The rise of high-end finance work in India

Until recently, outsourcing by global financial firms to India conjured up an image of commoditised low end services outsourcing: call centres, peripheral systems programming, and testing and maintenance. However, in recent years, there is a new rise of more sophisticated work. This reflects supply and demand factors. Global financial firms are keen to cut . . . → Read More: The rise of high-end finance work in India

Fire This Clown

Paul Krugman demonstrates his irrelevance yet again:

What was Mr. Rubio’s complaint about science teaching? That it might undermine children’s faith in what their parents told them to believe. And right there you have the modern G.O.P.’s attitude, not just toward biology, but toward everything: If evidence seems to contradict faith, suppress the evidence.

. . . → Read More: Fire This Clown

The problems of the economics profession

Ronald Coase has an interesting new piece titled Saving economics from the economics profession. You may like to see What is wrong with Economics on this blog.

Last week, in the US, I heard that the number of Ph.D. graduates coming out vastly exceeds the number of academic job openings. Most economics Ph.Ds. are . . . → Read More: The problems of the economics profession

Time to Rethink a Myth

Maybe parents might want to consider the effects of pushing their children to get a college education:

Cyndee Marcoux already was stretched thin, thanks to the $80,000 in student loans she racked up after getting divorced and going back to school a decade ago. Her breaking point came in 2010, when her daughter defaulted . . . → Read More: Time to Rethink a Myth

Educational Scalability

Richard Posner [Hat tip]:

Finally, I am not clear what we should think the problem of American education (below the college level) is. Most children of middle-class (say upper quartile of households, income starting at $80,000) Americans are white or Asian and attend good public or private schools, usually predominantly white. The average white . . . → Read More: Educational Scalability

Homestead exemption?

So there is an idea being put out there to raise the homestead exemption for local property taxes in the city of Pittsburgh and school district.

Now who suggested that might be a good idea broadly?   I guess the only difference is I did not think of the idea of raising the exemption amount . . . → Read More: Homestead exemption?

The widget illusion

The Economist runs a discussion forum titled The Economist By Invitation. In this, they recently setup a discussion about an opinion piece by Dani Rodrik about the future of manufacturing-led growth in emerging markets. I wrote a response there which is reproduced here.

The role of manufactures

I agree with a small element of . . . → Read More: The widget illusion

Satisficing Guaranteed

Here’s some sad commentary about the current set of grads:

Seven in 10 of these recent graduates said they would need more education if they were to have a successful career. Despite their belief in the value of post-secondary education, though, only 38 percent definitely planned to attend college to get more education in . . . → Read More: Satisficing Guaranteed

Is building and running the IIT JEE a public goods problem?

What should government do?

In the question “What should government do?”, economists have one big answer “do the public goods”. A public good is something that is non-rival (the consumption by one does not come at the cost of consumption by another) and non-excludable (it is not possible to exclude someone from benefiting from . . . → Read More: Is building and running the IIT JEE a public goods problem?

What College Bubble?

An interesting factoid:

The number of PhD recipients on food stamps and other forms of welfare more than tripled between 2007 and 2010 to 33,655, according to an Urban Institute analysis cited by the Chronicle of Higher Education. The number of master’s degree holders on food stamps and other forms of welfare nearly tripled . . . → Read More: What College Bubble?