Science as Diplomacy, nothing new

Healthcare is a big deal these days. In the US costs are soaring, arguably Obama’s legacy rests on his controversial law the Affordable Care Act, and Republicans have risked shutting down the government over the law. So, it’s no surprise when it’s in the news for other reasons. According to The American Association for the Advancement of Science (AAAS), the group that publishes the prestigious journal Science, healthcare is now starting to impact diplomacy. Researchers from several different countries are creating novel ways to introduce addicts in both China and the US to the other’s style of medicine. In the US traditional Chinese methods are being experimented within clinics. While in China “western” medicine is being introduced in a very specific manner to address the same issues.

There are several organizations beyond the one I linked to above that deal with cross-cultural issues using either science, engineering, or healthcare. Organizations like Doctor’s Without Boarders work in many different parts of the world to bring care to those in need. These are volunteers that are doing good deeds to bring care to those that otherwise wouldn’t be able to afford it.

A similar organization is Engineer’s Without Boarders, which improves local conditions of a village or community through technology. For example, one of my friends I met Austin (now teaching at Harvard) would regularly visit a community in Mexico to install different solar panel arrays. This allowed them to have clean drinking water, power for mobile devices, cooking, and heating.

All of these activities help develop good will from one country to another. In fact, foreign exchange students that fully engage with their classmates are also great diplomats. I know that while I was abroad in Europe my friends decided that they would want to visit the US because I introduced them to what people in the US could be like rather than what they’d heard on the TV.

Interestingly, science and engineering have been used for diplomatic reasons for a very long time. I find the most interesting to be the period after World War II. Science played a huge part in rebuilding nearly all of western Europe as well as Japan. Why did we do that? Because we felt having Germany and Japan as allies against the Soviet Union was more important than kicking an enemy while they were down.

The German’s had invented the V2 rocket, which the US wanted to use for our own rockets as well as for nobler purposes. To gain the technical competence to build the rockets we decided to recruit as many Germans scientists as possible and bring them to the US. These were Nazi’s and some of them were likely war criminals, however because we needed them for the Cold War we decided to take advantage of them.

The trade wasn’t simply one way though. The US government encouraged companies to open their doors to European companies. This allowed our allies to rebuild their economy. In fact, the US business leaders like Deming to Japan, which eventually enabled Toyota to best the US automakers with techniques they turned down. These interactions dramatically changed how Europe and Japan evolved over the next few decades.

Diplomacy using science isn’t anything new. It was influential through the Marshall Plan after WWII and will continue to influence the rest of the world. It could be argued that our patent system enables the US prescription drug consumer to subsidize all other economies for their prescription drug use. This is an accidental type of diplomacy that is make the lives better for billions around the world.

I hope that in the future we will continue to influence the world through science and technology support. However, it is best if we help develop the technologies with locals rather than handing them a finished product. As the book Shock of the Old argues in many contexts the newest technology isn’t the best, the best technology is what does the job well enough that the people using the technology can understand and keep running.

Bitcoin, what’s the point?

Digital currency is the biggest new thing on the market. It’s not a new idea at all, however the fact that someone was able to get it up and going is something new. The first time I’d heard of a cyrptocurrency and the potential impact it could have on the economy was in the Cyrptonomicon a 1999 book written by Neal Stephenson, but the idea is clearly much older than that. In fact, Paypal likely was something of a precursor itself to cryptocurrency. It filled a whole for money transferring on the internet, which was difficult in many cases. Paypal and eBay co-evolved as Paypal became the default transaction tool on the site – otherwise every seller would have needed to be able to accept credit cards. Paypal offered a safe way to transfer money directly from one account to another without messing with banks or credit card companies.

After the crash in 2007 and Paypal and other services refusing to transfer funds to Wikileaks people felt it was important to have another option. Fortunately, for those folks Bitcoin was already on the market, having been created in 2009. Bitcoin is essentially a digital version of gold in that users of the currency mine the coins and there is a set limit of 21 million Bitcoins. This has lead to a massive explosion in both awareness and usage of the currency. Currently, many locations accept Bitcoin as a currency so you can buy stuff with it.

