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Get Well Norm!

From the COU Daily Trib:

Former Missouri basketball Coach Norm Stewart underwent heart surgery Friday and is recovering at Boone Hospital Center.

Virginia Stewart said today that her husband had aortic valve replacement.

"They originally thought he might be able to go home by this weekend, but things are going a little slower than expected," she said. "The operation went very successfully. If you’ve ever had surgery, a lot of times the recovery is worse than the surgery."

She said there wasn’t a definitive target date for the 73-year-old former coach’s release. The couple had to cancel a previously scheduled trip to Europe.

Last year, Stewart had a pacemaker implanted. Friday’s surgery was prompted when Stewart suffered from shortness of breath.

Stewart was inducted into the National Collegiate Basketball Hall of Fame in November. He won 731 games in his career, including 634 in 32 years at Missouri.

Sentences of the Day

Fraters Libertas on new fast food restaurant ban proposals:

It's your prerogative to ban legal private businesses and restrict the freedom of your constituents to decide for themselves what they should eat because you think they're getting too fat? Exactly what part of your job desription as "public servant" grants you that power anyway?

Touche'.

Haggling

From Greg Mankiw:

From the RTE Blog:

Fight Inflation the Venezuelan Way: Haggle

Venezuelan Agriculture Minister Elias Jaua asked consumers to start bargaining over prices with retailers to try to curb inflation.

“The most important help that people can give us (in fighting inflation) is that they defend their income. We can’t get used to buying everything at any price,” Jaua told reporters . “If we all start haggling over prices, speculators are going to start feeling pressured,” Jaua said....

The country’s annual inflation rate climbed to 32.2% in June....The Venezuelan government commonly blames speculators for the price increases.

Time spent haggling is time spent not doing something else.  And what if everyone haggles?  Imagine haggling with some poor cashier over the price of some Band Aids during the busy time of the day.  O, the queue-manity (OK.  I'm reaching there!).


The Quad on Okie State

The skinny:

The schedule – at least out of conference – gives the Cowboys a bit of a break this fall, so all indications are that Oklahoma State will improve upon its string of seven-win seasons. Though the Cowboys will obviously have to deal with four preseason top 25 teams in Texas, Missouri, Oklahoma and Texas Tech, they should enter Big 12 play at 4-0, which will be a huge confidence booster. When it comes to Big 12 play, is there any reason to think Oklahoma State will finish worse than the 4-4 mark they posted a season ago? In which area have the Cowboys gotten worse? One could say that end is a concern, but with rising talent like Chinasa and Jones, that position may end up being a strength as the season wears on. I like Robinson’s dual-threat ability, and Bryant looks like a future star at wide receiver. The defense may have trouble with Texas Tech and Oklahoma, but who won’t? I don’t think the Cowboys are a favorite for the Big 12 crown, but I predict an 8-4 regular season, 5-3 in the Big 12.

Leachisms

From the Quad:

“Won the state of Texas in the high jump when he was in high school. As a result, splits out all his shoes because if you’re about his height and you win the state of Texas in the high jump, you know something has got to give and generally it’s his cleats.”

...“We call him the elf, because he kind of looks like an elf."

"“Anybody that wants to talk to Graham or Michael Crabtree or Darcel McBath or those guys, you can do it in their natural habitat in Lubbock, Texas. I recommend Love Field because D.F.W. can be a confusing mess. Love Field, about every hour goes to Lubbock, Texas, where we have some great steak places. And we’d love to see you, and we all know you by your first names, so it’d be good to renew our friendship.”

“We were the youngest team in college football last year, so I think as our players gain confidence and rally together as players, and the coaches over there, I think we steadily improved and some of them, you know, maturity, which is really kind of a word I don’t like, besides the fact that I’m immature. I mean, where is this benchmark?”

Mike Leach is a reporter's dream.

Natural Disasters Bring Out the Gougers, No?

No.  My hometown, Sioux City, Ia., was hit by a nasty thunderstorm packing 75-100 MPH winds early this morning.  Trees and limbs were blown down all over the city.  Several thousand people lost power and, last I checked, 4,000 people were still without power. 

My friend Mike had a big maple limb fall on his house, tearing up his gutters.  His was one of many, many houses that sustained some type of damage.

Mike, his girlfriend, and his father worked to clear the limb off the house.  He had already filled up three trash barrels with much more to go when a truck with 3 young men came up.

Man:  "Do you need to have some stuff hauled?"
Mike:  "How much?"
Man:  "$15."
Mike:  "Deal."

The three men went to work, clearing the huge limb off his house, cutting it up, and hauling it away in no time. 

Mike paid them $20, more than they asked.  "Everyone was happy," as Mike put it.

Addendum:  there are lots of pictures of tree damage around the neighborhood I grew up in.

