Rabu, 04 April 2018

Download Ebook , by Cass R. Sunstein

Download Ebook , by Cass R. Sunstein

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, by Cass R. Sunstein

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, by Cass R. Sunstein


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, by Cass R. Sunstein

Product details

File Size: 526 KB

Print Length: 288 pages

Publisher: The MIT Press (August 3, 2018)

Publication Date: August 3, 2018

Sold by: Amazon Digital Services LLC

Language: English

ASIN: B07G8W617S

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Every economic decision we do in life involves allocation of costs and benefits. In public policy matters, the distribution of costs and benefits is the stuff of political life. The process is known as cost shifting, sometimes knowingly, but most often it is done surreptitiously in order to protect profits and sales against the fallout that occurs as a consequence of the initial action. Innovation, such as the invention of the motor vehicle and invention of electric motors and electric lighting, are generally regarded as having been beneficial to society, but the spread of costs among consumers of these products and their consequences, and the burdens they placed on others are beyond calculation. But we know they had phenomenal impacts, both within their time and to the present day. Motorized transportation required a need for improved roads; improve roads made it possible for ever larger numbers of motor vehicles traversing the landscape; powering those motorized vehicles required enormous efforts to secure petroleum deposits; and once they had been found, to develop and nurture distribution systems that became permanent features on our landscape, dominating, transportation in settled areas; and creating environmental consequences that we live with today. We tend to think that all people benefited from these developments; but in fact, different segments of society and economic strata benefited differentially or bore their immediate and long-term costs.Cass R. Sunstein is a Professor of Law at Harvard Law school. In the first term of the Obama administration, Prof. Sunstein served as Administrator of the White House Office of Information and Regulatory Affairs. His new book, The Cost-Benefit Revolution is a 'must-have' for anyone who needs to know how the regulatory framework of our country operates. The subject matter of this study is what might be called the 'fine print' that is printed on the labels of the things that we buy; how we spend our money; how we save our money or invested in pension plans, investment accounts, or even to the purchase of lottery tickets. It involves calculations of the costs involved, or the benefits to be obtained, in every form of action over which government at all levels of our society has jurisdiction to approve, to deny, to promote, or to restrict, based upon the calculated or perceived benefits or concomitant risks that people face when spending money, purchasing goods and services, or anything else they do within the framework of society.The problem with accurately assessing those perceived risks and benefits is difficult, and often speculative, as gazing into the future is hardly an exact science. In the past, much of what has passed for cost-benefit analysis is really wishful thinking, based upon hopes, investments, or other imagined happenings, that might, or might not, become realized.Within a regulatory framework, those charged with creating rules for producers and consumers of economic goods need to be as careful as possible to keep their assessment sober minded and realistic. In matters of economic regulation, primarily, the law requires that regulators have as close to a crystal ball as science and mathematics will allow them to claim. Anything found to be substantially less efficient than that standard can be attacked in the courts as being 'arbitrary, capricious, or an abuse of regulatory discretion'. On the other hand, those concerned with preserving economic liberty at the expense of the safety and well-being of others, have often attacked regulatory schemes for any purpose as being violations of natural law and the economic rights under the Constitution. The truth, as usual, lies somewhere in between.Regulation of society and its economic engines, whether by trade, agriculture, exploitation of natural resources, and so on, go back to the furthest reaches of civilization, whether in ancient Egypt under the Pharaohs, under the Roman Empire, in medieval Europe, and up to our modern day. Many of these regulations are to be found in the religious texts of every social group we can point to. Regulation is part of being civilized; and in every case, the benefits and burdens of regulation are assessed by those in power to provide a balanced framework that allows life to continue within society on a day-to-day basis, because when things get out of balance, what follows next is frequently disease, and destruction.The fundamental