Lovely cartoon in current issue of the New Yorker. It shows two tramps. “In my day”, one is saying, “there was no reward for incompetence”.
The psychology of nerdism
Lovely blog post by Andrew Brown.
You know that feeling when you are sitting on the floor by the dusty disassembled guts of a computer and nothing works at all? It won’t even give a healthy cheep on startup? And then, slowly, it all comes together, until everything works, except, perhaps, sound, and you change something to fix that, and then nothing works at all again: you’re back in the smell of dust and silence and you can’t undo?
You will swear, when you finally recover, never to upgrade anything again. Yet you will. And I don’t know why, or didn’t, until I stumbled on a lovely passage in Ellen Ullman’s Close to the Machine, still the best book I know about the psychology of nerding…
He’s right about Ullman IMHO. Go to the link and read on.
Wanted: intellectual firepower
John Nagl has published a very perceptive review of Jonathan Stevenson’s book Thinking Beyond the Unthinkable: Harnessing Doom from the Cold War to the Age of Terror in which he contrasts the feeble resources currently devoted to thinking about countering the Al-Qaeda threat with the resources mustered by the US to ponder nuclear strategy in the Cold War. It’s easy now to ridicule the Dr Strangelove aspects of the doctrine of Mutual Assured Destruction, but the fact is that a great deal of deep thinking went into formulating a strategy for dealing with the threat of nuclear war. (And, btw, it also got us the Internet.)
Nagl’s (and Stevenson’s) point is that nothing comparable is going on in relation to the so-called ‘war’ on terror.
There are thousands of years of history to support the contention that deterrence works against states, and while the ruler of Iraq may have been a very bad man, there is little to suggest that he was anything but a rational political actor. Even if Saddam Hussein had gained control of nuclear weapons, self-preservation would have precluded him from using them, just as it had prevented a succession of Soviet leaders from unleashing this horseman of the apocalypse. Meanwhile, the risk that his proliferation would have been discovered and punished would have deterred him from giving nuclear weapons to sub-state actors, who had no territory at risk. September 11 did not, in fact, change everything, and one of the things that it did not change was the fact that states can be deterred.
Non-state actors, however, cannot be deterred so easily. Stevenson gets to this point about two-thirds of the way through Thinking Beyond the Unthinkable, and this is where the book begins to plow fertile new ground. The process by which Al Qaeda made the decision to attack the World Trade Center and the Pentagon is instructive:
“Al-Qaeda’s shura, or council, sharply debated whether the shock of attacking the World Trade Center and the Pentagon would be worth the probable loss of Afghanistan as a base, and ultimately was persuaded that it was. So the threat of devastating retaliation against territory that had proven so reliable a deterrent during the Cold war was unavailing against al-Qaeda’s most powerful leaders. They seemed to view not only the destruction of September 11 but also the robust U.S. response as a catalyst to a self-perpetuating and intensifying jihad that would somehow realize the group’s violent eschatological vision of an America destroyed. In that light, any feasible punishment administered by the United States was not merely futile but, in fact, inspiring to the jihadists.”
We now face enemies who not only are unconcerned that the fruit of their labors will be the destruction of everything they hold dear, but are absolutely gleeful at the idea. This is a new challenge, and not one which Kahn and Wohlstetter can help us with very much.
Nagl builds on this to say:
The challenge of radical Islam is not something to which the United States devoted much thought as it grew stronger, encouraged by a reaction to globalization and by some of our own foreign policy decisions. In a judgment some readers will likely take personally but is almost certainly true, former RAND President Harry Rowen said that before September 11, “The scholars of Islam available in the West–certainly in the United States–were a pretty sorry lot.” They did not, by and large, see this one coming.
Stevenson proposes creating a Federally Funded Research and Development Corporation, or FFRDC, dedicated to thinking about the Islamic terror threat in the same way that RAND thought about the Soviet nuclear threat. Stevenson suggests the Defense Advanced Research Projects Agency (DARPA) as a model.
