Thursday, February 25, 2016

With This Genetic Engineering Technology, There’s No Turning Back

[ed. See also: When Extinction is a Humanitarian Cause]

The students in Anthony James’s basement insectary at the University of California, Irvine, knew they’d broken the laws of evolution when they looked at the mosquitoes’ eyes.

By rights, the bugs, born from fathers with fluorescent red eyes and mothers with normal ones, should have come out only about half red. Instead, as they counted them, first a few and then by the hundreds, they found 99 percent had glowing eyes.

More important than the eye color is that James’s mosquitoes also carry genes that stop the malaria parasite from growing. If these insects were ever released in the wild, their “selfish” genetic cargo would spread inexorably through mosquito populations, and potentially stop the transmission of malaria.

The technology, called a “gene drive,” was built using the gene-editing technology known as CRISPR and is being reported by James, a specialist in mosquito biology, and a half dozen colleagues today in the Proceedings of the National Academy of Sciences.

A functioning gene drive in mosquitoes has been anticipated for more than a decade by public health organizations as a revolutionary novel way to fight malaria. Now that it’s a reality, however, the work raises questions over whether the technology is safe enough to ever be released into the wild.

“This is a major advance because it shows that gene drives will likely be effective in mosquitoes,” says Kevin Esvelt, a gene drive researcher at Harvard University’s Wyss Institute. “Technology is no longer the limitation.”

Starting last summer, Esvelt and other scientists began warning that gene drives were about to jump from theory to reality (see “Protect Society from Our Inventions, Says Genome Editing Scientists”) and needed more attention by regulators and the public. The National Academy of Sciences is studying the science and ethics of the technology and plans to release recommendations next year on “responsible conduct” by scientists and companies.

Gene drives are just the latest example of the fantastic power of CRISPR editing to alter the DNA of living things, which has already set off a debate over the possibility that gene editing could be used to generate designer human babies (see “Engineering the Perfect Baby”). But Henry Greely, a law professor and bioethics specialist at Stanford, says environmental uses are more worrisome than a few modified people. “The possibility of remaking the biosphere is enormously significant, and a lot closer to realization,” he says. (...)

The mosquitoes have two important genetic additions. One is genes that manufacture antibodies whenever a female mosquito has a “blood meal.” Those antibodies bind to the parasite’s surface and halt its development. Yet normally, such an engineered mosquito would pass the genes only to exactly half its offspring, since there’s a 50 percent chance any chunk of DNA would come from its mate. And since the new genes probably don’t help a mosquito much, they’d quickly peter out in the wild.

That’s where CRISPR comes in. In a gene drive, components of the CRISPR system are added such that any normal gene gets edited and the genetic cargo is added to it as well. In James’s lab, practically all the mosquitoes ended up with the genetic addition, a result Esvelt calls “astounding.”

What worries Esvelt is that, in his opinion, the California researchers haven’t used strict enough safety measures. He says locked doors and closed cages aren’t enough. He wants them to install a genetic “reversal drive” so the change can be undone, if necessary. “An accidental release would be a disaster with potentially devastating consequences for public trust in science and especially gene-drive interventions,” he says. “No gene-drive intervention must ever be released without popular support.”

James says the experiment was safe since the mosquitoes are kept behind a series of locked, card-entry doors and because they aren’t native to California. If any escaped, they wouldn’t be able to reproduce.

In fact, the whole point of a gene drive is to release it into the wild, a concept that has long been accepted, at least in theory, by public health organizations including the Gates Foundation. Now that they’re actually possible, however, alarming news headlines have compared the technology to “the next weapon of mass destruction” and even raised the specter of insect terrorism, such as mosquitoes that kill people with a toxin.

by Antonio Regalado, MIT Technology Review |  Read more:
Image: Matt Panuska

Let Me Tell You About Smaug


[ed. If Donald Trump had written Lord of the Rings.]

