Quotulatiousness

April 13, 2017

United Airlines Honest Commercial [Jimmy Kimmel]

Filed under: Business, Humour — Tags: , , — Nicholas @ 06:00

Published on Apr 11, 2017

“No one wanted to volunteer to get off the plane because the next flight wasn’t until 2 p.m. the next day, which is almost a full 24 hours later,” said Bridges, who added that the airline selected which flyers to eject “based on an internal algorithm that weighs in … who was the last to purchase.” Bridges said the unidentified passenger was told he had to leave, but the man refused to do so.

“He said he was a doctor, he had patients he had to see in the morning, he wasn’t going to get off the plane,” Bridges recounted, “and the gate agent was like, ‘You have to get off the plane. If you don’t get off, we’ll call in security.’ And he was like, ‘Fine, call security, I’m not getting off the plane.’”

Bridges said the man wasn’t being violent with security and police officers who responded, but did say he was “kind of [flailing] his arms and trying to keep them away from him and ultimately they had to use the force, as you can see in the video.”

The shocked passengers berated United employees who boarded the plane in the ejected flyers’ place.

Late Monday, United CEO Oscar Munoz issued a statement apologizing for having to “re-accommodate these customers.”

“Does that look like re-accommodation to you?” Carlson asked. “There’s no mention of the fact that this guy is bloody and unconscious. That’s re-accommodation, according to United Airlines.”
[http://www.foxnews.com/travel/2017/04/10/united-airlines-passenger-describes-moment-unconscious-man-was-dragged-off-plane.html]

April 12, 2017

United Airlines implies that the beatings will continue until customer morale improves

Filed under: Business, Humour, USA — Tags: , , , , , — Nicholas @ 03:00

One of several videos from other passengers on the flight:

Some reactions from around the net to a United Airlines initiative to treat their customers like unruly prison inmates:

Reason‘s Brian Doherty:

The world is rightly abuzz over an awful incident yesterday in which a man was beaten and dragged off a plane by police at Chicago’s O’Hare airport for the crime of wanting to use the seat he’s paid for on a United Airline flight getting ready to leave for Louisville.

The man claimed to be a doctor who had patients to see the next morning, explaining why he neither took an initial offer made to everyone on the plane to accept $400 and a hotel room for the night in exchange for voluntarily giving up his seat nor wanted to obey a straight-up order to leave, in an attempt on United’s part to clear four seats for its own employees on the full flight.

No one considered even the $800 that was offered after everyone had boarded enough for the inconvenience, so United picked four seats and just ordered those in them to vacate. But the one man in question was not interested in obeying. (Buzzfeed reports, based on tweets from other passengers, that the bloodied man did eventually return to the plane.)

While United’s customer service policies in this case are clearly heinous and absurd, let’s not forget to also cast blame on the police officers who actually committed the brutality on United’s behalf. NPR reports that the cops attacking the man “appear to be wearing the uniforms of Chicago aviation police.”

However violent and unreasonable the incident might appear to us mere ignorant peasants, the CEO assures his minions that beatings of this sort are totally within normal procedural guidelines:

The head of United Airlines said in an email to his employees Monday that the security guards who violently dragged a passenger from his seat were following “established procedures for dealing with situations like this,” according to a tweet by CNBC reporter Steve Kopack.

“As you will read, the situation was unfortunately compounded when one of the passengers we politely asked to deplane refused and it became necessary to contact the Chicago Aviation Security Officers to help. Our employees followed established procedures for dealing with situations like this,” wrote Oscar Munoz, CEO of United Airlines.

Munoz’s message to staff comes amid public scrutiny after a passenger refused to relinquish his seat on an overbooked plane and was violently dragged off the plane by three security officers.

Surfaced videos of the incident have since gone viral.

April 10, 2017

Audit Hollywood!

