[A quick side note. Bob Chipman, a film critic and pop culture historian whose work I enjoy and which I cited recently is no longer with the Escapist. If you want to keep up with his work, you can check out his blog here.]
The following is a nice example of putting popular culture in a business context. It also relates to an ongoing discussion I've been having with Joseph.
Joseph and I were discussing this very point about collectibles a few weeks ago as part of a larger conversation about investments and compensation, specifically cases where people made decisions in the hope of events repeating despite the fact that they were almost certainly a one time payoffs.
Growing up in Arkansas my go-to example is the Walmart millionaire box boy. Years before the stock took off, Sam Walton's wife convinced him to start a program that rewarded employees with either stock or stock options. When the boom came, a number of long-term employees found themselves very well compensated. As a result, virtually everyone in the area either knew someone or knew someone who knew someone who had become a millionaire from working a fairly low-wage job at Walmart.
These stories floated around for decades. They helped enourmously with morale and recruitment. People will tolerate a great deal for the possibility of a multimillion dollar payday down the road, but of course the boom was a one time event. By the time that people heard about the multimillionaire box boys, the last one of these had already been minted.
Joseph and I both saw a similar phenomenon working for you high-growth company in the early part of the millennium. The corporate folklore was filled with examples of people who had either gotten tremendous payouts from stock options or who had gone from the bottom to the top ranks of the company with shocking speed . Interns and secretaries who had become millionaires and vice presidents in the space of a few years.
For the most part, these anecdotes were true but that was largely beside the point. A few years earlier the company had been a start up now it was a major corporation. The career path and compensation associated with that particular transition were huge but there was no way they could be replicated once the company had arrived.
Of course, these stories didn't just spread by themselves. The companies in question did their best to make sure their employees knew that in the past there have been big pay offs . The result was a kind of false compensation. "We are not saying that your menial job here will lead to great wealth and position, but it has happened before." It is probably not a coincidence that Walmart's increasing labor problems seem to have picked up steam as the legends of millionaire cashiers faded.
Monday, March 23, 2015
Friday, March 20, 2015
Annals of unintended consequences
This is Joseph.
One issue with high stakes tests, regardless of who they are evaluating, is that there is a huge advantage to be gained by cheating. Transparency and social norms are usually the big tools here.
However, when it goes wrong, it can go very, very wrong.
Just one more thing to consider with educational testing.
One issue with high stakes tests, regardless of who they are evaluating, is that there is a huge advantage to be gained by cheating. Transparency and social norms are usually the big tools here.
However, when it goes wrong, it can go very, very wrong.
Just one more thing to consider with educational testing.
Enhanced prototype demonstrations
I've spilled a lot of pixels criticizing tech reporters both for a lack of skepticism and historical perspective, so I highly recommend this article by Peter Baida which shows that the tendency to confuse good PR for innovation goes back to the very beginnings of American manufacturing.
Eli Whitney’s Other Talent
Though it took him a long while to master the art of musket making, Whitney was quick to master the art of obtaining extensions from government authorities. Part of his technique was to insist upon the revolutionary nature of the production methods he was developing. As early as July 1799, he explained to worried officials that his factory would embody a “new principle” of manufacturing: “One of my primary objects,” he wrote to Secretary of the Treasury Oliver Wolcott, “is to form the tools so the tools themselves shall fashion the work and give to every part its just proportion—which when once accomplished, will give expedition, uniformity, and exactness to the whole....In short, the tools which I contemplate are similar to an engraving on a copper plate from which may be taken a great number of impressions perceptibly alike.”
This is a description, and an elegant one, of the principle of “interchangeable parts.” If machine tools make parts of a weapon (or other product) so “perceptibly alike” that broken parts can be replaced without special fitting, then the parts are said to be interchangeable.
Though Whitney spoke of adopting a “new principle” in his factory, not even his most ardent defenders credit him with discovering the principle of interchangeable parts. Years before Whitney contracted to manufacture muskets, a Frenchman, Honoré Blanc, was making musket firing mechanisms (“locks”) on the interchangeable system. Thomas Jefferson saw a demonstration of Blanc’s work in 1785: “He presented me with the parts of fifty locks taken to pieces, and arranged in compartments. I put several together myself, taking pieces at hazzard as they came to hand, and they fitted in a most perfect manner.”
If Whitney did not introduce the principle of interchangeable parts, might he not have been the first American to make practical use of the principle? Modern researchers have tested the Whitney firearms that survive, with results that astonished those who had grown up believing the Whitney legend. The tests showed that, in some respects, the parts of Whitney’s firearms were not even approximately interchangeable. Moreover, many parts of Whitney’s muskets are engraved with special marks—marks that would only be necessary if the manufacturer had failed to achieve interchangeability.
These discoveries raise another question. An episode that figures prominently in the Whitney legend is a demonstration that he made in Washington in January 1801 before an audience that included President Adams and Presidentelect Jefferson. “Mr. Whitney,” Jefferson later wrote to James Monroe, “has invented moulds and machines for making all the pieces of his locks so exactly equal, that...the hundred locks may be put together as well by taking the first pieces which come to hand.”
In view of the deficiencies of the firearms that survive, how are we to explain the demonstration of 1801? Merritt Roe Smith, one of our foremost authorities on the history of arms manufacture, concludes that only one explanation makes sense: “Whitney must have staged his famous 1801 demonstration with specimens specially prepared for the occasion....it appears that Whitney purposely duped government authorities...[and] encouraged the notion that he had successfully developed a system for producing uniform parts.”
...
So far, so bad, but there’s more! “By his tenacity he so perfected the manufacture of arms that with the subsequent adoption of his system...the government saved $25,000 annually”—so says the Dictionary of American Biography, which goes on to give Whitney credit (as do Nevins and Mirksy) for an invention of exceptional importance in the history of manufacturing: “Of the various machines designed and used by Whitney only one is known to exist. This is a plain milling machine which was built prior to 1818, and is believed to be the first successful machine of its kind ever made.”
