Yemen

Dramatic events in Libya have overshadowed the murder, by government snipers, of unarmed demonstrators in Yemen on Friday. This crime is as bad as any of those for which Gaddafi has been condemned, but has so far not produced a comparable response from the US and other Western governments. To be fair, there was a similarly cautious response to the initial reports of government repression in Libya and Egypt, so it’s a bit early to be convicting Obama and others of hypocrisy on this.

However, with government ministers resigning or being sacked, and a state of emergency announced, the familiar script seems to be playing out a bit faster. The Saleh regime clearly can’t survive without at least tacit support from the US, so it’s time for Obama to announce the withdrawal of that support, and tell Saleh to leave in the same terms as with Gaddafi.

On the face of it, there should be no problem for the US Administration here. Saleh has been a useful ally, but far less important than Mubarak, whom they dumped without too much concern. The big problem is that after Yemen comes Bahrain. With the Saudis having sent troops to suppress the revolt there, a democratic revolution in Bahrain will threaten their regime as well.

Posted via email from John’s posterous

After the Sauds

The downfall of the Gaddafi dictatorship now seems certain, despite brutal and bloody attempts at repression. The failure of these attempts kills off what was briefly the conventional wisdom, that dictatorships in the region can hold on if they “don’t blink“. At this point, Gaddafi and his remaining supporters will be lucky if they can make it to The Hague for their trials, rather than sharing the fate of the Ceaucescus.

Now a new conventional wisdom seems to be emerging, at least according to this article in the NY Times. The central idea is that while dictatorships (more accurately perhaps, tyrannies, in the classical sense of monarchs who have seized their thrones with no prior hereditary claim) are doomed, but that monarchies can survive with cosmetic concessions. In particular, on this analysis, the US relationship with the House of Saud can go on more or less as before.

There’s an element of truth here, but the central claim is wishful thinking

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Epic #NewsCorpFail

Ms. Regan had once been involved in an affair with Mr. Kerik, the former New York City police commissioner whose mentor and supporter, former Mayor Rudolph W. Giuliani, was in the nascent stages of a presidential campaign. The News Corporation executive, whom she did not name, wanted to protect Mr. Giuliani and conceal the affair, she said.

Now, court documents filed in a lawsuit make clear whom Ms. Regan was accusing of urging her to lie: Roger E. Ailes, the powerful chairman of Fox News and a longtime friend of Mr. Giuliani. What is more, the documents say that Ms. Regan taped the telephone call from Mr. Ailes in which Mr. Ailes discussed her relationship with Mr. Kerik.

It is unclear whether the existence of the tape played a role in News Corporation’s decision to move quickly to settle a wrongful termination suit filed by Ms. Regan, paying her $10.75 million in a confidential settlement reached two months after she filed it in 2007.

Depending on the specifics, the taped conversation could possibly rise to the level of conspiring to lie to federal officials, a federal crime, but prosecutors rarely pursue such cases, said Daniel C. Richman, a Columbia University law professor and a former federal prosecutor.

Of course, if it were to be released, the tape could be highly embarrassing to Mr. Ailes, a onetime adviser to Richard M. Nixon whom critics deride as a partisan who engineers Fox News coverage to advance Republicans and damage Democrats, something Fox has long denied. Mr. Ailes also had close ties with Mr. Giuliani, whom he advised in his first mayoral race. Mr. Giuliani officiated at Mr. Ailes’s wedding and intervened on his behalf when Fox News Channel was blocked from securing a cable station in the city.

In a statement released on Wednesday, a News Corporation spokeswoman did not deny that Mr. Ailes was the executive on the recording. But the spokeswoman, Teri Everett, said News Corporation had a letter from Ms. Regan “stating that Mr. Ailes did not intend to influence her with respect to a government investigation.” Ms. Everett added, “The matter is closed.”

Ms. Everett declined to release the letter, and Ms. Regan’s lawyer, Robert E. Brown, said the News Corporation’s description of the letter did not represent Ms. Regan’s complete statement.

The new documents emerged as part of a lawsuit filed in 2008 in which Ms. Regan’s former lawyers in the News Corporation case accused her of firing them on the eve of the settlement to avoid paying them a 25 percent contingency fee. The parties in that case signed an agreement to keep the records confidential, but it does not appear that an order sealing them was ever sent to the clerk at State Supreme Court in Manhattan, and the records were placed in the public case file.

