Monthly Archives: May 2019

#337 Compartmentalizing Irrational Behavior. Fiction Trumps Truth.

27 Monday May 2019

Posted by in Back Asswards Thinking, Causes of the Revolution, Societal Issues

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Readers: this blog is set in the future (sometime after the year 2020). Each entry assumes there has been a 5th revolution in the US — the Revenge Revolution. More about the Revenge Revolution, a list of earlier revolutions and the author, Entry #1.

Periodically I write a “sense check” to assess whether in the next few years, a revolution in the US is still possible or whether the entire exercise is based on a statistical aberration — i.e., a roughly 50-year cycle between major upheavals in the US.  With all that’s happened lately in Washington, I wrote a special sense check, Entry #332.  

One of the contributing factors to the Revenge Revolution will be a technology tsunami, which I believe is rapidly headed toward US shores.  Fifteen recent entries addressed various aspects how the tech tsunami might: (i) affect the US economy and family incomes; (ii) be mitigated by taking certain actions.  The series of entries is available as an eBook.  (19 05 19 Tech Tsunami Booklet)

The first draft of this blog entry was an attempt to convince Trumpsters to ask themselves why they continued to support behavior that if exhibited by a Democrat would have caused them to be apoplectic. With each passing month I have become more perplexed why and how Republican thinking switched 180 degrees from categorizing certain behavior as unacceptable in pre-Trump to categorizing the same behavior as acceptable under Trump. What caused the definition of “acceptable behavior” to change? Formerly unacceptable behavior has become the norm with only a whimper of protest from a few Republicans. Why?

The blog entry got delayed because of activities surrounding Memorial Day weekend…fortunately. Why fortunately? There was a fascinating opinion piece in the “Review” section of the 05/26/2019 NY Times, titled, “Why Fiction Trumps Truth” that seemed to explain how some people willingly allow clearly untrue assertions to affect some of their behavior, yet act rationally much of the other time. The article noted that people who compartmentalize seem to accept more readily claims that are truly bizarre and outlandish.

Whether the author’s analysis is completely accurate, I don’t know. I am not a trained psychologist, psychiatrist, psychoanalyst. Some people think I’m just psycho. However, the writer’s premise and support seems plausible and helps me understand what can best be described only as irrational behavior. In previous blog entries, I’ve suggested the cause of such “compartmentalized” behavior by Trump supporters was some form of brainwashing.

Part of the brainwashing could be attributed to such talking heads as Sean Hannity and Rush Limbaugh who fill their airtime not with questions and analysis but with declarative statements and claims unsupported by facts. An even more influential source for the brainwashing is Trump, who if nothing else, is a master of making and repeating false statements, offering no context or support for his claims. After a while, people here the lie often enough, they get brainwashed and believe the lie.

While Republicans under Trump seem to have taken the compartmentalizing phenomenon to the extreme, the phenomenon is not unique to Trump supporters or the Republican Party. We are all probably guilty of some degree of “compartmentalizing” irrational behavior, even if such behavior applies only to a favorite sports team.

Please read the opinion piece using the link above. Given the degree of compartmentalization, the question now seems to be, “How does US society get out of this mess?” Other than a catastrophic event, such as a revolution, is there any to convince “compartmentalized” voters, left and right, to come out of the closet, err compartment?

While both parties have voters in such compartments, the degree to which Republicans have begun accepting as normal, behavior that for decades had been considered “highly unacceptable,” is startling and hard to explain. Why do Republicans without any protest whatsoever allow Trump to enable the Attorney General, if he so chooses, to disclose publicly any and all sources of intelligence information, domestic and foreign?

Whether the Attorney General ever discloses the sources doesn’t matter. The damage is already done. The fear by the source of being “outed” will cause most every source to no longer provide information. In many countries, any type of disclosure for a source has a severe negative consequence – imprisonment, torture and possibly death. Trump’s action, which was done purely for political reasons, is a direct threat to national security. And where were protests from Republicans, who claim to be the party of national security? No response!!!!!