Paragraph of the Day

Rocky Long of New Mexico:

“I mean, who did Kansas play last year? I think Missouri got as screwed as you can get screwed,” Long said. “Missouri was a better football team. Much better football team. But you look at who Kansas played in preseason. If they lost one of those games, they ought to ship them out of there... So a Kansas, who's just establishing a program now, they've got to make sure they win all four of their preseason games so they make sure they play teams they can beat. That's a lot better for a coach's security. Everybody” complains “about who you play, but you say, 'I'm 4-0.' ”

Rocky, this InBev beverage is for you

Sports Attendance: The Effect of High Gas Prices and the Economy

Tom Witosky of the Des Moines Register writes that the Iowa Hawkeyes and the Iowa State Cyclones are both concerned about the slow pace of season ticket sales and the sale of single game tickets.

The souring economy has translated to declining season ticket sales for the upcoming football seasons at Iowa State University and the University of Iowa, and created growing concerns about overall sales for that sport and men's basketball.

Rising gas prices and the impact of the state's recent severe weather, coupled with other employment and economic trends, are forcing universities to work harder to fill seats.

Travel costs are an important component of the decision to attend college football games, particularly when the alumni base have large distances to travel.  If all else is held equal, sufficiently high gas prices could cause some folks to decide to stay closer to home.  Others may still travel, but will buy fewer concessions.  Carpooling is also an option.

But let's not forget other determinants either such as team quality, the quality of opponents, etc.  Remember that neither Missouri nor Kansas are having many concerns about season ticket sales this year.  Mizzou is a national title contender (did I really write that?) and while KU probably won't have as much success this year as last (because of a stronger schedule), they still look good for a strong season.

Here is the Atlanta Journal Constitution on the effect of gas prices on sports attendance.  Here is the take at DOL.

Here's Skip at TSE on how some sports teams are using pricing to fill their seats.


The Closer You Are to The Ball...

the higher your Wonderlic score.  Details by Ben Fry here, with Ben's diagram pasted below.
Positions3
According to this, the average offensive tackle is akin to the average newswriter.

HT to Marginal Rev.

Why Economists Don't Read Marx

From Art Carden at DOL:

Why don't economists read Marx anymore?  Here's my letter to The Chronicle Review:

Russel Jacoby raises several interesting and important points about the apparently conspicuous absence of Freud, Hegel, and Marx from their respective disciplines ("Gone, and Being Forgotten," July 25). I cannot speak to the marginalization of Freud in psychology and Hegel in philosophy, but I can speak to why economists no longer read Marx: for the most part, we don't read him because he contributed nothing of lasting value to the discipline. My undergraduate comparative economic systems professor referred to Marxian economics as having been "stillborn." Thomas Sowell correctly points out that "there is no major premise, doctrine, or tool of analysis in economics today that derived from the writings of Karl Marx" and quotes Paul Samuelson's assessment of Marx as "a minor post-Ricardian."

As I prepare to teach a course entitled "Classical and Marxian Political Economy" this Spring--for which I now plan to assign Jacoby's article, I might add--I would be the first to agree that one's education should include a broad historical overview of the ideas in a particular discipline. I further agree that Marx is an important figure in the history of ideas. He plays a minor role in economics, however, because he has been thoroughly refuted.

That's an accurate assessment.  Economics is a social science that examines rational, self-interested thought (i.e. how beings behave when they compare the costs and benefits of actions).  An economics education, especially at the graduate school level, prepares students to perform economic research and consists of the learning of the tools and language of economic analysis.  While History of Thought is a useful undergraduate class for the reasons listed by Carden, its usefulness is not so great in learning the techniques of economics modeling. 

Whether you think that's a bad thing or a good thing depends on whether you thing you put the emphasis on social or the emphasis on science.

Brother Metal

This man did not sell his soul for rock and roll.

Selling the Steelers

Here's some political posturing on the part of and Allegheny County politician:

Though Allegheny County Controller Mark Flaherty says the Steelers' lease for Heinz Field gives the city and county oversight of team ownership changes -- and could require a buyer outside the Rooney family to pay back more than $200 million in public stadium subsidies -- that does not seem to be what the lease agreement says in full.

In a letter to the Steelers' ownership and during a news conference yesterday, Flaherty pointed to a part of the 2000 lease agreement saying changes and transfers in team ownership are acceptable within the Rooney and McGinley families without getting consent by the Sports & Exhibition Authority.

Another part of the lease, which the controller did not address, speaks directly to outside ownership changes -- and says they are acceptable, with no input from the city-county agency either, as long as the sale conforms to NFL rules, and the SEA is notified once a sale is completed.

A section of the agreement titled "Ownership and Control" says "any change in the ownership of the capital stock of the Lessee [the Steelers] or any change in the ownership of the franchise will be made in accordance with the financial and ownership criteria and standards of the NFL ... The Lessee agrees that upon entering into any commitment to sell or transfer the franchise, the Lessee shall provide written notification to the Commonwealth and the Authority."

Private Offer for Wrigley

From the Sun Times:

Sources said Thursday that Inland Real Estate Group of Companies Inc., based in Oak Brook, has turned in the offer to Cubs owner Tribune Co. The amount of the offer couldn’t be learned, but it is believed to be close to $300 million, the sum Tribune Chairman Sam Zell wants out of Wrigley if he sells the team and the property separately.

