JOSEPH HEATH ~ FILTHY LUCRE ~ 2009

~T-S&F-O-TWS-HFB-TLATR-TWVBP-TRACCOTITAOTSTA-TLHBFTGUO-C-W-TRHBFTGUO-L ~ The – Successes And Failures – Of – The Welfare State – Have Forced Both – The Left And The Right – To Swallow Very Bitter Pills – To Renounce A Core Component Of The Ideologies That At One Time Set Them Apart – The Left Has Been Forced To Give Up On – Communism – While – The Right Has Been Forced To Give Up On – Libertarianism

~ C:TSSDE-L:TSSDN-BIANTD ~ Communism: The State Should Do Everything – Libertarianism: The State Should Do Nothing – Both Ideas Are Now Thoroughly Discredited

~ TCO-C-I-OC-SBK-BIMFBT-B-TCO-L-ITTCWJAC ~ The Collapse Of – Communism – Is – Of Course – Somewhat Better Known – Because It Made For Better Television – But – The Collapse Of – Libertarianism – In The Twentieth Century Was Just As Complete

~ AWBO-II-JDAUTO-GI ~ A Whole Bunch Of – Individual Interest – Just Don’t Add Up To One – Group Interest

~ DHTSO-PONT-‘VH’-OGTSI-IOTGETAIAWTAPTCO ~ Despite Having The Same Objectives – People Often Need The – “Visible Hand” – Of Government To Step In – In Order To Get Everyone To Act In A Way That Actually Promotes Their Common Objectives

~ SWNTHA-S-YCGAMEOOS-IA-WIR-AWS-ICP-IAHEA-T-PPP-ETVOE-A-TEF-TEA-MRN-ISCSBATTHB ~ So We Need To Have A – State – You Can’t Get A Market Economy Out Of Self-Interest Alone – What Is Required – And What Self-Interest Cannot Provide – Is An Honest Enforcement Agency – To – Protect Private Property – Ensure The Voluntariness Of Exchange – And – To Enforce Contracts – This Enforcement Agency – Must Remain Neutral – Its Services Cannot Simply Be Available To The Highest Bidder

~ IYLATLOSPBTGTETSFOTCE-OJTMLEFI-TRIPI ~ If You Look At The List Of Services Provided By The Government To Ensure The Smooth Functioning Of The Capitalist Economy – Or Just To Make Life Easier For Investors – The Range Is Pretty Impressive

~ TITBSBATRCTTGETTGROIRN-AAR-TSSESEPTIOCT-SPFC ~ The Idea That Businesspeople Should Be Able To Run Crying To The Government Every Time They Get Ripped Off Is Relatively New – As A Result – The State Spends Enormous Sums Essentially Protecting The Integrity Of Commercial Transactions – Social Programs For Capitalists

~ TCT-‘LG-A-‘LF’C-TOTBNSM-APDOIL-A-AAPOTIOTWMTI’LG’-TBACT ‘KTPTBTW-SEE’-ATSDQAAPP ~ The Commitment To – “Limited Government” – And – “Laissez-Faire” Capitalism – Turns Out To Be Not So Much – A Principled Defense Of Individual Liberty – As – An Arbitrary Privileging Of The Interests Of Those With Money To Invest – “Less Government” – Therefore Becomes A Call To – “Keep Those Programs That Benefit The Wealthy – Scrap Everything Else”

~ IM-EWTD ~ Incentives Matter – Except When They Don’t

~ EAFFBTAHAI-MBS-I-TSTDRBT-WTDBITAHAI-U-AAR-TWUIFSAOHPMD ~ Economists Are Famous For Believing That All Human Action Is – Motivated By Self-Interest – Technically Speaking They Don’t Really Believe This – What They Do Believe Is That All Human Action Is – Unprincipled – As A Result – They Wind Up Ignoring Fairly Significant Aspects Of How People Make Decisions

~ SS-WTMSAC-‘S’-WTWTIAASCT-‘E’ ~ Social Scientists – Who Take Morality Seriously Are Called – “Sociologists” – Whereas Those Who Think It’s All A Scam Call Themselves – “Economists”

~ TFIT-PACNOWTCOTA-BAWTPTGT ~ The Fact Is That – People Are Concerned Not Only With The Consequences Of Their Actions – But Also With The Principles That Govern Them

~ PANATWESTS ~ People Almost Never Act The Way Economist Say They Should

~ TFITKOTTEHTTSIPB-OD-A-TKOTTEHTTSIPB-OD ~ The Fact Is The Kinds Of Things That Economists Have Traditionally Thought Should Influence People’s Behavior – Often Don’t – And – The Kinds Of Things That Economist Have Traditionally Thought Shouldn’t Influence People’s Behavior – Often Do

~ EIB-PHATTOTIOEIIMHC ~ Extrinsic Incentive Bias – People Have A Tendency To Overestimate The Importance Of External Incentives In Motivating Human Conduct

