Nebraska
Article
Nebraska is a recurring place in the Astral Codex Ten archive, appearing 8 times across 8 issues between March 18, 2021 and June 29, 2022. The archive places it in contexts such as “not an evangelical Protestant from Nebraska”; “Nebraska corn”; “not subject to Nebraska laws or regulations”. It most often appears alongside United States, China, America.
Metadata
- Category: Places
- Mention count: 8
- Issue count: 8
- First seen: March 18, 2021
- Last seen: June 29, 2022
Appears In
- Book Review: The New Sultan
- Your Book Review: The Accidental Superpower
- 21
- Does Georgism Work? Part 1: Is Land Really A Big Deal?
- ACX Grants Results
- Open Thread 210
- Contra Hoffman On Vitamin D Dosing
- What Caused The 2020 Homicide Spike?
Related Pages
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- United States (5 shared issues)
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- China (4 shared issues)
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- America (3 shared issues)
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- Australia (3 shared issues)
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- COVID (3 shared issues)
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- France (3 shared issues)
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- Georgism (3 shared issues)
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- Germany (3 shared issues)
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- Michigan (3 shared issues)
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- UK (3 shared issues)
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- ACX (2 shared issues)
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- Arizona (2 shared issues)
External Links
Source Context
Recovered passages from the original issue text. When the raw archive preserved outbound links inside the source passage, they are listed directly under the quote.
In the course of normal politics, culture, or almost anything else, the elites will always end out on top. This flirts with tautology - of course whoever ends up on top will be a member of the elite! - but on a deeper level it isn't - the populace and elites are different social classes and cultures, so this claim identifies a particular class/culture that always gets its way. The American equivalent might be pointing out that the winner of the Academy Awards is probably going to be from a coastal liberal secular background, and not an evangelical Protestant from Nebraska. Same for the Dean of Harvard, the editor of the New York Times, etc.
We didn’t just get tremendous economic growth though – we got “magical” results, but they were based on a one-time confluence of factors that “overwhelmed the normal rule that lots of twenty-and thirty-somethings make for an expensive-capital environment.” What were these one-time accelerants? He identifies the peace dividend – cuts in military spending that allowed capital to be put to more productive uses – as one such change, along with the emergent dominance of the US dollar, particularly boosted by Russian demand thanks to the collapse of their currency, and a later boost in demand thanks to the East Asian financial crisis. With the Europeans’ decision to eliminate national currencies (agreed upon in a 1992 treaty, with the Euro to be introduced in 1999), they became relatively unattractive, and the Euro itself (an “unprecedented experiment in pan-government planning”) was too risky. Many holders of European currencies switched to the US dollar, such that between 1994 and 2002 (“when the euro finally got some traction and the surge dialed back”) there was a $2 trillion increase in the money supply. Zeihan also points to a collapse in commodities prices influenced by the elimination of Russian demand, but continued Russian production of oil and other commodities, followed by a collapse in demand thanks to the East Asian financial crisis. This story of capital coming to the West (“allowing consumption-driven growth not simply to soar, but to explode”) is one of chance world events. However, the story of capital coming from the Boomer cohort is one of demographics. By the 2000s, they’re the mature workers of Zeihan’s four stages described above – and as the bulge in the demographic pyramid, they started flooding the world with capital. Accordingly, “The cost of credit plummeted to levels never before experienced.” Zeihan suggests that developed-world demographics are the cause of booms in places that haven’t been well-developed, from Southern Europe to Brazil, Russia, and India. But he says it’s quickly coming to an end; Boomer savings into stocks and