Echo Chamber

The political blog-o-sphere is sometimes criticized as being an echo chamber where sound-bites and jingos are endlessly repeated without thought, analysis or value-added comment.

I am going to run the risk of contributing to that stereotype because I want to echo something that I think merits wider attention.

From Marginal Revolution:

This paper does a development case study at an extreme micro level (one city block in New York City), but over a long period of time (four centuries). We find that (i) development involves many changes in production as comparative advantage evolves and (ii) most of these changes were unexpected (“surprises”). As one episode from the block’s history illustrates, it is difficult for prescriptive planners to anticipate changes in comparative advantage, and it is easy for regulations to stifle creative destruction and to create misallocation. - See more at: http://marginalrevolution.com/marginalrevolution/2015/08/the-history-of-one-nyc-block.html#sthash.Zg6nkGPK.dpuf

This paper does a development case study at an extreme micro level (one city block in New York City), but over a long period of time (four centuries).  We find that (i) development involves many changes in production as comparative advantage evolves and (ii) most of the changes were unexpected (surprises).  As one episode from the block's history illustrates, it is difficult for prescriptive planners to anticipate changes in comparative advantage, and it is easy for regulations to stifle creative destruction and to create misallocation.

This paper does a development case study at an extreme micro level (one city block in New York City), but over a long period of time (four centuries). We find that (i) development involves many changes in production as comparative advantage evolves and (ii) most of these changes were unexpected (“surprises”). As one episode from the block’s history illustrates, it is difficult for prescriptive planners to anticipate changes in comparative advantage, and it is easy for regulations to stifle creative destruction and to create misallocation. - See more at: http://marginalrevolution.com/marginalrevolution/2015/08/the-history-of-one-nyc-block.html#sthash.Zg6nkGPK.dpuf

This paper does a development case study at an extreme micro level (one city block in New York City), but over a long period of time (four centuries). We find that (i) development involves many changes in production as comparative advantage evolves and (ii) most of these changes were unexpected (“surprises”). As one episode from the block’s history illustrates, it is difficult for prescriptive planners to anticipate changes in comparative advantage, and it is easy for regulations to stifle creative destruction and to create misallocation. - See more at: http://marginalrevolution.com/marginalrevolution/2015/08/the-history-of-one-nyc-block.html#sthash.Zg6nkGPK.dpuf

Some academics criticize America for fixating on short time horizons. Four centuries is a very long time.  I don't see how they can dismiss this paper.  It has a long time horizon, good credentials and it is a home-grown experience.

Limits of central planning

One of my favorite topics involves the limits of central planning.

As individuals we chafe at the infringment of our freedoms, our rights.  But my pain will convince nobody else that excessive reliance on central planning is inherently limited.  To be persuaded they need to be shown the limits, the graphic failures and viable alternatives.

The acrobatics of these birds are not choreographed by a central planner.  This video is a bit long at five minutes, but it is a great metaphor for the complex feats of coordination that can be accomplished by following a few simple, robust rules. 

This article in the Smithsonian describes how birds pull this off.  In simple language, there are some clots of "opinion leaders", birds who are flying in significantly tighter formation than the general flock.  The other birds in the flock use them as their primary reference points for navigation.

"Opinion leaders"...flying in significantly tighter formation...  I wonder if that is what political bloggers are attempting to be.  And I wonder if the tendency to "echo chamber" is an attempt to create the illusion of flying in a tighter formation.