It’s bad enough to discover that you can’t count on the things you learned in the seventh grade, but you know you’re really in trouble when you realize that you can’t count on the Dictionary of American Biography. In “Eli Whitney and the Milling Machine,” published in the Smithsonian Journal of History in 1966, Edward A. Battison concludes: “There is no evidence that Whitney developed or used a true milling machine.” The so-called Whitney machine of 1818 seems actually to have been made after Whitney’s death in 1825. The first true milling machine was made not by Whitney, Battison suggests, but by Robert Johnson of Middletown, Connecticut.
Thursday, March 19, 2015
Elmo Keep's other must-read on Mars One
I don't have time today to do more than post a few quotes, but it's definitely something you should read if you've been following this story.
Mars One Finalist Explains Exactly How It‘s Ripping Off Supporters
But eventually Joseph — who is actually Dr. Joseph Roche, an assistant professor at Trinity College’s School of Education in Dublin, with a Ph.D. in physics and astrophysics — found himself on the group’s shortlist of 100 candidates all willing to undertake the theoretical journey. And that’s when he started talking to me about the big problems he was seeing with Mars One.
It was difficult for him to break his silence, but he was spurred into speaking out by the uncritical news coverage. Many basic assumptions about the project remain unchallenged. Most egregiously, many media outlets continue to report that Mars One received applications from 200,000 people who would be happy to die on another planet — when the number it actually received was 2,761.
...
“When you join the ‘Mars One Community,’ which happens automatically if you applied as a candidate, they start giving you points,” Roche explained to me in an email. “You get points for getting through each round of the selection process (but just an arbitrary number of points, not anything to do with ranking), and then the only way to get more points is to buy merchandise from Mars One or to donate money to them.”
“Community members” can redeem points by purchasing merchandise like T-shirts, hoodies, and posters, as well as through gifts and donations: The group also solicits larger investment from its supporters. Others have been encouraged to help the group make financial gains on flurries of media interest. In February, finalists received a list of “tips and tricks” for dealing with press requests, which included this: “If you are offered payment for an interview then feel free to accept it. We do kindly ask for you to donate 75% of your profit to Mars One.” [Bold in original.]
...
So, here are the facts as we understand them: Mars One has almost no money. Mars One has no contracts with private aerospace suppliers who are building technology for future deep-space missions. Mars One has no TV production partner. Mars One has no publicly known investment partnerships with major brands. Mars One has no plans for a training facility where its candidates would prepare themselves. Mars One’s candidates have been vetted by a single person, in a 10-minute Skype interview.
Wednesday, March 18, 2015
Another Mars One update
I'm chipping away at a longer piece on Mars One, which means I'll be recycling some of my notes...
Mars One Suspends Work on Robotic Missions by Jeff Foust — February 18, 2015Another area of concern was funding. The original plan was wildly ambitious, requiring Olympic-level profits from a proposed reality show, but the company had managed to line up an experienced partner to produce the show. Now even that is in question.
WASHINGTON — A private organization that recently selected finalists for one-way human missions to Mars in the mid-2020s has quietly suspended work on a pair of robotic missions, putting into question plans to launch those spacecraft in 2018.
Mars One, a Dutch-based nonprofit organization, announced in December 2013 it was starting work on two robotic missions it planned to launch in 2018 as precursors to its human expeditions to Mars. One spacecraft would orbit Mars and serve as a communications relay, while the other would be a lander to test technologies planned for later crewed missions.
At that time, Mars One announced it had selected Lockheed Martin to begin work on the lander mission and Surrey Satellite Technology Ltd. (SSTL) to start work on the orbiter. Mars One awarded contracts to each company to perform concept studies of the planned missions.
“These missions are the first step in Mars One’s overall plan of establishing a permanent human settlement on Mars,” Bas Landsorp, Mars One chief executive and co-founder, said in a December 2013 press conference here announcing the missions. “We believe we are in very good shape to make this happen.”
However, both companies confirmed with SpaceNews that, since the completion of those study contracts, they have not received additional contracts from Mars One to continue work on those missions.
“SSTL delivered the concept study for the Mars One communications system last year,” SSTL spokeswoman Joelle Sykes said Feb. 16. “There are no follow-on activities underway at the moment.”
“Lockheed Martin has concluded the initial contract with Mars One in which we performed mission formulation studies and developed payload interface specifications to support the selection of a payload suite for the 2018 Mars robotic lander,” the company said in a statement Feb. 17. “We continue to maintain an open channel of communications with Mars One and await initiation of the next phase of the program.”
...
Those plans, though, may depend on the progress Mars One makes on its robotic missions, and there time is of the essence. Lockheed Martin noted in its statement that its proposed Mars One lander is based on a “very mature” design used on NASA’s Phoenix Mars Lander mission launched in 2007 and the InSight lander it is building for launch in March 2016.
Despite that heritage, the company said, “we would have to start construction very soon to launch an InSight clone in the 2018 window.”
No more 'Big Brother' on the red planet: Endemol axes plans for reality TV show that would record life of Mars One explorers - but a documentary will still be made
By SARAH GRIFFITHS and JONATHAN O'CALLAGHAN, 23 February 2015
Last week Mars One announced a list of 100 people who will train on Earth for a one-way mission to the red planet in 2025.
But the venture's accompanying reality TV show - which was to be made by the makers of Big Brother to document their training and new lives on the red planet - has been shelved after the companies were 'unable to reach an agreement on details', MailOnline has learned.
Instead, Mars One is working with a new production company to record the colonists' progress.