Where are all the Republicans who clamored for putting Hillary Clinton in jail for using a non-government server? Where’s the protest Representative Jim Jordan Ohio? Guess you’re not such a tough guy wrestler after all. Trump seems to have you in a choke hold. Where are protests from Mitch McConnell, Senate Majority Leader? Cat got your tongue? Where are Republican supporters of the military when Trump tweets that Russia and North Korea are not really threats?

I’ll tell you where Republicans are. Clamoring for an investigation of the people in the FBI and CIA who found out people in the Trump Campaign were dealing with the Russians before the election. And, no, Trump supporters, there was no attempted coup. First, Trump and supporters should thank James Comey for handing Trump the election with the press conference chastising Hillary Clinton.

But, no, in Trump world everything is backwards. Good is bad and bad is good. Next, go read the Muller Report, not Trump’s or Barr’s misinterpretation. If you still need convincing that Trump just might be acting in violation of US law, look at all the financial information from Trump’s tax returns, phony foundation, money laundering through Deutsche Bank and elsewhere.

Despite overwhelming evidence, Republicans in a classic flip flop compared to demands for say Clinton, insist any financial information not be disclosed. Why? The information would be used for political purposes. Republicans would never do such a thing but Democrats always do. Well then, let’s use this argument. The law requires the IRS to turn over tax returns to specified members of Congress. Using a standard Republican argument about complying with the law, if Trump’s done nothing wrong and has nothing to hide, why not let people view the information who are charged in the Constitution with oversight of the Executive Branch? If you have questions about the House’s authority, please read Article I of the Constitution.

OK, I’ve ranted enough and probably not changed a single Republican’s mind. I do hope, however, that everyone reading the blog (Republicans and Democrats) will at least read the opinion piece in the NYT and step back and ask, “What irrational behavior (fiction) am I ‘compartmentalizing’ and allowing to influence my behavior that I would otherwise consider unacceptable?” Also ask, “How can each of us change behavior to avoid what seems to be the inevitable road to the Revenge Revolution?”

Comments and suggestions welcome. Thanks for your time.

 

#336 Policies to Address Tech Tsunami. Socialism? No. National Security.

19 Sunday May 2019

Posted by in Economics, Gov't Policy, Tech Tsunami

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Readers: this blog is set in the future (sometime after the year 2020). Each entry assumes there has been a 5th revolution in the US — the Revenge Revolution. More about the Revenge Revolution, a list of earlier revolutions and the author, Entry #1.

Periodically I write a “sense check” to assess whether in the next few years, a revolution in the US is still possible or whether the entire exercise is based on a statistical aberration — i.e., a roughly 50-year cycle between major upheavals in the US.  With all that’s happened lately in Washington, I wrote a special sense check, Entry #332.

This entry is a “wrap” to the technology tsunami series, at least for a while.  The format for this entry is conversational.  The character, Sandy (comments in quotes) is an ardent Trump and NRA supporter who has appeared in previous entries.  Like virtually all the characters that appear in this blog, Sandy is patterned after someone I know with very similar characteristics. The entire technology tsunami series, including this entry is available as a eBook. (19 05 19 Tech Tsunami Booklet)

Sandy: “I don’t buy all this BS that some so-called technology tsunami could wreck the US economy. Stuff like that only happens in socialist countries. Look at what happened in Venezuela.”

True that Venezuela was the richest country in South America and then tanked economically. The reason they went into free fall was not becasue of socialism but because of bad economic policies.

“Hold on Bubba.  I’m telling you those kind of economic problems are what happens to all socialist countries. If you don’t believe me look at what happened to the economies of Cuba and to Russia. You know I’m right. Admit it.”

You are right that Cuba and Russia have suffered economically. But in the most diplomatic terms, you’re wrong about why. Let’s not confuse communism, which is more political, with socialism, which is more related to economic policy.