Yesterday, Paul Krugman, wrote an op-ed arguing that Bitcoin, like gold, is a foolish standard to adhere too. Essentially, we mine gold and then bury it in a safe and never use it. According to Krugman, Keynes argued that the government should bury printed money and then let private enterprise mine the money – as it’s more desirable to allow private enterprise to spend money rather than government. However, in times where demand is low there’s no incentive for private enterprise to spend that money, unless they can spend it to pull it out of the ground. He then goes to argue that we’re essentially doing the same thing with a Bitcoin mine in Iceland.

This got me thinking a little bit last night. I’m not really sold on Bitcoin, I think that if anything it really points out that the only value in any thing is what people assign to it. Either paper currency, digital, or “precious” metals. Diamonds are artificially high in price because of a cartel. For instance, you can buy a set of lab created diamond earrings weighing in total 2.5 carats for $482 (12/24/2013) but if you were to buy two 1.25 carat diamonds to make those earrings it would put you back over $30,000. There’s a lot of diamonds out there and it’s impossible to tell the difference between lab created and those pulled out of the ground. Yet we put more “value” on the “real” diamonds from the ground. There is nothing intrinsically valuable about diamonds or gold. What both of them are though, are standards for trade, similar to the dollar and Bitcoin.

There is one cyrptocurrency that does have a more altruistic motive though. That one is called Primecoin and it’s encryption algorithm is based upon prime numbers. As the number of Primecoins increase in the market the number of prime numbers eventually discovered will increase. However, this was is mined differently from the other cryptocurrencies so it’s not as easy to switch to this cyrptocurrency. This coin does have an underlying value as every new prime number discovered typically has some sort of prize associated with it as it provides value to the mathematical and scientific communities. What they do with it from there is anyone’s guess. However, it provides value completely disconnected to it’s “value” in the market place.

Could we develop a cryptocurrency that instead of requiring increasingly complex solutions to an encryption key, but one that solves difficult problems at the same time? There are a large number of places where this would be useful such as SETI, Fold.it (folding proteins for science), and researching molecules for big Pharma. I’m sure there are many more options. However, then we take Bitcoin a digital gold and convert it into something more useful to everyone than Primecoin and potentially solve problems as well as mine usable moneys.

Edit: Originally said 40 Million Bitcoins, actually 21 Million

Posting plan

I’ve been thinking about how I want to structure my blog moving forward. The full time I’ve been posting, I’ve written whatever has been popping up in the news and has been really dependent on how much time I was able to spend looking at the news and thinking about what’s been going on. I’m thinking of structuring my blog so that I’m writing something about different topics. This will allow me to collect more information over the period of a week or so for a topic rather than whatever came to mind. We’ll see how it works. This is what I’m thinking and I’d like some feedback on two things, first, is this a good idea. Second, if it is then do these topics seem interesting.

Monday: Healthcare
Tuesday: Security/Politics topics
Wednesday: Technology/Policy
Thursday: Science
Friday: Kickstarter/indiegogo technology/science or some other innovation topic
Saturday: generic current events
Sunday: Reader’s choice – follow up on a topic earlier in the week or something like that

Any feedback?

The power of friendship

Today on the Max I was unfortunate enough to hear a rather depressing conversation. During rush hour if two people are talking next to you and you don’t have headphones on you don’t really have much choice (I keep forgetting to bring mine). The conversation started out innocently enough talking about a guy that they both thought was good looking. Then it shifted to insulting the man’s girlfriend saying she wasn’t really attractive. Shortly there after the cuter of the two girls just cuts into the other one. It was absolutely brutal. I looked up from my book at that point and it looked like this girl was about to cry. Over the course of my life I’ve had a lot of female friends and I can say it was the first time I’d heard anything so unexpected, brutal, and uncaring. The girl saying this was commenting about the other girls face and how plain and simple it was because she never wore make up and didn’t know how to wear it anyway. Of course, the one making these comments was wearing plenty.

I can say that I’ve never had friends like that. This has really made me appreciate all the friends that I’ve had over the course of my life. I’ve had to say good-bye to so many because I’ve moved around several times. In some cases it’s been easier to keep in contact than others, but all of them have had a huge impact on my life. It’s my friends (wife included obviously as my best friend), that really make me work to become a better person. Dan of KBMOD fame has been and continues to be one of the major inspirations for my blogging. My friends over in The Netherlands encouraged me to write and really enjoyed it as well.

