“The Stigma of Being ‘Drivers'”

(p. 6) They were arrested, suspended from jobs, shunned by relatives and denounced by clerics as loose women out to destroy society. Their offense? They did what many in Saudi Arabia considered unthinkable: getting in cars and driving.
Their protest in 1990 against the kingdom’s ban on women driving failed, and the women paid dearly for it, with the stigma of being “drivers” clinging to them for years.
So last month, when King Salman announced that the ban on women driving would be lifted next June, few were happier than the first women to demonstrate for that right — almost three decades ago.
. . .
Many restrictions on women remain, including so-called guardianship laws that give Saudi men power over their female relatives on certain matters. But the original protesters are overjoyed that their daughters and granddaughters will have freer lives than they did, thanks to the automobile.
“That I am driving means that I know where I am going, when I’m coming back and what I’m doing,” said Ms. Alaboudi, the social worker.
“It is not just driving a car,” she said, “it is driving a life.”

For the full story, see:
BEN HUBBARD. “27 Years After Protest, a Victory Lap for Saudi Women.” The New York Times, First Section (Sunday, October 8, 2017): 6.
(Note: ellipsis added.)
(Note: the online version of the story has the date OCT. 7, 2017, and has the title “‘Once Shunned as ‘Drivers,’ Saudi Women Who Fought Ban Now Celebrate.”)

Deregulation Can Revive 3% Economic Growth

(p. A17) Growth deniers are declaring that America’s economy has lost its ability to grow at 3% above inflation. If that’s the case, maybe we should go back to where we lost 3% growth and retrace our steps until we find it. For only with 3% or higher growth does America experience measurable progress in poverty reduction, strong job creation and income growth. If 3% growth is irretrievably lost, so is the American Dream.
Did America actually experience 3% real growth to start with? Yes. In the postwar era, the U.S. averaged 3.4% annual growth from 1948 through 2008. We averaged 3% growth for half of the George W. Bush presidency (2003-06). From 2009-12, the Obama administration, the Congressional Budget Office and the Federal Reserve all thought they saw 3% growth just around the corner. If the possibility of 3% growth is gone forever, it hasn’t been gone very long.
. . .
While Obama apologists like to claim that labor-productivity and labor-supply factors preclude 3% growth, most of the growth constraints we face today are directly attributable to Mr. Obama’s policies.
. . .
A tidal wave of new rules and regulations across health care, financial services, energy and manufacturing forced companies to spend billions on new capital and labor that served government and not consumers. Banks hired compliance officers rather than loan officers. Energy companies spent billions on environmental compliance costs, and none of it produced energy more cheaply or abundantly. Health-insurance premiums skyrocketed but with no additional benefit to the vast majority of covered workers.
In a world of higher costs, productivity plummeted. Productivity measures the production of things the market values that flow from the employment of labor and capital. Try listing the Obama-era regulatory requirements that generated the employment of labor and capital in ways that actually produced something you buy.
. . .
Bad policies–not bad luck or a loss of God’s favor–have driven down labor productivity and the labor supply. We can change those policies.
. . .
With 3% growth, the American dream is achievable and virtually anybody willing to work hard can live it. Let 3% growth die and a lot of what we love most about our country will die with it.

For the full commentary, see:
Phil Gramm and Michael Solon. “Finding America’s Lost 3% Growth; If the country can’t grow like it once did, then the American Dream really is irretrievably lost.” The Wall Street Journal (Monday, Sept. 11, 2017): A17.
(Note: ellipses added.)
(Note: the online version of the commentary has the date Sept. 10, 2017.)

Barcelona Fines 136-Year-Old Basilica for Lack of Building Permit

(p. A4) The Sagrada Familia basilica in Barcelona has worldwide fame as an architectural treasure, the dreamlike masterpiece of the Catalan architect Antoni Gaudí, which draws millions of visitors a year though it is still under construction, 136 years after work began.
What it has not had for more than a century, according to the city, is a valid building permit.
The Sagrada Familia basilica has agreed to pay city authorities 36 million euros, or about $41 million, over 10 years to settle the dispute over the legality of the work and help pay for transportation improvements around the basilica.
. . .
The Sagrada Familia’s board had denied any wrongdoing, saying that it had a building permit — one issued in 1885 by Sant Martí de Provençals, which was an independent town at the time. Barcelona officials contend that after Sant Martí was absorbed into the city several years later, the construction required a Barcelona permit; the board says that for more than a century, no one asked for any such thing.

