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" ... Are American college students today learning more than those living in the 1970’s? Colleges, in the knowledge business, know remarkably little about how much their students learn. The sparse intertemporal evidence, however, suggests that learning has probably declined somewhat —somewhat dated information suggests literacy among college students has fallen, fact-based student knowledge of American civic institutions is appallingly low, etc. Labor Department data shows students study embarrassingly little (and sharply less than in the era before the Education Department), and the rise in grade inflation has continued strongly on the Department’’s watch. How can learning increase with students spending less time studying but getting ever higher grades? Moreover, the Department does not even try very hard to measure learning for college students: the last major literacy assessment of college students that I know about occurred 17 years ago. ... "
" ... I think that what I’m trying to do in this book is describe what’s happening in the future in economics. That there will be more of this, and I think it should be, and probably will be, not so focused on stock picking and marketing, because it infects all of economics. The economists like to use the paradigm actually first clarified by Samuelson. That we’ll describe people as intertemporal utility maximisers, with a consistent utility function and never change their mind about it. Part of what happens is that they even change their case in response to narratives. So in the book I talk about the Great Depression, and I quote various people from back then. And I say that in the depression it just didn’t feel right to consume a lot of luxury goods, even if you could afford them. So new car sales in the Great Depression fell catastrophically. Between 1929 and 1932, I think it was. In the book, there was an 86% drop in Ford car sales, new Fords. And I think the reason is, if you live in a neighborhood where next door there is someone who is out of a job and they are having trouble feeding the kids, you don’t buy a shiny new car and park it in your driveway. ... "
" ... The CEA approach implies far greater costs attributable to regulation than the annual Report to Congress has ever addressed, more reflective of the sweep of governmental action. CEA’s approach might recognize, for example, that regulation affects not only current jobs, but also the inclination for entrepreneurs to create them in the future. This intertemporal nature of regulation complicates cost assessment, since nations cannot “lose” jobs that have not been created. ... "