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Well-Heeled in the Windy City

A couple weeks ago, noting the apparently immunity of global city Chicago to problems elsewhere in the city, I asked the question: What happens when global city Chicago realizes there’s a good chance it can simply let the rest of the city fail and get on with its business?

I’d argue we’re seeing the results right before our eyes.

At the same time murders in significant parts of the city are even higher than during the peak of the crack epidemic, when the city says its too poor to hire more cops, when 54 schools are closed and a 1000 teachers laid off, half the mental health clinics closed, libraries cut back, etc., Chicago has found a nearly limitless stream of money for elite amenities, most recently – and appallingly – $50+ million in TIF subsidies for a new DePaul arena. There’s also been hundreds of millions of dollars more in corporate welfare under Daley and Rahm.

Investing in success is a great idea – if you plan to harvest a return on that investment to fund city services and your safety net. It’s clear there’s no intention of doing this in Chicago. I discuss this in my most recent City Journal piece, “Well-Heeled in the Windy City.” Here’s an excerpt:

Clearly, cities like Chicago must retain a substantial portion of upscale residents and businesses. Detroit and other cities show the results of failure on this front. Yet the moral case for elite amenities has always rested on the assumption of a broader public good: what benefited the wealthy would also make life better for the rest of the city….Under Emanuel’s leadership, though, Chicago has made peace with a two-tier society and broken the social contract. Rather than trying to expand opportunity, Chicago has bet its future on its already successful residents—leading some on the left to call Emanuel Mayor 1 Percent. The Windy City isn’t alone in following this strategy. Detroit has gone bankrupt, but that hasn’t stopped city government from lavishing $450 million in subsidies on a new Red Wings arena.

Since I critique bike infrastructure as part of Chicago’s splurge for the elite, I want to clarify that point here where there are lots of bike advocates. I strongly support bike infrastructure. In fact, I once gave a presentation where I said protected bike lanes and bike share should be Rahm’s top two transport priorities on taking office because they are cost-effective and can leverage outside funds. However, even the most passionate advocates must admit that the optics are bad on making a full court press on bike lanes when cutting core services elsewhere. More importantly, Rahm’s explicit rationale on bike infrastructure has been luring talent for the tech economy, thus it is an elite focused venture. For example, the Sun-Times reported:

Emanuel called protected bike lanes central to the city’s sustainability plan and his efforts to make Chicago the high-tech hub of the Midwest. Chicago “moved up dramatically” in the list of major cities whose employees bike to work, he said.

“It’s part of my effort to recruit entrepreneurs and start-up businesses because a lot of those employees like to bike to work,” he said.

“It is not an accident that, where we put our first protected bike lane is also where we have the most concentration of digital companies and digital employees. Every time you speak to entrepreneurs and people in the start-up economy and high-tech industry, one of the key things they talk about in recruiting workers is, can they have more bike lanes.”

I’m simply taking the mayor at his word. (See also here and here).

This piece originally appeared at The Urbanophile.

Rahm Emanuel’s Chicago More Violent than Al Capone’s Chicago and the Old West

Since Rahm Emanuel entered the political scene years ago, he’s been a master at manipulating the press to his benefit. A pliant media has largely gone along with whatever talking point Emanuel desired. Lately, some of the media has begun to put the spotlight on violent Chicago with its rather high murder rate. Banning or restricting handguns has not been very successful in combatting violence in Chicago.  The website Big Government reports the bloody details:

After Chicago recorded a terrible homicide total of 53 in August, September wasn't much better for Rahm's "world class" city. The city suffered 41 homicides, 30 of which resulted from 184 total shootings

September brings more bad news for Chicago residents. While Mayor Rahm Emanuel, Police Superintendent Garry McCarthy, and the Chicago media have continued to hammer the point that the "crime rate is down," and "murder is down," as of September 22, the homicide total for 2013 now exceeds the rate up to the same date in 2011 by two percent at 350, according to the Chicago Police Crime Data Portal.

How does today’s Chicago hold up at the violent memory of Al Capone’s Chicago of the 1920s? Not very well.  WLS-TV investigated the data and the evidence is rather stunning report in February:

Let's compare two months: January 1929, leading up to the St. Valentine's Day Massacre, and last month, January 2013. Forty-two people were killed in Chicago last month, the most in January since 2002, and far worse than the city's most notorious crime era at the end of the Roaring Twenties.

Even though the image of Chicago, perpetuated by Hollywood over the years, was that mobsters routinely mowed down people on the streets, the crime stats tell us that we were safer under Capone than Emmanuel. In January 1929 there were 26 killings. Forty-two people were killed in Chicago last month, the most in January since 2002.

Even though the image of Chicago, perpetuated by Hollywood over the years, was that mobsters routinely mowed down people on the streets, the crime stats tell a different story. The figures from January 2013 are significantly higher than the January of Al Capone's most famous year.