“Communism, socialism. They’re the same thing to me.  I know one thing for sure.  You can’t have all those socialist policies and still have a democracy.”

Like I said, let’s not confuse socialism and communism. There are many countries you might label as being socialist that are democracies. All the Nordic countries, for example, have many government-controlled social programs. Other countries in Europe, including Germany, have some degree of what you’re labeling as socialism. Even Canada. Yet, all those countries are democracies.

“Well, what about Greece? They had all those government programs and they went under. Italy almost went under. Call them what you want.  I’m telling you government programs are what causes these countries to go under.”

OK, then let’s add one more country to the list of countries that almost went under.  In fact, this country has come close to going under twice in the last hundred years. Want to guess which country?

“Probably a trick question. Who?”

The United States. We came within a hair’s breadth of the economy going into free fall in 1932 and 2008.

“I’ll tell you why. Because of the Democrats. They’re the problem. Democrats FDR and Obama were coming into office when the economy tanked. Democrats are always the problem.”

Could you please put away the Sean Hannity/Rush Limbaugh drivel and look at this issue objectively. Bad government policies under the Hoover and Bush 43 administrations created most of the problems. Notice that I said most of the problems, not all. If you want to later, we can discuss which economic policies were the primary causes. But for now, my point is without sound government policies to counteract the coming technology tsunami, the country is likely to be faced with another economic crisis.

“When you say crisis, are you suggesting unemployment could shoot up to 20 to 25% and real wages fall, just like during the Great Depression?”

Yes. If you don’t think technology can have a devastating impact, look at what’s happened to companies and employment in industries where disruptive technology was introduced.

“You mean like the coal industry? I hate to laugh but I understand even the Coal Mining Museum gets some electricity from solar panels on its roof. Anyway, technology and economics have killed the industry. Unemployment in the coal industry is what, maybe only 40-50% of what it was just 25-30 years ago?”

Now you understand why strategic planning and good government policy are so important?  I hope you also have somne appreciation of the risk associated with bad  government policy. Bad policy presents a real risk to the US economy and the country’s future as a democracy.

“Gee, I never looked at government policy quite that way. The real impact of government is not whether Democrats or Republicans are in power. The real impact is whether government makes policies that can sustain the well-being of the country.  And, you know what?  Overturning Roe v. Wade seems far less important than these other issues.”

Sandy, I’m proud of you.  If more people had your attitude, the country could start to make real progress in implementing policies to counteract the coming technology tsunami.

“I think I get it.  What you’re suggesting is not just more government intervention, but government intervention to avoid a economic catastrophe. Really, the need to address the coming tech tsunami is more a national security issue.”

Now, if only the Trump Administration and some key people in Congress would “get it” like Sandy.

#335 Curiouser and Curiouser

13 Monday May 2019

Posted by in Causes of the Revolution, Economics, Education Issues, Societal Issues

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Readers: this blog is set in the future (sometime after the year 2020). Each entry assumes there has been a 5th revolution in the US — the Revenge Revolution. More about the Revenge Revolution, a list of earlier revolutions and the author, Entry #1. 

Periodically I write a “sense check” to assess whether in the next few years, a revolution in the US is still possible or whether the entire exercise is based on a statistical aberration — i.e., a roughly 50-year cycle between major upheavals in the US.  With all that’s happened lately in Washington, I wrote a special sense check, Entry #332.

Have we, societal we, fallen down the rabbit hole? Have we lost our sense of direction? Have we lost our moral compass?

Over the last couple of months, most entries in this blog have focused on what I’ve characterized (as have others) as the coming technology tsunami. The entries describe the possible significant negative effect on the US economy of the tech tsunami and proposed solutions, the centerpiece of those solutions being more education. Education, however, not just for those currently in school but education for all age groups, even those in their 60’s. Education efforts would also include those who are, or have been unable to learn when taught using more traditional methods.

