There’s a post here about a study that some economists did to understand the effect talking on a cell phone had on the accident rate. As in the UK, a number of US states are passing laws banning talking on cell phones while driving. Any number of studies has shown that you pay less attention to the road and are more distracted while talking on the phone. We’ve even all been behind some idiot swerving around and talking. It seems to make sense.
Yet when you dig into the accident rates, there are no more accidents as a result of people driving and talking. Why?
Something that politicians and environmentalists alike seem to ignore – the propensity for people to change their behaviour according to circumstance.
When mandatory seatbelt laws were passed in the states, the number of fatal accidents didn’t fall anywhere near as much as they should have – turns out drivers felt safer wearing their seatbelts and drove faster and took more risks – insurers and others call this “Risk Homeostatis” – you have a certain amount of risk you’re willing to tollerate while driving and if the government forces you to lower it in some places you take it back in others. The safer cars and airbags we have today make us feel we can now survive a 50 mph crash so we speed.
This is the fun thing about economists – unlike what most people think, their job is about human behaviour. These guys didn’t look at reaction times or the ability to identify dangers in the road while driving – they studied what actually happened when people spoke on the phone.
In this case they took advantage of the fact that cell phone companies started to offer lots of free minutes starting at 9 pm. They could clearly see a large spike in the volume of calls at 9 pm. The number of cars on the road didn’t change. So there must have been a spike in the volume of people calling while driving. Yet there was no corresponding spike in the number of accidents.
It’s speculation but one of the obvious assumptions is that people did something to deal with the risk – they drove slower or pulled into the slow lane. They kept their calls short – basically all the stuff we remember doing when we used our phones while driving before it was illegal.
I’m now going to take a huge jump and swing this towards the enviromentalists and in particular the scare-mongerers of global warming.
The debate these days is really about what we should do to abate any ill effects of global warming. There’s a fringe of people who simply want us to stop any pollution because the earth is sacred. The majority I feel want to stop the warming and the effects thereof.
If you leave feelings of love for the earth out of it, this quickly boils down to an argument over costs and benefits. We could simply ignore the problem and when the seas rise, pay to move everyone to higher ground and all live in a warmer climate. This is completely doable but may not be sensible.
We could stop all the actvities which cause the warming and negate the effects – however you give up all the advantages of those activities – you know transport and the ability to eat. Again probably doable but kiss civilisation goodbye.
It boils down to “What will global warming cost us?” and “How much will it cost to avert x% of that damage?” and “Can we live with the remaining damage?”
The problem right now is that the damage estimates are completely insane – they assume that we basically just carry on ignoring everything that might change forever. People just don’t act this way. The dutch didn’t simply throw their hands up and complain about the sea – they moved it. People will alter their behaviour to adapt to real changes and that will mitigate a large volume of the damage. I’m not saying the earth won’t heat up just as much but maybe it will matter far less – people will stop buying seaside properties so there just won’t be that many people to save from the rising sea levels. Or as we sell more and more air-conditioners there will be an incentive to develop ones that run on less power because people will pay for that – or at least businesses will put shutters on the windows to save the power bills.
People are smart and adaptable not beacuse they’re altruistic, but because they’re selfish and greedy. They will do good simply because they doing it for themselves.