Commenting on this, Nagl writes:
It is undeniably a good and long-overdue idea, with likely payoffs hugely exceeding the few hundred million dollars such an organization would cost the taxpayer every year. But beyond the basics, Stevenson is working from the wrong mould. RAND was so influential not least because it was the brains behind an enormously large and powerful set of muscles called the Strategic Air Command, where peace was a profession and war just a hobby; DARPA provides thinking that feeds the mammoth U.S. defense industry. Stevenson’s proposed think tank would need similar need bone and muscle. But unlike the Strategic Air Command or the Department of Defense, the muscle we need today would motivate soft power, rather than hard steel.
If the Bush regime had been really serious about it’s concept of a ‘war’ on terror, then they would have mobilised all the elements of U.S. national power — including the nation’s collective IQ. A moment’s reflection — or even a conversation with Philip Bobbitt — would have told them that they needed to address not just the intellectual dimensions of the problem but also the fundamental inadequacy of an international law of war designed to govern the conduct of war between states rather than the challenge of non-State actors.
A better policy therefore, Nagl argues,
would be an international conference leading to an updated Geneva Accords, focusing on state sponsors of terrorism. It would hold that any state that actively or passively enabled terrorist organizations acting on its soil would share responsibility for the terrorist activity, to include financial liability; states could also be held responsible for control of fissile material produced inside their borders. Because deterrence is a function of both capability to punish and credibility that threats will be fulfilled, an international consensus on state responsibility for terror would be far more useful than threats to attack Islam’s holy cities, without the added negative second-order effect of inspiring additional jihadis to fight us to defend them.
Great stuff.
Taking the long view of the banking crisis
In the last week I’ve been brooding about what lifted the US out of the Great Depression. The (terrifying) answer is: the Second World War. So you might say (I mused) that what we really need now is a bloody good war. Except of course that today’s wars do not require national mobilization (as we saw with the adventure in Iraq); they just require us to spend unconscionable amounts of public money on fancy kit. And then along comes this remarkable, long, thoughtful and persuasive piece by James Galbraith arguing that nobody — including Obama’s team — has the measure of the scale of the crisis yet.
Is there anything today that we might do that can compare with the transformation of World War II? Almost surely, there is not: World War II doubled production in five years.
Today the largest problems we face are energy security and climate change — massive issues because energy underpins everything we do, and because climate change threatens the survival of civilization. And here, obviously, we need a comprehensive national effort. Such a thing, if done right, combining planning and markets, could add 5 or even 10 percent of GDP to net investment. That’s not the scale of wartime mobilization. But it probably could return the country to full employment and keep it there, for years.
Moreover, the work does resemble wartime mobilization in important financial respects. Weatherization, conservation, mass transit, renewable power, and the smart grid are public investments. As with the armaments in World War II, work on them would generate incomes not matched by the new production of consumer goods. If handled carefully — say, with a new program of deferred claims to future purchasing power like war bonds — the incomes earned by dealing with oil security and climate change have the potential to become a foundation of restored financial wealth for the middle class.
This cannot be made to happen over just three years, as we did in 1942-44. But we could manage it over, say, twenty years or a bit longer. What is required are careful, sustained planning, consistent policy, and the recognition now that there are no quick fixes, no easy return to ‘normal,’ no going back to a world run by bankers — and no alternative to taking the long view.
A paradox of the long view is that the time to embrace it is right now. We need to start down that path before disastrous policy errors, including fatal banker bailouts and cuts in Social Security and Medicare, are put into effect. It is therefore especially important that thought and learning move quickly. Does the Geithner team, forged and trained in normal times, have the range and the flexibility required? If not, everything finally will depend, as it did with Roosevelt, on the imagination and character of President Obama.
This is a great piece — very long but worth the time and effort. Here’s another passage that struck me:
The most likely scenario, should the Geithner plan go through, is a combination of looting, fraud, and a renewed speculation in volatile commodity markets such as oil. Ultimately the losses fall on the public anyway, since deposits are largely insured. There is no chance that the banks will simply resume normal long-term lending. To whom would they lend? For what? Against what collateral? And if banks are recapitalized without changing their management, why should we expect them to change the behavior that caused the insolvency in the first place?
The oddest thing about the Geithner program is its failure to act as though the financial crisis is a true crisis — an integrated, long-term economic threat — rather than merely a couple of related but temporary problems, one in banking and the other in jobs. In banking, the dominant metaphor is of plumbing: there is a blockage to be cleared. Take a plunger to the toxic assets, it is said, and credit conditions will return to normal. This, then, will make the recession essentially normal, validating the stimulus package. Solve these two problems, and the crisis will end. That’s the thinking.
