1

rice STANDARD

SPRING 2014 ISSUE

ricestandard.org

RICE CENSUS 2014/SQUIRRELS/ECONOMICS/CULTURE/INCARCERATION/LOVE/ANIMALS

2

rice STANDARD

EDITOR/CONTENTSGreetings, and welcome to the Spring 2014 issue of the Rice Standard!

After a long hiatus from the print edition, we have decided to return to a biannual print issue for the magazine. Our staff has been hard at work writing, editing, illustrating and designing this issue for your reading pleasure, and we’re excited to share with you their insight on a wide variety of issues.

From mass incarceration to the Houston Zoo, NOD flash fiction to squirrel food recipes, our columnists have managed to cover an impressive breadth of topics, charting waters both familiar and

ABRAHAM YOUNES

unfamiliar relative to their own interests. Especially exciting are the results from the Rice Census 2014, featured in the final pages of the issue.

In crisp, eloquent prose, these pieces succeed at raising important questions on topics that, when taken together, bear relevance to all members of the Rice community. Our goal in reviving the print issue is to spark conversation, discussion and reflection across campus and beyond. We therefore ask you, the reader, to dive in, engage with the content, and use that engagement as a jumping off point for a larger conversation. Happy reading!

MARILYN GROVES

3

2014 RICE CENSUS HIGHLIGHTS

COLUMNS

Mass incarceration and the color of injusticeAbraham Younespg.4-6

The “cult” in cultureGeorge Hanpg.8-9

Bitcoin: why choice in money mattersSteven Moenpg.14-16

Animal houseJulie Doarpg.12-13

My hook-up: connection, not sexEdmond Truongpg.7

SquirrelsCaela Canalespg.10-11

Public opinion, demographics, residential college rankings, politicspg.17-19

WENDY LIU

44

disproved remains painfully intact. While most media fi gures and scholars have centered discussions about race on issues like affi rmative action and educational inequity, this article will take a different approach, focusing on the underreported but far-reaching effects of mass incarceration.

What is mass incarceration? Simply put, it is the confi nement of large numbers of people to prisons, and the subsequent legal and fi nancial restrictions they face once they leave prison that prevent them from reentering mainstream society. Nowhere in the world is this phenomenon more evident than in the United States. Beginning in the late 1970s, a “War on Drugs” spearheaded by neoconservatives led to the quadrupling of the US prison population within a short span of time, through the creation of extremely harsh drug sentencing laws and an enormous expansion in police department funding nationwide. While these new laws and resources were intended to “crack down” on drug dealers and abusers, there were no police offi cers or SWAT teams making drug busts or conducting stop-and-frisks in suburban neighborhoods. Rather, the police focused their efforts on the most disempowered

The election of Barack Obama in 2008 was met with shock, awe and perplexity by much of the world.

That Americans would elect a black man as president less than fi fty years since the end of the segregation era appeared extraordinary, defying the stereotype of Americans as racist and narrow-minded and imbuing election night with an almost impossible sense of hope and excitement about the years to come. President Obama’s victory led some public fi gures to herald a new age in the history of the United States, that of a “post-race America” in which skin color would no longer play a role in defi ning what Americans could or could not accomplish. With the most powerful position in American society now open to members of any racial category, some argued that the inequality of opportunity that had so profoundly shaped United States history was fi nally receding.

Amid the fervor and elation of election night in 2008, this sentiment was understandable. An enormous barrier to racial progress had just been surmounted. The possibilities for positive change seemed vast. And yet, six years onward, the racial inequality that Obama’s election supposedly

MASS INCARCERATION& THE COLOR OF INJUSTICE

ABRAHAM YOUNES

5

communities: poor neighborhoods, especially poor neighborhoods of color. This disproportionate focus occurred despite the fact that people of all races use and sell drugs at remarkably similar rates, and that the biggest drug dealers are often white and reside in majority-white communities.