If I could get everyone in the US to donate a dollar to me, I could buy Wrigley and I'd rename it MarketPowerBlog.com Field on Addison and Clark.  That rolls off the tongue about as well as frozen metal.

Everything I Learned About Econ I Learned in Principles

There's a lot of truth to this.  In fact, I tell my students that by the time they get done with Micro Principles, they will have been exposed to most of the core of the thought of economists (which is why we call it "Principles").  Everything else is just refinement.

The Quad Detassles the Huskers

Here.  The outlook.

Nebraska fans should be excited about the future of the program but must view the coming year with some realism: despite Steve Pederson’s pledge to keep Nebraska from surrendering to mediocrity, the Huskers enter the 2008 season as only the third-best team in their own division, let alone the entire Big 12. But there are some reasons for optimism, mostly based on the strong performance of the offense last fall and an expected defensive revival. Fans should also view a home-heavy schedule — the first five games, and eight over all, in Lincoln — as a primary reason for why the Huskers will return to bowl play. But how good can they be? Even if Nebraska remains one step behind Missouri and Kansas, can the Sea of Red in Lincoln lead the Huskers to upset victories? Never underestimate the power of a home crowd, especially in Lincoln; however, I think Missouri and, to a lesser degree, Kansas, will be better than Nebraska in 2008, and the Huskers will also be hard-pressed to win at Texas Tech and Oklahoma. Over all, look for another strong offensive performance and a fiery, improved defense to help Nebraska get back into bowl play with an 8-4 regular season. It would mark an auspicious debut for Pelini in Lincoln.

I should use Craig Depken's method to estimate fan loyalty so I can have a number to back this claim up:  Nebraska fans are some of the most loyal in the business, and there's a lot of them.  I'd be very surprised if the Huskers remain afterthoughts in the championship picture for all that long.  But Pelini has his work cut out for them.  But don't discount the home field factor in building confidence.  The first 5 games are in Lincoln and we saw what happened to the Jayhawks last year when they built some early confidence.

Husker Fans Focus on Mizzou

My, have times changed.  The Tigers get 7 players on the All Big XII team (for 8 different positions - Jeremy Maclin was selected as one of the best WR's and one of the best PR's) and the Huskers get 1.  But to show you how far the Tigers have come in the eyes of the Husker fans, check out the comments to this Lincoln Journal Star article on the All Big XII team.  Here are a few in the early part of the thread.

HA, the tigers are getting all the praise, I love it, it
sets up for disaster, how often has this happened in the
past, Iowa St. was supposed to be getting good in the early
2000's, kansas in the mid 90's, texas tech is talked about
every year, there are certain teams that will have little
spurts of talent and success, and Mizzou needs to be
thanking the good lord for their moment in the sun, cause it
won't last long, when's the last time they won in lincoln?

And

1978 is the last time Mizzou won in Lincoln.

Preseason picks mean little.  But it is fun to talk about.
I hope that this serves as one more piece of motivation for
us to play like hungry wolves and destroy Mizzou when they
come to town.

and

i did know what year, I was just being a smart a$$

Mizzou won't win in lincoln once again, and their title
hopes will be crushed as the husker nation celebrates the
return of the nebraska/missouri bell

and lastly

I could totally see Mizzou fall to earth real quick this
season.  They have no proven running back, and their O-line
is probably the most suspect unit of the whole team.  Not to
mention...THE PINKEL FACTOR.

R-E-S-P-E-C-T.  Sock it to me.  Sock it to me.  Sock it to me.  Sock it to me.  Sock it to me.  Sock it to me.  Sock it to me.  Sock it to me. 

Fox Sports Mizzou Preview

Here.

Best Offensive Player: Senior QB Chase Daniel. Technically, Maclin is the team's best all-around weapon, and possibly its best pro prospect, but Daniel is the signature star who makes the machine go. His emergence as a steadier all-around passer, and his ability to use his weapons more took the offense from good to unreal. He makes everyone around him better.

Like I said earlier, he's the heart and soul.

Best Defensive Player: Senior FS William Moore. With 6-foot-1, 230-pound size, cornerback speed, and an uncanny nose for the ball in both the running and passing games, Moore is a tremendous pro prospect who'll be one of the Big 12's signature defensive stars. He's a do-it-all playmaker who has to be accounted for on every play.

ESPN Mizzou Preview

Here.  Here's their grades:

Offense:  A-
Special Teams: A
Defense: B+
Intangibles: A

The Tigers are loaded on offense, putting 4 players on the All Big XII team (Chase Daniel, Chase Coffman, Jeremy Maclin, and beast-man Colin Brown).  I'd give them an A even with the rebuilding of the line.

Special teams gets the A- mainly because of the weakness at punting and because of the weakness in the kick return game that always seems to crop up.  But Mizzou has two of the best in the business in All Big XII kicker Jeff Wolfert and return many Jeremy Maclin.

Defense:  A-, the only reason for the minus is because of the loss of Lorenzo Williams.  Zo was the onfield and offield leader of the defense.  It's hard to replace a man with so many qualities.  But the rest of the defense is stacked, and I pity the fool who runs a crossing route against William Moore or who runs wide on Spoon.

