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    News & Politics

    Let’s Know Things

    A calm, non-shouty, non-polemical, weekly news analysis podcast for folks of all stripes and leanings who want to know more about what’s happening in the world around them. Hosted by analytic journalist Colin Wright since 2016.

    letsknowthings.substack.com

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    Copyright: © 2018 Colin Wright

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    Latest Episodes:
    Ukraine Conflict Implications Mar 11, 2025
    Show notes

    This week we talk about Euromaidan, minerals deals, and propaganda.We also discuss European security, NATO, and the western-led world order.Recommended Book: Storm Front by Jim ButcherTranscriptIn February of 2014, pro-Russian protests racked parts of southeastern Ukraine and Russian soldiers, their uniforms and weapons stripped of flags and other identifying markers, occupied another part of Ukraine called Crimea.This was seemingly in response to Ukraine’s overthrow of its pro-Russian president, Viktor Yanukovych, who was toppled as part of the Euromaidan protests, which were themselves a response to Yanukovych deciding to aim for closer ties with Russia, rather than signing an association agreement with the EU, which would have committed Ukraine to several EU-oriented reforms, related to corruption, among other things, while also giving Ukrainians many new rights, including visa-free movement and access to the European Investment Bank, beginning a few years later, in 2017.This sudden pivot away from the EU and toward Russia didn’t go down well with the Ukrainian public, which had repeatedly shown it wanted to lean toward the west, and the Euromaidan protests were focused on weeding out government corruption; the existing government was accused of being all sorts of corrupt, and had also been accused of human rights abuses and allowing Russian oligarchs undo influence at the highest rungs of power; Yanukovych was in Russia’s pocket, basically, and his overthrow made Russia worry that they would lose control of their neighbor.So Russia moved in to take part of Ukraine, basically uncontested, both internally and externally—a lot of other governments made upset noises about this, but Russia gave itself cover by removing their flags from their personnel, and that gave them the ability to paint everything that happened as a natural uprising from within Ukraine, the people wanting freedom from their Ukrainian oppressors, and Russia was just supporting this cry to overthrow oppressive tyrants, because they’re very nice and love freedom.For the next eight years, the Ukrainian government fought separatist forces, funded and reinforced by the Russian government, in the southeastern portion of their country, while Russia expanded their infrastructure in Crimea, which again, they stole from Ukraine early on, and where they previously leased vital naval facilities from Ukraine; and those facilities are assumed to be a big part of why all this went down the way it did, as without said naval facilities, they wouldn’t have a naval presence in the Black Sea.Then, in February of 2022, after a multi-month buildup of troops and military hardware along their shared border, which they provided all sorts of excuses for, and which many commentators and governments around the world excused as just a bunch of saber-rattling, nothing to worry about, Russia launched a full-scale invasion of Ukraine, initially aiming for a blitzkrieg-like assault that was meant to take Ukraine’s capital city, Kyiv, and decapitate the country’s government within just days, at which point they could replace the government with someone who’s working for them, another puppet they controlled.As of the day I’m recording this, in early March of 2025, the war is still ongoing, though. And in the years since it began, it’s estimated that more than a million people have been killed or injured, while entire cities across Ukraine have been leveled and tens of thousands of Ukrainian refugees have fled Russia’s forces as they’ve raped and pillaged and murdered their way across the Ukrainian countryside, those refugees leaving for destinations around the world, but creating a refugee crisis in nearby European nations like Poland and Germany, in particular.There’s been a lot of back and forth in this conflict, Russia initially thought to have a massive upper hand, probably winning within days, as intended, but then Ukraine held fast, Russia redeployed its troops and armor, Ukraine got some remarkable counter-attacks in, and then Russia started to reset its economy to allow for a more drawn-out conflict.As of early 2025, Russia is once against considered to have the upper-hand, and though Ukraine has been holding the line even in the most under-assault regions in the eastern portion of its territory, and has in recent weeks managed to take some Russian-held territory back, Russia’s comparably larger number of troops, its recent resupply of soldiers from North Korea, its larger economy and number of supply chains, and its relationships with entities like China and Iran, in addition to North Korea, all of which have been supplying it with things it needs to keep the war effort going, at length, have all conspired to put Ukraine on the back foot.Additionally, Ukraine is struggling, after this many years of total war, to refill empty boots and make do with whatever their allies can and will offer them, in terms of money, weapons, but also the basics, like food and fuel. They’ve been able to shore-up some limited aspects of their economy, and have innovated like crazy when it comes to things like drones and other fundamentals of asymmetric, defensive warfare, but right now at least, the larger forces swirling around in the geopolitical realm are making life difficult for Ukraine, and for those who are still supporting them.And that’s what I’d like to talk about today; the continuing conflict in Ukraine, but especially what’s happening on the sidelines, beyond the battle itself—and how those sideline happenings might lead to some fundamental changes in how Europe is organized, and the makeup of the modern world order.—At this point I’ve done probably half a dozen or more episodes on this conflict; it’s long-lasting, it’s big, it’s important locally, but also globally, and it’s been informing both geopolitical and economic outcomes since day one.Today I’d like to talk about some recent happenings, most of them from the past few months, that could prove impactful on the eventual outcome of this conflict, and might even determine when that end of fighting arrives.And at the center of these happenings is recently reelected US President Trump, who has always had a, let’s call it unusual, public appreciation for Russian President Putin, and the strongman image he and other global authoritarians wield, while at the same time not being a big fan of Ukrainian President Zelensky—perhaps in part because Trump called Zelensky back in 2019 to try to get him to come up with evidence supporting a debunked conspiracy theory about his opponent, Joe Biden’s administration, related to alleged impropriety in US-Ukrainian relations.Zelensky could find no such evidence, and when he told Trump there was nothing to be found, Trump blocked payments on $400 million worth of military aid for Ukraine, holding it hostage until Zelensky came up with what he wanted. This became a big scandal only after the fact, and before it could be made public or became known by congress via a whistleblower complaint, Trump released the money. This led to a formal impeachment inquiry into Trump later that year, which led to his impeachment for abusing his power and obstructing Congress—but he was then acquitted by the Republican-led Senate.This, it’s thought, may have colored Trump’s behavior toward Zelensky when the two men sat down, alongside several other US officials, including US Vice President JD Vance, to discuss a potential mineral deal between the US and Ukraine, which was based on an earlier deal that the Ukrainian government dismissed.The original deal basically required that Ukraine exploit its mineral wealth and put half of the money it makes from those minerals into a fund that would be used to pay the US back for the military assistance it’s provided so far, to the tune of $500 billion; which is quite a lot more than the $175 billion or so the US has spent on this conflict since Russia invaded, only $128 billion of which has directly aided the Ukrainian government, as opposed to funding US activities associated with the war, or supporting other affected countries thereabouts.So originally the US asked for more than double what’s been provided so far, in return, paid for by Ukraine’s mineral wealth, which includes a lot of the types of rare earth minerals that are vital for common modern technologies, like computers, batteries, and solar panels.That didn’t fly, mostly because it didn’t contain a security guarantee for Ukraine—the US saying it would protect them if necessary, basically, in exchange for this huge sum of money—so the new deal asked for $500 billion be placed in a fund, and that fund would be jointly controlled by the US and Ukraine, the funds used to rebuild the country after the war.50% of all revenues from Ukrainian natural resources newly exploited after the war, so not from existing mines and ports and such, would be put into this fund. Like the first time around, this deal didn’t include a security agreement from the US, but the general idea was that this fund would incentivize new investment in the area, and because Ukraine has a lot of unexploited mineral wealth, this could give the US a new source for these sorts of valuable raw materials that are currently mostly controlled by China, but which the US government is attempting to claim more of, now that it’s realized it’s way behind on locking down sources of these really important things.At the meeting where this second deal was meant to be signed, though, Zelensky flying to the US to sit down with Trump to make it happen, the President and Vice President more or less verbally attacked Zelensky, criticizing him for not being more overtly grateful, and telling him he was wrong when he said that Russia started the war by invading Ukraine.It was all pretty bizarre, and even folks in Trump’s own party seemed pretty puzzled by the whole thing, some of them calling it embarrassing, as Trump and Vance were basically parroting Putin’s propaganda that no one actually believes because they ignore easily verifiable facts.In any event, this led to a lot of fallout between the US and Ukrainian governments, with Trump suggesting he would lean more heavily on Ukraine to get them to accept peace on Russia’s terms, because the Ukrainians couldn’t see reason and accept his version of reality, essentially.Trump has also suggested that he’s been talking a lot with Putin, and that he believes Putin wants peace, and it’s time to end the war. Putin, for his part, has not seemed inclined to give up anything in order to achieve peace, and Russian attacks on Ukraine have increased in scale since Trump came into office, and even more so after talks about a supposed peace agreement began.All of which has had implications on the ground.In Ukraine, Ukrainian soldiers have had to operate with fewer resources, as Trump cut off additional funding and supply shipments, post-meeting. He recently ordered that the US not share intelligence with them, too, and they cut off the sharing of satellite imagery, which Ukraine has used to great effect to strike Russian targets from a distance.This has also had implications across Europe, though, as while Ukraine is being invaded now, there are concerns that if Putin gets away with taking part or all of Ukraine, he’ll go for other previous Soviet assets, next, maybe starting with the Baltic nations—Estonia, Latvia, and Lithuania—and then tearing off chunks of Poland, Finland, or other neighbors that were previously part of the Soviet Union, like eastern Germany.The European Union, despite a fair bit of warning about Trump’s stance on the issue, and the possibility that he would return to office, has been seemingly dumbstruck by Trump’s sudden pivot away from supporting Ukraine, and away from NATO more broadly, toward a stance that favors Russia, instead. European governments have been scrambling to come up with an aid package that will replace some of what the US would have given, and have started sharing more intelligence, as well, including satellite imagery.It won’t be easy, though, as the US versions of these things, from monetary resources to eyes in the sky vastly outshine what even the combination of British, French, and German assets can offer—at least at this stage. And the US has traditionally handled the lion’s share of spending and building in these areas, shouldering the majority of NATO spending, because, well, it could, and that was a major premise of the post-WWII, western-led world order. The US said it would protect global capitalist democracies with its military might and nukes, if necessary, and European nations have been generally happy with this setup as it has generally allowed European governments to spend less money on their militaries and more on other stuff.That state of affairs seems to have ended, or at the very least become too unreliable to bet on, though, so EU nations are attempting to fill in the gaps left by the suddenly less-reliable-seeming US government, not just for Ukraine, but for themselves, as well.Poland’s president recently announced that he wants to develop nuclear weapons and wants every adult male to undergo military training, so the country can field an army 500,000-strong.The French president has said he wants to extend his country’s nuclear umbrella—guaranteed deterrence, basically, using nuclear weapons—to the whole of the EU. France has far fewer nukes than the US and Russia, but this captures a sense of the moment in the Union, where a bunch of currently underfunded militaries are realizing they might not be able to rely on the US in a pinch. And while they collectively have a lot more people and resources than Russia, Russia is fully mobilized and has shown itself to be willing to attack sovereign nations, whenever it pleases, caring a lot less for the human lives it spends, in the process, than is typical in western-style democracies.Even short of full-scale, out of nowhere invasions, Russia could pose a threat to European governments via asymmetrical routes. It’s been seemingly approving all sorts of espionage operations meant to increase immigration arrivals in European nations where immigration is already a hot-button issue, nudging politics to the far-right, and it’s allegedly been attacking infrastructure, in terms of hacking and just blowing stuff up, in order to sow discord and fear.As I mentioned earlier, too, part of Germany was previously held by the Soviet Union, and that same part of the country has recently voted heavily in favor of the country’s furthest-right party, which wants stronger ties with Russia. So while conventional military issues are at the forefront of discussion, right now, Russia’s long history of asymmetric warfare is also getting a fair bit of attention, as it could conceivably use these groups as a casus belli to attack, carving off pieces of its European neighbors and slowly incorporating them into its sphere of influence, similar to what it did in Ukraine, beginning in 2014; if eastern Germany supports Russia, it could fund and in other ways support uprising efforts in these regions, creating chaos and potentially even breaking off separatist states that would pull those regions into Russia’s orbit.It’s a tumultuous moment in this part of the world, then, in part because of the conflict that’s still ongoing—a much larger and more powerful nation having invaded its smaller, less-powerful neighbor. But it’s also tumultuous because of the implications of that conflict, especially if Russia comes out on top. If they win, there would seem to be a far greater chance of their deciding to keep the ball rolling, replicating a model that worked (without significant long-term consequences) across more neighboring nations.And if they can do that before Europe reinforces itself—assuming that’s what the EU does, as it can be difficult to get a bunch of people with a bunch of at times competing interests to agree on anything, and even mo…