It’s not just the Capone era violence that doesn’t hold up to scrutiny. Constantly we hear from the media and advocates of gun control that we don’t want things to become “the Wild West”. In the last several years, historians have begun to look at this long time legend that was promoted by Hollywood movies.  As Ryan McMaken explains:

Historian Richard Shenkman largely attributes this to the legacy of those reliably-violent Western films. "Many more people have died in Hollywood Westerns than ever died on the real Frontier…[i]n the real Dodge City, for example, there were just five killings in 1878, the most homicidal year in the little town's Frontier history: scarcely enough to sustain a typical two-hour movie."

The old West with its minimal government and armed populace has never been too popular with progressives. But, the reality is it was never really violent according to Terry Anderson and Peter Hill. So, the murder rate of the Capone era and Dodge city of 1878 would be a major improvement for Mayor Rahm Emanuel.

Note: This post was originally incorrectly attributed to Wendell Cox.

Congratulations Senator Bob Day

Congratulations to Bob Day, who was elected as a federal Senator from South Australia. Day was one of six Senators elected from the state in the September 7 election. While most of the seats in the lower house of Parliament were quickly decided, the Senate seats too considerably longer under Australia’s preferential voting system. According to the Australian Broadcasting Company, Day’s election and that of the other five Senators was confirmed on October 2.

Day is an ultimate entrepreneur, having founded Home Australia and related companies that has emerged as a leading home builder across the nation. He served a term as President of the Housing Industry Association. Day has also been a newgeography.com author, writing a piece on one of his passions, the importance of restoring housing affordability in Australia (see The Land Premium that’s Punishing Property).

Subjects:

Our Federal Government: "There You Go Again!"

Remember this?

The fact remains that Congress has not passed a real federal budget since 1997 (“the first balanced budget in a generation”.) An “omnibus spending bill” was passed in April of 2009 but that is not technically a budget.

Congressional inaction has left the federal government running on extensions (“Continuing Resolutions”) of a budget that was passed when Bill Gates was still CEO of Microsoft, NASA landed the first spacecraft on Mars, and Google was working out of a garage. The last federal budget is from the time before iPods and iPads, before SPAM e-mail exceeded legitimate email, before Facebook, YouTube and Twitter – and before the global financial crisis that sent the world into recession and US federal spending into the stratosphere.

(“This is Your Government on Crack,” by Susanne Trimbath 02/12/2013).

As one very famous Republican President said (repeatedly in his defeat of Jimmy Carter): “There you go again!”

And, sure, this isn’t the first time the federal government has shut down for lack of spending authorization. I remember when my elderly mother and her sisters – first generation Americans eager to see the place where their parents disembarked after their long ocean voyage from Sicily – were so disappointed to find Ellis Island and the Status of Liberty closed that October of 1996.

The big difference this time is the way government is spending – which I discuss in detail in the article quoted above. USAToday has an article that summarizes just how different the government operates today than it did 17 years ago. There is a big reason Republicans might want to re-think shutting down the government. According to USAToday, gun permits cannot be issued while the federal government is closed.

Let’s hope one thing is the same in 2013 as it was in 1996 – when they re-opened the government Congress passed a real budget.

What Conservatives Can Teach Liberals About Global Warming Policy

Over the last decade, progressives have successfully painted conservative climate skepticism as the major stumbling block to reducing greenhouse gas emissions. Exxon and the Koch brothers, the story goes, fund conservative think tanks to sow doubt about climate change and block legislative action. As evidence mounts that anthropogenic global warming is underway, conservatives’ flight from reason is putting us all at risk.

This week's release of a new United Nations Intergovernmental Panel on Climate Change report opens another front in the climate wars. But beneath the bellowing, name-calling, and cherry-picking of data that have become the hallmark of contemporary climate politics lies a paradox: the energy technologies favored by the climate-skeptical Right are doing far more to reduce greenhouse gas emissions than the ones favored by the climate-apocalyptic Left.

How much more? Max Luke of Breakthrough Institute ran the numbers and found that, since 1950, natural gas and nuclear prevented 36 times more carbon emissions than wind, solar, and geothermal. Nuclear avoided the creation of 28 billion tons of carbon dioxide, natural gas 26 billion, and geothermal, wind, and solar just 1.5 billion.

Environmental leaders who blame "global warming deniers" for preventing emissions reductions point to Germany's move away from nuclear and to renewables. "Germany is the one big country that’s taken this crisis seriously," wrote Bill McKibben. Other progressive and green leaders, including Al Gore, Bill Clinton, and Bobby Kennedy, Jr., have held up Germany's "energy turn," theEnergiewende, as a model for the world. 

But for the second year in a row, Germany has seen its coal use and carbon emissions rise — a fact that climate skeptical conservatives have been quick to point out, and liberal environmental advocates have attempted to obfuscate. "Last year, Germany’s solar panels produced about 18 terawatt-hours (that’s 18 trillion watt-hours) of electricity," noted Robert Bryce from the conservative Manhattan Institute. "And yet, [utility] RWE’s new coal plant, which has less than a 10th as much capacity as Germany’s solar sector, will, by itself, produce about 16 terawatt-hours of electricity.