rule is that regulation is needed because individuals and households are frequently unable to make reasoned judgments for themselves about what is good and wholesome, things they acquire from others over which they have no control as to their origin or production, or the prices they must pay in order to acquire those goods and services. It also works the other way, as producers want fair prices for their produce, and they want to be assured that they are not being taken advantage of by those whose services are needed in order to get the fruit of their labors to market, i.e., transportation costs to transport freight from one point to another, and so on.Professor Sunstein is consummately knowledgeable about both the rationale for regulation, how it comes about, how it is applied, and how it may be challenged, and on what grounds. Better than that, his book is eminently readable.My only concern with this otherwise splendid work is that it does not address several of the most salient political and economic issues that we have faced since Professor Sunstein last served in government. In the Obama administration, Sunstein was among kindred spirits who understood the value of a regulatory framework that kept everything moving smoothly and maximize benefit to all parties involved. Nobody got everything they wanted; but most got what they needed to enable them to continue on.Then came the Trump administration, with its Opera Buffa character and ideological bent to obliterate as much of our country's regulatory framework as it could do in the time available. In a very real sense, this was a 'Revolt of the Have-Nots'. The basic theme was that government regulation, while allocating costs and benefits between producers and consumers, sellers and buyers, made things just too difficult and expensive all the way around. For large numbers of people who did not have much to begin with, who did not like environmental regulation because it got in the way of what they wanted to do, when, and how, to people whose lives are closer to subsistence living, often on fixed income, the sophistication of the regulatory environment, as related by Professor Sunstein in considerable detail, seem to be at polar opposites for simple folk who wanted immediate solutions that they could understand (and would not have to pay for) to be implemented immediately. And Donald J. Trump promised them everything, even as it was obvious that not much of it was capable of implementation; and that the real beneficiaries were really wealthy investors and business owners whose business interests would prosper mightily if most forms of regulation were eliminated, if possible, were otherwise minimized. Two years into the Trump administration. We are now just finding out just how costly that effort is going to be.With that in mind, my only criticism of Professor Sunstein's otherwise excellent effort would have to be that he was insufficiently forward-looking in assessing the manifest deficiencies in our country's regulatory environment when it comes to the Internet and how it is been co-opted by moneyed interests, and indeed foreign adversaries, as exemplified in the 2016 Presidential Election. Compared with the straitlaced consumer products market, with its focus on such things as rearward-viewing backup cameras on motor vehicles so that drivers will not run over small children while backing out of their driveways, the matter in which we regulate companies doing business on the Internet whose primary focus appears to be opinion making; data massaging; history and news fabrication; and other forms of illicit activity involving compromising our election processes need to be examined. Maybe this is not Professor Sunstein's forte; but if were going to be talking about distribution of benefits and burdens and their consequences, with or without regulation, information and privacy concerns have to be somewhere near the top of the list for the coming decades. The honesty and integrity of our politics, and indeed our public life depend mightily on how we handle this sort of regulatory framework.The problem here is that benefits and costs as discrete objects to be considered are too large to be considered, except as metaphors for describing national destiny. The Internet has become a virtual world of its own. Our thinking about how to manage it must begin with the fact that the Internet itself, unlike persons and businesses that are normally the objects of governmental regulation are merely bit players in this drama. What we have is an entity that expanding far faster than we can respond to it, and much of what goes on lies beyond our jurisdictional boundaries. We are dealing with entities that affect how we govern ourselves; manage our resources; live our lives, including how we identify ourselves to others, manage our personal privacy, and decide to whom and under what circumstances we interact with others. It matters that the Internet is scalable, because as it grew in size and complexity, by a process