    Full show notes at the publisher

    Blue Ghost Mission 1 Mar 04, 2025
    Show notes

    This week we talk about Luna 2, soft-landings, and Firefly Aerospace.We also discuss the private space launch industry, lunar landers, and regolith.Recommended Book: The Mercy of Gods by James S.A. CoreyTranscriptIn 1959, Luna 2, a Soviet impactor-style spacecraft, successfully reached the surface of the Moon—the first-ever human-made object to do so.Luna 2 was very of its era; a relatively simple device, similar in many ways to the better-known Sputnik satellite, but getting a craft to the moon is far more difficult than placing something in orbit around Earth, in part because of the distance involved—the Moon is about 30-Earth’s from the surface of the earth, that figure varying based on where in its elliptical orbit it is at the moment, but that’s a good average, around 239,000 miles which is about 384,000 km, while Sputnik’s orbit only took it something like 359 miles, around 578 km from the surface. That’s somewhere in the neighborhood of 670-times the distance.So new considerations, like fuel to get there, but also charting paths to the moon that would allow the human-made object to actually hit it, rather than flying off into space, and even figuring out whether craft would need to be designed differently if they made it out of Earth’s magnetic field, were significant hurdles that had to be leapt to make this mission a success; everything was brand new, and there were gobs of unknowns.That said, this craft didn’t settle onto the moon—it plowed into it like a bullet, a so-called ‘hard landing.’ Which was still an astonishing feet of research and engineering, as at this point in history most rockets were still blowing up before making it off the launch pad, including the projects that eventually led to the design and launch of Luna 2.The US managed their own hard landing on the Moon in 1962, and it wasn’t until 1966 that the first soft landing—the craft slowing itself before impact, so that some kind of intact device would actually continue to exist and function on the surface of the moon—was accomplished by the Luna 9.The Luna 9 used an ejectable capsule that was protected by airbags, which helped it survive its 34 mph, which is about 54 kmh impact. This successful mission returned the first panoramic photographs from the surface of the moon, which was another notable, historic, incredibly difficult at the time feat.A series of rapid-fire firsts followed these initial visits, including the first-ever crewed flight to the Moon, made by the US Apollo 8 mission in 1968—that one didn’t land, but it did circle the Moon 10 times before returning to Earth, the first successful crewed mission to the surface of the Moon made by the Apollo 11 team in 1969, and by the early 70s humans had made several more moon landings: all of them were American missions, as the US is still the only country to have performed successful crewed missions to the Moon’s surface, but the Apollo 11, 12, 14, 15, 16, and 17 missions all put people on the lunar surface, and then returned them safely to Earth.The Luna 24, another Soviet mission launched in 1976, was the last big space race era mission to return lunar samples—chunks of moon rock and regolith—to earth, though it was a robotic mission, no humans aboard. And by many measures, the space race actually ended the previous year, in 1975, when Apollo and Soyuz capsules, US and Soviet missions, respectively, docked in orbit, creating the first international space mission, and allowing US astronauts and Soviet cosmonauts to shake hands, symbolically burying the hatchet, at least in terms of that particular, non-earthbound rivalry.What I’d like to talk about today is a recent, successful soft landing on the lunar surface that’s historic in nature, but also contemporarily significant for several other reasons.—Firefly Space Systems was founded in the US in 2014 by a team of entrepreneurs who wanted to compete with then-burgeoning private space companies like SpaceX and Virgin Galactic by, like these competitors, reducing the cost of getting stuff into low Earth orbit.They were planning to become profitable within four years on the back of the also-burgeoning small satellite industry, which basically means selling space on their rockets, which are capable of carrying multiple small satellites on what’s often called a ‘rideshare’ basis, to companies and agencies that were keen to launch their own orbital assets.These smaller satellites were becoming increasingly popular and doable because the tech required was shrinking and becoming cheaper, and that meant you no longer needed a boggling amount of money to do basic research or to lob a communications satellite into orbit; you could spent a few million dollars instead of tens or hundreds of millions, and buy space on a rocket carrying many small satellites, rather than needing to splurge on a rocket all by yourself, that rocket carrying only your giant, extremely costly and large conventional satellite.This path, it was hoped, would provide them the benefits of economies of scale, allowing them to build and launch more rockets, which in turn would bring the costs of such rockets and launches down, over time.And the general concept was sound—that’s basically what SpaceX has managed to do, with mammoth success, over the past decade completely rewiring how the space launch industry works; their many, reusable rockets and rocket components, and abundant launches, many of which are used to lob their own StarLink in-orbit satellites into space, while also usually carrying smaller satellites provided by clients who pay to go along for the ride, bringing all of these costs down dramatically.So that model is basically what Firefly was aiming for, as well—but the Firefly team, which was made up of folks from Virgin Galactic, SpaceX, and other industry entities was sued by Virgin Galactic, which alleged that a former employee who left them to work for Firefly provided Firefly with intellectual property and committed what amounts to espionage, destroying data and hardware before they left.These allegations were confirmed in 2016, and some of Firefly’s most vital customers and investors backed out, leaving the company without enough money to move forward. A second lawsuit from Virgin Orbit against Firefly and some of its people hit that same year, and that left the company insolvent, its assets put up for auction in 2017.Those assets were bought by an investment company called Noosphere Ventures, which relaunched Firefly Space Systems as Firefly Aerospace. They then reworked the designs of their rockets a bit and relocated some of the company’s research assets to Ukraine, where the head of Noosphere Ventures is from.They picked up a few customers in the following years, and they leased a private launch pad in Florida and another in California. In 2021, they were awarded more than $90 million to develop exploration tech for the Artemis Moon program, which was scheduled for 2023 and was meant to help develop the US’s private space industry; NASA was trying out a model that would see them hire private companies to deliver assets for a future moon-based mission, establishing long-term human presence on the moon, over the course of several years, and doing so on a budget by basically not having to build every single aspect of the mission themselves.That same year, the head of Noosphere Ventures was asked by the US Committee on Foreign Investment to sell nearly 50% of his stake in Firefly for national security reasons; he was born in Ukraine, and the Committee was apparently concerned about so much of the company’s infrastructure being located in a country that, even before Russia invaded the following year, was considered to be a precarious spot for security-vital US research and development assets.This is considered to be something of a scandal, as it was implied that this Ukrainian owner was himself under suspicion of maybe being a Russian asset—something that seems to have been all implication and no substance, as he’s since moved back to Ukraine and has gone on to be something of a war hero, providing all sorts of tech and other resources to the anti-invasion effort.But back then, he complied with this request, though not at all happily—and it sounds like that unhappiness was probably justified, though there are still some classified documents on the matter that maybe say otherwise; we don’t know for sure publicly right now.In any event, he and Noosphere sold most of their stake in Firefly to a US company called AE Industrial Partners, and the following year, in 2022 it successfully launched, for the first time, its Alpha rocket, intended to be its core launch option for small satellite, rideshare-style customers.The satellites placed in orbit by that first launch didn’t reach their intended height, so while the rocket made it into orbit, another launch, where the satellites were placed where they were supposed to go, actually happened in 2023, is generally considered to be the first, true successful launch of the Alpha rocket.All of which is interesting because this component of the larger space industry has been heating up; SpaceX has dominated, soaking up most of the oxygen in the room and claiming the lion’s share of available contracts. But there are quite a few private space companies from around the world profitably launching rockets at a rapid cadence, these days. And many of them are using the same general model of inexpensive rideshare rockets carrying smaller satellites into orbit, and the money from those launches then funds their other explorations, ranging from government mission components like rovers, to plans for futuristic space stations that might someday replace the aging International Space Station, to larger rockets and launch craft that might further reduce the cost of launching stuff into space, while also potentially serving as in-orbit or off-planet habitations—as is the case with SpaceX’s massive Starship craft.This is also notable, though, because Firefly launched a lander as part of its Blue Ghost mission, to the Moon on January 15 of 2025. That craft reached the moon, and successfully soft-landed there, on March 2 the same year.This lander was partly funded by that aforementioned 2021 Artemis award by NASA—it ultimately received just over $100 million from the agency to conduct this mission—and it was launched atop a SpaceX Falcon 9 rocket, as the company’s own Alpha rockets don’t yet have the right specs to launch their lander, the Blue Ghost M1; which interestingly shared space in this rocket with another lander produced by a Japanese company called ispace, whose name you might recognize, as ispace managed to get a previous lunar lander, the Hakuto-R 1, to the moon in 2023, but communication was lost with the craft a few seconds before it was scheduled to land. It was confirmed later that year that the lander crashed; though again, even just getting something to the moon is a pretty impressive feat.So this SpaceX rocket, launched in mid-January of 2025, had two competing lunar landers on it, one made by Firefly and one made by ispace. That latter lander is scheduled to arrive on the surface sometime in early May of this year, though that might change, based on all sorts of variables. But the former, Firefly’s Blue Ghost, successfully touched-down, soft-landing on the lunar surface on March 2.There’s another lander from Intuitive Machines—the American company that can claim to be the first to successfully soft-land on the lunar surface, but whose first effort tipped over. Their new lander could arrive as soon as March 6, just days after Blue Ghost, and it’ll be aiming for an area just 100 miles from the moon’s south pole; an area that’s of particular interest because of water ice contained in permanently shadowed areas thereabouts, which could be vital for long-term human occupation of the moon.So things are heating up on the lunar surface these days, but soft-landing something on the moon is still an accomplishment that few nations, much less private companies, have managed.In the past decade alone, India, Russia, and a nonprofit based in Israel have attempted and failed to achieve soft-landings, and those aforementioned Japanese and US companies managed to soft-land on the moon, but their landers tipped over, limiting the amount of research they could conduct once there. China is the only nation to have successfully achieved this feat on their first attempt, and they benefitted from decades of preexisting research and engineering know-how.And it’s not surprising that this is such a rare feat: in addition to the incredible distances involved, the Blue Ghost lander was traveling at around 3,800 mph, which is more than 6,100 kpm just 11 minutes before it landed. It then had to slow itself down, while also adjusting its orientation in order to safely land on an uneven, crater-paved moonscape; it slowed to the pace of a slow walk just before it touched down.Science-wise, this lander is carrying tools that will help it measure the stickiness of regolith on different materials, that will allow for more precise measurements of the distance between earth and the moon, and that will help researchers study solar winds, radiation-tolerant technologies, and the moon’s mantle. It has equipment that allowed it to detect GPS and Galileo signals from earth, which suggests these satellites might be used by craft and rovers on the moon, for navigation, at some point, and it has a drill that will allow it to penetrate the lunar regolith up to nine feet deep, among several other project assets.This has also served as a sort of proof of concept for this lander and mission type, as another Blue Ghost lander is scheduled to launch in 2026, that one aiming for the far side of the moon, with a third currently meant to head out in 2028, destined for a currently under-explored volcanic region.The aggregate goal of these US missions, alongside the research tools they deliver, is to eventually start building-out and supplying the necessary infrastructure for long-term human occupation of the moon, culminating with the construction of a permanently crewed base there.These sorts of ambitions aren’t new, but this approach—funding companies to handle a lot of the legwork, rather than keeping those sorts of efforts in-house, within NASA—is novel, and it arguably recognizes the nature of the moment, which is increasingly defined by cheaper and cheaper, and in most ways better and better offerings by private space companies, while those deployed by NASA are still really solid and impressive, but incredibly slow and expensive to develop and deploy, in comparison.This is also happening at a moment of heightened geopolitical competition in space, and one in which private entities are equipping the nation states that would have traditionally dominates this industry.China’s space agency has enjoyed a flurry of moon-related successes in recent years, and many of these missions have relied at least in part on efforts by private, or pseudo-private, as tends to be the case in China, companies.Business entities from all over the world are also regularly making the satellites and probes and components of landers that make these things work, so solar system exploration and space travel are no longer the exclusive wheelhouses of government agencies—the private sector is becoming a lot more influential in this area, and that’s led to some novel security issues, alongside massive swings in influence and power for the folks running these companies: perhaps most notably SpaceX CEO Elon Musk’s increasing sway over governments and even inter-governmental conflict, due in part to his company’s space launch capabilities, and their capacity to beam internet down to conflict zones, earthside, via their StarLink satellite array.So this is an area that’s heating up, both for earthbound and space-faring reasons, and the incentives and peculiarities of the private ma…