~ IANTOTTM-IAOIC ~ Incentives Are Not The Only Things That Matter – Incentives Are Often Incredibly Complex

~ YPPIM-CP-ATCOT-‘LOE’-BU-WOIAHEAAB ~ Yet People Persist In Making – Confident Predictions – About The Consequences Of The – “Laws Of Economics” – Based Upon – Wildly Oversimplified Ideas About How Economic Actors Actually Behave

~ THBASMT-S-C-BE-WTP-TA-ATNS-PALMAT-HPAB ~ There Has Been A Significant Move Toward – So-Called – Behavioral Economics – Within The Profession – This Approach – As The Name Suggests – Pays A Lot More Attention To – How People Actually Behave

~ TAASO-‘IH’-AWITITGODL-MOWHNTDWTM ~ There Are All Sorts Of – “Invisible Hands” – At Work In The Institutions That Govern Our Daily Lives – Many Of Which Have Nothing To Do With The Marketplace

~ TS-IF-PETSAOWA-TM-WITS-IP-NAA-P-PW-A-PCW ~ The State – In Fact – Produces Exactly The Same Amount Of Wealth As – The Market – Which Is To Say – It Produces – None At All – People – Produce Wealth – And – People – Consume Wealth

~ I-SA-TS-O-TM-NPNCA-TSCMTWPCTPACOW ~ Institutions – Such As – The State – Or – The Market – Neither Produce Nor Consume Anything – They Simply Constitute Mechanisms Through Which People Coordinate Their Production And Consumption Of Wealth

~ ALOEIERAFTTTTEIATTWP ~ A Lot Of Errors In Economic Reasoning Arise From The Tendency To Treat Economic Institutions As Though They Were People

~ PWAF-TSOPOPPOTGO-C-OOTAOCTAEI-PM-WUTAOCTEI-TPS ~ People Who Argue For – The Superiority Of Private Over Public Provision On The Grounds Of – Choice – Often Overstate The Amount Of Choice That Actually Exists In – Private Markets – While Understating The Amount Of Choice That Exists In – The Public Sector

~ MOTSMAIATWTTOA – ‘S’ – HALMTDW-RP-TW-E-O-DJ-AICWTMSIGPIR-IIUBTATPIW-WEG-NW-LROI ~ Many Of The Social Movements And Institutional Arrangements That We Traditionally Think Of As – “Socialist” – Have A Lot More To Do With – Risk-Pooling – Than With – Equality – Or – Distributive Justice – And In Cases Where These Movements Succeed In Generating Permanent Institutional Reform – It Is Usually Because The Arrangements They Promote Involve Win-Win Efficiency Gains – Not Win-Lose Redistributions Of Income

~ FWPHNTRI ~ Fiddling With Prices Has Nothing To Recommend It

~ C-DHALTTILTIT-B-TSD-P ~ Corporations – Do Have A Lamentable Tendency To Ignore Laws That Inconvenience Them – But – Then So Do – People

~ WMSTSIV-RTJIV-ICHTEOSUTEE ~ When Money Starts To Seem Intrinsically Valuable – Rather Than Just Instrumentally Valuable – It Can Have The Effect Of Seizing Up The Entire Economy

~ PDI-OOTMISPFC-EETPOROOCB ~ Public Deposit Insurance – One Of The Most Important Social Programs For Capitalists – Essentially Eliminated The Problem Of Runs On Ordinary Commercial Banks

~ TR-IN-C-IIS ~ Tax Revenue – Is Not – Consumed – It Is Spent

~ TQI-H-TM-ITB-M-HIAHTSITB-A-HTBABOCATBD ~ The Question Is – How – The Market – Is To Be – Managed – How Inclusive And Humane The System Is To Be – And – How The Benefits And Burdens Of Cooperation Are To Be Distributed

~ U-PNTWT-AWIAOOTMISOICAD ~ Ultimately – People Need To Work Together – And Wage Inequalities Are One Of The Most Important Sources Of Internal Conflict And Dissension

~ FAETOTGITFOE-BPFTA-C-WITFTEDUEE ~ Fallacies Are Especially Thick On The Ground In The Field Of Economics – Because People Fail To Appreciate – Complexity – We Ignore The Fact That Everything Depends Upon Everything Else

~ MBR-PA ~ Mutually Beneficial Risk-Pooling Arrangements

JOSEPH HEATH ~ WHO SHALL WE SAY IS RESPONSIBLE? ~ FILTHY LUCRE ~ 2009

~ T-C-W-BAHTS/HCNA? ~ The – Consumer – Who – Bought A House That She/He Could Never Afford?

~ TB-W-L-TM? ~ The – Bank – Who – Lent – The Money?

~ T-I-W-WTATLIWMTBTLI? ~ The – Investor – Whose – Willingness To Assume The Loan Is What Motivated The Bank To Lend It?

~ T-IC-W-WTUTCRIWMTITATL? ~ The – Insurance Company – Whose – Willingness To Underwrite The Credit Risk Is What Motivated The Investor To Assume The Loan?

