nhaliday + judgement + compensation   3

The Importance of Educational Credentials: Schooling Decisions and Returns in Modern China
A key contribution of our paper is to estimate the returns to an additional year of schooling while holding highest credential constant. We find the year generates a two percent gain in monthly income, with somewhat higher returns for China’s disadvantaged. This is much smaller than most estimates which do not separate the returns to additional schooling from those to earning a credential. We show that the policy, while redistributive, has generated a likely net loss of tens of billions of dollars. We interpret these results through a model of signaling and human capital accumulation and conclude that a high signaling value of earning a credential, also known as “credentialism,” plays a crucial role in household schooling decisions and in the returns to schooling in modern China.

Access to Elite Education, Wage Premium, and Social Mobility: Evidence from China’s College Entrance Exam: http://www.fas.nus.edu.sg/ecs/events/seminar/seminar-papers/17-08-31.pdf
woah:
Exploiting a discontinuity in elite university eligibility around the cut off scores, we find elite education increases the monthly wage by around 40%. While elite education eligibility does significantly affect mobility, it does not alter the influence of parental background. We also provide suggestive evidence that the wage premium is more likely to be explained by university-related networks and signaling than that of human capital.
pdf  study  economics  micro  econometrics  microfoundations  china  asia  sinosphere  education  supply-demand  labor  compensation  intervention  correlation  higher-ed  signaling  mobility  institutions  policy  wonkish  human-capital  multi  elite  class  🎩  broad-econ  social-capital  judgement  shift  regression  cost-benefit  network-structure  cracker-econ  natural-experiment  endogenous-exogenous 
october 2017 by nhaliday
The Determinants of Trust
Both individual experiences and community characteristics influence how much people trust each other. Using data drawn from US localities we find that the strongest factors that reduce trust are: i) a recent history of traumatic experiences, even though the passage of time reduces this effect fairly rapidly; ii) belonging to a group that historically felt discriminated against, such as minorities (black in particular) and, to a lesser extent, women; iii) being economically unsuccessful in terms of income and education; iv) living in a racially mixed community and/or in one with a high degree of income disparity. Religious beliefs and ethnic origins do not significantly affect trust. The latter result may be an indication that the American melting pot at least up to a point works, in terms of homogenizing attitudes of different cultures, even though racial cleavages leading to low trust are still quite high.

Understanding Trust: http://www.nber.org/papers/w13387
In this paper we resolve this puzzle by recognizing that trust has two components: a belief-based one and a preference based one. While the sender's behavior reflects both, we show that WVS-like measures capture mostly the belief-based component, while questions on past trusting behavior are better at capturing the preference component of trust.

MEASURING TRUST: http://scholar.harvard.edu/files/laibson/files/measuring_trust.pdf
We combine two experiments and a survey to measure trust and trustworthiness— two key components of social capital. Standard attitudinal survey questions about trust predict trustworthy behavior in our experiments much better than they predict trusting behavior. Trusting behavior in the experiments is predicted by past trusting behavior outside of the experiments. When individuals are closer socially, both trust and trustworthiness rise. Trustworthiness declines when partners are of different races or nationalities. High status individuals are able to elicit more trustworthiness in others.

What is Social Capital? The Determinants of Trust and Trustworthiness: http://www.nber.org/papers/w7216
Using a sample of Harvard undergraduates, we analyze trust and social capital in two experiments. Trusting behavior and trustworthiness rise with social connection; differences in race and nationality reduce the level of trustworthiness. Certain individuals appear to be persistently more trusting, but these people do not say they are more trusting in surveys. Survey questions about trust predict trustworthiness not trust. Only children are less trustworthy. People behave in a more trustworthy manner towards higher status individuals, and therefore status increases earnings in the experiment. As such, high status persons can be said to have more social capital.

Trust and Cheating: http://www.nber.org/papers/w18509
We find that: i) both parties to a trust exchange have implicit notions of what constitutes cheating even in a context without promises or messages; ii) these notions are not unique - the vast majority of senders would feel cheated by a negative return on their trust/investment, whereas a sizable minority defines cheating according to an equal split rule; iii) these implicit notions affect the behavior of both sides to the exchange in terms of whether to trust or cheat and to what extent. Finally, we show that individual's notions of what constitutes cheating can be traced back to two classes of values instilled by parents: cooperative and competitive. The first class of values tends to soften the notion while the other tightens it.

Nationalism and Ethnic-Based Trust: Evidence from an African Border Region: https://u.osu.edu/robinson.1012/files/2015/12/Robinson_NationalismTrust-1q3q9u1.pdf
These results offer microlevel evidence that a strong and salient national identity can diminish ethnic barriers to trust in diverse societies.

