Yahoo Valued “Marketing Gimmicks” More than Search Speed

(p. 44) Google had struck a deal to handle all the search traffic of Yahoo, one of the biggest portals on the web.
The deal–announced on June 26, 2000–was a frustrating development to the head of Yahoo’s search team, Udi Manber. He had been arguing that Yahoo should develop its own search product (at the time, it was licensing technology from Inktomi), but his bosses weren’t interested. Yahoo’s executives, led by a VC-approved CEO named Timothy Koogle (described in a BusinessWeek cover story as “The Grown-up Voice of Reason at Yahoo”), instead were devoting their attention to branding–marketing gimmicks such as putting the purple corporate logo on the Zamboni machine that swept the ice between periods of San Jose Sharks hockey games. “I had six people working on my search team,” Manber said. “I couldn’t get the seventh. This was a company that had thousands of people. I could not get the seventh.” Since Yahoo wasn’t going to develop its own search, Manber had the task of finding the best one to license.

Source:
Levy, Steven. In the Plex: How Google Thinks, Works, and Shapes Our Lives. New York: Simon & Schuster, 2011.
(Note: italics in original.)

In Conflict Between Ecologist and Economist, the Economist Won

EhrlichSimonCaricature2013-08-31.jpg Paul Ehrlich (left) and Julian Simon (right). Source of caricature: online version of the WSJ review quoted and cited below.

(p. C6) . . . in 1980 Simon made Mr. Ehrlich a bet. If Mr. Ehrlich’s predictions about overpopulation and the depletion of resources were correct, Simon said, then over the next decade the prices of commodities would rise as they became more scarce. Simon contended that, because markets spur innovation and create efficiencies, commodity prices would fall. He proposed that each party put up $1,000 to purchase a basket of five commodities. If the prices of these went down, Mr. Ehrlich would pay Simon the difference between the 1980 and 1990 prices. If the prices went up, Simon would pay. This meant that Mr. Ehrlich’s exposure was limited while Simon’s was theoretically infinite.
. . .
In October 1990, Mr. Ehrlich mailed a check for $576.07 to Simon.
. . .
Mr. Ehrlich was more than a sore loser. In 1995, he told this paper: “If Simon disappeared from the face of the Earth, that would be great for humanity.” (Simon would die in 1998.)
. . .
Mr. Sabin’s portrait of Mr. Ehrlich suggests that he is among the more pernicious figures in the last century of American public life. As Mr. Sabin shows, he pushed an authoritarian vision of America, proposing “luxury taxes” on items such as diapers and bottles and refusing to rule out the use of coercive force in order to prevent Americans from having children. In many ways, Mr. Ehrlich was an early instigator of the worst aspects of America’s culture wars. This picture is all the more damning because Mr. Sabin paints it not with malice but with sympathy. A history professor at Yale, Mr. Sabin shares Mr. Ehrlich’s devotion to environmentalism. Yet this affinity doesn’t prevent Mr. Sabin from being clear-eyed.
At heart, “The Bet” is about not just a conflict of men; it is about a conflict of disciplines, pitting ecologists against economists. Mr. Sabin cautiously posits that neither side has been completely vindicated by the events of the past 40 years. But this may be charity on his part: While not everything Simon predicted has come to pass, in the main he has been vindicated.
. . .
Mr. Ehrlich may have been defeated in the wager, but he has continued to flourish in the public realm. The great mystery left unsolved by “The Bet” is why Paul Ehrlich and his confederates have paid so small a price for their mistakes. And perhaps even been rewarded for them. In 1990, just as Mr. Ehrlich was mailing his check to Simon, the MacArthur Foundation awarded him one of its “genius” grants. And 20 years later his partner in the wager, John Holdren, was appointed by President Obama to be director of the White House Office of Science and Technology Policy.