Filed under: Business, Law, Media, USA — Tags: , , , — Nicholas @ 03:00

Harry Shearer has launched a suit against the owners of the movie Spinal Tap after he and his co-stars earned a pitiful sum on merchandise and music royalties, despite the film’s continuing popularity. Movie studios and music conglomerates use impenetrable and complex accounting “rules” to hide any profits (as profits need to be shared with actors, directors, musicians, and writers):

Behind the ambitious, creative talent that is Hollywood lies a darker side of the entertainment industry little appreciated by the ordinary moviegoer. It’s an opaque world of film financing, revenue accretion and minimal profit share. If exposed, as our Spinal Tap lawsuit against Vivendi aims to do, fans will no doubt be horrified at the shameful gravy train that rolls for corporate rights holders at the expense of creators. So far, challenges to media conglomerates’ comfortable status quo provoke little more than derision, since the power balance is so skewed in their favor. But, for how much longer?

Spinal Tap began as a mock rock band that we four – Rob Reiner, Christopher Guest, Michael McKean and myself – developed for an appearance on a TV pilot at the end of the 1970s. On our own initiative, we wrote and recorded most of the songs and performed them live in several music clubs around L.A. before any cameras rolled. The ultimate movie was truly, in the words of Michael McKean, “the result of four very stubborn guys working very hard to create something new under the sun.”

[…]

Unfortunately, “Hollywood accounting” isn’t a practice confined to California. Within the success story that is the European film and television industry, which generated €122 billion in 2013, less than one-third of 1 percent was shared with the writers and directors of the works created. A peculiar definition of “fairness,” you might say.

Under French law, filmmakers should be paid a fee for their work plus an ongoing remuneration proportionate to the exploitation of their creation. In reality, less than 3 percent of French writers and directors receive anything more than the initial payment of that minimum guarantee. And 70 percent of all European film directors are asked to defer a proportion of their original fees (as we, the creators of This is Spinal Tap, originally agreed to do).

The Europeans are simply following Hollywood’s lead; however, Spinal Tap‘s rights are determined by US law. In fighting for creators’ rights against a French conglomerate, Spinal Tap is simply pursuing a legal path well-trodden by our American creator peers. The well-known science-fiction “flop” of a film, Return of the Jedi, has apparently never gone into profit despite earning almost $500 million worldwide. Harry Potter and the Order of the Phoenix, apparently “lost” almost $170 million.

April 9, 2017

The Internet-of-Things wants to invade your kitchen

Filed under: Business, Food, Technology — Tags: — Nicholas @ 04:00

Megan McArdle on the good and bad (mostly bad, IMO) of adding extra layers of technological sophistication to your kitchen appliances. If someone hasn’t already offered a hand-blender, can-opener, or soup tureen with Wi-Fi and/or Bluetooth built-in, just wait a bit … it’s bound to happen.

I don’t think of myself as having Luddite tendencies, but I confess that when I see refrigerators with screens set into their doors, my first thought is: “Why?”

No, don’t tell me that you can stream music or look inside the refrigerator. I already have technology for that — respectively, my Amazon Echo and this app called “opening the door.” Neither costs the thousands of extra dollars I would have to pay to get my hands on a Samsung Family Hub Refrigerator. And if my music streamer breaks, I can replace it without calling an appliance repair company and spending a fortune on parts.

I have similar sensations about many of the technologies on offer in today’s appliances. Every major appliance manufacturer seems to be looking for a way to stick wi-fi into their products, for example. And I confess, I have occasionally fantasized about starting a pie cooking in my oven, sauntering to the other side of my 5,400-square-foot home for a dip in the pool, and being able to use my phone to turn down the heat on the pie after 10 minutes. Alas, in the trim 1,700-square-foot rowhouse I actually live in, I am never far enough from my kitchen to actually justify resorting to my smartphone rather than my feet.

We are at a curious moment in cooking technology. The last decade or so has probably introduced more technology potential into the kitchen than any previous decade except the 1930s. Sous vide, electric pressure cookers, fuzzy logic rice machines, induction cooktops, food processors that also cook, wi-fi controls, web connections … these things are now common enough for ordinary cooking enthusiasts to have at least heard of them, if not tried them. It is an era of enormous potential. And yet, that potential is frequently not realized, because we can’t actually figure out what to do with all our new toys.

