May 2008 – Page 3 – artdiamondblog.com

Franklin Roosevelt Exposed in The Forgotten Man

Source of book image: http://blog.syracuse.com/shelflife/forgotten.jpg

Amity Shlaes’s new history of the Great Depression is at once depressing and encouraging. It is depressing in showing how vulnerable human progress is to the threat from a dishonest, slick orator, who has not a clue about how the economy works. It is encouraging in that it shows so clearly that the length and depth of the Great Depression was due to easily avoidable mistakes in policy, rather than due to some fundamental flaw in capitalism, as has occasionally been claimed.
Although the book does not shy away from pointing out the flaws of Coolidge, Hoover and Willke, it mainly shows how F.D.R.’s routine whimsical policy reversals and double-dealings, alienated not only his original opponents, but many of his early friends and allies.
The New Deal policies to seize business profits, reduced business incentives to take risks: if the risks turned out badly, the business would lose the investment, while if the risks turned out well, the profits would be taxed away by the federal government.
In addition, the sheer unpredictability of New Deal policies further led the prudent to delay investments, thereby further impeding recovery.
The book is well-written, and should be equally well-read.

The reference for the book is:
Shlaes, Amity. The Forgotten Man: A New History of the Great Depression. New York: HarperCollins, 2007.

“Nature” Article Forecasts Cooler Europe and North America Over Next Decade

The journal Nature (along with the journal Science) is often viewed as one of the two most prestigious journals in science. The NYT article below reports that a recent Nature article forecasts that temperatures in Europe and North America will be cooler over the next decade.
After the portion quoted below, the NYT article goes on to reassure global warming true-believers that a decade of cooling would in no way be evidence against the global warming maintained hypothesis.

(p. A10) After decades of research that sought, and found, evidence of a human influence on the earth’s climate, climatologists are beginning to shift to a new and similarly daunting enterprise: creating decade-long forecasts for climate, just as meteorologists routinely generate weeklong forecasts for weather.
One of the first attempts to look ahead a decade, using computer simulations and measurements of ocean temperatures, predicts a slight cooling of Europe and North America, probably related to shifting currents and patterns in the oceans.
The team that generated the forecast, whose members come from two German ocean and climate research centers, acknowledged that it was a preliminary effort. But in a short paper published in the May 1 issue of the journal Nature, they said their modeling method was able to reasonably replicate climate patterns in those regions in recent decades, providing some confidence in their prediction for the next one.

For the full story, see:
ANDREW C. REVKIN. “Scientists Work on Decade-Based Forecast for the Climate.” The New York Times (Thurs., May 1, 2008): A10.

Will Smith’s ‘I Am Legend’ Performance Earns the Academy Award that Matters

Will Smith in I Am Legend. Source of photo: http://blogs.bet.com/news/newsyoushouldknow/?p=1398

Will Smith’s remake of Charleton Heston’s The Omega Man, is a pretty good movie. It shows a lone scientist struggling to cure a terrible disease in a world where he has lost almost everything that he valued. The Will Smith character exemplifies the motto of the marines: semper fi.
But I think I still like the Heston version a bit better, even though its special effects are dated, and Heston may have been a bit old for the role.
Why, then? After some thought, I think there is one main reason I like the Heston version better: the villains in The Omega Man, have ideas, while the villains in I Am Legend are subhuman, idealess vampires. The battle of good against evil in The Omega Man is both physical and intellectual, and that makes it easier to care more deeply about the outcome.
Still, I Am Legend is a good movie, showing a heroic man’s lonely struggle to remain true to his mission.
(And his canine companion should have received some sort of award too.)

(p. 2E) West Point, N.Y. (AP) — Will Smith wasn’t nominated for an Oscar this year, but his role in “I Am Legend” has earned a different “academy” award — from the cadets at the U.S. Military Academy.
Smith was named the first winner of the Cadet Choice Movie Award, designed to honor the character that best personifies West Point leadership qualities on the silver screen.

For the full story, see:
“People; Cadets vote Will Smith a winner.” Omaha World-Herald (Mon., Feb. 25, 2008): 2E.