Discussion of the recorded conversation with Mr. Ailes emerges in affidavits from Ms. Regan’s former lawyers who are seeking to document the work they did on her case and for which they argue they deserve the contingency fee. They describe consulting with a forensic audio expert about the tape.

No transcript of the conversation is in the court records.

But Brian C. Kerr, one of Ms. Regan’s former lawyers, describes in an affidavit the physical evidence he reviewed as “including a tape recording of a conversation between her and Roger Ailes, which is alluded to throughout the complaint” that Mr. Kerr and another lawyer, Seth Redniss, drafted for Ms. Regan. That complaint said News Corporation executives “were well aware that Regan had a personal relationship with Kerik.”

“In fact,” the complaint said, “a senior executive in the News Corporation organization told Regan that he believed she had information about Kerik that, if disclosed, would harm Giuliani’s presidential campaign. This executive advised Regan to lie to, and to withhold information from, investigators concerning Kerik.”

Mr. Redniss, in his affidavit, referred to “a recorded telephone call between Roger Ailes, the chairman of Fox News (a News Corp. company) and Regan, in which Mr. Ailes discussed with Regan her responses to questions regarding her personal relationship with Bernard Kerik.”

“The ‘Ailes’ matter became a focal point of our work,” Mr. Redniss continued.

The dispute involves a cast of well-known and outsize personalities; it also includes some New Yorkers who have had spectacular career meltdowns.

Mr. Kerik was sent to prison last year after pleading guilty to federal charges including tax fraud and lying to White House officials.

The law firm Ms. Regan hired to draft her complaint against News Corporation was headed by Marc S. Dreier, whose firm was cast into bankruptcy in 2008 when he was charged with a $100 million fraud scheme. The firm’s suit seeking the contingency fee from Ms. Regan is being led by the bankruptcy trustee handling the dissolution of the firm. Mr. Redniss was a co-counsel to the Dreier firm.

Ms. Regan’s own crash was remarkable in itself. While often controversial for her book choices, which ranged from literary novels to sex advice from a pornography star, her imprint at HarperCollins had become one of the more financially successful in the business.

The end came quickly in late 2006. Rupert Murdoch, the News Corporation chairman, was quoted saying it had been “ill advised” for her to pursue “If I Did It,” a hypothetical murder confession by O. J. Simpson. A novel that included imagined drunken escapades by Mickey Mantle drew another round of outrage.

Then News Corporation said Ms. Regan had been fired because she made an anti-Semitic remark to a Jewish HarperCollins lawyer, Mark H. Jackson, in describing the internal campaign to fire her as a “Jewish cabal.”

In her 2007 suit, Ms. Regan said the book controversies had been trumped up and the anti-Semitic remark invented to discredit her, should she ever speak out about Mr. Kerik in ways that would harm Mr. Giuliani’s image. The new court documents expand upon that charge and link it to Mr. Ailes. Mr. Redniss wrote in an affidavit that Ms. Regan told him that Mr. Ailes sought to brand her as promiscuous and crazy.

“Regan believed that Ailes and News Corp. subsidiary Fox News had an interest in protecting Giuliani’s bid for the U.S. presidency,” he wrote.

In addition to serving as chairman of Fox News, Mr. Ailes has taken a broader role at News Corporation, including oversight of Fox’s local television stations and Fox Business Network.

As part of the settlement in January 2008, News Corporation publicly retracted the allegation that Ms. Regan had made an anti-Semitic remark to Mr. Jackson.

The court records examined by The New York Times this week, which have subsequently been taken out of the public case file, also reveal another interesting footnote. After Ms. Regan fired her lawyers, a seemingly unlikely figure came forward to help settle the case: Susan Estrich, a law professor and a regular Fox commentator whose book Ms. Regan had published, according to Ms. Regan’s affidavit.

William K. Rashbaum contributed reporting.

Posted via email from John’s posterous

Monday Message Board

It’s time again for the Monday Message Board to resume. Post comments on any topic. As usual, civilised discussion and no coarse language. Lengthy side discussions to the sandpit, please.

BTW, apologies again for slow response time and 503 errors if you are getting them. I’m looking at shifting to an alternative hosting service.

The Onion meets Poe’s Law — Crooked Timber

A little while ago, my son pointed me to a news item in a periodical called The Onion, reporting Republican opposition to an Obama proposal to protect the earth against destruction by asteroid impact. The usual libertarian arguments were advanced, pointing out that everyone would be forced to pay for this protection, thereby undermining the incentive to act for themselves.