Don’t get me wrong: I’m not saying that all of this new technology is useless. Far from it! I am an enthusiast for many of them. And yet, almost all these whiz-bang technologies fall prey, to some extent, to one of two problems. Either they are not actually very useful, or they are so spectacularly revolutionary that the average home cook can’t figure out what to do with them.

And this doesn’t even dip in to the awesomely terrible security issues of so many Internet-of-Things devices, creating new, wide vistas for Ransomware scumbags…

April 6, 2017

Words & Numbers: Taxing Robots Does Not Compute

Filed under: Business, Economics, Technology — Tags: , , , — Nicholas @ 04:00

Published on 5 Apr 2017

This week, Antony and James break down Bill Gates’ recent suggestion that companies that use robots instead of human workers should pay employment taxes in order to fund new welfare programs.

On legalization the feds are headed the wrong way

Filed under: Business, Cancon, Law, Liberty — Tags: , , , — Nicholas @ 03:00

Libertarian Party of Canada leader Tim Moen looks at the public safety aspects of Justin Trudeau’s marijuana legalization plans:

If we are concerned about public safety we need to make it more attractive for people to grow, distribute and consume cannabis legally than illegally so that there is engagement with public safety mechanisms. Right now it is far more attractive for people to grow and consume illegally. Cannabis is easy to produce, you just need seeds and dirt, and there is a high demand for it. A regime that restricts legal supply through onerous licensing and prohibitions will drive up illegal supply to meet the demand.

We were seeing a trend towards improved public safety. Storefronts offered customers a safe place to buy cannabis from businesses that had a vested interest in developing a reputation for quality and safety. Small- to medium-sized growers have been operating in the sunlight where public safety officials like me could inspect and educate. Cannabis was emerging from the shadows and the problems associated with illicit activity were fading away.

All the Trudeau government had to do was notice what was going on and end the rules that made it difficult for public safety to emerge. Instead, over the past month we have seen a hard crackdown on storefront cannabis dispensaries. Coordinated raids have occurred across the country and some business owners are facing financial ruination and life in prison at the same time the Trudeau government has announced legalization by the summer of 2018. The message to the cannabis industry is loud and clear, “Fall in line with the regime, or else.”

The federal government is poised to adopt the report of The Task Force on Marijuana Legalization and Regulation as the way forward and this is cause for serious concern from a public safety perspective. The Task Force recommends a requirement for a federal license to grow cannabis commercially. If you’re one of the hundreds of small- to medium-sized dispensaries currently operating in the sunlight your days are numbered. If you are a customer of one of these dispensaries you will be faced with a choice of big government-approved corporation or local black market dealer.

It’s not clear why customers would choose the low quality, limited access, unreliable cannabis that a few big government-approved corporations would provide over locally grown craft cannabis. Imagine if growing tomatoes required a federal license and there was a coordinated effort to raid local growers and sellers who did not have a federal license. Would people stop putting tomato seeds in dirt? Would people drive past an unlicensed farmer selling big, fresh, juicy tomatoes from a roadside stand on their way to a licensed grocery store which may have some small, pale, nearly-spoiled tomatoes in stock? It is naive to imagine people are going to follow stupid rules that they can easily avoid following, yet this naivety has permeated cannabis prohibitionism and continues to permeate the thinking of cannabis legislators.

QotD: The “real” “synergies” of corporate mergers

Filed under: Business, Quotations, USA — Tags: , , , — Nicholas @ 01:00

There can be a few factors behind consolidation. For example, massive economies of scale. Or … well, I’m afraid this is a bit delicate, but I can’t let it go unmentioned: Industries consolidate to reduce the number of players in the market, giving the remaining players more pricing power. Antitrust regulators tend to put on their big frowny face if companies cite the latter reason, so the public statements made by companies in consolidating industries tend to focus on more superficially attractive reasons like cost savings and “broader industry reach,” or more ethereally vague words like “synergies.”

