What market design can do for you

Michael Giberson Medicare pays medical equipment suppliers based on indexed-adjustments to a price list established 25 years ago. It is extremely unlikely that these prices are efficient. For the past 10 years Medicare has explored the possibility of pricing medical equipment via procurement auctions. Their procurement auction plan is fatally flawed. What can market design … More What market design can do for you

Is Texas CREZ a model for getting transmission lines built elsewhere in the country?

Michael Giberson Current and anticipated changes in the patterns of electric power production and consumption drive the demand for new transmission lines to help get lower-cost power from generators to consumers. The biggest changes in power production have come from growth in renewable power supplies, so the expansion of transmission is seen as critical to … More Is Texas CREZ a model for getting transmission lines built elsewhere in the country?

China’s central government-based energy conservation policies

Michael Giberson Tom Friedman wants to laud the China’s political leadership for their ability to get big things done economically while distancing himself from government’s authoritarian controls on politics. As mentioned in the prior post, Craig Pirrong responds that “it’s a package deal. Governments who think about people purely instrumentally, who think that they can … More China’s central government-based energy conservation policies

Tom Friedman wants us to get big things done

Michael Giberson I don’t read Tom Friedman’s columns in the New York Times, but apparently Craig Pirrong does, and I read Pirrong’s Streetwise Professor blog, and Pirrong’s latest post on Friedman reminds me again why I don’t read Tom Friedman’s columns. At least I generally avoid Friedman except when someone else calls attention to a … More Tom Friedman wants us to get big things done

Estimating job losses due to the deepwater drilling moratorium – was the good news simply assumed?

Michael Giberson Last week I pointed out that, “Temporary policies have temporary effects – and sometimes that is good news,” pointing to an Obama administration report that found job losses due to the temporary ban on deepwater drilling were smaller than expected. But possibly the government reached their happy results more or less by assumption … More Estimating job losses due to the deepwater drilling moratorium – was the good news simply assumed?

Queue jumping privileges for CNG-fueled taxis in Dallas

Michael Giberson Dallas has implemented a policy giving natural gas-fueled taxis rights to jump to the head of the queue at the city’s Love Field Airport. Independent cab drivers in the city are protesting. (They also filed a lawsuit. A judge has denied the drivers a temporary injunction while the case it litigated.) The privilege … More Queue jumping privileges for CNG-fueled taxis in Dallas

Supremo vs. Invisible Hand: Battle over New Zealand earthquake recovery approach

Michael Giberson Post-earthquake in New Zealand, a battle emerges over the best system for rebuilding: Supremo vs. the Invisible Hand. Supremo has its backers: [Construction economist John Jackson said:] Rebuilding should be led by a “supremo”, such as a senior military officer with engineering corps experience, as was chosen for Darwin, and New Orleans after Hurricane … More Supremo vs. Invisible Hand: Battle over New Zealand earthquake recovery approach