~ T-G-WDBT-MTICSASMTCSP? ~ The – Government – Which Didn’t Bother To – Make These Insurance Companies Set Aside Some Money To Cover Such Policies?

~ TYP-TPIT-EDSW ~ Take Your Pick – The Point Is That – Everyone Did Something Wrong

~ T-S-T-LICU-TS-IOT-ETMH ~ The – Solution – Therefore – Lies In Cleaning Up – The System – In Order To – Eliminate The Moral Hazards

JOSEPH HEATH ~ FOUR BIG IDEAS ~ FILTHY LUCRE ~ 2009

~ TA-FBI-YNTKIM-WYTA-‘S’:PAS/TIOE/EDUEE/CTHTAU ~ There Are – Four Big Ideas – You Need To Keep In Mind – Whenever You Think About – “Society”: People Aren’t Stupid / The Importance Of Equilibrium / Everything Depends Upon Everything Else / Certain Things Have To Add Up

~ PAS-YNTRTEEIPASAW-TMNBDAGJOI-B-TADI-A-IOFYPASTWO-YGTHTTTIC-ECT-TSDOSA ~ People Aren’t Stupid – You Need To Remember That Everyone Else Is Planning And Scheming As Well – They May Not Be Doing A Great Job Of It – But – They Are Doing It – And – In Order For Your Plans And Schemes To Work Out – You’re Going To Have To Take Theirs Into Consideration – Economists Call This – The Strategic Dimension Of Social Action

~ TIOE-UAAOTHNTTC-BPATBIRTCITE-YCPWTGTDJBLAWTACD-YHTFOHTGTRTTC-AWTRIGTCFC-ASO ~ The Importance Of Equilibrium ~ Understood As An Outcome That Has No Tendency To Change – Because People Adjust Their Behavior In Response To Changes In Their Environment – You Can’t Predict What They’re Going To Do Just By Looking At What They Are Currently Doing – You Have To Figure Out How They’re Going To Respond To The Change – And Whether This Response Is Going To Cause Further Changes – And So On

~ EDUEE-BTATALOQRDDUTATALOOQ-WSHAWWTCIE-WHTMSTWTTBFE ~ Everything Depends Upon Everything Else – Because The Answers To A Lot Of Questions Really Do Depend Upon The Answers To A Lot Of Other Questions – Whenever Something Happens And We Want To Consider Its Effects – We Have To Make Sure That We’re Tracing Them Back Far Enough

~ CTHTAU-ETSSS-SEMBS-BTOWTSSITSITSE ~ Certain Things Have To Add Up – Every Time Someone Sells Something – Someone Else Must Buy Something – Because The Only Way To Sell Something Is To Sell It To Someone Else

NICHOLAS DUNBAR ~ THE DEVIL’S DERIVATIVES ~ 2011

~ RTDIA ~ Ready To Do It Again

~ TBAHFMCTB ~ The Bankers And Hedge Fund Managers Celebrating Their Bonuses

~ TBTMBS ~ The Bets That Made Banking Sexy

~ IWCA-CDS-RTBLT-CM-IR-S-O-C-TDWLT-UFD:TDOLOB-IWABLBIPOSEL-TCOPFRNHAQPTCBTED ~ It Was Called A – Credit Default Swap – Rather Than Being Linked To – Currency Markets – Interest Rates – Stocks – Or – Commodities – These Derivatives Were Linked To – Unmitigated Financial Disaster: The Default Of Loans Or Bonds – It Was A Bit Like Buying Insurance Policy On Someone Else’s Life – The Cost Of Protection From Risk Now Had A Quantifiable Price That Could Be Traded Every Day

~ T-S-S-D-O-H-T-LB ~ The – Sad – Strange – Death – Of – Hate-To-Lose Banking

~ TFAOR ~ The False Apostles Of Rationality

~ BRTMTT ~ Bending Reality To Match The Textbook

~ AD-SHIYL ~ A Derivatives-Shaped Hole In Your Life

~ A-FL-W-PF ~ A – Free Lunch – With – Processed Food

~ TDAEMP ~ The Debt And Equity Morality Play

~ BATG ~ Barbarians Among The Gatekeepers

~ STU ~ Selling The Unsellable

~ RC ~ Regulatory Capture

~ PTB ~ Passing The Bucks

~ ‘SI’/’LD’-’LL’ ~ “Stated Income” / “Limited Documentation” – “Liar Loans”

~ P-T-EL ~ Primed-To-Explode Loans

~ A-BCDS ~ Asset-Backed Credit Default Swaps

~ NINJA ~ No Income / No Job / No Assets

~ TF-SMOTFSWNOACOMA ~ The Full-Scale Meltdown Of The Financial System Was Now Only A Couple Of Months Away

~ BITS ~ Banking In The Shadows

~ T-S-I-WL-R-AM-S-DITE-‘R’-FESOTIP ~ The – Self-Interest – Was Less – Rational – And More – Selfish – Driving Individuals To Extract – “Rent” – From Each Step Of The Innovation Process