For the full story, see:
Raphael Minder. “A Barcelona Gem, And a Scofflaw?” The New York Times (Saturday, Oct. 20, 2018): A4.
(Note: ellipsis added.)
(Note: the online version of the story has the date Oct. 19, 2018, and has the title “Sagrada Familia, a Barcelona Masterpiece, and Scofflaw?”)

New York City Wrongly Believes Destroying Ivory Saves Elephants

As I explain to my micro principles students each semester, if New York wants to save elephants, they would keep ivory on the market, increasing its supply and reducing its price, thereby reducing the incentive for poachers to kill elephants. [I first saw this argument made in the Baumol and Blinder text that I used many of years ago in my micro principles classes.]

(p. A19) A loud rumble and giant billows of dust interrupted an otherwise serene day in Central Park on Thursday as hundreds of cream-colored carvings of dragons, Buddhas and horses awaited their public execution.

Onlookers waved paper fans reading “Protect their home.” They cheered as sculptures and jewelry made from elephant tusks were carried on a conveyor belt and dropped in a pulverizer.
Brian Hackett, an animal-welfare activist from New Jersey, patiently awaited his turn to choose a carving from a table to be destroyed. For him, the mood was solemn.
“Every piece, no matter how polished, represents a beautiful animal that was slaughtered,” Mr. Hackett said.
The carvings were confiscated in recent ivory busts in New York. They once belonged on the faces of a least 100 slaughtered elephants. Nearly two tons of ivory worth about $8 million was destroyed at the “Ivory Crush” event, which was timed to precede World Elephant Day on Aug. 12 [2017].
. . .
Rachel Karr, 48, the owner of Hyde Park Antiques on the Lower East Side, who specializes in 18th-century antiques, said the ivory-crushing events upset her and other antique collectors because some of the ivory found in bona fide antiques could be 300 to 400 years old and could have religious and historic value. For example, in teapots from the 18th century, the handles were carved from ivory to protect hands from burns, because ivory does not conduct heat.
“Even with my love of nature, I simply cannot understand what good it does to destroy things that were worked on 300, 400 years ago before conservation was part of daily language,” Ms. Karr said.
“Face it, we’re the original recyclers, antique dealers,” she said. “We have no interest in using new ivory at all. We are willing to say we aren’t willing to use it to repair old ivory.”
Sam Wasser, a professor at the University of Washington who has performed forensic analysis on seized ivory for the last 13 years and analyzed the ivory that was crushed, said it was unlikely the destroyed carvings were more than 100 years old. The results are pending.
Iris Ho, who is the wildlife campaigns manager at Humane Society International, said the existing law does enough to protect antiques. The law provides exceptions for antiques that are determined to be at least 100 years old with only a small amount of ivory.

For the full story, see:
Hannah Alani. “Ivory Is Destroyed to Save Elephants.” The New York Times (Friday, Aug. 4, 2017): A19.
(Note: ellipses, and bracketed year, added.)
(Note: the online version of the story has the date Aug. 3, 2017, and has the title “About $8 Million of Elephant Ivory Destroyed in Central Park.” The online version says that the article appeared on p. A21 of the New York edition. It appeared on p. A19 of my copy of the National Edition.)

When Government Mandates a Technology

(p. A20) In 2011, after a lengthy competition among automakers, Mayor Michael R. Bloomberg announced that the Nissan NV200 would become the “Taxi of Tomorrow” with most yellow cab owners required to purchase the boxy, bright yellow van. Eventually, the vehicle was expected to make up 80 percent of New York City’s fleet of over 13,000 cabs.
At the time, city officials touted the NV200’s increased leg room, USB charging ports and sunroof as amenities that would be attractive to riders who had long complained about cramped travel in less than spotless back seats.
But it turns out that tomorrow lasted only seven years.
Last week, the Taxi and Limousine Commission reversed the requirement, expanding the option for drivers beyond the Nissan NV200 to a smorgasbord of over 30 vehicles, including popular, fuel efficient models like the Toyota Camry.
. . .
. . . there are drivers like Sergio Cabrera, 60, who owns his vehicle and the expensive medallion needed to have it on the road, who said the NV200 has given him many headaches.
. . .
“There hasn’t been a worse car for the taxi industry than the NV200,” he said. “It’s not easy for older people to get into. Mechanically it’s one of the worst made cars I’ve ever owned.”
Mr. Cabrera complained that owning the Nissan has been expensive, in part because of regulations that he and other yellow cabdrivers say subjects them to more maintenance rules than drivers for ridesharing apps.
The Taxi and Limousine Commission requires yellow taxis to undergo a 200-point inspection every four months. Each time his Nissan has been inspected, Mr. Cabrera said he has had to shell out at least $1,500 in repairs in order to pass.

