Showing posts with label Matt Ridley. Show all posts
Showing posts with label Matt Ridley. Show all posts

22 November, 2018

Why Is It So Cool To Be Gloomy?

Matt Ridley: Why Is It So Cool To Be Gloomy?
The Wall Street Journal, 17 November 2018


The world is in better shape than most people think, but we’re more inclined to focus on bad news than good. Psychology can help explain why.



Has the percentage of the world population that lives in extreme poverty almost doubled, almost halved or stayed the same over the past 20 years? When the Swedish statistician and public health expert Hans Rosling began asking people that question in 2013, he was astounded by their responses. Only 5% of 1,005 Americans got the right answer: Extreme poverty has been cut almost in half. A chimpanzee would do much better, he pointed out mischievously, by picking an answer at random. So people are worse than ignorant: They believe they know many dire things about the world that are, in fact, untrue.

Before his untimely death last year, Rosling (with his son and daughter-in-law as co-authors) published a magnificent book arguing against such reflexive pessimism. Its title says it all: “Factfulness: Ten Reasons We’re Wrong About the World—and Why Things Are Better Than You Think.” As the author of a book called “The Rational Optimist,” I’m happy to include myself in their platoon, which also includes writers such as Steven Pinker, Bjorn Lomborg, Michael Shermer and Gregg Easterbrook.

For us New Optimists, however, it’s an uphill battle. No matter how persuasive our evidence, we routinely encounter disbelief and even hostility, as if accentuating the positive was callous. People cling to pessimism about the state of the world. John Stuart Mill neatly summarized this tendency as far back as 1828: “I have observed that not the man who hopes when others despair, but the man who despairs when others hope, is admired by a large class of persons as a sage.” It’s cool to be gloomy.

Studies consistently find that people in developed societies tend to be pessimistic about their country and the world but optimistic about their own lives. They expect to earn more and to stay married longer than they generally do. The Eurobarometer survey finds that Europeans are almost twice as likely to expect their own economic prospects to get better in the coming year as to get worse, while at the same time being more likely to expect their countries’ prospects to get worse than to improve. The psychologist Martin Seligman of the University of Pennsylvania suggests a reason for this: We think we are in control of our own fortunes but not those of the wider society.

There are certainly many causes for concern in the world today, from terrorism to obesity to environmental problems, but the persistence of pessimism about the planet requires some explanation beyond the facts themselves. Herewith a few suggestions:

Bad news is more sudden than good news, which is usually gradual. Therefore bad news is more newsworthy. Battles, bombings, accidents, murders, storms, floods, scandals and disasters of all kinds tend to dominate the news. “If it bleeds, it leads,” as they used to say in the newspaper business. By contrast, the gradual reduction in poverty in the world rarely makes a sudden splash. As Rosling put it, “In the media the ‘newsworthy’ events exaggerate the unusual and put the focus on swift changes.”

Plane crashes have been getting steadily scarcer, but each one now receives vastly more coverage.

This is part of what psychologists call the “availability bias,” a quirk of human cognition first noticed by Amos Tversky and Daniel Kahneman in the 1970s. People vastly overestimate the frequency of crime, because crime disproportionately dominates the news. But random violence makes the news because it is rare, whereas routine kindness doesn’t make the news because it is so common.

Bad news usually matters; good news may not. In the prehistoric past, it made more sense to worry about risks—it might help you avoid getting killed by a lion—than to celebrate success. Perhaps this is why people have a “negativity bias.” In a 2014 paper, researchers at McGill University examined which news stories their subjects chose to read for what they thought was an eye-tracking experiment. It turns out that even when people say they want more good news, they are more interested in bad news: “Regardless of what participants say, they exhibit a preference for negative news content,” concluded the authors Mark Trussler and Stuart Soroka.