~ BBPM ~ Banking By Photocopy Machine

~ TCOASA-H/L/U-O-TBG-TF-WAYU ~ The Consequences Of Allowing Such A – Huge / Leveraged / Unregulated – Off-Track Betting Game – To Flourish – Were As Yet Unimagined

~ PGTB ~ Pop Goes The Bubble

~ MCD ~ Massive Collateral Damage

~ ‘STBYOV…’ ~ “Sorry To Bother You On Vacation…”

~ CITS ~ Cracks In The Street

~ L-A-D-O-PD ~ Life – And – Death – On – Planet Derivative

~ WHBMRBIU-BPHOBODITS-GQTWOU-APU-PD ~ What Had Been Measurable Risk Became Immeasurable Uncertainty – By Pouring Hundreds Of Billions Of Dollars Into The System – Governments Quenched The Wildfire Of Uncertainty – And Propped Up – Planet Derivative

~ JTATOTB ~ Just Throw A Tarp Over The Body

~ ASOILADMAAD-AOTUPUBTG-PFBT ~ A Series Of Increasingly Large And Desperate Merger And Acquisition Deals – All Of Them Ultimately Propped Up By The Government – Paid For By Taxpayers

~ BHMHRC ~ But How Much Has Really Changed?

~ UB ~ Unchastened Banks

~ TM-NCTATBRIB ~ The Multi-Nationals Continue To Argue That Bigger Really Is Better

~ DS(M)U-THITTRATHT-TOIP-TCOC-TUATWOC ~ Derivatives Still (Mostly) Unbound – The Huge Incentives To Take Risks And Then Hedge Them – The Opacity In Pricing – The Contagion Of Collateralization – The Uncertainty About The Web Of Counterparties

~ BB ~ Buyers Beware

ADAM ALTER ~ IRRESISTIBLE ~ 2017

~ NGHOYOS ~ Never Get High On Your Own Supply

~ TIABLBAATROU-WAOPORAFDOOA ~ There Isn’t A Bright Line Between Addicts And The Rest Of Us – We’re All One Product Or Experience Away From Developing Our Own Addictions

~ TOT-WMOU-TLWTW-AWOD ~ Thousands Of Tests – With Millions Of Users – To Learn Which Tweaks Work – And Which Ones Don’t

~ IMR-SAABA-AVS-TATSBR-A-TFBSOTSBHN:SE/SS/MS/ASOE ~ In Many Respects – Substance Addictions And Behavioral Addictions – Are Very Similar – They Activate The Same Brain Regions – And – They’re Fueled By Some Of The Same Basic Human Needs: Social Engagement / Social Support / Mental Stimulation / A Sense Of Effectiveness

~ BA-COSI:CGTAJBR/IAUPF/ASOIPAI/TTBSMDOT/UTTDR/SSC ~ Behavioral Addiction – Consists Of Six Ingredients: Compelling Goals That Are Just Beyond Reach / Irresistible And Unpredictable Positive Feedback / A Sense Of Incremental Progress And Improvement / Tasks That Become Slowly More Difficult Over Time / Unresolved Tensions That Demand Resolution / Strong Social Connections

~ T-AOBA-ISY-BESPTAC ~ The – Age Of Behavioral Addiction – Is Still Young – But Early Signs Point To A Crisis

~ A-ADBTCOOEP-FWAP-T-BHASI ~ Addictions – Are Damaging Because They Crowd Out Other Essential Pursuits – From Work And Play – To – Basic Hygiene And Social Interaction

~ DTATHU-A-HTOTHU ~ Defeat The Addictions That Hurt Us – And – Harness The Ones That Help Us

~ PADBTME-EWTAIAU-TDBTRUOTWBTIC ~ Phones Are Disruptive By Their Mere Existence – Even When They Aren’t In Active Use – They’re Distracting Because They Remind Us Of The World Beyond The Immediate Conversation

~ MIAADSA ~ Many Internet Addicts Also Develop Sex Addictions

~ ABI-A-OITRIB-N-AEOB-DC ~ A Behavior Is – Addictive – Only If The Rewards It Brings – Now – Are Eventually Outweighed By – Damaging Consequences

~ FD-EHATDA-WPTTC-SWI-P-UTRC-WCABA ~ For Decades – Experts Had Assumed That Drug Addicts – Were Predisposed To The Condition – Somehow Wired Incorrectly – Perhaps – Under The Right Circumstances – We Could All Become Addicts

~ R#34-WAABN-JAURTHTBITWPATWT-SRAARWHDWAPDSTHPC ~ Rat No. 34 – Wasn’t An Addict By Nature – Just An Unfortunate Rat That Happened To Be In The Wrong Place At The Wrong Time – Simply Responding As Any Rat Would Have Done When A Probe Delivered Shocks To His Pleasure Center