At the time, I was suspicious that this might be some sort of satirical gag[1]. But now I see the proposal being discussed, and rejected, at the very serious Volokh blog (H/T Paul Krugman and Matt Yglesias).

So, based on my extensive agnotological studies, let me make some predictions about some of the scientific claims we are likely to see advanced (by the same people, but at different times), once the debate over Obama’s socialist plan hots up.

  • Asteroids don’t exist
  • The law of gravity means that an impact between an asteroid and the earth is physically impossible
  • An asteroid would inevitably burn up in the atmosphere
  • In a quest for grant funding, NASA has fiddled the data on asteroid orbits to overstate the risk of a collision
  • Massive asteroids hit the earth all the time and nothing bad happens
  • Asteroid strikes are natural so environmentalists are hypocritical in opposing them
  • Al Gore is fat

The general point is that if some physical state of the world would require government action inconsistent with libertarian principles or conservative tribal taboos, then since libertarianism/conservatism is always right, logic dictates that the physical state in question must be impossible.

fn1. I’m susceptible enough that I believed DD when he said that Natalie Portman was starring in the movie version of Nassim Taleb’s book. I just went to see it, and, at the very least, the screenwriters took a lot of liberties with the text.

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Shibboleths

A recent report on a poll finding that a majority of Republicans (that is, likely primary voters) are “birthers”, with only 28 per cent confident that Obama was born in the United States has raised, not for the first time, the question “how can they think that?” and “do they really believe that?”.

Such questions are the domain of agnotology, the study of culturally-induced ignorance or doubt. Agnotology is not, primarily, the study of ignorance in the ordinary sense of the term. So, for example, someone who shares the beliefs of their community, unaware that those beliefs might be subject to challenge, might be ignorant as a result of their cultural situation, but they are not subject to culturally-induced ignorance in the agnotological sense.

But this kind of ignorance is not at issue in the case of birtherism. Even in communities where birtherism is universal (or at least where any dissent is kept quiet), it must be obvious that not everyone in the US thinks that the elected president was born outside the US and therefore ineligible for office.

Rather, birtherism is a shibboleth, that is, an affirmation that marks the speaker as a member of their community or tribe. (The original shibboleth was a password chosen by the Gileadites because their Ephraimite enemies could not say “Sh”.) Asserting a belief that would be too absurd to countenance for anyone outside a given tribal/ideological group makes for a good political shibboleth.

It’s clear, as Dave Weigel points out, that beliefs of this kind are a marker for partisanship, as witness the high correlation between stated birtherist beliefs and approval of Palin. But that doesn’t necessarily mean that the statement isn’t actually believed. Rather this is an open question and an important one for agnotological understanding of the emergence of comprehensive culturally induced ignorance as a marker for the Republican tribe.

In this context, it’s worth noting that birtherism is only a minor part of Obama-related Republican agnotology. The belief that Obama is a secret Muslim is similarly widely held, as is the view that he sympathises with those seeking to impose sharia law.

It’s also worth distinguishing such stated beliefs from statements like “Obama is a socialist”, in which what matters most is the interpretation of the term “socialist” (AFAIC, the most common US meaning is “Democrat with spine”). Compare “Bush is a war criminal”. In these cases, facts about what Obama (or Bush) has actually done are less relevant than judgements about the appropriateness of labels.

My feeling (derived largely from observations on climate change and creationism, which raise similar questions) is that we can distinguish numerous different belief states that go along with birtherist answers to opinion poll questions. There are lots of nuances, but most are combinations of the following

  • A conspiracy-theoretic view of the world in which liberal elites (a term encompassing Democrats, unions, schoolteachers, scientists, academics and many others) are plotting to undermine the American way of life and replace it with some unspecified, but awful alternative. In this case, answers to these questions reflect actual beliefs
  • Partisanship as suggested by Weigel in which Republicans choose to give the most negative answer possible about Obama as an affirmation of tribal identity.
  • Doublethink in which people are aware that in some mundane sense Obama was born in Hawaii, but also believe that Republican ideology is true and implies the birtherist answer
  • Conformism, in which people know the truth but give the culturally preferred answer, or choose some evasive form of words, as with John Boehner recently.

Does all this hurt or help the Republicans? In short-run electoral terms, I think it helps. A base of loyal supporters who, for one or other of the reasons mentioned above, are immune to factual evidence has to help win elections. There are, however, two big costs

  • First, people have noticed that Republicans have a problem with reality. That perception, which undermines the rationale for all sorts of thinking about policy, will take a while to sink in, but it will also be hard to erase once it is generally accepted. In the long run, this has to turn off a fair number of Republican-leaning independents and any remaining Republicans with a capacity for embarrassment.
  • Double-think is very difficult, and people will start to act on the basis of their beliefs. If those beliefs are ludicrously false, trouble is likely to follow.