we call 'emergence' we are faced with phenomena that both elude our understanding and defy our attempts to control them. Companies like Facebook and Amazon have within the past two decades grown so large and powerful as to become quasi-sovereigns within their own virtual worlds in which they operate. And, as they grow in size and wealth, they will inevitably challenge temporal authority based on the influence that they wield in cyberspace. What they lack in formal, traditional political legitimacy they make up for in their economic clout. They command no army or police force, yet those who use them voluntarily submit to their demands, and yet it is only these past two years that our national leaders are awakened to the danger we face. The President's party denied that anything wrong had occurred; and now, those who would try to add up and compare respective benefits and costs of this debacle would not know where to begin. Amazon is an economic colossus beyond anything antitrust advocates have ever faced. Apple, with its iPhone and array of supporting products is no more in control of its future on the Internet as the smallest retail website. Facebook, the poster-child for social media, finds itself under scrutiny for allowing agents of the Russian Military Intelligence to purchase advertising on Facebook's platform, paid for in Rubles, no less; and no one there raised an eyebrow about what was going on. It betrays a level of arrogance and incompetence that no writer of satirical fiction in recent memory, even at their most cynical worst could have imagined.It was not so many years ago that broadcast companies were required to provide 'equal time' to provide people on all sides of an issue to be heard. It was part of their broadcast license requirements; and, consequently, people back then were better informed, even as there was less time spent on air making it happen. The Equal Time rule went away during the Reagan administration.One of the lasting results of the Great Depression was a Security and Exchange Commission and a Treasury Department that cast a watchful eye on the banking industry's involvement with investment promoters looking to capitalize on making a killing on the housing market, with the least possible risk to themselves. Until the Carter administration, home-ownership was largely restricted to middle income families and above. Civil rights activists and their supporters in Congress and in the administration were adamant about extending the financial benefits of home ownership to families who could not afford what were then fairly strict requirements for obtaining a home loan mortgage. Veterans could do it through the Veterans Administration, but that required years of military service, and even then, not everybody qualified due to income requirements.Then there was the so-called 'stagflation' that occurred during the administration of Jimmy Carter, when home mortgage interest rates went sky high. It was about that time that the chief source of home mortgage money came from Savings and Loan associations and credit unions, that then sold their loans to Fannie Mae, Ginnie Mae, and Freddie Mac, federally sponsored home loan guarantors and purchasers of those notes so that the Savings and Loan associations and credit unions could continue lending to their members. Some of us may remember the debacle involving the Savings and Loan industry when it crashed in the early 1980s when the mismatch between what those institutions were paying their depositors in interest, and what they were getting as returns on investment with depositors money, could no longer be sustained.I will not repeat here the sad story of what actually happened, except to say that the home loan industry became wildly over-extended, in part because a lot of overseas money was looking for a place to invest in as growth opportunities at home seemed to be drying up. Those who have seen that excellent movie, "The Big Short" know how the movie ends up, with small groups of savvy investors figuring out a way to bet against the big banks holding risky mortgage paper, and making a killing.It seems wildly unfair for me to attack Professor Sunstein's highly informative book, and the thoughtful analysis he puts into it, by judging him on the book that he did not write! Except, this is now 2019, and the damage I am describing occurred a decade ago in what was then a regulatory environment gone south. Compare with what happened, then and since, all that other stuff is like a group of school kids haggling over who takes what from a found bag of candy. Sort of like talking about urban planning in Pompeii in the years immediately before Mount Vesuvius exploded.The question is now what can Professor Sunstein tell us that will help us now in our hour of need. We are stuck with Donald J. Trump, at least for another year or two, but the damage he wrought will outlive all of us. What can Professor Sunstein suggest that might ameliorate that carnage. I will be listening with bated breath.