Let me tell you about Smaug. Now, I knew the guy a long time, a good friend, he worked with me on the Laketown deal and told me he learned a lot from watching me. You could say I invented him. By the way, people do tell me that all the time, that I am one of the great teachers. They tell me that on my hit show The Apprentice, they tell me that in life.

But Smaug, if he learned anything, he didn’t learn enough. He turned out to be a terrible investor, a real dummy, just sat on his gold. He literally sat on it! No deals, no moves. I said Smaug, you dummy, you gotta be out there making deals, negotiating, sitting down at the table, incinerating people with fire. You’re not going to make any money sitting there like a big lazy dumb rock! You’ll be small potatoes forever! But he didn’t listen and he stayed in that backwater and he got so lazy, he was such a slow moving target – I mean, come on, an illiterate redneck takes one shot at you and boom, done, gone, dead. At a Trump property, we are always on the move, we are cutting deals, the best deals, and we use gold the way it was meant to be used, on fountains, escalators, walls – all the best, and very classy, people say.

I’m the best at talking to Sauron, I really am. Tough guy, tough negotiator but you really just have to have a man-to-man. Not like the people running Gondor, they’re stupid. I mean, how stupid are they? Now, my tower – and let me tell you, it’s the biggest, classiest tower, great views of the whole ring of stone and the forest and the river – I can get him on the line. Doesn’t answer anybody else, but when I want him, here’s there. I’ll be so good at dealing with him, it’ll make your head spin.

See now Gandalf, that guy is a total failure. Very low in the polls. Can’t win Rohan, can’t win Gondor. Everywhere I go they tell me they are glad to get rid of him. How many towers has he built? He doesn’t even have his own house. Very low energy. His idea of a good hotel, you ever been to the Green Dragon? What a dump. Terrible mattresses. Good beer, you know, I give him that, I don’t drink but they tell me very good beer, but the place attracts a very bad crowd, not classy at all. Awful service. Gandalf is like – dwarves, hobbits, these guys in green smocks and stuff – I mean, I’m very open-minded, the dwarves love me, but this is who you ask to kill a dragon? You bring them in and they fight over gold, we need to make better deals and tell them to go get their own gold. Very bad deals!

by Federalist Staff, The Federalist |  Read more:
Image: uncredited

Wednesday, February 24, 2016

How America Made Donald Trump Unstoppable

The first thing you notice at Donald Trump's rallies is the confidence. Amateur psychologists have wishfully diagnosed him from afar as insecure, but in person the notion seems absurd.

Donald Trump, insecure? We should all have such problems.

At the Verizon Giganto-Center in Manchester the night before the New Hampshire primary, Trump bounds onstage to raucous applause and the booming riffs of the Lennon-McCartney anthem "Revolution." The song is, hilariously, a cautionary tale about the perils of false prophets peddling mindless revolts, but Trump floats in on its grooves like it means the opposite. When you win as much as he does, who the hell cares what anything means?

He steps to the lectern and does his Mussolini routine, which he's perfected over the past months. It's a nodding wave, a grin, a half-sneer, and a little U.S. Open-style applause back in the direction of the audience, his face the whole time a mask of pure self-satisfaction.

"This is unbelievable, unbelievable!" he says, staring out at a crowd of about 4,000 whooping New Englanders with snow hats, fleece and beer guts. There's a snowstorm outside and cars are flying off the road, but it's a packed house.

He flashes a thumbs-up. "So everybody's talking about the cover of Time magazine last week. They have a picture of me from behind, I was extremely careful with my hair ... "

He strokes his famous flying fuzz-mane. It looks gorgeous, like it's been recently fed. The crowd goes wild. Whoooo! Trump!

It's pure camp, a variety show. He singles out a Trump impersonator in the crowd, tells him he hopes the guy is making a lot of money. "Melania, would you marry that guy?" he says. The future first lady is a Slovenian model who, apart from Trump, was most famous for a TV ad in which she engaged in a Frankenstein-style body transfer with the Aflac duck, voiced by Gilbert Gottfried.

