingly rare animals.

Sometimes, the reclassification of animals into their own species category is warranted, as new research reveals once-obscured markers that differentiate certain beasts. But lately, the weekly says, primatologists have been suffering from "taxonomic inflation."

. . .

. . .   One reason is that by fragmenting animal groups, the number of rare species increases, boosting animal-conservation claims.  At the same time, having a greater number of species boosts the chances that a habitat can pursue a legal designation as a protected area.

 

For the full summary, see: 

"Informed Reader; NATURE; Species Inflation May Infect Over-Eager Conservationists."  The Wall Street Journal  (Sat., May 19, 2007):  A6.

(Note:  ellipsis added.)

 

July 27, 2007

A Salute to Underappreciated Amateur Historians

 

On a bright Saturday afternoon earlier this month, 30 or so of us gathered to give James O. Hall the send-off he deserved. Appropriately enough, the memorial service was held in the James O. Hall Research Center of the Surratt House museum, in Clinton, Md., 12 miles south of Washington. Mr. Hall died in February at the age of 95, leaving no immediate survivors. The 30 who showed up were instead neighbors, friends, a pair of nieces and random hangers-on who, like me, had known him only slightly but who honored him as a giant in a long and noble and underappreciated line.

I don't think there's a good word for what Mr. Hall did: "researcher" is too dry, "historical investigator" carries hints of melodrama, and "archivist" suggests a dutiful drudge, which Mr. Hall was not. "Amateur historian" probably fits best, though it sounds vaguely derivative and second-tier. Following a career with the Labor Department -- he retired in the early 1970s -- Mr. Hall turned himself into the world's foremost authority on the assassination of Abraham Lincoln. Historians, pros and amateurs alike, sought him out for his knowledge and access to his exhaustive files. As one of them put it, James O. Hall knew more about Lincoln's murder than anyone who ever lived, including John Wilkes Booth.

. . .

"I had to teach myself genealogy," he said. "Not because I liked genealogy, but because it's how you find things that have been lost." Over the years, he tried to trace the descendants of everyone even remotely tied to the assassination. When he found a new great-granddaughter or the grandson of a nephew, he politely peppered that person with letters and phone calls, asking the descendant to rummage through attics -- or offering, even better, to do it himself. His industry never flagged, and it led him to some of his greatest discoveries. In a dusty cubby in a forgotten archive, Mr. Hall made one of the major Lincoln finds of the past 50 years: a letter of self-justification Booth wrote the morning of the murder.

Typically, in 1977, Mr. Hall chose to publish this astonishing find in the Lincoln Log, a newsletter for buffs. Its circulation was minuscule compared with the slick magazines -- National Geographic or American Heritage -- that would have loved to showcase such a find and maybe make its discoverer famous. But Mr. Hall was without professional vanity; that's what it means to be an amateur, after all.

At the end of his life, Mr. Hall treated his vast archives with the same modesty and discretion. At least two well-endowed universities made a play for the contents of his file cabinets. Instead, he gave them to the small, homespun Surratt House museum, once the country home of the Lincoln conspirator Mary Surratt and a favorite gathering place for buffs. With a single stroke, he transformed the museum into the Alexandrian library of assassination studies. It was a gesture of confidence and fellow feeling, made to all amateur historians from the best of their kind.

 

For the full commentary, see: 

ANDREW FERGUSON.  "TASTE; A History Hobby."  The Wall Street Journal  (Fri., May 25, 2007):  W13.

(Note:  ellipsis added.)

 

July 3, 2007

Neglect of the Important Issues, Is the Opportunity Cost of Pursuing the Cutely Clever

 

The Wall Street Journal summarizes an April 2, 2007 article by Noam Scheiber in The New Republic:

 

A new generation of economists has become so addicted to cleverness that dull but genuinely useful research is under threat.

"Freakonomics," the 2005 best seller that sought to explain the mysteries of everyday life through economics, is only partly to blame, writes Noam Scheiber. The deeper roots lie in a 1980s crisis of faith over economists' ability to reliably crunch numbers. Influential economist H. Gregg Lewis kicked it off by demonstrating that a host of broad, worthwhile empirical surveys of unions' impact on wages came to opposite conclusions, mostly thanks to the differing original assumptions by the studies' authors.

As a result, some economists retrenched, opting to focus on finding "solid answers to modest questions."

 

For the full summary, see:

"Informed Reader; Economics; How 'Freakonomics' Quashes Real Debates." The Wall Street Journal (Weds., March 28, 2007):  B11.