    Full show notes at the publisher

    Coffee Inflation Feb 25, 2025
    Show notes

    This week we talk about arabica, robusta, and profit margins.We also discuss colonialism, coffee houses, and religious uppers.Recommended Book: On Writing and Worldbuilding by Timothy HicksonTranscriptLike many foods and beverages that contain body- or mind-altering substances, coffee was originally used, on scale at least, by people of faith, leveraging it as an aid for religious rituals. Sufis in what is today Yemen, back in the early 15th century, consumed it as a stimulant which allowed them to more thoroughly commit themselves to their worship, and it was being used by the Muslim faithful in Mecca around the same time.By the following century, it spread to the Levant, and from there it was funneled into larger trade routes and adopted by civilizations throughout the Mediterranean world, including the Ottomans, the Mamluks, groups in Italy and Northern Africa, and a few hundred years later, all the way over to India and the East Indies.Western Europeans got their hands on this beverage by the late 1600s, and it really took off in Germany and Holland, where coffee houses, which replicated an establishment type that was popularized across the Muslim world the previous century, started to pop up all over the place; folks would visit these hubs in lieu of alehouses, subbing in stimulants for depressants, and they were spaces in which it was appropriate for people across the social and economic strata to interact with each other, playing board games like chess and backgammon, and cross-pollinating their knowledge and beliefs.According to some scholars, this is part of why coffee houses were banned in many countries, including England, where they also became popular, because those up top, including but not limited to royalty, considered them to be hotbeds of reformatory thought, political instability, and potentially even revolution. Let the people hang out with each other and allow them to discuss whatever they like, and you end up with a bunch of potential enemies, and potential threats to the existing power structures.It’s also been claimed, and this of course would be difficult to definitively prove, though the timing does seem to line up, that the introduction of coffee to Europe is what led to the Enlightenment, the Age of Reason, and eventually, the Industrial Revolution. The theory being that swapping out alcohol, at least during the day, and creating these spaces in which ideas and understandings and experiences could be swapped, without as much concern about social strata as in other popular third places, spots beyond the home and work, that allowed all sorts of political ideas to flourish, it helped inventions become realized—in part because there were coffee houses that catered to investors, one of which eventually became the London Stock Exchange—but also because it helped people organize, and do so in a context in which they were hyper-alert and aware, and more likely to engage in serious conversation; which is a stark contrast to the sorts of conversations you might have when half- or fully-drunk at an alehouse, exclusively amongst a bunch of your social and economic peers.If it did play a role in those movements, coffee was almost certainly just one ingredient in a larger recipe; lots of variables were swirling in these areas that seem to have contributed to those cultural, technological, economic, and government shifts.The impact of such beverages on the human body and mind, and human society aside, though, coffee has become globally popular and thus, economically vital. And that’s what I’d like to talk about today; coffee’s role in the global economy, and recent numbers that show coffee prices are ballooning, and are expected to balloon still further, perhaps substantially, in the coming years.—For a long while, coffee was a bit of a novelty outside of the Muslim world, even in European locales that had decently well-established coffeehouses.That changed when the Dutch East India Company started importing the beans to the Netherlands in the early 17th century. By the mid-1600s they were bringing commercial-scale shipments of the stuff to Amsterdam, which led to the expansion of the beverage’s trade-range throughout Europe.The Dutch then started cultivating their own coffee crops in colonial territories, including Ceylon, which today is called Sri Lanka, and the island of Java. The British East India Company took a similar approach around the same time, and that eventually led to coffee bean cultivation in North America; though it didn’t do terribly well there, initially, as tea and alcoholic beverages were more popular with the locals. In the late 18th century, though, North Americans were boycotting British tea and that led to an uptick in coffee consumption thereabouts, though this paralleled a resurgence in tea-drinking back in Britain, in part because they weren’t shipping as much tea to their North American colonies, and in part because they conquered India, and were thus able to import a whole lot more tea from the thriving Indian tea industry.The Americas became more important to the burgeoning coffee trade in the mid-1700s after a French naval officer brought a coffee plant to Martinique, in the Caribbean, and that plant flourished, serving as the source of almost all of today’s arabica coffee beans, as it was soon spread to what is today Haiti, and by 1788, Haiti’s coffee plantations provided half the world’s coffee.It’s worth remembering that this whole industry, the portion of it run by the Europeans, at least, was built on the back of slaves. These Caribbean plantations, in particular, were famously abusive, and that abuse eventually resulted in the Haitian revolution of 1791, which five years later led to the territory’s independence.That said, coffee plantations elsewhere, like in Brazil and across other parts of South and Central America, continued to flourish throughout this period, colonialists basically popping into an area, conquering it, and then enslaving the locals, putting them to work on whatever plantations made the most sense for the local climate.Many of these conquered areas and their enslaved locals were eventually able to free themselves, though in some cases it took a long time—about a century, in Brazil’s case.Some plantations ended up being maintained even after the locals gained their freedom from their European conquerers, though. Brazil’s coffee industry, for instance, began with some small amount of cultivation in the 1720s, but really started to flourish after independence was won in 1822, and the new, non-colonialist government decided to start clearing large expanses of rainforest to make room for more, and more intensive plantations. By the early 1900s, Brazil was producing about 70% of the world’s coffee exports, with their neighbors—Colombia and Guatemala, in particular—making up most of the rest. Eurasian producers, formerly the only places where coffee was grown, remember, only made up about 5% of global exports by that time.The global market changed dramatically in the lead-up to WWII, as Europe was a primary consumer of these beans, and about 40% of the market disappeared, basically overnight, because the continent was spending all their resources on other things; mostly war-related things.An agreement between South and Central American coffee producing countries and the US helped shore-up production during this period, and those agreements allowed other Latin American nations to develop their own production infrastructure, as well, giving Brazil more hemispheric competition.And in the wake of WWII, when colonies were gaining their independence left and right, Ivory Coast and Ethiopia also became major players in this space. Some burgeoning Southeast Asian countries, most especially Vietnam, entered the global coffee market in the post-war years, and as of the 2020s, Brazil is still the top producer, followed by Vietnam, Indonesia, Colombia, and Ethiopia—though a few newer entrants, like India, are also gaining market share pretty quickly.As of 2023, the global coffee market has a value of around $224 billion; that figure can vary quite a lot based on who’s numbers you use, but it’s in the hundreds of billions range, whether you’re looking just at beans, or including the ready-to-drink market, as well, and the growth rate numbers are fairly consistent, even if what’s measured and the value placed on it differs depending on the stats aggregator you use.Some estimates suggest the market will grow to around $324 billion, an increase of around $100 billion, by 2030, which would give the coffee industry a compound annual growth rate that’s larger than that of the total global caffeinated beverage market; and as of 2023, coffee accounts for something like 87% of the global caffeinated beverage market, so it’s already the dominant player in this space, and is currently, at least, expected to become even more dominant by 2030.There’s concern within this industry, however, that a collection of variables might disrupt that positive-seeming trajectory; which wouldn’t be great for the big corporations that sell a lot of these beans, but would also be really bad, beyond shareholder value, for the estimated 25 million people, globally, who produce the beans and thus rely on the industry to feed their families, and the 100-110 million more who process, distribute, and import coffee products, and who thus rely on a stable market for their paychecks.Of those producers, an estimated 12.5 million work on smaller farms of 50 acres or less, and 60% of the world’s coffee is made by people working on such smallholdings. About 44% of those people live below the World Bank’s poverty metric; so it’s already a fairly precarious economic situation for many of the people at the base-level of the production system, and any disruptions to what’s going on at any level of the coffee industry could ripple across that system pretty quickly; disrupting a lot of markets and local economies, alongside the human suffering such disruptions could cause.This is why recent upsets to the climate that have messed with coffee crops are causing so much anxiety. Rising average temperatures, bizarre cold snaps, droughts, heavy and unseasonable rainfalls—in some cases all of these things, one after another—combined with outbreaks of plant diseases like coffee rust, have been putting a lot of pressure on this industry, including in Brazil and Vietnam, the world’s two largest producers, as of the mid-2020s.In the past year alone, because of these and other externalities, the price of standard-model coffee beans has more than doubled, and the specialty stuff has seen prices grow even more than that.Higher prices can sometimes be a positive for those who make the now-more-expensive goods, if they’re able to charge more but keep their expenses stable.In this case, though, the cost of doing business is going up, because coffee makers have to spend more on protecting their crops from diseases, losing crops because of those climate issues, and because of disruptions to global shipping channels. That means profit margins have remained fairly consistent rather than going up: higher cost to make, higher prices for consumers, about the same amount of money being made by those who work in this industry and that own the brands that put coffee goods on shelves.The issue, though, is that the cost of operation is still going up, and a lot of smallholders in particular, which again, produce about 60% of all the coffee made, worldwide, are having trouble staying solvent. Their costs of operation are still going up, and it’s not a guarantee that consumers will be willing to continue spending more and more and more money on what’s basically a commodity product; there are a lot of caffeinated beverages, and a lot of other types of beverage they could buy instead, if coffee becomes too pricy.And at this point, in the US, for instance, the retail price of ground roast coffee has surpassed an average of $7 per pound, up 15% in the past year. Everyone’s expecting that to keep climbing, and at some point these price increases will lose the industry customers, which in turn could create a cascading effect that kills off some of these smaller producers, which then raises prices even more, and that could create a spiral that’s difficult to stop or even slow.Already, this increase in prices, even for the traditionally cheaper and less desirable robusta coffee bean, has led some producers to leave coffee behind and shift to more consistently profitable goods; many plantations in Vietnam, for instance, have converted some of their facilities over to durian fruit, instead of robusta, and that’s limited the supply of robusta, raising the prices of that bean, which in turn is causing some producers of robusta to shift to arabica, which is typically more expensive, and that’s meant more coffee on the market is of the more expensive variety, adding to those existing price increases.The futures markets on which coffee beans are traded are also being upended by these pricing issues, resulting in margin calls on increasingly unprofitable trades that, in short, have necessitated that more coffee traders front money for their bets instead of just relying on short positions that have functioned something like insurance paid with credit based on further earnings, and this has put many of them out of business—and that, you guessed it, has also resulted in higher prices, and more margin calls, which could put even more of them out of business in the coming years.There are ongoing efforts to reorganize how the farms at the base on this industry are set up, both in terms of how they produce their beans, and in terms of who owns what, and who profits, how. This model typically costs more to run, and results in less coffee production: in some cases 25% less. But it also results in more savings because trees last up to twice as long, the folks who work the farms are much better compensated, and less likely to suffer serious negative health impacts from their labor, and the resultant coffee is of a much higher quality; kind of a win win win situation for everyone, though again, it’s less efficient, so up till now the model hasn’t really worked beyond some limited implementations, mostly in Central America.That could change, though, as these larger disruptions in the market could also make room for this type of segue, and indeed, there has apparently been more interest in it, because if the beans are going to cost more, anyway, and the current way of doing things doesn’t seem to work consistently anymore, and might even collapse over the next decade if something doesn’t change, it may make sense, even to the soulless accounting books of major global conglomerates, to reset the industry so that it’s more resilient, and so that the people holding the whole sprawling industry up with their labor are less likely to disappear some day, due to more favorable conditions offered by other markets, or because they’re simply worked to death under the auspices of an uncaring, fairly brutal economic and climatic reality.Show Noteshttps://www.nytimes.com/2025/02/22/business/coffee-prices-climate-change.htmlhttps://web.archive.org/web/20100905180219/https://www.web-books.com/Classics/ON/B0/B701/12MB701.htmlhttps://www.jstor.org/stable/1246099?origin=crossrefhttps://www.theguardian.com/australia-news/2025/jan/07/coffee-prices-australia-going-up-cafe-flat-white-costhttps://www.bbc.com/news/articles/c5y37dvlr70ohttps://www.nytimes.com/2024/12/28/business/coffee-prices-climate-change.htmlhttps://markets.businessinsider.com/news/commodities/coffee-prices-food-inflation-climate-change-eggs-bank-of-america-2025-2https://www.statista.com/statistics/675807/average-prices-arabica-and-robusta-coffee-worldwide/https://www.ft.com/content/9934a851-c673-4c16-86eb-86e30bbbaef3https://www.cnn.com/2024/08/01/business/your-coffees-about-to-get-more-expensive-heres-…

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    Bird Flu Feb 18, 2025
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    This week we talk about H5N1, fowl plague, and viral reservoirs.We also discuss the CDC, raw milk, and politics.Recommended Book: Nexus by Yuval Noah HarariTranscriptIn late-January of 2025, staff at the US Centers for Disease Control, the CDC, were told to stop working with the World Health Organization, and data, and some entire pages containing such data, and analysis of it, were removed from the CDC’s web presence—the collection of sites it maintains to provide information, resources, and raw research numbers and findings from all sorts of studies related to its remit.And that remit is to help the US public stay healthy. It provides services and guidelines and funding for research and programs that are meant to, among other things, prevent injury, help folks with disabilities, and as much as possible, at least, temper the impacts of disease spread.Its success in this regard has been mixed, historically, in part because these are big, complex, multifaceted issues, and with current technology and existing systems it’s arguably impossible to completely control the spread of disease and prevent all injury. But the CDC has also generally been a moderating force in this space, not always getting things right, itself, but providing the resources, monetary and otherwise, to entities that go on to do big, generally positive things across this range of interconnected fields.Many of the pages that were taken down from the CDC’s web presence in late-January popped back up within a few weeks, and now, according to experts from around the world, these pages have been altered—some mostly the same as they were, but others missing a whole lot of data, while still others now contain misinformation and/or polemic. A lot of that misinformation and political talking points are related to things the recently re-ascendent Trump administration has made a cornerstone of its ideological platform, including anti-trans policies and things that cast skepticism on vaccines, abortion, birth control, and even information related to sexually transmitted infections.Scientists doing research that is in any way connected to concepts like diversity, equality, and inclusivity—so-called DEI issues—have been forced to halt these studies, and research that even includes now-banned words in different contexts—words like gender, LGBT, and nonbinary—have likewise been halted, or in some cases banned altogether. Data sets and existing research that happen to include any reference to this collection of terms have likewise been pulled from the government’s publicly accessible archives; so some stuff actually connected to DEI issues, but initial looks into what’s been halted and cancelled shows that things like cancer research and other, completely non-political stuff, too, has been stopped because somewhere in the researchers’ paperwork was a word that is now not allowed by the new administration.All of which is part of a much bigger story, one that I won’t get into right now, as it’s still evolving, and is very much it’s own thing; that of the purge of government agencies that’s happening in the US right now, at the apparent behest of the president, and under the management of the world’s wealthiest person, Elon Musk, via his task force, the Department of Government Efficiency, or DOGE.This process and the policies underpinning it are facing a lot of legal pushback, even from other Republicans, in at least a few cases. But it’s also a story that’s evolving by the day, if not the minute, and the long-term ramifications are still up in the air; some are calling it the first move in an autogolpe, a coup from within, while others are calling it a hamfisted attempt to seem to be doing things, to be reducing expenses in the government, but in such a way that none of the actions will be particularly effective, and most will be countered by judicial decisions, once they catch up with the blitzkrieg-like speed of these potentially illegal actions.There’s been some speculation that this will end up being more of an albatross around the neck of the administration, than whatever it is they actually hope to accomplish with it—though of course there are just as many potentially valid concerns that, again, this is a grab for power, meant to centralize authority within the executive, with the president, and that, in turn could make it difficult for anyone but a Republican, and anyone but a staunch ally of Trump and his people, to ever win the White House again, at least for the foreseeable future.But right now, as all those balls are in the air and we’re waiting to see what the outcome of that flurry of activity will actually be, practically, I’d like to focus on one particular aspect of this culling of the CDC’s records, publicly available information, and staff.What I’d like to talk about today is bird flu, and what we think we know about its presence in the US right now, and how that presence is being felt by everyday people, already.—What we colloquially call bird flu, or sometimes avian flu, or the avian influenza, if you’re fancy, is actually a subtype of influenza called Influenza A virus subtype H5N1, or just H5N1.There have been many subtypes of bird flu over the generations, some of which have disappeared from the record (as far as we can tell, at least), while others are still tracked, but in animal populations in locations that make them low-risk, in terms of spreading beyond their host species.We’ve been studying various types of bird flu since at least the late-1800s, when researchers in Italy started looking into a disease colloquially called “fowl plague,” because it was afflicting chicken and other poultry flocks. This wasn’t the first time something that seems like it was probably this disease afflicted flocks and was recorded as having done so, but it was the first time such a plague was differentiated from bacterial diseases that were also prevalent in such poultry communities, and thus they could say it was something distinct from, for instance, fowl cholera, which was also pretty common back then.In the 1950s, it was confirmed that this avian flu was similar to flus that afflict humans, and in the 1970s, researchers figured out that the flus they were tracking in bird populations were diverse, in the sense that there were many subtypes, not just one universal disease.Today, we know that this type of Influenza A virus, of which H5N1 is just one example, are super common in wild waterfowl, and they’ve achieved this commonality, in part, by living in their respiratory and gastrointestinal systems without negatively effecting their host. So the birds can fly around and eat and peck at things without even getting a case of the bird sniffles, which means they’re less likely to isolate from their kin, which means they’re more likely to spread it to all of their friends.Waterfowl also tend to travel great distances, just as a matter of course, migrating across continents, in some cases, but in others simply flitting from lake to pond to puddle, looking for food.Domesticated birds, like chicken and ducks that are kept for their eggs or meat, tend to catch bird flu either by socializing with their wild kin, or by coming into contact with their feces, or surfaces that have been contaminated by their feces.In this way, traveling flocks of ducks and geese and seagulls, which maybe set down to get a drink or some food at a source of water in a bird meat facility, could infect a chicken directly, but just by flying overhead and pooping, they can do the same, as chickens will tend to peck around at the ground, and if that poop is somewhere nearby, boom, chicken infected, and then, in relatively short order, the whole coop is also infected.There are vaccines that can protect chickens and other domesticated birds from avian flu, but because of how widespread H5N1 in particular is, it mutates rapidly, so these vaccines are not a silver bullet. On top of that, buying and administrating them costs poultry companies more money, and because they might administer a vaccine that hasn’t kept up with the mutations of the disease, that could end up being a sunk cost; so the money question sometimes keeps poultry providers from vaccinating their flocks, but even those who do apply this layer of protection don’t always benefit from the investment as much as they would like.And birds that are thus infected spread the disease rapidly, but also tend to die in large numbers. The relatively chilled-out symptoms experienced by water fowl doesn’t always translate to other types of birds, so chickens will sometimes conk out pretty quickly, and on top of that, when bird flu gets into a poultry population and mutates within them, the new mutation of the disease might get out into the water fowl population, and that can then cause anywhere from mild flu symptoms to reliable death in those ducks and geese and such. So the version they have might be mundane, they give that mundane version to chickens, where it mutates into something else, and that new bird flu variant then goes back into the water fowl and, no longer mundane, kills them all.So part of the problem here, as is the case with any virulent, quick-spreading, treatment-resistant pathogen with large wild reservoirs where it can survive even when the populations we’re tracking are cured or culled, is that this thing evolves just really quickly. And that means anything we do, vaccines, killing infected populations or potentially infected populations, dividing flocks into smaller, easier to manage and segment groups, generally doesn’t keep up with the emergence of new versions of the disease.This can, in turn, result in new versions that spread even quicker, that are harder to detect, or which simply kill a lot faster.It can also lead to mutations that spread more readily to and within other species, including mammals.And that’s what seems to be happening in meat and dairy cattle, at the moment, in addition to some of the humans who work closely with birds and with cows.There have been reports over the past couple of years of folks in the US coming into close contact with infected birds or cows contracting bird flu, or testing positive for bird flu antibodies, which means the disease hit them, but they either managed to fend it off or had it for a while, and then their immune system took care of it—even if they didn’t have symptoms.Such infections, those we know about for certain, anyway, as opposed to having hints of suggestions of them, still seem to be relatively small in number. A recent study, which the CDC was eventually able to publish, after those pulled pages and hidden data sets started to come back online, indicates that of 150 cow veterinarians tested for evidence of bird flu infection, only three had such evidence.That said, two of those three did not have any known exposure to bird flu-infected animals, and one didn’t even practice in a state with any known infections. So this is a mixed outcome; good, in a sense, that infection evidence in humans who come into contact with potentially infected animals isn’t more widespread, but alarming in the sense that those who did have such infection indicators were mostly doing work that wouldn’t seem to have put them at risk of infection, based on what our data tell us, and yet, they were put at such risk. Which suggests our sense of how widespread this thing has gotten is probably way, way off at this point; the official data on where bird flu is, and even what animals it’s infecting, is perhaps uselessly out of date in the US.So at this point, the official CDC data say there have been 68 cases of bird flu in humans in the US since 2024, and one of those infections has resulted in death.41 of those infections were the result of exposure to dairy cattle, 23 were from exposure to poultry farms or poultry meat production facilities, 1 was from another unspecified animal contact, and 3 were from unknown sources.The major concern, here, is that these numbers suggest bird flu isn’t having a hard time moving from birds to other mammals to humans, at this point, so that aforementioned 68 cases in humans since 2024 could be a vast undercount; we might already be in the early days of a new pandemic, and we don’t realize it because we simply don’t have the data.I think it’s worth noting, though, that the biggest bird-flu related threat, the biggest one we have data for, anyway, globally, is people who are coming into contact with infected animals, or in some cases consuming their meat or milk.Most of the officially documented cases of bird flu in humans, since the early 2000s, have been in Southeast Asia, and there have been around 950 humans infections and just over 460 deaths caused by various types of bird flu since 2003, according to World Health Organization numbers; most of those deaths were in in the early 2000s.So not a ton of either infections or death over that span of time, but that also means this disease has a fatality rate of something like 50% in humans; around half the people who contract it die. Which is not great. And that’s part of why the concern about this type of flu may to seem a little out of proportion to the recent infection numbers—if it mutates, evolving a version of itself that is transmissible between humans so that we see transmission similar to what we see in bird flocks, that would be very, very bad.At the moment, though, even if something like that never manifests, poultry and dairy industries could suffer significant losses as a consequence of this animal-world pandemic, and to some degree, they already have. Especially those in the US.This is spreading in flocks globally, to a limited degree, but US poultry, beef, and dairy industries are being absolutely clobbered by the dual impact of infections that are necessitating additional protections against infection, and the increasing number of mass-cullings—killing entire flocks, because one of their number has been infected—that have been necessary in recent years. This has put a lot of such companies out of business, and the amount of stock, of animals, that have had to be killed as a precautionary measure, to keep one or a few infections from spreading more widely, have been staggering.Egg prices have been a semi-reliable indicator of inflation rates in the US for a long time, but the investments required and cullings committed have ballooned egg prices in recent months, hitting record highs and stoking outcries both within the industry, and amongst consumers who have seen average egg prices more than double between late-2023 and January 2025; and that’s when eggs have been reliably available on supermarket shelves, which hasn’t always been the case during this period.On top of that, there are heightening concerns about bird flu in the egg, meat, and milk supply; US government agencies have said that cooking meat appropriately, to the recommended temperatures, kills pathogens, including bird flu, and the pasteurization of milk, which basically means rapidly heating it, briefly, to kill germs, has been shown to kill the bird flu virus. But a purity- or naturalism-based movement, often closely tied with the anti-vaccine movement, has seen a surge in popularity in the US, and many people who subscribe to that ideological have also become supporters of consuming raw milk, which isn’t pasteurized, and thus this virus, and other pathogens, can survive in it, potentially becoming a new vector of infection for humans.So there’s a lot going on in the US government right now that’s making tracking such things difficult, and trusting the information even more so, in some cases. And that could remain the case, and could become even more muddled, based on the stated beliefs of some of the people who are being put in charge of these agencies, the studies they conduct, the things they track, and the information they divulge.But at the base level, right now at least, it looks like bird flu has become…

