Words & Numbers

Latest Episodes:

Episode 62: Progressive Taxation Makes Everyone Worse Off Apr 17, 2018

Show notes

Every year, the American people spend about $30 billion on accountants and software to file their taxes. That's on top of taxes themselves. Approximately 26 percent of the average American's income is collected, in some form or another, in taxes. This includes all forms of taxation, such as state and local taxes, as well as federal. If we look at just federal taxation, that still comes to a very respectable 16 to 18 percent (on average) of GDP. But how does that all break down when it comes to federal taxation? Are the poor really getting bent over the taxation barrel every April? Are the rich not really paying their "fair share"? And how did we even get to this point? Join Antony Davies and James Harrigan as they discuss this and more on this week's Tax Day edition of Words and Numbers.

The top 1% earn 20% of all income but pay almost 40% of all federal taxes.

https://www.cbo.gov/sites/default/files/114th-congress-2015-2016/reports/51361-householdincomefedtaxesonecol.pdf

Country comparison of tax revenue from all levels of government per GDP

US = 26%; Denmark = 45%; Ireland = 22%.

This ignores borrowing. If government taxed enough to balance budget, US would be at 31%, putting it on par with Canada.

http://www.taxpolicycenter.org/briefing-book/how-do-us-taxes-compare-internationally

Overview of federal taxes

https://files.taxfoundation.org/20170201091804/TaxFoundation-FF540.pdf

60% of US households receive more money back from the federal government than they pay

https://taxfoundation.org/60-percent-households-now-receive-more-transfer-income-they-pay-taxes/

How taxes and transfers trap the poor

https://mises.org/library/dead-zone-implicit-marginal-tax-rate

The income tax was originally a tax on the rich.

https://www.usnews.com/opinion/articles/2016-10-05/income-tax-history-is-a-warning-about-our-future-under-clintons-estate-tax

Number of pages in the Standard Federal Tax Reporter

https://taxfoundation.org/how-many-words-are-tax-code/

Fun tax facts

https://www.factretriever.com/taxes-facts

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Episode 61: Why Our High Schools Can’t Keep Up with Our Universities? Apr 11, 2018

Show notes

Much has been said about the high cost of higher education in America. And it is, indeed, quite expensive and getting more so at an alarming rate. For all that, though, at least we can say that America gets what it pays for in that we have the best higher education system in the world. In fact, it's one of our biggest exports, totaling more than $35 billion—fully 5 percent of America's export market—as of 2015. The same cannot be said for our primary and secondary education systems, with the US consistently ranking at around the middle of the pack among developed nations in standardized test scores. The thing of it is, the average annual cost per student in an American public high school is about the same as the average annual cost per student in an American public university. With the price of educating young people being generally the same for public high schools and public universities, why is there such a huge discrepancy in the outcomes for the students? Is there any way to remedy this situation? Join James Harrigan and Antony Davies as they discuss this and more on this week's episode of Words and Numbers.

Quick hits

Administrative bloat in health care and higher education

http://hereandnow.legacy.wbur.org/2011/11/02/university-cost-bloated

https://www.athenahealth.com/insight/expert-forum-rise-and-rise-healthcare-administrator

Homeland Security monitoring journalists

http://www.foxnews.com/politics/2018/04/07/homeland-security-database-would-track-journalists-media-influencers-report.html

Foolishness of the week

http://thehill.com/blogs/blog-briefing-room/news/381946-michelle-obama-my-husband-was-the-good-parent-compared-to-trump

Topic of the week: Public schools

Cost per public school student is around $13,000.

https://nces.ed.gov/fastfacts/display.asp?id=66

http://www.governing.com/gov-data/education-data/state-education-spending-per-pupil-data.html

Standardized test scores about the same for most and least expensive public schools

https://www.nationsreportcard.gov/profiles/stateprofile?chort=2&sub=MAT&sj=AL&sfj=NP&st=AB&year=2013R3

Net tuition and fees at private 4-year colleges is $15,000.

https://trends.collegeboard.org/college-pricing/figures-tables/average-net-price-over-time-full-time-students-private-nonprofit-four-year-institutions

