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Vlad, this is Don. I’m in deep shit. The FBI is closing in, and there are more leaks in the White House than in an outhouse at Oktoberfest. What should I do?

Make sure noose for treason hanging made in America. Leaving now for Katt Williams concert. Bye.

 

  • Francis Fukuyama says our system is thwarting Trump’s autocratic aspirations. 
  • Anne Case and Angus Deaton follow up their 2015 bombshell about the declining health of middle-aged white Americans (1 + 2). Mark Harris pushes back at their findings.
  • America’s “deaths of despair” recall a similar crisis after the Soviet breakup.
  • Megan McArdle argues Utah is keeping the flame of the American Dream.
  • The current U.S. fetishization of factories fails to grasp some new truths.
  • A brief note from 1893 about an Indiana man who claimed to be a Russian spy.

The narrative of the recent election is that Trump won over “forgotten Americans,” though Hillary Clinton received the most votes from households making under $50k. The MAGA voters who were fetishized in the Election Day post-mortem were white, and somehow their struggles were awarded greater currency than people who had less. Part of that is because they tipped a vital election by being located in certain states which gave them a certain political capital, but the truth is their skin color fit into the noxious demagoguery of the campaign season. 

I’ve published a couple of posts about the new Case-Deaton paper about morbidity and mortality, which tries to divine the reason for middle-aged Caucasians enduring a “great die-off.” The report has not yet been peer-reviewed, and in Pacific·Standard, Mark Harris pushes back at the findings, arguing the research is marked by suspect methodology (above my head) but also that it misleadingly fixates on white Americans who still enjoy healthier and wealthier lives across the board than, say, African-Americans. The latter group has a significantly shorter lifespan than their white counterparts.

If the trend lines truly show one race making progress and another faltering, even if the declining group is richer, it’s certainly valuable to report as much so that we can attempt to stem a serious problem. The danger, however, is that attention will be pulled from those who need it most because of a compelling story line. 

From Harris:

Dubious methodology aside, there is still some useful information in the Case and Deaton report. America does seem to have a serious problem ensuring longevity for its population as compared to its peer nations. But, though the international perspective is the strongest part in their paper, it’s not what the researchers or the newspapers led with. Why put the statistical alchemy in front? Why is the story more dramatic or attractive when it’s about white people?

Mistakes and missteps also propel social science forward, as the Olshansky paper did. Still, Case and Deaton didn’t publish their findings in a peer-reviewed public-health journal, at least not first. Brookings is a center of political influence in Washington, and I have no doubt that Capitol Hill staffers have already written up their briefs on the report and passed them to their bosses — that is, if they work half as fast as Internet journalists do.

By the time it makes its way to the top of the policymaker food chain, how will this report be understood? I’d wager it’s something like the Brookings blog headline: “Working Class White Americans Are Now Dying in Middle Age at Faster Rates Than Minority Groups.” I asked [Arline] Geronimus if that was, to her understanding, a true statement: “I think that’s misleading, I really do. Oh boy,” she laughs, “there’s so much wrong with that. That headline makes it sound like problems are worse for white Americans than black Americans.” The narrative is wrong, but it’s not the first time Geronimus has heard it since the election. The Case and Deaton paper, she says, fits conveniently in this story, and it’s one she fears Americans are primed to believe.•

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Attendant to the fall of the Soviet Union was the collapse of the country’s social safety nets. Gorbachev’s transitional government and Yeltsin’s reformist one couldn’t stem a low birth rate and great die-off, as Russia depopulated by 5% between 1992 and 2009. The fall of Communism clearly was the cause, right?

The truth seems to be that the demographic disaster was deeply rooted in earlier decades, and high rates of cardiovascular disease and fatal accidents may have their origins in mental-health issues. Those bizarre “Meanwhile in Russia” WTF photos didn’t develop overnight.

Some, including Anne Case and Angus Deaton, see the same crisis now befalling the U.S., with a shocking decline of health and lifespan among white, middle-class Americans, formerly a reliably healthy group. These “deaths of despair” are the result of complicated causes, not linked solely to finances. The remedy is likewise complex.