Intangibles:  A... Mostly held and pushed by Chase Daniel

Can I go to St. Louis now?  I can't wait for the beginning of this season.

The Heart of a Tiger

2chase_daniel_checkmate

A 38-7 victory over a disinterested Arkansas team in the Cotton Bowl wrapped up a glorious 12-2 season, but a hunger pang persists. It's all about advancing a program that last season won its first Big 12 North title and got its first New Year's Day bowl victory since a Sugar Bowl triumph over Florida after the 1965 season.

For that, Daniel was showered with accolades. He finished fourth in Heisman voting, the highest for a Missouri player since Paul Christman finished third in 1939. Daniel also was the Big 12 Offensive Player of the Year after throwing for 4,306 yards and 33 touchdowns. A cherry on top this summer was the Big 12 Male Athlete of the Year Award.

Despite Daniel's lofty statistics, the Missouri quarterback still believes he has plenty to improve on.
That brings us here, to the long, hot summer of 2008. What could Daniel possibly have left to work on? There are three things.

• Improve his footwork

• Hone his accuracy

• Harness his deep pass

 

"I can get better throwing deep and improve my accuracy with repetition, doing stuff like this seven-on-seven work," Daniel said. "I am trying to improve my footwork by working with a Bosu Ball. It's difficult. I stand on it, trying to keep my balance. It works on strengthening your feet and ankles, too."

From GameCock central.  The reason the Tigers will be so good is because of the talent that they have on both sides of the ball and the drive and leadership of Chase Daniel.  He is the heart and soul of the Tigers.

Cross Price Elasticity of Demand

Via Bill Polley:

If there is any good news about $4 per gallon gasoline, it is that ridership on Amtrak is booming.

Here's the story.  People respond to incentives, especially given time.

 

Macaroni and Cheese

From Megan McArdle:

As the ingredients below attest, this is really, really not good for you. But it's worth it. Also, it will give you an opportunity to use your scale

1 pound rotini
12 tablespoons butter, softened
6 tablespoons of flour
2 cups of whole milk
1-2 cups of heavy cream (you may replace one cup of the cream with 1 small container of sour cream)
2 pounds of good sharp cheddar, grated
1/2 pound of gruyere, grated
3 Kraft American singles
2 slices of Kraft provolone
1 teaspoon dry mustard
Pinch of paprika
Pinch of freshly ground nutmeg
Fresh ground black pepper
Salt
Panko (japanese bread crumbs--if you can't find these, use unseasoned Four-C ones, but the panko make a nicer crust)

(optional for those who like it spicy)

Dash of cayenne pepper
Pinch of crushed red pepper flakes

Preaheat the oven to 375. Boil the pasta in a large pot of water with a tablespoon of salt. Do not be tempted to use a smaller pot because it makes the water boil faster; without dilution, the accumulated gluten will make the pasta sticky and slightly off-tasting. When it is cooked to slightly more al-dente than you would normally eat it, drain and return to the pasta pot. Don't forget to take the pot off the burner if you've got an electric stove--we're doing crispy noodles next week.

Meanwhile, make your white sauce with the butter, flour, milk, and cream, according to the instructions in my old macaroni and cheese recipe--the one I used before I learned that a little bit of processed cheese goes a long way.

Grate all of the cheeses, including the American cheese, in your food processor. If you don't have a food processor with a grater attachment, grate the gruyere and chedder, and chop the other cheeses fine.

In one bowl, mix 1.5 pounds of cheddar with 1/3 of a pound of gruyere, and all of the American and provolone. In another bowl, take the box of panko and mix it with the remaining cheddar and gruyere, and 3 tablespoons of soft butter.

When the white sauce is finished, stir in the spices, except for the salt and pepper, and the larger portion of cheese. Salt and pepper to taste.

Combine the cheese sauce and the pasta in the pasta pot. Meanwhile, use the remaining butter to well grease a large casserole (or two smaller ones, or adorable little ramekins like they serve at E). At this point, if you want to make ahead, you can refrigerate the bread crumbs and macaroni mixture separately, in well-covered dishes, for up to a day.

When you're ready to cook, top the macaroni mixture with the panko and cover the dish(es) with tinfoil. Bake, covered, for 40 minutes (60 minutes if it has been refrigerated). Uncover and bake for another 20 minutes, or until the top is golden brown and crispy looking.

I think I know what will be on the menu sometime in the next couple of weeks.  Cue the simethicone and Lipitor!

Why Are There Water Shortages? Because Providers Fail to See that X Marks the Spot

David Zetland

California is perpetually portrayed as suffering from a shortage of water. Case in point: Gov. Arnold Schwarzenegger recently declared a statewide drought, telling citizens to prepare for rationing. But the state's problems are not a result of too little water.

The real problem is that the price of water in California, as in most of America, has virtually nothing to do with supply and demand. Although water is distributed by public and private monopolies that could easily charge high prices, municipalities and regulators set prices that are as low as possible. Underpriced water sends the wrong signal to the people using it: It tells them not to worry about how much they use.