Performance evidence for school vouchers

https://www.cato.org/blog/evidence-school-choice-works

Comparison of US school students to students in other countries

http://www.pewresearch.org/fact-tank/2017/02/15/u-s-students-internationally-math-science/

Higher education is a major US export

https://www.brookings.edu/blog/brown-center-chalkboard/2017/01/31/sealing-the-border-could-block-one-of-americas-crucial-exports-education/

Value of a high school diploma

https://www.usnews.com/opinion/blogs/economic-intelligence/2012/08/28/public-high-schools-are-not-doing-their-jobs

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Episode 60: Social Security Is Doomed. Now What? Apr 04, 2018

Show notes

There's no way to sugar-coat it. Social Security is going to fail. There are, of course, ways to possibly extend its life for a few years, or even decades, but ultimately, like all Ponzi schemes, it will collapse. By the federal government's and the Social Security Board of Trustees' own admissions, the Social Security program will be paying out more than it takes in in just 4 years. At current rates (and assuming the federal government fully pays back the more than $5 trillion it "borrowed" from Social Security's accounts), the program will be completely out of money in about 17 years. What does this situation mean for current working Americans? Is there any way to solve this problem? Join Antony Davies and James Harrigan as they discuss this and more on this week's episode of Words and Numbers.

Quick hits

Splitting up Amazon

https://www.cnbc.com/2018/03/29/former-walmart-us-ceo-congress-consider-splitting-up-amazon.html

National pencil day

https://nationaldaycalendar.com/days-2/national-pencil-day-march-30/

Foolishness of the week: Cancer warnings on coffee

https://fee.org/articles/why-californias-lawsuit-industry-wants-you-to-think-coffee-causes-cancer/?utm_source=FEE+Email+Subscriber+List&utm_campaign=ca27aafa08-MC_FEE_DAILY_2018_04_02&utm_medium=email&utm_term=0_84cc8d089b-ca27aafa08-107137661

https://www.cancer.org/cancer/cancer-causes/general-info/cancer-warning-labels-based-on-californias-proposition-65.html

https://www.refinery29.com/2018/04/195249/coffee-cancer-warning-label-california-starbucks-dunkin-donuts-reaction?bucketed=true

https://nypost.com/2018/03/30/de-blasio-eyes-vacancy-tax-for-greedy-landlords-seeking-top-dollar/?utm_source=facebook_sitebuttons&utm_medium=site%20buttons&utm_campaign=site%20buttons

Topic of the week: Social Security

https://www.cnsnews.com/news/article/terence-p-jeffrey/social-security-administration-spending-tops-1-trillion-first-time

https://www.ssa.gov/policy/trust-funds-summary.html

https://www.ssa.gov/policy/docs/ssb/v75n1/v75n1p1.html

https://www.ssa.gov/policy/docs/ssb/v70n3/v70n3p111.html

https://www.ssa.gov/history/nestor.html

https://www.nytimes.com/2011/09/18/us/how-privatized-social-security-works-in-galveston.html

https://www.state-journal.com/2018/01/25/you-asked-can-kentucky-teachers-retirement-system-participants-receive-social-security/

https://www.teacherpensions.org/blog/why-aren%E2%80%99t-all-teachers-covered-social-security

https://www.cbsnews.com/news/matt-bevin-kentucky-lawmakers-pass-pension-overhaul-despite-teacher-ire/

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Episode 59: Is Moderation the Next Big Thing in American Politics? Mar 28, 2018

Show notes

Pundits are declaring that America is a nation divided. In fairness, this is a true statement, but it's not a new phenomenon. America has been a nation divided since at least the election of 1800. That said, the division is not a dichotomous one. Recent data show that a large and growing number of Americans self-identify as neither Republican nor Democrat, but as Independent. It would appear that a large number of Americans are growing increasingly tired of the ever-more extreme stances of the two major parties, instead favoring more moderate approaches to governance. An excellent microcosmic example of this is the recent special election in Pennsylvania Congressional District 18, a district that in the 2016 presidential election voted in favor of Donald Trump by 20 percentage points. Despite its deeply red tendencies and both the President and Vice President campaigning in support of the Republican congressional candidate, PA18 narrowly elected a Democrat to represent it. A Democrat, it should be noted, who publicly distanced himself from major Democratic leaders and campaigned on issues more typically associated with right-wing politicians. What does this mean for American politics going forward? Join James Harrigan and Antony Davies as they discuss this and more on this week's episode of Words and Numbers.