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This book is spot on.Now all we need is a non-partisan political party that focuses on process over policy. We will outline cost and benefits of each policy on a Wikipedia like website.George Washington warned us to avoid political parties and factions .Washington wasn’t a member of any political party. He was our first and last independent president. Every other president has, to some degree, divided his loyalty between “The People” and his Party and the special interest that elected him.Washington doesn’t have to be our last independent president.In fact, he was strongly opposed to political parties and factions. So much so, that a good portion of his farewell address was about the evils of “parties” and “factions”.We will say to both sides: "come let us reason together. Bring us your data, bring us your arguments, and we will put them into a survival of the fittest death match, and see what thrives, and what finally dies!"Our politicians can’t succeed because they must misunderstand & misrepresent the other side, in order to whip they side up enough to contribute money.The only way we can lead the free world is if we work together and address the arguments and data cherished by both sides of the isle. But political parties are keeping us from working together.Members of congress who work together as fellow citizens of the same country are punished for the unpardonable sin of crossing the isle and working together. They don’t even socialize together the way they used to. Working together as a fellow citizen of the same country, is now an unforgivable betrayal to you party.Political parties are destroying the American people.We view each other as enemies.Our comedians mocking and dehumanizing the other.The center cannot hold. The echo chambers are becoming dangerous.The falcon cannot hear the falconer. We cannot hear each other. We can’t solve our problems if we don’t even talk to each other about these issues. We are growing apart.We do not see the same world, tell the same jokes, consume the same media (TV, podcast, books, etc.).We are moving apart. Red states are becoming redder. Blue states are becoming bluer.Fewer of us have close friend, socialize, or even talk issues with anyone from the other side.We are invisible or worse, disgusting to the other side.A strict orthodoxy that allows no individualism to sprout dictates the type of car you drive, what are acceptable pastimes.Our Political parties are failing the American people.Our country is not doing as well in many categories as some other countries. There is no excuse for this failure. We have had every advantage a country could want. We have had a giant head start, in the race of nations. The fact that we are not doing better, is proof that our political parties are failing us.We had a giant head start.We were the first democracy.Our cities were not destroyed after World War I and World War II.We are isolated from our enemies by two oceans.We avoided the wave of communism that swept Europe and Asia, overturned their societies, killed their intellectuals and ruling classes.We have had all the advantages of guns, germs, and steel.We, compared to other first world countries, have vast natural resources.But with the many advantages we have been given, we should be a light on a hill for other countries to impulate. Instead:We rankThe USA is 43rd in homicide rates, but we lock up people at a much higher rate than any other country, let alone developed country. Our drug use funds organized crime across the planet. We have 6.5% of our population in prison. Brazil has 3.2%. Great Brittan has 1.4%, Germany, Japan, Iceland, Netherlands, Sweden, and India all have less than 1% of their population locked up. Our prisons are institutions of higher criminal learning. American politicians have not adequately addressed crime and punishment.Our transportation system is #14, and a national embarrassment.[1] We are 33rd in download speeds. Our overall infrastructure including energy, communications, water, waste, and defense is #7. [2]Our political parties are failing the education of our children. They are 24th in literacy and 23rd in science.Our health is a national embarrassment. We are 26th in life expectancy. We can’t lead the world. We can’t even march. We are passed out, sunning ourselves in the shade.The IMF, World Bank, and United Nation list us as 7th or 9th on GDP per capita.When it comes to freedoms expressed in the bill of rights, we should be leading all other nations. These freedoms include the freedom of religion, speech, the press, assemble, freedom of privacy, right to bear arms, these are hard to quantify, but we no longer lead the world. We spy on our citizens, without warrant more so than any western, or first world country.We have been guaranteed security against unreasonable search and seizures without probable cause. I have read articles outlining problems of police seize private property.Reporters without borders ranks the USA 45th for freedom of the press. We created freedom of the press! I’m not sure who reporters without borders is, but everyone across the planet should see America as the strongest allies of a transparent intelligent press.The CATO and Heritage Foundation rate the USA as #17 and #18 on the Human and Economic Freedom indexes. Our political leaders have failed to lead the free world.Our constitution, the federalist papers, bill of rights provide out government with the strongest foundation for respecting and protecting the rights of individuals. We were the first country to respect