Some Chicago Boyz know each other from student days at the University of Chicago. Others are Chicago boys in spirit. The blog name is also intended as a good-humored gesture of admiration for distinguished Chicago School economists and fellow travelers.
After nine years of litigation and regulatory maneuvering, the Secretary of the Interior has given the approval for construction of the Cape Wind offshore power-generation facility. (Well, sort of…there are still a few more regulatory hurdles to clear before any actual wind turbines can be erected.)
Nine years is a long time, and it’s worthwhile to look at what Americans have been able to do in that amount of time…and in much shorter amounts of time…in other periods of our history.
The last hundred years or so have seen the introduction first of silent movies, then of sound movies, followed by television and color television. Moving images have great emotional and iconic power, and these technologies have had great cultural and economic impact.
We’re now seeing Internet-based video moving into the mainsteam. Netflix, for example, offers portions of their library for instant viewing, either on a PC or on a TV set (with adapter offered by several manufacturers.) Ventures, such as Snag Films (Ted Leonsis, Steve Case, and friends), have arisen to focus on Internet distribution of particular forms of content. (Documentaries, in Snag’s case.) Other ventures are focusing on enablement of Internet video for mobile devices. Improvement in wireline and wireless bandwiths makes it all feasible and affordable, and devices such as the iPad will make it increasingly convenient.
I’d like to discuss the emergence of Internet video from the standpoints of: Its impact on the structure of various industries, the investment opportunities and risks that it may create, and most of all its potential effects on culture and on the political environment. For starters, a few hypotheses:
(I originally posted this on Jan 2….given that today is April 14, it seems like an appropriate time to run it again)
Chevy Chase, MD, is an affluent suburb of Washington DC. Median household income is over $200K, and a significant percentage of households have incomes that are much, much higher. Stores located in Chevy Chase include Tiffany & Co, Ralph Lauren, Christian Dior, Versace, Jimmy Choo, Nieman Marcus, Saks Fifth Avenue, and Saks-Jandel.
PowerLine observes that during the election season, yards in Chevy Chase were thick with Obama signs–and wonders how these people are now feeling about the prospect of sharp tax increases for people in their income brackets.
The PowerLine guys are very astute, but I think they’re missing a key point on this one. There are substantial groups of people who stand to benefit financially from the policies of the Obama/Pelosi/Reid triumvirate, and these benefits can greatly outweigh the costs of any additional taxes that these policies require them to pay. Many of the residents of Chevy Chase–a very high percentage of whom get their income directly or indirectly from government activities–fall into this category.
There is one aspect of the change in moral values brought about by the advance of collectivism which at the present time provides special food for thought. It is that the virtues which are held less and less in esteem and which consequently become rarer are precisely those on which the British people justly prided themselves and in which they were generally agreed to excel. The virtues possessed by Anglo-Saxons in a higher degree than most other people, excepting only a few of the smaller nations, like the Swiss and the Dutch, were independence and self-reliance, individual initiative and local responsibility, the successful reliance on voluntary activity, noninterference with one’s neighbor and tolerance of the different and queer, respect for custom and tradition, and a healthy suspicion of power and authority.
F.A. Hayek, The Road to Serfdom
An interesting essay by Theodore Dalrymple, a British psychologist who has worked extensively in prisons. Via psychiatrist Dr Sanity, who adds thoughts of her own.
My sense is that the self-esteem movement started benignly enough, with the sensible idea that it is usually better to focus on praising people for things they do right rather than on condemning them for their inadequacies. But it soon fell into the hands of various airheads, many of them professors in “education” schools, who too frequently have been hostile to the whole notion of individual achievement and individual accountability.