Creative Destruction Brings Triumph of Brain Over Brawn in the Labor Market

(p. 435) . . . , the inexorable growth in the proportion of our GDP that is conceptual, especially technological, has increased the value of intellectual power relative to the value of human brawn many times over many generations. I am old enough to remember when physical prowess on the job was the source of legend and reverence. A large statue of Paul Bunyan, the mythical logger, still oversees the northern Minnesota lake country. Stevedores of a century ago were extolled for their brute strength. Today, the activities once carried out by stevedores are often run by young women at a computer console.

Source:
Greenspan, Alan. The Age of Turbulence: Adventures in a New World Economic Flexibility. New York: Penguin Press, 2007.

Freeing Medical Entrepreneurship Could Speed Cures

Medical entrepreneur Tom Harold. Source of photo: http://www.scyfix.org/management.php

(p. 1D) ScyFix, a Chanhassen, Minn., startup, has developed a device it claims treats diseases such as glaucoma and macular degeneration by shooting electric currents into the eye. The company, which is conducting clinical trials in India and the United States, hopes to sell the first device approved by the Food and Drug Administration designed to restore eyesight.
“To me, this is the pacemaker for the eye,” said Dr. Darrell DeMello, ScyFix president and a former executive at Boston Scientific Corp.
ScyFix hopes to eventually raise $60 million to $70 million to finish its clinical trials.
. . .
(p. 2D) Thomas Harold first came up with the idea for ScyFix in 2002. An Internet entrepreneur and a former executive at General Mills, Harold became interested in studies that showed electricity could restore sight. Drugs, however, could only slow the effects of some diseases.
. . .
Specifically, the studies showed electricity could stimulate the production of neurotrophins, a family of proteins that can instruct optic nerve, retinal neurons and photoreceptor cells not to die. In addition, neuromodulation can also repair cell membranes, allowing cells to absorb nutrients, release wastes, improve blood flow to the eye and rewire faulty nerve connections.
Working with doctors and engineers, Harold, who has no medical background, developed a device that releases low-intensity electric currents into the eyelids through electrodes. A complex mathematical equation programmed into the device controls the amount and frequency of the electricity. Patients can administer the treatment at home twice a day for 20 minutes.
Harold says he is encouraged by the results so far: Since 2002, the device has halted progression of diseases in 95 percent of the 1,000 patients tested in 29 countries, according to ScyFix.
“Everything stopped getting worse,” Harold said. “That was a win in itself.”
In addition, 80 percent of the patients reported vision improvement. There were no side effects, the company said.

For the full story, see:
Lee, Thomas (The Star Tribune). “‘Pacemaker’ for eyes shows initial promise.” Omaha World-Herald (Sunday, March 9, 2008): 1D & 2D.
(Note: ellipses added.)

Below I have pasted a couple of paragraphs from the ScyFIX web site. Note that Europeans are free to try the therapy, if they so desire. But citizens of the United States are not free to try the therapy, due to the regulations of the Food and Drug Admininstration (FDA) of the U.S. government.

Buy ScyFIX 600 and Accessories on-line!
Welcome to ScyFIX international web shop where you can order products, choose payment method, including a secure on-line credit card payment service (SSL), and check your delivery status on-line. Buying on-line is safe and easy and you will be guided all the way. All prices are in € (Euro). Place your order and your credit card company will convert the amount in € to your own currency. We accept Visa, Master Card, EuroCard and most bank cards connected to VISA or Master Card. Follow the instructions to take you through the pages, and then onto a secure site in which you will input your credit card and shipping details. When bank authorization has been attained, you will get a confirmation on-line, as well as a confirming e-mail. If at any stage you wish to change your order, just click the “Remove”-button.
Please note that ScyFIX can not ship devices to US addresses, until the ongoing FDA trials have resulted in an approval to market the product in the USA. US customers who mistakenly order and pay for a therapy kit over the web, will be contacted and refunded. However, ScyFIX will deduct 100€ (Euros) covering banking fees and handling costs. If you are a US resident and want to know more about our therapy, please send an inquiry by e-mail to our European office support@scyfix.org, or fill in your personal information in our Clinical Trial & Purchase Interest Form by clicking here www.scyfix.org/clinical_trial_form.htm.