But the plumbing metaphor is misleading. Credit is not a flow. It is not something that can be forced downstream by clearing a pipe. Credit is a contract. It requires a borrower as well as a lender, a customer as well as a bank. And the borrower must meet two conditions. One is creditworthiness, meaning a secure income and, usually, a house with equity in it. Asset prices therefore matter. With a chronic oversupply of houses, prices fall, collateral disappears, and even if borrowers are willing they can’t qualify for loans. The other requirement is a willingness to borrow, motivated by what Keynes called the “animal spirits” of entrepreneurial enthusiasm. In a slump, such optimism is scarce. Even if people have collateral, they want the security of cash. And it is precisely because they want cash that they will not deplete their reserves by plunking down a payment on a new car.
The credit flow metaphor implies that people came flocking to the new-car showrooms last November and were turned away because there were no loans to be had. This is not true — what happened was that people stopped coming in. And they stopped coming in because, suddenly, they felt poor.
Strapped and afraid, people want to be in cash.
Fibbing about Linux
Steve Ballmer in characteristic form at the Gartner conference, managing somehow to overlook the fact that Linux is now taking over the Netbook market. Also talking his usual baloney about the intellectual property issues in Open Source.
Gnomes of Zurich stay home
Wow! Fascinating Reuters report.
ZURICH (Reuters) – Swiss private banks are banning their top executives from traveling abroad, even to France and Germany, because of fears they will be detained as part of a global crackdown on bank secrecy, the Financial Times reported.
The newspaper quoted an unnamed head of a leading private bank in Geneva as saying steps by countries like the United States and Germany to fight tax evasion meant banks felt they had to limit travel to protect employees.
It cited four unnamed sources in the Geneva private banking industry as saying some banks were introducing total travel bans for staff, even for neighboring European countries.
“Private bankers aren’t even traveling to France. The partners are not leaving Geneva at all,” the FT quoted one senior industry figure as saying.
Still, it gives them a chance to spend more time with their money.
Ghost twittering
It just goes to show that nothing’s straightforward — not even Twitter.
The rapper 50 Cent is among the legion of stars who have recently embraced Twitter to reach fans who crave near-continuous access to their lives and thoughts. On March 1, he shared this insight with the more than 200,000 people who follow him: “My ambition leads me through a tunnel that never ends.”
Those were 50 Cent’s words, but it was not exactly him tweeting. Rather, it was Chris Romero, known as Broadway, the director of the rapper’s Web empire, who typed in those words after reading them in an interview.
“He doesn’t actually use Twitter,” Mr. Romero said of 50 Cent, whose real name is Curtis Jackson III, “but the energy of it is all him.”
In its short history, Twitter — a microblogging tool that uses 140 characters in bursts of text — has become an important marketing tool for celebrities, politicians and businesses, promising a level of intimacy never before approached online, as well as giving the public the ability to speak directly to people and institutions once comfortably on a pedestal.
But someone has to do all that writing, even if each entry is barely a sentence long…
Just for the record, I really wrote this post! Honest.
Graphing tools
I hate the charts produced by programs like Excel, and so am intrigued by a new product from the Omni stable — the GraphSketch tool. The blurb claims that it:
helps you make elegant and precise graphs in seconds, simply by sketching what you want. Specifically designed for reports, presentations, and problem sets where you need to produce sharp-looking graphs on the fly, OmniGraphSketcher combines the data plotting power of charting applications with the ease of a basic drawing program.
I’ve just downloaded it and it works as advertised. Only runs on Macs, I’m afraid.
A new Internet Typology
The Pew Internet and American Life project has come up with a new typology of technology users (and avoiders). Highlights:
Pew provide a quiz designed to help you assess where you fit in this classification system.
(Footnote: I’m a ‘digital collaborator’, apparently.)
Jeffrey Archer’s market valuation
One of my sons (Pete) spotted this in a well-known Cambridge second-hand bookshop. After an urgent phone call from his Dad, his brother went in and photographed it. Simply too good to miss.
What I’m hoping for, of course, is that the bookseller becomes so desperate to get rid of it that he offers to pay people to take it away.