Category Archives: Business

My Uber Experience

Well, so much for my first (and possibly last) try.

I had a 6AM flight out of Reagan, staying in a hotel in East Falls Church, a ten-minute walk from the Metro. Unfortunately, I learned last night that the Metro doesn’t start running until 5AM, and the first train wouldn’t get to the East Falls Church Station until 5:10, upon which I’d have have at least a 27-minute trip to the airport, not counting time to switch trains in Rosslyn. In other words, I had to find a different way to the airport.

I’ve never used Uber, but it’s, shall we say, been in the news, and a Washingtonian friend recommended it in a DM on Twitter. I signed up last night, downloaded the app, and opened it up to check it out. It gave me a search window, into which I typed the hotel address. It came up on the map, but with no indication what to do next. I tapped on the screen and instead of asking me for a destination, it jumped to a different departure address a mile or so away. I dragged the “pin” back to where it needed to be, and it finally opened a new window to destination. I put in “DCA” and it came up with a reasonable fare and time, and said that there was a car two minutes away, and did I want to go? Since my flight was several hours away, I ignored it, but left the app open in the hope it would still be ready to go in the morning.

OK, come time to leave, I open the app, and it insists on starting from scratch. OK, I’ve got a few minutes, I can do this again. But this time, the map comes up in a smaller scale, not showing me the neighborhood, but most of the district and north Virginia suburbs. I try to focus it with my fingers, and all it does is move the departure point to some random address, without a scale change. Finding the right address with the “pin” is like trying to locate and pick up a single atom with salad tongs. I type in the address, at which point it goes to the right place, but once again without asking me where I want to go. If I touch anything on the screen, it once again changes the address to some random location in northern Virginia. This goes on for fifteen minutes, amidst much cursing (I’ve moved outside of the hotel lobby to spare the ears of anyone else up at that ungodly hour). Finally, panicked, I give up, and ask the desk attendant to call me a cab, which he does.

The cab arrives about quarter after five and gets me to the airport at 5:30. I’d checked in by phone when I got up, but my mobile boarding pass wasn’t TSA pre-check (as I usually get, though I’ve never actually signed up for it). This turned out to be the fatal blow, because the regular line was very slow. I got to the gate just in time to see the plane being pushed away.

Bottom line, had to rebook. Good news: they put me on a non-stop to LA that arrived about the same time as I would have if I’d made my original flight through Chicago. Bad news: I had to pay $75 out of pocket for the changes (I could have stood by for free, but I would have had crummy seats, and not necessarily gotten on the flight at all).

I said I had used Uber “possibly” for the last time. It’s possible that my problems were a result of my flaky phone, so after I’ve replaced it, I may give them another chance. But not before.

The Fatal Conceit

of Jonathan Gruber:

The Times reassuringly described Gruber as “the numbers wizard at MIT,” who has “spent decades modeling the intricacies of the health care ecosystem.” Gruber has “brought a level of science to an issue that would otherwise be just opinion.”

I might note that the Soviets used the term “science” for their own “scientific” planning commission. I drew little comfort from Professor Gruber’s scientific-planning credentials, especially when I learned “he’s the only person you can go to for that kind of thing.” Gruber, aided by his brilliant MIT graduate student assistants, is a one-man Gosplan, the name given to the Soviet Union’s state planning committee. That is not much of a recommendation. Science is better served by competing ideas not by a one-person monopoly.

Both Gruber and the USSR’s Gosplan planners believe their planning is “scientific” and executed by “the best of the best.” Both types of planning commissars suffer from F. A. Hayek’s “fatal conceit”—the belief that we can plan incredibly complex economic systems. As Hayek pointed out in his writings, such “scientific” plans inevitably fall apart under the weight of unintended consequences.

Actually, I’m not sure they’re all unintended.

Putin’s Kremlin And Oil

He’s losing the price war:

Well before Crimea, European nations resented Russian natural gas price gouging. The Kremlin used pricing threats to bully Ukraine, Poland and even Germany into political concessions.

After the Crimean travesty, the Baltic States and Poland demanded alternative gas supplies. The Obama administration quietly agreed to permit U.S. gas exports and the development of a liquefied natural gas exporting facility.

American LNG supplies might reach Poland in three years. That’s good news. Here’s the bad news: Putin has three years to exploit E.U. divisions and politically split NATO.

Or he had three years. Enter Saudi Arabia. America’s “fracking” success challenges Saudi global oil dominance. What’s the price point where fracking becomes unprofitable? Estimates run from $55 to $70 a barrel for oil. The Saudi oil ministry intends to find out and says it will not cut production. The market will determine price.

Though Russia can strangle Ukraine by denying gas supplies, the stunted and corrupt Russian economy survives on energy sales. Without its cash crop of oil, and gas, Russia is a big cabbage farm with a second-rate armaments industry. Cabbage, tanks, ICBMS and nuclear weapons mean Russian is not quite a petro-emirate writ large, but the cruel analogy has instructive utility.

If Russian nukes mean open war with Moscow is too risky, then attacking the Kremlin’s cash generator is war by appropriate means.

The question is, how long will the Saudis be able and/or willing to try to break the US energy industry? Regardless, OPEC is dead. Which is bad news not just for Russia, but Venezuela and Iran. It’s a shame that the administration has been doing almost everything it can to hamstring us.

My Cell Phone

I have a Motorola Droid Global 2, almost four years old. I haven’t seen any reason to upgrade it, but it’s starting to flake out on me (sometimes won’t boot).

So I guess it’s off to the Verizon store to see if they have any new models with keyboards (they’ll take my keyboard away from my cold dead fingers).

[Update Tuesday morning, with much-needed rain in LA]

So I went to the store, and it turns out that no one puts keyboards on smart phones any more. The only way to get one is to buy a “basic” phone (that is, all it does is voice and text). So my options are to give up the keyboard with a new phone, or…go buy a replacement on Ebay, where they’re going for about $25. Or I could look for a more recent (but not current) phone with a keyboard, so I could at least get some improvement.

Seattle’s $15 Minimum Wage Law

…is having exactly the effect that anyone who understands economics or how a business works would predict:

In Seattle, 42 percent of surveyed employers were “very likely” to reduce the number of employees per shift or overall staffing levels as a direct consequence of the law. Similarly, 44 percent reported that they were “very likely” to scale back on employees’ hours to help offset the increased cost of the law. That’s particularly bad news for the Seattle metro area, where the unemployment rate for 16- to 19-year-olds is already more than 30 percent — due in part to Washington state’s already-high minimum wage.

Perhaps most concerning about the $15 proposal is that some businesses anticipated going beyond an increase in prices or a reduction in staffing levels. More than 43 percent of respondents said it was “very likely” they would limit future expansion in Seattle in response to the law. One in seven respondents is even “very likely” to close a current location in the city limits.

You don’t say.