She had one line in that ad. Tonight, it's two lines:

"Ve love you, New Hampshire," she says, in a thick vampire accent. "Ve, together, ve vill make America great again!"

As reactionary patriotic theater goes, this scene is bizarre – Melania Knauss didn't even arrive in America until 1996, when she was all of 26 – but the crowd goes nuts anyway. Everything Trump does works these days. He steps to the mic.

"She's beautiful, but she's more beautiful even on the inside," he says, raising a finger to the heavens. "And, boy, is she smart!"

Before the speech, the PA announcer had told us not to "touch or harm" any protesters, but to instead just surround them and chant, "Trump! Trump! Trump!" until security can arrive (and presumably do the touching and/or harming).

I'd seen this ritual several times, and the crowd always loves it. At one event, a dead ringer for John Oliver ripped off his shirt in the middle of a Trump speech to reveal body paint that read "Eminent Domain This!" on his thorax. The man shouted, "Trump is a racist!" and was immediately set upon by Trump supporters, who yelled "Trump! Trump! Trump!" at him until security arrived and dragged him out the door to cheers. The whole Trump run is like a Jerry Springer episode, where even the losers seem in on the gags.

In Manchester, a protester barely even manages to say a word before disappearing under a blanket of angry boos: "Trump! Trump! Trump!" It's a scene straight out of Freaks. In a Trump presidency, there will be free tar and feathers provided at the executive's every public address.

It's a few minutes after that when a woman in the crowd shouts that Ted Cruz is a pussy. She will later tell a journalist she supports Trump because his balls are the size of "watermelons," while his opponents' balls are more like "grapes" or "raisins."

Trump's balls are unaware of this, but he instinctively likes her comment and decides to go into headline-making mode. "I never expect to hear that from you again!" he says, grinning. "She said he's a pussy. That's terrible." Then, theatrically, he turns his back to the crowd. As the 500 or so reporters in attendance scramble to instantly make this the most important piece of news in the world – in less than a year Trump has succeeded in turning the USA into a massive high school – the candidate beams.

What's he got to be insecure about? The American electoral system is opening before him like a flower.

by Matt Taibbi, Rolling Stone |  Read more:
Image: Mark Peterson/Redux

Justin Timberlake ft. Jay Z


Robert Steven Connett
via:

Edible Marijuana Goes Gourmet

20-Minute Cannabis Olive Oil

Adapted from The Cannabis Kitchen Cookbook by Robyn Griggs Lawrence/chef Chris Kilham

Makes about 1⁄4 cup THC per cup: 283.5 milligrams*

Ingredients
1⁄4 ounce cured cannabis flowers, finely ground
1⁄4 cup organic extra-virgin olive oil
coffee grinder
fine mesh strainer
cheesecloth

Method
Place cannabis into a coffee grinder and grind until powdered. The cannabis will stick to the inside of the grinder, so scrape it out thoroughly. (Be careful about licking the spoon; that’s potent goo.) Place oil into a 6-inch diameter shallow frying pan or saucepan. Using a wooden spoon, continuously stir cannabis into the oil over a very low simmer for 10–20 minutes. Remove from heat and let cool.

Line a fine mesh strainer with cheesecloth and place it over a bowl, wide-mouth jar, or measuring cup. Twist cannabis with cheesecloth, squeezing out every last drop of oil. Compost cannabis solids. Use oil immediately or transfer oil to a clean, clear or dark bottle or jar with a lid or cork. Label with the type of oil and date. Store in a cool, dry place for up to a year.