People think in relative not absolute terms. What matters is how well you are doing relative to other people, because that’s what determined success in the competition for resources (and mates) in the stone age. Being told that others are doing well is therefore a form of bad news. When circumstances get better, people take those improvements for granted and reset their expectations.

Such relativizing behavior affects even our most intimate relationships. An ingenious 2016 study by David Buss and colleagues at the University of Texas at Austin found that “participants lower in mate value than their partners were generally satisfied regardless of the pool of potential mates; participants higher in mate value than their partners became increasingly dissatisfied with their relationships as better alternative partners became available.” Ouch.

As the world improves, people expand their definition of bad news. This recent finding by the Harvard psychologists David Levari and Daniel Gilbert, known as “prevalence-induced concept change,” suggests that the rarer something gets, the more broadly we redefine the concept. They found in an experiment that the rarer they made blue dots, the more likely people were to call purple dots “blue,” and the rarer they made threatening faces, the more likely people were to describe a face as threatening. “From low-level perception of color to higher-level judgments of ethics,” they write, “there is a robust tendency for perceptual and judgmental standards to ‘creep’ when they ought not to.”

Consider air travel: Plane crashes have been getting steadily scarcer—2017 was the first year with no commercial passenger plane crashes at all, despite four billion people in the air—but each one now receives vastly more coverage. Many people still consider planes a risky mode of transport.

We’re even capable of fretting about the bounty of prosperity, as “Weird Al” Yankovic highlights in his clever song, “First World Problems”: “The thread count on these cotton sheets has got me itching/My house is so big, I can’t get Wi-Fi in the kitchen.” Sheena Iyengar of Columbia Business School became a TED star for her research on the debilitating modern illness known as the “choice overload problem”—that is, being paralyzed by having to choose from among, say, the dozens of types of olive oil or jam on offer at the grocery store. North Koreans, Syrians, Congolese and Haitians generally have more important things to worry about.

13 March, 2018

Matt Ridley-I can't get too much of this guy!


MATT RIDLEY


march 12 2018, 12:01am, the times
My cure for Disease X? A bit of positivity


matt ridley


Doom-mongering about a hypothetical threat to humanity is a symptom of people’s tendency towards pessimism







‘Deadly new epidemic called Disease X could kill millions, scientists warn,” read one headline at the weekend. “WHO issues global alert for potential pandemic,” read another. Apparently frustrated by the way real infectious diseases keep failing to wipe us out, it seems that the nannies at the World Health Organisation have decided to invent a fictitious one.


Disease X is going to be a virus that jumps unexpectedly from an animal species, as happens from time to time, or perhaps a man-made pathogen from a dictator’s biological warfare laboratory. To be alert for such things is sensible, especially after what has happened in Salisbury, but to imply that the risk is high is irresponsible.


No matter how clever gene editors get, the chances that they could beat evolution at its own game and come up with the right combination of infectiousness, lethality and viability to spread a disease through the human race are vanishingly small. To do so in secret would be even harder.


I fear the only effect of the WHO’s decision could be to cause unnecessary alarm and damage public confidence in the very technology that brings more effective cures and vaccines for known and unknown diseases. It also feeds our appetite for bad news rather than good. Almost by definition, bad news is sudden while good news is gradual and therefore less newsworthy. Things blow up, melt down, erupt or crash; there are few good-news equivalents. If a country, a policy or a company starts to do well it soon drops out of the news.


This distorts our view of the world. Two years ago a group of Dutch researchers asked 26,492 people in 24 countries a simple question: over the past 20 years, has the proportion of the world population that lives in extreme poverty

1) Increased by 50 per cent?


2) Increased by 25 per cent?


3) Stayed the same?


4) Decreased by 25 per cent?


5) Decreased by 50 per cent?


Only 1 per cent got the answer right, which was that it had decreased by 50 per cent. The United Nations’ Millennium Development goal of halving global poverty by 2015 was met five years early.