bonds will be moving to low-risk instruments and then turning into withdrawals rather than savings, and the cohort behind them is too small to replace all of that capital. And it’s a worldwide phenomenon: In every single developed country there is currently an American-style population inversion between the about-to-retire and the about-to-be-mature-workers age groups. Japan’s Boomers bulge is a decade older than the American equivalent, while Spain’s is roughly fifteen years younger. Everyone else falls somewhere in between. It dictates a period of chronically low growth and high credit costs, just not on precisely the same time frame. The undeveloped world is that way because it can’t self-fund, so without foreign capital, their growth will come to an end. In sum, the 1990-2005 period of high growth and easy capital was a historical anomaly; “the post-Cold War financial flight was a once-in-a-generation event” and the demographic bulge that coincided with it won’t come around again for decades, if ever. 4 2: America’s incredible advantages As noted above, Zeihan really likes America’s position in the world. He likes its demographics (relative to other developed countries) and loves its geography. Taking the population question first, in America, “the demographic inversion is only a temporary development.” America is younger than the rest of the developed world, as it urbanized later and its enormous size made having kids easier despite that urbanization (i.e., the suburbs exist). This makes the demographic crunch a single-generation issue, as the Millennials are a huge cohort. And even if they weren’t, America assimilates immigrants more easily than other places – Zeihan attributes this to it being a “settler society” – which can help with demographic problems. The rest of the developed world doesn’t have similar cohorts following their massive Boomer and Gen-X analogues. Accordingly: While the American financial world will be past its period of maximum stress by 2030, for the rest of the world 2030 will simply be another year of an ever-deepening imbalance between retirees and taxpayers, with smaller and smaller generations coming up the ranks generating less and less growth. For the developed world beyond the United States—and even large portions of the developing world—chronic capital poverty and permanent recession will be the new normal from which there is no return. Together with America’s Millennial-led growth and abundant energy (there’s a chapter explaining how shale is a done deal that, as of the mid-2014 writing, already made America the world’s largest energy producer 5), by 2030 Zeihan sees it as practically the only country with an economy worth noting. Anyone who is familiar with American geography should see the argument that’s coming about that aspect of Zeihan’s model. Isn’t the Mississippi River a pretty big deal? And those oceans on the east and west coasts seem like nice borders. Indeed, while he gives us many reasons why there was always going to be an American superpower, geography is central to his story. He has lots to say about America’s internal river systems, farmland, and other geographic features. What mountain barriers exist are apparently better than in other countries in terms of allowing internal transport; the Rockies have major passes, several of which have large cities within them, and the easiest pass in the Appalachians featured America’s first National Road, 130 miles of buried logs that linked two rivers, and thus the east coast with the best farmland in the world. As we saw with his exposition on the Nile, Zeihan puts a lot of emphasis on the value of river systems. He argues that America’s waterway network alone should be sufficient for “global dominance.” The numbers he provides in support of this point are impressive. For example, “the Mississippi is only one of twelve major navigable American rivers. Collectively, all of America’s temperate-zone rivers are 14,650 miles long. China and Germany each have about 2,000 miles, France about 1,000. The entirety of the Arab world has but 120.” He praises US barrier islands that mitigate oceanic destruction and effectively create another river system, as well as the fact that the river system is an actual network. All of this gives America more internal waterways than the rest of the world combined. Thus, we get cheap transportation for “Nebraska corn or Tennessee whiskey or Texas oil or New Jersey steel or Georgia peaches or Michigan cars,” enabling savings that “can be used for whatever Americans (or their government) want, from iPhones to aircraft carrier battle groups.” America doesn’t have to spend on artificial infrastructure, like German roads and rails, but when it does, the competition from the rivers keeps transport costs low. Cheap internal transportation has other benefits. “It’s a recipe for small government and high levels of entrepreneurship,” as small government keeps taxes low, leaving people with plenty of capital. Some people may think of the American consumer with disdain, but it isn’t a new phenomenon. Zeihan points out that America has been the world’s largest consumer market “since shortly after the Civil War.” His observation about a robust food supply forming the base of any civilization bodes well for America, which apparently has the largest connected stretch of quality farmland in the world (the Midwest), the value of which is exponentially increased by the fact that it overlaps with so many of these amazing river systems. It isn’t just the Midwest that he gushes over. California’s Central Valley and the Sacramento River, and Washington and Oregon’s farmland with the Columbia and Snake Rivers get praise. The only major farmland more than 150 miles from a navigable waterway is some of the Great Plains near the Rockies. ***** Zeihan provides a reminder that national security is actually a thing, and that at its most basic level, it’s about protection against invasions. It was something of a shock reading about America’s land borders in that context. “As Santa Anna discovered during the Texas Independence War, there is no good staging location in (contemporary) Mexican territory that could strike at American lands.” And, “Canada’s border with the United States is much longer, more varied, and even more successful at keeping the two countries separated,” thanks to mountains and thick forests over much of it. The mid-continent lands are much more connected, but Zeihan frames these Canadian areas as basically American; they’re physically separated from Canada’s core eastern provinces, so trade with them is weaker than with the closer American states. Then there are the oceans. As much as Zeihan loves deserts for protection, he loves oceans more (particularly in a post-World War II world; more on that below). We get a story about the War of 1812 nearly splitting America into three when the British attacked Baltimore. America learned about “strategic vulnerability and sea approaches,” as the attack “on Baltimore—indeed, the entire war effort—would have been impossible without launching grounds in Canada and the Caribbean.” American foreign policy since then can be understood with respect to this lesson. Zeihan cites it as inspiration for America’s steps to make its ocean borders truly impenetrable, such as working to sever Canada from Britain, and the imperial-era acquisitions of Alaska, Hawaii, Midway, Puerto Rico, and de facto control of Cuba (preventing enemies from cutting off Mississippi River-based trade from the rest of the world). There’s more to Zeihan’s being awestruck by America than his analysis of its balance of transport advantages. He argues that America has been the world leader for agriculture, technology, finance, and industry since the Civil War, and runs through a litany of reasons for its preeminence: America is like a continent-sized island (because of its effective land borders), which is always going to be a more natural naval power than a more landlocked country.
— Did you know: in 2018, the Nebraska Assembly came within one vote of creating a charter city which would have been “sovereign…not subject to Nebraska laws or regulations”
Inline links: creating a charter city
It's more expensive to live in the heart of New York City than in the middle of Nebraska. That's not because construction costs are orders of magnitude more expensive in New York, but because the land is orders of magnitude more expensive.
Yoram Bauman, $50,000, to help fund his campaign for economically literate climate change solutions. Bauman was the sponsor of the 2016 Washington carbon tax ballot initiative, which failed by a small margin. Now he's built up a coalition of economists, environmentalists, and friendly politicians to try to get climate measures passed or on the ballot in seven states by 2024. Bauman is the world's only “stand-up economist”, and also on track to be the world's only person to win a bet with Bryan Caplan. You can follow or donate to the effort he’s part of in Utah at CleanTheDarnAir.org, connect via email or twitter to chat about Nebraska, South Dakota, Arizona, Michigan, or your favorite state (yoram@standupeconomist.com, @standupecon), or sign up for overall updates and see comedy videos at https://standupeconomist.com/videos/.
One paragraph summary of Jan 2022 progress on #climate24x7 (advancing smart climate efforts in the legislature and/or via 2024 ballot measures in at least 7 states): In Nebraska, climate-concerned R state senator John McCollister introduced LB944, a short 3-page bill that cuts the regressive 5.5% state sales tax rate on electricity once electric utilities hit certain carbon intensity targets; see these one-pagers. We have a page of potential improvements based feedback from utility folks and others and are anticipating a public hearing in late February or early March. A similar idea is making progress in South Dakota, where a D legislator has expressed interest in similar legislation, and in Arizona, where I’ve hired Autumn Johnson of Tierra Strategy to pursue this; we’ve written one-pagers and draft legislation, she’s gotten fairly positive feedback from utilities, enviros, and legislative staff, and we’re doing our best to find a House member to introduce legislation before the cut-off of Friday Feb 4. In Utah we continue to work on the signature-gathering plan for the Clean The Darn Air 2024 ballot measure effort; we also anticipate the introduction of a similar bill in this year’s legislative session. Also trying to push forward with ideas or exploratory conversations in Colorado, Georgia, Massachusetts, and Michigan. Additional funding would help extend Autumn’s contract and help push forward faster in Nebraska, South Dakota, and elsewhere! From Yoram Bauman (yoram@standupeconomist.com, @standupecon)
(Barger-Lux 2002 found that outdoor workers in Nebraska got 2800 IU from sun exposure, and yes, this is the second scientist in this essay studying sun exposure with “Lux” in their name)
Inline links: Barger-Lux 2002
Here it looks like there’s a big change in murders through April, with basically no extra increase through July. This definitely contradicts the graph above. What’s going on here? I don’t know the Intercept’s criteria for including cities on their chart, but more than half of the cities in the US with the most murders aren’t even on there, whereas they did choose to include such colossi of crime as Omaha, Nebraska. Either they’re cherry-picking on purpose, or using some kind of inscrutable methodology that coincidentally is giving the wrong result. Of the actually relevant cities on there - New York, Chicago, etc - most of them show the May spike we discussed earlier. From the Financial Times. Notice no difference from the usual trend in March, April, or early May, then a very obvious spike around the time the BLM protests start on May 25. This is shootings rather than murders, for the same reason discussed below, but murders show a similar though noisier pattern. Another surprise on the Intercept’s graph: Minneapolis, the epicenter of BLM protests, saw more of a change in January-April than from May-August. Is this true? Cassell (2020) shows us the data: It looks like maybe this is random variation; there’s so few murders in Minneapolis in the winter that even one or two looks like a very large percent increase. But the raw data show that the summer was a much bigger deal. Since murder is very rare, maybe we can get a better view using assault, a crime similar to murder but much more common: Now the pattern is really obvious, except that it looks like it began about a week before the protests. I’m not sure, but I think this is because the site the paper took this from uses a 7-day rolling average, which smooths the data at the cost of having it be about a week off. A few of the other graphs have this problem as well, but I wouldn’t read too much into it. Nationwide, the spike in murders clearly happened in May, not March. On a city by city level, it’s hard to tell because murders are so rare. But when we look at other crimes that probably correlate with the murder rate, they clearly go up in May, not March. Police Pullback My specific claim is that the protests caused police to do less policing in predominantly black areas. This could be because of any of: Police interpreted the protests as a demand for less policing, and complied.
Inline links: with the most murders, https://substackcdn.com/image/fetch/$s_!veee!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fbucketeer-e05bbc84-baa3-437e-9518-adb32be77984.s3.amazonaws.com%2Fpublic%2Fimages%2F02e353e3-1e0d-42e0-a263-176008c18303_700x500.png, Cassell (2020), https://substackcdn.com/image/fetch/$s_!EGDj!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fbucketeer-e05bbc84-baa3-437e-9518-adb32be77984.s3.amazonaws.com%2Fpublic%2Fimages%2F46ae5619-a8dd-4b28-a4c0-3a98e712c51b_608x488.png, https://substackcdn.com/image/fetch/$s_!VCKB!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fbucketeer-e05bbc84-baa3-437e-9518-adb32be77984.s3.amazonaws.com%2Fpublic%2Fimages%2Fae2f05f2-4dff-4561-8222-5446e0f9f9ac_638x475.png
Backlinks
- ACX Grants Results
- Book Review: The New Sultan
- Contra Hoffman On Vitamin D Dosing
- Does Georgism Work? Part 1: Is Land Really A Big Deal?
- 21
- Open Thread 210
- Organizations: O
- Organizations: V
- Ottoman Empire
- Ottoman Empire
- Places: N
- Virginia Tech
- What Caused The 2020 Homicide Spike?
- Your Book Review: The Accidental Superpower