*Disclaimer: THC calculations for these recipes were made based on the assumption of 10 percent THC in the plant. That’s used as a standard, but your chances of growing or buying cannabis with 10 percent THC are extremely low. These calculations are for comparison purposes only. The potency of the material you use is the most important indicator as to how a recipe will affect you.

by Jennifer Kaplan, Bloomberg |  Read more:
Image: Cannabis oil, Povy Kendal Atchison

The Madness of Airline Élite Status

When you fly a lot for work, as I do, you check your frequent-flier mile balance often, to provide data for competitive commiseration. “Eighteen flights this year already, fourteen hotel nights in eleven different hotels,” a friend e-mailed me, in victory, earlier this month. You also compulsively track your frequent-flier “status” levels, to mark your progress toward becoming a trusty in the prison of weekly air travel. And so, last month, when my United Airlines app told me that my status—as a customer, as a flier, as a man—had changed, I did a delighted double take. United had made me a member of Global Services, its apotheosis of a frequent flier. But even as I tried to remember the advertised perks (free tickets? free back rubs?), I was beginning to sense some symptoms.

My status was good only for 2016, which meant that I would be relegated to a lower level if I didn’t keep up the pace of ticket purchases. So, not twenty minutes after achieving my new status, I found myself calling the Global Services help desk and asking how much it would cost to change a frequent-flier award ticket to a bought one. (Global Services veterans had warned me never to lose the chance to “earn” miles, and instead to use frequent-flier points for other people’s flights.) I then asked my wife for permission to spend five hundred and sixty dollars for a flight that I already had a free ticket for. She told me I was insane. But I wasn’t insane. I knew others similarly afflicted. I had Global Services Maintenance Anxiety Disorder.

GS-MAD afflicts only a small sliver of the frequent-flying élite. As a precondition, you have to be extremely loyal to United, either because you have a soft spot for incessantly played “Rhapsody in Blue” (and I like a Gershwin tune, how about you?) or, more probably, because the airline has a hub near your home. You also have to fly a lot. Global Services is a level above another status tier, Premier 1K, that requires you to fly an annual cumulative distance equal, more or less, to four times the circumference of the earth. With Premier 1K and the Platinum, Gold, and Silver MileagePlus status levels, you can track your progress with each flight. It’s a logical system of inputs and outputs, like dieting, except instead of being rewarded for skipping a fudge nut sundae, you’re credited for flying to Peru. But the diabolical marketing genius of Global Services is that, as St. Paul said of grace, it cannot be earned by works. It is a gift. And God, in this case, is an algorithm of United Airlines.

Absent posted guidelines, road-warrior message boards are filled with speculation about why certain travellers receive Global Services. Is it a measure of dollars spent? Segments flown? Behavior? Maybe United is watching us all, and you weren’t elevated because someone noticed you wiping Doritos dust off your fingers on the armrest in 17C. Maybe United is reading this essay. Maybe by writing this I am committing an unpardonable sin, akin to a Scientologist mafia underboss penning a memoir. Or maybe United will be pleased by the publicity and invite me to an even more secretive status level—Solar System Services, here I come.

by Gary Sernovitz, New Yorker |  Read more:
Image: Kent Nishimura, Denver Post via Getty

The Next Justice? It’s Not Up to Us

[ed. See also: Senate Republicans Lose Their Minds on a Supreme Court Seat]

No sooner was Antonin Scalia dead than Republicans said that his seat should not be filled before the election of a new president. Senator Mitch McConnell said this will let the American people “have a voice” in who the new justice will be. Senator Kelly Ayotte said “Americans deserve an opportunity to weigh in” on the matter. And Senator Ted Cruz, the presidential candidate, Senate Judiciary Committee member, and self-styled guardian of the Constitution, wrote on Twitter, “We owe it to him, [Scalia] & the Nation, for the Senate to ensure that the next President names his replacement.” That is, we owe it to the archetypal originalist, where the Constitution is concerned, to ignore and defy the original Constitution.

One thing the framers of the Constitution set out to prevent was a popular say in who should be a Supreme Court justice. The aim of the document was to ensure there would be an independent judiciary—independent of Congress (by ensuring justices’ salaries), independent of changing administrations (by granting them life tenure), and not subject to popular election. This ideal could not be perfectly reached, and changes in the Constitution have made it even harder to attain. But those who profess an absolute devotion to the Constitution should at least pay it some lip service.