Many ideas suggested in the blog entries are not new. What’s changed is the urgency created by the oncoming technology tsunami. Like climate change, waiting until the impact is obvious to most everyone is too late. At that point the game for the US economy will be over. The fat lady will have sung…and done an encore. For the doubters, the tech tsunami is not some abstract idea or a tsunami that’s far-off shore. The water at the shoreline has started to recede and the need to take action is now.

Others share this view. Others also share the view that different approaches to education need to be tried. I was heartened by an article in the 05/12/19 New York Times  (19 05 12 NYT Teaching Math Like Football) suggesting math teachers should approach the classroom more like a football coach in the locker room. Hear, hear! Great idea. In grammar school and high-school, I was lucky enough to have a couple of “football-coach” math teachers. They challenged each student and tried to make learning math fun. The football-coach approach could be helpful to many students who do not “get math” taught using traditional approaches.

OK, what about a topic for this entry? When thinking about what to write, what kept running through my head was a simple question, “Why do educated people keep supporting a president whose actions, by US law, are clearly criminal (obstruction of justice and tax evasion are just two) and possibly treasonous?” “How can rational people overlook, let alone support such behavior?” (He even cheats at golf!)

And, the behavior is not sporadic. It’s a continuous stream. What is the latest from the Trumpland? Asking Rudy Giuliani, Trump’s personal lawyer, to go to the Ukraine and ask the Ukrainian president to try to dig up dirt on a family member of a candidate for Democratic nominee for president. Duh, Republican folks, that’s Trump asking yet another foreign country to meddle in a US election. When are Republicans going to wake up and realize where Trump’s allegiance lies? If you don’t know where to start looking, try his bank account.

Trump does not care about any Republicans, let alone members of the hardcore base. Let me repeat Trump does not care about any Republicans, let alone members of the hardcore base.

If you don’t believe me, then what about those tariffs on Chinese exports? Do you believe Trump’s tweets that the Chinese will pay the tab? Even Trump’s economic advisor won’t buy that outrageous claim. No, the tariffs per se might go to the Treasury but the prices of Chinese goods sold in the US will increase by the amount of the tariffs…and possibly more. And, yes, you get to pay for the tariff. Yet another economics class Trump skipped while in college.

“Hold on,” you say, “Chinese jobs making all those goods will come back to America. Trump is actually creating jobs. Trump is saving America! Wake up liberals.”

Okay, a few jobs might come back, but only a few. But how many more other jobs will be lost with China’s retaliatory tariffs on American exports (imports to the Chinese).

But then you say, “Didn’t Trump save thousands of jobs when he negotiated to have GM sell the Lordstown, OH plant to that other company? You know that Workhorse company?” Sorry to inform you, the answer again is “no.” Workhorse buying the Lordstown assembly plant (not a done deal as of this entry’s publication) created no net new jobs. Workhorse was merely looking for a facility to assemble a proposed electric-powered truck.

And the list of misconceptions, misunderstanding, sheer blindness by Republicans continues on and on and on. Even the Energizer Bunny is starting to get tired. The lack of a modicum of thinking by Republicans makes their behavior curiouser and curiouser. What’s the value to Republicans of supporting Trump? Trump’s in the White House for cash. What do Republicans get out of the deal?

When I hear a Republican gloat about supporting Trump, I ask a very simple question. ”Assume all the same policies, economic conditions, cabinet appointments, relationships with foreign countries, tweets, known lies, etc. Now assume Trump is not a Republican but a Democrat. Would you still be supporting Trump and/or be opposed to the investigation by the various committees in the House?” Count how many current Trump supporters say “Yes they would continue to support Trump if he were a Democrat.” If you can count more than a handful, let me know.

To be fair, you should ask some Democrats the same question. “Assume all the same policies, economic conditions, etc., would you still be so anti-Trump?” My guess is a much greater percentage of Democrats would continue to be anti-Trump and especially support the investigations in the House of Representatives.

So why do Republicans support Trump when so many of his policies are reversals of long-held Republican positions? Why have Republicans let Trump hijack their brain? As noted in several earlier blog entries, it seems that many Republicans have been brainwashed.