It is unclear whether the breakdown in communications may blow a hole in Mars One's already tight $6 billion (£4 billion) budget because TV rights were expected to help finance the majority of the mission.
So far less than $760,000 (£496,000) has been donated to cover the estimated total cost, and time is of the essence.
However, Bas Lansdorp, co-founder and CEO of Mars One, told MailOnline that the idea of a television programme providing a hefty chunk of funding was a 'big misconception'.
'Media exposure is one of our business cases. Funding for the mission will come mostly from equity investors,' he said.
'The return on their investment will come when the first crew leaves or even when it lands: that's when the revenues from the media exposure are much larger than the cost of the mission.'
He said the documentary will 'involve more people in our adventure,' but declined to name the production company that will make the programme.
Initially, there were plans for Endemol to make a reality TV programme documenting the selection process and training of the colonists.
It was to be made by Endemol-owned Darlow Smithson Productions (DSP) and was dubbed 'Big Brother on Mars'.
But DSP told MailOnline: ‘DSP and Mars One were unable reach agreement on the details of the contract and DSP is no longer involved in the project.
'We wish Bas and the team all the very best.’
It is unclear when the decision was made, although Endemol originally said that the first installments of the TV show would air in early 2015.
Lansdorp also told MailOnline: 'We have ended our cooperation with Endemol because we could not reach agreement on the details of the contract.
'We have contracted a new production company that will produce the documentary series for us.
'They have already produced the trailer on our Youtube channel and progress is good.'
Tuesday, March 17, 2015
The Mars conversation I'd like to be having
As a bit of an antidote for all the accumulated bile of the last few Mars One posts, I'd like to recommend this IEEE paper from Ian McNab. I'll admit it lost me on the curves a few times, but on the whole it's remarkably readable.
From the introduction:
Let's think about the question of why so many reputable news organizations are devoting so much coverage to Mars One and so little to other, better aerospace stories such as this one.
What do I mean by better?
For starters, this is a credible proposal from a well-established authority published in an IEEE journal, and, based on my experience, it's an idea that other engineers in the field are not willing to dismiss out of hand; they may not consider it practical, but they do take it seriously. (For example, JPL was looking into using orbiting railguns to launch small interplanetary probes as far back as 1988.)
And we really are talking about a game-changer here. If McNab's estimates hold up, we're talking about reducing launch costs by considerably more than an order of magnitude. Even if we factor in the need to use traditional rockets for people and other delicate cargo, that cost reduction is still enough to shift the underlying economics of all space-based enterprises, ranging from asteroid mining to tourism to, yes, interplanetary colonies.
Finally, rail guns are cool. All Mars One has to offer is cheesy artist conceptions. With railguns you get video like this:
This is, of course, just one example. There are any number of fascinating stories about aerospace research. Why do they go unnoticed while Mars One continues to make the cut? Here are my guesses:
1. Bullshit does not count against you. As Elmo Keep spelled out in painful detail, every aspect of this story collapses under inspection, but even after Keep's expose, the stories kept coming;
2. People love a bargain (i.e. there's a sucker born every minute). I've noticed a number of cases recently where an unrealistically low price seems to make proposals more newsworthy (this example jumps to mind);
3. Everybody loves a messiah (even a Galtian one). Entrepreneurs and market forces are also easy pitches these days, while stories of public action and collective sacrifice fall out of favor. Of course, even in the Sixties, space was a tough sell (even as we were sending men to the moon, people were suggesting that the money would have been better spent down here), but now even the suggestion that we as a society would take on something expensive and challenging seems oddly quaint.
From the introduction:
In the past 40 years, mankind has ventured into space using well-established rocket technology involving liquid fuels and/or solid propellants. This approach has the advantage for astronauts and fragile payloads that the rocket starts slowly from the surface of the Earth with its full fuel load, and, as the fuel is burned off, the altitude and speed increase. In addition to minimizing the aerodynamic and aerothermal loads, this provides relatively modest accelerations—maximum values of a few “gees” are used for human passengers. Because only a small fraction of the initial mass reaches orbit, rockets of substantial size are required to place tens of tons into near-Earth orbit. Offsetting these remarkable successes is the very high cost of burning chemical fuel with a modest efficiency in a rocket engine to get out of the Earth’s gravitational well. Present estimates are that it costs $20 000 to get one kilogram of material into orbit. Unless alternatives can be found, it seems likely that mankind’s ventures into space will be limited to a few adventures that can only be undertaken by wealthy nations—the science-fiction writer’s dream of colonizing the planets and stars may be unaffordable.
Proposed solutions fall into four general categories: better rocket propellants; the space elevator; gun launch from the Earth’s surface; and laser launch. Although these options will not be discussed in detail, a few comments are appropriate. First, there appear to be no acceptable alternative rocket propellants that can offer substantial improvements compared with present choices. Second, although the space elevator seems to have great promise as a concept for the future, its practical realization awaits the development of a material that is strong enough to be able to carry its own weight (and that of the payloads it will lift) from the Earth’s surface to geosynchronous orbit. Third, estimates indicate that to launch payloads of less than a ton with a laser would require multigigawatt lasers far larger than any presently in existence
[Having concluded that gun launches are currently the most viable option, McNab starts drilling down into the details.]
...
If the launcher is sufficiently long, the acceleration can be reduced to a level that is compatible with present component technology, although the acceleration forces will not allow people or fragile payloads to be launched with feasible launcher lengths. Guns may therefore be limited to launching robust packages such as food, water, fuel, and replaceable components. This may be an important support function for the International Space Station (ISS) or other missionsI don't want to get into whether or not we should be spending more on space exploration, and I certainly don't want to argue the merits of this proposal (that topic would take me out of my depth almost immediately). For now, I want to stay meta and discuss the discussion.