the individual with a formal constitution. We have institutions, and history that no other country can touch. But our political parties have squandered our heritage. The Corruption Perceptions Index (CPI) is an index published annually by Transparency International since 1995 which ranks countries "by their perceived levels of corruption, as determined by expert assessments and opinion surveys." The CPI generally defines corruption as "the misuse of public power for private benefit". The CPI currently ranks 176 countries. CPI looks at Bribery, cronyism, Kleptocracy, electoral fraud, legal plunder, Nepotism, slush funds, and political scandals. A study published in 2002 found a "very strong significant correlation" between the Corruption Perceptions Index and two other proxies for corruption: black market activity and overabundance of regulation. All three metrics also had a highly significant correlation with real gross domestic product per capita (RGDP/Cap); the Corruption Perceptions Index correlation with RGDP/Cap was the strongest, explaining over three fourths of the variance. Denmark and New Zealand are perceived as the least corrupt countries in the world, ranking consistently high among international financial transparency, while the most perceived corrupt country in the world is Somalia. 17 Countries have scored better than the United States in the area of political corruption. Our political parties have failed to address corruption.With all the advantages American has been blessed with, the fact that we aren’t foremost in the free world with the highest rank from every possible measurement, tells us that our political parties have failed us.The world need us to do be better partners, and leaders.North Korea is a nuclear armed, racist, cult of personality, and old-fashioned religious cult.Nuclear countries are led by brutal thugocracies.Freedom of religion, the press, and speech are under attack. We avoided total defeat and annihilation during the world and cold wars, but our future is not yet bright.The world needs us to be our best selves.Political parties are squandering our inheritance and our children’s future.We must offer a viable alternative to partisanship.We already have political parties that thinks government or free markets are the solution. Republicans think the government should be hands off economically, but be involved in social issues. Libertarians are just purer forms of republicans. We don’t need another political party that assumes one mode of thinking is the solution to every problem. They aren’t even consistent. Historically the democrat party was more into free speech on college campuses when they were pushing opposition to the vietnam war. Now they seem more interested in safe spaces. It's all so stupid. It's echo chambers all the way down. The opposite of assuming you have the answer for every problem is doing a cost/benefit analysis for each.We will say to both sides: "come let us reason together. Bring us your data, bring us your arguments, and we will put them into a survival of the fittest death match, and see what thrives, and what finally dies!"We can and must bring the socratic method to politicsThousands of years ago Socrates started epistemology. This is the practice of not assuming you already have all the answers. You actually try and figure out an independent, non emotional method of of defining truth. The enlightenment continued this process. It started 393 years ago. It might not be too late for us to move this way of thinking into our politics.We need a non-partisan political party, in order to:Build direct democracy forumsWe need an online forum that allows our citizens to outline pros and cons associated with each policy proposal.We need to be able to organize the most likely cost and benefits of each policy proposal.We will need a political party, and funding in order to build direct democracy forums.We need money to pay professional programmers and web designersSupport direct democracy candidatesDemocracy needs stronger advocates than people. We need to support principals over people. People are demagogues. People get power, and power corrupts. People fail. People die.We need long lasting institutions that are committed to open, transparent, wikipedia style direct democracy.Organize our ideasWe need to find quotes from wise independent people, like George Washington, that were opposed to political parties.Give people responsibility, and assignmentsThe Republican National Committee has a Chairperson and a treasure.Each state has a Chairperson and a committeeman and a committeewoman.

A superb book. Thoughtful, well argued, and compelling. If you want to build a better, more rationale world, read this book to learn how.

Important and well written. Highly recommended.

This book is praised by Lawrence Summers, who thinks the cost of teaching women math outweighs the benefits. I think the cost of buying and reading this book outweighs the benefits. For it to have any benefit whatsoever, the author would first have had to spend thousands of pages examining the assumptions and prejudices enabling his calculations. He spends as much time and effort doing that in this slender, chatty, oblivious tome as Larry Summers had as president of Harvard. History recent and otherwise shows exactly who benefits from this type of “economic” “analysis” and who bears the cost in blood, sweat, and tears that are to anyone with a conscience immeasurable. MIT Press should have thought twice before putting “revolution” in the title.

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