~ AEIIM ~ Addiction Embeds Itself In Memory

~ AIAMOET-ETSOOR-APTWWTFTITWS-A-ETMDA-I-RWRWTRTPAPTRTOTD ~ Addiction Is A Matter Of Environment Too – Even The Sturdiest Of Our Ranks – Are Prone To Weakness When They Find Themselves In The Wrong Setting – And – Even The Most Determined Addicts-In-Recovery Will Relapse When They Revisit The People And Places That Remind Them Of The Drug

~ CSD-IRITWO-S-E-R-AOL-ED-SDIBAP-TCOPO ~ Chronic Sleep Deprivation – Is Rising In The Wake Of – Smartphones – E-Readers – And Other Light-Emitting Devices – Sleep Deprivation Is Behavioural Addiction’s Partner – The Consequence Of Persistent Overengagement

~ FM-BL-EODTD-CAWFP-R-YL-W-BL-HTBOYE-T-PG-SP-M-A-YBPFTD ~ For Millennia – Blue Light – Existed Only During The Daytime – Candles And Wood Fires Produced – Reddish-Yellow Light – When – Blue Light –– Hits The Back Of Your Eyes – The – Pineal Gland – Stops Producing – Melatonin – And – Your Body Prepares For The Day

~ ABPTSBRTFDA-SRDITBRACC-D-WAITPTTB-TITPAIFOP ~ Addictive Behaviors Produce The Same Brain Responses That Follow Drug Abuse – Several Regions Deep Inside The Brain Release A Chemical Called – Dopamine – Which Attaches Itself To Preceptors Throughout The Brain – That In Turn Produce An Intense Flush Of Pleasure

~ TSOBIIAUWLTUIAASFOPT ~ The Substance Or Behavior Itself Isn’t Addictive Until We Learn To Use It As A Salve For Our Psychological Troubles

~ IIETPSWADOAB-TPAHTLTTEIAVTFWATP ~ It Isn’t Enough To Ply Someone With A Drug Or A Behavior – That Person Also Has To Learn That The Experience Is A Viable Treatment For Whatever Ails Them Psychologically

~ THRPFAIEA-VFPDALILITHBAIA ~ The Highest Risk Period For Addiction Is Early Adulthood – Very Few People Develop Addictions Later In Life If They Haven’t Been Addicted In Adolescence

~ EAYCTHADFRYL-YBCTWTD-IRTTDSAPNITP-ASTCR-TSITO-B ~ Even After You Come To Hate A Drug For Ruining Your Life – Your Brain Continues To Want The Drug – It Remembers That The Drug Soothed A Psychological Need In The Past – And So The Craving Remains – The Same Is True Of – Behaviors

~ TIHEPTGTBKE-AWTDHMGTEAA-NPTRTO ~ The Internet Has Exposed People To Goals They Barely Knew Existed – And Wearable Tech Devices Have Made Goal Tracking Effortless And Automatic – Numbers Pave The Road To Obsession

~ ICT-G-S-BASSOL-GH-TGTAFL-DBD-RTEPOSGEGWIFHTGT ~ In Contrast To – Goals – Systems – Bring A Steadier Stream Of Low-Grade Highs – They’re Guides To A Fulfilling Life – Day By Day – Rather Than Enticing Pictures Of Some Grand End Goal Without Instructions For How To Get There

~ IM-PG-SMIS-BITYHTSOLTAE ~ In Moderation – Personal Goal-Setting Makes Intuitive Sense – Because It Tells You How To Spend Our Limited Time And Energy

~ B-BTBP ~ Buttons – Beg To Be Pushed

~ AIFAPF:LIOM ~ An Important Fact About Positive Feedback: Less Is Often More

~ LDAW-PDCTA-L-TCTA-W-LFABDJTS-WTSRA-TW-O-ALDAAW ~ Losses Disguised As Wins – Players Don’t Classify Them As – Losses – They Classify Them As – Wins – Lights Flash And Bells Ding Just The Same – Whether The Spin Represents A – True Win – Or – A Loss Disguised As A Win

~ IOBCUTWW-EWWAL-HAWSTMTS-CTSP? ~ If Our Brains Convince Us That We’re Winning – Even When Were Actually Losing – How Are We Supposed To Muster The Self-Control To Stop Playing?

~ TSOSMIMB-‘TOD’ ~ The Success Of Slot Machines Is Measured By – “Time On Device”

~ J-RTTLO-SF-TSATGR-IIETTG-B-IETTGS-WJ-TSGLIC ~ Juice – Refers To The Layer Of – Surface Feedback – That Sits Above The Game’s Rules – It Isn’t Essential To The Game – But – It’s Essential To The Game’s Success – Without Juice – The Same Game Loses Its Charm

~ MIAAHOG ~ Most Internet Addicts Are Hooked On Games

~ TTITWWKHCWRTTOFSYS ~ The Truth Is That We Won’t Know How Children Will Respond To The Overuse For Some Years Still

~ TIGEETSTITSDOMHAGRU ~ There Is Good Early Evidence To Support The Idea That Small Doses Of Mental Hardship Are Good For Us