Quick hits

The singular “they”

http://theweek.com/articles/758082/why-need-accept-singular?utm_source=links&utm_medium=website&utm_campaign=facebook

https://blog.oxforddictionaries.com/2012/06/06/he-or-she-versus-they/

South Korea encourages people not to work so much https://www.mirror.co.uk/tech/south-korea-start-turning-computers-12237489 Foolishness of the Week: YouTube bans all gun related content https://thenextweb.com/google/2018/03/21/youtube-banning-gun-videos-now-theyre-reappearing-pornhub/

https://reason.com/blog/2018/03/23/youtube-says-it-will-be-shutting-down-gu

Topic of the week: Moderation

http://www.insidesources.com/move-toward-moderation/

http://news.gallup.com/poll/15370/party-affiliation.aspx

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Episode 58: Federal Spending Is Out of Control Mar 21, 2018

Show notes

The American federal government has a serious spending problem. The federal debt, the sum total of all the money the government has borrowed, has hit $21 trillion, with a cool $1 trillion of that coming from Trump's first year in office. That is, undeniably, a lot of money, and media outlets all over the country are crowing about it being the first time a single-year deficit has been so high, but it simply isn't so. Even by fairly kind calculations, it's happened at least three times before—once under George W. Bush and at least twice under Barack Obama. Regardless, the federal debt is soaring, and eventually, that debt is going to come due. And when it does, what does that mean for Americans individually and on the whole? Join Antony Davies and James Harrigan as they discuss this and more on this week's episode of Words and Numbers.

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Episode 57: Death for Dealing... Really? Mar 14, 2018

Show notes

Rumors have been circulating recently that the Trump Administration is considering including drug dealing among those crimes that can be subject to capital punishment. That's just a nice way of saying "the death penalty." In an effort to signal to his supporters that he's "tough on crime" and serious about the opioid crisis, President Trump has indicated his positive view of the death penalty for drug offenses in countries like Singapore and the Philipines. But what is the current status of the death penalty in the United States today? How has the Supreme Court ruled on the death penalty in the past? And isn't this a legislative issue, anyway? Join James Harrigan and Antony Davies as they discuss this and more on this week's episode of Words and Numbers.

Quick hits

Altruistic business https://www.goodnewsnetwork.org/new-jersey-businessman-drops-fees-for-shivering-neighbors/

Falling space junk http://www.dailymail.co.uk/news/article-5486985/Lower-Michigan-crash-site-falling-Chinese-space-station.html https://www.npr.org/2011/09/21/140641362/where-falling-satellite-lands-is-anyones-guess

Foolishness of the week

https://www.hollywoodreporter.com/live-feed/scientology-appears-poised-launch-tv-network-1093640

Topic of the week: Capital punishment

https://www.telegraph.co.uk/travel/maps-and-graphics/countries-that-still-have-the-death-penalty/ https://www.cnn.com/2013/07/19/us/death-penalty-fast-facts/index.html https://www.nytimes.com/2018/02/02/world/asia/philippines-drug-war.html http://news.gallup.com/poll/1606/death-penalty.aspx http://www.pewresearch.org/fact-tank/2016/09/29/support-for-death-penalty-lowest-in-more-than-four-decades/ https://deathpenaltyinfo.org/death-penalty-international-perspective

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Episode 56: Tariffs Hurt Everyone, So Why Have Them? Mar 07, 2018

Show notes

Last week, President Trump announced his intention to place tariffs on steel and aluminum. Unfortunately for the president—and everyone else, should these tariffs be imposed—more than a century of economic data make it very clear that tariffs are a net negative for the economy. But what are tariffs, anyway? Why are they so awful? And, if they are, why does any country impose them? Join Antony Davies and James Harrigan as they talk about this and more on this week's episode of Words and Numbers.

