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Showing posts from August, 2019

The promise (and pitfalls) of index based insurance

Insurance in developing nations is far less broadly available than developed ones.  In addition, the risks that citizens of developing nations face, are often much more numerous and severe.  Crop-insurance is a common element of agricultural policy in the United States, but less common in Ethiopia.  As Ethiopia has a much higher percentage of their population engaged in agriculture, shocks, such as drought, crop disease, or severe weather have big impacts.

Insurance's basic principle is simple, spreading risk across a broader pool.  When harmed, you get assistance to lessen the impact, when you're not harmed, your payments cover the costs of others who are.  But deciding who is harmed is a very time consuming task.  Preventing fraud is important to staying competitive, when looking at private enterprise, and important to public trust when dealing with public programs.  But preventing fraud places burdens not only on the insurance provider, but the claimants.  Having to prove l…

Finding your way: Public Transit and Uber

Uber has been disruptive in many ways.  One way, which has been a great disappointment, is the effect on public transit systems.  It was once hoped that ride hailing would provide an assist to public transit, as a gateway to abandoning car ownership.  There have also been hopes that suburban commuters would use ride-hailing as their connection to public-transit which is not accessible by walking in these areas.  Multiple studies have confirmed these hopes have largely not materialized, and public-transit has been weakened.

Cities have reacted, mostly by putting barriers to ride-hailing growth.  Sometimes they are collecting extra fees, sometimes placing new requirements.  But mostly these efforts don't do much to change the relationship between ride-hailing and public-transit.

I work with a local group that spends time thinking about automated car policy, how to get the most good and the least bad.  We've discussed a proposal that fits ride-hailing, in the here and now, just …