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Economic Insight > Blog > Economics > My Weekly Reading for May 25, 2025
My Weekly Reading for May 25, 2025
Economics

My Weekly Reading for May 25, 2025

EC Team
Last updated: May 25, 2025 6:43 pm
EC Team
Published May 25, 2025
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Chris Edwards, Liberty’s CatoMay 20, 2025

excerpt:

Transport Secretary Sean Duffy has an incident, but so far he has suggestion Throw more money into the problem. By itself, more money will not cure deep flaws in the ATC system. This is due to the attempt to operate a high-tech industry from within the Federal Aviation Administration (FAA) bureaucracy.

With all deficits, risk aversion, and political interference inherent in federal officials, FAA performance could worsen over time as global aviation demand continues to increase and the sky becomes even more crowded.

Congress needs to restructure the ATC. The obvious model of reform is Canadaits ATC system has excelled for 30 years as a self-funded nonprofit organization other than the government’s bureaucracy.

and:

Canadian System

Robyn: “Canadian ATC provider NAV Canada, a model for the House of Representatives bill in 2018, handles significantly more traffic with a smaller number of staff than in 1996.

By JD Tuccille reasonMay 21, 2025.

excerpt:

In 1988, the Californian passed Proposition 103. State SummaryOf the measures, “all insurers should lower the rate to at least 20% less than the rate effective November 8, 1987, unless such rollbacks have led to the company’s bankruptcy.” The California Supreme Court changed this to allow what state officials deemed a “fair rate of return,” but more voters pay premiums than they work for insurance companies, resulting in predictable results.

The problem of voting for your own discounts at someone else’s expense

According to 2023 Paper As of 2020, Californians “paid an average of $1,285 per year on all policy types homeowner premiums, rather than the national average of $1,319 from the Center for International Law and Economics.” Despite the high value of the sky and the risk of well-known wildfires, Californians “paid an average of $1,285 per year on homeowner premiums for all policy types, rather than the national average of $1,319.” If insurance companies need to raise fees to reflect risks and costs, they can only do it later. Extended Hearing and Government Review Process It is designed to please voters rather than reflecting economic realities. Naturally, there was an insurance company long before Los Angeles fired. Limit coverage and leave the state.

Even insurance committee member Ricardo Lara admit The insurance company said, “There’s no need to be here, and when we try to over-adjust what happened after the Northridge earthquake, they’re no longer writing earthquake insurance in California when Congress came in and tried to over-regulate.”

Robert Poole, reasonMay 21, 2025.

excerpt:

As detailed in the 2023 Ministry of Transport Inspector ReportThe Philadelphia Control Tower and Terminal Radar Approach Control (Tracon) facility, which serves Newark airspace, were one of the most understaffed by major FAA facilities. but New York Times recently It has been reported Regarding serious air traffic control, we are discussing the issue of personnel shortages currently affecting Newark Airport. The Philadelphia Tracon, responsible for managing Newark’s airspace, has “only 22 controllers certified to guide planes inside and outside the airport.” The era Report – less important than the targets of FAA’s 38 controllers. “The overall staffing level at the Philadelphia facility is around 70%, although it handles several other airports in the area.”

And in many cases fewer controllers work. The era “Please note that only a few were scheduled for the three air traffic controllers during the Monday evening. [Philadelphia] Facilities that lead planes in and out of Newark – exclude 14 targets for that shift. ”

This will be the third problem. It is the outdated communications technology of air traffic control systems. All flight data for New Jersey Airports (Newark, Teterboro, Morristown) is sent to Philadelphia via a 25-year-old telecommunications system and routed to a standard terminal automation exchange system called Stars. The stars process Newark radar data, According to the FAA“The Telecommunications Line will provide this data from New York to the Philadelphia Tracon, and the controller will handle Newark’s arrival and departure.”

Note: Robert Pool is one of my people when you want to understand something about transportation policy. If I recall correctly, he was on the forefront in 2001 claiming that the TSA had no monopoly on airport security. The original law allowed private contractors, not TSA, such as Kansas City, Missouri, and San Francisco.

Gary Winslet, Washington PostMay 14, 2025.

excerpt:

There is a popular story that both parties want to tell us. The rusty belt was a thriving region until China, Mexico and American business allies ripped their manufacturing jobs with biased trade transactions. It’s now up to Washington to get it back through the democratic alternatives, whether it’s Donald Trump’s tariffs.

This is a politically handy tale of courting voters in major swing states, pinning the situation before. The problem is that it’s not true – and that has led to some horrifying policy decisions.

A massive shortage of the story: interstate competition. The decline in the manufacturing of rubber belts is not primarily a job that goes to Mexico. It’s about jobs going to Alabama, South Carolina, Georgia, Tennessee. To make that from a college football perspective, the traditional Big Ten has lost to the Southeastern Conference. In 1970, Rust Belt took responsibility. Almost half of all manufacturing exports The southern part was produced in less than a quarter. Today, roles are reversed. Hosting less than a quarter of all manufactured exports is the South, which exports rusty belts twice as much as what rusty belts do.

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