(1) Frackonomics: We’ve posted our July/August cover story, Frackonomics: The Science and Economics of the Gas Boom, by Rob Larson. It features Rob’s signature mix of humor and solid economic analysis. He also does us the favor of wading through the murky science of fracking. He also shows how fracking can be used to illustrate key concepts of market failure and market power, including externalities, asymmetric information, and regulatory capture. He introduces the concept of science capture (which we’ve covered in item 4 of this post), where companies get involved in the production of scientific study related to their industries as a way of promoting their interests. To get an idea of how far fracking companies will go to keep the dangerous effects of fracking secret, consider the recent Guardian article, Children Given Lifelong Ban on Talking About Fracking (this was in Pennsylvania). It’s not surprising after you’ve read Rob’s piece.
(2) More on low-wage workers: A few more pieces that have crossed my desk:
- Amy Traub, at Demos’s website, Fast Food Shouldn’t Mean Low Wages
- Kathleen Geier at Salon, Walmart’s Big Lie: No, It Doesn’t Create Jobs!
- Henry Blodget at Business Insider (I love this guy somehow), Sorry, It’s Not A ‘Law Of Capitalism’ That You Pay Your Employees As Little As Possible
Ok, that’s it for today.