As the late Swedish statistician Hans Rosling pointed out with a similar survey, this suggests people know less about the human world than chimpanzees do, because if you had written those five options on five bananas and thrown them to a chimp, it would have a 20 per cent chance of picking up the right banana. A random guess would do 20 times as well as a human. As the historian of science Daniel Boorstin once put it: “The greatest obstacle to discovery is not ignorance — it is the illusion of knowledge.”


Nobody likes telling you the good news. Poverty and hunger are the business Oxfam is in, but has it shouted the global poverty statistics from the rooftops? Hardly. It has switched its focus to inequality. When The Lancet published a study in 2010 showing global maternal mortality falling, advocates for women’s health tried to pressure it into delaying publication “fearing that good news would detract from the urgency of their cause”, The New York Times reported. The announcement by Nasa in 2016 that plant life is covering more and more of the planet as a result of carbon dioxide emissions was handled like radioactivity by most environmental reporters.


What is more, the bias against good news in the media seems to be getting worse. In 2011 the American academic Kalev Leetaru employed a computer to do “sentiment mining” on certain news outlets over 30 years: counting the number of positive versus negative words. He found “a steady, near linear, march towards negativity”. A recent Harvard study found that 87 per cent of the coverage of the fitness for office of both candidates in the 2016 US presidential election was negative. During the first 100 days of Donald Trump’s presidency, 80 per cent of all coverage was negative. He is of course a master of the art of playing upon people’s pessimism.


This is a human susceptibility and one that is open to exploitation. Even while saying that they would prefer good news, subjects in a subtle psychology experiment in Canada who were told to choose and read a newspaper article while waiting for the “experiment” to begin in fact “chose stories with a negative tone — corruption, setbacks, hypocrisy and so on — rather than neutral or positive stories”. Financial journalists have been found to report rising financial market indices with declining enthusiasm as rises continue, but falling ones with growing enthusiasm as the falls continue. As the Financial Times columnist John Authers said: “We are far more scared of encouraging readers to buy and ushering them into a loss, than we are of urging them to be cautious, and leading them to miss out on a gain.”


That is one reason for the pervasive negativity bias that afflicts the public discourse. Humans are loss-averse, disliking a loss far more than they like an equivalent gain. Such a cognitive bias probably kept us safe amid the dangers of the African savannah, where the downside of taking risks was big. The golden-age tendency makes us remember the good things about the past but forget the bad, with the result that the present seems worse than it is. For some reason people sound wiser if they think things are going to turn out badly. In fiction, Cassandra’s doom-mongering proved prescient; Pollyanna was punished for her optimism by being hit by a car. Thus, any news coverage of the future is especially prone to doom-mongering. Brexit is a splendid example: because it has not yet happened, all sorts of ways in which it could go wrong can be imagined. The supreme case of unfalsifiable pessimism is climate change. It has the advantage of decades of doom until the jury returns. People who think the science suggests it will not be as bad as all that, or that humanity is likely to mitigate or adapt to it in time, get less airtime and a lot more criticism than people who go beyond the science to exaggerate the potential risks. That lukewarmers have been proved right so far cuts no ice.


Activists sometimes justify the focus on the worst-case scenario as a means of raising consciousness. But while the public may be susceptible to bad news they are not stupid, and boys who cry “wolf!” are eventually ignored. As the journalist John Horgan recently argued in Scientific American: “These days, despair is a bigger problem than optimism.”

01 August, 2017

Extract from Matt Ridley Speech-12th July,2017

"Ricardo proves that if you specialise, then it makes sense to exchange, and vice versa. Working for each other is the grand theme of human history, one that has waxed and waned, but mostly waxed, over tens of thousands of years, with an incredible acceleration in the last 50 years thanks to free trade.

In that half century we have gone from 75 per cent of the world living in extreme poverty, to just 9 per cent. We have increased human productivity by some 3,000 per cent."

