Tuesday, July 29, 2008

The Big Bobo Gets It Right (This Time)

Of all of the token Righties on the NY Fishwrap Op-Ed page, THe Big Bobo (David Brooks) is the best. In today's assessment of the world from the right side of the aisle, Brooks has uncovered The Issue of the 2008 Campaign. It ain't drillin' offshore and it ain't wearin' a flag pin on a lapel. It's back to school, boys and girls. The prognosis isn't very appealing. The United States peaked educationally in 1970. We have been in decline educationally (as a nation) for nearly four decades. The climate scientist, James E. Hansen, has declared that we're "toast" today as a result of ignoring his climate change (global warming) warnings two decades ago. There is the distinct possiblity that our schoolchildren (and the rest of us) are "toast" because we focus on the important things life lapel pins and offshore drilling. Instead, as Neil Postman said in 1985, "We're amusing ourselves to death." We focus on "American Idol" and all of the celebrity nonsense while our schools have gone to Hell in a handbasket. If this is a (fair & balanced) cultural indictment, so be it.

[x NY Fishwrap]
The Biggest Issue
By David Brooks

Why did the United States become the leading economic power of the 20th century? The best short answer is that a ferocious belief that people have the power to transform their own lives gave Americans an unparalleled commitment to education, hard work and economic freedom.

Between 1870 and 1950, the average American’s level of education rose by 0.8 years per decade. In 1890, the average adult had completed about 8 years of schooling. By 1900, the average American had 8.8 years. By 1910, it was 9.6 years, and by 1960, it was nearly 14 years.

As Claudia Goldin and Lawrence Katz describe in their book, The Race Between Education and Technology, America’s educational progress was amazingly steady over those decades, and the U.S. opened up a gigantic global lead. Educational levels were rising across the industrialized world, but the U.S. had at least a 35-year advantage on most of Europe. In 1950, no European country enrolled 30 percent of its older teens in full-time secondary school. In the U.S., 70 percent of older teens were in school.

America’s edge boosted productivity and growth. But the happy era ended around 1970 when America’s educational progress slowed to a crawl. Between 1975 and 1990, educational attainments stagnated completely. Since then, progress has been modest. America’s lead over its economic rivals has been entirely forfeited, with many nations surging ahead in school attainment.

This threatens the country’s long-term prospects. It also widens the gap between rich and poor. Goldin and Katz describe a race between technology and education. The pace of technological change has been surprisingly steady. In periods when educational progress outpaces this change, inequality narrows. The market is flooded with skilled workers, so their wages rise modestly. In periods, like the current one, when educational progress lags behind technological change, inequality widens. The relatively few skilled workers command higher prices, while the many unskilled ones have little bargaining power.

The meticulous research of Goldin and Katz is complemented by a report from James Heckman of the University of Chicago. Using his own research, Heckman also concludes that high school graduation rates peaked in the U.S. in the late 1960s, at about 80 percent. Since then they have declined.

In Schools, Skills and Synapses, Heckman probes the sources of that decline. It’s not falling school quality, he argues. Nor is it primarily a shortage of funding or rising college tuition costs. Instead, Heckman directs attention at family environments, which have deteriorated over the past 40 years.

Heckman points out that big gaps in educational attainment are present at age 5. Some children are bathed in an atmosphere that promotes human capital development and, increasingly, more are not. By 5, it is possible to predict, with depressing accuracy, who will complete high school and college and who won’t.

I.Q. matters, but Heckman points to equally important traits that start and then build from those early years: motivation levels, emotional stability, self-control and sociability. He uses common sense to intuit what these traits are, but on this subject economists have a lot to learn from developmental psychologists.

I point to these two research projects because the skills slowdown is the biggest issue facing the country. Rising gas prices are bound to dominate the election because voters are slapped in the face with them every time they visit the pump. But this slow-moving problem, more than any other, will shape the destiny of the nation.

Second, there is a big debate under way over the sources of middle-class economic anxiety. Some populists emphasize the destructive forces of globalization, outsourcing and predatory capitalism. These people say we need radical labor market reforms to give the working class a chance. But the populists are going to have to grapple with the Goldin, Katz and Heckman research, which powerfully buttresses the arguments of those who emphasize human capital policies. It’s not globalization or immigration or computers per se that widen inequality. It’s the skills gap. Boosting educational attainment at the bottom is more promising than trying to reorganize the global economy.

Third, it’s worth noting that both sides of this debate exist within the Democratic Party. The G.O.P. is largely irrelevant. If you look at Barack Obama’s education proposals — especially his emphasis on early childhood — you see that they flow naturally and persuasively from this research. (It probably helps that Obama and Heckman are nearly neighbors in Chicago). McCain’s policies seem largely oblivious to these findings. There’s some vague talk about school choice, but Republicans are inept when talking about human capital policies.

America rose because it got more out of its own people than other nations. That stopped in 1970. Now, other issues grab headlines and campaign attention. But this tectonic plate is still relentlessly and menacingly shifting beneath our feet.

[David Brooks's column has appeared on the Op-Ed page of The New York Times since September 2003. He is also currently a commentator on "The Newshour with Jim Lehrer." Mr. Brooks is the author of Bobos In Paradise: The New Upper Class and How They Got There (2000) and On Paradise Drive: How We Live Now (And Always Have) in the Future Tense (2004). Brooks graduated from the University of Chicago in 1983.]

Copyright © 2008 The New York Times Company


Get an RSS (Really Simple Syndication) Reader at no cost from Google. Another free Reader is available at RSS Reader.

Roll Over, Adam Smith?

Adam Smith (1723-1790) coined the metaphor of "the invisible hand" in his greatest work, An Inquiry into the Nature and Causes of the Wealth of Nations (1776). In The Wealth of Nations and his other writings, Smith suggested that a free market promotes the good of the community as a whole through a principle that Adam Smith called “the invisible hand”. Thanks to Tom Tomorrow, "the invisible hand" becomes a visible character in "This Modern World." Sparky The Penguin becomes "Sparky T. Penguin, Private Eye" in this noir version of Tom Tomorrow's alternate universe. "The Invisible Hand" can be seen in "This Modern World" thanks to the magic of the marketplace. If this is a (fair & balanced) critique of economic mumbo-jumbo, so be it.

[x Salon]
This Modern World: Farewell, My Lovely Economy
By Tom Tomorrow (Dan Perkins)

Click on image to enlarge.


Tom Tomorrow/Dan Perkins


[Dan Perkins is an editorial cartoonist better known by the pen name "Tom Tomorrow". His weekly comic strip, "This Modern World," which comments on current events from a strong liberal perspective, appears regularly in approximately 150 papers across the U.S., as well as on Salon and Working for Change. The strip debuted in 1990 in SF Weekly.

Perkins, a long time resident of Brooklyn, New York, currently lives in Connecticut. He received the Robert F. Kennedy Award for Excellence in Journalism in both 1998 and 2002.

When he is not working on projects related to his comic strip, Perkins writes a daily political weblog, also entitled "This Modern World," which he began in December 2001.]

Copyright © 2008 Salon Media Group, Inc.


Get an RSS (Really Simple Syndication) Reader at no cost from Google. Another free Reader is available at RSS Reader.