Category Archives: Publications

The Physics Nobel and Human Achievement

While we’re on the topic of human achievement, The Daily Caller was kind enough to run an article I wrote about this year’s physics Nobel laureates, Saul Perlmutter, Brian Schmidt, and Adam Reiss. They discovered the accelerating universe. Here’s a taste:

Perlmutter, Schmidt, and Reiss have shrunk man’s already tiny position in both space and time. But they — and we — still stand tall. If little old us can look through a metal tube with glass discs stuck in it (or radio telescopes, which rely on light we can’t even see), and infer from dim and ancient supernovae, millions of light years away, that the universe’s expansion is accelerating — well, that’s a very big achievement for such a small species.

And we’re capable of much, much more. Our universe may die in ice in the distant future. But until then, we will live well. Or rather, we will so long as human achievements like Perlmutter, Schmidt, and Reiss’ are encouraged, valued, and rewarded.

Read the whole thing here. Interested readers might also enjoy Mario Livio’s book The Accelerating Universe and Fred Adams and Greg Laughlin’s Five Ages of the Universe: Inside the Physics of Eternity.

The Big Repeal

Congress and the White House have typically been reluctant to repeal any laws or regulations, regardless of which party is in power. The solution? Change the institutional rules of the game to give them an incentive to repeal laws. CEI Research Associate Jacque Otto and I expound on that idea in The American Spectator.

One reform would be a Repeal Amendment to the Constitution. That would give states a veto power over federal laws if two thirds of them vote for repeal. Georgetown law professor Randy Barnett has already drafted some language:

Any provision of law or regulation of the United States may be repealed by the several states, and such repeal shall be effective when the legislatures of two-thirds of the several states approve resolutions for this purpose that particularly describe the same provision or provisions of law or regulation to be repealed.

We have other ideas:

Short of that, the House and Senate could establish repeal committees. These committees would be unable to pass laws and regulations, only to repeal them. Its members would be ineligible to sit on other committees. The only accomplishments they would be able to tout to voters would be how much they lighten Washington’s heavy hand.

Another option is to add an automatic sunset provision to all new regulations — meaning that they would expire after, say, five years unless specifically reauthorized by Congress. This kind of regulatory expiration date would ensure that only the truly necessary ones stay in the books.

Read the whole thing here.

Liberalize High-Skilled Immigration

Over at the Daily Caller, CEI policy analyst Alex Nowrasteh and I tell the story of Jeffrey Lin. He is a Ph.D student at CalTech who holds three patents, has invented a device that would cure glaucoma, and is planning to start his own business to make his device and get it to people who need it. Who knows how many jobs he’ll create in the coming years?

Under current immigration law, Jeffrey might well be kicked out of the country. What did he do wrong? He was born in Taiwan.

Jeffrey came to the U.S. because of its top-notch universities. He’d like to stay here because the entrepreneurial environment and available engineering talent are better than anywhere in the world. He can create new jobs and new technologies here in America. Or, as under the current immigration system, he can create them elsewhere. This situation cries for reform.

Rep. Jeff Flake of Arizona has proposed just such a reform. His new bill, the STAPLE Act, would basically staple a green card to the diploma of any international student who earns a Master’s or a Ph.D from a U.S. university in fields like the sciences, technology, engineering, or mathematics.

It isn’t comprehensive immigration reform. But it would help hundreds of thousands of people like Jeffrey Lin, and it would help boost an ailing U.S. economy.

You can read our entire article here.

Congressional Economics

Some people think that the only reason poverty still exists is because Congress hasn’t passed laws guaranteeing the right to decent housing, health, and education.

Some of these people are in Congress. Over at The American Spectator, my colleague Jacqueline Otto and I explain why their hearts are in the right place, but their heads aren’t:

Suppose that poverty really can be abolished by passing a few laws. Jackson isn’t going nearly far enough, then. The Constitution should guarantee everyone not just a decent home, but a mansion filled with servants to take care of every need.

Everyone should have the right to not just a doctor’s visit every 6 months, but a cadre of specialists with access to the latest technologies and tests. This would be a boon for life expectancy.

And why only an iPod and a laptop for children? They deserve supercomputers! And the right to a Harvard Ph.D. Such a law would give America the most educated population in the world; though it would probably know the least.

Congress might as well pass a law guaranteeing an above-average lifestyle for all Americans.