For the full review, see:
JONATHAN V. LAST. “A Prediction that Bombed; Paul Ehrlich predicted an imminent population catastrophe; Julian Simon wagered he was wrong.” The Wall Street Journal (Sat., August 31, 2013): C6.
(Note: ellipses added.)
(Note: the online version of the review has the date August 30, 2013, and has the title “Book Review: ‘The Bet’ by Paul Sabin; Paul Ehrlich predicted an imminent population catastrophe–Julian Simon wagered he was wrong.”)

The book discussed above is:
Sabin, Paul. The Bet: Paul Ehrlich, Julian Simon, and Our Gamble over Earth’s Future. New Haven, Conn.: Yale University Press, 2013.

TheBetBK2013-08-31.jpg

Source of book image: http://paulsabin.com/wp-content/uploads/2013/06/sabin_the_bet_wr.jpg

Venezuelan Socialists Seize Private Toilet Paper

(p. A6) CARACAS, Venezuela (AP) — Police in Venezuela say they have seized nearly 2,500 rolls of toilet paper in an overnight raid of a clandestine warehouse storing scarce goods.
. . .
The socialist government says the shortages are part of a plot by opponents to destabilize the country. Economists blame the government’s price and currency controls.

For the full story, see:
AP. “World; Police Seize 2,500 Rolls of Toilet Paper.” Omaha World-Herald (Fri., May 31, 2013): 6A.
(Note: ellipsis added.)

“The Ecosystem Is More Intact than You Might Have Feared”

SantaMartaSabrewingRareBirdFearedExtinct2013-08-10.jpg “The first-ever photograph of the Santa Marta sabrewing.” Source of caption and photo: online version of the NYT article quoted and cited below.

Michael Parr, quoted in the entry below, is Vice President of Planning and Program Development of the American Bird Conservancy as of 8/10/13 (as listed on: http://www.abcbirds.org/aboutabc/staff.html ).

(p. D3) Rare birds in isolated habitats can be a recipe for extinction, and while there had been a few unconfirmed sightings of the sabrewing in recent years, the bird’s existence had not been documented for decades. Until March 24, that is, when a researcher studying migratory birds, Laura Cárdenas, caught one in a mist net, banded it and took its picture before releasing it. It’s the first photograph ever of a Santa Marta sabrewing.
“She had a little bit of luck,” Mr. Parr said. “The bird just flew into the net, completely by chance.”
. . .
The sighting shows that “the ecosystem is more intact than you might have feared,” he added.

For the full story, see:
HENRY FOUNTAIN. “OBSERVATORY; Rare Bird, Alive and Well and Living in Colombia.” The New York Times (Tues., April 13, 2010): D3.
(Note: the online version of the article has the date April 12, 2010.)

Redundancy Allowed Google to Function with Cheap and Failure-Prone Hard Drives

(p. 42) . . . as the web kept growing, Google added more machines–by the end of 1999, there were eighty machines involved in the crawl (out of a total of almost three thousand Google computers at that time)–and the likelihood that something would break increased dramatically. Especially since Google made a point of buying what its engineers referred to as “el cheapo” equipment. Instead of commercial units that carefully processed and checked information, Google would buy discounted consumer models without built-in processes to protect the integrity of data.
As a stopgap measure, the engineers had implemented a scheme where the indexing data was stored on different hard drives. If a machine went bad, everyone’s pager would start buzzing, even if it was the middle of the night, and they’d barrel into the office immediately to stop the crawl, copy the data, and change the configuration files. “This happened every few days, and it basically stopped everything and was very painful,” says Sanjay Ghemawat, one of the DEC research wizards who had joined Google.
. . .
(p. 43) The experience led to an ambitious revamp of the way the entire Google infrastructure dealt with files. “I always had wanted to build a file system, and it was pretty clear that this was something we were going to have to do,” says Ghemawat, who led the team. Though there had previously been systems that handled information distributed over multiple files, Google’s could handle bigger data loads and was more nimble at running full speed in the face of disk crashes– which it had to be because, with Google’s philosophy of buying supercheap components, failure was the norm. “The main idea was that we wanted the file system to automate dealing with failures, and to do that, the file system would keep multiple copies and it would make new copies when some copy failed,” says Ghemawat.