I lived next door to a psychology professor who had just started at Mizzou in 1993.  She was aghast that we actually had to pay for water in Columbia.  She had grown up in California and she didn't recall having to pay for water.

Low prices lead to shortages. Water managers respond to them with calls for conservation. But this often fails. Residents in San Diego County, for example, were asked in June 2007 to cut their water use by 20 gallons a day. They used more. When voluntary conservation fails, water agencies impose mandatory rationing, which is unfair and inefficient because people who have historically been water misers are cut back by the same percentage as water hogs.

If water was priced to reflect scarcity, a decrease in supply would lead to an increase in price, and people would demand less. Consider another precious liquid: oil. Despite popular perception, there is no shortage of oil; supply does equal demand at the present price. It's just that supply meets demand at a higher price than it did a few years ago.

In a sensible water pricing system, everyone would be guaranteed a base quantity of water at a low price. Those who used more would face a steep price hike.

The laws of demand and supply apply to water too.  Just because it is a publicly-provided good does not repeal these laws.  As I say, X marks the spot, even in water markets.

Lynne Kiesling has thoughts here, Warren Meyer here.

 

Mark Yost on the Economic Impact of Major Sports Teams

From today's Wall Street Journal:

Yes, stadiums do create high-paying construction jobs for a year or two. But the vast majority of long-term employment is low-wage concession jobs. A Congressional Research Service study of the Baltimore Ravens stadium found that each job created cost the state $127,000. By comparison, Maryland's Sunny Day Fund created jobs for about $6,000 each.

FWIW, I found no appreciable effect on St. Louis construction employment when they built the Dome and their hockey arena in a study published several years ago in the Journal of Urban Affairs.  I argued that sports facility construction crowded out other building activities.

A few other paragraphs

"Walk a few blocks away from the stadiums and you'll see the net economic impact of both the Ravens' stadium and Camden Yards," said Neil deMause, author of "Field of Schemes," a book and Web site devoted to the false promises of publicly financed sports stadiums. "Both have produced a plethora of pawn shops and dollar stores." A 1998 report by the New York City Independent Budget Office found no "economic rationale for assuming that building any new stadium would itself spur construction of office towers and hotels. Total output resulting from the presence of the teams in the city amounts to less than one tenth of one percent of the economic activity in New York City."

Even the economic impact of the team's highest-paid employees, the ballplayers, is sometimes muted. Many have off-season homes in another city, where they pay taxes on their millions. And cities like Cleveland have sued to force visiting athletes pay local income taxes.

Then there's the fact that only a sliver of the tax base really benefits from a sports stadium. And with ticket prices rising rapidly, that group is getting much smaller.

The whole thing is worth a good read.

Don't Be a Dick at a HS Graduation

I couldn't help myself in posting this.  This is way too wacky.  What's really sad is that the guy graduated from the school the previous year.  Many of us didn't exactly enjoy our high school experiences.  But most of us got over it.

Keeping them Back Until They Are Ready

From a recent NBER paper by David Deming and Susan Dynarski - its abstract:

Forty years ago, 96% of six-year-old children were enrolled in first grade or above. As of 2005, the figure was just 84%. The school attendance rate of six-year-olds has not decreased; rather, they are increasingly likely to be enrolled in kindergarten rather than first grade. This paper documents this historical shift. We show that only about a quarter of the change can be proximately explained by changes in school entry laws; the rest reflects "academic redshirting," the practice of enrolling a child in a grade lower than the one for which he is eligible. We show that the decreased grade attainment of six-year-olds reverberates well beyond the kindergarten classroom. Recent stagnation in the high school and college completion rates of young people is partly explained by their later start in primary school. The relatively late start of boys in primary school explains a small but significant portion of the rising gender gaps in high school graduation and college completion. Increases in the age of legal school entry intensify socioeconomic differences in educational attainment, since lower-income children are at greater risk of dropping out of school when they reach the legal age of school exit.

Here's an ungated version.  I know nothing about this literature and, so, won't offer commentary.  However, I found this paragraph from the ungated version interesting.

These sex differences can be tracked yet another step, to the completion of a
bachelor’s degree. The sex difference in BA completion of 22-year-olds has been fitfully
rising for over twenty years (bottom panel, Figure 8). Women in this age group are about
eight percentage points more likely than men to hold a B.A. degree, up from two
percentage points in 1984. If we adjust for sex differences in age at first grade entry, today’s difference is attenuated by about two points, or one-third of the growth over this period.  Further, the time pattern differs for the adjusted and raw series. In the adjusted series, there is no steady growth in the gap until the late Nineties; until then, growth in the sex gap in BA attainment is an artifact of sex differences in the age of first grade entry. This is a critical distinction for both academic researchers searching for explanations for the gap and policymakers trying to close it. Until quite recently, growth in the sex gap in BA attainment is attributable not to the decisions of adolescents on the cusp of college but rather the decisions of parents and teachers sixteen years earlier.

