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Please absorb this extremely important advance in economic methodology and basic intellectual rigor:
Income Per Natural: Measuring Development as if People Mattered More Than Places
by Michael Clemens and Lant Pritchett
It is easy to learn the average income of a resident of El Salvador o ... Continue reading »
Income Per Natural: Measuring Development as if People Mattered More Than Places
by Michael Clemens and Lant Pritchett
It is easy to learn the average income of a resident of El Salvador o ... Continue reading »
1 year ago
Is a Zimbabwean in London from Zimbabwe, or is he a 'natural' from Shona? And what of mass migrations fleeing civil wars or genocide? How does the 'natural' better measure income than GDP after abrupt mass migrations? Every line on every map of the Middle East was drawn in Whitehall or Paris a century ago. What's 'natural' about being from Libya, Iraq, Jordan, etc, when the past thousand years has been tribalism?
How is the 'natural' methodology not merely a Trojan Horse, seeking future tax revenue from outside a national economy? Isn't this similar to liberal legislatures in the U.S. attempting to tax the daily earnings of travelling MLB or NFL ballclubs?
Paradigm shift? Not in identity formation, but perhaps in tax collection.
1 year ago
If the name of the omnipotent state in which the poor unfortunate statistical unit should happen to find himself should be held fundamentally meaningless for purposes of statistical calculation, should not, then, the name of the omnipotent state within whose territorial ambit he had the misfortune to be born be given equal - and therefore negligible - weight?
Economic nationalism, indeed.
1 year ago
1 year ago
As a measure of development and welfare, it's iffy at best. Emigration is rarely, if ever, an intended result of a country's policies, it rather tends to be the result of institutional failures. Is Zimbabwe a more developed country if all it's nationals flee and get better jobs in SA? What if migrants get the new nationality? If changes in the immigration rules in the country migrated to affect the measured product of the country migrated from, can this be an useful development/welfare measure?
And if we want to reduce economic nationalism, then where a person is born should matter less than where that person chooses to live. Voting with one feet should be more relevant than the accident of birth location when evaluating the institutions of a country.
Finally, while "this isn’t an argument open to some kind of refutation", the rest of that last paragraph is. Just saying! :-)
1 year ago
Wilkinson's rhetoric is overblown and overheated. The statistic in question is not important, not meaningful, and not relevant to anything much.
The results reported are also horribly incorrect in many (probably most) cases, and are at best out of date.
This "paper" stands to validate what any thinking person already knew: people who are able to do so tend to migrate towards places that give them better wealth-generating opportunities. That's why I am in the US, not Canada (where I grew up) or the UK (where I was born.) These people are merely attempting (shoddily) to measure that well-known effect. It certainly isn't important or insightful.
Tracking the flow of remittances does a similar job, but probably better.
1 year ago
1 year ago
The "irrelevant" jab was aimed at Wilkinson's breathless hyperbole.
It appears to me that you've simply invented a new metric to show that people move from poor countries to rich ones. Your metric might be novel but the point it serves to illustrate is obvious - indeed, self-evident.
I'm sorry, at first glance I assumed your work a positivist economics paper, and criticized it thusly. After reading your comment, I see that it is in fact normative, and designed to reinforce a previously existing policy position. I mistakenly assumed objectivity, where I should have assumed subjectivity. My error, and I'll take a closer read with that in mind.
(BTW, as a migrant and as a libertarian, I happen to agree with your policy position, but that's neither here nor there.)
The reason I find your work shoddy is that I looked at your numbers for several Arab Gulf states (an area I am familiar with), and found your results to be laughably absurd, prima facie. I haven't read the whole thing, which I will do tonight. I'll then e-mail you if I have any constructive criticisms concerning methodology or conclusion.
1 year ago
Did that really require demonstration? Is there any substantial number of people (in either side of the immigration-reform debate) who don't believe that?
And will that affect the immigration debate? The core opposition to more open immigration laws does not stem from disbelief about the welfare-improvement characteristics of migration for the immigrants, but from (populist) non-sequiturs about how it harms the welfare of the current residents.
(Full disclosure: I'm in the US under a work visa and all for opening up the labor markets to more competition.)
1 year ago