Source:
Levy, Steven. In the Plex: How Google Thinks, Works, and Shapes Our Lives. New York: Simon & Schuster, 2011.
(Note: ellipses added.)

Jeb Bush Reads Clayton Christensen on His Kindle

BushJebCaricature2013-08-12.jpg

Jeb Bush. Source of caricature: online version of the WSJ article quoted and cited below.

Clayton Christensen is a kindred spirit: he cares about making the world a better place through innovation in free markets. He research is almost always thought-provoking, and sometimes highly illuminating. So it speaks well of Jeb Bush that he has the good judgement to be reading one of Christensen’s books on education.

(p. A11) Currently [Bush is] reading “Disrupting Class: How Disruptive Innovation Will Change the Way the World Learns” — on his Kindle electronic reader.

For the full interview, see:
FRED BARNES. “THE WEEKEND INTERVIEW with JEB BUSH; Republicans Must Be a National Party Florida’s former governor on immigration, school choice, and the GOP’s limited-government foundation.” The Wall Street Journal (Sat., February 14, 2009): A11.
(Note: words in brackets added.)

The Christensen book mentioned on education, is:
Christensen, Clayton M., Curtis W. Johnson, and Michael B. Horn. Disrupting Class: How Disruptive Innovation Will Change the Way the World Learns. New York: NY: McGraw-Hill, 2008.
(Note: a revised edition of the book appeared in 2011.)

“Inflexible Labor Laws” Lead Indian Firms “to Substitute Machines for Unskilled Labor”

(p. A19) . . . , India is failing to make full use of the estimated one million low-skilled workers who enter the job market every month.
Manufacturing requires transparent rules and reliable infrastructure. India is deficient in both. High-profile scandals over the allocation of mobile broadband spectrum, coal and land have undermined confidence in the government. If land cannot be easily acquired and coal supplies easily guaranteed, the private sector will shy away from investing in the power grid. Irregular electricity holds back investments in factories.
India’s panoply of regulations, including inflexible labor laws, discourages companies from expanding. As they grow, large Indian businesses prefer to substitute machines for unskilled labor.

For the full commentary, see:
ARVIND SUBRAMANIAN. “Why India’s Economy Is Stumbling.” The New York Times (Sat., August 31, 2013): A19.
(Note: ellipsis added.)
(Note: the online version of the commentary has the date August 30, 2013.)

Science Discovers New Six-Foot Lizard

MonitorLizardLuzonIsland2013-08-10.jpg “A 6-foot monitor lizard discovered on Luzon Island in the Philippines.” Source of caption and photo: online version of the NYT article quoted and cited below.

(p. D3) The number of lizard species in the world — by most counts, around 4,000 — has just increased by one, with the announcement of a new species found on Luzon island in the Philippines.

But this is not a reptile you’d want in a home terrarium. It’s a 6-foot monitor lizard, gray with a spectacular pattern of colorful dots and other markings on its scales.
How did a species of lizard the size of a human remain undetected all these centuries? The answer is it didn’t. “It’s only new to science,” said Rafe M. Brown, an assistant professor at the University of Kansas and senior author of a paper describing the new species, Varanus bitatawa, in Biology Letters.

For the full story, see:
HENRY FOUNTAIN. “OBSERVATORY; A New Lizard? Well, New to Science.” The New York Times (Tues., April 13, 2010): D3.
(Note: the online version of the article has the date April 12, 2010.)

To Page and Brin Search Speed “Was Like Motherhood, and Scale Was Apple Pie”

(p. 37) The average search at that time, Hölzle recalls, took three and a half seconds. Considering that speed was one of the core values of Page and Brin– it was like motherhood, and scale was apple pie– this was a source of distress for the founders. “Basically during the middle of the day we were maxed out,” says Hölzle. “Nothing was happening for some users, because it would just never get a page basically back. It was all about scalability, performance improvements.” Part of the problem was that Page and Brin had written the system in what Hölzle calls “university code,” a nice way of saying amateurish.