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    Planetary Defense Feb 11, 2025
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    This week we talk about DART, extinction events, and asteroid 2024 YR4.We also discuss Bruce Willis, Theia, and the Moon.Recommended Book: Exadelic by Jon EvansTranscriptIn the 1998 action flick Armageddon, an asteroid the size of Texas is nudged into a collision course with earth by a comet, and NASA only notices it 18 days before impact.The agency recruits a veteran oil driller, played by Bruce Willis, to fly out to the asteroid and drill a hole in it, and to detonate a nuke in that hole, which should destroy it before it hits earth, which undetonated, that rock not broken up ahead of time, would wipe out everything on the planet. It’s a fun late-90s flick loaded with some of the biggest names of the era, so I won’t ruin it for you if you haven’t seen it, but the crux of the plot is that there’s a lot going on in space, and at some point there’s a chance one of these big rocks hurling around in the void will line up just right with earth’s orbit, and that rock—because of how fast things move in space—would hit with enough force to wipe out a whole lot of living things; perhaps all living things.This film’s concept was predicated on historical events. Not the oilmen placing a nuke on a rogue asteroid, but the idea of an asteroid hitting earth and killing off pretty much everything.One theory as to how we got our Moon is that an object the size of Mars, called Theia, collided with Earth around 4.5 billion years ago. That collision, according to some versions of the so-called “giant impact hypothesis,” anyway, could have brought earth much of its water, as the constituent materials required for both water and carbon based life were seemingly most prevalent in the outer solar system back in those days, so this object would have slammed into early earth, created a disk of debris that combined that early earth’s materials with outer solar system materials, and that disk would have then reformed into a larger body, earth, and a smaller body, the moon.In far more recent history, though still unthinkably ancient by the measure of a human lifespan, an asteroid thought to be somewhere between 6 and 9 miles, which is about 10 to 15 km in diameter hit off the coast of what is today Mexico, along the Yucatan Peninsula, killing about 70% of all species on earth.This is called the Chicxulub Event, and it’s believed to be what killed the dinosaurs and all their peer species during that period, making way for, among other things, early mammals, and thus, eventually, humans.So that was an asteroid that, on the low end, was about as wide as Los Angeles. You can see why those in charge back in the 90s tapped Bruce Willis to help them handle an asteroid the size of Texas.Thankfully, most asteroid impacts aren’t as substantial, though they can still cause a lot of damage.What’s important to remember is that because these things are moving so fast, even though part of their material will be burnt up in the atmosphere, and even though they might not all be Texas-sized, they generate an absolutely boggling amount of energy upon impact.The exact amount of energy will vary based on all sorts of things, including the composition of the asteroid , the angle at which it hits, and where it hits; an oceanic impact will result in a whole lot of that energy just vaporizing water, for instance, while a land impact, which is less common because a little more than 70% of the planet is water, will result in more seismic consequences.That said, an asteroid that’s about 100 meters in diameter, so about 328 feet, which is a lot smaller than the aforementioned 6 to 9 mile asteroid—a 100 meter, 328 foot object hitting earth can result in a force equivalent to tens of megatons of TNT, each megaton equaling a million tons, and for comparison, the atomic bombs dropped on Hiroshima and Nagasaki at the end of WWII ranged from 15,000 to 21,000 tons of TNT, mere kilotons. So a 100 meter, 328 foot asteroid hitting earth could generate somewhere between a few hundred thousand and a few million atomic bombs’ worth of energy.None of which would be particularly devastating on a planetary scale, in the sense that the ground beneath out feet would barely register such an impact. But the thin layer of habitable surface where most or all of the world’s life exists, certainly does. And that’s the other issue here, is that on top of even a relatively small asteroid being a city-killer, wiping out everyone and everything in a large area around where it strikes, it can also cause longer-term devastation by hurling a bunch of water and soil and detritus and dust and ash into the atmosphere, acting as a cloak around the planet, messing with agriculture, messing with growth patterns and other cycles for plants and animals; the water and heat cycles completely thrown off. All of which can cause other knock-on effects, like more severe storms in unusual places, periods of famine, and even conflict over scarcer resources.What I’d like to talk about today is a recently discovered asteroid that is being called a potential city-killer, and which is raising alarms in the planetary defense world because of its relatively high likelihood of hitting earth in 2032.—Asteroid 2024 YR4 is thought to be around 130-300 feet, which is about 40-90m in diameter, and it has what’s called an Earth-crossing, or Apollo-type orbit. Asteroids with this type of orbit won’t necessarily ever intersect with earth, and some are incredibly unlikely to ever do so. But some relatively few of them, that we’re aware of, anyway, have orbits that periodically get really close to earth’s, to the point that even a small tweak to their orbit, caused by gravitational perturbances or maybe being nudged by something else in space, could put them on course to cause a lot of damage.Global astronomical bodies keep tabs on these sorts of asteroids, and they keep an especially close eye on what are called PHAs, or potentially hazardous asteroids, because they are objects that are close-ish to Earth, are in orbits that could bring them even closer, perhaps even on an intersection path with earth at some point, and they have an absolute magnitude of 22 or brighter, which means they’re big enough to be fairly visible to our instruments, and that generally means they’ll be 500 feet or around 140m in diameter or larger, which puts them in the “will cause severe damage if it hits earth” category.That latter component of the definition is important, as while the Chelyabinsk meteor that blew up in what’s called an air burst over southwestern Russia in 2013 caused a lot of damage—generating about 400-500 kilotonnes of TNT worth of energy, about 30-times the energy released by the atomic bomb that blew up Hiroshima, resulting in a shock wave that injured nearly 1,500 people sufficiently that they had to seek medical attention, alongside all the broken glass and thousands of damaged buildings caused by that shockwave (which in turn caused those injuries)—that meteor is considered to be pretty tame compared to what we would expect from a larger impact. It was only about 60 feet, around 18m in diameter.That’s part of why asteroid 2024 YR4 is getting so much attention; it’s more than twice, maybe as much as five times that large, and current orbital models suggest that on December 22, 2032, it has a small chance of hitting earth.Small is a relative term here, though, both in the sense that the exact likelihood figure keeps changing, and will continue to do so as we’re able to capture more data leading up to that near-future deadline, and in the sense that even very small possibilities that a city-killer asteroid will hit earth is something that we should arguably be worried about, out of proportion to the smallness of the statistical likelihood.If you are told there’s a 1% chance you’ll die today, that means there’s a 99% chance you won’t, but that 1% chance is still really substantial in the context of living or not living.Similarly, a 1% chance of a large asteroid impacting earth is considered to be substantial because that means a 1% chance that a city could be completely wiped out, along with all the maybe millions of people living in it, all the plants an animals in the region, too, and we could see all those aforementioned weather effects, atmospheric issues, and so on, for a long time into the future.At the moment, as of the day I’m recording this, there’s a 2.2% chance this asteroid will hit earth on that day, December 22, 2032. Its likely impact zone, if it were to hit, stretches roughly along the equator, from just south of Mexico, across upper south america and the middle of africa, over to eastern India. If it’s on the larger side of current estimates, it’s possible that its blast could stretch for 31 miles in all directions from where it hits, because it’s a hard object the size of a large building traveling at around 38,000 miles per hour.So just shy of 7 years, 11 months from now, which is around 2,870 days, that thing could plow into a span of earth that contains quite a few major cities—but it could also hit a stretch of ocean, causing a separate set of problems, ranging from tsunamis to borked weather patterns and loads of sun-concealing, globe-spanning cloud cover.Again, though, the numbers here are weird because of the things they’re describing. Nearly 8 years is a long time in many ways, but if you’re staring down the barrel of a potentially city-killing asteroid, that begins to feel like not long at all; Bruce Willis only had 18 days, but he also lived in the world of Hollywood fantasy. In real life, spinning up that kind of mission takes a lot longer, and that’s after you settle on who’s going to pay for some kind of asteroid killing or deflecting program, how it’s going to work, and so on.Fortunately for everyone involved, back in late-2022, NASA launched a project called the Double Asteroid Redirection Test, or DART, which entailed launching a spacecraft that rendezvoused with pair of asteroids with a known trajectory. That spacecraft shot an impacter, basically a little space bullet, at one of the asteroids, which allowed the craft, along with a supplementary satellite, to collect all sorts of data about what happened to the asteroid after it was hit.The hope was that using this method, launching a craft that shoots space bullets at asteroids, we would be able to reduce the target asteroid’s orbit by 73 seconds, which is an orbital measurement. Instead, it shortened it by 32 minutes, which is way, way more, and generally considered to be a huge success beyond what the mission planners could have hoped for.Not all of what was learned from the DART mission will be transferable to other possible missions, because asteroids have different compositions, have different spins and speeds, and some will be easier to hit than others, and to hit in a way that would move them beneficially: we want to move them away from a path that lines up with earth’s orbit, not in such a way that a strike becomes more likely.But this success suggests that it may be possible to basically nudge asteroids away from a collision trajectory with our planet, rather than having to blow the things up with nukes, which would be a far more involved and dangerous undertaking.We’ve also seen the costs associated with space launches drop dramatically over the past ten years, to the point where launching this sort of mission will cost a fraction of what it would have cost back in the 90s, which is fortunate, as historically governments have shown less enthusiasm for firing space bullets than for firing bullets planet-side, so if worse comes to worse, there’s a chance even a beneficent billionaire, maybe even a millionaire, could fund such a project in a pinch.At the moment, it’s still overwhelmingly likely that asteroid 2024 YR4 will miss earth in 2032. A 2.2% chance of an impact is worrying, and we’ll hopefully start building the infrastructure we need to deflect such objects sooner rather than later, as even if we don’t end up using said craft this time around, it seems prudent to have those sorts of missions ready to go at a moment’s notice, should we someday find ourselves in an Armageddon situation, with only a few weeks before something really, really bad happens.That said, even with today’s quite high likelihood, that still means there’s a 97.8% chance it won’t be anything to worry about. We should know a fair bit more by April of this year, after which point this asteroid will be really far away and thus trickier to see until 2028, when it loops back in our direction.There would still be time to do something about it then, if warranted, but more time is typically better with this sort of thing—again, because we want to be sure any deflection attempt is successfully launched, but also that it deflects it away from us, not toward us. And our best bet to deflect would be during that 2028 close flyby, so it’s likely by April, or just after that, we’ll have some kind of decision by the folks in charge about whether to launch a deflection mission in 2028 or thereabouts.All of which would be historic, but would also probably be a good idea and a worthwhile investment, wherever this specific asteroid’s path ends up taking it. As our space neighborhood is rich with these sorts of rocks and other astronomical bodies, and because, as our in-space sensory assets have become more numerous and sophisticated, we’ve been able to see just how lucky we are, that we haven’t had more horrible impacts, so far; there’s a lot of stuff flying around out there, and the moon probably helps by taking some of those bullets for us, but even with that extra layer of natural protection, we might want to play a more active role in managing our orbital neighborhood, soon, as it would be really embarrassing to have all this knowledge and these capacities, but to not be able to use them when we need them because we failed to plan ahead.Update, February 24, 2025: Whew.Show Noteshttps://en.wikipedia.org/wiki/List_of_Earth-crossing_asteroidshttps://cneos.jpl.nasa.gov/about/neo_groups.htmlhttps://en.wikipedia.org/wiki/Chelyabinsk_meteorhttps://x.com/Astro_Jonny/status/1886742128199336362https://en.wikipedia.org/wiki/2024_YR4https://www.nytimes.com/2025/02/08/science/asteroid-yr4-2024-impact-odds.htmlhttps://www.usatoday.com/story/news/nation/2025/02/08/asteroid-hitting-earth-2032-nasa/78322607007/https://en.wikipedia.org/wiki/99942_Apophishttps://science.nasa.gov/solar-system/asteroids/2024-yr4/https://www.cbsnews.com/news/asteroid-2024-yr4-chance-hit-earth-what-to-know/https://blogs.nasa.gov/planetarydefense/2025/02/07/nasa-continues-to-monitor-orbit-of-near-earth-asteroid-2024-yr4/https://www.nasa.gov/news-release/nasa-confirms-dart-mission-impact-changed-asteroids-motion-in-space/https://en.wikipedia.org/wiki/Double_Asteroid_Redirection_Testhttps://science.nasa.gov/mission/dart/https://www.space.com/nasa-dart-mission-dimorphos-didymos-asteroid-impact-reshapinghttps://www.cnn.com/2024/02/27/world/nasa-dart-dimorphos-impact-scn/index.htmlhttps://en.wikipedia.org/wiki/AIDA_(international_space_cooperation)https://www.planetary.org/notable-asteroid-impacts-in-earths-historyhttps://en.wikipedia.org/wiki/Origin_of_water_on_Earthhttps://en.wikipedia.org/wiki/Theia_(planet)https://science.nasa.gov/earth/deep-impact-and-the-mass-extinction-of-species-65-million-years-ago/https://en.wikipedia.org/wiki/Chicxulub_craterhttps://www.lpi.usra.edu/publications/books/barringer_crater_guidebook/chapter_11.pdfhttps://en.wikipedia.org/wiki/Armageddon_(1998_film)https://www.history.com/news/7-major-asteroids-strikes-in-earths-historyhttps://en.wikipedia.org/wiki/Impact_eventhttps://world-nuclear.org/information-library/safety-and-security/non-proliferation/hiroshima-nagasaki-and-subsequent-weapons-testinhttps://www.astronomy.com/science/earths-greatest-hits-a-history-of-asteroid-impacts/ This is a public episode. 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    US Protectionism Feb 04, 2025
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    This week we talk about tax hikes, free trade, and the madman theory of negotiation.We also discuss EVs, Canada, and economic competition.Recommended Book: How Sanctions Work by Narges Bajoghli, Vali Nasr, Djavad Salehi-Isfahani, and Ali VaezTranscriptOn January 20, 2025, the 45th President of the United States, Donald Trump, was inaugurated as the 47th President of the US following a hard-fought election that he ultimately won by only a little bit in terms of the popular vote—49.8% to 48.3%—but he won the electoral vote by a substantial margin: 312 to opponent Kamala Harris’ 226.Trump is the oldest person in US history to assume the country’s presidency, at 78 years old, and he’s only the second US president to win a non-consecutive term, the first being Grover Cleveland back in 1893.This new Trump presidency kicked off even before he officially stepped into office, his people interviewing government officials and low-level staff with what have been called loyalty tests, to assess who’s with them and who’s against them, including questions about whether they think the previous election, which Trump lost to former president Biden, was rigged against Trump—a conspiracy theory that’s popular with Trump and many of his supporters, but for which there’s no evidence.There was also a flurry of activity in Israel and the Gaza Strip, last minute negotiations between then-president Biden’s representatives gaining additional oomph when Trump’s incoming representatives added their heft to the effort, resulting in a long-pursued ceasefire agreement that, as of the day I’m recording this at least, still holds, a few weeks after it went into effect; hostages are still being exchanged, fighting has almost entirely halted between Israeli forces and Hamas fighters in Gaza, and while everyone involved is still holding their breath, worried that the whole thing could fall apart as previous efforts toward a lasting ceasefire have, negotiations about the second phase of the three-phase ceasefire plan started yesterday, and everything seems to be going mostly according to plan, thus far.That said, other aspects of the second Trump presidency have been less smooth and less celebrated—outside of the president’s orbit, at least.There have been a flurry of firings and forced retirements amongst long-serving public officials and employees—many seemingly the result of those aforementioned loyalty tests. This has left gaps in many fundamental agencies, and while those conducting this purge of said agencies have claimed this is part of the plan, and that those who have left or been forced to leave are part of the alleged deep state that has it in for Trump, and who worked against him and his plans during his first presidency, and that these agencies, furthermore, have long been overstaffed, and staffed with people who aren’t good at their jobs—so these purges will ultimately save the government money, and things will be restructured to work better, for some value of “better,” anyway.There have been outcries about this seeming gutting of the system, especially the regulatory system, from pretty much everyone else, national and international, with some analysts and Trump opponents calling this a coup in all but name; doing away with the systems that allow for accountability of those in charge, basically, and the very structures that allow democracy to happen in the country. And even short of that, we’re seeing all sorts of issues related to those empty seats, and could soon see consequences as a result of the loss of generational knowledge in these agencies about how to do things; even fairly basic things.All of which has been accompanied by a wave of revenge firings and demotions, and threats of legal action and even the jailing of Trump opponents. In some cases this has included pulling security details from anyone who’s spoken out against Trump or his policies in the past, including those who face persistent threats of violence, usually from Trump supporters.On the opposite side, those who have stuck by Trump, including those who were charged with crimes related to the January 6 incursion at the US Capitol Building, have been pardoned, given promotions, and at times publicly celebrated by the new administration. Some have been given cushy jobs and promotions for the well-connected amongst his supporters; Ken Howery the partner of venture capitalist and owner of government contractor Palantir, Peter Thield, and close ally of serial CEO and enthusiastic Trump supporter Elon Musk, was recently made ambassador to Denmark, for instance.Some of these moves have caused a fair bit of chaos, including a plane colliding with a military helicopter, which may have been the result of understaffing at the FAA, alongside an executive order that froze the funding of federal programs across the country.That executive order has been blocked by judges in some areas, and the Trump administration has since announced that they’ve rescinded the memo announcing that shutdown, but the initial impact was substantial, including the closure of regional Social Security, Medicare, and Medicaid infrastructure, and the halting of government funded research and educational programs.Lots of people had their livelihoods threatened, lots worried they wouldn’t be able to afford necessary medical procedures or be able to pay their bills, and many people worried this might cause the country to lose ground against competitors in terms of scientific and technological development, while also leading to some pretty widespread negative health outcomes—the government has also pulled health data, so information about disease spread and even pandemics is now inaccessible, further amplifying that latter concern.And that’s just a very abbreviated, incomplete summary of some of the actions Trump’s administration has taken in its first two weeks back in office; part of a desire on their part to hit the ground rolling and get rid of elements that might stand in their way as they fundamentally change the US system of government to better match their ambitions and priorities.What I’d like to talk about today, is a specific focus of this new administration—one that was a focus of Trump’s previous administration, and to a certain degree Biden’s administration too: that of US protectionism, and the use of tariffs against perceived enemies; but also, in Trump’s case, at least, against long-time allies, as well.—On February 2 of 2025, Trump posted about tariffs on the twitter-clone he owns, Truth Social. And I’m going to quote the post in full, here, as I think it’s illustrative of what he intends to do in this regard in the coming months.“The “Tariff Lobby,” headed by the Globalist, and always wrong, Wall Street Journal, is working hard to justify Countries like Canada, Mexico, China, and too many others to name, continue the decades long RIPOFF OF AMERICA, both with regard to TRADE, CRIME, AND POISONOUS DRUGS that are allowed to so freely flow into AMERICA. THOSE DAYS ARE OVER! The USA has major deficits with Canada, Mexico, and China (and almost all countries!), owes 36 Trillion Dollars, and we’re not going to be the “Stupid Country” any longer. MAKE YOUR PRODUCT IN THE USA AND THERE ARE NO TARIFFS! Why should the United States lose TRILLIONS OF DOLLARS IN SUBSIDIZING OTHER COUNTRIES, and why should these other countries pay a small fraction of the cost of what USA citizens pay for Drugs and Pharmaceuticals, as an example? THIS WILL BE THE GOLDEN AGE OF AMERICA! WILL THERE BE SOME PAIN? YES, MAYBE (AND MAYBE NOT!). BUT WE WILL MAKE AMERICA GREAT AGAIN, AND IT WILL ALL BE WORTH THE PRICE THAT MUST BE PAID. WE ARE A COUNTRY THAT IS NOW BEING RUN WITH COMMON SENSE — AND THE RESULTS WILL BE SPECTACULAR!!!”So there are several things happening there, probably the most fundamental of which is the claim that other countries, including the US’s allies, like Canada and Mexico, are taking advantage of the US when it comes to trade. This post followed Trump’s signature of an executive order that applied a 25% tariff on all Canadian and Mexican imports, and a 10% tariff on all Chinese imports.A tariff is basically a tax on certain goods brought into a country from other countries.So the US might impose a tariff on Chinese cars in order to keep those cars from flooding US markets and competing with US- and European-made models. And that’s what the US did under the first Trump, and then the Biden administration—it imposed a 100% border tax on electric vehicles from China, the theory being that these cars are underpriced because of how the Chinese economy works, because of how workers there are treated, and because the Chinese government subsidizes many of their industries, including the EV industry, so their cars are quite good and sold at low prices, but they got that way because they’re competing unfairly, according to this argument. Chinese cars sold at their sticker price on the US market, then, might kill off US car companies, which is not something the US government wants.Thus, the price on Chinese EVs is effectively doubled on the US market, and that, on a practical level, kills that competition, giving US carmakers cover until they can up their game and compete with their foreign rivals.The usual theory behind imposing tariffs, then, if you’re doing so for ostensible competitive reasons, at least, is that slapping an additional tax on such goods should allow local businesses to better compete against them, because that additional tax raises prices, and that means local offerings have a government-provided advantage. This can help level a perceptually imbalanced playing field, or it can rebalance things in favor of brands in your country.In reality, though, tariffs often, though not always, become a tax on customers, not on the companies they’re meant to target.Chinese vehicles have had trouble coming to the US for other reasons beyond price, including a change in safety standards that would be regulatorily required, and a slew of advantages provided to US companies beyond the hobbling tariffs enforced on their foreign competition. But other goods come into the US market from all over the place, and when there’s a tariff of say 10 or 25%, that tax is generally just tacked on to the sticker price on the US market, and US consumers thus pay more for something they might have otherwise bought more cheaply, sans tariffs.This creates an effective tax within various industries in the US economy, and it generally has an inflationary effect, as a consequence; things become more expensive, so the money people earn doesn’t go as far.So the new Trump administration announced a new 10% tariff on all Chinese goods, and 25% tariffs on goods from Canada and Mexico, though energy products like oil from Canada will only face a 10% tariff.China has already lobbed a bunch of counter-tariffs at the US over the past few administrations, and it suggested it would add more to the tally in response to this new flat tariff, and now Canada and Mexico are rattling the same sabers, saying they won’t stand by while their neighbor, with the world’s biggest economy, elbows them out, causing possibly substantial damage to their local businesses that export goods to the US.The Canadian government has said it will apply 25% tariffs on $155 billion of American goods, including things like orange juice and appliances, those tariffs phased in over the next three weeks. And the Mexican government has said they’ll do similar things, without giving specific details, as of yet.That means US manufacturers, companies that make stuff that ends up being sold in Canada and Mexico, could soon see comparable tariffs on their goods sold in those markets. That, in turn, could lead to significant economic consequences for such companies, but also everyday people living in all the affected countries, because of that inflationary effect—that effective tax on all of these goods.So even without those counter-tariffs, these new tariffs from the Trump administration against Canada, Mexico, and China to are expected to cause some real damage to the US economy, and to normal Americans. The Tax Foundation has estimated that they’ll shrink US economic output by .4% and increase taxes by $1.2 trillion between 2025 and 2034, which on a micro-scale represents an average household tax increase of about $830 in 2025, alone; an extra $830 out of pocket per household on average because of these punishments that are ostensibly aimed at other countries, to try to get them to do things Trump wants them to do.Most of that $1.2 trillion tax increase is just from the Mexico and Canada tariffs: $958 billion of it, in fact. And during his first term in office, Trump’s tariffs imposed about $80 billion worth of new taxes on American households in a single year, from 2018 to 2019—which isn’t the same as just hiking taxes, but it amounts to the same outcome; and when compared to straight-up tax hikes, this represents one of the largest tax increases in several decades.Biden kept most of Trump’s tariffs from his first administration in place when he stepped into office, and Biden added some of his own, too: especially on strategically vital tech components like computer chips, and next-step product categories like electric vehicles. And the net-impact of these tariffs on the US economy is generally considered to be mostly negative, in terms of practical tax hikes and its inflationary impact, but also in terms of reduced economic activity and employment.Trade wars can sound pretty tough and often serve as nationalistic red meat when reported upon, but most economists consider them to be the legislative equivalent of shooting oneself in the foot; completely open, free trade comes with downsides, as well, including the potential for a nation like China to dump products at low prices in foreign markets, putting local manufacturers out of business, then raising their prices once they’ve soaked up all the oxygen.But trade conflicts often result in a lot of downsides for everyday, tax-paying citizens, have long-term negative effects on businesses, and can also stoke inflation, causing secondary and tertiary negative effects that are hard to tamp down, later.Knowing this, many analysts have speculated that Trump might be using these tariffs as a sort of shot across the bow, wanting to renegotiate all sorts of agreements with enemies and allies, alike, and using the madman theory of negotiation, trying to convince those on the other side of the eventual negotiation that he’s not in his right mind and is willing to burn it all down, wounding himself and his country in order to take out those who he feels have wronged him, if he doesn’t get what he wants.There’s a chance this could work for him, and his many threats and implied threats have already led to a whole lot of cowtowing and cancelled lawsuits against him and his people, even from folks and entities that have previously been staunchly against Trump and everything he stands for.There’s also a good chance that these other governments will see whatever it is he’s demanding from them as a small price to pay to get back to something approaching normal relations with the US, and normal dealings with the US’s economy.His demands so far, though, have mostly revolved around seeming specters; he’s alleging insufficient efforts aimed at drug imports into the US, and that both Mexico and Canada are enabling all manners of money laundering and transnational crimes; allegations that both countries deny, but which probably aren’t the point to begin with. These accusations are generally being seen as a means of forcing these tariffs through without the usual process, which would take a while and present the opportunity for government systems to derail or weaken them, which happened to some of the tariffs Trump wanted to hurl at other governments during his first administration.So those seeming rationales might be primarily just…