~ P-SETC-TCWTSI-TSW-TTEO-TRW-AEIBTPV-STSAFOTC-RTTTI ~ Parents – Should Encourage Their Children – To Connect What They See In – The Screen World – To Their Experience Of – The Real World – Active Engagement Is Better Than Passive Viewing – Screen Time Should Always Focus On The Content – Rather Than The Technology Itself

~ BANHID-AHDBRFWOEM-TIAMN ~ Building A New Habit Is Difficult – A Habit Doesn’t Become Routine For Weeks Or Even Months – There Isn’t A Magic Number

~ TG-ITLR-ITBFOBHA-NTROBHWA ~ The Goal – In The Long Run – Is To Be Free Of Bad Habits Altogether – Not To Replace One Bad Habit With Another

~ TMPITTP-ITRYE-STAACTAAP-WNWHABIOYMLTWIFA ~ The Missing Piece In The Treatment Puzzle – Is To Redesign Your Environment – So Temptations Are As Close To Absent As Possible – Whatever’s Nearby Will Have A Bigger Impact On Your Mental Life Than Whatever Is Farther Away

~ SYWT-A-YBT ~ Surround Yourself With Temptation – And – You’ll Be Tempted

~ C-RAP-TAASEYCAIAVEWOFTRH ~ Choosing – Rewards And Punishments – That Also Affect Someone Else You Care About Is A Very Effective Way Of Forming The Right Habits

~ PAMLTDTTT-ITRTHTBF ~ People Are More Likely To Do The Right Thing – If The Right Thing Happens To Be Fun

JOSEPH STIGLITZ ~ THE PRICE OF INEQUALITY ~ HOW TODAY’S DIVIDED SOCIETY ENDANGERS OUR FUTURE ~ NORTON ~ 2012

~ SGVFCTC-TWSST-TWACUT-IMW-T-EAPS-HF-A-T-BWFU ~ Specific Grievances Varied From Country To Country – There Were Some Shared Themes – There Was A Common Understanding That – In Many Ways – The – Economic And Political System – Had Failed – And – That – Both Were Fundamentally Unfair

~ TGBWOEAPSASTD-WWWTTDD-AWTAC-BTLTBI ~ The Gap Between What Our Economic And Political Systems Are Supposed To Do – What We Were Told They Did Do – And What They Actually Do – Became Too Large To Be Ignored

~ TBHTB-T-WGA-WHBTATEED-ACLATSSTTWNAA-TBHITBTW ~ The Bankers Had Taken Bets – That – Without Government Assistance – Would Have Brought Them And The Entire Economy Down – A Closer Look At The System Showed That This Was Not An Accident – The Bankers Had Incentives To Behave This Way

~ TMOINE ~ The Market Obviously Is Not Efficient

~ U-TIOTMTGJFSMC-ITWFOTM-TGSOI-AAMCOI ~ Unemployment – The Inability Of The Market To Generate Jobs For So Many Citizens – Is The Worst Failure Of The Market – The Greatest Source Of Inefficiency – And A Major Cause Of Inequality

~ WHEHAHP ~ We Have Empty Homes And Homeless People

~ WAPAHPFO-I-AESTISSALE-WLG-A-ADTHBPIP ~ We Are Paying A High Price For Our – Inequality – An Economic System That Is Less Stable And Less Efficient – With Less Growth – And – A Democracy That Has Been Put Into Peril

~ TPOMIE-BTHNIMC ~ The Power Of Markets Is Enormous – But They Have No Inherent Moral Character

~ ATB-MHPACRITSIIPASOLITPTHY-BGHAPAMRITA-AFTF-MATFTA ~ At Their Best – Markets Have Played A Central Role In The Stunning Increases In Productivity And Standards Of Living In The Past Two Hundred Years – But Government Has Also Played A Major Role In These Advances – A Fact That Free-Market Advocates Typically Fail To Acknowledge

~ OTOH-MCACW-PECOTS-A-AWAC ~ On The Other Hand – Markets Can Also Concentrate Wealth – Pass Environmental Costs On To Society – And – Abuse Workers And Consumers

~ TFIPAEAR-ATREO-PHSTM-ASIIWT-ATT-ATEOTR ~ The Failures In Politics And Economics Are Related – And They Reinforce Each Other – Politics Have Shaped The Market – And Shaped It In Ways That – Advantage The Top – At The Expense Of The Rest

~ UMDNWW-AWHS ~ Unfettered Markets Do Not Work Well – As We Have Seen

~ TLOI-A-TAOO-INI-NIIRRSTPOIMF ~ The Level Of Inequality – And – The Absence Of Opportunity – Is Not Inevitable – Nor Is Its Recent Rise Simply The Product Of Inexorable Market Forces

~ IA-ATAM-ATTCTGMMTTTWBE-PBIWLTMG-TIAIC-T-DE-IHALP-AHLBD-HIHNLTMG ~ Inequality’s Apologists – And They Are Many – Argue To The Contrary That Giving More Money To The Top Will Benefit Everyone – Partly Because It Would Led To More Growth – This Is An Idea Called – Trickle-Down Economics – It Has A Long Pedigree – And Has Long Been Discredited – Higher Inequality Has Not Led To More Growth

