dani rodrik on doha round

from this article of dani rodrik:

We live under the most liberal trade regime in history not because the WTO enforces it, but because important countries — rich and poor alike — find greater openness to be in their best interest.
The real risks lie elsewhere. On one side is the danger that today’s alarmism will prove self-fulfilling — that trade officials and investors will turn the doomsday scenario into reality by panicking. On the other side is the danger that a completed “development round” will fail to live up to the high expectations that it has spawned, further eroding the legitimacy of global trade rules over the longer run. In the end, it may well be the atmospherics — psychology and expectations — rather than the actual economic results on the ground that will determine the outcomes.
So don’t cry for Doha. It never was a development round, and tomorrow’s world will hardly look any different from yesterday’s.

Obama's Energy Independence Promise and Challenge

read the whole thing here, thanks to paul krugman for the pointer.
Obama’s Promises:

If I am President, I will immediately direct the full resources of the federal government and the full energy of the private sector to a single, overarching goal – in ten years, we will eliminate the need for oil from the entire Middle East and Venezuela.  To do this, we will invest $150 billion over the next ten years and leverage billions more in private capital to build a new energy economy that harnesses American energy and creates five million new American jobs.

First, we will help states like Michigan build the fuel-efficient cars we need, and we will get one million 150 mile-per-gallon plug-in hybrids on our roads within six years.
………………
The second step I’ll take is to require that 10% of our energy comes from renewable sources by the end of my first term – more than double what we have now.  To meet these goals, we will invest more in the clean technology research and development that’s occurring in labs and research facilities all across the country and right here at MSU, where you’re working with farm owners to develop this state’s wind potential and developing nanotechnology that will make solar cells cheaper.
……………..
Finally, the third step I will take is to call on businesses, government, and the American people to meet the goal of reducing our demand for electricity 15% by the end of the next decade.  This is by far the fastest, easiest, and cheapest way to reduce our energy consumption – and it will save us $130 billion on our energy bills.

his challenge:

This is the choice that we face in the months ahead. This is the challenge we must meet.  This is the opportunity we must seize – and this may be our last chance to seize it.
And if it seems too difficult or improbable, I ask you to think about the struggles and the challenges that past generations have overcome.  Think about how World War II forced us to transform a peacetime economy still climbing out of Depression into an Arsenal of Democracy that could wage war across three continents.  And when President Roosevelt’s advisors informed him that his goals for wartime production were impossible to meet, he waved them off and said “believe me, the production people can do it if they really try.”  And they did.
Think about when the scientists and engineers told John F. Kennedy that they had no idea how to put a man on the moon, he told them they would find a way.  And we found one.  Remember how we trained a generation for a new, industrial economy by building a nationwide system of public high schools; how we laid down railroad tracks and highways across an entire continent; how we pushed the boundaries of science and technology to unlock the very building blocks of human life.
I ask you to draw hope from the improbable progress this nation has made and look to the future with confidence that we too can meet the great test of our time.  I ask you to join me, in November and in the years to come, to ensure that we will not only control our own energy, but once again control our own destiny, and forge a new and better future for the country that we love.  Thank you.

PS couldn’t help myself:

You won’t hear me say this too often, but I couldn’t agree more with the explanation that Senator McCain offered a few weeks ago.  He said, “Our dangerous dependence on foreign oil has been thirty years in the making, and was caused by the failure of politicians in Washington to think long-term about the future of the country.”
What Senator McCain neglected to mention was that during those thirty years, he was in Washington for twenty-six of them.  And in all that time, he did little to reduce our dependence on foreign oil.  He voted against increased fuel efficiency standards and opposed legislation that included tax credits for more efficient cars.  He voted against renewable sources of energy.  Against clean biofuels.  Against solar power.  Against wind power.  Against an energy bill that – while far from perfect – represented the largest investment in renewable sources of energy in the history of this country.  So when Senator McCain talks about the failure of politicians in Washington to do anything about our energy crisis, it’s important to remember that he’s been a part of that failure. Now, after years of inaction, and in the face of public frustration over rising gas prices, the only energy proposal he’s really promoting is more offshore drilling – a position he recently adopted that has become the centerpiece of his plan, and one that will not make a real dent in current gas prices or meet the long-term challenge of energy independence.