Three decades since the imposition of these policies, the prison system in America is without parallel in human history. At over two million inmates, the United States has the world’s highest imprisonment rate, far eclipsing Iran and China. With respect to race, the facts speak for themselves. Although African Americans make up only 12% of the US population they constitute approximately 40% of the prison population, and together with Latinos comprise over 60% of total inmates. The United Sates currently imprisons a higher percentage of its black population than South Africa did at the height of Apartheid, with one in every eight African American men behind bars, and one in three either incarcerated or on probation or parole. Black children born today are less likely to be raised by both parents than a black child born in slavery, with the disintegration of the African American family being largely due to

the mass imprisonment of black fathers.The imprisonment numbers are

staggering, but they tell only half the story. The majority of prisoners in the US today are behind bars for non-violent offenses, often related to class-D drug charges (minor possession). For these inmates, prison time may last only for a few weeks or months. However, once released, drug offenders are greeted by a complex web of legal and financial restrictions that will make it extremely difficult for them to integrate back into mainstream society. Having been branded felons for their drug convictions, ex-inmates are often disenfranchised for life, barred from public housing, and regularly denied welfare benefits. Most critically, they are required to inform employers of their felony conviction when they apply for a position, which sharply reduces their chance of landing a secure job with a steady income. Although black men have a significantly higher violent crime rate than white men, that disparity virtually disappears when you control for joblessness. It is therefore the stigma that comes with the felony conviction that prevents African American men from re-entering the workforce, which is the main contributor to the racial

GEORGE HAN

6

disparity in violent crime.What does all of this mean? First,

in searching for solutions to the problem of racial achievement gaps, it means we might be looking in the wrong place. While educational opportunity and affirmative action initiatives can help to reverse the inequality of opportunity that has historically existed along lines of race, the most pressing issue for poor communities of color appears to be the system of mass incarceration and the effects that it has on the life chances of the majority of African Americans. In other words, if our goal is equality of opportunity for all races, our first order of business should be dismantling the so-called “War on Drugs” and undoing the legal restrictions that prevent ex-prisoners from being able to secure jobs and find food and shelter. That does not mean that improved public education and economic development should be disregarded — on the contrary, these improvements are essential if the millions affected by mass incarceration are to find work and become educated after leaving prison. What it does mean is that there’s been an elephant in the room that hardly anyone’s been talking about, and that confronting it is the only way for the system as a whole to ultimately change.

Michel le A l e x a n d e r , an author, civil rights lawyer and leading figure in the current movement to end mass incarceration, argues that American society has experienced the rise — and eventual demise — of several systems of racial control, beginning with slavery, moving on to Jim Crow, and arriving at mass incarceration, the system of today. It is Alexander’s conviction —

and the conviction of the thousands involved in the anti-mass incarceration movement taking shape across the United States — that to not only bring down the system of mass incarceration, but also to prevent future systems of racial control from emerging, we must “connect the dots” on race, history, and inequality, and understand not only the role of race in today’s system, but its relation to a larger pattern of racial hierarchy present throughout American history.

In the age of Oprah Winfrey and Barack Obama, of so-called color-blindness and a “post-race” America, we have allowed media rhetoric and the circumstances of a few outlying individuals to mask the true reality of our predicament — that we are not colorblind. That race does exist, that we do see it, and that it does play a large role in the way our society is organized and how we interact with one another. Fortunately, color-blindness is neither possible nor desirable. As Alexander argues, the problem is not seeing race, but “refusing to care for the people we see.” Instead of pretending like race doesn’t exist or refusing to talk about it, what we must therefore

accomplish if we are to put an end to mass incarceration and other systems of racial injustice, is to reach out across color lines, to love

one another as brothers and sisters, and to work together for a more just, humane society. Seeing each other as we are and loving each other, not in spite of our differences but because of them—that was the dream articulated by Dr. King. That is a goal worth fighting for.

For more information on the topic of mass incarceration, visit dreamdefenders.org or read Michelle Alexander’s “The New Jim Crow: Mass Incarceration in the Age of Colorblindness”

7

MY HOOK-UP: CONNECTION, NOT SEX EDMOND TRUONG

Let’s make this fleeting moment last forever, so tell me what you’re waiting for. I met you before NOD, but now that we’re both here I want you more than ever. You’re dancing with your friends across the room, and I’m on the opposite side with mine. For a brief moment, the mass of

bodies between us part like the Red Sea.Although it’s dark and my judgment is impaired, I can see you clearly. I can see you seeing me. I’m going to keep it frozen here forever. Then the gap closes. I’m an introvert, but sometimes I have extroverted tendencies. The atmosphere of the room has me pumped. We’re all hot and sweaty, but we’re hot and sweaty together. I never leave my friends, but Itake a step towards

you. There’s no regretting anymore. It’s worth the wait even so far away. Into the impenetrable mass, past that obnoxious couple making out (get a room), and running the gauntlet of foot crushing, I finally reach the spot you were standing. I’m one of the people here who didn’t come to get lucky. In fact I don’t

