Things to Read at Lunchtime on May 2, 2014

Should-Reads:

  1. Sarah Kliff: Seven things we now know about Obamacare enrollment: “1…. 8,019,763 people enrolled [via Marketplaces] between October and April…. 2. This is not the number of people who will have health insurance through the exchange this year. People will shift off… and others will shift on… 3. The individual market had lots of flux before Obamacare – and will have lots of flux after it…. 4. Enrollment looks really different from state to state…. 5. Most people who have signed up for plans do seem to be paying their insurance bills…. 6. The exchanges aren’t the only place where people are gaining coverage through Obamacare. About three million young adults signed up for their parents’ plan…. Other people are getting covered through the health care law’s expansion of Medicaid…. 4.8 million people signed up for Medicaid since October, but [HHS] hasn’t specified how many of those people were newly-eligible for Obamacare’s expansion…. Medicaid enrollment grew five times faster in states that expanded the program than those that didn’t. 7. Is 8 million people signing up for private insurance a success? That’s hard to say…. You could see the 8 million as a proof-of-concept: there was a sizable audience of people who decided they wanted what Obamacare was selling. This wasn’t taken as a given at the start of open enrollment, or even as recently as December, when health law sign-ups lagged far behind projections. At the same time, there are lots of people without insurance who didn’t sign up…”

  2. John Cassidy (2012): Inequality 101: The Picket Fence and the Staircase: “I should acknowledge that many conservatives still believe that inequality isn’t anything to worry about. Some of them say that commonly used statistics, such as the ones I have cited, exaggerate the inequities in the U.S. economy. Others argue that inequality is healthy—a sign that innovation and entrepreneurship are being rewarded…. Diana Furchtgott-Roth… Richard Epstein…. I don’t find these arguments convincing. In the words of the Economic Report of the President: ‘The confluence of rising inequality and low economic mobility over the past three decades poses a real threat to the future of the United States as a land of opportunity’…”

  3. Virginia Heffernan: Real Reading, Fake Reading: “Here’s where our most sacred class values came in, pounded with a hammer. It’s no surprise that The Atlantic and The New Yorker serve as the old guardians, policing the borders of literacy. Spritz works, they concede, for stuff you have to read—discovery, briefs, memos and social-media ‘updates’ for data merchants and info tradesmen—not for the pleasure reading of books that defines the true man of letters. Juxtaposing a moral line on a class line, Spritz, several reviewers argued, was not for virtuous people who liked to read. It was for subliterate business types who have to read. Separating real from false reading, and real from false readers, has been a power proposition with sinister consequences the 1st century A.D., when sofers argued that reading the then-new codices (books with separate pages) wasn’t really reading. Until you’ve found your way in a maddeningly disorienting Torah scroll, went the argument that safeguarded the scribes’ status as the one literate caste, you haven’t really read at all…. Most of the attacks on Spritz came dressed in scientific jargon. That didn’t make them any less off-kilter…. Spritz’s research show[ed] that readers using it retained as much or more of what they read using traditional technologies (pages, books, scrollable screens)…. Novel-reading is today the defining practice of the sound and literate mind. If you don’t read ‘for pleasure,’ after all—reading, that is, ‘not for work or school,’ in the words of the National Endowment for the Arts—you are not said to read at all…. But in a rousing and beloved 1797 screed called ‘Novel Reading, a Cause of Female Depravity,’ novels are depicted as more sickening than coal dust in a boy’s scrotum…. In impelling women to have premarital and extramarital sex, novels were not said to fill pretty heads with sordid notions (also a rank metaphor), but rather to pollute the bloodstream: ‘Without this poison instilled, as it were, into the blood, females in ordinary life would never have been so much the slaves of vice.’…”

Should Be Aware of:

Continue reading “Things to Read at Lunchtime on May 2, 2014”

The Profoundly Depressing May 2, 2014 Household Employment Release: First Cut

static version in case of linkrot
static version in case of linkrot

Another hugely household depressing employment report: when the unemployment rate falls by 0.4%-points, but when none of the fall is due to a rise in the employment-to-adult-population ratio, it is very bad news indeed…


Alas! The <iframe> tags are getting stripped out for some reason…

Here are the static versions:

And here are the URLs of the iframes:

Things to Read on the Evening of May 1, 2014

Should-Reads:

  1. Today’s Bad Piketty Review: Benjamin Domenech: The Right Needs a New Message on Income Inequality: “Few French economists have achieved the kind of adulation Thomas Piketty has experienced recently from the media and the left… fit perfectly with the left’s frame of an inequality message… plays to the strengths of the old-school class-warfare terminology used by Paul Krugman and others…. But… the Democratic Party largely owns the current regulatory system and the relationship between government and Wall Street… proposals to raise the minimum wage and enact crushing, anti-growth taxes on high earners and inheritances are provocative but unlikely to go anywhere… Hillary… [is] as closely tied to America’s 1% as, well, Mitt Romney. And… income inequality is simply not a significant problem…. U.S. economic mobility is very good: Most Americans will move up and down the income ladder… little to none of the class stratification and inheritance concerns…. What the right should learn from the Piketty pother is that… there is an enormous opportunity here for a message of free-market fairness…”