For the full story, see:
Tyler Blint-Welsh. “Time Is Up for ‘Taxi of Tomorrow’.” The New York Times (Wednesday, June 13, 2018): A20.
(Note: ellipses added.)
(Note: the online version of the story has the date June 12, 2018, and has the title “It Was Billed as the ‘Taxi of Tomorrow.’ Tomorrow Didn’t Last Long.”)

Some Democrats Trying to Restrict “Zoning, Environmental, and Procedural Laws” that “Thwart” New Housing

(p. A1) SACRAMENTO — A full-fledged housing crisis has gripped California, marked by a severe lack of affordable homes and apartments for middle-class families. The median cost of a home here is now a staggering $500,000, twice the national cost. Homelessness is surging across the state.
In Los Angeles, booming with construction and signs of prosperity, some people have given up on finding a place and have moved into vans with makeshift kitchens, hidden away in quiet neighborhoods. In Silicon Valley — an international symbol of wealth and technology — lines of parked recreational vehicles are a daily testimony to the challenges of finding an affordable place to call home.
Heather Lile, a nurse who makes $180,000 a year, commutes two hours from her home in Manteca to the San Francisco hospital where she works, 80 miles away. “I make really good money and it’s frustrating to me that I can’t afford to live close to my job,” said Ms. Lile.
. . .
Now here in Sacramento, lawmakers are considering extraordinary legislation to, in effect, crack down on communities that have, in their view, systematically delayed or derailed housing construction proposals, often at the behest of local neighborhood groups.
The bill was passed by the Senate last month and is now part of a broad package of housing proposals under negotiation that Gov. Jerry Brown and Democratic legislative leaders announced Monday was likely to be voted on in (p. A13) some form later this summer.
“The explosive costs of housing have spread like wildfire around the state,” said Scott Wiener, a Democratic senator from San Francisco who sponsored the bill. “This is no longer a coastal, elite housing problem. This is a problem in big swaths of the state. It is damaging the economy. It is damaging the environment, as people get pushed into longer commutes.”
. . .
The bill sponsored by Mr. Wiener, one of 130 housing measures that have been introduced this year, would restrict one of the biggest development tools that communities wield: the ability to use zoning, environmental and procedural laws to thwart projects they deem out of character with their neighborhood.

For the full story, see:

Adam Nagourney and Conor Dougherty. “Housing Costs Put California In Crisis Mode.” The New York Times (Tuesday, July 18, 2017): A1 & A13.

(Note: ellipses added.)
(Note: the online version of the story has the date July 17, 2017, and has the title “The Cost of a Hot Economy in California: A Severe Housing Crisis.”)

Uncertainty on Future Government Policies Reduces Firm Investment

(p. A6) A shoe factory owner, Rafeeque Ahmed, says he has put expansion plans on hold until he has more confidence about New Delhi’s policy plans, particularly about minimum wages. The $16 million he was going to invest to boost his production capacity by 20% may now go to setting up facilities in Myanmar or Bangladesh.
“We are afraid to invest,” because the government could suddenly change policies and thus our costs, he said.

For the full story, see:
Anant Vijay Kala. “Uncertainty Dulls India’s Business Appetite.” The Wall Street Journal (Tuesday, November 7, 2017): A6.
(Note: the online version of the story has the date November 6, 2017, and has the title “Apple’s Market Cap Hits $1 Trillion.”)

Drug Middlemen Create “Perverse Incentive” for Higher List Prices

(p. B1) The Department of Health and Human Services is scrutinizing the system of rebates and discounts paid to middlemen as medicine flows from manufacturers to patients. Those middlemen, such as drug wholesalers, pharmacies, and pharmacy-benefit managers, are often compensated as a percentage of a drug’s list price. That creates a perverse incentive for higher list prices throughout the system.
. . .
Pfizer , which made headlines earlier this month by pausing a slate of planned price increases due to White House criticism, sounds ready for reform. Chief Executive Ian Read on a conference call with analysts last week predicted that rebates are “going away” over the long term. Mr. Read added that the larger gaps between list and net prices amounted to a “subsidy” for companies in the drug supply chain and blamed those subsidies for the relatively weak sales of certain lower-priced versions of blockbuster drugs.