because you’re gone.Whatever, I’m making the night mine until the day I die. Disappointed, I try to find my way back. I don’t find the friends I came here with, but I run into another group of friends. Although the lighting hasn’t changed, I feel as if this place has gotten darker. You know what it feels like

when you’re dancing blind.I know the people who I’m with, but they’re not the friends I came to party with. All alone, just the beat inside my soul. It’s hard to dance on your own, and it’s even harder when the floor is sticky (why?!?). The mood is moot. I’m having a fun time by myself, but I’m still alone. I’m moving my feet when someone steps on my heel for a fourth time tonight. I turn around, and

it’s you:Take me home — where my dreams are made of gold

In the zone — where the beat is un-controlled.I know what it feels like — come on make me feel alive

I’m not waiting three days to send you a text because there will be no text. This is it. I’ve been waiting right here all my life. Maybe that’s an overstatement. We’re dancing together though, and you must be feeling that connection. Feelings you can’t deny that you’re living, open up your eyes. Otherwise, why put your hands on me at all? I’m fist-pumping (sorry my moves are lame) to the beat, and you’re jumping with the motion. I accidentally punch the guy behind

you, and you laugh. Did I say your smile was cute?And I just wanna sink into your crazy laughter.

Come on make me feel until the pain don’t matter.Every second here makes my heart beat faster.

Sometimes we come to a party expecting to hook up. Sometimes we come with close friends and end up staying with them the entire night. Tonight I came without the expectation of meeting you. You’re dancing close to me, but I feel even closer than the gap (or no gap) between us. We’re just going to dance, maybe kiss if you’re willing, but it won’t go any further than that. After the party we’ll head back with our own respective friends. That’s okay; it was a hook up after all. When I searched for you I didn’t come looking to get some; I came to party and share a brief moment of fun with someone. And I found you. I finally think I found what I’m

chasing after.

(set to the tune of Krewella’s “Alive”)

WENDY LIU

88

My knees had been locked into place for over 45 minutes, and I could feel numbness creeping up my ankles. The sensation was hard to fi ght off. Focus, I told myself, cautiously stretching

my right leg out for half an inch. Then another half-inch, then one more. Feeling brave, I moved it forward a full inch—and gently smacked a woman in the back of her head.

That moment pretty much sums up my fi rst night at the opera. The tiny, cramped seats. Having to sit perfectly still and keep my eyelids open. Forcing my hands together in the semblance of a clap after every act. Maybe I’m used to stories with at least three car crashes before the climax, but man, opera is boring. The dramatic irony is clumsier than a linebacker dancing ballet, and foreshadowing hits you on the head over and over again (too bad it didn’t knock me unconscious before Act 3).

If you’re not familiar with the world of opera, “Rigoletto” is considered a masterful examination of morality and revenge, and one of the fi nest works from renown composer Verdi. At least that’s what the Wikipedia page says. Here’s my take on the plot:

1. A Duke rapes his jester’s daughter. She still loves him anyway because she is suffering from the condition of being female. Let’s applaud for backward stereotypes of women, everyone!

2. The jester wants to kill the Duke for trampling on his “precious fl ower,” the only thing he loves in his life. (I can’t be the only one feeling incestuous vibes, right?)

3. The daughter saves her rapist from daddy’s revenge by sacrifi cing

THE “CULT” IN CULTURE

9

her own life because, once again, she is a woman. The Duke, meanwhile, is unaware of the whole thing and continues seducing women. Moral of the story: if you’re a terrible person, nothing bad will ever happen to you. Also love is everlasting, or something.

Looking for intrigue or actual character development? Sorry. The director prioritized singing over acting, and it shows. Programs like Teen Mom and Keeping Up With the Kardashians might be labeled as reality trash for garbage people, but to me, opera is no less indulgent or simplistic.

You might be wondering why I went to the opera at all if I’m not seduced by “who can sustain the longest vibrato while everyone stands frozen” contests. Reason #1 is that tickets were free. Reason #2 is that I felt guilty for watching blockbuster movies and TV shows all week, so I wanted to compensate with a classier activity. Qualifying what it

means to be “cultured” is difficult, but in most our minds, it seems to involve museums, trips to foreign countries, and black-tie events. Perhaps I hoped that being in the same room as smart, well-dressed people would somehow cause their juju to rub off on to me.