 

May 26, 2007

"A Triumph of Engaged Amateurism"

 

Steven Johnson has a great passage on the contribution of the amateur in The Ghost Map story (see below).

This is a theme that resonates.  In The Long Tail, Chris Anderson makes the case for amateurs in astronomy.  (Is it he, who points out that the root of the word "amateur" is to love?)

Stigler had an important early paper in which he discusses the professionalization of the economics profession.  He praises the results, but what he presents provides some grist for the mill of criticism too.  For example, the exit of the amateurs, reduced the applicability of the work, and turned research more toward internal puzzle-solving, and model-building.

The web is a leveler in science, as suggested in an NBER paper.  Maybe the result will be a resurgence of amateurism, and maybe that won't be all bad.

 

(p. 202)  But Broad Street should be understood not just as the triumph of rogue science, but also, and just as important, as the triumph of a certain mode of engaged amateurism.  Snow himself was a kind of amateur.  He had no institutional role where cholera was concerned; his interest in the disease was closer to a hobby than a true vocation.  But Whitehead was an amateur par excellence.  He had no medical training, no background in public health.  His only credentials for solving the mystery behind London's most devastating outbreak of disease were his open and probing mind and his intimate knowledge of the community. 

 

Source:

Johnson, Steven. The Ghost Map: The Story of London's Most Terrifying Epidemic - and How It Changed Science, Cities, and the Modern World. New York: Riverhead Books, 2006.

 

(Note:  A probably relevant, much praised book, that I have never gotten around to reading, is Martin J.S. Rudwick's The Great Devonian Controversy:  The Shaping of Scientific Knowledge among Gentlemanly Specialists.)

 

May 5, 2007

George Stigler on Astrology

 

I remember George Stigler saying (I think in conversation with me, but maybe as an aside in a lecture), that at first he had been inclined to reject a paper for the JPE that empirically tested astrology.  His reason was that, while he liked what the authors were doing, he was not sure that what they were doing, most appropriately belonged in an economics journal.

But when the authors convinced him that they would not be able to publish it anywhere else, he changed his mind and published it.

The episode tells us something about Stigler, and something about scientific method.  About Stigler, the episode provides strong evidence of the importance that Stigler placed on evidence, relative to theory.

On scientific method, the episode can be taken as an illustration of Karl Popper's distinction between the context of discovery and the context of justification.  There are many sources of hypotheses (the context of discovery).  Famously, Kepler's inspiration for the elliptical paths of planets, had a somewhat mystical source in the "perfect" solids.  But what makes a theory "scientific" is not its context of discovery, but its context of justification, viz., is the theory subjected to empirical test?

Hypotheses are not ruled out of science ab initio, but by being inconsistent with the evidence.  I agree with this view, which explains why I am a (passive) member of the Society for Scientific Exploration, which is devoted to the empirical testing of politically incorrect theories (such as UFOs, the Shroud of Turin, ESP, the Loch Ness Monster, etc.)

 

The JPE astrology article, accepted by Stigler as editor, was: 

Bennett, James T., and James R. Barth. "Astronomics: A New Approach to Economics?" Journal of Political Economy 81, no. 6 (Nov.-Dec. 1973): 1473-75.

 

A more recent empirical test of an astrological hypothesis is:

Wong, Ka-Fu, and Linda Yung. "Do Dragons Have Better Fate?" Economic Inquiry 43, no. 3 (July 2005): 689-97.

 

For more on Popper's views of science, consult:

Popper, Karl R. The Logic of Scientific Discovery. New York: Basic Books, 1959.

 

May 4, 2007

Venturing Into the Mean Streets to Get the Job Done

 

(p. 108)  It is worth pausing for a second to reflect on Snow's willingness to pursue his investigation this far.  Here we have a man who had reached the very pinnacle of Victorian medical practice---attending on the queen of England with a procedure that he himself had pioneered---who was nonetheless willing to spend every spare moment away from his practice knocking on hundreds of doors in some of London's most dangerous neighborhoods, seeking out specifically those houses that had been attacked by the most dread disease of the age.  But without that tenacity, without that fearlessness, without that readiness to leave behind the safety of professional success and royal patronage, and venture into the streets, his "grand experiment"---as Snow came to call it---would have gone nowhere.   The miasma theory would have remained unchallenged,

 

Source: 

Johnson, Steven. The Ghost Map: The Story of London's Most Terrifying Epidemic - and How It Changed Science, Cities, and the Modern World. New York: Riverhead Books, 2006.