The paragraphs were accessed on 3/9/08 from:
http://www.scyfix.org/shop/

Have You Hugged Your Venture Capitalist Today?

“Apple’s chief executive, Steven P. Jobs, left, and the venture capitalist John Doerr at Apple headquarters in Cupertino, Calif.” Source of caption and photo: online version of the NYT article cited below.

(p. C3) CUPERTINO, Calif. — Steven P. Jobs, Apple’s chief executive, is hoping to expand the iPhone’s appeal by luring software developers to create programs for it.
John Doerr, the venture capitalist, is adding an incentive: his firm is putting up $100 million to invest in the work of those programmers.
At an event Thursday at Apple headquarters, Mr. Jobs announced a low-cost software development kit that outside programmers can use to create programs for the iPhone, much as they now write the vast majority of the programs created for the Macintosh. Until now, iPhones have officially been able to run only the limited assortment of applications that Apple includes. (Some buyers have modified the phones to add unauthorized software.)
“We’re very excited about this,” said Mr. Jobs, who also announced that the company was adding features to make the iPhone more appealing to business users. “We think a lot of people, after understanding where we are going, are going to want to become an iPhone developer.”
Sharing the stage with Mr. Jobs, Mr. Doerr announced that his firm, Kleiner Perkins Caufield & Byers, had established a $100 million venture capital fund for iPhone entrepreneurs. Called the iFund, it is the largest fund the company has created for a specific technology.
“The potential for iPhone is huge,” Mr. Doerr said.

For the full story, see:
LAURIE J. FLYNN. “Apple to Encourage iPhone Programmers.” The New York Times (Fri., March 07, 2008): C3.

Nanotechnology Extends the Life of Moore’s Law

“Daniel Edelstein of I.B.M. Research is leading a team’s work in the use of self-assembling nanotechnology.” Source of caption and photo: online version of the NYT article quoted and cited below.

(p. 4) Until now, as chips became smaller, they also became faster in about the same proportion. It’s still true for transistors, but it’s no longer true for the wires used to connect transistors — and that slows performance gains. Daniel Edelstein, a program manager and fellow at I.B.M. Research, says, “We’re running out of steam.”
Mr. Edelstein is leading a team of researchers from inside and outside I.B.M. in developing a new way to solve the problem: using “self assembling” nanotechnology to make better insulators, raising performance. In this case, self-assembly involves creating so-called airgaps, vacuums a few nanometers wide that keep the billions of tiny copper wires in a chip from touching one another, instead of putting down a layer of insulating material and trying to align it effectively at the nanoscale. It’s more efficient, and it means that I.B.M. won’t need to spend $50 million on photolithographic equipment.
. . . While the technique is not quite done being tested, John E. Kelly III, I.B.M.’s senior vice president for research, says that “there is no question in our minds this is going to work,” and that I.B.M. will move to it by 2009, first for an existing high-end processor or a next-generation chip, then across its fabs.
Mr. Kelly says Mr. Edelstein has a “unique” ability to solve problems and work across the company to commercialize new technologies. In the last decade, he has led two other important breakthroughs, most notably the use of copper for the wires inside chips, replacing aluminum.
Each time, Mr. Edelstein has done it by working with a small group of two or three scientists to explore out-of-the-mainstream approaches to problems. He also goes beyond research, getting to know the manufacturing team to help him understand what it takes to get a novel technique into I.B.M.’s existing manufacturing process.

For the full story, see:
MICHAEL FITZGERALD. “PROTOTYPE; Trying to Put New Zip Into Moore’s Law.” The New York Times Company, SundayBusiness section (Sun., February 24, 2008): 4.
(Note: ellipsis added.)

Hoosiers Were Right to Be Behind the Times

I am a Hoosier by birth and upbringing, and I am not ashamed to admit it, in spite of the fact that “hoosier” is a pejorative in some circles.
Until recently, in Indiana we swam against the tide, in rejecting Daylight Savings Time. It never made sense to me that in order to take advantage of sunlight, the government needed to mandate that the clocks be changed twice a year.
Why couldn’t those who want to use the hours of sunlight differently, simply adjust their own schedules, for example, by getting up earlier or later?
Well the article quoted below, suggests that us Hoosiers may have been wiser than we knew.