Link to the complete speech- https://capx.co/the-case-for-free-market-anticapitalism/

18 November, 2015

Humanity's Best Days Lie Ahead

Published on: 
Munk Debate, Toronto, 6 November 2105
I took part in a Munk debate on 6 November, in which Steven Pinker and I argued that "humanity's best days lie ahead" while Malcolm Gladwell and Alain de Botton argued against us. It was entertaining and we shifted the audience our way a little, although three-quarters were on our side at the start (which is probably not representative of the population as a whole).
Here's the text of my opening statement:
Woody Allen once said: “More than any other time in history, mankind faces a crossroads. One path leads to despair and utter hopelessness. The other, to total extinction. Let us pray we have the wisdom to choose correctly.”
That’s the way pretty well everybody talks about the future. When I was young the future was grim. The population explosion was unstoppable, famine was inevitable, pesticides were giving us cancer, the deserts were advancing, the oil was running out, the rain forests were doomed, acid rain, bird flu, and the hole in the ozone layer were going to make us sick, my sperm count was on the way down, and a nuclear winter would finish us off.
You think I am exaggerating. He’s what a best-selling book  by the economist Robert Heilbroner concluded in the year I left school: "The outlook for man, I believe, is painful, difficult, perhaps desperate, and the hope that can be held out for his future prospects seem to be very slim indeed."
It was only a decade later that it dawned on me that every one of these threats had either been a false alarm or had been greatly exaggerated. The dreadful future was not as bad as the grown-ups had told me. Life just keeps on getting better and better for the vast majority of people.
Human lifespan has been growing at about five hours a day for 50 years.
The greatest measure of misery anybody can think of – child mortality – has gone down by two thirds in that time.
Malaria mortality has fallen by an amazing 60% in 15 years.
Oil spills in the ocean are down by 90% since the 1970s.
An object the size of a slice of bread lets you send letters, have conversations, watch movies, find your way around, take pictures, and tell hundreds of people what you had for breakfast.
And what’s getting worse? Traffic, obesity? Problems of abundance, note. 
Here’s a funny thing. Most improvements are gradual so they don’t make the news. Bad news tends to come suddenly. Falling airliners always make the news; falling child mortality doesn’t.
As Steve says, every year the average person on the planet grows wealthier, healthier, happier, cleverer, cleaner, kinder, freer, safer, more peaceful and more equal.
More equal?
Yes, global inequality is on the way down. Fast. Why? because people in poor countries are getting rich faster than people in rich countries.
Africa is experiencing an astonishing miracle these days, a bit like Asia did a decade ago. Mozambique is 60% richer per capita than it was in 2008. Ethiopia’s economy’s growing at 10% a year.
The world economy has shrunk in only one year since the second world war – in 2009 when it dipped by less than 1% before growing by 5% the next year. If anything the march of prosperity is speeding up.
But my optimism isn’t just based on extrapolating the past. It’s based on WHY these things are happening.
Innovation, driven by the meeting and mating of ideas to produce baby ideas is the fuel that drives them.
And far from running out of fuel, we’re only just getting started. There’s an infinity of ways of recombining ideas to make new ideas.
And we no longer have to rely on North Americans and Europeans to come up with them.
The internet has speeded up the rate at which ideas have sex.
Take vaping. In my country there are now more than 3m people who’ve given up smoking because of e-cigarettes. It’s proving to be the best aid to quitting we’ve ever come up with.
It’s as safe as coffee.
And it was invented in China, by a man named Hon Lik, who combined a bit of chemistry with a bit of electronics.
OK, but isn’t all this progress coming at the expense of the environment? Well no, often the reverse. Many environmental indicators are improving in many countries: more forest, more wildlife, cleaner air, cleaner water.
Even the extinction rate’s down compared with 100 years ago, for the creatures we know about, birds and mammals, thanks to the efforts of conservationists.
And the richer countries are, the more likely their environment’s improving – the biggest environmental problems are in poor countries. 
But what about population? The population growth rate’s halved in my lifetime from 2% to 1% and the birth rate’s plummeting in Africa today. The world population quadrupled in the 20th century but it’s not even going to double in this century, and the UN thinks it will stop growing altogether by the 2080s.
Not because of war, pestilence and famine, as gloomy old Parson Malthus feared, but because of prosperity, education and health.
There’s a simple and beautiful fact about demography. When more children survive, people plan smaller families.
With slowing population growth and expanding farm yields, it’s getting easier and easier to feed the world.
Today it takes 68% less land to grow the same amount of food as 50 years ago. That means more land for nature.
In theory, you can feed the world from a hydroponic farm the size of Ontario and keep the rest as a nature reserve.
And the planet’s getting greener. Satellites have recorded 14% more green vegetation today than 30 years ago, especially in arid areas like the Sahel region of Africa.
But am I like the man who falls out of the skyscraper and as he passes the second floor, shouts “so far so good”? I don’t think so.
You’ll probably hear the phrase “turning point” in this debate. You’ll be told this generation is the one that’s going to be worse off than its parents, that it’s going to die younger, or see sudden deterioration in its environment.
Well, let me tell you about turning points. Every generation thinks it stands at a turning point, that the past is fine but the future’s bleak. As Lord Macaulay put it, “in every age everybody knows that up to his own time, progressive improvement has been taking place; nobody seems to reckon on any improvement in the next generation. We cannot absolutely prove that those are in error who say society has reached a turning point – that we have seen our best days. But so said all who came before us and with just as much apparent reason.”
We filter the past for happy memories and filter the future for gloomy prognoses.
It’s a strange form of narcissism. We have to believe that our generation’s the special one, the one where the turning point comes. And it’s nonsense.
Macaulay again:
“On what principle is it that with nothing but improvement behind us, we are to expect nothing but deterioration before us?”