And for the sports angle:

Redshirting parents appear to believe that relative age matters for children’s
performance. There is no evidence of a lasting benefit to education or earnings from being
older than one’s classmates. There is, however, evidence of a lasting competitive advantage in sports. In Europe and the US, children on elite youth soccer, hockey, swimming and tennis teams are disproportionately born just after the age cutoff for those leagues—that is, they are the oldest of their peers. This early advantage persists, with 60 percent more major league baseball players born in August than in July, mirroring the near-universal age cutoff

Softball Team Names

From the St. Louis Post Dispatch.

Bye-Week's manager said his team chose its name for two reasons: "After about five minutes, we couldn't think of anything else," explained Hartin, 30, of Belleville. "And we liked the aspect of possibly getting a free win out of it."

For that to happen, of course, an opponent would have to confuse the name "Bye-Week" with the belief that there actually is a bye week on the schedule. Teams that don't show lose by forfeit.

...Some aim simply to entertain: We'll Drink Your Beer, the Fighting Bureaucrats, the Southside Honey Badgers.

Some names give a nod to pop culture or news references: Tony Kornheiser's Kids, the Fershizzles, the HGH (human growth hormone) All Stars.

When I still had a shred of beer league talent, I played for the Lab Rats (physiology grad students and lab assistants), the Kamikaze Kowreckers (both co-rec teams, thus the latter's name (and pronunciation of the last word), the Kooler Kings (named for the place my co-workers at Walgreens and I used to like to stock... it gave us prize in which to hide for a few minutes a day) and for Biohazards (mostly vet-med professors and post-docs).  I've played for three other teams whose names I can't remember.

The Biohazards tried psychological reasoning in the selection of shirts.  We wore tie dyes and we wanted to send the message that we were a bunch of hippies.  I don't know if it actually worked, but we could always see our players coming from a mile away, which was good because the parking lot was about a mile away and some of our players were often pushing arriving just at starting time.  Even though they weren't always at the field, we could tell the ump we were fielding a full line-up.

Price Ceilings Create Non-price Rationing Systems

The UAE gas price edition.

Well, Do I Want One or Not?

Well?  Do I?????

Best Paragraphs I've Read Today on Fannie Mae and Freddie Mac

Bill Polley:

So, given that people respond to incentives (and that includes people in government agencies [i.e. regulators and Congress]), it was entirely natural that the GSEs would bite off a little more than they could chew. They traded on their name and their implicit government backing, promising a little bit of a free lunch. But when things turned sour, we saw that the lunch was not free.

We live and we learn (though some people do not get the message the first time).  Fannie and Freddie are too big to be allowed to fail. They need access to that lifeline that for too long we pretended wasn't ever going to be needed. Allow them to unwind this in an orderly way rather then letting it all unravel at once.

But then, for goodness sake, learn from this mistake.  There is no reason for the GSEs to ever again be as large as they were.

Why Central Direction Usually Performs Worse Than Markets

  1. Bad incentives
  2. Lack of information

On the last point.

First, there's a mistaken belief that Medicare is better staffed than private plans, and can therefore make better decisions about patients' clinical circumstances and the access to new therapies they should have. Yet at any time, Medicare has about 20 doctors and 40 total clinicians (including nurses) inside the coverage office, and fewer than a dozen in the office that sets the rates that doctors are reimbursed for the care they provide. Private insurers employ thousands of doctors, nurses and pharmacists, many experts in new technologies.

Aetna has more than 140 physicians and about 3,300 nurses, pharmacists and other clinicians across its health plans. Wellpoint has 4,000 clinicians across its different businesses, including 125 doctors and 3,180 nurses. That works out to one clinician for every 9,000 people covered. United Healthcare employs about 600 doctors and 12,000 clinicians across all of its health plans and various health-care businesses.

...One place where the clinician disparity is most obvious is the delivery of cancer benefits. Medicare doesn't have a single oncologist on staff, yet since the year 2000 the program issued, by my count, 165 restrictions and directives on the use of cancer drugs and diagnostic tools.

HT VoluntaryXchange

And now for something completely different... sort of:  behavioralists like to point to the imperfections of human beings: we aren't always rational in the textbook sense.  Touche'.  But as Megan McArdle wrote: bureaucrats are stupid people with bad incentives.

Yes, Mr. President. We Are Smart

HT King.

Big XII Football Coach Salaries - 2008 Edition

From Dave Matter's blog:

Here are the 2008 guaranteed salaries for Big 12 coaches, according to a Big 12 survey conducted in December. Mangino's restructured deal is reflected here.

1. Mack Brown (Texas) $2.8 million
2. Bob Stoops (Oklahoma) $2.65 million 
3. Mangino (KU) $2.3 million
4. Pinkel (MU) $1.85 million 
5. Mike Sherman (Texas A&M) $1.8 million
6. Mike Leach (Texas Tech) $1.65 million
7. Bo Pelini (Nebraska) $1.6 million
8. Art Briles (Baylor) $1.4 million
9. Dan Hawkins (Colorado) $1.1 million 
10. Gene Chizik (Iowa State) $1 million
11. Mike Gundy (Okla. State) $953,000 
12. Ron Prince (Kansas State) $754,140 

Economic Illiteracy

Tyler Cowen points us to NY Times readers' suggestions to improve the economy.  I don't have time to go through all of them, but two of the suggestions on the first page show quite a bit of economic illiteracy.