For the full commentary, see:
Charley Grant. ” HEARD ON THE STREET; Skies Darken for Drug Middlemen.” The Wall Street Journal (Wednesday, Aug. 8, 2018): B1.
(Note: ellipsis added.)
(Note: the online version of the commentary has the date Aug. 7, 2018.)

Natural Experiment on Consumer Effects of Net Neutrality

(p. A25) TORONTO — The Federal Communications Commission is planning to jettison its network neutrality rules, and many Americans are distraught. Such a move, the Electronic Frontier Foundation warned, “invites a future where only the largest internet, cable and telephone companies survive, while every start-up, small business and new innovator is crowded out — and the voices of nonprofits and ordinary individuals are suppressed.”
Critics worry that getting rid of neutrality regulation will lead to a “two-tier” internet: Internet service providers will start charging fees to websites and apps, and slow down or block the sites that don’t pay up. As a result, users will have unfettered access to only part of the internet, with the rest either inaccessible or slow.
Those fears are vastly overblown.
. . .
So why am I not worried? I worked for a telecommunications company for 25 years, and whatever one may think about corporate control over the internet, I know that it simply is not in service providers’ interests to throttle access to what consumers want to see. Neutral broadband access is a cash cow; why would they kill it?
. . .
The good news is that we will soon have a real-world experiment to show who is right and who is wrong. The United States will get rid of its rules, and the European Union and Canada will keep their stringent regulations. In two years, will the American internet be slower, less innovative and split into two tiers, leaving Canadians to enjoy their fast and neutral net?
Or, as I suspect, will the two markets remain very similar — proving that this whole agonized debate has been a giant waste of time? Let’s check back in 2019.

For the full commentary, see:
Ken Engelhart. “Losing Net Neutrality: Nothing to Be Afraid Of.” The New York Times (Tuesday, Dec. 5, 2017): A25.
(Note: ellipses added.)
(Note: the online version of the commentary has the date Dec. 4, 2017, and has the title “Why Concerns About Net Neutrality Are Overblown.” The online version says that the New York edition ran the commentary on p. A27, instead of the A25 page on which it appeared in my National Edition copy.)

Wrecking Ball for Bureaucracy That “Is Killing the Country”

(p. B4) America’s big tech companies are facing some of their toughest political challenges as they flirt with or surpass trillion-dollar valuations. Before lawmakers try to rein them in, Reid Hoffman argues government officials better be careful what they wish for.
Mr. Hoffman was chief operating officer of PayPal while it was still a small payments startup before he co-founded the professional social-network LinkedIn.
. . .
WSJ: You’re vociferously opposed to President Trump and even commissioned an anti-Trump card game. Does Silicon Valley have a problem with liberal bias?
Mr. Hoffman: I do think that there is a reflexive bias to liberalism that causes discomfort. I think you have that kind of left bias within the Silicon Valley culture, too, which is, “I’m so convinced that’s idiotic, I’m not listening to anything about it.” And that’s the problem. The problem is not actively listening. But that’s human. It’s not only here. Part of the reason [for strong negative reactions] to Trump is the flat-out lies.
WSJ: When you talk politics with Peter Thiel, PayPal’s co-founder and a well-known Trump supporter, what are those conversations like?
Mr. Hoffman: He’s a friend of mine, but we’ve disagreed about politics since we were college undergraduates. One thing we argue about is how much does Trump lie? I’ve been trying to advance him the case that there’s always been some lying around politicians, but Trump is one or two orders of magnitude worse than ever before. He says Obama is a bigger liar than Trump–based on, for example, the claim that under Obamacare you’d be able to spend as much time with your primary doctor as you did before Obamacare.
Peter thinks that the bureaucracy is killing the country and that you need a wrecking ball to shake it up, and maybe Trump is the only wrecking ball you get. His pro-Trump arguments are that someone needed to stand up to China. Trump at least is, [while] everyone else gave it lip service.

For the full interview, see:
Rolfe Winkler, interviewer. “A Silicon Valley Warning.” The Wall Street Journal (Thursday, Sept. 27, 2018): B4.
(Note: ellipsis added; bolded and bracketed words in original.)
(Note: the online version of the interview has the date Sept. 26, 2018, and the title “LinkedIn’s Co-Founder Warns of Perils in Regulating Big Tech.” The last question and answer quoted above, is included in the online, but not the print, version of the interview.)