If the framers wanted to let the people “have a say” and “weigh in,” they would have made the appointment or confirmation of the justices come from the one directly democratic part of the system—the popularly-elected and short-termed members of the House of Representatives, a body that was designed to read the pulse of the people in a direct and frequent way. Instead, they gave the choice of justices a double baffle of insulation from the public. The president alone has the appointment power—and remember that the president was originally not elected directly by the people but indirectly through electors. Then a second filter was provided by confirmation in the Senate—and the Senate was originally not directly elected but indirectly by state legislatures. The Senate was meant to be a more stable body than the House, its members serving terms that are three times as long and only a third of them up for reelection at a time—not the whole body, as in the House. The Senate was meant to assure other nations that treaties (confirmed by the Senate) and other commitments would be honored for more than a day.

Of course, Senators became popularly elected in 1913, by the Seventeenth Amendment. But originalists should at least remember that senators were given their confirmation power because they were not subject to continuing popular approval. An extra fillip of irony is provided now, since some of the conservatives who want to let the people “have a say” in who becomes a justice—including Ted Cruz!—have recently called for revocation of the Seventeenth Amendment, so the people would not have a say in who becomes a senator.

by Garry Wills, NY Review of Books |  Read more:
Image: Honoré Daumier

Tuesday, February 23, 2016

The Echo-Friendly

How a Pink Flower Defeated the World’s Sole Superpower

In October 2001, the U.S. launched its invasion of Afghanistan largely through proxy Afghan fighters with the help of Special Operations forces, American air power, and CIA dollars. The results were swift and stunning. The Taliban was whipped, a new government headed by Hamid Karzai soon installed in Kabul, and the country declared “liberated.”

More than 14 years later, how’d it go? What’s “liberated” Afghanistan like and, if you were making a list, what would be the accomplishments of Washington all these years later? Hmm... at this very moment, according to the latest reports, the Taliban control more territory than at any moment since December 2001. Meanwhile, the Afghan security forces that the U.S. built up and funded to the tune of more than $65 billion are experiencing “unsustainable” casualties, their ranks evidently filledwith “ghost” soldiers and policemen -- up to 40% in some places -- whose salaries, often paid by the U.S., are being pocketed by their commanders and other officials. In 2015, according to the U.N., Afghan civilian casualties were, for the seventh year in a row, at record levels. Add to all this the fact that American soldiers, their “combat mission” officially concluded in 2014, are now being sent by the hundreds back into the fray (along with the U.S. Air Force) to support hard-pressed Afghan troops in a situation which seems to be fast “deteriorating.”

Oh, and economically speaking, how did the “reconstruction” of the country work out, given that Washington pumped more money (in real dollars) into Afghanistan in these years than it did into the rebuilding of Western Europe after World War II? Leaving aside the pit of official corruption into which many of those dollars disappeared, the country is today hemorrhaging desperate young people who can’t find jobs or make a living and now constitute what may be the second largestcontingent of refugees heading for Europe.

As for that list of Washington’s accomplishments, it might be accurate to say that only one thing was “liberated” in Afghanistan over the last 14-plus years and that was, as TomDispatch regular Alfred McCoy points out today, the opium poppy. It might also be said that, with the opium trade now fully embedded in both the operations of the Afghan government and of the Taliban, Washington’s single and singular accomplishment in all its years there has been to oversee the country’s transformation into the planet’s number one narco-state. McCoy, who began his career in the Vietnam War era by writing The Politics of Heroin, a now-classic book on the CIA and the heroin trade (that the Agency tried to suppress) and who has written on the subject of drugs and Afghanistan before for this site, now offers a truly monumental look at opium and the U.S. from the moment this country’s first Afghan War began in 1979 to late last night.