  2. Jonathan Chait: Did the Supreme Court Tip Its Hand on Climate?: “Few people noticed when the Supreme Court issued a ruling in favor of the Environmental Protection Agency yesterday…. The EPA now has an effective tool to prevent states from allowing nitrogen oxide and sulfur dioxide to waft into neighboring states…. But perhaps more important is what it augurs…. In June, the Environmental Protection Agency will issue regulations of greenhouse-gas emissions from existing power plants. My tediously reiterated belief is that the fate of these regulations constitutes the biggest story by far of President Obama’s second term, and arguably his entire presidency…. In 2007, the Court not only allowed but actually ordered the EPA to regulate heat-trapping gasses. The Bush administration evaded the order by refusing to open an email containing the agency’s official finding that greenhouse-gas emissions cause temperatures to rise…. Existing power-plants remain the key obstacle… the legal nuances… are devilish. The Clean Air Act simply requires the cleanest feasible technology, which would require shuttering all coal-burning plants…. The EPA wants to tailor its standards…. Whatever plan emerges will venture onto newer legal ground. Conservatives have adopted the paradoxical strategy of denying the EPA any flexibility to craft regulations, the theory being that forcing it to issue only massively expensive (and therefore politically toxic) regulations will result in them being overridden…. Yesterday’s ruling, which concerns different sections of the Clean Air Act, provides some clues to the Court’s disposition. And for those of us uncomfortable with unleashing runaway temperatures upon future generations, those clues seem encouraging…”

Should Be Aware of:

Continue reading “Things to Read on the Evening of May 1, 2014”

In Which I Once Again Do Not Understand the Thinking of the Federal Reserve’s FOMC: Thursday Focus: May 1, 2014

BEA: “Real gross domestic product–the output of goods and services produced by labor and property located in the United States…

…increased at an annual rate of 0.1 percent in the first quarter (that is, from the fourth quarter of 2013 to the first quarter of 2014), according to the “advance” estimate released by the Bureau of Economic Analysis. In the fourth quarter, real GDP increased 2.6 percent…

Looking back over the past two years, at no point has the growth rate of GDP been such as to even equal what we used to confidently see as the potential growth rate of the American economy: we have been falling further behind rather than catching up to potential. Over the past four quarters, the growth rate of real GDP has been 2.33%/year. Over the past eight quarters, the growth rate of real GDP has been 1.81%/year. If the output gap has been shrinking, it has not been because growth has been fast enough to converge to (the normal path of) potential output but rather that a depressed economy is transforming cyclical into structural non-employment and pulling the potential productive power of the economy downward.

In this context, I cannot help but find the Federal Reserve’s latest communique strange:

Continue reading “In Which I Once Again Do Not Understand the Thinking of the Federal Reserve’s FOMC: Thursday Focus: May 1, 2014”

Afternoon Must-Read: Zsolt Darvas: The Convergence of East-Central (Central-Eastern?) Europe: Warsaw, Bratislava, and Prague Now Richer than Vienna

10 years EU enlargement anniversary Waltzing past Vienna Zsolt Darvas at Bruegel org

Zsolt Darvas: 10 years EU enlargement anniversary: Waltzing past Vienna: “Since their accession to the European Union ten years ago, something extraordinary…

…has has been going on in the central European capitals. Measured in purchasing power…. Warsaw, Bratislava and Prague now have a higher GDP per capita than Vienna. The Österreichs Kaiserstadt has been the reference point for central European countries for centuries – and a reference point now too, due to geographical closeness and strong trade and financial links. Budapest is also not far behind… other anniversary members’ capitals are closing the gap as well, except the Ljubljana region… in sharp contrast to the relative positions of capitals in southern European countries, which have not converged to the average of the core EU countries during the past decade and have even diverged since 2009. Rome, Madrid and Lisbon now have a GDP per capita at PPS comparable to Bucharest and lower than in Warsaw, Bratislava, Prague and Budapest…

The Return of Mass Elderly Poverty in America’s Future?: (Late) Wednesday Focus: April 30, 2014

Jared Bernstein reads my very sharp ex-boss Alicia Munnell and comments:

Jared Bernstein: A Picture of Fragile Retirement Preparedness: “The broader question of retirement security is one I don’t post enough about here…

A Picture of Fragile Retirement Preparedness Jared Bernstein On the Economy

…so I wanted to be sure to call attention to Alicia’s piece. The figure shows net wealth (net of debt) compared to income for households by age level for a bunch of different years…. The most recent year, 2010, is an outlier, suggesting diminished retirement preparedness. Moreover….

Continue reading “The Return of Mass Elderly Poverty in America’s Future?: (Late) Wednesday Focus: April 30, 2014”

(Late) Tuesday Focus and Daily Piketty: The Poverty of Right-Wing Piketty Criticism: Over at Project Syndicate; April 29, 2014

In The Baffler, Kathleen Geier recently attempted a roundup of conservative criticism of Thomas Piketty’s new book Capital in the Twenty-First Century. The astonishing thing to me is how weak the right’s appraisal of Piketty’s arguments has turned out to be.

Continue reading “(Late) Tuesday Focus and Daily Piketty: The Poverty of Right-Wing Piketty Criticism: Over at Project Syndicate; April 29, 2014”

Daily Piketty Afternoon Must-Read: Mike Konczal: Studying the Rich

Mike Konczal: Studying the Rich: “Piketty’s book warns that capital and inequality are likely…

…to make even greater strides in the next few decades; the influence of wealth and inheritance could make our economy look a lot more like the nineteenth century, with its dominance of dynastic fortunes, than the joint prosperity we have come to assume is the natural state of advanced economies…. Piketty’s argument is convincing and well-supported. So what is the debate over?… Generally, critics have come at him from two different directions…. By not locking his own argument tightly to a model he also leaves himself vulnerable to criticism that there are trends towards equality…. Some… have argued… the more capital there is… the rate of return should fall. If it falls rapidly, the capital share of national income will not increase….

Continue reading “Daily Piketty Afternoon Must-Read: Mike Konczal: Studying the Rich”