True to form, Anthem is claiming that nearly $2 billion in synergy savings will be realized by the merged entities. This is probably true, to some extent. But you should keep in mind that mergers are themselves extremely costly. And I don’t just mean the fabulous fees that investment bankers and consultants collect to facilitate them. Joining two entities into one is really difficult: Corporate cultures clash, turf wars damage morale and profits, IT systems never do work right together, key employees leave, customers are alienated. So in general, these sorts of statements should be taken, not just with a grain of salt, but while sitting next to a salt lick with a big bag of Mr. Salty Pretzels and some cocktail peanuts to wash the whole thing down.

Megan McArdle, “No Wonder Insurers Want to Merge”, Bloomberg View, 2015-07-24.

March 30, 2017

You can now have beer brewed to your taste (as encoded in your genome)

Filed under: Business, Science — Tags: , , — Nicholas @ 12:07

For those with a taste for custom-brewed beer (and a very big budget), you can now have a batch of beer created to match your taste preferences, scientifically:

London-based Meantime Brewing Company, acquired a year ago by Belgian beverage multinational Anheuser-Busch InBev, wants to sell you beer tuned to your taste.

To do so, the company plans to direct willing customers to genetic testing service 23andMe – the Silicon Valley personal genomics biz that’s slowly emerging from its near death experience at the hands of US health regulators – to evaluate their genetic taste proclivities.

For a mere £25,000 (~$31,200), beer lovers who prefer entrusting purchasing decisions to science rather than self-knowledge can buy 12 hectolitres (about 2,100 Imperial pints or 2,500 US pints) of ale tailored to taste preferences encoded in their genome.

Customers supply their saliva, 23andMe sorts the genes, and Meantime crafts a beer to fit inborn affinities.

“Pioneering personal genetics company 23andMe will assess hereditary variations in your oral taste receptors (the TAS2R38 gene) to reveal the genetic variants that could explain personal preferences towards specific flavour profiles within beer, such as sweetness and bitterness,” the company explains on its website.

And if the genetically dictated balance of flavors doesn’t align with actual taste preferences, Meantime has left itself an out – customers get a consultation with Brewmaster Ciaran Giblin to adjust the flavors if necessary.

That’s almost certainly for the best since, as 23andMe points out, the role of genetics in taste preferences is uncertain. “Scientists aren’t yet sure how much of our taste preferences are genetic, but estimates are generally around 50 per cent,” the company says in the Taste report it offers subscribers.

March 29, 2017

The long political road to a legalized marijuana market

Filed under: Business, Cancon, Law, Liberty — Tags: , , , , , — Nicholas @ 03:00

Chris Selley discusses the federal government’s much-hinted-at full legalization plan which is expected to be implemented in time for Canada Day next year, and what it means for the existing quasi-legal market:

In any event, the legislation will have the benefit of forcing the provinces finally to come to grips with their policy preferences.

[…]

The others will soon have to follow suit. And they should be considering what to do if legalization doesn’t happen, as well. Tabling the legislation and any associated boosterism is only going to energize the open black market that has flourished in Canadian cities’ storefronts under the polite fiction of “dispensaries,” making a hollow mockery of the law.

The cries of injustice when police bust these businesses have been silly. Policing marijuana isn’t a great use of resources at any time, if you ask me, but a Liberal campaign promise isn’t worth the paper it’s printed on; it’s certainly not a legal defence. If you’re a “budtender” working for minimum wage in a “dispensary,” now would be a good time to realize that, under the law, you’re a minimum wage drug dealer.

In Toronto, it has been instructive, if not surprising, to see that the dispensary model works. People value the expertise, the variety of retail environments, the fact it’s not some dodgy dude on a bike who wants to hang out for an hour. The only things wrong with the model are byproducts of prohibition: lots of cash on hand makes them a target for robberies, for example, which often go unreported.

Across the country, people are happily buying marijuana the way people in jurisdictions all over the world (though certainly not in Ontario) buy their other intoxicants of choice.

That’s a lesson for Canadian jurisdictions to learn if the Liberals legalize marijuana: the private sector can handle it. And it’s a lesson if it stays illegal, too. The law is the law, but if Ottawa’s going to encourage people to break it, the ensuing mess doesn’t have to be the provinces’ problem.