How a Pink Flower Defeated the World’s Sole Superpower
America’s Opium War in Afghanistan
By Alfred W. McCoy

After fighting the longest war in its history, the United States stands at the brink of defeat in Afghanistan. How can this be possible? How could the world’s sole superpower have battled continuously for 15 years, deploying 100,000 of its finest troops, sacrificing the lives of 2,200 of those soldiers, spending more than a trillion dollars on its military operations, lavishing a record hundred billion more on “nation-building” and “reconstruction,” helping raise, fund, equip, and train an army of 350,000 Afghan allies, and still not be able to pacify one of the world’s most impoverished nations? So dismal is the prospect for stability in Afghanistan in 2016 that the Obama White House has recently cancelled a planned further withdrawal of its forces and will leave an estimated 10,000 troops in the country indefinitely.

Were you to cut through the Gordian knot of complexity that is the Afghan War, you would find that in the American failure there lies the greatest policy paradox of the century: Washington’s massive military juggernaut has been stopped dead in its steel tracks by a pink flower, the opium poppy.

by Alfred W. McCoy, TomDispatch |  Read more:
Image: Wikipedia

Happy All the Time

As biometric tracking takes over the modern workplace, the old game of labor surveillance is finding new forms.

Housed in a triumph of architectural transparency in Cambridge, Massachusetts, is the Media Lab complex at MIT, a global hub of human-machine research. From the outside of its newest construction, you can see clear through the building. Inside are open workspaces, glittering glass walls, and screens, all encouragement for researchers to peek in on one another. Everybody always gets to observe everybody else.

Here, computational social scientist Alex Pentland, known in the tech world as the godfather of wearables, directs a team that has created technology applied in Google Glass, smart watches, and other electronic or computerized devices you can wear or strap to your person. In Pentland’s quest to reshape society by tracking human behavior with software algorithms, he has discovered you don’t need to look through a glass window to find out what a person is up to. A wearable device can trace subliminal signals in a person’s tone of voice, body language, and interactions. From a distance, you can monitor not only movements and habits; you can begin to surmise thoughts and motivations.

In the mid-2000s Pentland invented the sociometric badge, which looks like an ID card and tracks and analyzes the wearer’s interactions, behavior patterns, and productivity. It became immediately clear that the technology would appeal to those interested in a more hierarchical kind of oversight than that enjoyed by the gurus of MIT’s high-tech playgrounds. In 2010 Pentland cofounded Humanyze, a company that offers employers the chance to find out how employee behavior affects their business. It works like this: A badge hanging from your neck embedded with microphones, accelerometers, infrared sensors, and a Bluetooth connection collects data every sixteen milliseconds, tracking such matters as how far you lean back in your chair, how often you participate in meetings, and what kind of conversationalist you are. Each day, four gigabytes’ worth of information about your office behavior is compiled and analyzed by Humanyze. This data, which then is delivered to your supervisor, reveals patterns that supposedly correlate with employee productivity.

Humanyze CEO Ben Waber, a former student of Pentland’s, has claimed to take his cues from the world of sports, where “smart clothes” are used to measure the mechanics of a pitcher’s throw or the launch of a skater’s leap. He is determined to usher in a new era of “Moneyball for business,” a nod to baseball executive Billy Beane, whose data-driven approach gave his team, the Oakland Athletics, a competitive edge. With fine-grained biological data points, Waber promises to show how top office performers behave—what happy, productive workers do.

Bank of America hired Humanyze to use sociometric badges to study activity at the bank’s call centers, which employ more than ten thousand souls in the United States alone. By scrutinizing how workers communicated with one another during breaks, analysts came to the conclusion that allowing people to break together, rather than in shifts, reduced stress. This was indicated by voice patterns picked up by the badge, processed by the technology, and reported on an analyst’s screen. Employees grew happier. Turnover decreased.