Triple the minimum wage.

That would bring it more in line with increases in efficiency and rates in the late 70s. People make more, they spend more. All the money is just tied up in investments now, like bonds in Fannie and Freddie.

and

The federal minimum wage should be raised substantially. The money would be spent not merely used for reducing debt. It would seriously help reduce the desperation of America's working poor. Yep, the price of a fast food hamburger would go up, but it won't make any difference and we shouldn't be eating so many of them anyway.

Never mind the busybody message of that last sentence (how many burgers and fries I eat is none of your beeswax), but there are three reasons why increasing the minimum wage won't stimulate the economy.

  1. The minimum wage decreases employment of unskilled workers.  From what I understand, on average a 10% increase in the minimum wage decreases unskilled worker employment by 1% or so.  If what you want to do is put people out of jobs, increasing the minimum wage is a good place to start.
  2. For those who still have minimum wage jobs, the higher minimum wages drive some of them to put less effort into acquiring skills.
  3. Money doesn't grow on trees and neither do minimum wage payments.  Extra payments for higher minimum wage payments come from consumers (in terms of higher prices) and from firms (in terms of lower profits).  You are taking money from Peter to pay Paul, and no new income is created.

A second suggestion:

Increases in the price of petroleum (oil) increase the cost of food, transportation, manufasturing, and the costofliving. We need the government to subsidize it until we develop alternative forms of energy to replace it: A Manhattan like project. Not doing so will let our car companies and airlines die along with the economy.

If you want development of alternative energies, then call for higher petroleum prices (and profits), not lower ones.  Higher petroleum prices and profits encourage people to create competing substitutes.  Lower petroleum prices and profits do the opposite.  If anything, you should be against subsidization of petroleum if alternative energy development is what you want.

The Quad Tackles the Buffaloes of Colorado

Here.

I can't envision CU taking down MU at Columbia and winning the Big XII north, not this year.   Mizzou is way too loaded with draftable upperclassmen.  The only way that CU can get into the championship game is if Missouri, god forbid, loses Chase Daniel to injury and Chase Patton cannot replace him effectively enough. 

But Dan Hawkins is a PowerHouse favorite and I think, even with the off-the-field problems with players, he's going to get CU back in the upper tier of the Big XII north at some point.

America, Land of the Free...

... except in the case of where flags come from (and other things).

Chinese-made flags seemed to pop up everywhere after the Sept. 11, 2001, terror attacks. People rushed to show their sense of patriotism by buying American flags, and U.S. manufacturers couldn't keep up with demand.

Foreign imports of American flags, worth around $1 million annually at the time, surged to nearly $52 million in the weeks that followed.

Then as demand subsided, lawmakers took action, requiring the Defense Department to buy American-made textiles and the Veterans Affairs Department to use American-made flags for burials.

And in the city where Congress meets, only U.S.-made flags fly over the nation's Capitol.

But the state of Minnesota has apparently gone one step further:

In the meantime, state governments are beginning to weigh in. A new law in Minnesota says all flags sold in the state must be made in the U.S., with violations subject to a fine of up to $1,000 and jail time of up to 90 days. The industry says similar measures have cropped up in Pennsylvania, Ohio and Florida.

I guess they don't understand the principle of comparative advantage.  Next they'll tell me what I can and can't put in my gas tank.

Bandana Brewery: A Belated RIP

Mankato's only brewpub, the Bandana Brewery, has completely closed its doors.

Money is the reason for closing, Ahlstrom said. The smoking ban implemented a couple of years ago resulted in less business, which caused Ahlstrom to start making a series of budget cuts.

“The brewery was one of the first things to go,” he said.

Other factors were new city drinking regulations, the construction of the new highway and taxes, he said.

It's too bad.  It was nice to have a brewpub so close for the short time it was open, even though the "brew" died before the "pub."

Mess With the Hand and the Hand Fights Back

If the equilibrium price of a good is too high relative to what "the poor" can "afford," then it is the duty of government to force the greedy sellers to lower their offering price.  Then all ends well for society as a whole, right?  Right? 

Actually, not necessarily

So it is that rent regulation — which forces landlords to sell at such a discount — provides an incentive to rent not to those of modest means but, rather, to the well-heeled: Congressmen, movie stars, and others whose income would lead one to conclude they'll pay the rent on time. Or to yuppie couples who have no children — and are thus more likely to paint and decorate than cause any damage to the floors and fixtures. They are the nomenklatura of this quasi-socialist system.

Those who are far less likely to benefit are those of low-income and modest occupations in whose name rent controls of various sorts have been continued for two-plus generations. They, implicitly, pose more risk for landlords — and rent regulations insures they will not be compensated for taking such risk. Why bother with the poor if you can rent to a congressman, after all.

Granted, there may be a political story here (I'm not that familiar with this particular issue).  But basic Principles-level economic theory tells us that when you mess with the invisible hand, the invisible hand fights back.