 

April 29, 2007

"Under the Spell of a Theory"

 

Johnson's wonderful book is part mystery, part history, part philosophy of science, and part musing on political philosophy.  The passage below warms the heart (and stimulates the brain) of the libertarian.  Against great odds, Dr. Snow persisted in presenting ever-more convincing evidence for his correct water-borne theory of cholera.  Meanwhile Chadwick, the main advocate of government public health activities, continued to direct policy on the basis of the mistaken theory that cholera was spread by foul vapors in the air. 

 

(p. 120) Herein lies the dominant irony of the state of British public health in the late 1840s.  Just as Snow was concocting his theory of cholera as a waterborne agent that had to be ingested to do harm, Chadwick was building an elaborate scheme that would deliver the cholera bacteria directly to the mouths of Londoners.  (A modern bioterrorist couldn't have come up with a more ingenious and far-reaching scheme.)  Sure enough, the cholera returned with a vengeance in 1848-1849, the rising death toll neatly following the Sewer Commission's cheerful data on the growing supply of waste deposited in the river.  By the end of the outbreak, nearly 15,000 Londoners would be dead.  The first defining act of a modern, centralized public-health authority was to poison an entire urban population.  (There is some precedent to Chadwick's folly, however.  During the plague years of 1665-1666, popular lore had it that the disease was being spread by dogs and cats.  The Lord Mayor promptly called for a mass extermination of the city's entire population of pets and strays, which was dutifully carried out by his minions.  Of course, the plague turned out to be (p. 121) transmitted via the rats, whose numbers grew exponentially after the sudden, state-sponsored demise of their only predators.)

Why would the authorities go to such lengths to destroy the Thames?  All the members of these various commissions were fully aware that the waste being flushed into the river was having disastrous effects on the quality of the water.  And they were equally aware that a significant percentage of the population was drinking the water.  Even without a waterborne theory of cholera's origin, it seems like madness to celebrate the ever-increasing tonnage of human excrement being flushed into the water supply.  And, indeed, it was a kind of madness, the madness that comes from being under the spell of a Theory.  If all smell was disease, if London's health crisis was entirely attributable to contaminated air, then any effort to rid the houses and streets of miasmatic vapors was worth the cost, even if it meant turning the Thames into a river of sewage.

 

Source: 

Johnson, Steven. The Ghost Map: The Story of London's Most Terrifying Epidemic - and How It Changed Science, Cities, and the Modern World. New York: Riverhead Books, 2006.

 

February 23, 2007

New Book on Wiki (Quick) Process

   Source of book image:  http://ec2.images-amazon.com/images/P/1591841380.01._SS500_SCLZZZZZZZ_V37439749_.jpg

 

A new book is out on the wiki ("quick") phenomenon.  Chris Anderson has some stimulating comments on this phenomenon in his The Long Tail.  The Wikinomics book appears to be less profound, but may still be of interest.  (It appears to be a quick-read, management guru-jargon type book.)

The wiki issue that interests me is how wiki collaboration processes might substitute for rigorous editing and peer-review, as a way to get a lot of high-quality information out there fast.  (This is what Anderson claims, and the more I use the Wikipedia, the more plausible I find the claim.)

 

The reference to the book is:

Tapscott, Don, and Anthony D. Williams. Wikinomics: How Mass Collaboration Changes Everything. Portfolio, 2006.

 

January 29, 2007

Empirical Science at Its Best

   Source of book image:  http://images.barnesandnoble.com/images/11460000/11468284.jpg

 

I have not yet read The Ghost Map, but from the review excerpted below, it sounds liike a wonderful book.  One lesson from the book appears to be that much good can come from a careful collection of evidence, and that much harm can come from sticking to a theory in spite of the evidence.  It is also interesting that in this tale, the villain turns out to be the advocate of public works, whose good intentions resulted in much death and suffering. 

 

The sociology of error is a wonderful subject. Some university ought to endow a chair in it -- and then make Steven Johnson the first professor. Mr. Johnson last provoked the public with his counterintuitive polemic "Everything Bad Is Good For You," in which he argued that TV and videogames actually improve our cognitive skills. In "The Ghost Map" he tells the story of how for 30 years and more the medical establishment in Victorian London refused to accept what was staring them in the face, namely that cholera was a waterborne disease.