How can such a large group be brainwashed? If there’s one thing Trump is very good at doing, its manipulating people. Especially vulnerable are those with limited inner strength. Helping Trump with the brainwashing are the Republican talking heads – Limbaugh and Hannity in particular – who fill their air time not with questions and a discussion of possible solutions, but fill their air time with declarative statements of suggested attitudes and behavior. Kim Jung-un probably listens to “Fox News” for ideas how to brainwash North Korean citizens more effectively.

Other recent truly bizarre actions by Trump include declaring that executive privilege can apply retroactively to virtually any discussion of any action taken by anyone in the Trump Administration. Huh? Trump has also told Administration officials to ignore the law. And where are the voices of the righteous Constitutionalists Republican Senators? Save one or two, Republican Senators have contracted laryngitis while also sucking up to Trump.

The willingness to support a rogue and lawless president rather than the Constitution leaves me with only one conclusion. There needs to be a Revenge Revolution in the US in order to rid the country of the Trump cancer and bring the Republicans back to their senses. Let’s hope the 2020 election can accomplish the same thing but I’m not as hopeful.

One might not like the actions or style of certain Democratic leader, or proposed policies of certain Democrat candidates for president. Those disagreements are understandable and part of a democracy. What is not understandable is why Republicans are blaming Democrats for trying to uphold their obligations under the Constitution by investigating criminal behavior and possibly treason of the president, members of the president’s family, members/former cabinet members and people associated with the 2016 campaign.

Just in case you, and maybe Republicans in the Senate, need a reminder of the words contained in the oath for members of the House and Senate, “I do solemnly swear (or affirm) that I will support and defend the Constitution of the United States against all enemies, foreign and domestic; that I will bear true faith and allegiance to the same; that I take this obligation freely, without any mental reservation or purpose of evasion; and that I will well and faithfully discharge the duties of the office on which I am about to enter: So help me God.” (I can’t find where the oath mandates allegiance to the president, can you?)

#334 Could a Change in Semantics Break the Ideologue Logjam? More about Cost of Preparing for the Tech Tsunami.

05 Sunday May 2019

Posted by in Economics, Education Issues, Gov't Policy, Societal Issues, Tech Tsunami

≈ Leave a comment

Readers: this blog is set in the future (sometime after the year 2020). Each entry assumes there has been a 5th revolution in the US — the Revenge Revolution. More about the Revenge Revolution, a list of earlier revolutions and the author, Entry #1. 

Periodically I write a “sense check” to assess whether in the next few years, a revolution in the US is still possible or whether the entire exercise is based on a statistical aberration — i.e., a roughly 50-year cycle between major upheavals in the US.  With all that’s happened lately in Washington, I wrote a special sense check, Entry #332.

This week’s Entry continues the series about preparing for the upcoming “technology tsunami” that will have a major impact on the US economy.  The series starts Entry #319. 

Arguments against society-wide programs – healthcare, education, climate change – claim that such programs are too expensive. Taxpayers cannot afford these programs.

There is a kernel of truth to that claim. Such programs have considerable start-up costs and the payback is often a few years out. Sometimes the payback is a decade or two later.

Of course, the idea of having delayed payback does not apply when the same “too expensive” group decides to make business or personal Investments. Nor does the logic apply when this group is evaluating the performance of coaches for favorite college or professional sports teams. Why coaches? Surely everyone knows it takes time to build a solid sports team. Give the coach at least five years to perform and demonstrate his or her worth.

More seriously, the question is, “Is society willing to take the risk of not investing in programs that will have a sustained, if delayed, return on investment? As an example of a similar personal-level decision is whether to delay needed maintenance on your house or car. Delaying can result in some immediate cash savings. However, the decision to delay is a two-edge sword. The repairs are needed and by waiting the severity and cost of repairs likely will be much higher. While delaying maintenance may seem to be a savings in the short-term, the decision to delay is not really savings at all, but additional cost. To paraphrase an old TV commercial, pay me now or pay me more later.