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    DeepSeek AI Jan 28, 2025
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    This week we talk about OpenAI, the Stargate Project, and Meta.We also discuss o1, AGI, and efficiency.Recommended Book: The Shortest History of Economics by Andrew LeighTranscriptOne of the bigger news items these past few weeks, in terms of the numbers involved, at least, was an announcement by US tech company OpenAI that it will be starting a new company called the Stargate Project, which will boast a total $500 billion-worth of investment, the first $100 billion of which will be deployed immediately.All that money will be plowed into artificial intelligence infrastructure, especially large-scale computing clusters of the kind required to operate AI systems like ChatGPT, and the funds are coming from OpenAI itself, alongside SoftBank, Oracle, and MGX, with Arm, Microsoft, and NVIDIA also involved as technology partners.It’s a big, beefy enterprise, in other words, and the fact that this has been in the works since 2022, it’s official announcement seemingly held back so that newly returned US President Trump could announce it as part of his administration’s focus on American infrastructure and AI dominance, didn’t dim the glow of the now-formal announcement of what looks to be a truly audacious bet on this collection of technologies, doubts about the players involved having the money they’ve promised ready, notwithstanding.That said, this is far from the only big, billions and tens of billions-scale wager in this space right now.Last year, Microsoft announced a $30 billion infrastructure fund, in collaboration with BlackRock, and earlier in January of 2025, Google’s CEO said that his company would spend about $80 billion on the same, separate from their commitment to Stargate.Meta’s CEO Mark Zuckerberg recently divulged that the company would spend somewhere between $60-65 billion on capital expenditures, mostly on AI, in 2025—that’s up about 70% from 2024 spending.And last December, xAI CEO Elon Musk announced that his company had just raised a fresh $6 billion to build-out more compute infrastructure; and his role at the head of that company is assumed to be part of why he trash-talked the aforementioned Stargate effort, though there’s also a long-simmering animus between him and OpenAI CEO Sam Altman, and the fact that everyone seems to be trying to get in good with Trump—which is probably part of why many of these announcements are happening right now: Trump is in the position to king-make or cripple their respective efforts, so whomever can get in good with him, or best with him, might have an advantage in what’s become a very expensive knife-fight in this most rapidly burgeoning of tech investment loci.There’s a reason there’s so much money flowing to this space, announcements aside, right now, too: the chatbots that’ve emerged from the GPT, LLM era of AI systems are impressive and useful for many things, and AI powered bots could even replace other sorts of user interfaces, like search engines and apps, with time.But there are also some more out-there efforts that are beginning to bear fruit.AI is helping Google’s DeepMind team discover new materials at an astonishing rate—including both the discovery and the testing of their properties, stage.AI systems are also being used to accelerate drug discovery and trial design, and a company (backed by OpenAI’s Altman) is trying to extend human life by a decade using exactly this process.Meta has a new tool that enables real-time speech and text translation between up to (depending on the type of translation being done) 101 different languages, and we’re even seeing AI systems meant to detect and track small, otherwise overlooked infrastructure issues, like potholes, at a local level.And to be clear, this is far from a US government and US-based tech company effort: government agencies, globally, are scrambling to figure out how to regulate AI in such a way that harms are limited but research, investment, and innovation isn’t hampered, and entities all over the place are plowing vast wealth into these projects and their related infrastructure; India’s Reliance Group recently announced it will build what could become the world’s biggest data center, planned to go into operation within two years—a project with an estimated price tag of somewhere between $20-30 billion. And that, all by itself, would more than triple the country’s data center footprint.So this scramble is big but also global, and it’s partly motivated by the gold rush-like desire to be first to something like artificial general intelligence, or AGI, which would theoretically be capable of doing basically anything a human can do, and possibly better.That could, depending on the cost of developing and running such a system, put a lot of humans out of work, scrambling the world and its economy it all sorts of ways, and causing untold disruptions and maybe even havoc. That chaos could be very good for business, however, for whomever is able to sell this new commodity of labor to everyone else, replacing most or all of their employees with digital versions of the same—each one cheaper than a comparable human would be to perform the same work.What I’d like to talk about today, though, is a challenge to the currently dominant theory of operation in this industry, and why a new family of AI models is sending many of the tech world’s biggest players into a panic.—A lot of the news coming out of the AI world, at the moment, is focused on what are called agents, or agentic AI.An AI agent is a system that can operate with agency: it can do things on its own. So you could have one of these systems, something you might engage with like a chatbot, but one capable of taking complex instructions, and you could tell it to find the best e-bike for your use case, and it would then take your info, your context, your needs into consideration, do a bunch of research, and maybe even buy and set up the delivery of the bike for you, with limited check-ins required on your part.A truly agentic AI would operate as sort of a personal assistant, capable of doing anything a human personal assistant would be able to do—sans the physical body, of course—though that could come later.This is generally seen as a step on the path toward AGI, and perhaps even AI superintelligence, which would be AGI that’s massively smarter and better at everything than any human, all of which also moves these things from the realm of “tool to be wielded by humans”, toward something more like a robot that can do all the things it’s supposed to do, without a human present; a different category of product and service.This type of AI, with this level of capability, is generally considered to be really expensive to make—to train, in the industry parlance—and to use, because of how much computing power is required to run the code required to leverage these sorts of smarts.In 2020, ChatGPT-3 cost somewhere between $2-4 million to train. Its successor, ChatGPT-4, which was deployed in 2023 cost more like $75-100 million.That’s a lot more money. The model is a lot more powerful, granted, but the scaling laws that have seemed to be at play in this space, the increase in cost between generations of AI, have suggested that getting another capability leap comparable to what we saw between ChatGPT-3 and 4 would cost something like a billion dollars, and even that might give us a jump, but not the same staggering growth in performance that we saw between those generations.The are arguments to be made that the size and type of dataset matter, here, and that the culling of said datasets, and how the models are tuned to use the data and respond to things are also vital, perhaps as much or more so than the initial training.Companies like OpenAI have also figured out all sorts of ways to wring more performance out of less training and compute, including things like allowing the AI to reference other sources—basically doing a web search or checking wikipedia and similar references, in addition to knowledge that already exists in its training dataset—or allowing them to “think” longer, giving them more time to work through a problem or task, which tends to lead to better results, even with weaker—in terms of training and compute power—systems.Ultimately, though, most of these companies seem to be assuming that more money churned into more infrastructure and compute capability will be necessary, to make these things better at doing science and solving global problems, at maybe running military campaigns-scale issues, but also at replacing humans as employees—creating more agentic, ultimately, they hope, AGI-level systems.So that’s a big part of why there’s so much money sloshing around in the AI world right now: all these companies want to build the biggest, baddest model, they would love to develop AGI and put everyone out of work, and they assume that more money will equal more potency, so if they don’t start building now, they risk being left behind in a couple of years when all their competitor’s snazzy new assets are available and powering their AI systems—which could allow their competitors to get there first, and there’s a general assumption that it’s important to be first or close to first on this, as truly AGI-level, or beyond AI could theoretically allow them to refine their own systems faster, which could secure them a permanent lead over their opposition, moving forward.Though the US is generally considered to be in the prime position in that particular race, so far, China has been investing a lot in this space, as well, and many of their investments have been similar to those of their Western competitors; dropping lots of money on the issue, building big infrastructure, and so on.They’ve been hindered quite a lot by Western, especially US, sanctions, though, and that’s made it more difficult, not impossible, but more time-consuming and expensive for them, to get the highest-end chips optimized for AI systems, like those made by NVIDIA.This has forced them to take some different approaches to their international peers, and while many of those approaches still involve huge price tags and build-outs, some of them have instead focused on a less-celebrated aspect of the industry: that of smaller models that are a lot more efficient, achieving gains that are out of proportion to their training and operating costs.Case in point are the new DeepSeek R1 models, which are a collection of AI models that were cheap to make, released free for public use and editing, and which seem to beat OpenAI’s o1 reasoning models—which are very much not free, and which were a lot more expensive to develop—on some of the most widely used performance benchmarks.These models apparently cost something like 3-5% what OpenAI spent on its o1 model, a mere $5.6 million, and again, they’re free to use, but also open source, so anyone who wants to build their own business or new AI atop them can do so; and their API costs are more than 90% lower than o1’s, so it’s also a lot cheaper to use these models for development purposes than OpenAI’s options.This isn’t the first time a Chinese company has taken a look at what folks are doing in the west and then massively undercut their efforts by amplifying the efficiency many fold. Also, again, there’s a constraint on Chinese companies’ ability to get the latest and greatest AI hardware, which incentivizes this path of development, and they also have a super competitive tech industry in China, which tends to force a lot of their sub-industries, like batteries and solar panels, to iterate rapidly and push costs as low as functionally possible.This family of models was made as kind of a side project by someone who’s been competing within that somewhat brutal evolutionary context, and the rest of the world, by comparison, just hasn’t had the same forcing functions influencing its development path—so this level of efficiency with this level of performance has been, up to this point, unheard of. And as a result, these DeepSeek models have sent the US and other western tech industries into a tizzy.And it makes sense that these people would be panicking: they have spent, and are intending to continuing spending heavily on next-gen AI infrastructure, and this type of model, trained for basically nothing, demonstrating this level of performance? It calls all those investments into question, even to the point that some commentators—without evidence, so there’s no reason to believe this is the case—have wondered out loud if this might be some kind of psyop by China to kill the US’s AI industry, basically making it look like a bad investment, if these kinds of results can be achieved so inexpensively elsewhere.Again, that’s almost certainly not what’s happening here, but these models have reportedly landed like a live hand grenade in the offices of the US AI industry, with folks in big tech companies frantically trying to figure out how DeepSeek does what it does, and then surreptitiously copying whatever they can to try to get ahead of this, build their own version of the same and maybe work those findings into their planned investments.Meta in particular has apparently been on edge about this, as they’ve tried to own the free, open AI model space with their Llama family of AI models; which have been generally well received, but apparently DeepSeek’s earlier model, v3, was already messing with their heads, surpassing what they were able to do with llama, and this new family, the R1 family, has them worried they won’t be able to hold onto that position, and might not even be able to compete, despite their tens of billions of dollars worth of investment.What’s more, something this effective and efficient can be run by a lot of companies that would otherwise have had to rely on entities like OpenAI and Meta, which have the computing infrastructure—all those big buildings they’re constructing at a frantic rate and high cost—to handle the larger models.Non-AI companies that want to use these systems, though, could theoretically just buy their own, smaller setup and run their own AI, in-house, which would alleviate some security concerns related having all that stuff processed off-site, but it would also almost certainly be cheaper over the long-term, compared to just paying someone like Google or OpenAI for their services, forever.All of this has resulted in a fair bit of volatility in the US stock market, which has been heavily reliant on AI-oriented tech stocks for growth over the past year, with NVIDIA in particular taking a hit, due to the possibility that heavyweight chips might not be vital to creating high-end AI systems.There are downsides to DeepSeek, of course, perhaps most obviously that this model, having come from China, is laden with censorship about exactly the sorts of things you would expect: Tianammen Square, China’s government and it’s many well-documented abuses, and so on. There could be more issues, too, that the folks who look into such things will discover after spending more time with this family of AI, though thus far, the response has generally been very positive, even with those caveats.Either way, this challenges the assumption that the US or any other country can stifle another nation’s, or group’s, AI ambitions with hardware sanctions.It also suggests that, if this general approach could be replicated, we may see a lot more models that are cheap and easy to run, but which are also effective enough for a lot of those next-step, higher-end utilities. And that would allow AI to spread a lot more quickly, more people being able to wield more powerful tools, while also potentially doing away with many of the moats—the defendable, unique value propositions—these larger tech companies assumed they would have by building and controlling the pricy infrastructure they assumed would be necessary to spin-up AI systems of that calibre.Show Noteshttps://www.microsoft.com/en-us/research/story/ai-meets-materials-discovery/https://sem…

