Rotten Tomatoes and Broken Windows

June 18, 2008
Posted by Jay Livingston

At Marginal Revolution, the anti-Krugman forces were firing with abandon. Krugman was writing about the recent killer tomato episode and other tainted-food crises (“Salmonella, salmonella, all I hear is salmonella”), and he pointed his finger at the free marketeers for their anti-inspection, anti-regulation policies.

MR’s Alex Tabarrok disagreed, providing some contradictory data, and the comments flooded in (over 100 and counting, some defending Krugman, some providing new data, some thoughtful, and some just snarky).

In the classic free-market model, nobody needs to keep an eye on food producers to make sure they are putting out a safe product. They’ll do it themselves. “Private companies would avoid taking risks with public health to safeguard their reputations and to avoid damaging class-action lawsuits.”

The argument reminded me of two principles from my days in the crim biz: deterrence and “broken windows.” Deterrence theory says that the effectiveness of punishment depends far more on certainty and swiftness than on severity. Giving a small punishment immediately after each infraction is more effective than lowering the boom only occasionally and a long time after the offense.

The broken-windows principle is that if you crack down on small stuff (broken windows), you’ll prevent more serious bad behavior. Conversely, allow the broken windows to go unrepaired, and you invite more serious violations.

Class action suits are like the severe punishment that comes rarely and years after the deed has been done. A company can cut corners for a long time before the crisis becomes visible. And if the harm does come to light, lawsuits still take a long, long time.

Regulation tries more for certainty. It tries to catch more violations and insists that they be remedied right away. Regulation also resembles a broken-windows policy. It tries to prevent big crises by making sure that the small violations are taken care of.

The downside of regulation, as the free-marketeers are quick to remind us, is inefficiency. It forces companies to devote time and resources to following the rules – effort that they might otherwise use in turning out product and turning a profit.

There’s a political irony here as well. When it comes to street crime, conservatives usually line up on the side of deterrence and broken-windows. Zero tolerance. When it comes to protecting consumers and employees against salmonella, mine collapses, occupational diseases, etc., these same conservatives oppose the deterrence and broken-windows approach of regulation. Instead, they prefer to leave victims to their own legal resources. (Some conservatives also want to limit those legal resources – restricting access to lawyers, limiting the range of class action suits, and putting caps on tort awards.)

Conservatives - Here and There

June 17, 2008
Posted by Jay Livingston

Conservative positions in the UK and in the US don’t always coincide. US conservatives, espeically in the Bush era, are much more comfortable with the concentration of power in a strong executive. I got a hint of these differences three summers ago when we rented a flat in London for a few days. Our hostess, a woman in her sixties, picked us up at the Victoria Station and gave us a tour of London. She had been a tour guide in her day, and in addition to the usual information, she added she sometimes added her own editorial commentary.

“There’s no more Brits in London,” she said, pointing to the darker people on the sidewalks. She also had little use the “queers” that had invaded her Vauxhall neighborhood. Surely here was a Conservative, part of the electorate that kept Margaret Thatcher and the Tories in power through the 1980s – the British counterparts of Ronald Reagan’s constituency.

Yet as we passed the Houses of Parliament, she pointed out the window at a statue. “That’s Oliver Cromwell. The only dictator England’s ever had,” she paused for only a second, “except for Maggie Thatcher.”

British Conservatives - Then and Now

June 16, 2008
Posted by Jay Livingston

Conservatives in the UK take a position that’s opposite of US conservatives on the question of individual rights – at least the rights of those thrown into prison without any charges brought against them. (See the previous post.)

But conservatism within the UK may be at odds with itself, or at least with its old Thatcherite self. Here’s David Cameron, the Conservative Party leader, as quoted by David Brooks in his column last month
We used to stand for the individual. We still do. But individual freedoms count for little if society is disintegrating. Now we stand for the family, for the neighborhood — in a word, for society.
It seems like only yesterday, though it was nearly twenty years ago, that Margaret Thatcher was saying something very different.
There is no such thing as society. There are individual men and women, and there are families.
(I’d love to use that quote as the only question on a sociology final. Discuss.)

Conservatives and Liberties

June 13, 2008
Posted by Jay Livingston

Six years. That’s how long some prisoners have been held at Guantánamo without even having charges brought against them. Too long? Certainly not, say conservatives in the US.

The conservative wing on the Supreme Court, dissenting in yesterday’s decision on this, thought that not only was locking up people indefinitely and without charges, let alone trial and conviction, a good idea. They also saw nothing in it that violated the Constitution (“Pay no attention to that habeas corpus clause behind the curtain.”)

But why is this position “conservative”? Does it fit with some universal set of conservative principles? Apparently not.

On the other side of the Atlantic, the UK prime minister, Gordon Brown, has proposed a law allowing the government to hold terrorism suspects without charges not for six years or six months, but for six weeks. You’d think that conservatives would be shouting that 42 days is not nearly long enough. But the Conservative Party leader, David Cameron,
described the measure as “a political calculation” designed to make Mr. Brown appear as if he was being tough on security.

David condemned the plans for 42-day detention, arguing they would threaten civil liberties and could alienate sections of society.
This from the Tories’ own website. I’m not sure which supposedly conservative stance surprised me more – their opposition to detention without charges or their use of the first name in referring to the party leaders. Even on Fox, they don’t refer “George.”