How does “pay me now or pay me more later” apply to the education of people who will be displaced by the technology tsunami? Let’s say the cost of educating those displaced averages $25,000 per person, roughly equal to 2 years cost of tuition, books and fees at a community college and even some state universities. In addition to the cost of education, let’s assume those being retrained receive a salary of about $50,000 per year. For the two years, the total cost for retraining would be about $125,000 per person.

The $125,000 cost per person seems extraordinarily high until one calculates the cost of not retraining. What is the cost not to retrain?

Assume the median age of the person being retrained is 45 years old, which means the person has 20 to 25 years left before retirement. Without retraining for the post technology-tsunami world, the person may be unemployable, and therefore, receive assistance for the next 25 years of his or her working career. In addition, the person would receive some form of assistance for another 10 to 15 years after reaching retirement age. Total time not working and receiving assistance…and not paying taxes? A total of 35-40 years.

If the person receives just $10,000 per year assistance, which is on the very low side, the cost of assistance for a person previously employed but now displaced, would be at least $400,000. Thus, the cost of not retraining is more than 3x the cost of 2-year training – tuition, fees, books and salary of $50,000 per year. Oops, we’re not finished. The person on assistance and not employed, would also not pay income taxes as well no withholding for FICA and no withholding for Medicare.

So which is smarter? Pay now to retrain the person displaced by the technology tsunami or pay more than 3x as much later (constant dollars) to have the person on assistance his or her entire life and never again paying income taxes or contributing to the cost of Social Security or Medicare?

The ROI to retrain workers is positive for workers in their 50’s and even early 60’s when all the costs are included. In addition to society saving money by retraining workers, having an employed workforce with more disposable income will increase consumer consumption, increase overall GDP and with some tweaks, to the tax structure, increase family wealth.

Despite the obvious benefits, for some reason “return on investment” does not yet seem to be part of most discussions about broad social programs, whether the discussion in Washington or in many state capitals. I am always personally baffled why Republicans focus on immediate cost and ignore “return on investment” logic for social programs, yet use the very same ROI logic for personal and/or business investment decisions. Guys, voters are not completely stupid. ROI is a concept that voters can understand.

To break the ideologue logjam, maybe such programs need to be positioned with Republicans as “business Investments” and not “social programs.” To mollify Republican critics of these programs, maybe recipients of the proposed technology-tsunami education program should be required to pay a minimum tax of say 1.0% of gross income per year for up to 10 years following completion of the retraining. The minimum tax would allow Republicans to claim assistance recipients have some “skin in the game.”

Democrats would do well to position technology-tsunami retraining, the Green New Deal, Medicare for all and other ideas, not as social programs, and especially not as “socialist programs,” but position as Investments that will help increase US GDP. Democrats should also agree that every wage-earner has to pay some income tax, even if it’s only $100 per year.

Some of the changes in positioning should be considered more semantic than substantive. However, the changes could allow Republicans and Democrats to claim some type of victory and begin to work more closely together. The changes would also thwart some of the statements by conservative talking heads implying that about half the population pays no tax. These talking heads only state “income tax” and make no mention of people paying sales tax, property taxes, fees and many other related taxes. (FYI, the percentage is remarkably flat by quartile of income paid for all types of taxes.)

Will the rhetoric change and Republicans and Democrats begin working together soon – at least agree to retrain workers to be displaced by the technology tsunami? Maybe start working together before the Revenge Revolution? As long as Trump is controlling the Republican Party, there is no hope. Republicans have demonstrated repeatedly a willingness to prostitute themselves for whatever the Donald demands, however contrary those demands are to long-held Republican principles.

Democrats, however, have a great opportunity for 2020 to begin repositioning arguments that many so-called “socialist programs” are really business Investments with positive ROI.

Should we be hopeful? Let’s see what happens. Stay tuned.