Category Archives: Business

UPDATE I: US Engineering & Egalitarian Education

Barack Obama, Bush, Business, Education, Europe, Feminism, Human Accomplishment, Israel, Labor, Technology

I heard it said that in the US there are two types of engineers: overworked or unemployed. A tough economy would indeed force increases in productivity: fewer and fewer workers are doing more and more of work. But there’s something else at play. It comports with what Eric Spiegel, chief executive in the US for Siemens, has exposed:

There’s a mismatch between the jobs that are available, at least in our portfolio, and the people that we see out there,” Mr Spiegel told the Financial Times. “There is a shortage (of workers with the right skills.)” … a recent survey from Manpower, the employment agency, found that 52 percent of leading US companies reported difficulties in recruiting essential staff, up from 14 percent in 2010.

German education is known for its rigor and high standards. But more importantly: The Germans run the same sort of schools I attended growing up in Israel, where, because no pedagogue believes all kids are created equal, students are streamed into different tracks.

Wikipedia:

… German secondary education includes five types of school. The Gymnasium is designed to prepare pupils for university education and finishes with the final examination Abitur, after grade 12 or 13. The Realschule has a broader range of emphasis for intermediate pupils and finishes with the final examination Mittlere Reife, after grade 10; the Hauptschule prepares pupils for vocational education and finishes with the final examination Hauptschulabschluss, after grade 9 or 10 and the Realschulabschluss after grade 10. There are two types of grade 10: one is the higher level called type 10b and the lower level is called type 10a; only the higher level type 10b can lead to the Realschule and this finishes with the final examination Mittlere Reife after grade 10b. This new path of achieving the Realschulabschluss at a vocationally-oriented secondary school was changed by the statutory school regulations in 1981 – with a one-year qualifying period. During the one-year qualifying period of the change to the new regulations, pupils could continue with class 10 to fulfil the statutory period of education. After 1982, the new path was compulsory, as explained above. Other than this, there is the Gesamtschule, which combines the approaches. There are also Förderschulen/Sonderschulen. One in 21 pupils attends a Förderschule.[2][3] Nevertheless the Förderschulen/Sonderschulen can also lead, in special circumstances, to a Hauptschulabschluss of both type 10a or type 10b, the latter of which is the Realschulabschluss. German children only attend school in the morning. There is no provision for serving lunch. There is a lot more homework, heavy emphasis on the “three R’s” and very few extracurricular activities.

The secondary school I attended (I grew up in Israel) provided a vocational track, just like German schools do, where kids with no academic aptitude acquired useful skills and graduated with a diploma in woodwork, welding, sewing, etc. The academically inclined were also streamed into grades in accordance with aptitude. You could take math, for example, on different levels of difficulty. We had a special math genius class of 5 kids with super high IQs. Nobody pretended everyone was equal. Kids were kept busy with the kind of work that was best suited to their abilities, not egos.

On the other hand, “evidence of how stupid American students (and teachers) are has been slowly amassing. The creeping cretinism is confirmed by reports like “A Nation at Risk.” Especially indicative are the below-international-average scores of 17-year-olds. One out of four children is dropping out and not graduating. High schools have been so dumbed down that even average students sit bone idle. Fully 50 percent of students with IQs that border on mental retardation manage to pass. Unlike our European counterparts, American universities, colleges and even corporations spend a fortune on teaching students elementary things they should have learned in high school. College professors attest to a decline in the quality of students entering colleges.” (“THE WORM IN THE APPLE OF AMERICAN EDUCATION”)

In the US of Obama’s “Yes We Can” and Bush’s “No Child Left Behind,” all kids are treated as equally able. If a subject appeals to a certain cohort—or selects for smarts—why then, we cancel it; make it fun by sucking out the hard work required to master it; make it girl/minority/Deep-Space-alien friendly. New Math replaces eternal math; social studies does away with history, etc.

Look, libertarians, yes, public schools and unions are a big part of the problem. As important, however, is the country’s progressive pedagogic philosophy, which dominates in private schools as well.

We’ve ditched canon and core curriculum. We’re replaced reason with sentimentality and attitude. We’ve manned our schools with females to the exclusion of strong male role models. I would not wish to be the parent of a young, hyper-active boy drawn to the hard sciences, in schools full of females, bent on promoting every mythical, politically correct orthodoxy that pervades the Zeitgeist.

What Herr Spiegel has observed is the end result of decades of these low or no standards.

UPDATE I (June 21): Abelard Lindsey: My sources confirm your point about HR. But you’re wrong about the MBA managers. They are no better: these are technically clueless individuals, hot-housed in America’s pinko business schools, who have no place screening for technical and temperamental competence. However, America’s most famed corporations have screening processes that go on for days and have a candidate interview in front of many higher-ups. One particularly brilliant friend, a genius who works for Apple, was regaled for days with the intellectual equivalent of a special ops training unit. He loved every minute of it. (I would have crumbled.)

Alas, the largest and richest corporation work a lot like government, the connections between private property and profits having been long since loosened. These giants consist of many fiefdoms, layered with deadwood, and governed often by nepotistic hiring practices. It takes massive failures, as Microsoft’s Kin project surely was, to instigate some corrections (but seldom any firings).

The Israel-Kinect Connection

Business, Economy, Education, Family, Free Markets, Human Accomplishment, Israel, Media, Regulation, Science, Socialism, Technology

Who do you think invented Microsoft’s “Kinect,” which is in the Guinness Book of Records as the “Fastest-Selling Consumer Electronics Device” ever? Microsoft would like to claim the credit, but it belongs to an Israeli outfit called PrimeSense.