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    Gaza Peace Deal Jan 21, 2025
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    This week we talk about October 7, the Gaza ceasefire plan, and Netanyahu.We also discuss Hamas, Qatar, and the new US administration.Recommended Book: Witch King by Martha WellsTranscriptOn October 7, 2023, the militant group Hamas launched a sneak attack from the Israeli occupied Gaza Strip against Israel itself, killing about 1,200 people and taking just over 250 hostages.Israeli forces were caught stunningly unaware by this, but shortly thereafter, Israel launched a counterattack into Gaza, sweeping through the Strip, with both on the ground incursions of tanks and troops, and with seemingly endless air raids and missile strikes, ostensibly to clear out Hamas fighters and find their leadership, but the net impact of this, on top of Hamas’ organization being substantially degraded, was the reductiond entire cities to rubble and the displacement almost the entirety of the Gazan population—something like 2.3 million people, most of whom have been living on the streets or in ramshackle encampments, without reliable sources of food, water, or shelter, as aid shipments from elsewhere have been held back by Israeli forces, for more than a year.Gaza’s Health Ministry estimates that more than 46,000 Palestinians and other Gazan residents have been killed as a result of the fighting over the past 15 months, with more than double that, nearly 110,000 wounded. The Israeli military says they’ve killed more than 17,000 militants over the course of their invasion, though both sources are biased and are operating from incomplete numbers, so these figures are all considered to be suspect at this point, if probably in the right general ballpark, in terms of orders of magnitude.The hostages taken by Hamas during that initial attack into Israel have remained a tricky issue throughout this conflict, as Hamas leaders have continuously used them as bargaining chips and at times, human shields, and the Israeli government has regularly reassured the hostages’ families that they’re focused on returning those captives home safely—but they’ve done this while also, in many cases, seemingly doing the opposite; focusing on taking out Hamas and its leadership, first and foremost, to the point that Israeli forces have seemingly killed many of the hostages they’re attempting to rescue, because they went in after a Hamas leader or bombed a neighborhood into oblivion without first checking to see who was in that neighborhood.This stance has in some cases been incredibly inconvenient for the Israeli government, as the families of the hostages have in some cases been at the center of, or even sparked, some of the large protests against the Israeli government and its actions that have become a fixture of Israeli life since this war started.Prime Minister Netanyahu and his military leaders have been a particular focus of this internal ire, but the Israeli government in general has been targeted by seemingly endless public acts, meant to show civilian discontent with how they’re doing things.Since that day when Hamas attacked Israel in October of 2023, this war has expanded to encompass not just Israel and Hamas, but also other militant groups, like the Houthis operating out of Yemen, and Hezbollah, operating out of Southern Lebanon, just on the other side of Israel’s northern border.All three groups are supported, in terms of training, weapons, and money, by Iran’s government, and they’ve helped Iran sustain a collection of proxy conflicts throughout the region for years, without Iran ever having to get directly involved.These relationships and that sponsoring of these groups has allowed Iran to exert its influence throughout the Middle East and beyond, including into the Red Sea, which typically serves as a vital international shipping channel, but because of regular attacks against shipping vessels by the Houthis from Yemen, the whole of the global supply chain has been disrupted, all sorts of things becoming more expensive and goosing already high inflation levels, because of the longer routes and thus, more expensive shipping costs that have become necessary in an era in which this channel is dangerous to traverse.This dynamic, of Iran playing puppetmaster with its proxies throughout the Middle East, has shifted a fair bit over the course of this war, as these attacks, on Israel and other entities in the region, have attracted counterattacks by Israel and their allies, including the US, and that in turn has left Hezbollah all but destroyed—a series of brazen decapitation attacks by Israeli forces basically wiping out the whole of the group’s upper ranks and resource stockpiles within a matter of days. They’ve also destroyed much of Hamas’ local infrastructure and leadership, and the Houthis, while attracting a lot more attention and prestige for their efforts in the Red Sea, have also seen their capacity to operating more broadly degraded by the presence of a swelling, and increasingly aggressive, anti-Houthi fleet.All of which has significantly diminished Iran’s reach, and its capacity to move pieces on the board. Attacks directly against Iran by Israel, too—which were met with remarkably ineffective counterattacks—have likewise destroyed infrastructure, but perhaps more importantly substantially reduced Iran’s credibility as a true force in the region; they’re still a huge military power, in other words, but unless something changes, like their military managing to develop a nuclear weapon, they’re no longer considered force they were at the beginning of all this; their weakness at range, in particular, makes them look downright ineffectual compared to pretty much all the other military powers in the region, right now.This has also, arguably, made them a less appealing ally for Russia. And though the two nations recently announced a new defense pact, this pact was seemingly signed because both nations recently lost a valuable supplicant state in Syria, which saw its Assad government toppled not long ago—the new government not clearly aligned with either of them, and perhaps even oppositional to them.This pact was made from a place of relative weakness, then, not strength, and its dictates are pretty limited: no mutual defense clause, no formal alliance. It’s basically meant to indicate that the two nations won’t actively help anyone else attack the other from their territory, which is about as noncommittal as these sorts of agreements get.To Russia, still, then, Iran is more or less a provider of drones and rockets, not a peer or even true regional power. And that’s partly the result of the weakness Iran has shown in the face of repeated Israeli aggression toward them, during this conflict.This conflict has also shaped global politics, as people on the political left, in particular, have tended to rally for innocent Gazan civilians, while those on the right have tended to support Israel’s (also conservative) government, and it’s decision to conduct the war as it has.This may have nudged the recent US presidential election in Trump’s favor, and other campaigns have likewise been at least minutely affected by this issue, and its polarizing, at times fracturing impact on left-leaning parties in particular.What I’d like to talk about today, though, is what looks to be the beginning of the end of this conflict, and what a newly negotiated ceasefire between the involved parties entails.—The events I breezed through in the intro paint a far from complete picture of what’s happened during this war; it’s been big, expansive, expensive, and brutal, and has fundamentally changed the geopolitical setup of the region, and in some ways the world, as well.Just as potentially wide-reaching is the ceasefire that’s been negotiated and, as of the day I’m recording this at least, one day after it officially came into effect, is so far still active, and which seems primed to nudge things away from active conflict and toward some new state of affairs in the region.So let’s jump in and talk about the details of this ceasefire.Governments have been shipping diplomats to the region since this thing broke out, all wanting to polish their reputation as peacemakers and reliable intermediaries, and all trying to formalize something like this, some kind of lasting peace, pretty much from the day Hamas launched that sneak attack, but even more so after Israel began pummeling Gaza to dust.And Qatar has been a focal point for these peace efforts from the get-go, enjoyinf some initial success in helping the two groups establish a four-day ceasefire in late-November 2023, that period later extended by several days, so that in total 100 Israeli hostages were freed in exchange for the freedom of 240 Palestinian women and children who were being held in Israeli jails.Qatar has been building its reputation for these sorts of negotiations, and Egypt joined in, partly for the same reputational reasons, but also because Israel’s invasion has come dangerously close to their shared border, and there have been concerns that displaced Palestinians might be forced across that border by Israel’s attack, creating a humanitarian crisis within Egypt that would have been expensive and disruptive in many ways.The worst case version of that concern didn’t materialize, but Egypt maintained its involvement in the peacemaking process, working with representatives from the US and Qatar, the former a staunch ally of Israel, the latter on good terms with Hamas, even housing some of their leaders, to keep negotiators from Hamas and Israel talking.Throughout the war, these and other involved parties have generally supported a three-phase ceasefire proposal, which would begin with a ceasing of hostilities, followed by the release of all Israeli hostages being held in Gaza and a bunch of Palestinians being held in Israeli prison, and following that, if everything goes according to plan, the establishment of a permanent ceasefire, which would see Israel pulling its forces from Gaza and the beginning of a reconstruction process in the Strip—which again, has had many of its most populous cities leveled, completely unlivable, at this point, while almost all of its population has been living on the streets and in camps, without things like power, water, or electricity.This plan sounds pretty straightforward, on its face, but the specifics are fuzzy, and the negotiation has thus been fraught, and any implementation is inherently riddled with diplomatic landmines and other perils. And this is part of why previous versions of this ceasefire agreement have been hamstrung. Back in mid-2024, Netanyahu halted progress on what seemed to be an acceptable to everyone version of the plan, saying he wouldn’t support any resolution that ended the war, only one that implemented a partial ceasefire, and that seemed to be a political move on his part. But throughout the negotiation process, there have been a lot of good faith concerns and disagreements, as well, so this has been a slow, frustrating grind for those involved.Pressure from those aforementioned involved parties, though, and almost certainly Israel’s successes on the ground against all those Iranian proxies, and Iran, itself, seems to have led to the right combination of circumstances that even Netanyahu has indicated it’s probably a good time for a ceasefire.There have been murmurs, unconfirmed at this point, that freshly reelected US President Trump pressured Netanyahu to move in this direction, and that this new pressure from the incoming administration, which has long been on friendly terms with Netanyahu’s people, combined with those other, existing pressures, might have been what sealed the deal; and is probably why all this has coincided with Trump’s recent inauguration.Whatever the specifics of the genesis of this agreement, though, there was finally enough appetite for a three-stage ceasefire to come together, and the resulting plan was approved by Israel’s security cabinet, and then the government’s full cabinet, on January 17, 2025. The other parties were already on board, so this was enough to move the thing forward.This plan, which was officially implemented a few days before this episode goes live, on January 19, 2025, will start with a 42-day pause in fighting that will see Israeli forces leave Gaza, pulling back to a buffer zone along the periphery of the Strip. This will allow civilians to return to what’s left of their homes, while also enabling the import and distribution of a whole lot more aid deliveries, which have been hampered by those Israeli forces up till this point.There will be a complete ceasefire from this point forward, if everything goes according to plan, and a bunch of hostages will be released—33 Israeli civilians and female soldiers freed by Hamas, and some larger number of Palestinian prisoners held by Israel released, in exchange, a portion of that total number released each week at regular intervals.Shortly after the first stage’s implementation, the Rafah crossing that divides Gaza and Egypt will also be reopened to allow sick and wounded people to leave the Strip, though it’s not clear at the moment if control of that crossing, which is currently held by Israeli forces, will be returned to the Palestinians soon, at a later stage, or at all.After that six week period, the second stage will focus on the exchange of the remaining Israeli hostages, alive and dead, and the release of a proportionate number of Palestinians prisoners; though prisoners who have been convicted of murder will be released to prisoners in other countries, rather than back into Gaza or the West Bank.Israel would also completely withdraw from Gaza, at this point, though Israel’s cabinet hasn’t yet voted on this specific condition, and far-right members of that cabinet have said they’re not in favor of this, so it could end up being a sticking point.This second stage currently has an unknown duration, which is another complexity that could ultimately trip things up, as an inability to agree upon the end of a stage could keep the next one from ever happening, without technically derailing the agreement as a whole.The third stage, if and when we get there, could last a long time, even years, and it would include an exchange of the dead bodies of hostages and Hamas members that haven’t yet been returned, while also kicking off a three- to five-year reconstruction period that would see the Strip being rebuilt under international supervision.This is also when some kind of Palestinian governance will need to be reestablished in the Strip. Though while many international players want the Palestinian Authority, which governs the Israeli-occupied West Bank, to retake control of Gaza—they governed the area previously, but were booted by Hamas back in 2007—Israel isn’t in favor of PA leadership being reintroduced to the region, so that’s another point of contention that could derail things before the whole of the peace process can play out.The thing to watch, right now, is whether these first six weeks go as planned, with the first several dozen hostages successfully returned to their families by Hamas, and a far larger number of Palestinian prisoners released by Israel, in exchange.There should be a full-on ceasefire for the duration of this process, and that ceasefire should become permanent along the way, with Gazan civilians able to move freely and return to their homes, throughout. About 600 truckloads of aid scheduled is to arrive each day, too, which is up from around 18 truckloads, pre-agreement. That should help stabilize the humanitarian catastrophe that’s been simmering on the ground for more than a year—though to be clear, this is a stabilization to still dire circumstances, not a return to anything close to normal for those afflicted.From there, it’s a question as to whether Israel sticks to its agreement to limit its forces to the buffer zone, and whether the specifics of that pull-back, the negotiations for which have been sched…

