Sunday, January 8, 2012

The One Percent

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            I was just reading this interesting article in the New York Times about how there is a big disparity between data consumption of high data users and low data users.  For those who didn’t read the article, the main fact from the article is that the top one percent of cell data users account for half of the total use.  The top 3 percent use 70 percent.  Now having read this, and as a smart phone user myself, there are a few ways I could respond.  First, I could say “that’s interesting” and move on with my life.  That wouldn’t be worth a blog post though. 
Second, I could get jealous of those one percent people and demand more for myself.  I could try to get #OCCUPY THE ELECRTOMAGNETIC SPECTRUM trending on Twitter. (See what I did there?  If you protest banks by occupying where they operate, you protest cell data by occupying where it operates.)  Maybe I could get people all worked up and have them demand that the government enact regulations that limit how much data can be used by individuals in the one percent.  I could demonize those that take up the bandwidth that clearly I deserve as a living breathing human being.  Inequality is unfair because we’re all equally human beings.  
But there’s another option.  I could be thankful for my allotment of 200 megabytes per month.  It isn’t a lot, and I don’t enjoy AT&T’s overage charges or the fact that my dad gets angry at me.  But who am I to complain?  I have an iPhone for goodness sake.  Most people in the world don’t even have cell phones.  I didn’t even have a cell phone before going college.
Last semester, I learned the difference between absolute and relative gains.  As the names imply, absolute gains pertain to a measure made in relation to some fixed starting point while relative gains pertain to ones measured in relation to a relative standard.  If you compare yourself to those who have more than you (a relative measure), then obviously you’ll feel shorted.  It would be better to find some absolute standard and measure your progress since then.  I find time to be a good absolute standard since you can look back at the past, which won’t change, and measure relative to that.  (It would be an absolute measure.)  As mentioned before, I didn’t even have a cell phone before going to college.  I would note that and be content that I have a phone.
This is a parable.  I’m not really talking about cell data.  I’m going to go on a limb and guess that my readers are not in the top one percent of income earners.  So since we’re all part of “the 99%” here, I’d like to suggest that rather than complaining that there are some super rich people out there, we should instead be thankful for what we have and to show what we have to be thankful for, we’ll measure ourselves relative to the past, which is absolute. 
We in the modern age enjoy quite a lovely life.  Lots of things have become cheaper (adjusting for inflation) than before due to advances in technology.  I’ll make this brief and write a whole post dedicated to how standard of living has changed over the course of time if anyone is interested in hearing more but I’ll hit some highlights here.  Think of food, for starters.  A pineapple used to cost the equivalent of 4626 dollars in medieval England.  Now it costs…well I couldn’t find it in our grocery store’s flyer, but it isn’t all that much.  This is because of the invention of refrigeration and modern shipping.  Up until recent times, if you wanted to hear music, you had to go to a performer or have him come to you.  Now we can carry thousands of songs in our pockets and listen to them any time we want to.  A couple hundred years ago, most people never traveled more than 20 miles away from their homes but because of the invention of planes and cars, we can go thousands of miles in a day!  Most homes have air conditioning, or can buy a portable unit.  This is a luxury that Andrew Carnegie didn’t enjoy despite being one of the richest men of his era.  This brings me to my final point.  If, instead of using a relative measure, you look at the absolute past, you’ll realize that just about all of us in modern America are living longer, healthier, and more enjoyable lives with more leisure time than ever before in the past.  As I said before, I could write more but this post is already getting long so I’ll only expound more if someone requests it.  I would also recommend watching Matt Ridley’s TED talk on this subject.  He communicates a lot better than me. 

At Occupy London, an encampment that understands relative differences, but doesn't understand absolute gains.
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