Power rates could drop by P2 per kWh, UP study shows

Dr Allan Nerves was my research adviser for my undergraduate research, Very understated but a great adviser. The attack dogs are coming Doc Nerves, God Bless. Sir Ivan and Sir Wally we my professors.
from here:
Power rates could drop by P2 per kWh, UP study shows
By Donnabelle Gatdula
Tuesday, August 5, 2008
Power rates could be reduced by as much as P2 per kilowatt-hour (kWh) if the government and the private sector will come together to do their share in reducing electricity rates, according to initial results of a study commissioned by the University of the Philippines.
In a public forum which presented the draft study entitled “Anatomy of the Power Rates in the Philippines,” the four-man research team had listed 10 items in the power rates that would be looked at.
The study, which will be released in its final form within the month, is authored by Edna Espos, Allan Nerves, Ivan Benedict Nilo Cruz and Rowaldo del Mundo. The team is working on a UP Diliman Open Grant research program Office of the Chancellor through the Office of the Vice-Chancellor for Research and development).
The paper has four parts including generation; transmission and distribution; other issues such as stranded cost, incremental currency exchange rate adjustment (ICERA), subsidies and taxes; and conclusion and summary of how to reduce the electricity rates by at least P2.0913 per kWh.
Among the items in the list of possible areas that could help in the reduction of power, according to the UP research team, and their corresponding savings are: Manila Electric Co. (Meralco) power cost at optimal mix (88 centavos per kWh); reduction in generation rate adjustment mechanism (GRAM)and ICERA charges of the National Power Corp. (Napocor), (30 centavos); reduction in Napocor basic average generation charge from peso appreciation (0.06 centavos); reduction in Napocor basic charge average generation charge from plants sold and removed from rate base (32 centavos); adjustment of the National Transmission Corp. (TransCo) charges from removal of appraisal increase (18 centavos); adjustment of distribution charges from removal of appraisal increase (10 centavos); cost of missionary electrification assumed by government (3.73 centavos); removal of charge for benefits to host communities (0.04 centavos); removal of value-added tax (VAT) system loss 0.6 centavos and removal of government unencumbered share of natural gas royalty (15 centavos).
“The reduction in electricity rates can be effected through a combination of simple adjustment in regulatory/implementing policy and amendment of the EPIRA,” the team said.
Former energy secretary and UP College of Engineering Dean Francisco Viray said the recommendations made by the team of Professor Del Mundo should be restudied to take into account the present regulatory and legal framework.
Citing an example on the costs of the IPPs and Napocor as mentioned in the study, he said, “You cannot compare the avoided cost today (which is actually not an avoided cost as there is still a subsidy) with that when these IPP projects were conceived.” He added that rate cases or simulations are best tossed to the proper body which is the ERC.
The group also recommended that there should be an adjustment in regulatory and other policies to auction values of Napocor’s generating assets; for proper application of the performance-based rate; and ICERA.
They said these recommendations may also require legislative action such as the amendment of the EPIRA which include WESM; assignment of the government unencumbered share of the natural gas royalty by way of a corresponding reduction in generation charges; the removal of the universal charge for missionary electrification, stranded debts and stranded contract costs of Napocor, equalization of taxes and royalties; and environmental charge.
The recommendations, however, elicited different reactions from the industry stakeholders who were present during the forum.
Meralco president Jesus Francisco, for his part, said only 24.73 centavos of the proposed P2 per kWh of the UP-sponsored study would be adopted.
Francisco also noted that “while the study is supposed to analyze the cost structure and the technical, financial and regulatory elements of the electric power industry, we find that many of the recommendations are lacking in such analysis.”
“Since the full paper is still to be completed, we trust that our comments will be addressed in the final output,” he said.

Learned Now 2008 08 04 2255H

from here:

As someone who’s spent a lot of time in Scotland, this idea appeals to me for a non-practical reason, too: I like the variety of banknotes one finds when the notes are issued by a range of different banks. (For historical reasons, Scottish banknotes are actually issued by private banks: the Bank of Scotland, the Royal Bank of Scotland, and Clydesdalel Bank. The same is true in Northern Ireland, of Bank of Ireland, First Trust Bank, Northern Bank, and Ulster Bank.) This can make inter-national travel rather interesting at times, but it certainly makes the world a more colorful and heterogeneous place.

