MCViewPoint

Opinion from a Libertarian ViewPoint

Posts Tagged ‘Thomas Sowell’

Why It’s Rational to Fear Cops | Mises Wire

Posted by M. C. on June 6, 2020

This example also illustrates Sowell’s observation that brands are substitutes for specific knowledge. We do not know whether any individual is trustworthy or not, but, ideally, a police uniform should be a consistent marker of trustworthiness. But the converse may also be true. Just as I avoid the McDonald’s arches because I don’t like their food, the information conveyed by a police uniform is not always consistent with the idealized vision of police.

https://mises.org/wire/why-its-rational-fear-cops?utm_source=Mises+Institute+Subscriptions&utm_campaign=dd4114620d-EMAIL_CAMPAIGN_9_21_2018_9_59_COPY_01&utm_medium=email&utm_term=0_8b52b2e1c0-dd4114620d-228343965

In economics, branding serves an important purpose. Brands allow people to economize on knowledge, a scarce resource. We make decisions with imperfect information, and brand labeling and trademarks help us navigate these decisions. As Thomas Sowell writes:

When you drive into a town you have never seen before and want to get some gasoline for your car or to eat a hamburger, you have no direct way of knowing what is in the gasoline that some stranger at the filling station is putting into your tank or what is in the hamburger that another stranger is cooking for you to eat at a roadside stand that you have never seen before. But, if the filling station’s sign says Chevron and the restaurant’s sign says McDonald’s, then you don’t worry about it.

He goes on to add that “brand names are substitutes for specific knowledge.”1

You don’t know much about the particular bottle of ketchup you may be buying—the quality of the factory it was produced in, the farmer who grew the tomatoes, or the recipe used—but if it says Heinz on the label, you have a good idea of what you’re going to get. The need to economize on knowledge is so important that in the Soviet Union, people began to learn how to read barcodes to know whether or not they were getting products from reliable factories.2

In customer service industries, this is also the purpose of a uniform. Customers can quickly identify the person they need to talk to in a retail environment, and the uniform conveys certain expectations. The electronic retailer Best Buy dresses its computer technicians, called the “Geek Squad,” in comically cliché “geek” uniforms—white shirts and black clip-on ties—in an attempt to help customers distinguish the employees with specialized computer knowledge from those who sell televisions.

But brand names, trademarks, and uniforms don’t always convey the information that companies want them to convey. For instance, if a customer had a bad experience with an incompetent Geek Squad agent, they may see the uniform as an indicator of somebody whose computer advice should not be trusted. Similarly, McDonald’s famous golden arches may inform a potential customer about the consistent quality of their hamburgers, as Sowell points out, but some consumers may see this as a sign of where not to eat. People always economize on information, but not necessarily in the way that companies hope.

This is why companies are so protective of their brand and trademarks. Any dilution of their reputation hurts the value of their product in the eyes of the consumer, not because the quality itself is lowered, but because when consumers face greater uncertainty in their economic decisions they are less likely to buy a given product.

As in the customer service industry, a police officer’s uniform conveys information to civilians. In the idealized vision of police, the uniform should convey security. Most of us were taught as children that if we get separated from our parents, we should avoid strangers but find a police officer. Even though the officer is also a stranger, children are taught to see the police uniform as an indicator of trustworthiness in the potentially dangerous uncertainty of human interaction.

This example also illustrates Sowell’s observation that brands are substitutes for specific knowledge. We do not know whether any individual is trustworthy or not, but, ideally, a police uniform should be a consistent marker of trustworthiness. But the converse may also be true. Just as I avoid the McDonald’s arches because I don’t like their food, the information conveyed by a police uniform is not always consistent with the idealized vision of police.

Any given police officer may be a kind, helpful person who only wants to serve and protect, as the police mantra claims, or he may be a scoundrel who enjoys asserting violent authority over others. This is the uncertainty that people face every time they interact with a police officer. But the uniform does convey some consistent, reliable knowledge that helps people know whether to feel safe or threatened.

For instance, thanks to the doctrine of qualified immunity, all police officers are immune from the consequences of excessive and unnecessary force, even in cases that result in the death of unarmed, nonresisting civilians. Certainly not all police take advantage of this immunity. Social media loves heartwarming stories of cops helping people or simply showing kindness. Many cops are not needlessly violent—in fact, it’s likely that the vast majority of them are not. But the uniform does not inform civilians of whether or not a cop will be gracious or abusive; it merely informs us that if they want to commit violence they can do so without fearing the consequences that the rest of us would face.

The result is that, in contradistinction to what we are taught as children, many people rationally feel unsafe interacting with a police officer than they do with a random civilian stranger. I stress the word “rationally” because their feeling of insecurity is not the product of a delusional prejudice or false propaganda, but rather of the reasonable weighing of possibilities in the face of uncertainty. They do not have knowledge of the specific officer’s temperament and character, but they do have knowledge of the legal immunity that will protect the cop if he abuses his authority.

Similarly, practices such as civil asset forfeiture become attached to the police uniform in the minds of civilians. Many cops, I’m sure, would never steal a person’s life savings or confiscate their legally owned property just because the law allows them to do so—but the law does allow them to. In the face of uncertainty, this is the knowledge that people have. If somebody has cash on their person or in their vehicle, as people often do when buying a used car off the internet or conducting a similar legitimate transaction, they don’t know whether a given cop will steal their money—they only know that the officer can.

And just as when a company hurts their brand by consistently providing poor service or a disappointing product, the frequent stories of police brutality and extrajudicial killings re-create the image of police conveyed by the uniform. The lack of accountability in these stories amplifies the effect. The actions of individual officers, even if we accept that they are anecdotal and not representative of the majority, convey information that people rationally attach to the uniform of all cops.

In short, people increasingly feel unsafe around police, because, frankly, it would be irrational to feel otherwise. It is impossible for anybody to know what a given cop will do, but thanks to the perverse incentive structures created by courts and tough-on-crime legislators, as well as the poor behavior of individual officers, who are virtually never brought to justice, people make their judgments of the police based on what officers can do. As long as we live in a world of imperfect information, it would be silly to expect people to make assumptions about police according to any other standard.

Be seeing you

 

 

Posted in Uncategorized | Tagged: , , , , , | Leave a Comment »

Selected Gems By Thomas Sowell

Posted by M. C. on May 4, 2020

sowell

https://www.azquotes.com/author/13901-Thomas_Sowell

It is hard to imagine a more stupid or more dangerous way of making decisions than by putting those decisions in the hands of people who pay no price for being wrong.

 

Racism is not dead, but it is on life support — kept alive by politicians, race hustlers and people who get a sense of superiority by denouncing others as ‘racists’

 

What do you call it when someone steals someone else’s money secretly? Theft. What do you call it when someone takes someone else’s money openly by force? Robbery. What do you call it when a politician takes someone else’s money in taxes and gives it to someone who is more likely to vote for him? Social Justice.

 

It is bad enough that so many people believe things without any evidence. What is worse is that some people have no conception of evidence and regard facts as just someone else’s opinion.

 

I have never understood why it is “greed” to want to keep the money you have earned but not greed to want to take somebody else’s money.

 

If you believe in equal rights, then what do “women’s rights,” “gay rights,” etc., mean? Either they are redundant or they are violations of the principle of equal rights for all.

 

In the long run, the greatest weapon of mass destruction is stupidity.

 

Politics is the art of making your selfish desires seem like the national interest.

 

What the welfare system and other kinds of governmental programs are doing is paying people to fail. In so far as they fail, they receive the money; in so far as they succeed, even to a
moderate extent, the money is taken away.

 

A recently reprinted memoir by Frederick Douglass has footnotes explaining what words like ‘arraigned,’ ‘curried’ and ‘exculpate’ meant, and explaining who Job was. In other words, this man who was born a slave and never went to school educated himself to the point where his words now have to be explained to today’s expensively under-educated generation.

 

‘Fair’ is one of the most dangerous concepts in politics. Since no two people are likely to agree on what is ‘fair,’ this means that there must be some third party with power – the government – to impose its will. The road to despotism is paved with ‘fairness’.

Posted in Uncategorized | Tagged: , , , , , , | Leave a Comment »

Voters-From Cafe Hayek

Posted by M. C. on September 7, 2019

Quotation of the Day…

by DON BOUDREAUX on SEPTEMBER 5, 2019

in VIRGINIA POLITICAL ECONOMY

… is from page 120 of Thomas Sowell’s monumental 1980 volume, Knowledge and Decisions (original emphasis):

Voters can only choose process characteristics and hope for results. Consumers buy results and leave the process to those with specialized knowledge of such things.

DBx: This important point is so obvious when stated, yet it is ignored almost completely in discussions of democratic decision-making.

Posted in Uncategorized | Tagged: , | Leave a Comment »

Watch “Thomas Sowell on the Origins of Economic Disparities” on YouTube

Posted by M. C. on May 18, 2019

The best 46 minutes you will spend today.

“You can redistribute wealth but you can’t redistribute the capital it took to create that wealth”

Posted in Uncategorized | Tagged: , | Leave a Comment »

Discrimination and Disparities II – LewRockwell

Posted by M. C. on May 8, 2019

https://www.lewrockwell.com/2019/05/walter-e-williams/discrimination-and-disparities-ii/

By

Last week’s column discussed Dr. Thomas Sowell’s newest book “Discrimination and Disparities,” which is an enlarged and revised edition of an earlier version. In this review, I am going to focus on one of his richest chapters titled “Social Visions and Human Consequences.” Sowell challenges the seemingly invincible fallacy “that group outcomes in human endeavors would tend to be equal, or at least comparable or random, if there were no biased interventions, on the one hand, nor genetic deficiencies, on the other.” But disparate impact statistics carries the day among academicians, lawyers and courts as evidence of discrimination.