17 May, 2013

Energy

I have long admired Matt Ridley (author-The Rational Optimist) and now note that he has become a member of the UK House of Lords.
I have also been "dining out" lately with the contention that energy costs are replacing labour costs as the most important factor in establishing competitive advantage between countries. Against that background, you will understand my attraction to Viscount Ridley's maiden speech in the Lords on Tuesday.


Matt Ridley’s Maiden Speech in the UK House of Lords-14th May,2013
Viscount Ridley: My Lords, I wish to speak on the subject of energy and, in response to the prominent references in the gracious Speech, on the importance of economic competitiveness. However, as this is my first time speaking in the House, I hope that noble Lords will indulge me in a few preliminary remarks.
It is an enormous privilege and a daunting responsibility to speak in this House for the first time. I know that it is customary on such occasions to pay thanks to the staff but I have to say that I have been genuinely overwhelmed by the generosity and thoughtfulness of all the staff since I have come here.

I have also been touched by the warmth of the welcome that I have had from noble Lords on all sides of the House. I particularly thank my noble friends Lady Seccombe and Lord Henley, who have mentored me in my early weeks.
Listening to debates over the past few weeks, it has become clear to me that this is a House that not only respects but expects knowledge and expertise. This is something that my father made clear to me when he was enjoying a long and distinguished career in this House, but he would speak only on subjects that he knew something about—in his case, particularly the Territorial Army, the north-east of England and local government. When I spoke to the hustings a few weeks ago before being elected here, I said that if elected I would speak on three main issues: the north-east of England, science and technology, and enterprise and innovation.

I am here to fill the vacancy caused by the sad death of Lord Ferrers, and I pay tribute to that giant of a parliamentarian, who was on the Front Bench under no fewer than five Prime Ministers. I may hope to match his long legs but I do not expect to match his length of service.
I am that strange chimera—an elected hereditary Peer. As a result, I am acutely aware that I am here thanks at least as much to the efforts of my ancestors as to my own. I would not be human if I did not feel a smidgen of pride in being the ninth Matthew Ridley in direct succession to sit in one of the Houses of Parliament since the son of a buccaneering Newcastle coal merchant was elected to the other place in 1747. That brings me to the subject of my speech.