Diets and Bias

I’ve been doing the Atkins Diet for more than a year now and the result is consistent with that of the claims and the book. I follow the diet I shed the pounds, while having normal blood sugar levels and cholesterol levels.
from here:

Gary Taubes, “Good Calories, Bad Calories”

Gary Taubes, a correspondent for Science magazine, contributed to the Atkins Diet craze with his New York Times article several years ago, “What If It’s All Been a Big Fat Lie?.” He then spent the past several years expanding on that article, and the result Good Calories, Bad Calories, a book of some 600 pages (nearly 70 of which are the bibliography).
Taubes has several overarching themes; he contends, for example, that eating refined carbohydrates is what makes you obese, and that refined carbohydrates contribute to many of what used to be called “diseases of civilization” (such as heart disease, which seems to have been less common in traditional cultures that ate less processed food, including Northern cultures that ate almost exclusively meat).  (These arguments are still controversial, although new evidence continues to support them.)
The most important theme, however, suffuses the entire book: bias in scientific inquiry.
Most of the chapters are headed by bias-related quotations, such as this from a 1921 book on philosophy of science: “In reality, those who repudiate a theory that they had once proposed, or a theory that they had accepted enthusiastically and with which they had identified themselves, are very rare.  The great majority of them shut their ears so as not to hear the crying facts, and shut their eyes so as not to see the glaring facts, in order to remain faithful to their theories in spite of all and everything.” Or this quotation from a 1950 Fields Medal winner: “The thing is, it’s very dangerous to have a fixed idea. A person with a fixed idea will always find some way of convincing himself in the end that he is right.”
Why is Taubes so interested in bias?  For several decades, it has been the conventional wisdom that dietary fat (and especially saturated fat) contributes to obesity, heart disease, and cancer.  Judging from Taubes’ exhaustive research — indeed, I’d be surprised if any other book examined bias within a particular scientific field in such detail — the conventional wisdom was based on unreliable and slender evidence that, once established and institutionalized in government funding, set a pattern of confirmation bias by which further research was judged (or ignored).  To take several examples (the book is full of many more):

  • Researcher Ancel Keys is perhaps the most important figure behind the origins of the dietary fat hypothesis.  Two of his most famous studies found a strong correlation between diet and heart disease in a handful of countries, but he cherry-picked the countries to analyze, omitting countries that would have undermined or even eliminated the correlation entirely. (pp. 18, 31-33).
  • Dietary researchers tended to ignore — or refused to allow publication of — studies showing that diet, cholesterol, and heart disease were not even correlated (pp. 27, 35), or even that low cholesterol raises other risks of death (in several studies, people with low cholesterol and/or people who ate low-fat diets were more likely to die of cancer, see pp. 37, 54, 71, 81).  As for cholesterol-lowering diets (which may include lots of polyunsaturated fat, and hence are different from low-fat diets per se), dietary researchers tended to rely on one positive result from a Helsinki study, while ignoring a politically incorrect result from a clinical trial in Minnesota (in which 269 mental patients assigned to a cholesterol-lowering diet died, compared to 206 in the control group). The Minnesota result wasn’t even published for 16 years; Taubes asked the researcher why, and got the response: “We were just disappointed in the way it came out.”  (pp. 37-38).
  • Similarly, in 1961, a conference of the Association of American Physicians included a presentation showing that in comparing heart disease patients in New Haven to a healthy population, the diseased patients were much more likely to have high triglycerides than high cholesterol, thus implicating high carbohydrate diets (which elevate triglycerides).  One of the researchers told Taubes, “It just about brought the house down.  People were so angry; they said they didn’t believe it.”  Despite this result, later studies funded by the National Institutes of Health would completely ignore triglycerides, focusing only on cholesterol levels. (pp. 157-60).

Taubes closes the book with these scathing words:

The institutionalized vigilance, “this unending exchange of critical judgment,” is nowhere to be found in the study of nutrition, chronic disease, and obesity, and it hasn’t been for decades.  For this reason, it is difficult to use the term “scientists” to describe those individuals who work in these disciplines, and, indeed, I have actively avoided doing so in this book.  It’s simply debatable, at best, whether what these individuals have practiced for the past fifty years, and whether the culture they have created, as a result, can reasonably be described as science.

Here are some informative interviews with Taubes:
PBS.
MIT.
The Borzoi Reader.

The Telegraph. Notably, Taubes admits in this interview that he himself might be biased: “What are the chances of writing an article that says the entire medical establishment is wrong, and them going, ‘Good point, thank you, Gary. Can we give you an award?’ When people challenge the establishment, 99.9 per cent of the time they are wrong. If I was writing about me, I’d begin from the assumption that I am both wrong and a quack.”