A disadvantage of gun launch is that the launch package has to leave the gun barrel at a very high velocity ( 7500 m/s) through the Earth’s atmosphere, leading to a very high aerothermal load on the projectile. The reentry vehicle community has successfully developed techniques to overcome this situation (when traveling in the reverse direction), and it seems possible that similar techniques can resolve this problem, either through the use of refractory or ablative nose materials or by evaporative cooling techniques. The mass of coolant required for this appears to be acceptable, as discussed below. The second concern for a gun is the size of the package that can be launched. Unless a very large gun can be built, the payload launched into orbit per launch will be a few hundred kilograms, which will require a large number of launches per year. For example, to provide 500 tons/year to orbit would require 2000 launches/year—a little over five per day on average. An infrastructure in space for handling this traffic and distributing the payloads will have to be created. Issues to be addressed will include decisions on handling or recycling the nonpayload components that reach orbit.
Let's think about the question of why so many reputable news organizations are devoting so much coverage to Mars One and so little to other, better aerospace stories such as this one.
What do I mean by better?
For starters, this is a credible proposal from a well-established authority published in an IEEE journal, and, based on my experience, it's an idea that other engineers in the field are not willing to dismiss out of hand; they may not consider it practical, but they do take it seriously. (For example, JPL was looking into using orbiting railguns to launch small interplanetary probes as far back as 1988.)
And we really are talking about a game-changer here. If McNab's estimates hold up, we're talking about reducing launch costs by considerably more than an order of magnitude. Even if we factor in the need to use traditional rockets for people and other delicate cargo, that cost reduction is still enough to shift the underlying economics of all space-based enterprises, ranging from asteroid mining to tourism to, yes, interplanetary colonies.
Finally, rail guns are cool. All Mars One has to offer is cheesy artist conceptions. With railguns you get video like this:
This is, of course, just one example. There are any number of fascinating stories about aerospace research. Why do they go unnoticed while Mars One continues to make the cut? Here are my guesses:
1. Bullshit does not count against you. As Elmo Keep spelled out in painful detail, every aspect of this story collapses under inspection, but even after Keep's expose, the stories kept coming;
2. People love a bargain (i.e. there's a sucker born every minute). I've noticed a number of cases recently where an unrealistically low price seems to make proposals more newsworthy (this example jumps to mind);
3. Everybody loves a messiah (even a Galtian one). Entrepreneurs and market forces are also easy pitches these days, while stories of public action and collective sacrifice fall out of favor. Of course, even in the Sixties, space was a tough sell (even as we were sending men to the moon, people were suggesting that the money would have been better spent down here), but now even the suggestion that we as a society would take on something expensive and challenging seems oddly quaint.
Monday, March 16, 2015
Corporate PR vs. Beat Sweetening -- different but not that different
Brad DeLong recently provided an interesting complement to our ongoing flack-n-hacks thread (which Andrew just joined). Just to review, we were talking about how PR firms (the 'flacks' in question) provide leads, leg-work and even finished copy in exchange for favorable coverage. DeLong uses this embarrassing Politico puff piece of Stephen Moore to examine the way journalists trade favorable coverage for access and scoops (which is, more or less, Politico's unofficial mission statement).
This piece is what my old next-door office neighbor Jack DeVore, then Treasury Secretary Lloyd Bentsen's Assistant Secretary for Public Relations, called a "beat sweetener": the point of such an article is not to inform the article's readers about some person regarded as either being influential or typical in an interesting way, but rather to burnish the reputation of the subject. As such, it omits key parts of the story and so misleads the readers in the interest of achieving that goal. The hope is that the subject of the article will at some future point then open up and preferentially dish to the reporter who has done him the favor of burnishing his reputation.
...
That is it. No observations about publishing the wrong numbers. No observations about how Stephen Moore has been a huge backer of Sam Brownback's Kansas tax-cut state revenue disaster. Nothing about how Herman Cain' 9-9-9 plan blew up in his face because no analyst who could add could get it to work arithmetically no matter how many thumbs they put on these scale. No critical quotes from anybody about the quality of Stephen Moore's analytical work--which would have been the easiest thing in the world to get. In fact, no positive quotes at all from any economist about Stephen Moore as an economist or an analyst.
...
So the message I get from this is that there is, still, an enormous need for publications and platforms that will call a spade a goddam shovel, afflict the comfortable, entertain-along-with-informing rather than entertain-instead-of-informing, and be trusted information intermediaries in which the words on the page are there to inform you about what is what rather than to mislead you in the hope that those in whose interest you have been misled will at some point in the future dish the writer a scoop.
Sunday, March 15, 2015
I don't have time to discuss it today...
but you should definitely check out this post from Dean Dad if you've been following the higher ed side of the education reform debate.
Public Matters: A Response to Kevin Carey
Public Matters: A Response to Kevin Carey
Friday, March 13, 2015
More on the rise of PR
Living in North Hollywood, one gets plenty of notice of the upcoming Emmy season. Perhaps even more then with the Oscars, this award show is preceded by a blanketing of the neighborhood in "For your consideration" billboards. You can get a rough but reasonable idea of who is spending what by looking at how many billboards you see for different shows and different networks.
Per show, at least, there seems to be a huge disparity between Netflix originals and virtually everybody else. Billboards for House of Cards or Orange Is the New Black are all over the place. By contrast, I don't recall seeing an Emmy ad for Orphan Black or Justified or even the Good Wife. On this per show basis, it would certainly appear that the Emmy-season outdoor advertising budget for Netflix is many times larger than that of its nearest competitor.
I don't want to get into the question of whether or not this is a good business decision on the part of Netflix and I certainly don't want to open the topic of which awards were deserved. Instead, I want to tie this into the previous post on the rise of PR and the decline of journalism.