In 1713, exactly 300 years ago, the Newcomen steam engine was just coming into use all over the north of England. One of the very first was commissioned at Byker on the north bank of the Tyne by my buccaneering ancestor, Richard Ridley, in 1713. Within 20 years, more than 100 of these great clanking monsters were transforming the coal industry by pumping water from deep mines and vastly increasing productivity.

The effect of that innovation was momentous and global. By lowering the cost of energy and raising the wages of labour, it set in train a whole series of events, including the mechanisation of industry and the increase in demand for the products of that industry, and so the great flywheel of the industrial revolution began to turn. For the first time, an economy grew not through an increase in land or labour but through an increase in energy, because mineral energy from beneath the ground showed an unusual property that had not been shown by wood, wind and water or by oxen or people—that is, it did not show diminishing returns; the more of it you dug up, the cheaper it got.

At this point, I should like to declare an interest because I am still in the coal-mining business, albeit indirectly. However, my aim here is not to praise any particular kind of energy but to praise the cheapness of energy.

Today, an average British family uses as much energy as if it had 1,200 people in the back room on exercise bicycles pedalling away on eight-hour shifts. It is worth remembering that when people talk about how many jobs can be created in any particular sector of energy. We could create a lot more jobs by making energy on treadmills. What counts is not the jobs we create in producing energy but the jobs we create in consuming energy if we make it affordable—or, indeed, the number that could be lost if we make it unaffordable.
One reason why we in this country are falling behind the growth of the rest of the world is that in recent years we have had a policy of deliberately driving up the price of energy. To quote a recent report from the Institute of Directors:
“The UK’s energy and climate policies are adding more to industrial electricity prices than comparable programmes in competitor countries, putting UK industry at a disadvantage and making a rebalancing of the economy more difficult”.

Household energy costs have doubled in the past 15 years. In the US, where gas prices used to be the same as they are here, they are now one-quarter or one-fifth of the level here. That is an enormous competitive advantage to the US and a disadvantage to us. The chemical industry, as a result, is very keen to move to the United States, and other industries, including the cement industry, are feeling the pinch from high energy costs. Near where I live at Lynemouth on the north-east coast, the country’s largest aluminium smelter recently closed with the loss of 515 jobs, largely due to the rising cost of energy.

A nation can compete on the basis of cheap labour or cheap energy but if it has neither then it is likely to be in trouble. Surely these are not controversial remarks. I know that I am not supposed to be controversial in a maiden speech so, lest I go too far, I will now revert to talking about the north-east of England.

It is worth noting that the north-east is the only region of England with a trade surplus with the world, something to which the noble Lord, Lord Adonis, drew attention in his recent report on the region. We are also a region with strong offshore engineering capability, and I think that the north-east could once again steal a march on the world and deliver competitive energy to the rest of the world. There are 3,000 billion tonnes of coal under the British sector of the North Sea and, thanks to pioneering work at Newcastle University and elsewhere, the technology now exists to gasify this coal, getting carbon monoxide, hydrogen and methane from it and putting carbon dioxide back in. If this technology can be made to work then we can bring plenty of jobs not only to the region but, more importantly, to the whole economy by lowering the price of energy. There is enormous entrepreneurial spirit in our regions but it is held back by the high cost of energy.

So, for the sake of pensioners in fuel poverty, for the sake of small businesses struggling to meet their energy bills and for the sake of large businesses all too ready to leave these shores, let us repeat what our ancestors did in the early 18th century and drive down the costs of energy so that we can drive up living standards.


15 July, 2011

Optimism

In these grim cold days of carbon taxes and incompetent Government,falling confidence and retail sales (David Jones), we all need something to cheer us up. Have a listen to Matt Ridley,The Rational Optimist. It is very refreshing.