Instead of enforcing it very sporadically, they could just not enforce it at all. Better yet, under such a policy, they could try to remedy some of the problems that prohibition creates in the storefront market.

QotD: The humble vodka soda

Filed under: Business, Humour, Quotations — Tags: , , — Nicholas @ 01:00

My favourite drink? Vodka soda on the rocks, no lemon. Unpretentious, dependable, easy to slap together, gets the job done. It’s basically the Ford F-150 of cocktails. And clear as rain, so it won’t stain my wife’s dress if some good-time Charlie slaps me on the back at a party. For years, it has been my odourless, tasteless, ten-ounce refuge of gastro-utilitarian sanity in a world full of foodies gone mad.

But those days are over: the vodka soda has gone the way of wine, Scotch, and gourmet hot sauce. Order one at any velvet-rope bar or restaurant, and the waiter follows up by asking your preferred brand of hooch — under the demonstrably false conceit that the human tongue can distinguish between what are effectively different varieties of windshield-wiper fluid.

Last month, when a waiter launched into an especially long list of unpronounceable Russian and Scandinavian words apparently corresponding to fashionable vodka brands, I felt as if I were in a scene from “The Emperor’s New Clothes.” I really can’t tell the difference. Just give me the cheapest one on the list were the words on my lips.

Of course, I said nothing of the sort, because I didn’t want to come off as a rube. So instead, I declared emphatically, “Oh, Grey Goose, please” — recalling at random the last brand I’d seen advertised in an upscale travel magazine.

Moments later, the waiter returned with my drink, and it tasted fine. Which is to say, it tasted exactly like every other vodka soda I had ever tasted — or, indeed, that had ever been tasted by any other human in the history of fermented spud juice.

This, more than anything else, is what I have come to resent about foodie culture: Not just that it is pretentious and expensive. Not just that it makes me feel guilty about the Cheez Whiz sandwiches I put in my kids’ lunch boxes. But that it turns us all into liars.

Jonathan Kay, “Lies My Waiter Told Me: Foodie culture has invaded my vodka soda. It’s time to fight back”, The Walrus, 2015-08-17.

March 25, 2017

QotD: Why I hate Big Oil

Filed under: Business, Politics, Quotations — Tags: , , — Nicholas @ 01:00

For many years now, I – and many sceptics like me – have been accused by climate alarmists of being “in the pay of Big Oil”. But even though we deserve it for promoting fossil fuels so enthusiastically and fighting their critics so heroically, few of us have ever received even a penny for our troubles. That’s because Big Oil is far too busy trying to greenwash its image – as Shell itself did by sponsoring the Guardian’s environment pages for many years – to waste time on the plucky, outspoken heroes who do a better job for Big Oil’s PR than the Big Oil’s paid PR departments do.

Mainly, though it’s disgust. Big Oil has this public image of being an industry for fearless, no-nonsense manly men who aren’t afraid of getting their hands dirty or braving the environmentalists’ wrath in order to do their ugly but important work supplying the world with much-needed energy.

Yet it’s an image almost entirely undeserved.

Almost everyone at a senior level in Big Oil is a craven, simpering, politically correct, spineless, surrender-monkey corporate shill. They’re cowards who are scared of free markets, won’t speak up for capitalism, won’t even defend their core business.

James Delingpole, “Why I Totally Hate Big Oil – And Why You Should Too…”, Breitbart.com, 2017-03-14.

March 24, 2017

The LCBO “phones in” their Ontario VIP selections

Filed under: Business, Cancon, Wine — Tags: , , — Nicholas @ 03:00

Michael Pinkus on the odd choices of wines to celebrate some Ontario wine luminaries:

Let’s be honest, the LCBO is lackadaisical, at best, when it comes to promoting Ontario wines, and they do it with such a blasé attitude it is embarrassing in the way they continue to absolutely fail the people of Ontario … let me explain and expand.