~ SDIIFTBIP-TETERTTSAA-‘PT’ ~ So Difficult Is It For Those Born Into Poverty To Escape – That Economists Refer To The Situation As A – “Poverty Trap”

~ MOIIDFCCAOI ~ Measures Of Income Inequality Don’t Fully Capture Critical Aspects Of Inequality

~ MOTITETIARO-GP-BWTGDAWIDND-IITROPFAMAOEO ~ Much Of The Inequality That Exists Today Is A Result Of – Government Policy – Both What The Government Does And What It Does Not Do – Inequality Is The Result Of Political Forces As Much As Of Economic Ones

~ TMTMA-TMCTALTB-WGI-CMCEAD ~ The More Transparent Markets Are – The More Competitive They Are Likely To Be – Without Good Information – Capital Markets Can’t Exercise Any Discipline

~ T-WAS-CWI;IC-T-T-‘R’-O-L/NR-WMTD ~ Taxing – Work And Savings – Can Weaken Incentives; In Contrast – Taxing – The – “Rents” – On – Land / Natural Resources – Won’t Make Them Disappear

~ INHTBWITGSY-F-$500M-AM-TW-$1B~ It’s Not Hard To Become Wealthy If The Government Sells You – For – $500 Million – A Mine – That’s Worth – $1 Billion

~ TSWTASMIGTGTGYO ~ The Simplest Way To A Sustainable Monopoly Is Getting The Government To Give You One

~ IOTTWIAFG-IQATBATWTROTG-A-IEW-IYCCYOR ~ It’s One Thing To Win In A Fair Game – It’s Quite Another To Be Able To Write The Rules Of The Game – And – It’s Even Worse – If You Can Choose Your Own Referees

~ ‘RC’-TOTRC-CFARTTSTTASTR-STSW-GWRITP-GC ~ “Regulatory Capture” – Those On The Regulatory Commissions – Come From And Return To The Sector That They Are Supposed To Regulate – Serve The Sector Well – Get Well Rewarded In Their Post-Government Career

~ ITGGYTRT-E-R-F-F-IDTAGTMAF ~ If The Government Grants You The Right To – Extract – Resources – For – Free – It Doesn’t Take A Genius To Make A Fortune

~ OESRP-NMHTM-AIA-M-CE-INSTSMSPTTS ~ Our Economic System Rewards Profits – No Matter How They’re Made – And In A – Money-Centric Economy – It’s Not Surprising To See Moral Scruples Put To The Side

~ TMDOAIS-IC ~ The Major Determinant Of An Individual’s Success – Initial Conditions

~ LIR-LR-A-ADADFS-CTTROTE-FAM ~ Low Interest Rates – Lax Regulations – And – A Distorted And Dysfunctional Financial Sector – Came To The Rescue Of The Economy – For A Moment

~ R-ATROTG-TEC-TPA-TPTTCPT ~ Regulations – Are The Rules Of The Game – To Ensure Competition – To Prevent Abuses – To Protect Those That Cannot Protect Themselves

~ MOTIIOE:TROR-S ~ Much Of The Inequality In Our Economy: The Result Of Rent-Seeking

~ TFSIST-STROTE-NTOWA ~ The Financial Sector Is Supposed To – Serve The Rest Of The Economy – Not The Other Way Around

~ MOT-‘FI’-WDT-CR-AALL-REP ~ Many Of These – “Financial Innovations” – Were Designed To – Circumvent Regulations – And Actually Lowered Long-Run Economic Performance

~ TCBDAWACC ~ There Can Be Destructive As Well As Constructive Competition

~ IF-ATPOF-IP ~ Increasing Fairness – And The Perception Of Fairness – Increases Productivity

~ TSTOEAPSIU-UT-WIEFTFOOS ~ The Sense That Our Economic And Political System Is Unfair – Undermines Trust – Which Is Essential For The Functioning Of Our Society

~ G-ITFITWWAT-C-TSTNP ~ Government – Is The Formal Institution Through Which We Act Together – Collectively – To Solve The Nation’s Problems

~ CATAIIESOS ~ Cooperation And Trust Are Important In Every Sphere Of Society

~ WOU-TROT-IMOEW-O-TIOTSC-TBUT ~ We Often Underestimate – The Role Of Trust – In Making Our Economy Work – Or – The Importance Of The Social Contract – That Binds Us Together

~ SC-ITGTHST ~ Social Capital – Is The Glue That Holds Societies Together

~ OCSH-D-NS-D-A-FAUG ~ One Cannot Simultaneously Have – Democracy – National Self-Determination – And – Full And Unfettered Globalization

~ N-ITHOTP-HSM-GSM-TSF-WWSR-WAAIR ~ Never – In The History Of The Planet – Had So Many – Given So Much – To So Few – Who Were So Rich – Without Asking Anything In Return