Sowell gives the example of blacks, who make up close to 70 percent of NFL and AFL players in professional football. Blacks are greatly overrepresented among star players but almost nonexistent among field goal kickers and punters. Probably the only reason why lawsuits are not brought against team owners is that the same people hire running backs and field goal kickers. One wonders whether anyone has considered the possibility that professional black players do not want to be punters and field goal kickers?…

The ratio of affirmative words to negative words was six to one with parents who had professional occupation.” By contrast, families on welfare used discouraging words more than two to one: words such as “Don’t,” “Stop,” “Quit,” and “Shut up.” Sowell sarcastically asks are we to believe that children raised in such different ways, many years before they reach an employer, a college admissions office or crime scene are the same in capabilities, orientation and limitations?

Social justice warriors ignore many differences that have little or nothing to do with discrimination but have an enormous impact on outcomes. Age is one of those factors. Median age differences between groups, sometimes of a decade or two will have an enormous impact on observed group outcomes. The median age for American Jews is slightly over 50 years old and that of Latinos is 28. Just on median age alone, would one be surprised at significant group income disparity and other differences related to age?

Sowell says that a single inconspicuous difference in circumstance can make a huge historical difference in human outcomes. During the 1840s, Ireland experienced a potato famine. Potatoes were the principle food of the Irish. That famine led to the deaths of a million people and caused 2 million to flee. The same variety of potato that was grown in Ireland was also grown in the U.S. with no crop failure. The source of Ireland’s crop failure has been traced to a fertilizer used on both sides of the Atlantic. The difference was that fertilizer contained a fungus that thrived in the mild and moist climate of Ireland but did not in the hot, dry climate of Idaho and other potato growing areas of the U.S. That one small difference caused massive human tragedy…

Morally neutral factors such as crop failures, birth order, geographic setting, and demographic or cultural differences are among the reasons why economic and social outcomes fail to fit the preconceived notions of “experts.”

The bottom line about Sowell’s new book, “Discrimination and Disparities,” is that it contains a wealth of data and analysis that turns much of the thinking of politicians, academicians, legal experts and judges into pure, unadulterated mush.

Be seeing you

mlk

 

 

 

Posted in Uncategorized | Tagged: , , , , | Leave a Comment »

Thomas Sowell warns U.S. may not resist siren song of socialism: ‘I wouldn’t bet on it’

Posted by M. C. on March 6, 2019

“So many people today, including in the leading universities, don’t pay much attention to evidence,” he said. “When you see people starving in Venezuela and fleeing into neighboring countries and realize that this is a country that once had the world’s largest oil reserves, you realize that they’ve ruined a very good prospect with ideas that sounded good but didn’t turn out well.

https://www.washingtontimes.com/news/2019/mar/5/thomas-sowell-warns-us-may-not-resist-siren-song-o/

Mr. Sowell, a Marxist in his youth, made the remarks Tuesday while appearing with Fox Business Network’s David Asman.

“I do have a great fear that, in the long run, we may not make it,” Mr. Sowell said. “I hate to say that. The one thing that keeps me from being despairing is that we don’t know. There are so many things that we can’t possibly know. And so, we may make it, but I wouldn’t bet on it.”

The author said that time and time again, people adopt willful ignorance regarding socialism’s track record around the world…

Be seeing you

vene social

Is that Sean Penn?

 

 

 

Posted in Uncategorized | Tagged: , , | Leave a Comment »

Raising Taxes — ‘Fair Share’ & the Rich | National Review

Posted by M. C. on October 1, 2017

Taxes are like climate change and war. They are a racket.

http://www.nationalreview.com/article/425829/what-democrats-mean-paying-your-fair-share-thomas-sowell

It is one of the many signs of the mindlessness of our times that all sorts of people declare that “the rich” are not paying their “fair share” in taxes, without telling us concretely what they mean by either “the rich” or “fair share.” Whether in politics or in the media, words are increasingly used, not to convey facts or even allegations of facts, but simply to arouse emotions. Undefined words are a big handicap in logic, but they are a big plus in politics, where the goal is not clarity but victory — and the votes of gullible people count just as much as the votes of people who have common sense.

More

Yah, MORE! That’s what I want, MORE!

Read the rest of this entry »

Posted in Uncategorized | Tagged: , , , , | Leave a Comment »

“The End Of Truth” – Hayek Saw It All Coming Over 70 Years Ago

Posted by M. C. on March 30, 2017

http://www.zerohedge.com/news/2017-03-28/end-truth-hayek-saw-it-all-coming-over-70-years-ago

 “Although the beliefs must be chosen for the people and imposed upon them, they must become their beliefs, a generally accepted creed which makes the individuals as far as possible act spontaneously in the way the planner wants. If the feeling of oppression in totalitarian countries is in general much less acute than most people in liberal countries imagine, this is because the totalitarian governments succeed to a high degree in making people think as they want them to.”[p.171]

Read the rest of this entry »

Posted in Uncategorized | Tagged: , , , , | Leave a Comment »