It’s because of these people that I’ve been successful and hopefully continue to be. In my most recent move in the US, I’m really beginning to realize how lucky I’ve been with my friends so far. They are fantastic people. I’ve been in Portland for 4 months now and this has been the hardest I’ve had with making new friends. Partially this is my fault because of where I live and how little time I have after work. Partially, it’s a lot of work to find people that you really want to be around. In a place where you have no family, it’s your friends that become your support network. Building the right kind of network is tough.

Friends are such a powerful influence in our lives and I think we underappreciate them too much. I’m glad my friends are who they are and I’m really glad I don’t have vicious negative people in my life. It would make life much less enjoyable to be around people that hurt you because they can.

Thanks for being who you are, you jerks.

Inequality, is the attention going to drive change?

In the last few weeks there has been a huge amount of focus on inequality. The attention has been riding a bit of roller coaster since the Great Recession started in 2008 when the focus was on Occupy Wallstreet and the inequality because of the action of the bankers. However, Elizabeth Warren began to really shift the conversation away from just inequality to the total system that enables the inequality. In fact, she started to argue that our minimum wage wasn’t keeping up with the rate of productivity of the economic system. As I argued in my piece on Minimum wage there’s not much impact on local jobs comparatively to the theories that minimum wage increases would dramatically increase unemployment.

However, Wal-Mart and McDonald’s brought the conversation back to the fore through the food drive for Wal-Mart employees that couldn’t afford food for Thanksgiving. According to many theories of efficiency to maximize profit Wal-mart must continually drive lower costs through less employees doing more. However, there’s been some negative repercussions to this beyond the extremely low salaries for the majority of employees, it’s also impacted the stocking of shelves which can reduce sales. Wal-Mart’s salaries and behaviors have caught the attention of professors at Harvard, recently there was an HBR Blog post about Wal-mart’s food drive – I strongly suggest reading that article. It provides great perspective about the impact of low salaries. Essentially, if the bulk of Wal-Mart employees work full time at $7.25 per hour they are well below poverty line, which means that these employees would end up getting food stamps. Employees with a family of 4 need to make at least $15/$16 per hour to be above the poverty line. That gap of $7.75 that provides food stamps and medicare for these employees. The author is arguing that these government benefits aren’t purely entitlements for minimum wage workers, but also entitlements for the companies as well.

Of course HBR isn’t the only place arguing that inequality is a serious problem. Paul Krugman, the Pope, and the recent article in the Guardian (that I wrote about in Taking the Long View) are as well. Paul Krugman arguing this isn’t exactly surprising, he’s been arguing that inequity and the result of the recession has had massive negative impact on the economy. The long term under employment of workers is continuing to cause damage to our economy.

The real question is will this conversation actually drive any change? Will we see any change in policy? There has been some recent shifts in the republican perspective of the budget. Which may actually relax the demands on cutting unemployment and other “entitlements.”  Studies have shown that every dollar spent on unemployment adds about $1.64 into the economy. So this is something that will likely have a positive impact on the economy, if we do some different thinking about what we’re spending money on. That being said, I’m very skeptical that in our current state of politics that we’ll see any serious change in how to treat economic inequity in terms of changes in tax policy which can reduce inequality.

I think that at this point it would require a serious popular swing in opinion to drive the change through the elections. In most states that are negatively impacted by inequality, this is an unlikely occurrence as they are republican strongholds.

What can we do about inequality? Well, if you’re an employer work to make sure you pay fair wages. As a consumer we can make choices to buy products at locations that provider higher wages and access to benefits – we can also chose to boycott companies that do not pay a living wage. As I explained in my article about health costs, proper healthcare reduces quality of life and reduces inequality. As a employee of a company that pays low wages, you can work to ensure all employees that work for you receive a living wage through salary increases or other support. This won’t drive systemic changes though and if we want those we’ll have to work through contact our political leaders to drive change. Without these choices we will not see changes and will continue to have inequality. This inequality will likely only get worse over the next several years.