Two excerpts follow, one about Russia’s rash of needless deaths after the Soviet breakup, and another about America’s current, similar epidemic.


From Masha Gessen’s 2014 New York Review of Books essay “The Dying Russians“:

Sometime in 1993, after several trips to Russia, I noticed something bizarre and disturbing: people kept dying. I was used to losing friends to AIDS in the United States, but this was different. People in Russia were dying suddenly and violently, and their own friends and colleagues did not find these deaths shocking. Upon arriving in Moscow I called a friend with whom I had become close over the course of a year. “Vadim is no more,” said his father, who picked up the phone. “He drowned.” I showed up for a meeting with a newspaper reporter to have the receptionist say, “But he is dead, don’t you know?” I didn’t. I’d seen the man a week earlier; he was thirty and apparently healthy. The receptionist seemed to think I was being dense. “A helicopter accident,” she finally said, in a tone that seemed to indicate I had no business being surprised.

The deaths kept piling up. People—men and women—were falling, or perhaps jumping, off trains and out of windows; asphyxiating in country houses with faulty wood stoves or in apartments with jammed front-door locks; getting hit by cars that sped through quiet courtyards or plowed down groups of people on a sidewalk; drowning as a result of diving drunk into a lake or ignoring sea-storm warnings or for no apparent reason; poisoning themselves with too much alcohol, counterfeit alcohol, alcohol substitutes, or drugs; and, finally, dropping dead at absurdly early ages from heart attacks and strokes.

Back in the United States after a trip to Russia, I cried on a friend’s shoulder. I was finding all this death not simply painful but impossible to process. ‘It’s not like there is a war on,’ I said.

‘But there is,’ said my friend, a somewhat older and much wiser reporter than I. ‘This is what civil war actually looks like. ‘It’s not when everybody starts running around with guns. It’s when everybody starts dying.’

My friend’s framing stood me in good stead for years. I realized the magazine stories I was writing then were the stories of destruction, casualties, survival, restoration, and the longing for peace. But useful as that way of thinking might be for a journalist, it cannot be employed by social scientists, who are still struggling to answer the question, Why are Russians dying in numbers, and at ages, and of causes never seen in any other country that is not, by any standard definition, at war?”•


From “Mortality Crisis Redux,” by Pia Malaney of the Institute of New Economic Thinking:

Case and Deaton estimate that the upturn in mortality rates in the US is starkly divergent from other developed countries, and accounts for 96,000 deaths that could have been avoided between 1996 and 2013.  Their latest work delves deeper into the underlying causes of this decline. “Deaths of Despair” — by suicide, drug overdose or alcohol abuse — cannot be completely explained simply by stagnant or declining incomes. Income profiles for middle aged blacks and Hispanics look similar, without a corresponding rise in mortality.  Rather, the authors posit, it can be traced to a “cumulative disadvantage over life,” where declining labor market opportunities have led to declining outcomes not just in the labor market but also in health, marriage, and child rearing. In other words, the stress accompanying the shock of downward mobility is likely driving this health crisis.

These results bear a striking resemblance to another demographic crisis:  Though we are used to thinking of the Cold War as an economic and political contest without casualties the fall of the Berlin Wall showed us that when economic systems and expectations collapse, people die just a surely as they do in a shooting war. In the early 1990s, in the aftermath of the collapse of the Soviet Union, life expectancy in the former Soviet Union and Eastern Europe fell dramatically. In Russia alone, it was estimated that between 1989 and 1995 there were 1.3 to 1.7 million premature deaths as life expectancy fell from 70 in 1989 to 64 in 1995. The proximate causes there too, were a significant increase in suicides and drug and alcohol abuse, leading to an increase in cardiovascular and liver diseases.  The primary victims?  Middle aged men and women. Once again, in-depth studies found that it was not direct deprivation, nor collapse of the health system that were driving these deaths.  Rather they could be traced to the psychological stress likely brought on by the shock of the severe economic transition.  Unable to cope with the aptly named “shock therapy,” older (mostly) men essentially drank themselves to death. The country has still not recovered, with mortality rates amongst working age men considerably higher than other EU and BRIC countries.•

Recently, I posted about Jack Healy’s excellent New York Times article about the Winemiller farming family in Ohio’s Clermont County, which boasts a low 4.1% unemployment rate. The parents have already lost two of three adult children to heroin overdoses, with the third one battling to beat the same poison. The father is a staunch Trump supporter, drawn by his tough-on-crime talk, hoping someone, anyone, can capture and kill the demons that has run over his life. The faith is misplaced, but grief can sometimes harden into vengeance.