One Team, One Nation: Football, Ethnic Identity, and Conflict in Africa: http://conference.nber.org/confer//2017/SI2017/DEV/Durante_Depetris-Chauvin.pdf
Do collective experiences that prime sentiments of national unity reduce interethnic tensions and conflict? We examine this question by looking at the impact of national football teams’ victories in sub-Saharan Africa. Combining individual survey data with information on over 70 official matches played between 2000 and 2015, we find that individuals interviewed in the days after a victory of their country’s national team are less likely to report a strong sense of ethnic identity and more likely to trust people of other ethnicities than those interviewed just before. The effect is sizable and robust and is not explained by generic euphoria or optimism. Crucially, national victories do not only affect attitudes but also reduce violence. Indeed, using plausibly exogenous variation from close qualifications to the Africa Cup of Nations, we find that countries that (barely) qualified experience significantly less conflict in the following six months than countries that (barely) did not. Our findings indicate that, even where ethnic tensions have deep historical roots, patriotic shocks can reduce inter-ethnic tensions and have a tangible impact on conflict.

Why Does Ethnic Diversity Undermine Public Goods Provision?: http://www.columbia.edu/~mh2245/papers1/HHPW.pdf
We identify three families of mechanisms that link diversity to public goods provision—–what we term “preferences,” “technology,” and “strategy selection” mechanisms—–and run a series of experimental games that permit us to compare the explanatory power of distinct mechanisms within each of these three families. Results from games conducted with a random sample of 300 subjects from a slum neighborhood of Kampala, Uganda, suggest that successful public goods provision in homogenous ethnic communities can be attributed to a strategy selection mechanism: in similar settings, co-ethnics play cooperative equilibria, whereas non-co-ethnics do not. In addition, we find evidence for a technology mechanism: co-ethnics are more closely linked on social networks and thus plausibly better able to support cooperation through the threat of social sanction. We find no evidence for prominent preference mechanisms that emphasize the commonality of tastes within ethnic groups or a greater degree of altruism toward co-ethnics, and only weak evidence for technology mechanisms that focus on the impact of shared ethnicity on the productivity of teams.

does it generalize to first world?

Higher Intelligence Groups Have Higher Cooperation Rates in the Repeated Prisoner's Dilemma: https://ideas.repec.org/p/iza/izadps/dp8499.html
The initial cooperation rates are similar, it increases in the groups with higher intelligence to reach almost full cooperation, while declining in the groups with lower intelligence. The difference is produced by the cumulation of small but persistent differences in the response to past cooperation of the partner. In higher intelligence subjects, cooperation after the initial stages is immediate and becomes the default mode, defection instead requires more time. For lower intelligence groups this difference is absent. Cooperation of higher intelligence subjects is payoff sensitive, thus not automatic: in a treatment with lower continuation probability there is no difference between different intelligence groups

Why societies cooperate: https://voxeu.org/article/why-societies-cooperate
Three attributes are often suggested to generate cooperative behaviour – a good heart, good norms, and intelligence. This column reports the results of a laboratory experiment in which groups of players benefited from learning to cooperate. It finds overwhelming support for the idea that intelligence is the primary condition for a socially cohesive, cooperative society. Warm feelings towards others and good norms have only a small and transitory effect.

individual payoff, etc.:

Trust, Values and False Consensus: http://www.nber.org/papers/w18460
Trust beliefs are heterogeneous across individuals and, at the same time, persistent across generations. We investigate one mechanism yielding these dual patterns: false consensus. In the context of a trust game experiment, we show that individuals extrapolate from their own type when forming trust beliefs about the same pool of potential partners - i.e., more (less) trustworthy individuals form more optimistic (pessimistic) trust beliefs - and that this tendency continues to color trust beliefs after several rounds of game-play. Moreover, we show that one's own type/trustworthiness can be traced back to the values parents transmit to their children during their upbringing. In a second closely-related experiment, we show the economic impact of mis-calibrated trust beliefs stemming from false consensus. Miscalibrated beliefs lower participants' experimental trust game earnings by about 20 percent on average.

The Right Amount of Trust: http://www.nber.org/papers/w15344
We investigate the relationship between individual trust and individual economic performance. We find that individual income is hump-shaped in a measure of intensity of trust beliefs. Our interpretation is that highly trusting individuals tend to assume too much social risk and to be cheated more often, ultimately performing less well than those with a belief close to the mean trustworthiness of the population. On the other hand, individuals with overly pessimistic beliefs avoid being cheated, but give up profitable opportunities, therefore underperforming. The cost of either too much or too little trust is comparable to the income lost by forgoing college.

...