I read any number of pieces about how winning Emmys meant that Netflix had "arrived." As far as I can remember, none of these articles mentioned the disproportionate level of marketing it took to win these awards. Of course, omitting context is a common sin, particularly when the details undercut the standard narrative (adherence to the standard narrative is pretty much the prime directive of modern journalism), but there is an added layer of conflict of interest here.
The practice of letting interested parties research stories and even write copy is as old as typesetting, but there is reason to believe things have gotten much worse. What was once an occasional lapse now appears to be the norm.
Modern journalism is now basically row upon row of glass houses. Stone-throwers have become decidedly unpopular (check out the NYT's attitude toward Nate Silver). Even if a reporter wasn't beholden to some publicist, he or she would still face considerable pressure from colleagues and editors not to make a big deal of these questionable relationships.
I realize I seem to pick on Netflix a lot, but I really don't have a serious problem with the company. My problem is with the way today's journalists cover business, neglecting due diligence, allowing conventional wisdom to outweigh facts, and letting companies write their own version of reality.
Netflix just happens to be a great example.
Per show, at least, there seems to be a huge disparity between Netflix originals and virtually everybody else. Billboards for House of Cards or Orange Is the New Black are all over the place. By contrast, I don't recall seeing an Emmy ad for Orphan Black or Justified or even the Good Wife. On this per show basis, it would certainly appear that the Emmy-season outdoor advertising budget for Netflix is many times larger than that of its nearest competitor.
I don't want to get into the question of whether or not this is a good business decision on the part of Netflix and I certainly don't want to open the topic of which awards were deserved. Instead, I want to tie this into the previous post on the rise of PR and the decline of journalism.
I read any number of pieces about how winning Emmys meant that Netflix had "arrived." As far as I can remember, none of these articles mentioned the disproportionate level of marketing it took to win these awards. Of course, omitting context is a common sin, particularly when the details undercut the standard narrative (adherence to the standard narrative is pretty much the prime directive of modern journalism), but there is an added layer of conflict of interest here.
The practice of letting interested parties research stories and even write copy is as old as typesetting, but there is reason to believe things have gotten much worse. What was once an occasional lapse now appears to be the norm.
Modern journalism is now basically row upon row of glass houses. Stone-throwers have become decidedly unpopular (check out the NYT's attitude toward Nate Silver). Even if a reporter wasn't beholden to some publicist, he or she would still face considerable pressure from colleagues and editors not to make a big deal of these questionable relationships.
I realize I seem to pick on Netflix a lot, but I really don't have a serious problem with the company. My problem is with the way today's journalists cover business, neglecting due diligence, allowing conventional wisdom to outweigh facts, and letting companies write their own version of reality.
Netflix just happens to be a great example.
Thursday, March 12, 2015
A premature diagnosis of cost disease?
After cuts in state funding, the most popular theory to explain the rapid increase in college tuition seems to be cost disease:
If this post by Paul Campos of Lawyers, Guns and Money is accurate, the theory is even more at variance with the facts that I thought. ( Campos also has some interesting things to say about the drop in state funding explanation.)
Baumol's cost disease (also known as the Baumol Effect) is a phenomenon described by William J. Baumol and William G. Bowen in the 1960s.[1] It involves a rise of salaries in jobs that have experienced no increase of labor productivity in response to rising salaries in other jobs which did experience such labor productivity growth. This seemingly goes against the theory in classical economics that wages are closely tied to labor productivity changes.I've never felt entirely comfortable with the way this explanation fits (or fails to fit) the data. It always seemed to me that the tremendous increase in very low-priced adjunct labor would more than balance out the flat productivity gains.
If this post by Paul Campos of Lawyers, Guns and Money is accurate, the theory is even more at variance with the facts that I thought. ( Campos also has some interesting things to say about the drop in state funding explanation.)
Everyone is aware that the cost of going to college has skyrocketed since [fill in any date going back to the middle of the last century]. Why has this happened? This post is about one possible explanation, that turns out not to have any validity at all: increases in faculty salaries. In fact, over the past 40+ years, average salaries for college and university faculty have dropped dramatically.
Salaries have increased, sometimes substantially, for a tiny favored slice of academia, made up of tenured professors at elite institutions, some professional school faculty (business, law, medicine), and most especially faculty who have moved into the higher echelons of university administration. Such examples merely emphasize the extent to which the economics of the New Gilded Age have infiltrated the academic world: the one percent are doing fabulously well, and the ten percenters are doing fine, while the wretched refuse of our teeming shores will adjunct for food.
Numbers:
Average salary for all full-time faculty in degree-granting post-secondary institutions (this category includes instructors and lecturers, as well as all ranks of professors) in constant 2012-13 dollars:
1970: $74,019
2012: $77,301
These figures, of course, give a very incomplete picture of the economic circumstances of the actual teaching faculty in America’s institutions of higher education.
One of the more astonishing statistics regarding the economics of our colleges and universities is that, despite the fantastic increase in the cost of attending them, there are now on a per-student basis far fewer full-time faculty employed by these institutions than was the case 40 years ago. Specifically, in 1970 nearly 80% of all faculty were full-time; by 2011, more part-time than full-time faculty were employed by American institutions of higher learning (note that the former category does not include graduate students who teach).
While comprehensive salary figures for part-time faculty aren’t available, it’s clear that their salaries are on average vastly lower than those of full-time faculty (and of course when it comes to who does the bulk of the actual teaching at many schools, the designations “full-time” and “part-time” have a distinctly Orwellian flavor). If we assume that “pat-time” faculty earn one-third as much as their full-time counterparts — and this seems improbably optimistic, given that the average compensation for part-time faculty for teaching a three-credit course is around $2,700 — that would mean that in 1970 average salaries for college and university faculty were nearly 30% higher, in real dollars, than they are today.
