Why Nations Fail - NYTimes.com

Why Nations Fail

By ADAM DAVIDSON
Published: March 13, 2012

By his own admission, Daron Acemoglu is a slightly pudgy and fairly nerdy guy with an unpronounceable last name. But when I mentioned that I was interviewing him to two econ buffs, they each gasped and said, “I love Daron Acemoglu,” as if I were talking about Keith Richards. The Turkish M.I.T. professor — who, right now, is about as hot as economists get — acquired his renown for serious advances in answering the single most important question in his profession, the same one that compelled Adam Smith to write “The Wealth of Nations”: why are some countries rich while others are poor?

Over the centuries, proposed answers have varied greatly. Smith declared that the difference between wealth and poverty resulted from the relative freedom of the markets; Thomas Malthus said poverty comes from overpopulation; and John Maynard Keynes claimed it was a byproduct of a lack of technocrats. (Of course, everyone knows that politicians love listening to wonky bureaucrats!) Jeffrey Sachs, one of the world’s most famous economists, asserts that poor soil, lack of navigable rivers and tropical diseases are, in part, to blame. Others point to culture, geography, climate, colonization and military might. The list goes on. 

But through a series of legendary — and somewhat controversial — academic papers published over the past decade, Acemoglu has persuasively challenged many of the previous theories. (If poverty were primarily the result of geography, say, or an unfortunate history, how can we account for the successes of Botswana, Costa Rica or Thailand?) Now, in their new book, “Why Nations Fail,” Acemoglu and his collaborator, James Robinson, argue that the wealth of a country is most closely correlated with the degree to which the average person shares in the overall growth of its economy. It’s an idea that was first raised by Smith but was then largely ignored for centuries as economics became focused on theoretical models of ideal economies rather than the not-at-all-ideal problems of real nations.

.... Why Some Countries Go Bust - NYTimes.com
Why Nations Fail website

No More Reds in the Union as sung by The Diggers

This is one of my favorite songs. This is a modern performance, because the original record from the 1940s is tied up with "rights issues". Riiiiight.

No More Reds in the Union - YouTube

The Torture Report (if you care)

Report of the Special Rapporteur on torture and other cruel, inhuman or degrading treatment or punishment,

US may use CIA cloak to hide Afghan presence — RT

RT 

US may use CIA cloak to hide Afghan presence

Published: 05 March, 2012, 01:01

The Pentagon is reportedly deliberating over putting elite troops and Special Forces in Afghanistan under CIA control. The move would reduce official US presence with a view to meeting Obama’s promise of total withdrawal from the country by 2014.

Top US military sources told Agence France-Presse that the idea had been circulated by senior defense intelligence as a way to reduce US presence in Afghanistan before the 2014 deadline.

It is one of several initiatives currently under discussion in the Pentagon, according to AFP sources. The proposals have not yet been presented to US Secretary of Defense Leon Panetta.

.... US may use CIA cloak to hide Afghan presence — RT

‘The New Jim Crow’ by Michelle Alexander’ Raises Drug Law Debates - NYTimes.com

Drug Policy as Race Policy: Best Seller Galvanizes the Debate

By JENNIFER SCHUESSLER

Published: March 6, 2012

Garry McCarthy, a 30-year veteran of law enforcement, did not expect to hear anything too startling when he appeared at a conference on drug policy organized last year by an African-American minister in Newark, where he was the police director.

But then a law professor named Michelle Alexander took the stage and delivered an impassioned speech attacking the war on drugs as a system of racial control comparable to slavery and Jim Crow — and received a two-minute standing ovation from the 500 people in the audience.

“These were not young people living in high-crime neighborhoods,” Mr. McCarthy, now police superintendent in Chicago, recalled in telephone interview. “This was the black middle class.”

“I don’t believe in the government conspiracy, but what you have to accept is that that narrative exists in the community and has to be addressed,” he said. “That was my real a-ha moment.”

.... Michelle Alexander’s ‘New Jim Crow’ Raises Drug Law Debates - NYTimes.com

Pay Only for Drugs That Help You - NYTimes.com

Op-Ed Contributor

Pay Only for Drugs That Help You

By SAMUEL D. WAKSAL

Published: March 6, 2012

IT’S hard not to be outraged by the fact that the United States spends $2.6 trillion per year on health care, far more than any other country, and has no better medical outcomes to show for it. Everyone agrees that we need to cut waste from the system. And it’s understandable that, with reports of individuals taking $100,000 cancer drugs only to prolong survival by a few months, the high cost of drugs is one of the first targets.

But simply capping or slashing the price of drugs is not the answer. Individuals and insurance companies should be willing to pay — and pay a lot — for drugs when they work. The problem is we’re also paying for drugs when they don’t. To cut costs from the system and create an incentive for drug developers to deliver more innovative new drugs, this is what has to change.

All drugs have different effects on different people, particularly cancer drugs. There are many more genetic forms of cancer than simple categories like lung cancer or breast cancer denote. Drugs like Herceptin, Avastin and Erbitux (which my former company, ImClone Systems, developed) produce impressive results in patients whose cancers are genetically matched to their treatment — they can live years longer, returning to work and productive lives. But on a large group of patients, these drugs have no effect whatsoever. That’s why a drug’s “median overall survival benefit” — an average that is used to obtain Food and Drug Administration approval for cancer drugs, and a figure that critics of expensive drugs often point to — is actually very misleading.

Instead, we need to separate out those who benefit from a drug and those who don’t. When a drug works, patients and insurance companies should pay the full price. When it doesn’t, they should pay nothing.

.... Pay Only for Drugs That Help You - NYTimes.com

Japan Considered Evacuating Tokyo During Nuclear Crisis, Report Says - NYTimes.com

Japan Weighed Evacuating Tokyo in Nuclear Crisis

By MARTIN FACKLER

Published: February 27, 2012

TOKYO — In the darkest moments of last year’s nuclear accident, Japanese leaders did not know the actual extent of damage at the plant and secretly considered the possibility of evacuating Tokyo, even as they tried to play down the risks in public, an independent investigation into the accident disclosed on Monday.

The investigation by the Rebuild Japan Initiative Foundation, a new private policy organization, offers one of the most vivid accounts yet of how Japan teetered on the edge of an even larger nuclear crisis than the one that engulfed the Fukushima Daiichi Nuclear Power Plant. A team of 30 university professors, lawyers and journalists spent more than six months on the inquiry into Japan’s response to the triple meltdown at the plant, which followed a powerful earthquake and tsunami on March 11 that shut down the plant’s cooling systems.

The team interviewed more than 300 people, including top nuclear regulators and government officials, as well as the prime minister during the crisis, Naoto Kan. They were granted extraordinary access, in part because of a strong public demand for greater accountability and because the organization’s founder, Yoichi Funabashi, a former editor in chief of the daily newspaper Asahi Shimbun, is one of Japan’s most respected public intellectuals.

.... Japan Considered Evacuating Tokyo During Nuclear Crisis, Report Says - NYTimes.com