This framework allows us to show that income-maximizing trust typically exceeds the trust level of the average person as well as to estimate the distribution of income lost to trust mistakes. We find that although a majority of individuals has well calibrated beliefs, a non-trivial proportion of the population (10%) has trust beliefs sufficiently poorly calibrated to lower income by more than 13%.

Do Trust and … [more]
study  economics  alesina  growth-econ  broad-econ  trust  cohesion  social-capital  religion  demographics  race  diversity  putnam-like  compensation  class  education  roots  phalanges  general-survey  multi  usa  GT-101  conceptual-vocab  concept  behavioral-econ  intricacy  composition-decomposition  values  descriptive  correlation  harvard  field-study  migration  poll  status  🎩  🌞  chart  anthropology  cultural-dynamics  psychology  social-psych  sociology  cooperate-defect  justice  egalitarianism-hierarchy  inequality  envy  n-factor  axelrod  pdf  microfoundations  nationalism-globalism  africa  intervention  counter-revolution  tribalism  culture  society  ethnocentrism  coordination  world  developing-world  innovation  econ-productivity  government  stylized-facts  madisonian  wealth-of-nations  identity-politics  public-goodish  s:*  legacy  things  optimization  curvature  s-factor  success  homo-hetero  higher-ed  models  empirical  contracts  human-capital  natural-experiment  endo-exo  data  scale  trade  markets  time  supply-demand  summary 
august 2017 by nhaliday
Annotating Greg Cochran’s interview with James Miller
https://westhunt.wordpress.com/2017/04/05/interview-2/
opinion of Scott and Hanson: https://westhunt.wordpress.com/2017/04/05/interview-2/#comment-90238
Greg's methodist: https://westhunt.wordpress.com/2017/04/05/interview-2/#comment-90256
https://westhunt.wordpress.com/2017/04/05/interview-2/#comment-90299
You have to consider the relative strengths of Japan and the USA. USA was ~10x stronger, industrially, which is what mattered. Technically superior (radar, Manhattan project). Almost entirely self-sufficient in natural resources. Japan was sure to lose, and too crazy to quit, which meant that they would lose after being smashed flat.
--
There’s a fairly common way of looking at things in which the bad guys are not at fault because they’re bad guys, born that way, and thus can’t help it. Well, we can’t help it either, so the hell with them. I don’t think we had to respect Japan’s innate need to fuck everybody in China to death.

https://westhunt.wordpress.com/2017/03/25/ramble-on/
https://westhunt.wordpress.com/2017/03/24/topics/
https://soundcloud.com/user-519115521/greg-cochran-part-1
2nd part: https://pinboard.in/u:nhaliday/b:9ab84243b967

some additional things:
- political correctness, the Cathedral and the left (personnel continuity but not ideology/value) at start
- joke: KT impact = asteroid mining, every mass extinction = intelligent life destroying itself
- Alawites: not really Muslim, women liberated because "they don't have souls", ended up running shit in Syria because they were only ones that wanted to help the British during colonial era
- solution to Syria: "put the Alawites in NYC"
- Zimbabwe was OK for a while, if South Africa goes sour, just "put the Boers in NYC" (Miller: left would probably say they are "culturally incompatible", lol)
- story about Lincoln and his great-great-great-grandfather
- skepticism of free speech
- free speech, authoritarianism, and defending against the Mongols
- Scott crazy (not in a terrible way), LW crazy (genetics), ex.: polyamory
- TFP or microbio are better investments than stereotypical EA stuff
- just ban AI worldwide (bully other countries to enforce)
- bit of a back-and-forth about macroeconomics
- not sure climate change will be huge issue. world's been much warmer before and still had a lot of mammals, etc.
- he quite likes Pseudoerasmus
- shits on modern conservatism/Bret Stephens a bit

- mentions Japan having industrial base a tenth the size of the US's and no chance of winning WW2 around 11m mark
- describes himself as "fairly religious" around 20m mark
- 27m30s: Eisenhower was smart, read Carlyle, classical history, etc.

but was Nixon smarter?: https://www.gnxp.com/WordPress/2019/03/18/open-thread-03-18-2019/
The Scandals of Meritocracy. Virtue vs. competence. Would you rather have a boss who is evil but competent, or good but incompetent? The reality is you have to balance the two. Richard Nixon was probably smarter that Dwight Eisenhower in raw g, but Eisenhower was probably a better person.
org:med  west-hunter  scitariat  summary  links  podcast  audio  big-picture  westminster  politics  culture-war  academia  left-wing  ideology  biodet  error  crooked  bounded-cognition  stories  history  early-modern  africa  developing-world  death  mostly-modern  deterrence  japan  asia  war  meta:war  risk  ai  climate-change  speculation  agriculture  environment  prediction  religion  islam  iraq-syria  gender  dominant-minority  labor  econotariat  cracker-econ  coalitions  infrastructure  parasites-microbiome  medicine  low-hanging  biotech  terrorism  civil-liberty  civic  social-science  randy-ayndy  law  polisci  government  egalitarianism-hierarchy  expression-survival  disease  commentary  authoritarianism  being-right  europe  nordic  cohesion  heuristic  anglosphere  revolution  the-south  usa  thinking  info-dynamics  yvain  ssc  lesswrong  ratty  subculture  values  descriptive  epistemic  cost-disease  effective-altruism  charity  econ-productivity  technology  rhetoric  metameta  ai-control  critique  sociology  arms  paying-rent  parsimony  writing  realness  migration  eco 
april 2017 by nhaliday