This an astonishing figure, given that, in the last 40 years, tuition at private colleges has more than tripled, while resident tuition at public institutions has nearly quadrupled.
You guys can write this post yourselves -- I'm tired
http://www.nytimes.com/2015/03/10/opinion/david-brooks-the-cost-of-relativism.html
http://andrewgelman.com/2015/03/10/voices-from-everywhere-saying-gently-this-we-praise-this-we-dont/
Wednesday, March 11, 2015
More Martian musings – – reality shows and diet pills
Given all of the renewed attention to the Mars One project, this might be a good time for a quick little catch-up essay.
Maybe it's just me, but there are a few extremely salient points that have a way of being neglected in this conversation.
First, manned interplanetary spaceflight is almost certain to be very expensive and the cost for setting up permanent self-sustaining colonies is almost certain to be many times more so.
Second, the superiority of manned versus unmanned spaceflight is, for now, almost entirely symbolic. This does not mean that there are not certain specific economic and scientific benefits associated with manned spaceflight nor does it mean that manned spaceflight is a bad idea. It just means that, given current technology, sending explorers to Mars is something that, in the final analysis, we would do because we choose to as a society. This is even more true with sending colonists.
I actually don't have a problem with this kind of argument. At the risk of some muddleheaded nostalgia, I like the idea of leaders standing up and asking the people what kind of country we'd like to live it. Though I am not a huge fan of JFK, I greatly admire both the rhetoric and the sentiment behind "not because they are easy, but because they are hard."
Which brings me to my main objection to Mars one.
Without delving too deeply into the promise and the limitations of businesses like space X, when it comes to the kind of massive operations we're talking about here, we really only have two choices:
The first is to decide this is something we want to do and that we are willing to spend a considerable amount of money it would take to do it;
The second is to wait for a technological breakthrough which will change the underlying economics, with the understanding that this breakthrough may not come through in our lifetime.
I don't want to wait into that debate right now but, if landing on Mars is important, then it is a debate we need to have.
Though every major aspect of the Mars One proposal is laughably unrealistic, it resonates with people because it gives us an out. We can sit around and enjoy dreaming about how exciting the future will be without actually having to make any of the tough choices or do any of the hard work to make it exciting.
The idea of sending people to Mars just by watching a reality show is analogous to the idea that you can solve a lifelong problem with obesity by taking a miracle diet pill. I suspect that most of the people who try these products know on some level that it is foolish to trust the unlikely and unverified claims of late night TV pitchmen but the desire to believe outweighs their judgement.
Buying a proposal for a space program from a reality show producer isn't all that different.
Maybe it's just me, but there are a few extremely salient points that have a way of being neglected in this conversation.
First, manned interplanetary spaceflight is almost certain to be very expensive and the cost for setting up permanent self-sustaining colonies is almost certain to be many times more so.
Second, the superiority of manned versus unmanned spaceflight is, for now, almost entirely symbolic. This does not mean that there are not certain specific economic and scientific benefits associated with manned spaceflight nor does it mean that manned spaceflight is a bad idea. It just means that, given current technology, sending explorers to Mars is something that, in the final analysis, we would do because we choose to as a society. This is even more true with sending colonists.
I actually don't have a problem with this kind of argument. At the risk of some muddleheaded nostalgia, I like the idea of leaders standing up and asking the people what kind of country we'd like to live it. Though I am not a huge fan of JFK, I greatly admire both the rhetoric and the sentiment behind "not because they are easy, but because they are hard."
Which brings me to my main objection to Mars one.
Without delving too deeply into the promise and the limitations of businesses like space X, when it comes to the kind of massive operations we're talking about here, we really only have two choices:
The first is to decide this is something we want to do and that we are willing to spend a considerable amount of money it would take to do it;
The second is to wait for a technological breakthrough which will change the underlying economics, with the understanding that this breakthrough may not come through in our lifetime.
I don't want to wait into that debate right now but, if landing on Mars is important, then it is a debate we need to have.
Though every major aspect of the Mars One proposal is laughably unrealistic, it resonates with people because it gives us an out. We can sit around and enjoy dreaming about how exciting the future will be without actually having to make any of the tough choices or do any of the hard work to make it exciting.
The idea of sending people to Mars just by watching a reality show is analogous to the idea that you can solve a lifelong problem with obesity by taking a miracle diet pill. I suspect that most of the people who try these products know on some level that it is foolish to trust the unlikely and unverified claims of late night TV pitchmen but the desire to believe outweighs their judgement.
Buying a proposal for a space program from a reality show producer isn't all that different.
Tuesday, March 10, 2015
The Decline of Journalism and The Rise of Public Relations
Any comments to a recent post, Andrew Gelman brought up a point that I want to dig into a bit more, at least briefly, the connection between the decline of journalism and the rise of public relations.
Here's my take: there is clearly a powerful relationship here though the direction of causality gets a bit complicated and goes both ways. For a variety of reasons, including but not limited to downsizing, an increasingly insular culture, and a shift to a star system that serves to hollow out the middle of the profession, journalism became both less diligent about maintaining quality and hungrier for free content (an appetite greatly expanded by online forums). While things changes were happening, companies were also growing more experienced at measuring and manipulating public opinion.
The decline in journalism created an extraordinary opportunity for corporate PR departments. News stories that portrayed products and companies in a favorable light were both more persuasive than traditional advertising and considerably cheaper.
While we are on the subject, my biggest concerns about the role of PR in modern journalism are not the question of accuracy or bias, though both of those are important. What really concerns me is the way these outside influences determine what does and does not get covered and the lack of awareness (or at least acknowledgement) on the part of the press. More on that coming later.
