Posts Tagged ‘MIT’

Nobel In Economics Attributed For Rediscovering The Wheel, Trial & Error

October 14, 2019

Nobel committees are often moronic, or deliberately misattributing. For example they all too often insist upon the point that mostly only MIT and Harvard, two top plutocratic universities are capable of top thinking. 

As when the German Otto Hahn was given the Nobel for discovering nuclear fission, when it’s Irene Curie, a (French) woman who had already a Nobel prize, that one well deserved, who had discovered nuclear fission, at the latest in 1937… and wasted lots of efforts teaching this to Hahn)

So the Nobel in economics was attributed basically for discovering that, when you need to find out if a method work, you set up a controlled study. No doubt that is a great progress for economists. They apparently didn’t know, until it was pointed out to them a few years back, precisely by Ms Esther Duflo, a 46 year old French economist in a TED talk.  

Economic Theory has been, so far, a two dimensional theory biting its own tail, to better serve plutocracy. The idea of such a 2 dimensional one sided world originally came from the German mathematician Moebius.

Duflo, at age 46, is the youngest person ever to win a Nobel Prize in economics and only the second woman.

The three researchers work on global poverty, studying interventions in a range of areas: combating teacher absenteeism, direct cash transfers to the extreme poor, policing drunk driving, and studying the effects of access to textbooks on students, among others.

They’ve also made what is described as extraordinary (extraordinary, for complete idiots with no scientific, or even common sense training, whatsoever) contributions to developing the methods used to study these subjects, with a focus on randomized controlled trials (RCTs). In a randomized trial, interventions are implemented in different ways in some areas, for example villages, but not to a control area, enabling researchers to identify which effects are the result of the intervention. This completely obvious work has been enormously influential, pushing other researchers in the field to conduct higher-quality studies… so dumb “economics”, the dismal “science”, has long been. By dummies, for dummies, so that the wealthy and powerful would get wealthier and more powerful. 

In 2003, Duflo and Banerjee (who are married) co-founded MIT’s Abdul Latif Jameel Poverty Action Lab (J-PAL), now a global network for antipoverty research around the world. They also wrote the book Poor Economics (2011) about the choices people make when they’re poor, why those choices make sense, and how we can adjust policy to help address poverty.

Of course, human beings always make sense, even if official economics doesn’t. Actually the sense conventional, official economics makes is to serve the elite world oligarchy and its fossil fuel organization, hell bent to destroy the planet, as hell is Pluto’s abode.

As The Economist puts it in “The world economy’s strange new rules”: How economies work has changed radically. So must economic policy. (Oct 10th 2019)

Rich-world economies consist of a billion consumers and millions of firms taking their own decisions. But they also feature mighty public institutions that try to steer the economy, including central banks, which set monetary policy, and governments, which decide how much to spend and borrow. For the past 30 years or more these institutions have run under established rules. The government wants a booming jobs market that wins votes but, if the economy overheats, it will cause inflation. And so independent central banks are needed to take away the punch bowl just as the party warms up, to borrow the familiar quip of William McChesney Martin, once head of the Federal Reserve. Think of it as a division of labour: politicians focus on the long-term size of the state and myriad other priorities. Technocrats have the tricky job of taming the business cycle.

This neat arrangement is collapsing. As our special report explains, the link between lower unemployment and higher inflation has gone missing. Most of the rich world is enjoying a jobs boom even as central banks undershoot inflation targets. America’s jobless rate, at 3.5%, is the lowest since 1969, but inflation is only 1.4%. Interest rates are so low that central banks have little room to cut should recession strike. Even now some are still trying to support demand with quantitative easing (qe), ie, buying bonds. This strange state of affairs once looked temporary, but it has become the new normal. As a result the rules of economic policy need redrafting—and, in particular, the division of labour between central banks and governments. That process is already fraught. It could yet become dangerous.”

It is indeed dangerous to be led by imbeciles, even if they have Nobel Prizes, and especially if they gave Nobel prizes. 

The world is engaged in a mass extinction. And this is the fault of the fig leaf conventional economics gave to plutocracy. Giving the Nobel to Pluto universities specialized in the most perverse economics may be progress, like giving the Peace Nobels to Nazis plotting against Hitler. 

But is it progress enough?

The Nobels for Duflo and Al. are indeed glorious for those who don’t know how to add. This is how low this world has sunk. Meanwhile, Trump is finally ordering to remove US nuclear weapons from Turkey, as the nukes were held hostage there, for the last 50 years… Many wars out there, and economics is one of them…

PA

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P/S: Want to found economics on a scientific basis? Want non trivial economics from Pluto universities? Then one should consider my own AWE (Absolute Worth Energy). AWE provides with a strict definition of Worth according to how much energy it takes to generate it. For example a hyper intellectual is worth more than a plutocrat butt wiper…

MIT Gangsters Rule

July 24, 2015

Goodbye, Chicago boys. Hello, M.I.T. gang.”