Such demises can be categorized in Case-Deaton terms as “deaths of despair.” The husband-and-wife economists offered, in 2015, a shocking report about the sharp spike in mortality for white, middle-aged Americans, especially those who possess a high-school-or-less education. The epidemic seems driven by suicide, alcohol, opioids and obesity, self-destructive behaviors associated with hopelessness, dysfunction and poor childhood training. Deaton even compared the findings to the scourge of AIDS. The paper was published, appropriately, on December 8, the anniversary of Pearl Harbor.

Economics is certainly partly to blame for the steep decline of those in this demographic, though the full picture is far more complicated. In a follow-up paper, the economists write that the “story is rooted in the labor market, but involves many aspects of life, including health in childhood, marriage, child rearing, and religion.” The duo stresses the importance of dealing with the opioid problem but promise no quick fix for what’s a deeply entrenched disaster. Somehow we need to break free from our often-myopic politics to address these troubles, staying the course over long term. As Case and Deaton write: “The epidemic will not be easily or quickly reversed by policy.”

An excerpt: 

Taking all of the evidence together, we find it hard to sustain the income-based explanation. For white non-Hispanics, the story can be told, especially for those aged 50–54, and for the difference between them and the elderly, but we are left with no explanation for why Blacks and Hispanics are doing so well, nor for the divergence in mortality between college and high-school graduates, whose mortality rates are not just diverging, but going in opposite directions. Nor does the European experience provide support, because the mortality trends show no signs of the Great Recession in spite of its marked effects on household median incomes in some countries but not in others.

It is possible that it is not the last 20 years that matters, but rather that the long-run stagnation in wages and in incomes has bred a sense of hopelessness. But Figure 2.4 shows that, even if we go back to the late 1960s, the ethnic and racial patterns of median family incomes are similar for whites, blacks, and Hispanics, and so can provide no basis for their sharply different mortality outcomes after 1998.

There is a microeconomic literature on health determinants that shows that those with higher incomes have lower mortality rates and higher life expectancy, see National Academy of Sciences (2015) and Chetty et al (2016) for a recent large-scale study for the US. Income is correlated with many other relevant outcomes, particularly education, though there are careful studies, such as Elo and Preston (1996), that find separately protective effects of income and education, even when both are allowed for together with controls for age, geography, and ethnicity. These studies attempt to control for the obviously  important reverse effect of health on income by excluding those who are not in the labor force due to long-term physical or mental illness, or by not using income in the period(s) prior to death. Even so, there are likely also effects that are not eliminated in this way, for example, that operate through insults in childhood that impair both adult earnings and adult health. Nevertheless, it seems likely that income is protective of health, at least to some extent, even if it is overstated in the literature that does not allow for other factors.•

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Angus Deaton is cognizant that it’s absurd for a Princeton economist who’s been knighted by the Queen of England to lecture the “elites,” but he can’t help himself. Hardly anyone can these days.

Over several courses of fine food, he tells Shawn Donnan of the Financial Times about spending his summers trout fishing in Montana, retiring on Nobel Prize money and, oh, about those damned elites!

Okay, I’ll now stop being a smart ass. Deaton seems like a lovely, concerned person as does his wife and fellow economist, Anne Case. The couple famously collaborated on 2015 paper which revealed a shocking spike in the mortality rate of middle-aged white Americans. In my original post about the findings, I wondered how significant a role the opioid epidemic played in this stunning development. During his interview with Donnan, Deaton considers the same question.