Reagan historian Steven Hayward, formerly of the American Enterprise Institute, noted in the conservative Weekly Standard earlier this week, "Coal consumption wentup 3.9 percent in Germany last year. Likewise, German greenhouse gas emissions — the chief object of Energiewende — rose in Germany last year, while they fell in the United States."

Emissions fell in the United States thanks largely to a technology loathed by the Left:fracking. From 2007 to 2012, electricity from natural gas increased from 21.6 to 30.4 percent, while electricity from coal declined from 50 to 38 percent — that's light speed in a notoriously slow-changing sector. And yet the Natural Resources Defense Council, Sierra Club, and most other green groups are working to oppose the expansion of natural gas.

Hayward and Bryce are two of the most respected writers on energy and the environment on the Right. Both are highly skeptical that global warming poses a major threat. Both regularly criticize climate scientists and climate models. Both men are regularly attacked by liberal organizations like Media Matters for working for organizations, the American Enterprise Institute and Manhattan Institute, respectively, that have taken money from both Exxon and the Koch brothers. And yet both men are full-throated advocates for what Bryce calls "N2N" — accelerating the transition from coal to natural gas and then to nuclear.

Arguably, the climate-energy paradox is a bigger problem for the Left than the Right. One cannot logically claim that carbon emissions pose a catastrophic threat to human civilization and then oppose the only two technologies capable of immediately and significantly reducing them. And yet this is precisely the position of Al Gore, Bill McKibben, the Sierra Club, NRDC, and the bulk of the environmental movement.

By contrast, there are plenty of good reasons for climate skeptics to support N2N. A diverse portfolio of energy sources that are cheap, abundant, reliable, and increasingly clean is good for the economy and strengthens national security - all the more so in a world where energy demand will likely quadruple by the end of the century.

Why then is there so much climate skepticism on the Right? One obvious reason is that climate science has long been deployed by liberals and environmentalists to argue not only for their preferred energy technologies but also for sweeping new regulatory powers for the federal government and the United Nations.

But here as well, the green agenda hasn’t fared well. Those nations that most rapidly reduced the carbon intensity of their economies over the last 40 years did so neither through regulations nor international agreements. Nations like France and Sweden, which President Obama rightly singled out for praise earlier this month, did so by directly deploying nuclear and hydroelectric power. Now the United States is the global climate leader, despite having neither a carbon price nor emissions trading, thanks to 35 years of public-private investment leading to the shale gas revolution. Meanwhile, there is little evidence that caps and carbon taxes have had much impact on emissions anywhere.

In the end, both Left and Right reject a more pragmatic approach to the climate issue out of fear that doing so might conflict with their idealized visions for the future. Conservatives embrace N2N as a laissez-faire outcome of the free market in the face of overwhelming evidence that neither nuclear nor gas would be viable today had it not been for substantial taxpayer support. Progressives seized on global warming as an existential threat to human civilization because they believed it justified a transition to the energy technologies – decentralized renewables – that they have wanted since the sixties.

The Left, in these ways, has been every bit as guilty as the Right of engaging in "post-truth" climate politics. Consider New Yorker writer Ryan Lizza's glowing profile of Tom Steyer, the billionaire bankrolling the anti-Keystone campaign. After Lizza suggested that Steyer and his brother Tom might be the Koch brothers of environmentalism, Steyer objects.  The difference, he insists, is that while the Koch brothers are after profit, he is trying to save the world.

It is telling that neither Lizza nor his editors felt it necessary to point out that Steyer is a major investor in renewables and stands to profit from his political advocacy as well. Clearly, Steyer is also motivated by green ideology. But it is hard to argue that the Koch brothers haven’t been equally motivated by their libertarian ideology. The two have funded libertarian causes since the 1970s and, notably, were among the minority of major energy interests who opposed cap and trade. Fossil energy interests concerned about protecting their profits, including the country's two largest coal utilities, mostly chose to game the proposed emissions trading system rather than oppose it as the Koch brothers did.

As Kathleen Higgins argues in a new essay for Breakthrough Journal, it's high time for progressives to get back in touch with the liberal tradition of tolerance, and pluralism. "Progressives seeking to govern and change society," she writes, should attempt to "see the world from the standpoint of their fiercest opponents. Taking multiple perspectives into account might alert us to more sites of possible intervention and prime us for creative formulations of alternative possibilities for concerted responses to our problems."

As Left and Right spend the next week slugging it out over what the climate science does or does not tell us, we would do well to remember that science cannot tell us what to do. Making decisions in a democracy requires understanding and tolerating, not attacking and demonizing, values and viewpoints different from our own.

Conservatives have important things to say when it comes to energy, whether or not they think of it as climate policy. Liberals would do well to start listening.