The executives at Humanyze emphasize that minute behavior monitoring keeps people content. So far, the company has focused on loaning the badges to clients for limited study periods, but as Humanyze scales up, corporate customers may soon be able to use their own in-house analysts and deploy the badges around the clock.

Workers of the world can be happy all the time.

The optimists’ claim: technologies that monitor every possible dimension of biological activity can create faster, safer, and more efficient workplaces, full of employees whose behavior can be altered in accordance with company goals.

Widespread implementation is already underway. Tesco employees stock shelves with greater speed when they wear armbands that register their rate of activity. Military squad leaders are able to drill soldiers toward peak performance with the use of skin patches that measure vital signs. On Wall Street, experiments are ongoing to monitor the hormones of stock traders, the better to encourage profitable trades. According to cloud-computing company Rackspace, which conducted a survey in 2013 of four thousand people in the United States and United Kingdom, 6 percent of businesses provide wearable devices for workers. A third of the respondents expressed readiness to wear such devices, which are most commonly wrist- or head-mounted, if requested to do so.

Biological scrutiny is destined to expand far beyond on-the-job performance. Workers of the future may look forward to pre-employment genetic testing, allowing a business to sort potential employees based on disposition toward anything from post-traumatic stress disorder to altitude sickness. Wellness programs will give employers reams of information on exercise habits, tobacco use, cholesterol levels, blood pressure, and body mass index. Even the monitoring of brain signals may become an office commonplace: at IBM, researchers bankrolled by the military are working on functional magnetic-resonance imaging, or fMRI, a technology that can render certain brain activities into composite images, turning thoughts into fuzzy external pictures. Such technology is already being used in business to divine customer preferences and detect lies. In 2006 a San Diego start-up called No Lie MRI expressed plans to begin marketing the brain-scanning technology to employers, highlighting its usefulness for employee screening. And in Japan, researchers at ATR Computational Neuro­science Laboratories have a dream-reading device in the pipeline that they claim can predict what a person visualizes during sleep. Ryan Hurd, who serves on the board of the International Association for the Study of Dreams, says such conditioning could be used to enhance performance. While unconscious, athletes could continue to practice; creative types could boost their imaginations.

The masterminds at Humanyze have grasped a fundamental truth about surveillance: a person watched is a person transformed. The man who invented the panopticon—a circular building with a central inspection tower that has a view of everything around it—gleaned this, too. But contrary to most discussions of the “all-seeing place,” the idea was conceived not for the prison, but for the factory.

by Lynn Stuart Parramore, Lapham's Quarterly |  Read more:
Image: Edgar Degas

Yohji Yamamoto Fall 2016
via:

The Seven Habits of Highly Depolarizing People

I didn’t vote for him but he’s my President, and I hope he does a good job.
John Wayne (b. 1907) on the election of John F. Kennedy in 1960


I hope he fails.
Rush Limbaugh (b. 1951) on the election of Barack Obama in 2008


In recent decades, we Americans have become highly practiced in the skills and mental habits of demonizing our political opponents. All our instruments agree that we currently do political polarization very well, and researchers tell us that we’re getting better at it all the time.

For example, Stanford Professor Shanto Iyengar and his colleagues recently found that, when it comes both to trusting other people with your money and evaluating the scholarship applications of high school seniors, Americans today are less friendly to people in the other political party than we are to people of a different race. The researchers conclude that “Americans increasingly dislike people and groups on the other side of the political divide and face no social repercussions for the open expression of these attitudes.” As a result, today “the level of partisan animus in the American public exceeds racial animus.”1 That’s saying something!

But if polarization is all around us, familiar as an old coat, what about its opposite? What would depolarization look and sound like? Would we know it if we saw it, in others or in ourselves? Perhaps most importantly, what are the mental habits that encourage it?

We’re confronted with an irony here. We Americans didn’t necessarily think our way into political polarization, but we’ll likely have to think our way out. A number of big structural and social trends—including the end of the Cold War, the rising importance of cultural issues in our politics, growing secularization, greater racial and ethnic diversity, the shift from the Greatest Generation to Baby Boomers as the nation’s dominant elites, the break-up of the old media system, the increasing ideological coherence of both of our two main political parties, among others—appear to have helped produce our current predicament.