~ MH-BBHRAPLTERTBB ~ Moral Hazard – Bank Bailouts Had Repeatedly And Predictably Led To Excessive Risk Taking By Banks

~ RBBHIHCOT ~ Repeated Bank Bailouts Have Imposed High Costs On Taxpayers

~ ATW-TEO-FP-AL ~ Around The World – The Examples Of – Failed Privatizations – Are Legion

~ MOCWIHWTTC ~ Much Of Corporate Welfare Is Hidden Within The Tax Code

~ MCWITISD-ICGOTUOTR-WTBTL ~ Markets Can’t Work If There Isn’t Some Discipline – If Companies Get Only The Upside Of The Risks – With Taxpayer Bearing The Losses

~ WTWIO-DHTBTFCOTA-TWHII-NTIT-A-TTPTAROI ~ When Those Who Injure Others – Don’t Have To Bear The Full Consequences Of Their Actions – They Will Have Inadequate Incentives – Not To Injure Them – And – To Take Precautions To Avoid Risks Of Injury

~ IEPIACBTUD-PCWF ~ If Economic Power In A Country Becomes Too Unevenly Distributed – Political Consequences Will Follow

~ IAD-API-APAIM-ACBIAPI-MHSDOA-OTMSTTINM-ABDAEP ~ In Any Democracy – A Public Institution – And Pretend As It Might – A Central Bank Is A Public Institution – Must Have Some Degree Of Accountability – Oversight To Make Sure That There Is No Malfeasance – A Central Bank’s Decisions Are Essentially Political

~ AWIP ~ Another World Is Possible

~ N-TPOE-TPOEAF ~ Not – The Politics Of Envy – The Politics Of Efficiency And Fairness

LAURENCE BRITT ~ 14 CHARACTERISTICS COMMON TO FASCIST REGIMES ~ 2003

~ H/G-M/I-S/P-P/C-S/I ~ Hitler/Germany – Mussolini/Italy – Salazar/Portugal – Pinochet/Chile – Suharto/Indonesia

~ POEP – PPIATNAWHTTF ~ Promotion Of Extreme Patriotism – Promote Pride In All Things National Along With Hostility To Things Foreign

~ DFHR-PCTAVOHRFTMONS ~ Disdain For Human Rights – Persuade Citizens To Accept Violations Of Human Rights For The Maintenance Of National Security

~ CS-FS(OCT)FTPPOS ~ Create Scapegoats – Find Scapegoats (Or Create Them) For The Perceived Problems Of Society

~ SOTM-RFFSPWITFOTMAI‘D’C ~ Supremacy Of The Military – Remove Funding From Social Programs While Increasing The Financing Of The Military And Its “Defence” Contractors

~ RS-PM-DIAETROWAS-CC ~ Rampant Sexism – Promote Male-Dominated Institutions And Encourage The Regarding Of Women As Second-Class Citizens

~ S/CMM-CTMOOC-OTOOI ~ Supportive/Controlled Mass Media – Control The Media Outright Or Co-Opt The Ownership Of It

~ TOWNS-EANSAWOISABTROL ~ Obsession With National Security – Establish A National Security Apparatus Which Operates In Secret And Beyond The Rule Of Law

~ RARL-PTREASDOTF-ATROOI-‘G’E ~ Religion And Regime Linked – Portray The Ruling Elites As Staunch Defenders Of The Faith – And The Righteous Opponents Of Its – “Godless” Enemies

~ PAPOC-LLC(PMC)TOIRFWLTROOC ~ Promotion And Protection Of Corporations – Leave Large Corporations (Particularly Military Contractors) To Operate In Relative Freedom While Limiting The Rights Of Ordinary Citizens

~ IOOL-COSUOTRAIATMBASOOP ~ Intolerance Of Organized Labour – Crush Or Strip Unions Of Their Rights And Influence As They Might Be A Source Of Opposition Power

~ SOIATA-SDIAAFEVTDFTPL ~ Suppression Of Intellectuals And The Arts – Strongly Discourage Intellectuals And Artists From Expressing Views That Deviate From The Party Line

~ OWCAP-OHSOCJ(ABLOP)WGTP(AATTN) ~ Obsession With Crime And Punishment – Operate Harsh Systems Of Criminal Justice (And Build Lots Of Prisons) While Glorifying The Police (And Adding To Their Numbers)

~ RCAC-PLGCTTTSTR ~ Rampant Cronyism And Corruption – Provide Lucrative Government Contracts To Those That Support The Regime

~ FE-CTEM-FAPSAOC-IADOV-DODLV-A-AALR-HERDBAJABABTTR ~ Fraudulent Elections – Control The Election Machinery – Fabricate And Promote Slander Against Opposition Candidates – Intimidate And Disenfranchise Opposition Voters – Destroy Or Disallow Legal Votes – And – As A Last Resort – Have Election Results Decided By A Judiciary Appointed By And Beholden To The Regime