But you know what? I’m starting to think that being refined isn’t about liking anything that’s widely seen as fancy—which would make us sheep in a flock, and there’s nothing sophisticated about that. Maybe “culture” should be defined as having a desire to try new experiences and decide how we really feel about them. I’ll never go to an opera again (even if it costs me nothing), and I know that now because I took a chance and went to one. Understanding our own likes and dislikes, and being confident in our tastes, should be the true mark of classiness.

Just don’t judge me for watching Family Guy whilst eating unintentionally fermented fruit salad from my mini-fridge.

GEORGE HAN

WENDY LIU

10

A quick survey of Rice squirrels is enough to convince any observer that our furry mammal friends are fat and happy. In

September 2013, the Huffington Post named Rice University one of the top “Colleges Most Obsessed with Squirrels”. Rice squirrels even have their own Facebook fanpage, which in has amassed over a thousand likes in just of 1.5 months of existence. Internet fame aside, the most widely agreed upon distinguisher of Rice squirrels is their weight—our squirrels are obviously well fed!

The origin of the squirrel obsession may remain a mystery, but one thing has become clear as of late: students’ enthusiasm for feeding our “adopted” wildlife might actually be hurting more than helping our cuddly comrades. According to the United States Humane Society, “feeding birds and squirrels is generally harmless,” but feeding animals “people food” can cause deformities and other poor nutrition related conditions (I would guess some of our squirrels are even at risk for squirrel diabetes!). Rather than tempting squirrels with waffles and breadsticks, the Rice animal lover should aim to provide squirrels with more squirrel-friendly treats such as acorns, hickory nuts, hazelnuts, sunflower seeds, pine cones, and nuts native to Houston.

If you think that Rice squirrels, pampered as they are, would laugh in the face of a sunflower seed offering, you could try this modified recipe for “Squirrel Cookies” from wisquirrelrehab.com:

First take some of the rodent chow, which can be purchased at any home and garden store or supermarket such as Target or Walmart, and crush it up into a powder or tiny chunks. You can use a hammer or coffee grinder to do this. (If you use a coffee grinder, pound it up with a hammer first, or else the grinder might not pulverize it.)

Put the following ingredients into a large bowl and stir: • The crushed rodent chow• Small hazelnut, pecan, or walnut pieces• A handful of sunflower seeds• (Optional) hazelnut or walnut oil

(depending on the amount of rodent chow you are using)

• (Optional) a bit of cornmeal• Soft, plain suet• Peanut butter (you have to judge how

much but a general tip is that if you cant smell the peanut butter then they probably wont eat it!)

• Next, add a bit of flour to get a sticky “cookie dough” consistency. That’s what will hold the ingredients together.

• Mix or knead well.• Roll the dough into small balls about the

size of a walnut, or into a cookie form.• Roll into some nuts or sunflower seeds.• Freeze until solid.Your squirrelly friends will thank you for such a delicious, nutritious, and health-conscious treat!

OUT ON A LIMB: SHOULD WE BE FEEDING SQUIRRELS?

CAELA CANALES

11WENDY LIU

12

I recently told an acquaintance that the Houston Zoo was the best place in the world, to which she disagreed, asserting

that the Belgium Zoo was far superior. While this may or may not be true, she must not have realized that I have no intention of traveling halfway across the world to visit the Belgium Zoo in the near or distant future. Being less than a mile from my dorm room, the Houston Zoo has a degree of convenience that no foreign zoo can compete with. It might sound like I’ve been hired as a spokesperson for the zoo, but since admission is free for Rice students, you can rest assured that my incentive for writing about the place comes solely from personal experience.

The first time I went to the Houston Zoo was for a Physical Anthropology class at Rice. I had to observe some siamangs, a type of gibbon, for an hour. I guess I was supposed to come out of that with a deep appreciation for the unique locomotion of primates. As it turned out, my main realization was that no one ever has any reason to look at gibbons for more than a minute and a half. Another lesson learned: no one knows what a gibbon is. Over the course of the hour I spent in the wooden balcony overlooking the siamangs’ enclosure, I heard passing Houstonians refer to them as lemurs, chimpanzees, and “my dad”. One particularly loud man declared that they were meerkats. Afterwards I looked up meerkats-because for some reason the name summoned up images of fierce, swamp panthers. In fact, Timone (the warthog’s partner in crime in The Lion King) is a meerkat. All these years I was laboring under the false assumption that Timone was a prairie dog. The true nature of a meerkat: just one of many enlightening facts to be gained at the zoo.

During my obligatory hour with the gibbons, I became overly involved with the drama of the three primates. The adult

female’s mate had recently died and so a new adult male had been shipped in to live with her and the daughter conceived with the deceased husband. The new step-dad, if you will, was utterly ostracized by the mother and daughter. If he was sitting somewhere chewing on a leaf, and one of the others decided that they wanted to sit in the area, he would have to surrender his position immediately, tail between his legs. (Except he didn’t actually have a tail, prehensile or otherwise-for some reason that physical attribute required an entire paragraph in my final report.) This guy’s life was a misery to observe. Then, the clouds broke at minute forty-five, when the mother (probably driven insane by her hyperactive daughter’s pestering) followed the step-dad when he slumped into the corner, and she actually tolerated his company for over a minute. I remember gasping at this social change and its implications. At the time, it seemed as if no soap opera could compare to the emotional journey of these two adult gibbons.

The thing keeping the gibbons from their hit reality TV show is their utter lack of aesthetic appeal. They are really ugly animals. After my observation was done, I scampered off to seek out some better looking wonders of the animal kingdom. I am not lying when I say that I had the best time wandering about the Houston Zoo alone on a Sunday. The shocker of it all is that I am not an “animal person”. Sure, I love my family dog, but I am hard-pressed to not kick my friend’s stridently barking poodle whenever it runs into my leg. Once a class-mate told me that her cat vomits on a daily basis, to which I replied that if it threw up so often, it seemed like she might be better off

ANIMAL HOUSEJULIE DOAR

13

putting it down. When someone starts crying hysterically about the death of a beloved pet I am the fi rst to roll my eyes. Every time a squirrel crosses my path on the Rice campus, I have an overwhelming desire to wring its neck. I cannot stress enough how disgusted I was by the Grizzly Man documentary about the man who lived with grizzlies in Alaska for months on end. When he eventually got brutally killed by a bear, I was extremely close to telling my teary-eyed little brother that he had it coming. All that being said, I adore the Houston Zoo. And it’s not because I get a kick out of seeing animals in cages (which, given the above information, I can understand that this is a conclusion one might draw).

The real winning aspect of the Houston Zoo is the reminder that there’s a world out there, and it’s not as far away as it sometimes feels. In one section of the Houston Zoo, there’s this huge stag-like animal. But it’s bigger than a stag; it looks like a combination of a large horse and a deer, with these enormous antlers that two humans could comfortably sit on. I stood on the platform near its fence as it lumbered by. At that moment, I found it brilliant that a creature such as this existed in the world. A being that I had never heard of, or seen before, a being that had no name. I am aware that it did have a name, but not knowing it was much more enjoyable. If I were in a classroom, I would have to know the name, but I was at the Houston Zoo exercising my sense of wonder, a muscle that can fall out of use during hours of studying. The Houston

Zoo reminded me that I don’t have to wait until I graduate to see strange and wonderful things. They are within my reach, across the street at the Houston Zoo.

In addition to the strange array of animals, there’s a strange array of people. When you’re a college student, you live with other college students, you eat with other college students, and you socialize with other college students. Seeing children and families as well as a large amount of adults who aren’t assigning you problem sets- it’s refreshing. Sometimes I can fall into the habit of thinking of non-Rice people in abstract terms; they’re out there, but they exist in a different sphere. To walk to Houston Zoo is to remember the proximity and the importance of that different sphere. The world is not small, but it is unifi ed. Being in college doesn’t mean you must be completely cut off from the rest of the world. The rest of the world is a ten minute walk away, waiting at the Houston Zoo.

I spent the afternoon drinking a root beer fl oat near the fountain and wondering if I could get a volunteer position there. I, the girl who often dreams of gaining the title “Squirrel-Killer”, was longing for a job at the Houston Zoo. I kept thinking what a good time I could have just picking up trash in one of those jumpsuits with the Houston Zoo insignia sewn onto the chest. I guess it’s just nice to know that I can always walk over to the Houston Zoo some Sunday morning. I’ll be going back soon. I have not seen the giraffe yet.

WENDY LIU

1414

Would you be happy if you had no choice in what cell phone you had to use? Imagine if everyone had to buy

an iPhone, or a Blackberry, or a Droid. Some people might be happy, but others would probably be livid. What about if you had no options for which car to buy? Or food to eat? Or clothes to wear? The fact is, there’s no way the vast majority of people would accept those conditions.

And yet, this is exactly the scenario that we have accepted with the U.S. Dollar. None of the goals that the Federal Reserve lays out for the U.S. Dollar – stable prices, moderate interest rates, and low unemployment - have ever been met. By their own standards, the Federal Reserve, who manages the U.S. Dollar, has failed miserably. Also, up until very recently, there was no alternative in the choice of money; you were stuck with the U.S. Dollar by law. But now with the rise of cryptocurrencies, such as Bitcoin or Litecoin, you have an alternative to dollars provided by the government.

It’s probably important at this point to explain a little about how cryptocurrencies work. The reason why these currencies are even able to exist is because they exist outside of the control of any central organization. If there were some Bitcoin distribution center, for example, it would be very likely that it would be shut down. Many cryptocurrencies share this important characteristic that they cannot be controlled by governments, and that consumers will therefore have choices for which type of currency to use on a daily basis. In the not too distant future, we will be able to choose the currency we get paid in, what currency we use to buy groceries, and what

Would you be happy if you had no choice in what cell phone you had to use? Imagine if everyone had to buy an iPhone, or a Blackberry, or a Droid. Some people might be happy, but others would probably be livid. What about if you had no options for which car to buy? Or food to eat? Or clothes to wear? The fact is, there’s no way the vast majority of people would accept those conditions.

And yet, this is exactly the scenario that we have accepted with the U.S. Dollar. None of the goals that the Federal Reserve lays out for the U.S. Dollar – stable prices, moderate interest rates, and low unemployment - have ever been met. By their own standards, the Federal Reserve, who manages the U.S. Dollar, has failed miserably. Also, up until very recently, there was no alternative in the choice of money; you were stuck with the U.S. Dollar by law. But now with the rise of cryptocurrencies, such as Bitcoin or Litecoin, you have an alternative to dollars provided by the government.

It’s probably important at this point to explain a little about how cryptocurrencies work. The reason why these currencies are even able to exist is because they exist outside of the control of any central organization. If there were some Bitcoin distribution center, for example, it would be very likely that it would be shut down. Many cryptocurrencies share this important characteristic that they cannot be controlled by governments, and that consumers will therefore have choices for which type of currency to use on a daily basis. In the not too distant future, we will be able to choose the currency we get paid in, what currency we use to buy groceries, and what currency we choose to hold our savings in.

15

currency we choose to hold our savings in.I think the role of competing currencies

is to help to improve the overall quality of money. Competition in a free market means that the consumers are in control of what is offered. Ludwig Von Mises put it eloquently when he said that “the capitalists, the enterprisers, and the farmers are instrumental in the conduct of economic affairs. They are at the helm and steer the ship. But they are not free to shape its course. They are not supreme, they are steersmen only, bound to obey unconditionally the captain’s orders. The captain is the consumer.” Furthermore, it helps to address how cryptocurrencies will help achieve the Federal Reserve’s three main goals, in order to truly understand this critical need: stable prices, moderate interest rates, and low unemployment. By helping to achieve these goals, the advent of cryptocurrencies will have a profound impact in the story of worldwide economic development.

Let’s take one of the goals of the Federal Reserve: stable prices. In “Why Money Matters”, one of the last articles he wrote before his death, famed economist Milton Friedman emphasized the importance money has on overall economic performance by stating that “what happens to the quantity of money has a determinative effect on what happens to national income and to stock

prices”. He went on to say as well that the Fed’s active role following the “collapse of the U.S. boom in late 2000” contributed positively to the “mildness of the recession that followed”. Dr. Friedman won his Nobel Prize in part for his seminal contribution, A Monetary History of the United States, that he co-authored with Anna Schwartz and published in 1963.

In A Monetary History of the United States, Dr. Friedman emphasizes that the deflationary monetary policy pursued by the Federal Reserve in the period from 1929-1933 had disastrous effects on the United States, contributing to high unemployment and massive economic hardship. As a remedy to deleterious discretionary monetary policy by the Federal Reserve, Dr. Friedman advocated that the money supply grow at a predetermined, predictable rate that would not be decided by the Federal Reserve. Many cryptocurrencies, such as Bitcoin, grow at a predictable rate that is preset and cannot be altered. This, in turn, means that Friedman’s goal of a currency growing at a stable rate can now be realized.

Additionally, one of the major economic challenges of the past century has been keeping unemployment low. It’s unfortunate that The United States’ unemployment rate is currently 7.0%, according to data from the Bureau of Labor Statistics. There is an

WHY (CHOICE IN) MONEY MATTERS

STEVEN MOEN

GEORGE HAN

1616

even more startling fact though, that makes this fi gure seem even worse: unemployment is measured differently than how it was measured during the Great Depression, a time when unemployment reached peaks close to 25%. Admittedly, there’s some debate as to how high unemployment really is today, but since the unemployment rate excludes discouraged workers, among other special groups, it is likely much higher than the stated 7.3%. Although the Federal Reserve has admittedly altered their policy in response to the failures of the Great Depression, there is little doubt that allowing people to choose their money will help drastically.

Also relating to the goal of stable prices is the fact that the Federal Reserve has caused an annual rise in prices of about 3% a year. While that may not seem like a lot, it certainly adds up. Indeed, prices have doubled about every 24 years, according to the Rule of 72. This rise in overall prices, or infl ation, typically hurts the poor most of all. The richest members of society have the means to protect themselves against infl ation, by buying expensive real estate or artwork which will rise in price along with other goods. Buying a pent house apartment or a Picasso painting is not an option for people living from paycheck to paycheck, whose focus must be on securing food and shelter for themselves and their families. In addition, infl ation hurts people living on fi xed incomes, such as disabled veterans or senior citizens, who may not see their wages keep up with infl ation.

However, the worst consequence of all is that infl ation reduces the incentive for people to save their money. When infl ation increases, the interest rate earned on many fi nancial products will often suffer. The interest rate is what people earn for lending out their money, just like a rental car dealership earns a rate for lending out a car. Interest rates often increase with infl ation, but they usually have trouble keeping up with it. Numerically this means that an investor may earn 10%

in interest on his money, but will have a net loss because the infl ation rate is higher than 10%. The fact that people will lose money saving leads to the natural consequence that people will save less, which is a pity. Saving is perhaps the best way for the poor in society to improve their material condition; when people save, they hold off on buying goods today to purchase goods at a later date. By doing so, they can invest their money and earn a better rate of interest. If someone is able to earn 3% net (after taxes and infl ation) annual return with investments, they will slowly but surely be able to accumulate wealth. Again, a small growth rate may not seem like a lot, but it does add up. When we take this growth and see its effect on a broad scale (over the course of many years), it helps explain how societies expand opportunity, not only for themselves, but for their neighbors, their children and the world. Cryptocurrencies will allow people who

wish to have a stable currency (with which they can buy and sell their goods) the option to do that, and the positive effects will follow.

The ability to choose many of the

things in life that are most dear to us – who we love, what we choose to read and study, what religious or spiritual beliefs we hold – would be unimaginably different without the freedom to make these choices for ourselves. The choices we make may not always turn out for the best, nor will they will always be popular, but they will always be important because they help us realize who we are and what is important to us. We should never allow ourselves to be limited to one choice, in whatever avenue of life. In that same vein, having choice in money is essential to our economic development, regardless of the era, and regardless of how much money one accrues. Cryptocurrencies alone are not going to solve the wold’s problems, but the benefi ts they provide us with in terms of choice and economic improvement cannot be underestimated.

“there is little doubt that allowing people to choose their money will help drastically ”

17

2014 RICE CENSUSHIGHTLIGHTS

over 700 students shared their lives and opinions with us. here are some of the results.

See responses for all the questions @ ricestandard.org/census2014

18

DEMOGRAPHICS

POLITICS

19

*responses are simplified for clarity. Visit ricestandard.org/census2014 for complete data

RESIDENTIAL COLLEGES

CAMPUS ISSUESIs the administration’s vision for Rice’s future and expansion in the best interests of its students, faculty and staff?

Would you feel comfortable visiting the counseling center for help?

MOST TO LEAST LIKED COLLEGES(based on a ratio of % most liked divided by % least liked)

rice STANDARD

Abraham Younes Marilyn GrovesGeorge Han Wendy Liu Caela CanalesJulie DoarSteven MoenEdmond Truong

PUBLISHEREDITOR

DESIGN, WEBILLUSTRATIONS

COLUMNISTCOLUMNIST COLUMNIST COLUMNIST

Like us at facebook.com/thericestandardFollow us at @ricestandard