The main feature of the April 1, 2017 release is “Visionaries, Innovators and Pioneers” (VIP) – on a global scale – here you’ll see names you recognize and wineries that are household names (or one’s that should be) – people like Angelo Gaja (Italy), Ben Glaetzer (Australia), Ken Forrester (South Africa), Michel Chapoutier (France) and Nicolas Catena (Argentina) and for each they pair a wine to go along with them … I question the wine selection for these iconic wine luminaries, but what the hey, sometimes those iconic wines are sold out (icon wines do that) and you then have to go for secondary wines by those producers.

Then I reached the part with our local VIPs: Moray Tawse (true, a more recent member of the VIP club and in my opinion kind of an easy choice by the LCBO), even more lazy are the wines selected, far from what I would call his “iconic” ones; but that seems to be par-for-the-course in this release. Tawse makes single vineyard / single block wines that are “the bomb”, yet the LCBO chose a “Growers Blend” and a “Sketches” wine, seriously?

But the one that incensed me the most was Chateau des Charmes, not for the man they named, Paul Bosc Sr., who is a Visionary, Pioneer AND Innovator in Ontario, but the wine that was chosen to represent him: Cabernet Icewine? When I saw that, you could have knocked me over with a feather; what happened to Gamay Noir Droit? Single vineyard varietal offerings? Sparkling wine? Or even Equuleus? But instead of showing off these iconic / original table wines the LCBO goes for the easy layup of Icewine; which isn’t even what Bosc is known for (though he makes excellent versions of it), that honour should have gone to Inniskillin (Donald Ziraldo and Karl Kaiser)

March 23, 2017

The rent is too damned high? I know – let’s kill the rental market!

Filed under: Business, Cancon, Economics, Government — Tags: , , , — Nicholas @ 04:00

Toronto’s real estate market has been insane for years, with prices for utter wrecks still approaching a million dollars. This has a knock-on effect for rental housing, with insufficient supply guaranteeing that rents will also go higher and higher. The Ontario NDP thinks they’ve got a silver bullet to fix the rental market: rent control! Chris Selley explains why this won’t work out the way eager would-be renters in Toronto might hope:

The NDP’s solution: rent control. MPP Peter Tabuns tabled a private member’s bill Monday that would extend limits on annual rent increases to units built after 1991 — thus closing a so-called “loophole” the Mike Harris Tories introduced in hopes people would build more new units. The Liberals followed quickly behind, with Housing Minister Chris Ballard promising “substantive rent control reform” — details to come.

You can see the attraction, politically. Robber baron landlords swoop in, cackling, forcing families onto the streets and auctioning off their homes, literally, to the highest bidder. The government can stop it. Why won’t the government stop it?

No doubt there are some very sympathetic stories out there. But we in the media tend to be very good at finding those, and it’s hard not to notice the preponderance of “victims” who could afford very high rent in the first place, and didn’t do their homework with respect to rent control or the lack thereof. A typical example: CBC introduced us to a 32-year-old who was paying $1,650 a month for a tiny one-bedroom condo, only to be sent couchsurfing by a whopping $950 increase.

[…]

The fact is, rent control would largely help high-end renters in a high-end market. The vast majority of units that aren’t rent controlled are condos. In October, CMHC pegged the condo-over-apartment rental premium in the GTA at 46 per cent for one-bedrooms, 54 per cent for two-bedrooms and 65 per cent for three-bedrooms.

The real challenge these days is finding an apartment, period: the vacancy rate in October was 1.3 per cent. Critics say the “loophole” didn’t actually incentivize building rental apartments, but closing the “loophole” certainly won’t. Indeed, it’s tough to see how it would accomplish much except transferring money from unit owners to their tenants. Many will like that idea on principle — but if owners can’t rent to the highest bidder, they are unlikely to suddenly rent for less to the youngest, most disadvantaged and most vulnerable people rent control ostensibly helps.

If you want central Toronto to be a more affordable place to live, you need to figure out how to boost supply. There are lots of different ideas out there. It’s a topic of constant discussion at City Hall and Queen’s Park alike. Rent control is nothing but a political distraction.