Here's my take: there is clearly a powerful relationship here though the direction of causality gets a bit complicated and goes both ways. For a variety of reasons, including but not limited to downsizing, an increasingly insular culture, and a shift to a star system that serves to hollow out the middle of the profession, journalism became both less diligent about maintaining quality and hungrier for free content (an appetite greatly expanded by online forums). While things changes were happening, companies were also growing more experienced at measuring and manipulating public opinion.
The decline in journalism created an extraordinary opportunity for corporate PR departments. News stories that portrayed products and companies in a favorable light were both more persuasive than traditional advertising and considerably cheaper.
While we are on the subject, my biggest concerns about the role of PR in modern journalism are not the question of accuracy or bias, though both of those are important. What really concerns me is the way these outside influences determine what does and does not get covered and the lack of awareness (or at least acknowledgement) on the part of the press. More on that coming later.
Monday, March 9, 2015
MOOCs and the Eugen Weber Paradox
As always seems to happen when I have other things I need to be doing, all sorts of interesting threads have started popping up and saying "Blog me! Blog me!"
Case in point, Erik Loomis of LGM has gotten back on the MOOC beat. I've got a couple of original posts on the subject in the works, but first I want to bring an old post from the teaching blog back into the conversation. It addresses what I think may be the fundamental questions of the ed-reform-through-technology debate:
After over a century of experimenting with educational technology, why have the results up until now been so underwhelming?;
And how will the new approaches being proposed fix the problems that plagued all of those previous attempts?
The Eugen Weber Paradox
If you follow education at all, you've probably heard about the rise of online courses and their potential for reinventing the way we teach. The idea is that we can make lectures from the best schools in the world available through YouTube or some similar platform. It's not a bad idea, but before we start talking about how much this can change the world, consider the following more-serious-than-it-sounds point.
Let's say, if we're going to do this, we do it right. Find an world renowned historian who's also a skilled and popular lecturer, shoot the series with decent production values (a couple of well-operated cameras, simple but professional pan and zoom), just polished enough not to distract from the content.
And if we're going to talk about democratizing education, let's not spend our time on some tiny niche course like "Building a Search Engine." Instead, let's do a general ed class with the widest possible audience.
If you'll hold that thought for a moment...
A few years ago, while channel surfing in the middle of the night, I came across what looked like Harvey Korman giving a history lesson. It turned out not to be Korman, but it was a history lesson, and an extraordinarily good one by a historian named Eugene Weber, described by the New York Times as "one of the world’s foremost interpreters of modern France." Weber was also a formidable teacher known for popular classes at UCLA.
The program I was watching was “The Western Tradition,” a fifty-two part video course originally produced for public television in 1989. If you wanted to find the ideal lecturer for a Western Civ class, it would probably be Eugen Weber. Like Polya, Weber combined intellectual standing of the first order with an exceptional gift and passion for teaching. On top of that, the Annenberg Foundation put together a full set of course materials to go with it This is about as good as video instruction gets.
All of which raises a troubling question. As far as I know, relatively few schools have set up a Western Civ course around "the Western Tradition." Given the high quality and low cost of such a course, why isn't it a standard option at more schools?
Here are a few possible explanations:
1. Medium is the message
There are certain effects that only work on stage, that fall strangely flat when there's not an audience physically present in the room. Maybe something similar holds with lectures -- something is inevitably lost when moved to another medium.
2. Lecturers already work for kind words and Pez
Why should administrators go to the trouble of developing new approaches when they can get adjuncts to work for virtually nothing?
3. It's that treadmill all over again
You probably know people who have pinned great hopes on home exercise machines, people who showed tremendous excitement about getting fit then lost all interest when they actually brought the Bowflex home and talking about exercise had to be replaced by doing it. Lots of technological solutions are like that. The anticipation is fun; the work required once you get it isn't.
This is not a new story. One of the original missions of educational TV back in the NET days was to provide actual classroom instruction, particularly for rural schools.* The selection was limited and it was undoubtedly a pain for administrators to match class schedules with broadcast schedules but the basic idea (and most of the accompanying rhetoric) was the same as many of the proposals we've been hearing recently.
Of course, educational television was just one of a century of new media and manipulatives that were supposed to revolutionize education. Film, radio, mechanical teaching machines, film strips and other mixed media, visual aides, television, videotape, distance learning, computer aided instruction, DVDs, the internet, tablet computing. All of these efforts had some good ideas behind and many actually did real good in the classroom, but none of them lived up to expectations.
Is this time different? Perhaps. It's possible that greatly expanded quantity and access may push us past some kind of a tipping point, but I'm doubtful. We still haven't thought through the deeper questions about what makes for effective instruction and why certain educational technologies tend to under-perform. Instead we get the standard ddulite boilerplate, made by advocates who are blissfully unaware of how familiar their claims are to anyone reasonably versed in the history of education.
* From Wikipedia
The Arkansas Educational Television Commission was created in 1961, following a two-year legislative study to assess the state’s need for educational television. KETS channel 2 in Little Rock, the flagship station, signed on in 1966 as the nation's 124th educational television station. In the early years, KETS was associated with National Educational Television, the forerunner of the current PBS. The early days saw black-and-white broadcasting only, with color capabilities beginning in 1972. Limited hours of operation in the early years focused primarily on instructional programming for use in Arkansas classrooms
Case in point, Erik Loomis of LGM has gotten back on the MOOC beat. I've got a couple of original posts on the subject in the works, but first I want to bring an old post from the teaching blog back into the conversation. It addresses what I think may be the fundamental questions of the ed-reform-through-technology debate:
After over a century of experimenting with educational technology, why have the results up until now been so underwhelming?;
And how will the new approaches being proposed fix the problems that plagued all of those previous attempts?
