Meeting up at Oshkosh

Folks: I’m going to Oshkosh this year, courtesy of a kind friend who has organized everything. I’m wondering if readers would like to get together for a discussion, perhaps on Thursday, July 29 at noon at the seaplane base (they run a little bbq stand there and the general atmosphere is less insane than at the regular show; there is a shuttle bus from the main show over to the seaplane base).

Please email philg@mit.edu if you’re interested in meeting up on Thursday at noon. Feel free to comment if you think there is a better place to meet.

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How to explain Singapore’s growth despite lack of stimulus?

After a slight contraction in 2009, Singapore’s economy is roaring back with GDP growth of close to 15 percent in 2010 (nytimes). How did people there manage to achieve this success? By U.S. standards, the government of Singapore is almost non-existent, consuming just 12.5 percent of GDP (source). If you scroll down to the bottom of this chart, you’ll see that the U.S. federal deficit is, at 10.5 percent of GDP, nearly equal to all government spending in Singapore. (Local, state, and federal spending combined in the U.S. is now at a non-WWII record of 44 percent (source).)

One would think that any debate about the likely effectiveness of increased government expansion here in the U.S. would include a discussion of how Singapore is succeeding, but I have not seen that in the news. Why would Americans not look to more successful economies worldwide for inspiration?

[As a side note, the CIA factbook for Singapore shows that the per-capita GDP of this once-poor country is higher than that of the U.S.: $50,300 compared to $46,400. The data have been tweaked for “purchasing power parity”, so it isn’t exactly clear who would find a Honda Accord more affordable, but it is nonetheless impressive that a country with no land and no natural resources could have surpassed the U.S., which has been gifted with (or stolen from the Indians) almost an entire continent to exploit.]

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Government versus private industry helicopter operating costs

It turns out that the Port Authority of New York and New Jersey has been operating two Sikorsky S-76 helicopters mostly for “security” at a cost to taxpayers of $4 million per year (nj.com story). Most of the 258 annual flights were weekday flyovers of airports to look for unusual activity (aero-news.net; the implication is that terrorists could do whatever they liked on weekends). If we assume that each flight was for one hour (more than enough time to visit all NY-area airports) and hug the docks), that’s a cost of $15,500 per flight hour.

The S-76 was designed for flights of 200 nautical miles through clouds, e.g., getting 12 oil rig crewmembers out across the North Sea. No private company would consider using a $10+ million S-76 for flying short trips in clear weather with just one or two passengers. Aside from the crushing capital and operating costs, the S-76 is notorious for poor visibility compared to simpler cheaper helicopters.

The operation is being shut down because it turns out that the flights have no value at all. So it is kind of an academic exercise to wonder how much it would have cost if they’d used a Robinson R44, which would have offered superior visibility and more than adequate performance to carry two observers (one on either side) plus a pilot. Nonetheless, let’s run the numbers. Various local flight schools would have been delighted to rent out an R44, with pilot, for $400 per hour (East Coast Aero Club charges $379/hour). So the mission could have been accomplished for approximately 2.4 percent of the cost that the government agency actually spent, resulting in saving approximately $4 million per year in operating costs and $12 million in capital expense.

This may be part of the problem with government stimulus. The government spends 40X more than it needs to in order to accomplish a task in an inferior manner (in this case using the wrong helicopter for the job).

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Personal computers pre-configured with SSD drives?

One of the things that I learned in Seattle is that an Intel SSD drive can speed up a personal computer by 3-10X, depending on the task. An SSD boot drive is apparently becoming standard for employee desktop computers at Microsoft. The question therefore is why isn’t it easy to order a desktop PC pre-configured with the operating system and applications on an SSD drive? Neither Dell nor HP, for example, tries to sell consumers machines that boot from an SSD drive (though Dell will sell “workstations” that boot from SSD and XPS laptops that boot from SSD). Given the huge performance boost that the Microsoft experts report from using the latest fancy Intel drive, why isn’t it something that almost everyone wants? (If the answer is that people need an extra terabyte or two for storing video, the PCs in question all contain enough room in the case for a $150 traditional hard drive in addition.)

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Meet at Andaluca between 8 and 10 am

Folks interested in a Seattle get-together: Let’s meet at www.andaluca.com any time between 8 am and 10 am tomorrow morning (Thursday). The restaurant is downtown in the Mayflower Park Hotel and features free valet parking. Stop by for a coffee at least and a conversation about any of topics discussed in this blog.

[I apologize for having to move the time from afternoon to morning, but it turns out that we must depart tomorrow afternoon for beautiful and exciting Billings, Montana. There we will overnight in a Best Western before cranking up the little airplane at first light in hopes of getting a passenger back to the East Coast in time for a 3 pm wedding.]

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Where to stay and what to do this week in Seattle?

I’m helping a friend get to Boeing Field on Wednesday, departing for a return trip to Boston on Friday morning. He’ll be enduring some meetings in the exurbs, which puts me in Seattle for two nights and 1.5 days with very little to do. I would appreciate suggestions for where to stay (neighborhood or specific hotel) and what to do (museums, concerts (anything from Bach to Stravinsky), etc.).

Also, please email if you’re interested in meeting up. I’m thinking that a coffee shop on Thursday late afternoon would be good.

Update: I’m staying at the Mayflower Park Hotel (the FBO has a good rate with them) and it is just for one night. That means the meeting-up time needs to be breakfast/coffee on Thursday morning. I was thinking 8-10 am so that people who need to be at work by 9 can show up and also people who like to sleep in can show up at 9 or 9:30. Suggested places? A quick search of Google Maps and Yelp reveals… librarybistro.com, eatatlowells.com, andaluca.com (in my hotel), cherryst.com (which location has the best seating and quietest acoustics?).

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Should we have sympathy for struggling Americans?

On average, Americans who work in the private sector are struggling financially. Millions are unemployed and the rest may be looking at an additional decade of toil before they can retire (since their houses and 401ks are worth so much less). Should we feel sorry for these folks in the same way that we might feel sympathy for Zimbabweans or other victims of an incompetent government?

Arguing in favor of sympathy is the basic fact that these folks are suffering, albeit not as badly as a lot of Africans.

Arguing against sympathy is that we Americans voted for politicians who promised to (1) continue fighting two very expensive wars, (2) ladle out fantastic raises and pensions to public employees, and (3) spend most of society’s wealth on the world’s most expensive health care system. The politicians delivered exactly what they promised. If the economy isn’t growing and public employees must be continually enriched, that necessarily means that folks in the private sector must be gradually impoverished. We got what we voted for, so how can any of us aged 30 or older be deserving of sympathy? [younger folks didn’t have a chance to vote for the current batch of politicians so they arguably deserve sympathy for having to share a country with so many shortsighted old folks]

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