(p. D1) For decades, conventional wisdom has held that daylight-saving time, which begins March 9, reduces energy use. But a unique situation in Indiana provides evidence challenging that view: Springing forward may actually waste energy.
Up until two years ago, only 15 of Indiana’s 92 counties set their clocks an hour ahead in the spring and an hour back in the fall. The rest stayed on standard time all year, in part because farmers resisted the prospect of having to work an extra hour in the morning dark. But many residents came to hate falling in and out of sync with businesses and residents in neighboring states and prevailed upon the Indiana Legislature to put the entire state on daylight-saving time beginning in the spring of 2006.
Indiana’s change of heart gave University of California-Santa Barbara economics professor Matthew Kotchen and Ph.D. student Laura Grant a unique way to see how the time shift affects energy use. Using more than seven million monthly meter readings from Duke Energy Corp., covering nearly all the households in southern Indiana for three years, they were able to compare energy consumption before and after counties began observing daylight-saving time. Readings from counties that had already adopted daylight-saving time provided a control group that helped them to adjust for changes in weather from one year to the next.
Their finding: Having the entire state switch to daylight-saving time each year, rather than stay on standard time, costs Indiana households an additional $8.6 million in electricity bills. They conclude that the reduced cost of lighting in afternoons during daylight-saving time is more than offset by the higher air-conditioning costs on hot afternoons and increased heating costs on cool mornings.
“I’ve never had a paper with such a clear and unambiguous finding as this,” says Mr. Kotchen, who presented the paper at a National Bureau of Economic Research conference this month.

For the full story, see:
JUSTIN LAHART. “Daylight Saving Wastes Energy, Study Says.” The Wall Street Journal (Weds., February 27, 2008): D1 & D4.

Greenspan on Leapfrogging in India

(p. 316) India is fast becoming two entities: a rising kernal of world-class modernity within a historic culture that has been for the most part stagnating for generations.
This kernal of modernity appears to have largely leapfrogged the twentieth-century labor-intensive manuafacturing-for-export model embraced by China and the rest of East Asia.

Source:
Greenspan, Alan. The Age of Turbulence: Adventures in a New World Economic Flexibility. New York: Penguin Press, 2007.

Government Supported Biofuels Increase Global Warming

Source of graph: online version of the WSJ article quoted and cited below.

(p. A4) While the U.S. and others race to expand the use and production of biofuels, two new studies suggest these gasoline alternatives actually will increase carbon-dioxide levels.
A study published in the latest issue of Science finds that corn-based ethanol, a type of biofuel pushed heavily in the U.S., will nearly double the output of greenhouse-gas emissions instead of reducing them by about one-fifth by some estimates. A separate paper in Science concludes that clearing native habitats to grow crops for biofuel generally will lead to more carbon emissions.
The findings are the latest to take aim at biofuels, which have already been blamed for pushing up prices of corn and other food crops, as well as straining water supplies. The Energy Department expects U.S. ethanol production to reach about 7.5 billion gallons this year from 3.9 billion in 2005, encouraged by high prices and government support. The European Union has proposed that 10% of all fuel used in transportation should come from biofuels by 2020.
Some scientists have praised biofuels because growing biofuel feedstock would remove gases that trap the sun’s heat from the air, while gasoline and diesel fuel take carbon from the ground and put it in the air. However, some earlier studies didn’t account for one hard-to-measure factor: the decision by farmers world-wide to convert forest and grasslands to grow feedstock for the new biofuels.
. . .
[One] study’s funding came from the National Science Foundation and the University of Minnesota’s Initiative on Renewable Energy and the Environment, . . . The other paper relied on funding from various indirect sources, including the Hewlett Foundation and the Agriculture Department.

For the full story, see:
GAUTAM NAIK. “Biofuels Hold Potential for Greater Levels of CO2; Land Use for Crops May Cancel Out Benefits of Use.” The Wall Street Journal (Fri., February 8, 2008): A4.

(Note: ellipses added; and bracketed word added.)
(Note: the somewhat different title of the online version was “Biofuels May Hinder Antiglobal-Warming Efforts; Carbon Emissions Could Increase As Land-Use Shifts.”)