The Eugen Weber Paradox
If you follow education at all, you've probably heard about the rise of online courses and their potential for reinventing the way we teach. The idea is that we can make lectures from the best schools in the world available through YouTube or some similar platform. It's not a bad idea, but before we start talking about how much this can change the world, consider the following more-serious-than-it-sounds point.
Let's say, if we're going to do this, we do it right. Find an world renowned historian who's also a skilled and popular lecturer, shoot the series with decent production values (a couple of well-operated cameras, simple but professional pan and zoom), just polished enough not to distract from the content.
And if we're going to talk about democratizing education, let's not spend our time on some tiny niche course like "Building a Search Engine." Instead, let's do a general ed class with the widest possible audience.
If you'll hold that thought for a moment...
A few years ago, while channel surfing in the middle of the night, I came across what looked like Harvey Korman giving a history lesson. It turned out not to be Korman, but it was a history lesson, and an extraordinarily good one by a historian named Eugene Weber, described by the New York Times as "one of the world’s foremost interpreters of modern France." Weber was also a formidable teacher known for popular classes at UCLA.
The program I was watching was “The Western Tradition,” a fifty-two part video course originally produced for public television in 1989. If you wanted to find the ideal lecturer for a Western Civ class, it would probably be Eugen Weber. Like Polya, Weber combined intellectual standing of the first order with an exceptional gift and passion for teaching. On top of that, the Annenberg Foundation put together a full set of course materials to go with it This is about as good as video instruction gets.
All of which raises a troubling question. As far as I know, relatively few schools have set up a Western Civ course around "the Western Tradition." Given the high quality and low cost of such a course, why isn't it a standard option at more schools?
Here are a few possible explanations:
1. Medium is the message
There are certain effects that only work on stage, that fall strangely flat when there's not an audience physically present in the room. Maybe something similar holds with lectures -- something is inevitably lost when moved to another medium.
2. Lecturers already work for kind words and Pez
Why should administrators go to the trouble of developing new approaches when they can get adjuncts to work for virtually nothing?
3. It's that treadmill all over again
You probably know people who have pinned great hopes on home exercise machines, people who showed tremendous excitement about getting fit then lost all interest when they actually brought the Bowflex home and talking about exercise had to be replaced by doing it. Lots of technological solutions are like that. The anticipation is fun; the work required once you get it isn't.
This is not a new story. One of the original missions of educational TV back in the NET days was to provide actual classroom instruction, particularly for rural schools.* The selection was limited and it was undoubtedly a pain for administrators to match class schedules with broadcast schedules but the basic idea (and most of the accompanying rhetoric) was the same as many of the proposals we've been hearing recently.
Of course, educational television was just one of a century of new media and manipulatives that were supposed to revolutionize education. Film, radio, mechanical teaching machines, film strips and other mixed media, visual aides, television, videotape, distance learning, computer aided instruction, DVDs, the internet, tablet computing. All of these efforts had some good ideas behind and many actually did real good in the classroom, but none of them lived up to expectations.
Is this time different? Perhaps. It's possible that greatly expanded quantity and access may push us past some kind of a tipping point, but I'm doubtful. We still haven't thought through the deeper questions about what makes for effective instruction and why certain educational technologies tend to under-perform. Instead we get the standard ddulite boilerplate, made by advocates who are blissfully unaware of how familiar their claims are to anyone reasonably versed in the history of education.
* From Wikipedia
The Arkansas Educational Television Commission was created in 1961, following a two-year legislative study to assess the state’s need for educational television. KETS channel 2 in Little Rock, the flagship station, signed on in 1966 as the nation's 124th educational television station. In the early years, KETS was associated with National Educational Television, the forerunner of the current PBS. The early days saw black-and-white broadcasting only, with color capabilities beginning in 1972. Limited hours of operation in the early years focused primarily on instructional programming for use in Arkansas classrooms
More on Mars One -- I expect this from ABC News but Sheldon?
There's been another wave of PR in support of the privately funded "Mars mission" Mars One (and yes, I do need to use quotation marks). There have been news stories, interviews with applicants who did or didn't qualify for the "mission," (NPR, how could you?) and even fictional characters like Castle and, sadly, Sheldon Cooper ("The Colonization Application").
Just to review, not only is this mission almost certain never to happen, but every major aspect of it collapses under scrutiny.
The funding goals are wildly unrealistic, the budget estimates are comically optimistic, and what little technology has actually been proposed is so badly designed that, according to an MIT study, it would be likely to kill all the colonists within a few months. I am pretty sure Howard would have pointed all of these things out to Sheldon.
You could also find some these objections in this piece from ABC, but you'd have to look closely because the reporters buried them as deep as possible, just far enough from the end to allow Mars One CEO/confidence man Bas Landorp have the last word.
Obviously this is a fun story, a lottery where anyone can become a colonist to Mars made even more dramatic by the twist of being a one-way trip. I also get that this is a story many probably most of us would like to believe. That is a high enough standard to justify a hook on a TV episode, but it is an embarrassingly low one for major news outlets.
Just to review, not only is this mission almost certain never to happen, but every major aspect of it collapses under scrutiny.
The funding goals are wildly unrealistic, the budget estimates are comically optimistic, and what little technology has actually been proposed is so badly designed that, according to an MIT study, it would be likely to kill all the colonists within a few months. I am pretty sure Howard would have pointed all of these things out to Sheldon.
You could also find some these objections in this piece from ABC, but you'd have to look closely because the reporters buried them as deep as possible, just far enough from the end to allow Mars One CEO/confidence man Bas Landorp have the last word.
Obviously this is a fun story, a lottery where anyone can become a colonist to Mars made even more dramatic by the twist of being a one-way trip. I also get that this is a story many probably most of us would like to believe. That is a high enough standard to justify a hook on a TV episode, but it is an embarrassingly low one for major news outlets.
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