der

Letter from London on the coronavirus: An order to stay apart brought us together

Dear America,

In London there is much talk of a new “spirit of the Blitz” in the face of another deadly threat to us all.

But 80 years on, that spirit is expressing itself very differently. When the Luftwaffe bombs fell, to continue with normal life was an act of patriotic defiance. Now as COVID-19 spreads, to continue with normal life is an act of punishable deviance.




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What Allies Want: Reconsidering Loyalty, Reliability, and Alliance Interdependence

Is indiscriminate loyalty what allies want? The First Taiwan Strait Crisis (1954–55) case suggests that allies do not desire U.S. loyalty in all situations. Instead, they want the United States to be a reliable ally, posing no risk of abandonment or entrapment.




der

An Abysmal Failure of Leadership

During times of crisis, the most effective leaders are those who can build solidarity by educating the public about its own interests. Sadly, in the case of COVID-19, the leaders of the world's two largest economies have gone in the opposite direction, all but ensuring that the crisis will deepen.




der

What Allies Want: Reconsidering Loyalty, Reliability, and Alliance Interdependence

Is indiscriminate loyalty what allies want? The First Taiwan Strait Crisis (1954–55) case suggests that allies do not desire U.S. loyalty in all situations. Instead, they want the United States to be a reliable ally, posing no risk of abandonment or entrapment.




der

An Abysmal Failure of Leadership

During times of crisis, the most effective leaders are those who can build solidarity by educating the public about its own interests. Sadly, in the case of COVID-19, the leaders of the world's two largest economies have gone in the opposite direction, all but ensuring that the crisis will deepen.




der

'The order could be shaken up in 2012' - Raikkonen

Kimi Raikkonen is confident he has lost none of his speed since he last raced in Formula One in 2009 and reckons there could be a few surprises when he makes his return next year




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Alonso plays down team orders row

German Grand Prix winner Fernando Alonso has played down the furore surrounding the possibility of Ferrari using team orders to rig Sunday's race result




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Force India draws a line under Hockenheim

Force India is ready to "draw a line" under its disastrous German Grand Prix after a pit stop mix up saw its drivers finish 16th and 17th




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No further punishment for Ferrari in team orders scandal

Ferrari has avoided further punishment for its actions at the 2010 German Grand Prix, after appearing in front of the FIA's World Motor Sport Council (WMSC) in Paris on Wednesday




der

Will the New Oil Pact Open a Broader Dialogue Between Trump and Putin?

Since President Trump moved into the White House, he has been eager for a dramatic initiative with Russian President Vladimir Putin, and he may finally have found one in Sunday’s announcement of a joint American-Russian-Saudi effort to stabilize world oil prices.




der

No, the Coronavirus Will Not Change the Global Order

Joseph Nye advises skepticism toward claims that the pandemic changes everything. China won't benefit, and the United States will remain preeminent.




der

How COVID-19 is Testing American Leadership

Joseph Nye suggests that a new U.S. administration might take a leaf from the success of the post-1945 American presidents that are described in Do Morals Matter? Presidents and Foreign Policy from FDR to Trump. The United States could launch a massive COVID-19 aid program like the Marshall Plan.




der

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




der

COVID’s Broader Impacts: Risks and Recommendations

While the world’s health and economy are the clearest victims of COVID-19, the pandemic has impacted nearly every aspect of society – from national security to international relationships. We asked several of our experts to share their thoughts on risks and/or recommendations that policymakers and the public should consider in the coming weeks and months.




der

An Abysmal Failure of Leadership

During times of crisis, the most effective leaders are those who can build solidarity by educating the public about its own interests. Sadly, in the case of COVID-19, the leaders of the world's two largest economies have gone in the opposite direction, all but ensuring that the crisis will deepen.




der

Harvard Business School Professor Rebecca Henderson Outlines Ways Organizations are Changing in Response to the Coronavirus Pandemic and Climate Change in New Edition of "Environmental Insights"

Rebecca Henderson, the John and Natty McArthur University Professor at Harvard University, shared her perspectives on how large organizations are changing in response to the coronavirus pandemic and climate change in the newest episode of "Environmental Insights: Discussions on Policy and Practice from the Harvard Environmental Economics Program," a podcast produced by the Harvard Environmental Economics Program. Listen to the interview here. Listen to the interview here.




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Organizational Responses to COVID-19 and Climate Change: A Conversation with Rebecca Henderson

Rebecca Henderson, the John and Natty McArthur University Professor at Harvard University, shared her perspectives on how large organizations are changing in response to the coronavirus pandemic and climate change in the newest episode of “Environmental Insights: Discussions on Policy and Practice from the Harvard Environmental Economics Program.”




der

No, the Coronavirus Will Not Change the Global Order

Joseph Nye advises skepticism toward claims that the pandemic changes everything. China won't benefit, and the United States will remain preeminent.




der

Can we take the politics out of the federal minimum wage?


At 77 years of age, the federal minimum wage deserves a respite from the day-to-day combat of political life. Today, protestors around the country are demanding a $15 minimum. But few observers think this level is economically desirable: even fewer think that it is likely.

Democrats want a higher minimum, and say so loudly. Republicans of a free-market persuasion mostly do not—but tend to stay silent because they know that swing voters look positively at raising the wages of low-earners.

The minimum wage is lagging…

Congressional political stalemate has meant the U.S. wage floor has lagged behind median earnings. In contrast wage growth in other OECD countries has performed much better, as this graph produced by the Hamilton Project shows:

Advanced nations have de-politicized minimum wage decisions

The federal minimum wage is an established piece of the U.S. policy furniture—and one that is quite dated. It now makes sense to consider taking some of the power and responsibility for setting the wage rate out of the hands of politicians—just as interest rates are set by the Federal Reserve.

This is not a novel proposal in international terms. In most advanced economies, minimum wage decisions are not purely political. Out of 66 countries studied by Tito Boeri in 2009, 24 delegate the determination the minimum wage level to a tripartite body; 26 countries set the minimum wage after taking advice following formal consultation between the Government and representatives of employers and workers; and just 16 countries (including the U.S.) set the minimum wage through a simple legislative vote.

Over in the U.K., the Conservative Prime Minister David Cameron just jacked up the national minimum wage by 3% up to £6.70, with barely a squeak of protest from employers or the right wing of his own party. Why? Because, like his two predecessors, he simply followed the advice of the Low Pay Commission, which is comprised of nine commissioners—three each from trade unions, employer organizations and academia.

Two options for taking the political heat out of the U.S. minimum wage

Can the U.S. follow suit? And if it can, what might the new system look like? Two options at least are worth considering.

1. A Federal Minimum Wage Advisory Board. This could be made up (like the U.K. version) of nine members: three representatives of employer organizations, three from labor organizations, and three independent labor economists. The Board would recommend a rate for the national minimum wage each year, which would then be enacted by Congress in the usual manner. The Board would have a strong incentive to set a rate likely to be adopted by Congress, in order to establish and maintain its reputation: there is, after all, little point in sitting on a Board that is ignored. The Board’s recommendation would not be binding and would not become the legal ‘default’ level. But because the advice is likely to be sensible, Congress would likely be inclined to follow it.

2. Wage Indexation. An alternative—favored by my Brookings colleague Gary Burtless—would be to simultaneously raise the minimum wage and introduce automatic indexing, lifting the minimum wage at the same rate as either consumer prices or the median wage—preferably the latter. In effect, this would do for the minimum wage what President Nixon did for Social Security. Congress would have the power to suspend a rise—perhaps if unemployment reached a certain threshold—but the default position would be to link changes in the minimum wage to changes in the median wage or in the broader consumer economy.

Policy commitment devices in action

These are both examples of what I have called policy commitment devices—in a new paper, Ulysses Goes to Washington—that help to overcome political myopia in order to support longer-term policy objectives. In the first case, taking advice from an independent commission, the commitment is somewhat less binding, although as James Madison knew, ‘the counsels and checks of friends’ can carry plenty of weight. Indexation would be a tighter form of binding, since inaction on the part of politicians would lead to an uprating of minimum wage, rather than the current stasis.

For both sides, there are political attractions to sub-contracting some decision-making power over the minimum wage. By accepting the advice of an independent body or allowing indexation to do its silent work, Republicans can keep their business donors and right-wing critics at bay; Democrats can do the same for unions and the political left. Sometimes the most powerful thing politicians can do is give some power away. The minimum wage is now perhaps a case in point.

Image Source: © Brian Snyder / Reuters
      
 
 




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Serving the underserved in workforce development: A Q&A with Beth Weigensberg


Improving data in the field of workforce development is a necessary step to evaluating programs and replicating success. What does current data tell us about the populations served? What outcomes should we measure to ensure programs are meeting America’s workforce development needs?

Earlier this month, we convened an expert group of policy makers, practitioners and scholars to address this problem, along with other challenges in workforce development. Previously, we interviewed Kate Blosveren Kreamer on the need to strengthen bridges from school to work. Next up in our Q&A series is Beth Weigensberg, a researcher at Mathematica Policy Research.

Q: What important research questions remain unanswered in the area of workforce development?

A: Although there is increasingly more rigorous research to assess effectiveness of programs, I feel a missing piece is understanding how to replicate and scale-up effective strategies. Often times workforce development programs that are deemed effective in one place do not always succeed when implemented in another. Research that evaluates effectiveness of programs should assess the role of contextual factors (including organizational, leadership, community, and political factors) to identify what is needed to successfully implement, replicate, and scale successful programs.

Q: You mentioned that you often think about the unemployed populations that are harder to serve. Who are some of these underserved populations, and what workforce development programs work for them?

A: The workforce development field has an unfortunate history of “creaming”—programs selectively work with individuals most likely to succeed at finding employment, leaving those “harder-to-serve” individuals struggling to find assistance. Individuals that are often considered “hard-to-serve” include those who are homeless, disabled, formerly incarcerated, older workers, non-English speakers, low-income, and youth who are disconnected from school and employment. Increasing efforts to focus on these “harder-to-serve” populations include specialized targeted programs and strategies to help address the complex needs of these individuals, which often extend beyond skill development and finding a job. These specialized programs often provide additional support services to help address their complex needs, which can serve as additional barriers to obtaining and retaining employment.

Q: What improvements can be made to better measure success?

A: Intermediate measures of engagement and skill development would provide interim measures of progress, while the ultimate objectives are obviously employment and educational attainment. Ongoing evaluation on interim measures allows for earlier acknowledgment of achievement and identification of those struggling to progress. Assessing outcomes in ways that control for different populations or barriers to employment, such as using risk-adjusted methodologies, can help us evaluate workforce development programs in an equitable manner.

One of the biggest challenges in the field is ensuring we have valid and reliable data to accurately estimate outcomes. The data available to assess outcomes are usually limited by what is collected in management information systems, which are often developed to be responsive to reporting requirements of publically-funded programs. But these siloed data do not allow for comprehensive assessment of workforce development outcomes within a state, locality, or even within a community-based employment and training organization that relies on numerous funding sources. Efforts are needed to integrate data and assess standardized outcome measures across program and funding silos to allow for more comprehensive assessment of outcomes within the field.

Authors

Image Source: © David Ryder / Reuters
      
 
 




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Class Notes: College ‘Sticker Prices,’ the Gender Gap in Housing Returns, and More

This week in Class Notes: Fear of Ebola was a powerful force in shaping the 2014 midterm elections. Increases in the “sticker price” of a college discourage students from applying, even when they would be eligible for financial aid. The gender gap in housing returns is large and can explain 30% of the gender gap in wealth accumulation at retirement.…

       




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Class Notes: Harvard Discrimination, California’s Shelter-in-Place Order, and More

This week in Class Notes: California's shelter-in-place order was effective at mitigating the spread of COVID-19. Asian Americans experience significant discrimination in the Harvard admissions process. The U.S. tax system is biased against labor in favor of capital, which has resulted in inefficiently high levels of automation. Our top chart shows that poor workers are much more likely to keep commuting in…

       




der

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




der

An Abysmal Failure of Leadership

During times of crisis, the most effective leaders are those who can build solidarity by educating the public about its own interests. Sadly, in the case of COVID-19, the leaders of the world's two largest economies have gone in the opposite direction, all but ensuring that the crisis will deepen.




der

Harvard Business School Professor Rebecca Henderson Outlines Ways Organizations are Changing in Response to the Coronavirus Pandemic and Climate Change in New Edition of "Environmental Insights"

Rebecca Henderson, the John and Natty McArthur University Professor at Harvard University, shared her perspectives on how large organizations are changing in response to the coronavirus pandemic and climate change in the newest episode of "Environmental Insights: Discussions on Policy and Practice from the Harvard Environmental Economics Program," a podcast produced by the Harvard Environmental Economics Program. Listen to the interview here. Listen to the interview here.




der

Organizational Responses to COVID-19 and Climate Change: A Conversation with Rebecca Henderson

Rebecca Henderson, the John and Natty McArthur University Professor at Harvard University, shared her perspectives on how large organizations are changing in response to the coronavirus pandemic and climate change in the newest episode of “Environmental Insights: Discussions on Policy and Practice from the Harvard Environmental Economics Program.”




der

No, the Coronavirus Will Not Change the Global Order

Joseph Nye advises skepticism toward claims that the pandemic changes everything. China won't benefit, and the United States will remain preeminent.




der

Organizational Responses to COVID-19 and Climate Change: A Conversation with Rebecca Henderson

Rebecca Henderson, the John and Natty McArthur University Professor at Harvard University, shared her perspectives on how large organizations are changing in response to the coronavirus pandemic and climate change in the newest episode of “Environmental Insights: Discussions on Policy and Practice from the Harvard Environmental Economics Program.”




der

Harvard Business School Professor Rebecca Henderson Outlines Ways Organizations are Changing in Response to the Coronavirus Pandemic and Climate Change in New Edition of "Environmental Insights"

Rebecca Henderson, the John and Natty McArthur University Professor at Harvard University, shared her perspectives on how large organizations are changing in response to the coronavirus pandemic and climate change in the newest episode of "Environmental Insights: Discussions on Policy and Practice from the Harvard Environmental Economics Program," a podcast produced by the Harvard Environmental Economics Program. Listen to the interview here. Listen to the interview here.




der

How COVID-19 is Testing American Leadership

Joseph Nye suggests that a new U.S. administration might take a leaf from the success of the post-1945 American presidents that are described in Do Morals Matter? Presidents and Foreign Policy from FDR to Trump. The United States could launch a massive COVID-19 aid program like the Marshall Plan.




der

Stefan GP considers US F1 takeover

Serbian businessman Zoran Stefanovic has not abandoned his ambition for his Stefan GP team to race this season, according to a report on Autosport




der

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




der

An Abysmal Failure of Leadership

During times of crisis, the most effective leaders are those who can build solidarity by educating the public about its own interests. Sadly, in the case of COVID-19, the leaders of the world's two largest economies have gone in the opposite direction, all but ensuring that the crisis will deepen.




der

Organizational Responses to COVID-19 and Climate Change: A Conversation with Rebecca Henderson

Rebecca Henderson, the John and Natty McArthur University Professor at Harvard University, shared her perspectives on how large organizations are changing in response to the coronavirus pandemic and climate change in the newest episode of “Environmental Insights: Discussions on Policy and Practice from the Harvard Environmental Economics Program.”




der

No, the Coronavirus Will Not Change the Global Order

Joseph Nye advises skepticism toward claims that the pandemic changes everything. China won't benefit, and the United States will remain preeminent.




der

How COVID-19 is Testing American Leadership

Joseph Nye suggests that a new U.S. administration might take a leaf from the success of the post-1945 American presidents that are described in Do Morals Matter? Presidents and Foreign Policy from FDR to Trump. The United States could launch a massive COVID-19 aid program like the Marshall Plan.




der

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




der

An Abysmal Failure of Leadership

During times of crisis, the most effective leaders are those who can build solidarity by educating the public about its own interests. Sadly, in the case of COVID-19, the leaders of the world's two largest economies have gone in the opposite direction, all but ensuring that the crisis will deepen.




der

Will the New Oil Pact Open a Broader Dialogue Between Trump and Putin?

Since President Trump moved into the White House, he has been eager for a dramatic initiative with Russian President Vladimir Putin, and he may finally have found one in Sunday’s announcement of a joint American-Russian-Saudi effort to stabilize world oil prices.




der

No, the Coronavirus Will Not Change the Global Order

Joseph Nye advises skepticism toward claims that the pandemic changes everything. China won't benefit, and the United States will remain preeminent.




der

How COVID-19 is Testing American Leadership

Joseph Nye suggests that a new U.S. administration might take a leaf from the success of the post-1945 American presidents that are described in Do Morals Matter? Presidents and Foreign Policy from FDR to Trump. The United States could launch a massive COVID-19 aid program like the Marshall Plan.




der

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




der

COVID’s Broader Impacts: Risks and Recommendations

While the world’s health and economy are the clearest victims of COVID-19, the pandemic has impacted nearly every aspect of society – from national security to international relationships. We asked several of our experts to share their thoughts on risks and/or recommendations that policymakers and the public should consider in the coming weeks and months.




der

An Abysmal Failure of Leadership

During times of crisis, the most effective leaders are those who can build solidarity by educating the public about its own interests. Sadly, in the case of COVID-19, the leaders of the world's two largest economies have gone in the opposite direction, all but ensuring that the crisis will deepen.




der

Harvard Business School Professor Rebecca Henderson Outlines Ways Organizations are Changing in Response to the Coronavirus Pandemic and Climate Change in New Edition of "Environmental Insights"

Rebecca Henderson, the John and Natty McArthur University Professor at Harvard University, shared her perspectives on how large organizations are changing in response to the coronavirus pandemic and climate change in the newest episode of "Environmental Insights: Discussions on Policy and Practice from the Harvard Environmental Economics Program," a podcast produced by the Harvard Environmental Economics Program. Listen to the interview here. Listen to the interview here.




der

Organizational Responses to COVID-19 and Climate Change: A Conversation with Rebecca Henderson

Rebecca Henderson, the John and Natty McArthur University Professor at Harvard University, shared her perspectives on how large organizations are changing in response to the coronavirus pandemic and climate change in the newest episode of “Environmental Insights: Discussions on Policy and Practice from the Harvard Environmental Economics Program.”




der

No, the Coronavirus Will Not Change the Global Order

Joseph Nye advises skepticism toward claims that the pandemic changes everything. China won't benefit, and the United States will remain preeminent.




der

What Allies Want: Reconsidering Loyalty, Reliability, and Alliance Interdependence

Is indiscriminate loyalty what allies want? The First Taiwan Strait Crisis (1954–55) case suggests that allies do not desire U.S. loyalty in all situations. Instead, they want the United States to be a reliable ally, posing no risk of abandonment or entrapment.




der

An Abysmal Failure of Leadership

During times of crisis, the most effective leaders are those who can build solidarity by educating the public about its own interests. Sadly, in the case of COVID-19, the leaders of the world's two largest economies have gone in the opposite direction, all but ensuring that the crisis will deepen.




der

An Abysmal Failure of Leadership

During times of crisis, the most effective leaders are those who can build solidarity by educating the public about its own interests. Sadly, in the case of COVID-19, the leaders of the world's two largest economies have gone in the opposite direction, all but ensuring that the crisis will deepen.