It’s my guess—and CNN’s Zombie Zakaria might wish to investigate this—that, overall, those who invent these silly contraptions are not necessarily the same sort of people who use them obsessively. (I recently watched a boy bob up-and-down and sideways like an automaton for over an hour in front of the Kinect. Back in the day, my own, now-grown girl would have been building Lego, painting, reading, or “inventing” creative games in the yard.)

Yes, the fogies of “60 Minutes” are obsessed with kids; errant American adults cater to, and worship, but never guide, their kids. The outcome of deification without direction is that the current crop of fattened little Buddhas is not that great.

Truth be told, the hybrid, hi-tech workforce—comprised as it is of local and outsourced talent—is manned, generally, by terribly smart, much older people with advanced engineering degrees. (That’s too much like hard work which is hardly “fun.”) The truth is that the people designing gadgets for America’s (face it, dumb) kids are older and highly educated. Some are Americans; others are Asians (South more than East, but both) and Israelis. The hi-tech endeavor is thus all about the older generation—veteran techies—uniting to supply their young, twittering twits with the playthings that keep their brainwaves from flatlining.

Back to the point: Some of my readers refer to Israel’s economy as a socialistic one, a fact that could reflect a general media bias (against Israel, not socialism). Although Israel’s economy is by no means unfettered, it is not much different from Western Europe’s Third-Way, mixed economies, with a respectable per capita GDP. Warren Buffett has invested billions in Israel’s private sector, with good returns. The country’s high-tech industry has certainly been on the cutting edge for sometime.

Significant is the trend. And it is unmistakable: “Emerging markets,” as Israel is, are becoming freer, whereas America is becoming less free. The devil is in this detail.

I am affiliated with the Jerusalem Institute for Market Studies. Those who’re interested in tracking the effort to liberalize Israel’s economy will get a good idea by following JIMS’ remarkable work out of Jerusalem.

**********************************************

For a third day in a row, my book, Into The Cannibal’s Pot, is Amazon’s #1 in the category on Social Policy. The Publisher (link here) is not charging for shipping. This is valuable for our South African readers. Kindle will be up by, I am told by the best man possible, early this week, probably tomorrow.

UPDATED: An Inflationary Flight From Truth

Business, Conspiracy, Debt, English, Individualism Vs. Collectivism, Inflation, Intelligence, Political Economy, Propaganda, The State

An observant manager at a social event commented recently about my husband and me: “You both use language very precisely.” The man was bright alright, but he was not necessarily flattering us, since my spouse (PhD, dubbed “guru” in his field) is constantly pelted with admonitions: Be vaguer when zeroing in on a problem—solve it to the group’s advantage, but don’t dare speak openly of incompetence. However obvious, credit the collective, submerge your achievements, ditch the “I” pronoun in favor of the “we.” (And how, pray tell, does one solve problems without removing the obstacles to their resolution? Easy: the able do double shifts to cover for the deadwood.)

The private sector is silhouetted by the state–and infected with the same collectivist philosophy, which aims to maintain the status quo, abolish the deference to ability (since we are all the same, given the right nurture, right? WRONG), and never admit that some are brighter than the rest. Or if this cannot be denied, rope the better man in the service of the mediocre majority that thrives in a culture of collectivism.

To be clear, this impetus is reflexive, rather than a matter of collusion and conspiracy. With few exceptions, most people believe they benefit from state- and corporate enforced collectivism—they believe this is the right way to be, the thing to strive for. (The Bell Curve—normal distribution—will give a hint as to why this is so.)

The co-optation of language plays a large role in subverting reality. The state and its lick-spittle toadies—educrats, mediacrats, and “intellectual”—have co-opted semantics over the years; stolen our words so that the new words better serve the parallel reality they’ve manufactured.

This is serious stuff since language mediates thoughts, actions, and hence public debate and policy.

The mutation in the accepted “meaning” of the word inflation serves as a good example of the process I’ve touched upon.

“Samuel Johnson’s famous A Dictionary of the English Language, published in 1755, had just one definition for inflation,” writes the Wall Street Journal’s Justin Lahart, in “Inflation Definitions: Through the Ages”:

The state of being swelled with wind; flatulence.

Naturally, the WSJ does not anchor its historical survey of “the evolution of the dictionary definition of inflation from ‘flatulence’ to ‘rising prices'” in any philosophical framework; it certainly omits any reference to the natural laws of economics. Nevertheless, do read “Using a Dictionary to Define Inflation Can Spell Trouble”

You ought to conclude that the culture en masse is fleeing from truth.

UPDATED: Compassionate Fascist, sadly, proves my point: The official line, which he repeats, has it that inflation is a rise in prices. False! Inflation is an increase in the money supply. The general rise in prices is but a consequence of an increase in the money supply.

Enforcing Information Socialism

Business, Criminal Injustice, Law, Socialism, Trade

For violating laws enforcing information socialism, billionaire Raj Rajaratnam, innocent in natural law, could be incarcerated for decades. In their latest efforts to bring ruin to capital markets, SEC blood hounds have ensnared one of the country’s most powerful hedge-fund “impresarios.” MORE.

It’s easy to be thrown off scent when trying to divine the vague, ill-defined, unconstitutional laws under which the Securities and Exchange Commission hunts for corporate prey. Suffice it to say that the SEC operates with the understanding that competition in capital markets must proceed from a level playing field. All investors are entitled to the same information advantage irrespective of effort and abilities.

In a word, information socialism.

Rajaratnam had not violated the rights of other shareholders or potential buyers. There is no natural right to a guaranteed profit, nor is there a right to be shielded from losses. And there most certainly is no such right as a one that guarantees to the collective information the individual has worked hard to obtain and optimize.