Who says this? No less than Paul Krugman (himself with a PhD from MIT), in a New York Times editorial “The MIT Gang“. I will get back to the murder-friendly attitude of Krugman, who not only extols the MIT influence as a good thing, but moreover glosses over the nefarious influence of American trained economists, “The Chicago Boys“, in destroying democracy. And not just democracy. The role of economic ideology from the American plutocratic universities was so nefarious that tens of thousands were outright assassinated, so that Chicago economics could be implemented. Bad economics is bad in all ways, including the most murderous ones. Not only Stalin, Mussolini, Hitler and the Khemr Rouge had murderous economics. Arguably, present day economics may be even more lethal.

MIT Economics Favors Plutocracy (=Pluto Power)

MIT Economics Favors Plutocracy (=Pluto Power)

After 2008, the MIT gangsters Krugman effrontly lauds, put trillions of dollars at the disposition of the very banksters who had caused the 2008 crash. Yes, those gentlemen gangsters have names. Those gangsters are so famously, they could be called gangstars. Those stars directed the world’s two most important central banks, or played the top roles, just below the ill-fated Dominique Strauss-Kahn at the IMF, or World Bank, etc. (Krugman sings their praise, and their names, in his “MIT Gang” essay).

The crash was actually the transfer of colossal amounts of money from the banks to a subset of plutocrats, ruining the banks. To refloat the banks, public money (see Greece) was called in, both from Treasuries and from Central Banks. The red graph above depicts that transfer as the scarlet exponential of shame. And no one, among those who control the world, condescend to observe it, let alone, explain it.

Although I was diplomatic enough not to even allude to these horrors, I sent the following comment to the New York Times. It was immediately censored:

The Chicago, and MIT economic departments rule. Who elected them, as our leaders? Who elected the Central Banks, and authorized them to buy at outrageous prices the property of private banks? That’s so-called “Quantitative Easing“… Thus enabling the bankers, banksters and gangsters who caused the crash of 2008 to keep on deciding who wins, and who loses, socioeconomically?

The private banks, extend credit to the richest of the rich.Thus they comfort, and buttress the plutocrats… Who then invite the president to gather money during parties in their mansions.

Why have so few people, so much power? Under which political theory? Which theory advocates that only a few people rule? Few: in Greek, Oligos. To rule: Arkhein. Oligos-Arkein: such a theory is called Oligarchy.

So the few rule. Question: why is a MIT gang better than a Chicago gang, a Wall Street gang, or a Sicilian gang?

Because we owe more respect to a MIT gang than to the Mafia? Why? Did we vote to have so much respect for MIT, we want them, MIT gangsters, to take all the decisions about the society in which we live? Our economic well-beings? Our employment? Our lives?

And when did we switch from democracy (Greek: Demos-Kratos, English: People-Power) to Oligarchy? Did we vote to surrender our powers to various gangs? I gather we did not. Thus, when, and how did this silent coup occur? What measures do we need to take, to return to democracy?

Patrice Ayme’

Note: Some commentators have complained that I am too tough on Krugman: he is a good guy, he is on the side of progress, he is on my side, I am biting a fellow creature. Indeed, Krugman is viewed as the standard bearer of social progress, and not at all the standard bearer of plutocratic universities. So let Krugman talk a little bit more in his own offense in the editorial at hand: : “If you don’t know what I’m talking about, the term “Chicago boys” was originally used to refer to Latin American economists, trained at the University of Chicago, who took radical free-market ideology back to their home countries. The influence of these economists was part of a broader phenomenon: The 1970s and 1980s were an era of ascendancy for laissez-faire economic ideas and the Chicago school, which promoted those ideas.

But that was a long time ago. Now a different school is in the ascendant, and deservedly so.”

Notice the pernicious context. What you have to know is that these “Latin American Economists trained at the University of Chicago, who took radical free-market ideology back to theior home countries.”

It sounds innocuous, but actually these “boys” set-up dictatorships in their countries, who killed tens of thousands of people in Argentina alone.

Similar “economic” performance was achieved in Chile, Brazil, and a dozen other Latin American states thus inspired. Nothing that Paul Krugman is allowed to remember while he wants to stay in good standing with plutocracy supreme.

Patrice Ayme’

 

Summers Summits Summits of Hypocrisy

March 8, 2015

Some people all they want is power, and will do whatever it takes to get it. Larry Summers is the ultimate example of this. Summers version 2015 just found that the mood is changing, and condemns 100% Summers, version 1990s, when he was Secretary of the Treasury under that class act, Bill Clinton (from dirt poor to dirty rich).

Two immediate family members of Summers were Nobel Prizes in economy.

Summers was part of a clique of young PhDs in economics who studied how to get rich and influential at MIT and Harvard around 1979. Paul Krugman, one of them, lauds them all the time. I sent a scathing comment on the whole mood of economics as the golden calf. It did not get published.

FDR’s Powerful Family Crest: Who Plants, Preserves

FDR’s Powerful Family Crest: Who Plants, Preserves

FDR planted a mighty tree, the separation of money creation from financial conspiracy. Larry Summers uprooted it.

Here is my suggestion for Larry Summers’ Family Crest: Who Uproots, Destroys. Summers uprooted the financing of the real economy, and thus destroyed it. As corruption went up, innovation (true innovation, science based) went down.

Corruption is a barrier to innovation, warns Alina Mungiu-Pippidi, in Nature. Greater scrutiny of public spending is needed if science and technology are to fulfil their potential, she intones. However, there is more pernicious than that: when private spending and practice is deregulated by government.

After, deregulation of private practice is how, around 1620, slavery was made lawful in the future USA.

Another of the Harvard-MIT economist conspirators was Mario Draghi.

All these plotters literally knew each other, saw each other, talked to each other, learned form each other… How to please their masters. Mario Draghi got his PhD from MIT, in 1979. Later Draghi became vice chairman at the financial conspiracy outfit Goldman Sachs, and “trustee” at various USA plutocratic institutions of high repute (Brookings, Princeton, etc.).

Draghi is now in charge of giving money to giant private European banks. So they can become richer: then the money will trickle down to European pigeons, and they can thrive, eating the crumbs.

American plutocrats know and trust Draghi. Europeans don’t know anything about him, except they believe he is European (I know better: plutocrats belong to Hades, not the real world).

Larry Summers was put in charge of removing all regulations that this traitor to the plutocratic principle, or, more exactly, trickle down, Franklin Roosevelt, had instituted in 1933.

What had FDR done?

Basically banks create money. So they are agents of the government. Thus they ought not to intervene all over the economy, and, in particular, finance, without important limits to their powers.

Summers removed these limits.

The effect on High Finance was absolute power, thus absolute corruption.

The green light given to bankers to corrupt all of society had an effect on other mighty economic actors.

Those worthies felt a green light had also been given to them, implicitly: if the bankers could use their money creation capacity mandated by the government, to enrich themselves and their friends to infinity, why not the same for all?

Why could not fossil fuel plutocrats corrupt scientists and the media, and claim it was totally OK to augment CO2 in the atmosphere by

The democrats were in power in Congress starting in 2006: they did not stop Bush. The democrats were in absolute power just after Obama got elected: they pursued the program of rescue of the plutocracy, complete with tax cuts for the hyper rich.

Obama, to get elected, needed to mobilize those who do not usually vote, because they do not believe that whatever they do will change anything.

Nowadays so-called “democrats” in the USA are in a bind: to get their champion elected, they need the champion to mobilize those Obama mobilized, and who got very little in exchange.

Moreover, the plutocracy got entrenched in the meantime. To change this would require a revolution. Re-evolving.

Re-evolution is something the People may support, if it believed in it. To avoid it, it’s called “Populism” (sounds like Nazism, Socialism, Communism, Liberalism, Nationalism, Islamism, all pejorative notions).

Fast forward to the New York Times. A long ode to Summers called “Establishment Populism Rising.” by Thomas B. Edsall. Here is how it starts:

Larry Summers, who withdrew his candidacy for the chairmanship of the Federal Reserve under pressure from the liberal wing of the Democratic Party in 2013, has emerged as the party’s dominant economic policy strategist. The former Treasury secretary’s evolving message has won over many of his former critics.

Summers’s ascendance is a reflection of the abandonment by much of the party establishment of neo-liberal thinking, premised on the belief that unregulated markets and global trade would produce growth beneficial to worker and C.E.O. alike.

Summers’s analysis of current economic conditions suggests that free market capitalism, as now structured, is producing major distortions. These distortions, in his view, have resulted in gains of $1 trillion annually to those at the top of the pyramid, and losses of $1 trillion every year to those in the bottom 80 percent.”

One has to pinch oneself. Summers has of course zero credibility. Trusting him on economics and social questions would be trusting an enemy. Summers put the entire planet on the wrong trajectory. He is part of a coterie mainly centralized on Harvard, which insisted on raping, pillaging, and letting Russia being devoured by plutocrats created ex-nihilo, because, for Harvard types, plutocracy is an absolute good, just as for Saint Louis Catholicism was an absolute good worth killing the world for.

The destruction of the Russian economy (more exactly a lowering of Price Purchase parity, within Russia, of at least 40%) was just one facet of their maelstrom of destruction these USA based public-private plutocrats visited on the world.

The result, in the case of Russia, is the rise of Putin, someone who advocates using nuclear weapons on Warsaw if his conventional attacks get in trouble. Why? Because, as the entire West propaganda and governments lauded, for more than twenty years (time flies), the Rubin-Goldman-Sachs-Summers-Clinton-Greenspan view of the world, Putin just got mad with rage. Rightly so.

But the damage is not confined to Putin. All over the world, from Xi to Assad, to all and any politicians in Brazil, Larry Summers and his ilk preached. They preached that corruption and plutocratization ought to have no limits, as long as the gullibility of We The People went along.

“Forgive your enemies, but never forget their names.”

— President J.F. Kennedy.

The elite is fearing the hatred, which is growing. Even in the naturally rich USA. The rapacious elite wants to marshal the anger, to drive it to a safe place. Safe for itself to keep on enjoying Earth a little bit more, as its feudal domain. It is a race between knowledge and folly.

Patrice Ayme’