bundles : bizness

related tags

ability-competence  academia  acemoglu  africa  agriculture  ai  ai-control  alesina  alignment  alt-inst  altruism  anglo  anglosphere  anthropology  antidemos  aristos  arms  asia  attaq  audio  authoritarianism  axelrod  axioms  behavioral-econ  behavioral-gen  being-becoming  being-right  big-peeps  big-picture  biodet  biophysical-econ  biotech  books  bounded-cognition  broad-econ  canada  causation  charity  chart  china  christianity  civic  civil-liberty  class  climate-change  coalitions  cohesion  collaboration  commentary  comparison  compensation  composition-decomposition  concept  conceptual-vocab  conquest-empire  contracts  contrarianism  convexity-curvature  cooperate-defect  coordination  correlation  cost-benefit  cost-disease  counter-revolution  cracker-econ  criminal-justice  critique  crooked  cultural-dynamics  culture  culture-war  curvature  cycles  cynicism-idealism  darwinian  data  death  decentralized  decision-making  demographics  descriptive  deterrence  developing-world  discipline  discrimination  discussion  disease  diversity  dominant-minority  drugs  early-modern  econ-metrics  econ-productivity  econometrics  economics  econotariat  education  effective-altruism  efficiency  egalitarianism-hierarchy  elite  emotion  empirical  endo-exo  endogenous-exogenous  energy-resources  enlightenment-renaissance-restoration-reformation  environment  envy  epistemic  error  ethanol  ethnocentrism  europe  exit-voice  explanans  expression-survival  field-study  flux-stasis  foreign-policy  garett-jones  gender  general-survey  germanic  gnon  gnosis-logos  gnxp  government  group-selection  growth-econ  GT-101  guilt-shame  hanson  hari-seldon  harvard  heavy-industry  heuristic  higher-ed  history  hive-mind  homo-hetero  honor  human-capital  ideas  identity-politics  ideology  illusion  incentives  inequality  info-dynamics  infrastructure  innovation  institutions  intervention  interview  intricacy  iq  iraq-syria  islam  iteration-recursion  japan  judgement  justice  kinship  knowledge  labor  law  left-wing  legacy  lesswrong  letters  links  list  long-short-run  low-hanging  macro  madisonian  market-failure  markets  measurement  medicine  meta:reading  meta:war  metameta  metrics  micro  microfoundations  migration  mobility  models  monetary-fiscal  morality  mostly-modern  multi  murray  n-factor  nationalism-globalism  natural-experiment  neocons  network-structure  nihil  no-go  nonlinearity  nordic  objective-measure  old-anglo  optimization  order-disorder  org:med  org:ngo  organizing  parasites-microbiome  parsimony  patience  paying-rent  pdf  peace-violence  people  personality  phalanges  pharma  philosophy  poast  podcast  policy  polis  polisci  politics  poll  prediction  profile  protestant-catholic  prudence  pseudoE  psych-architecture  psychiatry  psychology  psychometrics  public-goodish  putnam-like  race  randy-ayndy  rationality  ratty  realness  reason  regression  regulation  religion  responsibility  review  revolution  rhetoric  risk  roots  s-factor  s:*  s:***  scale  scitariat  self-report  shift  signaling  sinosphere  soccer  social-capital  social-norms  social-psych  social-science  society  sociology  spearhead  speculation  sports  spreading  ssc  statesmen  status  stories  strategy  study  stylized-facts  subculture  success  sulla  summary  supply-demand  systematic-ad-hoc  technology  temperature  terrorism  the-classics  the-south  the-world-is-just-atoms  theos  things  thinking  threat-modeling  time  time-preference  top-n  track-record  trade  tribalism  trust  truth  unaffiliated  universalism-particularism  us-them  usa  values  vampire-squid  volo-avolo  war  wealth-of-nations  west-hunter  westminster  wonkish  world  world-war  writing  X-not-about-Y  yvain  zeitgeist  🌞  🎩  👽 

Copy this bookmark:



description:


tags: