Category Archives: economics

A clever range extender for EVs

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Electric vehicles work well for short trips between places where you can charge with cheap electricity. Typically that’s trips from home to a nearby place of work, and to local shopping malls and theaters with low-cost charge spots. If you drive this way, you’ll pay about 3.2¢/mile for home electricity, instead of about 17¢/mile for gasoline transport (e.g. 24 mpg with $4/gallon gas). Using an EV also saves on oil changes, transmission, air filters, belts, etc., and a lot of general complexity. Battery prices are still high, but much lower than they were even a few years ago.

The 10 kW Aquarius Engine is remarkably small and light, about 10kg (22 lb).

EVs are less attractive for long trips, especially in the cold. Your battery must provide the heat, as there is no waste heat from the engine. Expect to have to recharge every 200 -250 miles, or perhaps twice in the middle of a long trip. Each charge will take a half-hour or more, and fast charging on the road isn’t low cost. Expect to pay about 15¢/mile, nearly as much as for gasoline. See my full comparison of the economics here.

One obvious solution is to have two cars: a short commuter and an EV. Another solution is a hybrid. The Toyota’s Prius and the Chevy Volt were cutting edge in their day, but people don’t seem to want them. These older hybrids provided quick fill-ups, essentially infinite range, and about double the gas milage of a standard automobile, 30-45 mpg. The problem is you have even more complexity and maintenance than with even a gas automobile.

Aquarius liner engine as a range extender

I recently saw a small, simple, super-efficient (they say) gas engine called Aquarius. It provides 9.5 kW electric output and weighs only 22 lbs (10 kg), see picture above. A Tesla S uses about 16 kW during highway driving, implying that this engine will more than double the highway range of a Tesla S at minimal extra weight and complexity. It also removes the fear of being stranded on the highway, far from the nearest charge-station.

The energy efficiency is 34%, far higher than that for normal automobile engines, but fairly typical of floating piston linear engines. The high efficiency of these engines is partly due to the lack of tapper valves, risers, crank-shaft, and partially due to the fact that the engine always runs at its maximum power. This is very close to the maximum efficiency point. Most car engines are over sized (200 hp or so) and thus must run at a small fraction of their maximum power. This hurts the efficiency, as I discuss here. The Aquarius Engine makes electricity by the back-forth motion of its aligner rods moving past magnetic stator coils. Slots in the piston rod and in the side of the cylinder operate as sliding valves, like in a steam engine. First versions of the Aquarius Engine ran on hydrogen, but the inventors claim it can also run on gasoline, and presumably hythane, my favorite fuel, a mix of hydrogen and natural gas.

At the moment shown, slit valves in the piston rod are open to both cylinder chambers. The explosion at left will vent to the exhaust at left and out the manifold at top. The sliding valve is currently sending fresh air into the cylinder at right, but will soon send it into both cylinders to help scavenge exhaust and provide for the next cycle; engine speed and impression are determined by the mass of the piston.

A video is available to show the basic operation (see it here). The drawing at right is from that video, modified by me. Air is drawn into the engine through a sliding valve at the middle of the cylinder. The valve opens and closes depending on where the piston is. At the instant shown in the picture, the valve is open to the right. Air enters that chambered is likely exiting through slits in the hollow piston rod. It leaves through the manifold t the top, pushing exhaust along with it. When the piston will have moved enough, both the slits and the intake will close. The continued piston motion (inertially driven) will compress the air for firing. After firing, the piston will move left, generating electricity, and eventually opening the slit-valve in the piston to allow the exhaust to leave. When it moves a little further the intake will open.

The use of side-opening exhaust valves is a novelty of the “Skinner UniFlow” double-acting, piston steam engines, seen on the Badger steamship on Lake Michigan. It’s one of my favorite steam engine designs. Normally you want a piston that is much thicker than the one in the drawing. This option is mentioned in the patent, but not shown in the drawing.

Aquarius is not the only company with a free-piston range extender. Toyota built a free-piston extender of similar power and weight; it was more complex but got higher efficiency. It has variable compression though, and looks like a polluter. (the same problems might affect the Aquarius) They dropped the project in 2014. Deutsch Aerospace has a two headed version that’s more powerful, but long and heavier: 56kg and 35kW. Lotus has a crank-piston engine, also 56kg, 35kW; it’s more complex and may have service life issues, but it’s compact and relatively light, and it probably won’t pollute. Finally, Mazda is thinking of bringing back its Wankel rotary engine as a range extender. Any of these might win in the marketplace, but I like the Aquarius engine for its combination of light weight, compact size, and simplicity.

This is not to say that Aquarius motors is a good investment. Aquarius automotive went public on the Toronto exchange in December, 2021, AQUA.TA. The company has no profits to date, and the only chance of them making a profit resides in them getting a good licensing deal from an established company. The major car companies have shown no interest so far, though they clearly need something like this. Their plug in hybrids currently use standard-size, 4 stroke engines: 110-150 kW, 100-150 kg, complex, and low efficiency. Consumers have not been impressed. Tesla autos could benefit from this engine, but Musk shows no interest either.

Robert Buxbaum May 5, 2022. I have no stock in Aquarius motors, nor have I received any benefits from them, or any auto company.

A Nuclear-blast resistant paint: Starlite and co.

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About 20 years ago, an itinerate inventor named Maurice Ward demonstrated a super insulating paint that he claimed would protect most anything from intense heat. He called it Starlite, and at first no one believed the claims. Then he demonstrated it on TV, see below, by painting a paper-thin layer on a raw egg. He then blasting the egg with a blow torch for a minute till the outside glowed yellow-red. He then lifted the egg with his hand; it was barely warm! And then, on TV, he broke the shell to show that the insides were totally raw, not only uncooked but completely unchanged, a completely raw egg. The documentary below shows the demonstration and describes what happened next (as of 10 years ago) including an even more impressive series of tests.

Intrigued, but skeptical, researchers at the US White Sands National Laboratory, our nuclear bomb test lab, asked for samples. Ward provided pieces of wood painted as before with a “paper thin” layer of Starlite. They subjected these to burning with an oxyacetylene torch, and to a simulated nuclear bomb blast. The nuclear fireball radiation was simulated by an intense laser at the site. Amazing as it sounds, the paint and the wood beneath emerging barely scorched. The painted wood was not damaged by the laser, nor by an oxyacetylene torch that could burn through 8 inches of steel in seconds.

The famous egg, blow torch experiment.

The inventor wouldn’t say what the paint was made of, or what mechanism allowed it to do this, but clearly it had military and civilian uses. It seems it would have prevented the twin towers from collapsing, or would have greatly extended the time they stayed standing. Similarly, it would protect almost anything from a flame-thrower.

As for the ingredients, Ward said it was non-toxic, and that it contained mostly organic materials, plus borax and some silica or ceramic. According to his daughter, it was “edible”; they’d fed it to dogs and horses without adverse effects.

Starlite coasted wood. The simulated nuclear blast made the char mark at left.

The White sands engineers speculate that the paint worked by combination of ablation and intumescence, controlled swelling. The surface, they surmised, formed a foam of char, pure carbon, that swelled to make tiny chambers. If these chambers are small enough, ≤10 nm or so, the mean free path of gas molecules will be severely reduced, reducing the potential for heat transfer. Even more insulting would be if the foam chambers were about 1 nm. Such chambers will be, essentially air free, and thus very insulating. For a more technical view of how molecule motion affects heat transfer rates, see my essay, here.

Sorry to say we don’t know how big the char chambers are, or if this is how the material works. Ward retained the samples and the formula, and didn’t allow close examination. Clearly, if it works by a char, the char layer is very thin, a few microns at most.

Because Maurice Ward never sold the formula or any of the paint in his lifetime, he made no money on the product. He kept closed muted about it, as he knew that, as soon as he patented, or sold, or let anyone know what was in the paint, there would be copycats, and patent violations, and leaks of any secret formula. Even in the US, many people and companies ignore patent rights, daring you to challenge them in court. And it’s worse in foreign countries where the government actively encourages violation. There are also legal ways around a patent: A copycat inventor looks for ways to get the same behavior from materials that are not covered in the patent. Ward could not get around these issues, so he never patented the formula or sold the rights. He revealed the formula only to some close family members, but that was it till May, 2020, when a US company, Thermashield, LLC, bought Ward’s lab equipment and notes. They now claim to make the original Starlite. Maybe they do. The product doesn’t seem quite as good. I’ve yet to see an item scorched as little as the sample above.

Many companies today are now selling versions of Starlite. The formulas are widely different, but all the paints are intumescent, and all the formulas are based on materials Ward would have had on hand, and on the recollections of the TV people and those at White Sands. I’ve bought one of these copycat products, not Thermashield, and tested it. It’s not half bad: thicker in consistency than the original, or as resistive.

There are home-made products too, with formulas on the internet and on YouTube. They are applied more like a spackle or a clay. Still, these products insulate remarkably well: a lot better than any normal insulator I’d seen.

If you’d like to try this as a science fair project, among the formulas you can try; a mix of glue, baking soda, borax, and sugar, with some water. Some versions use sodium silicate too. The Thermoshield folks say that this isn’t the formula, that there is no PVA glue or baking soda in their product. Still it works.

Robert Buxbaum, March 13, 2022. Despite my complaints about the US patent system, it’s far better than in any other country I’ve explored. In most countries, patents are granted only as an income stream for the government, and inventors are considered villains: folks who withhold the fruits of their brains for unearned money. Horrible.

Professors being replaced by videos, entertainers.

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In a previous post, I presented data to the effect that, while college is a benefit to those who major in moneymaking fields, STEM, English, and philosophy, it is a money loser for those in film, history, language, political science, etc.

Most students don’t mind if the information itself can be forgotten on graduation day, but the better students do mind. Professors in these fields motivate their better students by luring them with the chance to become professors. A vision of stylish offices, and deep satisfaction is dangled before the student, while tuition and a total commitment is asked in return. The chance of an actual job is virtually nil. This is the background to murder in popular, dark-academia stories like “The Secret History” by Danna Tartt, and a Hitchcock movie, “rope” (see my essay here).

Things are getting more depressing for those aspiring to become professors. Now, aspiring professors have to compete with taped programs made by other professors, some well known, some already dead. And some professors — those without tenure — have to compete with their own taped programs. Tapes of old lectures are available free to the university. It’s a financial boon for the university to be able to collect tuition without having to pay a living professor who gives essentially the same lecture year after year. If the professor is untenured, the university can fire him or her, and use the tape from last year, or they can purchase a series of lectures by a Nobel laureate. It’s a great deal for the majority of students and for the university, but deadly to the aspiring few.

Robert Buxbaum, December 3, 2021

The Pope’s crusade against agricultural greed.

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The Pope goes to long lengths to show how much he supports the poor, oppressed people of the world; he washes the feet of Muslim prisoners, he campaigns against Israeli occupation of Palestine, and scolds America, but not China they must reduce carbon output. Usually he picks the wrong villains, in my opinion. His latest effort is against the producers and distributors of food, the agribusinessmen. If only they would charge less, everyone would have more, or so he says.

On World Food Day, Pope Francis placed the blame on capitalism in the food market. Some examples of his speech and tweets follow: “The fight against hunger demands we overcome the cold logic of the market, which is greedily focused on mere economic profit and the reduction of food to a commodity, and strengthening the logic of solidarity.”

In the Pope’s view the cold logic of the market is the source of hunger. I think it is the source of his food and mine, and for the most part everyone’s.

“Thinking about these situations, in God’s name I want to ask The big food corporations to stop imposing monopolistic production and distribution structures that inflate prices and end up withholding bread from the hungry.”

The Pope blames high food prices on producers and distributors who are, in his words, “withholding bread from the hungry.”  Of course, all the bread the Pope eats comes from these producers and distributors. It is the same for the bread of all the Archbishops and virtually all the priests; it all comes from these agribusinessmen, who charge more than he would like. They are also the source of the church’s wine, and meat, and vegetables. Folks who do not grow food themselves, and who do not transport it, or process charge those who do these things as greedy, withholding monsters. That any of them have food is only because of these monsters; without them, the poor of the world would starve to death. If he thinks he can do better, he should try, perhaps giving up his time washing feet.

The Pope believes that big food corporations are causing starvation and withholding food from the hungry.

Free market pricing is how farmers know what to produce, where, and who to sell too. It’s also how customers know what to buy and keep, and what to throw away, or save for a special occasion. Without these clues, farmers would grow things people don’t want, and much of the good stuff would go to waste.

High prices for some foods is the indicator that causes agribusiness individuals (the so-called greedy) to see an unmet need. They then employ people in the manufacture and distribution of these foods reducing the employment in the production of other foods where the margins are smaller. These food-price signals are also the fuel for technological innovation — the innovation that has made food abundant and relatively affordable, especially in the capitalist west.

The west has lead in food innovation precisely because of the motivation of food profit. Monsanto invents and distributes seeds for fast-growing grains precisely because there is profit in it, and it is these seeds that reduces the price to the consumer. Colonel Sanders invented the high-pressure fryer because it allowed him to fry more chicken faster. The result is profits for KFC and lower prices for the consumers. It is only because of the so-called corporate greed that western consumers have so many options at such low prices that obesity is a big problem, and starvation is virtually unknown. In the US you can buy $1 hamburgers when the minimum wage is about $10/hour. That is, you can buy a hamburger with the income from 6 minutes of work. You can not do that in any country ruled by enlightened leaders where profit is banned.

Charity proliferates in a free market because many of the people have excess give it willingly targeted to help. They give to the Church, or to the poor directly, or in ways that help the poor indirectly. Such giving makes a bond between giver and recipient and cheers both. Almost immediately, the recipient of the charity enters the capitalist market to trade excess and unneeded items for items that are needed. Perhaps the recipient got too many cans of food, but no shoes, or no can-opener. The market allows a rectification at a fair exchange.

And as for the mandate to lecture world leaders on the evils of capitalism, there is none. Moses, in the desert offers to buy food and water at the market prices. On a similar note Jesus pointed out that financial authority rested with the Emperor, not with the religious leaders. In this vein, Pope Galasius I wrote to Emperor Anastasius in AD 494 that there were two systems: the sacred authority of the priests, and the royal power. In the west, the royal power over food is the marketplace, and it has shown itself to be smarter and more giving than the smartest, most charitable religious leaders.

Robert Buxbaum, November 29, 2021. Having complained about the pope I would like to say that Cardinal Tim Dolan, Archbishop of New York does a wonderful job. His main efforts are education and helping immigrants: needed work. And, as best I know, he has never criticized any productive business for charging too much.

Lithium Battery prices fell 98%, solar prices fell more.

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Most people have heard of Moor’s law, the law that computing power keeps doubling every two years, with the price remaining the same, but the same law is observed with other tech products, notably lithium ion batteries and solar cells.

By my calculation the price of lithium ion batteries has fallen 98% so far, at a rate of 12.5% per year. That’s a remarkable drop given that the chemistry has hardly changed. The size has dropped too; it’s nowhere near as much as the price but enough to make batteries a reasonable choice for powering automobiles, scooters, and power tools. Batteries still lack the range and fast charging for some applications, but even there the low cost means that hybrids become attractive, combining for cars and truck, the long range of gas with a reduced cost per mile. The rate of decrease suggests that prices will be below $100 per kWh by 2025. That’s an $8000 cost for a battery powered car with 300 miles of range.

As for where the electricity comes from, the price of electricity is going up and becoming less reliable. In part that’s because of regulations on coal and nuclear power and the inherent problems with large-scale wind and solar. But decentralized solar may turn out to be a winner. Solar prices have fallen 99.6% since 1976. Even though the rate of decrease is slower, about an 8% drop in price per year, there is a sense that solar power has entered the mainstream. Combined with cheap, home batteries, it may soon make sense to power your home and car by solar cells on the house; there isn’t enough area on a car to quite power it.

Robert Buxbaum, September 27, 2021

Automobile power 2021: Batteries vs gasoline and hydrogen

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It’s been a while since I did an assessment of hydrogen and batteries for automobile propulsion, and while some basics have not changed, the price and durability of batteries has improved, the price of gasoline has doubled, and the first commercial fuel cell cars have appeared in the USA. The net result (see details below) is that I find the cost of ownership for a gasoline and a battery car is now about the same, depending on usage and location, and that hydrogen, while still more pricey, is close to being a practical option.

EV Chargers. They look so much cooler than gasoline hoses, and the price per mile is about the same.

Lithium battery costs are now about $150/kwh. That’s $10,000 for a 70 kWh battery. That’s about 1/5 the price of a Tesla Model 3. The reliability that Tesla claims is 200,000 miles or more, but that’s with slow charging. For mostly fast charging, Car and Driver’s expectation is 120,000 miles. That’s just about the average life-span of a car these days.

The cost of the battery and possible replacement adds to the cost of the vehicle, but electricity is far cheaper than gasoline, per mile. The price of gasoline has doubled to, currently, $3.50 per gallon. A typical car will get about 24 mpg, and that means a current operation cost of 14.6¢/mile. That’s about $1,460/year for someone who drives 10,000 miles per year. I’ll add about $150 for oil and filter changes, and figure that operating a gas-powered car engine costs about $1,610 per year.

If you charge at home, your electricity costs, on average, 14¢/kWh. This is a bargain compared to gasoline since electricity is made from coal and nuclear, mostly, and is subsidized while gasoline is taxed. At level 2 charging stations, where most people charge, electricity costs about 50¢/kWh. This is three times the cost of home electricity, but it still translates to only about $32 for a fill-up that take 3 hours. According to “Inside EVs”, in moderate temperatures, a Tesla Model 3 uses 14.59 kWh/100 km with range-efficient driving. This translates to 11.7¢ per mile, or $1170/year, assuming 10,000 miles of moderate temperature driving. If you live in moderate climates: Californian, Texas or Florida, an electric car is cheaper to operate than a gasoline car. In cold weather gasoline power still makes sense since a battery-electric car uses battery power for heat, while a gasoline powered car uses waste heat from the engine.

Battery cars are still somewhat of more expensive than the equivalent gasoline car, but not that much. In a sense you can add $400/year for the extra cost of the Tesla above, but that just raises the effective operating cost to about $1,570/year, about the same as for the gasoline car. On the other hand, many folks drive less than 50 miles per day and can charge at home each night. This saves most of the electric cost. In sum, I find that EVs have hit a tipping point, and Tesla lead the way.

Now to consider hydrogen. When most people think hydrogen, they think H2 fuel, and a PEM fuel cell car. The problem here is that hydrogen is expensive, and PEM FCs aren’t particularly efficient. Hydrogen costs about $10/kg at a typical fueling station and, with PEM, that 1 kg of hydrogen takes you only about 25 miles. The net result is that the combination hydrogen + PEM results in a driving cost of about 40¢/mile, or about three times the price of gasoline. But Toyota has proposed two better options. The fist is a PEM hybrid, the hydrogen Prius. It’s for the commuter who drives less than about 40 miles per day. It has a 10kWh battery, far cheaper than the Tesla above, but enough for the daily commute. He or she would use charge at home at night, and use hydrogen fuel only when going on longer trips. If there are few long trips, you come out way ahead.

Toyota 2021 Mirai, hydrogen powered vehicle

Toyota also claims to have a hydrogen powered Corolla or debut in 2023. This car will have a standard engine, and I would expect (hope) will drive also — preferably — on hythane, a mix of hydrogen and methane. Hythane is much cheaper per volume, and more energy dense, see my analysis. While Toyota has not said that their Corolla would run on hythane, it is supposed to have an internal combustion engine, and that suggests that hythane will work in it.

A more advanced option for Toyota or any other car/truck manufacturer would be to design to use solid oxide fuel cells, SOFCs, either with hydrogen or hythane. SOFCs are significantly more efficient than PEM, and they are capable of burning hythane, and to some extent natural gas too. Hythane is not particularly available, but it could be. Any station that currently sells natural gas could sell hythane. As for delivery to the station, natural gas lines already exist underground, and the station would just blend in hydrogen, produced at the station by electrolysis, or delivered. Hythane can also be made locally from sewer gas methane, and wind-power hydrogen. Yet another SOFC option is to start with natural gas and convert some of the natural gas to hydrogen on-board using left-over heat from the SOFC. I’ve a patent for this process.

Speaking of supply network, I should mention the brown outs we’ve been having in Detroit. Electric cars are part of the stress to the electric grid, but I believe that, with intelligent charging (and discharging) the concern is more than manageable. The driver who goes 10,000 miles per year only adds about 2,350 kWh/year of extra electric demand. This is a small fraction of the demand of a typical home, 12,154 kWh/year.It’s manageable. Then again, hythane adds no demand to the electric grid and the charge time is quicker — virtually instantaneous.

Robert Buxbaum, September 3, 2021

A useful chart, added September 20, 2021. Battery prices are likely to keep falling.

Branson’s virgin spaceplane in context.

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Virgin Galactic Unity 22, landing.

Branson’s Virgin Space Ship (VSS) Unity was cheered as a revolutionary milestone today (July 10) after taking Branson, three friends and two pilots on a three minute ride to the edge of space, an altitude of 53.5 miles or 283,000 feet. I’d like to put that achievement into contest, both with previous space planes, like the Concorde and X-15 (the 1960s space plane), and also in context with the offerings of Elon Musk’s Space-X and Bezos’s, Blue Horizon.

To start with, the VSS Unity launched from a sub-sonic mother ship, as the X-15 had before it. This saves a lot in fuel weight and safety equipment, but it makes scale up problematic. In this case, the mother-ship was named Eve. Unity launched from Eve at 46,000 feet, about 9 miles up, and at Mach 0.5; it took Eve nearly 90 minutes to get to altitude and position. It was only after separation, that Unity began a one minute, 3 G rocket burn that brought it to its top speed, Mach 3, at about 16 miles up. What followed was a 3 minute, unpowered glide to 53.5 miles and down. Everyone seems to have enjoyed the three minutes of weightlessness, and it should be remembered that there is a lot of difference between Mach 3 and orbital speed, Mach 31. Also there is a lot of difference between a sub-orbital and orbital.

Concorde SST landing in Farnborough.

By comparison, consider the Concorde SSTs that first flew in 1976. It reached about 2/3 the speed of Unity, Mach 2.1, but carried 120 commercial passengers. It took off from the ground and maintained this speed for 4500 miles, going from London to Houston in 4.5 hours. While the Concorde only reached an altitude of 60,000 feet, it is far more impressive going at Mach 2.1 for 4.5 hours than going at Mach 3 for three minutes. And there is a lot of difference between 120 passengers and 4. There is also the advantage of taking off from the ground. A three minute ride in a space plane should not require a 90 minute ascent on a mother ship.

X-15 landing, 1962.

Next consider the X-15 rocket plane of the 1960s. This was a test platform devoted to engine and maneuverability tests; it turns out that maneuverability is very difficult. The X-15 hit a maximum altitude of 354,200 ft, 67 miles, and a maximum speed of Mach 6.72, or 4520 mph. That’s significantly higher than Branson’s VSS, and double the maximum speed. As an aside, the X-15 project involved the development of a new nickel alloy that I use today, Inconel X-750. I use this as a support for my hydrogen membranes. If any new materials were developed for VSS, none were mentioned.

The Air Force’s X-37B Orbital Test Vehicle at Kennedy Space Center, May 7, 2017.

Continuing with the history of NASA’s X-program, we move to the X-41, a air-breathing scramjet of the 1980s and 90s. It reached 95,000 feet, and a maximum speed of Mach 9.64. That’s about three times as fast as Virgin’s VSS. The current X-plane is called X-37B, it is a rocket-plane like the X-15 and VSS, but faster and maneuverable at high speed and altitude. It’s the heart of Trump’s new, US Space force. In several tests over the past 5 years, it has hit orbital speed, 17,426 mph, Mach 31, and orbital altitudes, about 100 miles, after being launched by a Atlas V or a Falcon 9 booster. The details are classified. Apparently it has maneuverability. While the X-37B is unmanned, a larger, manned version, is being built, the X-37C. It is supposed to carry as many as six.

Reaching orbital speed or Mach 31 implies roughly 100 times as much kinetic energy per mass as reaching the Mach 3.1 of Virgin’s VSS. In this sense, the space shuttle, and the current X-plane are 100 times more impressive than Virgin’s VSS. There is also a lot to be said for maneuverability and for a longer flight duration– more than a few minutes. Not that I require Branson to beat NASA’s current offerings, but I anyone claiming cutting edge genius and visionary status should at least beat NASA’s offerings of the 1960s, and the Concorde planes of 1976.

Bezos’s Blue Origin, and the New Shepard launcher.

And that bring’s us to the current batch of non-governmental, space cadets. Elon Musk stands out to me as a head above the rest, at least. Eight years ago, his Grasshopper rocket premiered the first practical, example of vertical take off and landing booster. Today, his Falcon 9 boosters send packages into earth orbit, and beyond, launching Israel’s moon project, as one example. That implies speeds of Mach 31 and higher, at least at the payload. It’s impressive, even compared to X-37, very impressive.

Bezos’ offering, the Blue Origin Shepherd, seems to me like a poor imitation of the SpaceX Falcon. Like Falcon, it’s a reusable, vertical takeoff and landing platform, that launches directly from earth, and like Falcon it carries a usable payload, but it only reaches speeds of Mach 3 and altitudes about 65 miles. Besides, the capsule lands by way of parachutes, not using wings like the space shuttle, or the X-37B, and there is no reusable booster like Falcon. Blue Origin started carrying payloads only in 2019, five yers after SpaceX. There is nothing here that’s cutting edge, IMHO, and I don’t imagine it will be cheaper either.

Branson has something that the other rocket men do not have, quite: a compelling look: personal marketing, a personal story, and a political slant that the press loves and I find hypocritical and hokey. The press, and our politicians, managed to present this flight as more than an energy wasting, joy ride for rich folks. Instead, this is accepted as Branson’s personal fight against climate change. Presented this way, it should qualify as a tax-dodge. I don’t see it getting folks to stop polluting and commit to small cars, but the press is impressed, or claims to be. The powers have committed themselves to this type of Tartuffe, and the press goes along. You’d think that, before giving Branson public adoration for his technology or environmentalism, he should have cutting technology and have been required to save energy, or pollute less. At least beat the specs of the X-15. Just my opinion.

Robert Buxbaum, July 12, 2021

Are fewer people better?

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Part of the push to help the oppressed and save the plant is push to decrease the birthrate both in the developed and undeveloped world. Putting of childbirth is supposed to lead to a more meaningful life, while academic excellence is considered meaningful. Child-raising is considered male oppression of women, while writing mediocre poetry is, we’re told elevating, it’s finding your voice. It’s the new mood, at least in the developed world.

In the undeveloped world, political activism and wealth accumulation are presented as more meaningful, and fewer children is presented as a responsible route to wealth and happiness (see Indian advertisement below). My sense is otherwise, that children bring happiness and long term wealth. My sense is that the best two ways to change the world for the better is to work on yourself and to raise good children. And these Idas are connected; children are little mirrors, sometimes showing hidden flaws, sometimes revealing enthusiasm and greatnesses.

This month’s cover article of National Geographic includes economic justifications for fewer children and ecological justifications. Apparently we’re making life difficult for the polar bears. The assumption is that the bears like it cold, and their opinion is more important than that of animals that like it warm, like most humans.

There is also an assumption that there will be more jobs and better food if we have fewer children, or that people will be happier. Who are the “we” who are better off. I personally would not trade a billion randomly selected lives to lower the earth’s temperature 1 degree, or for the supposed happiness benefit of 1 million empty-nest households.

Robert Buxbaum, April 18, 2021. I like people more than polar bears, sue me.

A high minimum wage killed Detroit, perhaps Seattle and NYC too.

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In July, eitght years ago, Detroit filed for bankruptcy protection. The US was well into an economic expansion, but the expansion had largely bypassed Detroit. The Detroit area unemployment rate was 9.7%, and the Detroit city rate was 17%, among the highest in the nation. Tax income was not sufficient to pay retirement or current employees. The city was riven by corruption and crime, and attendance in school was dismal, less that 25% in some districts, about 55% as an overall average. Kids no longer saw a value in education. After bankruptcy, things started to improve dramatically.

Detroit area unemployment rate, 2005 to 2021.

The largest cause of the problem, and of the solution, in my opinion, was a high Detroit minimum wage that applied before bankruptcy and that was voided by bankruptcy. It was called a “living wage”. In 2013 it was $16/ hour and applied to any business that dealt with the city and did not offer health insurance (see more on the specifics here).The stated purpose was to insure that all workers could support a family of four in some middle-class standard, by one wage-earner working 40 hours per week. It was a view of Detroit family life and economic need that didn’t match Detroit reality. In practice most of Detroit were not 4 person, one wage-earner households. It meant that most Detroiters could not find jobs, since most companies worked in some way with the city. The only workers who could find jobs were those with special skills or political connections. The alternative was criminal business including drug sales, prostitution and burglary. The unemployment rate was 70% among Detroit’s teenagers.

The high minimum wage bought loyalty for Detroit’s political bosses; they gave out jobs for kickbacks, and some went to jail, including the mayor. Most Detroiters could not find jobs, though, and this especially hurt those looking for their first job: the job that would demonstrate that math and spelling were important; that you had to show up on time, dressed clean, and that you were not to insult the customers. High unemployment meant low tax revenue, made worse by high city employment costs for basic services: janitors, secretaries, and mail room personnel. The city was a mess.

When Detroit went bankrupt, among the first changes was to eliminate the $!6/hour living wage for employees and others doing business with the city. This helped bring the city budget into balance, and it brought in residents, businesses, and developers. By January 2020 Detroit’s unemployment rate had fallen to 6%, and Detroit metro unemployment had fallen to 4.2%, the lowest rates on record. Employment gives a motivation to stay in Detroit and to stay in school: there are jobs to be had for those who could add and spell. I covered these improvements here.

Seattle are unemployment rate 2015 to 2021. Seattle’s unemployment rate is now higher than Detroit’s.

Meanwhile, Seattle voted to raise their minimum wage to $15, with the change law taking effect in stages. The law fully came into effect three months ago, in January, 2021. New York voted for similar changes more recently. It is hard to be sure of the effect of the high minimum wage but already it seems to have hit employment. By the latest data, Seattle’s unemployment rate has risen to 6.9%. That’s higher than in Detroit, a real reversal. While unemployment in New York City has yet to rise much, they have seen a drop in rent rates while Detroit has seen a rise. New York’s are also moving to be more out of balance, something that leads to corruption and bankruptcy. We’ll see how this works out.

Robert Buxbaum, March 25, 2021. Among my first blog posts were complaints about Detroit’s high “living wage”, see here for example. As Puerto Rico slid into bankruptcy, I complained about the same thing.

Billionaire Democrats and union Republicans

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In the last presidential election, the largest billionaires in the US were vocal Democrats, and two billionaires, Yang and Bloomberg were candidates. Bloomberg had been an anticrime Republican when he ran for mayor but in 2020 he spent $!B of his own money on anti Republican ads, and paid the debts of thousands of Florida felons who he thought would vote his way. It’s a strange new world.

Other vocal Democrats include: Jeff Bezios, majority owner of Amazon and The Washington Post, Mark Zuckerberg, Facebook, Bill Gates, founder and largest owner of Microsoft (just today blasting the Republicans over global warming — Is that logical — is cold better?), and Warren Buffett who likes to note that he pays a lower tax rate than his secretary does (IMHO that’s because he games the tax system and pays no social security tax). Meanwhile union workers and white middle class folks were mostly Republicans in 2020.

Union leadership are still Democrats, but the last few elections saw union workers voting R. These were called “The basket of deplorables, unredeemables” by candidate Clinton. R support among black people is less than 50%, but growing too. it’s quite a lot higher than two decades ago. Many showed up at MAGA rallies, you’ll see plenty in videos at “the insurrection”. The only person shot and killed at the insurrection was a white woman, unarmed, shot in the face by Capital police — no charges filed, but the liberal press, who usually hate such things, was silent. Almost to the man, they sided with the police over the mob.

I notice that the Black Lives Matter rallies are populated with the well off and the well educated. A Princeton lawyer was photographed driving around with a box of Molotov cocktails, and his co-worker, another lawyer tossed a lit fire bomb into a police car. It used to be that Princeton lawyers didn’t do that, at least not in person.

Portrait of a Democrat. From the New Yorker.

It’s not like the platforms have reversed. The Democratic party was always for high taxes, high regulation, and for soft money that they could give away. They still are. In 1900 the call was for “free silver“, now it’s “stimulus money.” It used to be that rich people didn’t like this. They would point of that printing money didn’t add to wealth, but just redistributed it from those who had savings to those who did not. Now they uniformly blast anyone who doubted the wisdom of printing 1.9 trillion in new money ($6000 per person, of which $1400 is given to you), and going on to blast anyone who doesn’t like additional oversight to prevent the systemic racism they see in the less-well-off.

One reason these richest billionaires are no longer Republicans is that they are no longer involved industrial manufacturing in the US. Thus the regulations they favor don’t apply to them. In the olden days, rich people made steel or cars. Regulations were annoying. Rich industrialists had money in US banks. For them inflation was theft. Now rich people own intangible industries that largely operate outside of the country. What money they earn is earned off-shore, tax free. As individuals, they live on US debt, and possess little or no hard cash. Inflation helps them pay off their debt, and high taxes don’t hurt them. Buffett can be down-home and pro environment. He flies private jet to meetings on global warming while investing in overseas petroleum.

Elon Musk seemed like a Republican during the Trump administration, but not so much now. He still makes stuff in America, but has moved to manufacture abroad. In January, he said he was fired up for Biden. He has put a significant chunk of his wealth into bitcoins. Its a protection from the inflation caused by printing money, and it’s a bet that’s paid off handsomely. I expect that we’ll have billionaire Democrats and union Republicans for the foreseeable future.

Robert Buxbaum, March 14, 2021. It’s pie day. Eat a pie at 1:59:27. (Edited Apr. 28, 2021)