Source:
Levy, Steven. In the Plex: How Google Thinks, Works, and Shapes Our Lives. New York: Simon & Schuster, 2011.

Philosopher Herbert Spencer Defended Capitalism in America

BanquetAtDelmonicosBK2013-08-12.jpg

Source of book image: online version of the WSJ review quoted and cited below.

Spencer was sometimes a much better philosopher than the modern caricature portrays, a caricature exemplified by the review quoted below and, perhaps, by the book reviewed. I would like to look at this book sometime, because there may be some interesting history in it—though I am not optimistic about the book’s economic assumptions, or its account of Spencer’s philosophy.

(p. A11) Herbert Spencer, the 19th-century British philosopher, is remembered today as the forbidding — almost forbidden — father of “Social Darwinism,” a school of thought declaring that the fittest prosper in a free marketplace and the human race is gradually improved because only the strong survive. In Barry Werth’s satisfying “Banquet at Delmonico’s,” Spencer is also a querulous 62-year-old celibate whose 1882 American tour culminates in a feast to which are invited the “mostly Republican men of science, religion, business, and government” who shared and spread the Spencerian creed.

Applying Darwinian insights about evolution to political, economic and social life — though he did not himself use the term “Social Darwinism” — Spencer concluded that vigorous competition and unfettered capitalism conduced to the betterment of society. He predicted that the American, raised in liberty, would evolve into “a finer type of man than has hitherto existed,” dazzling the world with “the highest form of government” and “a civilization grander than any the world has known.”
. . .
The public clamor over the visit of a dyspeptic foreign philosopher to these shores was partly due to the indefatigable promotion of Edward Livingston Youmans, Spencer’s chief American proselytizer, who called his beau ideal the most original thinker in the history of mankind. Youmans is among the several critics and apostles of Spencer and Darwin whose profiles Mr. Werth skillfully interweaves in this Gilded Age tapestry.

For the full review, see:
BILL KAUFFMAN. “BOOKSHELF; Darwin in the New World; When the father of Social Darwinism came to America, the place where the fittest were supposed to thrive.” The Wall Street Journal (Fri., January 9, 2009): A11.
(Note: ellipsis added; italics in original.)

The book under review is:
Werth, Barry. Banquet at Delmonico’s: Great Minds, the Gilded Age, and the Triumph of Evolution in America. New York: Random House, 2009.

For a more balanced account of Spencer, see the first review below for the mostly good in Spencer, and the second review below for the mostly bad in Spencer:
Diamond, Arthur M., Jr. “Spencer’s Tragedy: Review of Herbert Spencer’s The Principles of Ethics.” Modern Age 24, no. 4 (Fall 1980): 419-421.
Diamond, Arthur M., Jr. “The State of Spencer: Review of Herbert Spencer’s The Man Versus the State.” Modern Age 28, nos. 2-3 (Spring/Summer 1984): 286-288.

Salt May NOT Be Bad for Our Health, After All

(p. A7) An influential government panel said there is no evidence that very low-salt diets prevent heart disease, calling into question current national dietary guidelines on sodium intake.
The Institute of Medicine, in a report released Tuesday [May 14, 2013], said there isn’t sufficient evidence that cutting sodium intake below 2,300 milligrams per day cuts the risk of heart disease. The group of medical experts also said there is no evidence that people who already have heart disease or diabetes should cut their sodium intake even lower.

For the full story, see:
JENNIFER CORBETT DOOREN. “U.S. NEWS; Low-Salt Benefits Questioned.” The Wall Street Journal (Weds., May 15, 2013): A7.
(Note: bracketed date added.)
(Note: the online version of the story has the date May 14, 2013.)

For a summary of the Institute of Medicine report, see:
Institute of Medicine of the National Academies. “Sodium Intake in Populations: Assessment of Evidence.” Report Brief. Washington, D.C.: National Academy of Sciences, 2013.