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    LA Wildfires Jan 14, 2025
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    This week we talk about the Pacific Palisades, Hurricane Katrina, and reinsurance.We also discuss developed property values, arsons, and the cost of disasters.Recommended Book: The Data Detective by Tim HarfordTranscriptNatural disasters, whether we’re talking about storms or fires or earthquakes, or some combination of those and other often related issues, like flooding, can be incredibly expensive.This has always been true, both in terms of lives and material damage caused, but also in terms of raw currency—the value of stuff that’s destroyed and thus has to be rebuilt, replaced, or in some rare cases partitioned off so that similar things don’t happen in the future, or because the space is just so irreparably demolished that it’s not cost effective to do anything with the land, moving forward.The four most expensive natural disasters that we’ve been able to tally—so this doesn’t include historical disasters that are far enough back that we can’t really quantify the damage, due to an inability to directly compare, or insufficient data upon which to base such quantification—the top four that we can line up against other such disasters and compare the numbers for are all earthquakes.The earthquake in Japan in 2011 that, in addition to causing a lot of damage unto itself, also caused the disaster at the Fukushima nuclear plant tops the list, with a cost at the time of around $360 billion, which would be nearly $490 billion in today’s dollars.The second most expensive natural disaster is also an earthquake in Japan, this one hitting a region called Hanshin in 1995, causing about $200 billion worth of damage in mid-90s money, which would be about $400 billion, today, and the third was an earthquake not too long ago, the 2023 quake that struck along Turkey and Syria’s border, causing something like $160 billion in damage.The fourth costliest natural disaster hit China in 2008, causing around $130 billion in damage, which is about $184 billion in today’s money.These disasters also caused a lot of casualties and deaths; about 20,000 people died in that most-costly, nuclear-incident-triggering quake, while nearly 88,000 were killed in that fourth-most-costly, Chinese one.The Great Hanshin quake, in comparison, lead to somewhere around 6,000 deaths: which is still just a staggering human loss, but it’s an order of magnitude less than in those other comparable disasters; which hints at the trend we see with these sorts of events—the scale of wounded and killed doesn’t necessarily correlate with the scale of costs associated with damaged and destroyed infrastructure and other assets.The costliest natural disaster in US history, as of the first week of 2025, at least, was Hurricane Katrina back in 2005, which all but destroyed the city of New Orleans and much of the surrounding area, causing around $125 billion in damage, which is equivalent to about $195 billion, today, but it only led to around 1,400 deaths: again, all of those deaths absolute tragedies, and any disaster that causes that many deaths is an historical event. But looking at the raw numbers, that’s a shockingly low figure compared to the sum of the monetary damages tallied; it’s actually remarkable as few people died as they did, looking at this storm and it’s impacts through that lens.What I’d like to talk about today is another natural disaster, this one ongoing as I record this, that looks primed to take the record of most-costly, in terms of money, US natural disaster from Katrina, and some of the implications of this disaster.—Part of why disasters in the US, natural or otherwise, tend to result in fewer fatalities than those that occur elsewhere is that the US is a very wealthy country with relatively high-quality and widely dispersed infrastructure.There are quibbles to be voiced about that claim, as many recent reports indicate that said infrastructure isn’t terribly well maintained, and that the country’s healthcare setup and relatively low pay and support for the sorts of people who save lives and rescue victims in the midst of such disasters raise questions about how long this will continue to be the case; some of these high-quality systems are somewhat fragile, in other words, and won’t always perform at the level they arguably should.That said, in general, when need be, US government institutions—federal and regional—are capable of throwing money at issues until they mostly go away, and they have a lot of decent resources to leverage when need-be, as well. Americans in general also have reasonable amounts of resources to call upon, on average at least, when they need to flee town and stay elsewhere for a while until a storm subsides, for instance.This is all on average, and we tend to see the gaps in that generality when disasters hit, and Katrina is a perfect example of this disaster illuminated dichotomy, as a lot of the country’s least well off people, who have arguably been let down by the system and their government in various ways, were unable to do what everyone else was capable of doing, and were thus stuck in ramshackle and dangerous accommodations, and in some cases weren’t rescued because of the nature of the infrastructure that was meant to help protect them, but which was ultimately incapable of doing so. Other people were shuttled by those entities to other parts of the country while the disaster was being handled, and some were never brought back—it was all a pretty big scandal.Looking at the averages, though, the US tends to experience disasters that are more expensive in terms of money than lives because there’s more costly infrastructure in place, more valuable assets owned by pretty much everyone, compared to many other nations around the world, at least, and folks are generally capable of getting out of the way of stuff that might kill them—at least when we’re talking about things like storms and fires.Case in point is the ongoing, as of the day I’m recording this, jumble of wildfires that are menacing, and in some cases demolishing, parts of the Greater Los Angeles area in Southern California.As of the day I’m recording this, a day before this episode goes live, there are two primary fires still spreading, designated as the Eaton and Palisades fires, those names based on the regions in which they started to flare out of control, and several smaller ones called the Kenneth, Hurst, and Lidia fires.The Palisades fire is currently the largest, having burned about 24,000 acres, followed by the Eaton, which has consumed around 14,000 acres. The Kenneth, Hurst, and Lidia fires have burned around 1,000, 800, and 400 acres, respectively.That’s…not huge. Tens of thousands of acres is a decent sized plot of land, definitely, but for comparison, the Smokehouse Creek Fire that burned through parts of Texas and Oklahoma in 2024, and which became the largest wildfire in Texas history, consumed more than 1,100,000 acres.The Park Fire, which plagued Northern California in mid-2024, is the state’s largest-ever arson-caused fire, and it consumed nearly half a million acres.So a total of just of 40,000 acres or so for this new collection of fires is piddly, within that context.The difference here is that both of those other fires consumed mostly, though not entirely, undeveloped land. And such land, while not value-less, is not the same kind of asset, in terms of dollars and cents, as heavily developed, with homes and businesses and electrical cables and roads and other such infrastructure, land tends to be.These new, Southern California fires are smaller than those other, big-name wildfires, then, but they’re also consuming some of the most expensive real estate, and the properties and other assets build atop that real estate, in the world.As of right now, the Kenneth and Lidia fires are completely contained, and the Hurst is getting there. The Eaton and Palisades fires, the two largest of the group, are still mostly uncontained, however, due in part to wild and dangerous winds that are making containment efforts difficult, in some cases preventing aerial efforts, and in others making conditions extra risky for people on the ground, due to the dynamic and quick-moving nature of things.Given all of this, and again, given that these fires are burning homes worth tens of millions of dollars, located on coastal land that’s in some case worth around the same, it’s perhaps no surprise that analysts are already projecting that these fires could cause something like $50 to $150 billion in economic losses; and for comparison, the aforementioned Camp Fire in Northern California, which also consumed some fairly expensive homes and real estate, in addition to the undeveloped park land it consumed, only tallied about $30 billion in damage, all told, while the fires that hit Hawaii in 2023 added up to just $5.7 billion.Of that $50-150 billion total, it’s estimated that around $20 billion will be covered by insurance, which represents a staggering loss for those without any, or without the proper insurance, but also potentially represents a huge loss for residents of California, as the state has an insurance of last resort scheme called the FAIR Plan, which is a privately run, but state-created entity that serves those who can’t find insurance via conventional, private insurers. And often, though not always this means those customers are in areas that are too expensive or too risky for traditional insurance companies to operate in.In practice, that usually means insurers of last resort have a portfolio full of risky bets, and the plans they offer are more expensive than usual, and tend to provide less coverage and benefits than the conventional stuff.In these sorts of situations, though, we have a whole lot of risky bets than have suddenly come up snake eyes, this FAIR Plan suddenly having to pay out billions of dollars to their customers in these risky areas. And between 2023 and 2024, the number of homes in the very expensive Pacific Palisades area, which is high-risk for wildfires, nearly doubled to around $6 billion of covered assets in that zip code, alone. It’s been estimated that the plan could have something like $24 billion in total losses from this cluster of ongoing fires.The FAIR Plan isn’t government-funded: instead, if it runs out of money because of high levels of payouts, private insurance companies foot the bill, which will place further strain on those insurance companies, which are already expected to be staggered by losses across the region, but also then raises insurance prices for everyone in that area, moving forward, which could further inflate expenses for the state’s tens of millions of residents, while also possibly incentivizing businesses to move elsewhere, which would reduce taxflows to state coffers, and over time cause even more financial problems.Reinsurance claims could muddle some of this math—reinsurance being basically insurance plans for insurance companies, bought from other, specialized insurance companies—as sufficient reinsurance coverage could help the FAIR Plan, and other insurers operating in these areas, weather the storm without being forced to raise prices excessively. But those companies, too, might then raise their reinsurance rates substantially, and those increases would then ripple across this same economic landscape.Lots of potential long-term financial damage, either way, on top of the assets lost and damage caused directly, and of course, the human losses, which as of the day I’m recording this, totals 24 people confirmed killed, dozens of people missing, and a still unquantified number of injuries and lives completely, perhaps permanently disrupted or upended.This whole situation—these fires—are complicated by many factors.The climate is one, as 2024 was the hottest year on record, the first one we’ve experienced, as a species, above that now-famous 1.5 degrees celsius-beyond-pre-industrial-levels milestone. That figure will fluctuate day to day and even year to year due to all sorts of variables, but the big picture here is that the global water cycle has changed because global average temperatures have been nudged upward, and that’s causing a lot of upsets to local infrastructure and ecosystems that have always, since we’ve been here, at least, relied on that cycle functioning in a certain way, within a certain spectrum of operation.Now that we’ve defied that spectrum, we’re finding ourselves with more extreme disasters of all kinds, but also more extreme and dangerous and damaging and deadly repercussions from those disasters, because the things we did to ameliorate them previously no longer work the same way, either.So California, especially this part of California, has been even drier than usual, and the way the state used to prevent the spread of wildfires no longer works the way it used to work; a climactic issue compounded by issues with the systems we’ve clung to, despite the problems they’re meant to address having evolved substantially since they were originally developed and deployed.This situation is also complicated by the fact that southern California, and especially the LA area, is a hotbed for global entertainment, and that means a lot of wealth concentration.Lots of people scrambling to buy and build homes with beautiful coastal views, and the fact that these areas are high-risk for wildfires and increasingly other disasters, as well, doesn’t really matter, because rich people want to be in this area, around all this activity and wealth, and it’s generally understood that wealth can make you immune to these sorts of things, at least most of the time.That immunity is no longer such a given, and that high concentration of expensive assets means that even a relatively small fire can cause a heck of a lot of damage in a relatively short time.The same general collection of properties also means this region has a lot of landmarks that are at high-risk of destruction, and which are increasingly expensive to maintain and protect and repair, and it means the world is watching, to a certain degree—as celebrities flee their homes and influencers report the beat-by-beat of their evacuations—which in turn means there’s plenty of incentive to spread misinformation, either out of a desire to participate in the situation, or because of honest ignorance, or for political and ideological reasons: wanting to paint the local governance as incompetent, for instance.At the moment, folks in the area are suffering from periodic power outages, largely due to local utilities shutting down some of their service areas in order to avoid starting new fires, their power cables and high winds sometimes sparking such things even in less pressure-cooker-like moments. And the air quality is absolutely abysmal, leading to localized health issues.Some areas have run out of water, apparently due to issues with reservoir infrastructure, and one of the two firefighting planes the local authorities have been using to douse the fires when the wind conditions allow has been grounded for repairs, after colliding with an illegally flown drone, the operator of which was apparently a paparazzi trying to capture photos of celebrity homes, either being consumed by fire or somehow avoiding such a fate.Again, this is a fast-moving story, and a lot is changing day by day, but at the moment it’s looking like this could become the most expensive natural disaster in US history, and while local authorities are making progress in halting these fires’ spread, the damage that’s been done has already been substantial, and could have a lot of knock-on effects, for individuals and for the state’s and country’s economy, for years to come.Show Noteshttps://en.wikipedia.org/wiki/Park_Firehttps://en.wikipedia.org/wiki/Smokehouse_Creek_Firehttps://www.washingtonpost.com/business/2025/01/09/los-angeles-wildfire-economic-losses/https://en.wikipedia.org/wiki/California_FAIR_Planhttps://www.nytimes.com/2025/01/08/climate/california-h…