HT Mark Perry

Addendum: the political story I alluded to is not necessarily independent of the economic story.  Price ceilings create shortages that market participants will look to clear.  One non-price rationing system is the political process.  Those with sufficient political clout may get access to price-controlled goods that we mere mortals do not.

Happy Anniversary, Mike Alden

Mike Alden has been the Mizzou Athletic Director for 10 years

Lots of folks still see him as the reason that Norm Stewart stepped down, and there may be some truth to that.  But what has followed, save for both basketball teams, has been success like Mizzou hasn't seen for awhile, if ever.

Cross posted at the ZooRahBlog

Potato - Garlic Soup

I'll probably see the man downstairs for this, but I desecrated my mother in-law's potato soup recipe by making it a soup fit for an Italian mafia don, or something. 

Ingredients:

  1. 4T butter
  2. 4T flour
  3. 2t garlic, minced
  4. 1t onion, minced
  5. 6T olive oil
  6. 2c chicken broth
  7. 3/4 # Italian sausage*
  8. 6c milk
  9. 3/4 t salt
  10. 3 sliced russet potatoes
  11. Italian seasoning, freshly ground

Cook Italian sausage in olive oil.   Add in garlic and onion until fragrant.  Add to the chicken broth and bring to a boil.  Cover and simmer while you do the next step.

In a separate soup pan, melt butter, add flour, and blend.  Add the milk and salt and cook until slightly thick, stirring constantly.  Mix in with the chicken broth blend and cook for 5". 

Deep fry thinly-sliced potatoes in 375 degree vegetable oil for 45", just enough to toughen them up so you don't get mashed-potato soup.  Add potatoes to the soup, cook for 5" on low. 

Season with pepper and freshly ground Italian seasoning** and serve with parsley flakes and serve. Makes 12 servings.

The PowerWife and I put down 7-8 servings this evening with a t-bone steak meal cooked medium over lump charcoal.  Very tasty!

*I used links which I cut into 1/2" wide circles.

**I used seasoning from a McCormick Italian Seasoning Grinder containing rosemary,black pepper, red pepper, garlic, onion, sea salt, tomato, and parsley.

Potato Soup

Ingredients

  1. 4T butter
  2. 4T flour
  3. 6c milk
  4. 3/4 t salt
  5. 3 sliced russet potatoes

Melt butter in soup pan, add flour and blend.  Add mil and salt.  Cook until slightly thick, stirring constantly.  Cook potatoes in 375 degree vegetable oil for 45".  Add potatoes to the soup, cook for 5" on low.  Season with pepper and serve with parsley flakes and serve. Makes 12 servings

You Might Be a Speculator

With all due respects to Jeff Foxworthy.

  • If you have a retirement account, you might be a speculator.
  • If you've ever bought stock, you might be a speculator.
  • If you ever bought baseball cards or Beanie Babies as an investment, you might be a speculator.
  • If you buy airline tickets early because you expect the price to rise as the time of the flight gets closer, you might be a speculator.
  • If you wait to buy scalped tickets, knowing that the price falls as game time nears, you might be a speculator.
  • If you buy gas upon hearing that oil prices have jumped again, you might be a speculator.
  • If you wait to buy gas upon hearing that oil prices have fallen, you might be a speculator.
  • If you went to college and chose a major because of the future it was expected to give you, you might be a speculator.

Don't damn oil speculators.  For one thing, what motivates them also motivates us in a myriad of every day activities.  Damning the speculators is the pot calling the kettle black. 

In addition, while they may make today's oil prices higher, they smooth out variations over time and help ensure higher supplies (and lower prices, all else equal) sometime down the road. 

As Peter Gordon (HT to Craig Newmark) puts it:

All humans with a pulse plan beyond today and are, therefore, speculators. Those who do more of this than others are specialists who will be shown to have guessed wrong (in which case they suffer the consequences) or they end up being right and benefit the bystanders with their prescience. Information sharing improves every else's planning.

Warren Meyer on Oil vs. Wind

Here.  The concluding sentences

Incredibly, despite all this effort and technology and investment required to generate electricity from fossil fuels, wind generators still need subsidies to compete economically with them.  In a very real sense, the fact that fossil fuels can come to us even at today's prices is a modern day business and technological miracle.

Of course, in the press, the wind guys begging at the government trough are heroes, and the oil companies are villains. 

Addendum:  whups.  I forgot the link and I didn't indent the first paragraph taken from Warren.  My bad.  Both problems have been fixed.

Waiting for Government To Do Something?

Well, you go right ahead.  In many cases I'll wait for the private sector to do something, and I bet my sector does a better job of it and gets it done quicker in many (most?) cases.  HT to Professor Newmark's Door.  Hayek, I think, would approve.

And then there's always Wal Mart (HT to Mark Perry)

Bernie Miklasz Mentions the C-word in Discussing Bonds

I've been thinking about this as well.  Why won't anyone give Barry Bonds a contract?  Bernie Miklasz thinks the Cardinals could use him, and he would probably be cheap (likely due, mostly, to the lack of interest).  He wonders a. if there isn't some collusion going on and b. if th