Thousands of Londoners died while doctors and public-health officials stubbornly clung to the view that the plague was an airborne miasma that hung in the foul atmosphere of the slums and was inhaled by the wretched creatures who lived there. Every kind of cure was proposed: opium, linseed oil and hot compresses, smoke, castor oil, brandy -- everything but the simple, obvious remedy of rehydration, which reduces the otherwise fatal disease to a bad case of diarrhea.

The fact that the cholera toxin tricks the cells in the lining of the colon into expelling water at a terrifying rate (victims have been known to lose 30% of their body weight in a matter of hours) should surely have alerted someone to the possibility that putting this Niagara back into the body might be worth trying. Only one doctor, Thomas Latta, hit upon the answer, in 1832, just a few months after the first outbreak ever in Britain. His mistake was not to inject enough salty water, and his lone initiative was soon overwhelmed by the brainless babble of the quacks.

Chief among the villains of Mr. Johnson's unputdownable tale was the man whom we were brought up to revere as the father of public sanitation, Edwin Chadwick. This dour, tactless, unpopular reformer laid the foundations for all the government interventions in public health that we now take for granted. Yet in this story he labored under not one but two illusions that proved catastrophic.

. . .

With the austere teetotaller and vegetarian Dr. Snow and his devoted helper in the Soho slums, the Rev. Henry Whitehead, "The Ghost Map" gains not one but two heroes. Patiently they mapped the patterns of victims and survivors and narrowed down the most likely source of the cholera plague to the Broad Street pump. But even after the pump handle was removed so that Londoners could no longer fill their buckets there and the illness subsided, the miasmatists were not convinced. Snow then tramped the streets of Battersea and Vauxhall to demonstrate that those who had their water from higher up the Thames, above the reach of the tide, remained unharmed, while those who took it from the foul tidewater perished in the hundreds. This was no easy task, since the pattern of water pipes under London's houses was as tangled as the pattern of Internet service providers are today.

Why did it take so long? Because mapping epidemics was only in its infancy, though Snow's famous map was not quite the first. Because the questions that Chadwick's public-health board researched were self-fulfilling, all having to do with the smells and personal habits of the poor and not with the water they drank. The researchers mistook correlation for causation: Nobody died on the high ground of Hampstead, where the air was purer, therefore higher was safer -- or so it seemed until a Mrs. Eley, who had retired thither, arranged to receive a jugful of water from her beloved Broad Street pump and got cholera.

But above all Chadwick and his crew were certain of themselves because the stench of the slums was so utterly disgusting and because smell acts so powerfully on our imaginations. Only the most careful and dispassionate investigators were free of the obsession with stench. Henry Mayhew, for example, noted in his "London Labour and the London Poor" (1851) that sewer-hunters, who scavenged deep underground knee-deep in muck, lived to a ripe old age. The Great Stink of 1858, which finally persuaded the government to commission Sir Joseph Bazalgette to lay down the magnificent network of sewers that have lasted to this day, did not kill a single Londoner -- yet still Chadwick did not believe.

 

For the full review, see: 

FERDINAND MOUNT.  "BOOKS; Lost in a Time of Cholera; How a doctor's search solved the mystery of an epidemic in Victorian London."  The Wall Street Journal   (Sat., October 21, 2006):  P8.

 

The reference to the book is:

Johnson, Steven. The Ghost Map: The Story of London's Most Terrifying Epidemic - and How It Changed Science, Cities, and the Modern World. New York: Riverhead Books, 2006.  299 pages, $26.95

 

SnowJohn.jpg   Dr. John Snow.  Source of photo:  online version of the WSJ article cited above.

ChadwickEdwin.jpg   Edwin Chadwick.  Source of photo:  online version of the WSJ article cited above.

 

January 13, 2007

Feynman on Viking Evidence of No Life on Mars

 

Based on the Viking tests, astronomers concluded that there probably was no life on Mars.  Begley (2006) documents the recent research showing that applying the Viking tests to earth, results in the conclusion that there is no life on earth, either.  Once again, Feynman was way ahead of his time:

  

(p. 204)  We like to sit down and talk about how different things could be from what we expected; take the Viking landers on Mars, for example, we were trying to think how many ways there could be life that they couldn't find with that equipment. 

 

Source: 

Feynman, Richard P. The Pleasure of Finding Things Out: The Best Short Works of Richard P. Feynman. New York: Perseus Books, 1999.

(Note:  italics in original.)

 

The reference on the Begley article:

Begley, Sharon. "Science Journal; Scientists Revisit Data on Mars with Minds More Open to 'Life'." The Wall Street Journal  (Fri., October 27, 2006):  B1.