    Full show notes at the publisher

    Lone Wolves Jan 07, 2025
    Show notes

    This week we talk about Luigi Mangione, VAW attacks, and mass shootings.We also discuss stochastic violence, terrorism, and Cybertrucks.Recommended Book: Some Desperate Glory by Emily TeshTranscriptThe terms “Lone Wolf,” “Lone Wolf Actor,” and “Lone Wolf Killer” are interchangeably used in many countries—though most commonly and prominently in the United States—to describe someone who commits a mass-killing or other mass-casualty event, but who is not part of an organization like a terrorist group or other criminal network like a gang.The term is hotly contested in the scholarly world, as it’s applied loosely and inconsistently, and the definition varies somewhat by location, government, law enforcement entity investigating said killings, and the press reporting upon it. But in general, to be defined as a mass-casualty event or mass-killing, a collection of murders must occur in public—so it can’t be a person killing their family at home, for instance—it must involve at least four victims—so someone killing or injuring three strangers in a public place will typically not be categorized in this way—and it must not occur as part of another crime, like a robbery gone wrong, or as part of a larger conflict between two rival gangs.Within this context of mass-killings and mass-casualty attacks, a lone wolf is someone who acts solo, the term originating with the concept of a wolf that has been separated from, or perhaps outcast from its pack.Someone who kills a bunch of people at the instruction of a terrorist organization like ISIS, then, would not be considered a lone wolf, even if they committed the act without any direct aid from that group; though this definition is wobbly even in that regard, as someone who takes inspiration from a group like ISIS, committing a mass-killing to support that group’s cause, but not directly connected to the group, might be labeled a lone wolf, or not. And there’s no hard-set rule as to which definition is correct.This was a somewhat common issue back in the late-20th century, when many so-called lone wolf terrorists were committing acts of violence in support of anarchist ends, but the anarchist groups from which they derived their inspiration, and in some cases with which they collaborated, were leaderless by nature—so it couldn’t really be said that they were instructed to carry out these acts, they were just inspired by these fellow ideological travelers, and that made determining whether they acted on their own behest or not a tricky and perhaps impossible undertaking; a lot of it is semantics.Also confounding the simple categorization of such killers and attacks is the concept of stochastic terrorism, which is a type of violence that is almost always political or ideological in nature, as opposed to being revenge-driven or otherwise personal, and it’s generally incited by someone with a public persona—a politician or other leader—who creates an environment in which violence is more likely to occur, that violence seemingly random, but on average directed in a specific direction.So a politician who says something like “Man, people from the opposing party really believe some horrible stuff, I wouldn’t be surprised if something happened to them, considering how evil they are,” while at the same time stoking the flames of potential violence throughout the population by increasing animosity between political parties and maybe even religious groups, might be aiming to spark stochastic terror that would benefit them and their ambitions.By riling up their base in this way, by sowing the seeds for potential attacks against their perceived enemies, violence in their favor, aimed at those enemies, is more likely to happen, but in a way that’s deniable for them—just a random act of ideological murder that they can denounce, despite arguably having asymmetrically instigated it.Is stochastic terror an example of planting seeds for violence that makes the resultant killings something more like directed attacks, and therefore not lone wolf in nature, then? Or are all lone wolves arguably inspired by something they’ve learned or experienced or been told, and thus arguably stochastic in nature—no direct guidance or instruction, but still inspired by someone or something, somewhere along the way?What I’d like to talk about today are three instances of recent supposedly lone wolf attacks, and why some experts are predicting we’ll see more such attacks, especially but not exclusively in the US, in the coming years.—There were nearly 500 officially recognized mass-shootings in the US in 2024—and again, that means 4 or more people injured or killed in public, and not as part of another crime being committed.That’s down from previous years, the preceding four of which have each had more than 600 mass shootings, and on average a little less than 10 people are killed in these shootings—though that figure is nudged upward by the largest of these mass killings, like one in Las Vegas in 2017 that saw 60 people killed and more than 800 wounded, many in the resulting stampede, by a 64-year-old seemingly lone wolf gunman who fired on an open-air music festival from the 32nd floor window of a nearby hotel.Gun homicides in the US are rampant beyond mass-killings: there were about 21,000 murders committed with guns in the country in 2021, alone—and notably, self-inflicted gun deaths, suicides using these weapons, eclipse that number, tallying more than 26,000 that same year.That means more than 50 people are killed by guns in the US every single day, and about 4 out of every 5 murders are committed using guns in the country; which makes sense, as guns are very effective at what they’re meant to do, which is killing something, and there are a lot of guns in the US: about 120 of them per 100 people, as of 2018.And to be clear, that doesn’t mean everyone owns a gun: that average is driven sky-high by the gun-enthusiasts who tend to buy a lot of the things, though gun ownership has continued to increase in scope in recent years, as political and economic uncertainty, especially in areas where perception of crime levels, if not always actual elevated crime levels, increases, tends to drive more widespread gun sales.Given all of that, it’s maybe not a huge surprise that many apparent lone wolf attacks in the United States are committed using firearms; sometimes assault rifles, sometimes guns that have been augmented using bump-stocks or similar add-ons to make a normal gun into basically an assault rifle, and sometimes just using a pistol, which can be easily pocketed and carried around pretty much everywhere in this country.On December 4, 2024, the CEO of UnitedHealthcare, which is part of the largest health insurance company in the United States, UnitedHealth Group, Brian Thompson, was gunned down in front of the Midtown Manhattan Hilton Hotel.The alleged killer, who was later identified by law enforcement officials as Luigi Mangione, was captured on nearby CCTV cameras, was wearing a hoodie and an expensive backpack while shooting Thompson, and used a pistol with a suppressor—a silencer—to shoot him multiple times, the bullet casings left behind inscribed with the words Delay, Deny, and Depose; terms that have been associated with the US health insurance industry for legal tactics they lean on in order to pocket more money, allegedly at the expense of their customers who have their claims denied or long-term delayed, in some cases leaving them without the care they require, and in some cases leaving them in crippling debt following a necessary medical procedure that the insurance company says they won’t pay for.The response to killings of any kind, even in a gun-happy country like the US, tends to be fairly grim and sad; the endless mutterings of “thoughts and prayers” by politicians and other public figures has become so common and toothless as to be near-satire at this point, but generally the tone is antagonistic toward whomever committed the killing, before then swinging toward calls for more security and policing if you’re on the political right, and more gun regulation if you’re on the political left. And that’s generally where we leave things until the next headlines-capturing shooting; and we typically, unfortunately, don’t have long to wait.Thompson’s murder, though, was almost immediately met with celebration across the political spectrum; working class folks, Democrats and Republicans and everyone in between and on the furthest political extremes basically muttering about how it serves him right, before realizing everyone else was muttering the same thing, and that led to outright enthusiasm, especially online, and even calls for more of the same across the social media landscape—many normal people doing the politician and ideologue thing by basically posting their hopes that someone will knock off other CEOs as well, seemingly aiming to spark more stochastic violence in their favored direction.The wealthy and especially the CEO class were horrified at this response, perhaps understandably, and there was pushback from mainstream journalistic and political entities across the board, with lots of tut-tutting and finger-wagging at anyone who dared celebrate what looked to be the cold-blooded murder of another human being.But the nature of American healthcare and especially health insurance being what it is—massively imperfect at least, and by some assessments borderline abusive or even outright evil—this was seen by many as just desserts for someone who himself had committed millions of dollars worth of fraud and gotten away with it, and who was running UnitedHealthcare in such a way that it denies more claims than any of its peers, which in turn has allowed itself to massively enrich itself and its shareholders at the expense of its customers.There were many cries of “serves him right,” then, alongside some requests that other CEOs be next; many of these requests couched in memes and jokes, but also seemingly earnest.The nature of the alleged killer, who was eventually shown to be a good-looking young man of privilege who had maybe suffered under the auspices of the American healthcare system, due to chronic ailments and an insurance system that didn’t even serve someone like him, who grew up with substantial advantages, further fanned those flames, and as of the day I’m recording this he’s in custody, has pleaded not guilty, and is facing eleven state and four federal charges, including first-degree murder and a terrorism charge, the former of which could lead to the death penalty.Just shy of a month later, in the early morning hours of January 1, 2025, a new year’s celebration on the well-know and well-traversed, and on that night, incredibly crowded Bourbon Street in New Orleans was attacked by a man in a large pickup truck, who plowed the vehicle into a crowd of revelers, driving at high-speed across three blocks that were partitioned-off for the celebration.The driver was apparently trying to hit as many people as possible, and then, after crashing into a utility vehicle, he stepped out of the truck and started firing a gun into the crowd.Police fired back at him, but he was wearing body armor, and two of them were injured before they managed to kill him, recovering an assault rifle and a semi-automatic pistol from his body. They also found a pair of explosive devices in coolers he had planted around the area before the attack, and further investigation led to the discovery of more bomb-making materials where he was staying in New Orleans.At least 35 people were injured and 14 people were killed in the attack, alongside the killer, who was later identified as 42-year-old Shamsud-Din Jabbar: an American-born Army veteran and Texas resident who had apparently been recently radicalized, possibly by online content posted by ISIS, and who had posted videos pledging his allegiance to the group mere hours before he drove into the crowd, an ISIS flag adorning the vehicle.More guns in this attack, then, but much of the damage was caused by the truck, and similar so-called “vehicle as a weapon,” or VAW attacks have been committed around the world in recent years, raising concerns especially in places where firearms are harder to come by, though also at large, open-air events where vehicles might cause more deaths and injuries in a short period of time than even an assault rifle, as seemed to be the case here.This attacker seemed to be self-radicalized, based on testimony from his friends and family, who were shocked at the change in his personality and expressed beliefs. The FBI has said they’re pretty confident he acted alone, though they’re looking into recent trips he took to Egypt and Canada, in case he met up with someone from ISIS or a similar group, while traveling.And apparently while he initially planned to kill his family—he’s had several divorces that led to financial problems, due to many child support payments that exceeded his means—he didn’t believe killing his family would have provoked enough of a response to spark a “war between the believers and the disbelievers.” Jabbar was brought up Muslim but left the faith for years, before apparently adopting a more intense and violent reinterpretation of it just recently, and that seemingly helped him justify and perhaps even inspired these acts.This has been called a lone wolf attack, then, but it was apparently heavily influenced by ISIS ideology, despite Jabbar possibly never having been in contact with anyone from that group.Just a handful of hours later, that same morning, at 8:49 January 1, 2025, a Tesla Cybertruck that was parked outside the front lobby of the Trump International Hotel in Las Vegas exploded—its occupant apparently having died from a self-inflicted gunshot wound to the head right before a bunch of fireworks and gas canisters placed in the trunk were detonated.That occupant was Matthew Alan Livelsberger, who was also American-born, and like Jabbar, had been in the US military, though Livelsberger was an active-duty Special Forces soldier from Colorado who was on leave at the time.The blast didn’t kill anyone, and while it hurt a few bystanders, no one was seriously injured. But the intention, according to two letters recovered from his phone by the FBI, was apparently to make a political statement related to alleged clandestine US military operations, and advanced technologies the US and China allegedly secretly possess; though he was also apparently in the midst of a serious mental health crisis, including significant PTSD episodes and what might have been paranoid delusions.The vehicle also contained an assault rifle and two pistols, though none of these weapons were used, as while Livelsberger was seemingly intent on escaping across the Mexican border following the attack, based on what he said in those aforementioned letters, he seemingly decided to kill himself instead—which may support the assertion that this was primarily, if not exclusively, a mental health crisis issue.Livelsberger also apparently had family issues, due in large part to his support of president-elect Trump and his family’s opposition to that support, and he was apparently suffering from untreated depression, that lack of treatment possibly the result of stigma toward such things within the military, which sometimes results in people not getting treatment that they might benefit from, because they worry doing so will see them sidelined by their superiors.A manifesto penned by Livelsberger that was sent to a retired Army Intelligence officer claims that he was being monitored by the military because of his knowledge of war crimes and those aforementioned military advanced technologies, and that he didn’t intend to self-harm, the divulgence of which has led to some conspiracy theories about this not having been a suicide.That said, this attack is being investigated as potential terrorism, and while it was initially being explored as part…

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