Quick Hits

United replaces bonuses with lotteries

https://www.bizjournals.com/chicago/news/2018/03/02/united-airlines-replaces-bonuses-with-lottery.html

China bans things

https://www.cnn.com/2018/03/01/asia/china-letter-ban-trnd/index.html

https://www.thesun.co.uk/news/5701287/china-xi-jinping-president-winnie-the-pooh-banned/

http://www.latimes.com/world/asia/la-fg-china-reincarnation-law-20160307-story.html

Foolishness of the Week

http://www.baltimoresun.com/news/maryland/politics/bs-md-ci-children-soda-bill-20180213-story.html

Topic of the Week: Trade and Tariffs

http://marginalrevolution.com/marginalrevolution/2018/03/that-was-then-this-is-now-13.html

http://money.cnn.com/2017/01/23/news/economy/trump-tariff-power/index.html

http://www.walkerd.people.cofc.edu/Readings/Trade/iowacarcrop.pdf

http://www.presidency.ucsb.edu/ws/index.php?pid=61826

https://en.wikipedia.org/wiki/List_of_the_largest_trading_partners_of_the_United_States

https://japantoday.com/category/business/toyota-us-tariffs-will-'substantially'-increase-car-prices

http://marginalrevolution.com/marginalrevolution/2018/03/that-was-then-this-is-now-13.html

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Episode 55: Why Don't We Insure Guns Like We Insure Cars Feb 28, 2018

Show notes

After the horrific school shooting in Parkland, FL, on February 14th, the "debate" about gun control has reignited in the US. Pundits on both sides of the issue are over-generalizing, taking assumptions to the extreme, and generally talking past each other. But one thing that remains constant is persistent cry for "common sense" gun regulations. What constitutes "common sense" varies from person to person, but they all involve the restriction or outright ban on certain types or styles of firearms. If the War on Drugs taught us anything, it's that prohibition doesn't work, but at the same time, any number of school shootings is too many. So if bans aren't a good option, what might be? Join James Harrigan and Antony Davies as they talk about this and more on this week's episode of Words and Numbers.

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Episode 54: Is College Really for All? Feb 21, 2018

Show notes

In the last two and a half generations, the number of students who go on to attend college, as a percentage of the population, has tripled. In 1959, about 20 percent of high school students went on to college. Since relatively few people were earning degrees, having one all but guaranteed getting a good, high-paying job. As a result, parents, high schools, and colleges began encouraging more and more high school students to go to college. Today, about 60 percent of high school students go on to college. But has the big push to get kids into college done anything to improve outcomes? Is the average $250,000 investment in a four-year degree at all worth it? If not, what alternatives exist? Join Antony Davies and James Harrigan as they talk about this and more on this week's episode of Words and Numbers.

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Episode 53: Has Uber Become Part of the System It Fought Against? Feb 14, 2018

Show notes

Regulatory capture is a problem in this country. It happens pretty easily. Politicians can't be experts in everything, so they turn to actual experts for help with regulating various industries. The experts tend to be those who have already enjoy some measure of success in their field. The regulatory suggestions that these experts give politicians tend to make life easier for the already-established experts and harder for those competing with them. This kind of thing happens all too often and leads to gross regulatory overreach, such as Uber working to ban private ownership of self-driving cars. How do we prevent this or, at the very least, strike it down after the fact? Join James Harrigan, Antony Davies, and special guest Robert McNamara from the Institute for Justice as they discuss this and more on this week's episode of Words and Numbers.

Quick hits

http://triblive.com/news/education/career/13275149-74/carlow-university-launches-micro-masters-program https://micromasters.mit.edu/ https://www.edx.org/micromasters

Foolishness of the week

http://reason.com/blog/2018/02/08/jeff-sessions-advice-to-pain-patients-ta

Topic of the week: Occupational licensing and regulatory capture

http://ij.org/staff/robert-mcnamara/ https://cei.org/blog/uber-wants-make-it-illegal-operate-your-own-self-driving-car-cities https://repository.law.umich.edu/cgi/viewcontent.cgi?article=2720&context=articles

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