QotD: The Economist

Filed under: Business, Economics, Media, Quotations — Tags: , , — Nicholas @ 01:00

When I was living in a very remote part of the world I used to read The Economist from cover to cover, though it arrived two months late (communications in those days were not yet instantaneous). It made me feel that I was well-informed, if only in retrospect, despite my isolation. It was my window on the world.

Even then, though, I thought that it was dull and self-congratulatory, characterizing itself as of “the extreme centre.” I noticed that its reports at the front did not always coincide with the economic data at the back and that its prognostications were frequently belied by events — as, of course, most people’s prognostications are. Nevertheless, it managed to convey the impression that the disparities, insofar as they acknowledged them at all, were the fault of the events rather than of The Economist, and that the world had a duty to be as The Economist said it was and as it would be. The anonymity of the articles was intended to create the illusion that the magazine spoke from nothing so vulgar as a perspective, but rather from some Olympian height from which only the whole truth and nothing but the truth could be descried. It is the saving grace of every such magazine that no one remembers what he read in it the week before. Only by the amnesia of its readers can a magazine retain its reputation for perspicacity.

I found its style dull, too. How was it that correspondents from Lima to Limassol, from Cairo to Kathmandu, wrote in precisely the same fashion, as if everything that happened everywhere was fundamentally the same? Walter Bagehot, son-in-law of the founder of The Economist and its most famous editor, was a brilliant prose stylist and a wonderfully witty literary critic, among many other things; but The Economist has long been about as amusing as a speech by David Cameron. Its prose was the literary equivalent of IKEA furniture, prefabricated according to a manual of style; it tried to combine accessibility with judiciousness and arrived only at portentousness.

Who now reads it, and what for? I suppose there is a type of functionary who does not want to be caught out in ignorance of the latest political developments in Phnom Penh, or the supposed reasons for the latest uprising in Ouagadougou. The Economist is intellectual seriousness for middle management and MBAs. To be seen with it is a sign of belonging to, and of identifying with, a certain caste.

Theodore Dalrymple, “From Boring to Baffling”, Taki’s Magazine, 2015-08-01.

March 18, 2017

Don’t just “fix” CAFE … eliminate it

Filed under: Business, Environment, Government, Technology, USA — Tags: , , — Nicholas @ 03:00

Virginia Postrel on the best idea for fixing the Corporate Average Fuel Economy regulations:

Although Congress originally established the Corporate Average Fuel Economy, or CAFE, standards to conserve gasoline in 1975, the Obama administration justified its sharp hike as a way to curb greenhouse gases under the Clean Air Act. A reversal will almost certainly trigger legal challenges.

Fighting over the right level for fuel-economy mandates obscures the fundamental problem, however. The CAFE standards are lousy environmental policy. Instead of targeting the real issue — burning less gasoline — the mandates meddle in corporate strategy, impose enormous hidden costs, and encourage drivers to hang on to their old gas guzzlers. Republicans should scrap the standards altogether while they control the White House and Congress. The CAFE rules are a terrible way to achieve either fuel savings or lower carbon emissions.

For starters, measuring miles per gallon is a misleading way to think about fuel efficiency. What we need is the reverse: gallons per mile. That more clearly shows how much fuel a given improvement might save. Going from 3.3 gallons per 100 miles (better known as 30 mpg) to 2 gallons per 100 miles (50 mpg) presents a much tougher design challenge than getting from 6.7 gallons per 100 miles (15 mpg) to 4 gallons per 100 miles (25 mpg). Yet the more modest improvement saves more than twice as much gasoline. And that’s without considering the relative popularity of gas guzzlers or how better gas mileage can encourage people to drive more.

And, of course, CAFE standards affect only new vehicles, a tiny percentage of the total. Higher mandates don’t get old ones off the road and, in fact, they may very likely keep gas guzzlers driving longer. Research by economists Mark Jacobsen of the University of California-San Diego and Arthur van Benthem at the Wharton School finds that among vehicles more than nine years old, the least fuel-efficient ones stay on the road the longest. By raising the prices of new vehicles, tighter fuel regulations encourage drivers to buy used ones or simply keep what they already have.

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