Free Trade Agreements Don’t Kill Jobs

Trade is going to be a hot issue this summer. Pending free trade agreements with Panama, Colombia, and South Korea might finally pass. Opponents of liberalization are already on the attack.

My colleague Jacque Otto already covered the creative destruction defense of trade today. Over at the Daily Caller, I look at employment data and find out that the labor force has grown by 23 million people since NAFTA passed. Doesn’t sound like a job-killer, does it?

Just as trade doesn’t kill jobs on net, neither does it create them on net. The real advantage of trade is that it allows people to specialize and become more productive. That is how economic growth happens:

When governments lower trade barriers, they allow more people to exchange and to work together. In economics jargon, the size of the relevant market gets bigger. And the bigger the relevant market, the more people can specialize.

Readers familiar with Adam Smith will recognize this as his division of labor. Everyone knows that specialized workers are more productive than jacks of all trades. That’s why Henry Ford’s assembly lines were so much more productive than his competitors’. The same number of people could suddenly produce more cars in less time, because they had a more specialized division of labor.

Workers didn’t have to waste time switching from one task to another. They got very good at their tasks. And because they knew their jobs so well, they were better able to come up with new, better ways of doing them. Rising productivity is how an economy grows. Prosperity doesn’t depend on the number of jobs. It depends on how much stuff workers can create.

Substantive Reform Must Include Cutting Regulatory Burdens

Spending, deficits, and taxes are getting all the attention from reformers in both parties. In today’s Investor’s Business Daily, Wayne Crews and I argue that regulation is not to be forgotten:

Regulations cost the average business $8,086 per employee per year. Small businesses are especially hard-hit. Firms with fewer than 20 employees pay $10,585 per employee per year for regulatory compliance, according to the Crains’ report. When hiring employees becomes more expensive, fewer get hired. No wonder unemployment is so persistent.

We also offer up some reform ideas:

One reform is to purge the books of obsolete and clearly harmful rules. There is no need for Washington to have rules still on the books for a Y2K crisis that never even materialized. Nor is there any need for it to regulate the size of holes in Swiss cheese, which it does in great detail.

President Obama should appoint an annual bipartisan commission to comb through the Code of Federal Regulations and recommend rules for elimination. Congress would then be required to vote up-or-down on the package without amendment.

Read the article here; for more intellectual ammunition, see the just-released 2011 edition of Wayne’s “Ten Thousand Commandments” study.

Regulation: The Hidden Tax

Wayne Crews and I have a piece in today’s Sacramento Bee summarizing the main findings of Wayne’s “Ten Thousand Commandments” study. We also point out that regulatory costs are not limited to the $1.75 trillion it takes to comply with them:

The total cost of federal regulation is $1.75 trillion. That’s true in terms of money. But money isn’t everything. Regulation also has opportunity costs. Workers spend millions of man-hours every year filling out forms and following procedures. That time could be spent on other things instead, such as finding ways to lower costs, improve quality and increase worker productivity. When there’s too much regulation, progress and innovation slow down.

There is a second opportunity cost that is often overlooked. Companies don’t sit idly by when regulators propose new rules. They try to influence the process. Most companies, especially larger ones, often favor new regulations in their industries. They will pay lobbyists a lot of money to influence the rules in a favorable way – say, by handicapping a competitor.

In Politics, Inertia Always Wins

The GOP has been bragging that its budget deal that passed the House today will save $38 billion. The CBO took a closer look, and it turns out the actual figure is $353 million, or 0.02 percent of this year’s budget deficit.

In The Daily Caller, I point out that this is one more example of the iron law of politics — inertia always wins.

Tsunamis Are Not Stimulus

Tragedy struck Japan this morning. It will be some time before we know just how many lives the tsunami took, and how much damage was done. But pundits are already saying dumb things.

Larry Summers, who should know better, committed the economists’ cardinal sin this morning: he fell for the broken window fallacy. The sunny side of the destruction is that it will boost the economy. Just think of all the jobs that will be created by the rebuilding process!

Over at the Daily Caller, I gently correct Summers. Natural disasters are bad for the economy. All the rebuilding activity in the next few years will only get Japan back to where it was. If the tsunami had never happened, all that energy could be put to creating new wealth. Disasters are just that: disasters.

Setting a New Tone

People complain that the level of political discourse in America is lower than ever. That isn’t actually true if you look at the historical record. But the ratio of heat to light is still far too high.

Over at the Daily Caller, I share a bit of wisdom from the economist Joseph Schumpeter about how people can have a more constructive dialogue about the direction of the country.