An excerpt:

Deaton retired from his position at Princeton in the spring but he and Case are continuing to dig into the data. Since the election others have seized on the correlation between places with high white mortality rates and votes for Trump. But the link to those who report suffering from physical pain is even greater, Deaton says. He sees an epidemic of pain and a related flood of opioids into communities over the past decade as being, more than globalisation or economic dislocation, the real cause of rising mortality among middle-aged white Americans.

With Gallup’s help he has been collecting data on how many people report having felt physical pain in the past 24 hours and says the numbers are staggering in the US. What is causing that epidemic — and its links to Trump’s rise — remains unclear, he says. He seems more willing to blame pharmaceutical companies and doctors for overprescribing opioids. A surge in addiction (drug overdoses caused more deaths in the US last year than auto accidents) has, he argues, proved far more fatal than globalisation.

***

Deaton’s 2013 book The Great Escape argued that the world we live in today is healthier and wealthier than it would otherwise have been, thanks to centuries of economic integration. He sees efforts to blame globalisation for woes in the US Rust Belt or Britain’s beleaguered industrial areas as a mistake.

“Globalisation for me seems to be not first-order harm and I find it very hard not to think about the billion people who have been dragged out of poverty as a result,” he says. “I don’t think that globalisation is anywhere near the threat that robots are.” …

In his book, Deaton argues there is an inextricable link between progress and inequality and his views on wealth and innovation are complicated by that. “It’s hard to think that Mark Zuckerberg is actually impoverishing anyone by getting rich with Facebook,” he tells me. “But driverless cars are another matter entirely,” with millions of truck and other drivers likely to lose jobs.•

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gasmasks80-

The shocking, recent findings of economist Anne Case and her husband Angus Deaton in regards to the dying off of white, middle-aged Americans has been questioned, as all such eye-popping results should be, but a study of U.S. suicide rates between 1999 and 2014 seems to support their work, suggesting even that the problem is wider and deeper.

The new report a scarily large spike in citizens taking their own lives, close to 25%, and the surge cuts across most racial, gender and age groups. It could be the result of hollowing out of the middle class or the economic collapse or the opioid epidemic or the shift to a more technological age, but it’s probably a confluence of all those things and others. It may be a mismatch disease of some sort, but a mental one.

From Sabrina Tavernise at the New York Times:

WASHINGTON — Suicide in the United States has surged to the highest levels in nearly 30 years, a federal data analysis has found, with increases in every age group except older adults. The rise was particularly steep for women. It was also substantial among middle-aged Americans, sending a signal of deep anguish from a group whose suicide rates had been stable or falling since the 1950s.

The suicide rate for middle-aged women, ages 45 to 64, jumped by 63 percent over the period of the study, while it rose by 43 percent for men in that age range, the sharpest increase for males of any age. The overall suicide rate rose by 24 percent from 1999 to 2014, according to the National Center for Health Statistics, which released the study on Friday. …

The data analysis provided fresh evidence of suffering among white Americans. Recent research has highlighted the plight of less educated whites, showing surges in deaths from drug overdoses, suicides, liver disease and alcohol poisoning, particularly among those with a high school education or less. The new report did not break down suicide rates by education, but researchers who reviewed the analysis said the patterns in age and race were consistent with that recent research and painted a picture of desperation for many in American society.•

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HamburgerMachine

While I don’t think the Singularity is upon us, mass automation could very well be. For all the good Weak AI can do for production, it will likely force us to reconsider politics, economics and even the meaning of being human.

It’s best, though, to be circumspect when considering the impact thus far of robotics. While it’s probably safe to assume machines have contributed to the middle-class decline in the U.S., there are other considerable factors, including tax codes. As far as the recent Case-Deaton findings about a spike in the death rate among white, middle-aged Americans, the wide availability of opioids has probably been as much the culprit as the decline of manufacturing. Tax codes and drug restrictions can be shifted, however, whereas automation is pointed in only one direction–and that’s up. If jobs of similar quantity and quality aren’t created to replace the vanished ones, something will have to give.

From Moshe Y. Vardi in the Guardian:

The US economy has been performing quite poorly for the bottom 90% of Americans for the past 40 years. Technology is driving productivity improvements, which grow the economy. But the rising tide is not lifting all boats, and most people are not seeing any benefit from this growth. While the US economy is still creating jobs, it is not creating enough of them. The labor force participation rate, which measures the active portion of the labor force, has been dropping since the late 1990s.

While manufacturing output is at an all-time high, manufacturing employment is today lower than it was in the later 1940s. Wages for private nonsupervisory employees have stagnated since the late 1960s, and the wages-to-GDP ratio has been declining since 1970. Long-term unemployment is trending upwards, and inequality has become a global discussion topic, following the publication of Thomas Piketty’s 2014 book Capital in the Twenty-First Century.

Most shockingly, economists Angus Deaton, winner of the 2015 Nobel memorial prize in economic science, and Anne Case found that mortality for white middle-aged Americans has been increasing over the past 25 years, due to an epidemic of suicides and afflictions stemming from substance abuse.

Is automation, driven by progress in technology, in general, and artificial intelligence and robotics, in particular, the main cause for the economic decline of working Americans?•

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If the recent Anne Case-Angus Deaton research is correct, America’s former middle class is dying, and not just metaphorically. 

While other ethnic and racial groups are holding steady or making gains, caucasians in the U.S. are perishing in middle age at an increasingly alarming rate. Suicides have spiked as have overdoses. Why this ugly turn? Perhaps something to do with the financial collapse of 2008 and the very lopsided recovery? Maybe the decline of the white working class in a globalized, technologized world minus the safety net of unions and progressive taxes? Could it just be the cheaper “weapons” (e.g., opioids) at hand?

From a Centers for Disease Control release:

The findings show that two distinct but intertwined trends are driving America’s overdose epidemic: a 15-year increase in deaths from prescription opioid pain reliever overdoses as a result of misuse and abuse, and a recent surge in illicit drug overdoses driven mainly by heroin. Both of these trends worsened in 2014.

More than six out of 10 drug overdose deaths in 2014 involved opioids, including opioid pain relievers and heroin. The largest increase in opioid overdose deaths involved synthetic opioids (not including methadone), which were involved in 5,500 deaths in 2014, nearly twice as many as the year before. Many of these overdoses are believed to involve illicitly-made fentanyl, a short-acting opioid.

In addition, heroin-related death rates increased 26 percent from 2013–2014, totaling 10,574 deaths in 2014. Past misuse of prescription opioids is the strongest risk factor for heroin initiation and use—especially among people who became dependent upon or abused prescription opioids in the past year. The increased availability of heroin, its relatively low price (compared to prescription opioids), and high purity appear to be major drivers of the upward trend in heroin use, overdoses, and deaths.•

Chad: Hey, bro.

Technology won’t make us poorer, at least not in the aggregate. Distribution could be a thorny problem, but there are worse things than having to come up with political solutions to close a yawning wealth inequality in a time of plenty.

In his latest Financial Times column, Andrew McAfee focuses on a different issue concerning to him in regards to technological unemployment: the devil and idle (non-robotic) hands. He cites the alarming Case-Deaton findings of a scary spike in the mortality rate of white, middle-aged Americans, believing the collapse of industrial jobs and of communities is a matter of causation, with the former prompting the latter.

It’s difficult to know for sure if that’s so, but it’s possible McAfee is on to something. Already it seems we’ve become too much a nation anesthetized by prescription painkillers, fantasy football and smartphones, not willing to take a good look in the mirror, unless it’s the black mirror. Sure, there’s nothing new in feeling lost, but you only get to find yourself through a life lived with purpose. My best guess is that people in a less-workcentric world will eventually find new kinds of purpose, but the transition may be a bumpy one.

An excerpt:

So what happens when the industrial-era jobs that underpinned the middle class start to go away? Voltaire offered a prescient caution when he observed that: “Work saves us from three great evils: boredom, vice, and need.”

Of the three of these, I’m the least worried about need. Trade and technological progress, after all, make a society wealthier in aggregate. The problem that they bring is not one of scarcity — of not enough to go around. Instead, they bring up thorny questions of allocation.

But rather than spending time on that issue here (if you’re interested, Erik Brynjolfsson and I dedicate a lot of our book The Second Machine Age to it), I want to focus on Voltaire’s other two evils, boredom and vice. How bad are they? How worried should we be about them?

I sometimes hear the argument that we shouldn’t be that worried at all. If we don’t need people’s labour, this logic goes, why should we care what they do with their time? Why should traditional notions of boredom and vice matter? If people want to drink, take drugs, engage in casual sex or play video games all day, where’s the harm? These are not the most conventionally respectable or productive activities, but why should we let convention continue to hold sway?

 

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The best follow-up reporting I’ve read about the eye-popping Anne Case-Angus Deaton study on the shocking spike in mortality among white American adults (which I blogged about here) is Julia Belluz’s Vox piece. It’s clear that oxycodone and the like are contributing furiously to the early deaths, but the question is why the usage has become so widespread. What is the void this group of people is trying to fill? Deaton discusses his theory with Belluz, though such overarching narratives are always somewhat slippery. An excerpt:

2) Deaton thinks middle-aged white Americans have “lost the narrative of their lives”

But what’s behind the substance abuse? One possible factor here: This demographic group has faced a rise in economic insecurity over the past decade, driven by things like the financial crisis and the collapse of manufacturing.

Still, it’s difficult to put together a full story of what’s going on. After all, if the recession or decline of manufacturing was the only factor, we might expect to see a similar uptick in mortality rates among middle-aged people in places such as Europe. But America seems to be unique in this regard.

“An anthropologist friend here says that [white, middle-age Americans] have lost the narrative of their lives — meaning something like a loss of hope, a loss of expectations of progress,” he explained.

Though African Americans as a group are still worse off overall, Deaton added, their quality of life has improved over the past several decades. “And when Hispanics look back, they may look back to where they came from, or what their parents or grandparents had,” he continued.

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The Walking Dead - Season 2, Episode 1 - Photo Credit: Gene Page/AMC - DSC_0111phgn_R_Ph_Gene_Page

Some people aren’t polite about their drug addictions, and some of us are rude in return. They’re called names, like “crackheads.” How messy that such substances are purchased on streets. When these folks are minorities, the meanest among us assign blame to them based on race. It’s appalling and counterproductive. 

I’ve thought for the past decade that white Americans of what used to be called the middle class have a very polite and well-mannered drug epidemic in oxycodone and the like. The whole undertaking is as neat and clean as a prescription pad. Reports of a spiked usage would regularly be published, but I worried that maybe I suffered from confirmation bias because I’ve spent so much time visiting relatives in hospitals the last few years. In these facilities, it’s easy to assume an oxy epidemic. The same goes for other self-destructive behaviors (obesity, alcoholism, etc.) appearing to be rampant.

It’s worth wondering how much opioid use is causing the alarming trend in the U.S. of the increasing deaths in white, middle-aged citizens, which has just been reported in a stunning paper by Anne Case and Angus Deaton. Why are people in this group drugging, eating and drinking themselves to death? Why have they become the walking dead? Some of it is overt suicide, some buried in risky behaviors.

From Gina Kolata of the New York Times:

The mortality rate for whites 45 to 54 years old with no more than a high school education increased by 134 deaths per 100,000 people from 1999 to 2014.

“It is difficult to find modern settings with survival losses of this magnitude,” wrote two Dartmouth economists, Ellen Meara and Jonathan S. Skinner, in a commentary to the Deaton-Case analysis to be published in Proceedings of the National Academy of Sciences.

“Wow,” said Samuel Preston, a professor of sociology at the University of Pennsylvania and an expert on mortality trends and the health of populations, who was not involved in the research. “This is a vivid indication that something is awry in these American households.”

Dr. [Angus] Deaton had but one parallel. “Only H.I.V./AIDS in contemporary times has done anything like this,” he said. …

David M. Cutler, a Harvard health care economist, said that although it was known that people were dying from causes like opioid addiction, the thought was that those deaths were just blips in the health care statistics and that over all everyone’s health was improving. The new paper, he said, “shows those blips are more like incoming missiles.”•

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