279 karma · joined September 16, 2012
But maximizing profit and the tradeoffs that result from that are definitely not equivalent to most appealing to the general population.
This is, as you said, because the amount of money chasing investment opportunities is increasing. I agree that the reasons for this are complex, but one significant reason that the amount of money chasing investment opportunities is increasing is central bank stimulus (not just in the US, but worldwide).
The rise of asset prices definitely is a much more complex issue than just US policy, but I'd still argue that stimulus by the US is one of the causes, not only a symptom.
I agree with you that the US has been more successful in managing the 2008 crisis than the ECB, and that part of that was because we recognized that we needed stimulus earlier on in the crisis. But this doesn't contradict anything else that I said.
I also never made the claim that the counterfactual of no stimulus would have been better - I personally believe it would have been worse, since the economy and labor market would have likely went through a longer and more serious collapse. But again, this does not contradict what I said about central bank stimulus being one of the significant causes in the rise of prices in financial assets.
The QE and stimulus programs from 2008 were significantly more targeted toward the upper and upper-middle classes (arguably without that much trickle-down), and so there wouldn't be much significant inflation as measured by consumer price indices.
But if we look at the assets that rich people invest in (since it's mostly wealthier people who benefited from the 2008 stimulus programs), then I'd say there's been a significant amount of inflation - P/E ratios for stocks have been historically high in the last few years, real estate in desirable cities has gotten significantly more expensive, and bond yields have been low.
We seem to be already seeing some of the same, with the stock market being pushed up by the Fed's commitment to 4T+ in stimulus this time around and ever lower interest rates.
By your argument, taxing a transaction in a market would not ever raise the price charged to the demand side. It's pretty easy to see by reading a chapter about tax incidence (which is different from where the tax is legally placed) and elasticities of supply/demand curves that this is definitely false (not just in theory, but also in practice)
Majors like biology and chemistry have fairly terrible prospects with just a BS degree, but CS and the engineering majors are still quite good. Physics and math are more iffy, but if you know what you're doing and pick up some employable skills on the side, then those majors will at least get you into interviews for good jobs.
There's also the question of what "not enough jobs" means. There are definitely struggling CS majors, but I think that a statement about there not being enough jobs needs to be looked at in a relative way - that is, one needs to consider what the alternative options are and whether those alternatives have better prospects. Many careers have been on the decline, and it's difficult to really identify career paths that are significantly better than computer science / software engineering (at least, at the undergraduate level). Even if we compared careers that required graduate school, the only paths that one could plausibly argue are significantly better than tech are medicine, law, and business (in my opinion). Those three careers all come with their own serious tradeoffs and downsides.
If anyone has information on what career paths are significantly better than CS / engineering, I'd be interested to hear your opinion. Right now, I'm unfortunately not seeing significantly better alternatives.
Imagine a society where scientists are really, really bad at hypothesis generation. In fact, they're so bad that they only test null hypothesis that are true. So in this hypothetical society, the null hypothesis in any scientific experiment ever done is true. But statistically using a p value of 0.05, we'll still reject the null in 5% of experiments. And those experiments will then end up being published in scientific literature. But then this society's scientific literature now only contains false results - literally all published scientific results are false.
Of course, in real life, we hope that our scientists have better intuition for what is in fact true - that is, we hope that the "prior" probability in Bayes' theorem, p(null), is not 1.
I'm partly speaking from personal experience. I had similar stats to you (4.8 GPA weighted, 3.9+ GPA unweighted) in high school and a 2330 SAT (780 math / 780 reading / 770 writing). I also had very high standardized test scores in other areas and numerous extracurriculars / state and national level awards.
I ended up getting rejected from both Stanford and Princeton (though I did get into Yale). Basically, the top colleges are a crapshoot even with stellar stats, and you should really apply to 7-10 colleges with some backups mixed in.
As far as where to go, I'd just give the general advice of making sure you don't take on a significant amount of debt. If you're middle class, MIT, Stanford, and the Ivies should give a lot of financial assistance. It's debatable whether prestigious colleges actually provide better education than good state colleges, but the prestige associated with a top school will help you a lot in the future (like it or not, most of the world is not anywhere close to an approximate meritocracy, which means that prestige will play a significant role in the opportunities open to you after college).
California, Remote, Full Time | Contract | Part Time
Stack: Python, Django, Ruby, Rails, C, Javascript, jQuery, HTML, CSS, MySQL, MongoDB
Resume: http://davidkw.com/resume
Contact: davidwong.xc@gmail.com
I'm looking for interesting work for the next three months. I'm still a student, but I've worked remotely for other companies before and can provide references if needed.
I'm also fairly interested to see how AI / machine learning develops in the future, and I think it will involve more math, so it definitely seems to be a good choice.
Also, I was thinking of "in demand" with a more long term view. I would think that security and artificial intelligence would continue to stay in high demand well into the future.
I mostly just want to choose an area where I can use many different branches of math, so I keep my math skills in practice. I also like writing code, as long as it involves math and is not boilerplate or repetitive.
I'm not sure how much being gifted has to do with it. Strangely, one of the things that has helped develop my framework for life is a fanfiction (Harry Potter and the Methods of Rationality) [1], written by Eliezer Yudkowsky.
I think it's been recommended several times before on Hacker News, but it really is a great fanfiction. The protagonist is an atheist and transhumanist who wants to defeat death.
The author has also written many other essays that I find interesting and sane. I'm an atheist who has occasionally struggled with the idea of death and meaninglessness, and his essays were the first viewpoints that seemed to make sense. [2] [3]
[2] http://yudkowsky.net/other/yehuda
[3] http://lesswrong.com/lw/sc/existential_angst_factory/
I really recommend that anyone here who has struggled with existential depression to read the above three writings. Of course, it's very possible that you'll still be depressed, in which case you'll need to look for other solutions.
But Eliezer's writing helped significantly in cleaning up my life views.
I remember that Hal Abelson was in charge of preparing the report, and he has taught ethics classes at MIT. I'm hoping that he makes some statement about the report at least.
I think the report was supposed to have been released months ago.
I'm also going to point you to http://www.paulgraham.com/todo.html. I think that essay is very applicable to living life well.
The information in those slides does not necessarily contradict what has been said by the tech companies and the government. See https://news.ycombinator.com/item?id=5858387
The rest of the slides might have more conclusive evidence that contradicts the tech companies' and government's statements. We should be asking for those slides to be authenticated and published.
I agree that it's an important conversation we should be having. However, I still don't think Snowden's unsubstantiated claims are irrelevant. We should be asking for more evidence for those unsubstantiated claims.
Specifically, I think it would help greatly if the other slides were released.
Your hypothetical conversation seems likely to devolve into a he-said she-said without more evidence.