Yet over time, the intellectual habits encouraged by these underlying shifts developed a life and autonomy of their own. They became “baked in,” ultimately forming a new popular wisdom regarding how we judge what is true and decide what is right in public life. The intellectual habits of polarization include binary (Manichaean) thinking, absolutizing one’s preferred values, viewing uncertainty as a weakness, privileging deductive thinking, assuming that one’s opponents are motivated by bad faith, and hesitating to agree on basic facts and the meaning of evidence.

What are the antidotes to these familiar habits? We can recognize the mindset of the polarizer, but how does the depolarizer understand conflict and try to make sense of the world? Here is an attempt to answer these questions, by way of proposing the seven habits of highly depolarizing people.

by David Blankenhorn, American Interest |  Read more:
Image: Shutterstock

Monday, February 22, 2016

A New Breed of Trader on Wall Street: Coders With a Ph.D.

[ed. This hardly seems like news these days what with HFT (high frequency trading) and other technological distortions in the market, but whatever. As always, buyer beware. See also: Good times for Exchange-Traded Funds.]

The mood in the markets may be getting grimmer, but in the booming world of exchange-traded funds, people just want to party.

And so it was last month at the $2.8 trillion industry’s annual jamboree in South Florida, where 2,200 investment advisers and fund salesmen came together for three days of hard drinking and product pitching. Against a backdrop of New Orleans jazz bands and poolside schmooze-fests — some call it spring break for the E.T.F. crowd — one event stood out, though.

It was an invitation-only party (crabs, cocktails and a D.J. on a moonlit dock) thrown by Jane Street, a secretive E.T.F. trading firm that, after years of minting money in the shadows of Wall Street, is now pitching itself to some of the largest institutional investors in the world.

And the message was clear: Jane Street, which barely existed 15 years ago and now trades more than $1 trillion a year, was ready to take on the big boys.

Much of what Jane Street, which occupies two floors of an office building at the southern tip of Manhattan, does is not known. That is by design, as the firm deploys specialized trading strategies to capture arbitrage profits by buying and selling (using its own capital) large amounts of E.T.F. shares.

It’s a risky business.

As the popularity of E.T.F.s has soared — exchange-traded funds now account for a third of all publicly traded equities — the spreads, or margins, have narrowed substantially, making it harder to profit from the difference.

And in many cases, some of the most popular E.T.F.s track hard-to-trade securities like junk bonds, emerging-market stocks and a variety of derivative products, adding an extra layer of risk.

These dangers were brought home last August, when markets were rattled by China’s decision to devalue its currency; some of the largest E.T.F.s sank by 50 percent or more.

While traders at large investment banks watched their screens in horror, at Jane Street, a bunch of Harvard Ph.D.s wearing flip-flops, shorts and hoodies, swung into action with a wave of buy orders. By the end of the day, the E.T.F. shares had retraced their sharp falls.

“It’s remarkable what they can do,” said Blair Hull, a founder of an electronic trading firm who relies on Jane Street to make a market for his recently started E.T.F. “If you look at who provides this kind of liquidity these days, it’s fewer and fewer firms.”

It is not only Jane Street, of course. Cantor Fitzgerald, the Knight Capital Group and the Susquehanna International Group have all capitalized on the E.T.F. explosion. And as these firms have grown, so has the demand for a new breed of Wall Street trader — one who can build financial models and write computer code but who also has the guts to spot a market anomaly and bet big with the firm’s capital.

In a word, these are not your suit-and-tie bond and stock traders of yore, riding the commuter train into Manhattan. They are, instead, the pick of the global brain crop.

by Landon Thomas, Jr. |  Read more:
Image: Cole Wilson

[ed. Decisions decisions...]
via: