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Chronicle of the Conspiracy Saturday, January 17, 2004
Posted by Donald L. Luskin at 11:25 PM | link
LE MONDE, C'EST MOI? Maureen Dowd gets out of the office, and concludes that to be interviewed by her is "to lead the world." "DES MOINES--I went to Iowa hunting Howard Dean. His campaign said he might give me five minutes. On the phone...How best to figure out someone who comes out of nowhere and wants to lead the world in five minutes?" Posted by Donald L. Luskin at 11:17 PM | link
Update...The news corrections section invites readers to contact Okrent, the new op-ed corrections area does not. Smells like trench warfare on W. 43rd Street. Tomorrow I expect an Okrent column. Hopefully he'll be discussing this, as he has promised he would. I'll be especially curious to know, in this new corrections section, whether editors are responsible for lodging corrections or whether, as has historically been the case, columnists are unilaterally in control. Update [1/18/2004]... Robert Cox of The National Debate writes, "I looked at the four op-ed corrections. They do not represent any change in policy (I myself got an op-ed correction regarding an unsigned editorial after Martha Stewart was indicted). All four articles were from Op-Ed Contributors. The issue at hand is the columnist correction policy. That policy currently says that a columnist is solely responsible for the content of their column including any decisions to issue a correction. Not surpisingly you don't see many. Posted by Donald L. Luskin at 12:20 PM | link
Friday, January 16, 2004
Posted by Donald L. Luskin at 3:44 PM | link
JOKE OF THE DAY Posted by Donald L. Luskin at 10:51 AM | link
BREAKING HIS OWN RULES Paul Krugman on December 26: "Don't talk about clothes... I don't know why some journalists seem so concerned about politicians' clothes as opposed to, say, their policy proposals."Paul Krugman today: "Money-saving suggestion: let's cut directly to the scene where Mr. Bush dresses up as an astronaut, and skip the rest of his expensive, pointless -- but optimistic! -- Moon-base program."Suggested by this excellent post on Q&O. Posted by Donald L. Luskin at 9:22 AM | link
LOGIC OF A REGULATOR Susan Woodward, formerly an economist with the SEC, writes a Wall Street Journal op-ed calling for mutual funds to "bare all." It turns out "all" means that mutual funds should disclose that there have been "studies" that show that the average mutual fund has underperformed the market. But "all" also includes disclosure that "past performance provides zero guidance about its future performance." That last one is hardly a new form of mandated disclosure -- and it guts against the other one. So a fund can't advertise its own good performance, but it must advertise the industry's poor performance on average? Why doe the supposedly free-markets oriented Journal give space to crackpots like this? Posted by Donald L. Luskin at 9:11 AM | link
THE LEFT DISTANCES ITSELF FROM O'NEILL From honored whistle-blower to radioactive waste in less than a week. Michael Kinsley in Slate: "'Paul, I'll be blunt,' said Alan Greenspan to Paul O'Neill in January 2001, according to Paul O'Neill. 'Your zipper's undone, and you have something hanging from your nose.' No, actually, says O'Neill, the Fed chairman told him, 'Paul, I'll be blunt. We really need you down here.'" Posted by Donald L. Luskin at 12:31 AM | link
Thursday, January 15, 2004 NASTY, BUT FOR A GOOD CAUSE "The Official Al Franken Website"?Posted by Donald L. Luskin at 3:54 PM | link
Thanks to Jason Nordwick for the link. Update [1/16/2004]... Great minds think alike, and so does "Bobby's". Posted by Donald L. Luskin at 3:07 PM | link
GREENSPAN IMPEACHES O'NEILL Alan Greenspan formally denies Paul O'Neill's claim that he called Bush's tax cuts "irresponsible." This puts the zillionth nail in O'Neill's reputational coffin. Thanks to reader Jill Olson for the link. Posted by Donald L. Luskin at 2:32 PM | link
OPEN AND SHUT It's unambiguous. 18 months ago Wesley Clark endorsed the war with Iraq. Posted by Donald L. Luskin at 11:48 AM | link
JOKE OF THE DAY This you have to see to believe. Posted by Donald L. Luskin at 11:12 AM | link
Wednesday, January 14, 2004 "SINGLE ISSUE ADVOCATE OF THE YEAR" Of course. Judges at The Week magazine's mutual self-admiration orgy included Democratic New York ex-governor Mario Cuomo , Clinton would-be appointee Lani Guinier, and Democratic former congressman John Brademas. Brademas says Paul Krugman "effectively combines professional expertise, clarity of expression, and moral conviction in examining great issues of national economic policy." Krugman says of himself, "I didn't think I was an advocate. I think I'm fair and balanced."Update... A blinding glimpse of the obvious: "Upon introducing Krugman, [The Week editor Harold] Evans praised him for his anti-Bush columns, saying, "In England, you need a whole parliament to oppose (Bush), here you have Paul Krugman." The columnist's response: "This wouldn't be necessary if we had a parliamentary opposition here." Posted by Donald L. Luskin at 9:33 PM | link
JOKE OF THE DAY Posted by Donald L. Luskin at 9:35 AM | link
LINDSEY ON O'NEILL Here's a counter-history of the first two years of the Bush presidency, from Larry Lindsey, the economic adviser who got fired at the same time as Paul O'Neill. O'Neill is portrayed as a guy whose gears just never meshed with the president's -- and the president is portrayed as a principled policy arbiter. Too bad Lindsey has to bend over backwards so far to distance the administration from the truth of its economic policies in order to defend those policies -- "Huh? There are no supply-siders here! No, we're all really demand-siders!" Which is one of the reasons he was fired, by the way. Posted by Donald L. Luskin at 9:28 AM | link
Tuesday, January 13, 2004 LEAD US FROM TEMPTATION CNBC tightens its rules on stock ownership by news staff and management, squeezing out any last vestige of risk that anyone there will know what they are talking about.Posted by Donald L. Luskin at 4:48 PM | link
Turncoat ex-Treasury secretary Paul O'Neill tells Reuters today, "People are trying to say that I said the president was planning war in Iraq early in the administration. Actually there was a continuation of work that had been going on in the Clinton administration with the notion that there needed to be a regime change in Iraq." (Link: Q&O)Here's O'Neill, Leslie Stahl and Ron Suskind (author of the O'Neill book The Price of Loyalty) on "60 Minutes": STAHL: "And what happened at President Bush's very first National Security Council meetings is one of O'Neill's most startling revelations." Posted by Donald L. Luskin at 2:07 PM | link
MORE ON CREDENTIALED CRITICS From our friend Bruce Bartlett: "Given Krugman's obsession with credentials, one wonders why he isn't more impressed with the fact that John Snow has a Ph.D. in economics from a respected university, whereas Bob Rubin has no Ph.D. at all. Incidentally, I once wrote a column noting that almost every Treasury secretary with a Ph.D. had a terrible record. George Shultz and Michael Blumenthal presided over stagflation. Going back into history, even the great Joseph Schumpeter was a miserable failure as Finance Minister of Austria. He presided over a terrible hyperinflation episode after WWI." Posted by Donald L. Luskin at 1:02 PM | link
From USA Today yesterday:
The lie is two-fold. First, 233 injuries plus 22 deaths in the pre-capture period equals 255 "killed and wounded" (to use Krugman's expression). 224 injuries plus 31 deaths in the post-capture period also equals 255 -- precisely the same. So Krugman is lying when he says "more." Second, Krugman, writing for the putative "newspaper of record," fails to disclose an important qualifying statistic. Even McPaper sees fit to note that if the pre-capture period were extended back a single day, the number of deaths would jump markedly. This is hardly the first time that Krugman has artfully chosen a particular time period over which to quote statistics in order to make his case (see, for example, here and here). Reader Tom Miller -- who happens to be the artist responsible for our Krugman Truth Squad t-shirts -- has verified all the data, day by day, on this site. Posted by Donald L. Luskin at 12:10 PM | link
JOKE OF THE DAY EXTRA Tracking down weapons of math destruction... Posted by Donald L. Luskin at 11:42 AM | link
JOKE OF THE DAY One way to bolster those jobs statistics... Posted by Donald L. Luskin at 8:33 AM | link
Posted by Donald L. Luskin at 3:15 AM | link
Let's chalk this one up as a "stealth correction" of his baseless exaggeration in his December 30 column that "An unusually large number of people have given up looking for work," and Times editorial page editor Gail Collins' cover-up that "he was referring to the drop in employment as a share of the working age population." While his statement is strictly true, Krugman implies without good reason that "a decline in the share of the population that is even looking for work" is necessarily a bad thing. He asserts this by innuendo -- "even looking for work." Yet as I've shown before, the number of workers leaving the labor force because of "discouragement" is falling and not "unusually large." Perhaps, with a booming late-1990s economy not sucking every would-be worker into the labor force, some have decided to do what they would have done anyway -- go to college (maybe even Princeton), or stay at home and have kids (unlike the childless Mr. and Mrs. Krugman). But for Krugman, all such decisions -- up to and including the anti-Semitism of Krugman's buddy Mahathir Mohammed -- are necessarily explained by failures of the Bush administration. Posted by Donald L. Luskin at 1:18 AM | link
Monday, January 12, 2004
Posted by Donald L. Luskin at 8:57 PM | link
BROOKS -- SPIRITUAL SUICIDE, OR WEIRD AND FUNKY? Michael Wolff on David Brooks at the New York Times' editorial "dinner-party": does anyone understand what the hell Wolff is talking about? "It is...possible that Brooks represents an odd attempt by the Times to stamp its own imprimatur on conservatism. A friendly, mild, stay-at-home, Norman Rockwell conservatism against the onslaught of the more demanding types. The world as the Times wishes it were. Posted by Donald L. Luskin at 8:44 PM | link
BARLETT ON O'NEILL The definitive diagnosis: "The only question is why he wasn't fired sooner. Mr. O'Neill may think he is getting revenge on a president he believes treated him shabbily. But I think that all he has really done is remind people of why he never should have been named Treasury secretary in the first place." Posted by Donald L. Luskin at 6:06 PM | link
NO JOKE A new study from the Pew Charitable Trust finds perceptions of right-wing media bias on the increase (especially among Democrats, of course). But then again the study also says that one in five young people say they get their political news primarily from comedy shows. Posted by Donald L. Luskin at 3:06 PM | link
LIBERAL MEDIA SPLIT The New York Times goes after the inconsistencies in Wesley Clark's record, citing his earlier beliefs about a Saddam/Al Qaeda connection. The Washington Post, on the other hand, keeps dishing the dirt on Howard Dean, accusing him of taking speaking fees while governor. Don't you just love to see these guys blow each other up? Posted by Donald L. Luskin at 2:05 PM | link
CREATIVE CLASS WARFARE Steve Malanga punctures the latest pop-economics mythology -- the idea that cities must attract a "creative class" in order to thrive. The evidence (that's right, those pesky facts again) shows otherwise. Posted by Donald L. Luskin at 11:30 AM | link
YOUR MUTUAL FUND FEES AT WORK How the Investment Company Institute uses fees paid by mutual fund shareholders in lobbying efforts designed to thwart shareholder interests. So much for the ICI's sanctimonious posturing. Posted by Donald L. Luskin at 9:25 AM | link
JOKE OF THE DAY We've seen this one before, but it's worth another spin around the block. Posted by Donald L. Luskin at 9:23 AM | link
When Paul Krugman makes a boo-boo -- like when he lies in his December 30, 2003 column about the number of discouraged workers being "unusually large" -- I report it to Okrent, and Okrent gives me no substantive response. Another reader writes to Okrent about the same matter, and Okrent sends a note to editorial page editor Gail Collins, Collins asks Krugman, Krugman makes up a new lie to cover up the first lie, and Collins tells the lie to the reader. Here's Collins note to reader John Harvey:
Of course, if Krugman had been referring to "the drop in employment as a share of the working age population" he should have said so. Instead, he said something entirely more specific, and quite untrue: "An unusually large number of people have given up looking for work, so they are no longer counted as unemployed..."
First, let's look just at the absolute level of employment as a share of the working age population, not the recent drop in that level. We find that not only has employment as a share of the working age population ticked up off the September lows, but even at the lows it was well above the average over the entire available history of these statistics. So the only thing "unusually large" is the "unusually large" number of people who are employed. Now let's look at "the drop" that Krugman's talking about, as opposed to the absolute level. There have been only three "drops" in the history of these statistics. The present one from the all-time highs in 2000 is larger than the one that began in 1990 and ended in 1992, but smaller than the one that began in 1979 and ended in 1983. So there's nothing "unusually large" about the recent drop. Incidents like this only dig the New York Times deeper into the credibility gap left by Jayson Blair and Howell Raines. Especially now that the Times has a "public editor," who seems to invite requests for corrections by virtue of the fact that his email address appears every day on the Times' corrections page. How does this ad hoc process restore trust? Some readers get their requests forwarded to the reporter or columnist in question, some to an editor. Some readers get no response at all. Is the process different depending on who the columnist is -- David Brooks or Paul Krugman? Is the process different depending on who the reader is -- John Harvey or Don Luskin? Does the "public editor" already need a "public editor"? Posted by Donald L. Luskin at 2:19 AM | link
IS BUSH'S JOBS RECORD BETTER THAN CLINTON'S? Don't know if we'd got that far, but here's a new statistical take on the declining labor force. Posted by Donald L. Luskin at 2:09 AM | link
Gerstman has satisfied me that the interview was indeed posted on the Times site on December 1, thanks to an email version of it that he retained at the time. And anyone can see by querying the archives that it is not there now. Gerstman has copied me on all his correspondence with Okrent's assistant Arthur Bovino. Here is Gerstman's latest email to Bovino, which nicely sums up the situation. I have made only minor grammatical and formatting edits. Dear Mr. Bovino, At the beginning of December I blogged an item about the New York Times interview with President Bashar Assad of Syria. When I posted my blog, I put in a link to the online interview but discovered that it had been moved or removed as I received a "Page Not Found" message. This was strange because usually articles are available for a week after publication before they are put into the paid archive, and this was only two or three days after publication. At the time I contacted the office of the Public Editor of the NY Times and you responded that if I wanted the article for free I could go to the library and if there was a technical problem I could e-mail the webmaster of the NY Times site. Though I was convinced that this was not a technical error, I eventually sent an e-mail to the address you provided. The e-mail bounced. When I informed you that I was not successful, you suggested a different e-mail address. I sent a message to that address and have not heard anything in nearly a week. The office of the public editor was established by the New York Times in order to restore a measure of credibility and accountability to the paper after the scandals of the past year. To some degree, I understand that the added scrutiny of your office has helped the paper restore some of its damaged reputation. Yet my dealings with your office have been, to put it mildly, frustrating and unsatisfying. Your newspaper had an interview with a world leader and now it is no longer available with no explanation as to why it is gone. When the NY Times published the interview on December 1, 2003, it featured 3 items related to the interview.
What's important here is that in the interview President Assad, in discussing Syria's support of Hezbollah there was the following exchange:
Instead of challenging the dictator, the Times's interviewer let him off the hook. The UN Security Council certified Israel's withdrawal from Lebanon as complete in 2000. Thus by pretending that it is only Israel that claims Sheba' farms is Syrian, President Assad is the one defying the will of the United Nations. (See "Saudi Peace Plan Is Finding Resistance in U.N." by Barbara Crossette March 29, 2002 for example.) But the interviewer let him get away with it. I doubt that a matter as arcane as this is of interest to most people but consider the following. In the paper's introduction to the interview stated:
This is potentially damaging to the paper. The paper, here, is admitting that it allowed a dictator to dictate terms of his coverage. Another possibility is that President Assad was unhappy with the discovery of an enterprising Syrian newspaperman. The MEMRI website reports that Syrian journalist Subhi Hadidi criticized the omission of extensive segments in the official Syrian Arabic version of President Bashar Al-Assad's lengthy November 30, 2003 interview:
Is it possible that President Assad prevailed upon the New York Times to drop the interview because it embarrassed him? What I have established is this:
I have established that a feature that was on the NY Times website is gone. I would like to know why. Thank you, David Gerstman Posted by Donald L. Luskin at 12:00 AM | link
Sunday, January 11, 2004
And in typical Times style -- just as Paul Krugman thumbs his nose at the world for having believed Enron's lies, when he himself not only believed them but took Enron's money to do so -- Sorkin writes a revisionist history in which it was someone else for whom it was a "supposedly open-and-shut case." He writes,
But that "tabloid" he's talking about is the New York Times. Here is a headline from a Times story by Sorkin himself about the birthday party:
In addition, Kozlowski's party was salaciously discussed in the Times by its superstar columnists Gretchen Morgenson (December 28, 2003) and Frank Rich (November 23, 2003) -- though not in the headlines. The man-bites-dog story here is not that a corporate wrong-doer may get off the hook. The fact is that most of them do, most of the time. The story is that over-ambitious prosecutors and reporters keep persecuting and destroying the lives of innocent people with charges that just never seem to stand up in open court. The prosecutors always seem to move on to higher office. The reporters just rewrite history and move on. Posted by Donald L. Luskin at 7:29 PM | link
THE BALONEY REJECTS THE GRINDER Wouldn't it be nice for journalists like Dan Gillmor if everyone who disagreed with their pronouncements just sent friendly little emails and let them decide how and whether to respond? How unseemly that, instead, some of us have become "organized Truth Squads." Apparently only Big Media has the right to be organized. Posted by Donald L. Luskin at 4:50 PM | link
REALLY STUPID LETTER OF THE DAY "Chomsky is internatinally famous for his contributions to the etiology of language-- it is sort of like criticizing Einstein for not having an interior design theory. Posted by Donald L. Luskin at 4:10 PM | link
KEEP THOSE CARDS AND LETTERS GOING NOWHERE Confessions of a congressional intern -- how letters to your congressman are processed and, ultimately, ignored. The case-study here is, natch, a Republican, but no doubt this depressing picture generalizes perfectly. Posted by Donald L. Luskin at 3:43 PM | link
Posted by Donald L. Luskin at 12:05 PM | link
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