Alienation For OFW Coming Home

from here

Study: OFWs feel alienated, dissatisfied when they return to RP

MANILA, Philippines – Overseas Filipino workers (OFW) who had been exposed to societies that adequately provide for the needs of their people return home feeling alienated and dissatisfied with the Philippines.
This was the result of a two-year research project titled “Democratization through Migration” by the Arnold Bergstraesser-Institute (ABI) based in Freiburg, Germany.
A copy of the recent study was furnished to GMANews.TV on Monday by OFW group Kapisanan ng mga Kamag-anak ng Migranteng Manggagawang Pilipino.
According to the study, many returning OFWs who had experienced better living conditions abroad expect more from the Philippines.
ABI researchers Christl Kessler and Stefan Rother said the study revealed OFWs’ “strong discontent with the democratic processes in the Philippines, despite a general defense of democratic rights and freedom.”
The two said that “a feeling of neglect and discrimination for poor and uneducated citizens was felt by the respondents, having the mindset that the Philippine political system was exclusively serving the interests of the elite.”
The study also showed that “an active OFW civil society independent of the political system of the destination” can have a positive effect on the migrants’ sense of action and usefulness.
Questionnaires were used in ABI’s interviews with 1,000 migrants who were just about to leave the Philippines and 1,000 OFWs returning from Japan, Taiwan, Saudi Arabia, United Arab Emirates, Qatar, and Hong Kong.
ABI presented the study last week at the University of the Philippines in Diliman, Quezon City in cooperation with the Social Weather Stations, and the Political Science Department of UP-Diliman.
The study was financed by the Foundation for Population, Migration and Environment. – KIMBERLY JANE T. TAN, GMANews.TV
Can’t seem to find an online copy of the study.  Based on my own experiences these feels right but I’d really like to see the data they gathered.

640000 Filipinos Left The Country The First Half of 2008

DOLE: Jobs available in RP but more Pinoys leaving

MANILA, Philippines – Labor and Employment Secretary Marianito Roque on Friday maintained that jobs are available in the Philippine despite the increase in the number of Filipinos who were deployed outside the country in the first six months of 2008.
His remarks came the same day that it was learned that 640,000 Filipinos left the country from January to June this year.

The data came from the Philippine Overseas Employment Administration (POEA) which said that the said figure was 33 percent higher compared to 479,725 Pinoys deployed abroad during the same period in 2007.
The said increase is much higher compared to the normal three percent deployment growth every year, according to Roque.
But the increase on the number of overseas Filipino workers (OFWs) doesn’t mean that jobs opportunity lack here in the Philippines.
“Overseas employment is only an option…well higher pay and better employment terms and conditions,” explained by Roque.
Roque made the remarks when interviewed by GMA news. The report was aired over 24 Oras.
The possibility of more Filipinos to leave the Philippines in the coming days will surely happen after the labor department announced that are more job opportunity available for professional and skilled workers in European countries like France, Finland, Australia and Canada.
Roque said the Phillippines is about to seal a memorandum of understanding with France to allow the entry of Filipino nurses, IT professionals and engineers.
Finland, meanwhile, is in need of nurses, Roque added.
In Southern Australia, there are 30,000 job vacancies for professional and skilled workers.
Three provinces in Canada are looking for engineers, nurses, welders, trailer drivers and bartenders.
But Roque said one of the requirements in the European countries is for foreign workers is to learn their language.
“Requirements nila yun otherwise hindi kayo magkakaintindihan… Sa Finland willing sila na magpadala ng teachers dito (to teach Pinoy of their language),” Roque said. – Fidel Jimenez, GMANews.TV

My only quirk with this piece is where in Europe is Australia and Canada???  Borrowing Brad Delong’s words.
Why Oh Why Can’t We Have A Better Press Corps.
PS: I think that I would have enjoyed if more If I knew , How many return each year?? or at least between the stated period.

Unskilled OFW Remittance

from GMA news:

if the video doesn’t work try this link:
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For the latest Philippine news stories and videos, visit GMANews.TV

according to the NSO although the remittance from unskilled workers are only a third of skilled workers the sheer number of unskilled Filipino OFW’s make up for this and makes them the larger group in terms of total remittance amounting to around 17.6 billion peros (roughly 400 million dollars or 259 million euros thanks google).
The sad thing is anecdotally people are not really changing their lives long term. This is probably because the families here or back home rarely have enough schooling or are financially astute enough to handle the remittances that they get.
Add this to the fact that people from my country somewhat believe that work abroad is easier than back home. I remember my friends telling me how people coming back home have neighbors who wait in line to get gifts.
I think some things can be done to improve this, hope I can get something started.