Posted via email from John’s posterous

75 per cent

This post, written in the immediate aftermath of the floods (and the subject of some controversy) is looking pretty good in the light of the recent decision to release water from Wivenhoe Dam, with a target of 75 per cent.

Having had some time for reflection, the obvious modification to my initial position is that we shouldn’t have a fixed target, but rather should take account of the seasonal pattern of rainfall and, to the extent that this is possible, of the El Nino/La Nina/SO cycle. One way to do this would be to set targets for the beginning and end of the wet season, designed to be consistent with expected rainfall and usage for the wet and dry seasons. As I mentioned in my previous post, the flexibility associated with desal and recycling plants and the Water Grid would make this kind of management much easier than in the past.

Looking back at the controversy this post aroused, it’s clear that it was due in part to the involvement of The Australian and the anti-science lobby on climate change, which, for reasons that remain obscure to me, decided to run with the line that early release of water from Wivenhoe Dam would have greatly reduced the severity of the floods. It’s interesting to find that being in partial agreement with the Oz is even worse than being attacked by them. The Oz presentation of news on the dam management policy, as on all issues where it decides to push a line, was so selective and skewed that it even relatively simple issues, like the proportion of floodwater that came from the Bremer river, became hopelessly confused.

So, to clarify, both my original post and this one refer to policy options for the future, which might be adopted in the light of the floods, and of the likelihood of more extreme climate events in the future. With perfect hindsight, and discretion unfettered by a rulebook, managers would certainly have made different decisions in the days leading up to the flood. But what is really needed is a long-term change to the management procedures that set 100 per cent of water supply capacity as a fixed target. IIRC, the only calls for such a change in the leadup to this wet season were from those objecting to the release of water, and implicitly calling for a higher target.

Can we feed the world? Will we?

I’m in Melbourne for the conference of the Australian Agricultural & Resource Economics Society (in fact, I’m currently President-elect of the Society[1]. There have been a couple of great papers on long-term food supply from Phil Pardey and Tom Hertel. So, this seems like a good idea to write down some thoughts about (what ought to be, at any rate) the central issue of agricultural economics – whether the global food system can produce enough food for the world and deliver it to those who need it. I’m hoping to refine this in response to comments – I’ll mark major changes but will otherwise adjust as I go.

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Catallaxy doesn’t like bond markets

Over at Catallaxy, Sinclair Davidson suggests that reductions in carbon emissions should be financed by bonds maturing in 2050, so that the cost is borne by the future beneficiaries[1]. He ends with what is presumably intended as a snark

The real question is how these bonds should be priced? As an opening bid I reckon the ridiculously low discount rate proposed by the Stern Review should be used.

Looking up the latest data, 30-year US government bonds, the closest approximation to a 2050 maturity, are yielding 4.25 per cent. Assuming the Fed manages to hit the midpoint of its 2-3 per cent comfort zone for inflation, that’s a real interest rate of 1.75 per cent. That’s about typical in historical terms – the long run real bond rate has mostly been between 1 and 2 per cent.. Stern doesn’t propose an exact interest rate, but on standard parameters, his proposals imply a real rate of around 2.1 per cent. So, if Stern is ridiculously low, the market bond rate must be positively insane. Perhaps the Catallaxy crew can come up with some libertarian proposals to raise interest rates to a more sensible level.

Update The title was meant as a snark, but in an update, Davidson asserts that “we all know” that the rate of interest on US 30-year bonds is too low. He links to a piece on monetary policy in the mid 2000s, but, as I pointed out above, the current real interest rate is close to the average for the last 120 years. So, Catallaxy really doesn’t like bond markets.

To expand a bit on this point, there is a large literature suggesting that, because of capital market failures, the average rate of return to equity is too high, and the real bond rate is too low. Simon Grant and I have done a lot of work on this issue, and its implications, such as the fact that privatisation is often undesirable. However, correcting the market failure would only raise the bond rate to levels consistent with Stern’s estimates (there’s room to fiddle a bit with the parameters, but Stern’s default choices are pretty plausible).End update

fn1. He includes a suggestion that the bonds should be contingent on exact forecasts of economic environmental outcomes at that date, but I’ll pass over this in silence.