President's Update Summer 2020 - Manhattan Institute's Update
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President’s Update Summer 2020
2 Manhattan Institute President’s Update
Summer 2020
DEAR FRIENDS
AND SUPPORTERS,
IN RECENT WEEKS, THE UNITED STATES reminiscent of the worst days of the 1960s,
and its great cities have faced severe MI’s Thomas W. Smith fellow, Heather Mac
hardship. First, Covid-19 swept through Donald, appeared on national television and
our communities, doing its worst damage spoke for all Americans of goodwill: “We have
in America’s largest and densest major city, to condemn [the killing of George Floyd as]
New York. Then a wave of protests and riots awful police action. The next breath has to …
brought disorder to cities across the country. [condemn] the violence in our cities as well.
America is no stranger to hard times, though. We cannot justify this violence in the name
We at the Manhattan Institute (MI) believe of racial justice or rage.” Author of the best-
that a combination of sound policy ideas and selling book The War on Cops, Mac Donald
bold public leadership can usher in a period of took to the pages of the Wall Street Journal on
renewal for our cities and our economy. For June 2 (“The Myth of Systemic Police Racism”)
governments, this will require pruning waste to make the case that as horrifying as Floyd’s
and making hard choices so that high-quality killing was, it should not be used as a cudgel
public services continue to operate even to condemn all police officers as irredeemably
as budgets shrink. On the national level, we racist. Moreover, when the police as an insti-
The War on Cops, must navigate the novel health challenges tution are maligned and pressured to become
by MI’s Heather
Mac Donald, we face and begin to put our fiscal house in more passive, it is the vulnerable residents
shows how false order. In this time of lingering uncertainty, living in our poorest and most violent neigh-
narratives about Americans and their leaders are hungry borhoods who bear the brunt of rising crime.
“systemic racism” for ideas that can help restore growth and Activists, both on the street and online,
in policing
contribute confidence in our future. Enabled by your have succeeded in pushing the idea of
to making support, our scholars have been developing “defunding the police” into the mainstream
Americans less those ideas and communicating them to a policy conversation. The Minneapolis City
safe. Tragically, national audience. Council has assembled a veto-proof majority
her incisive
analysis has After George Floyd’s tragic death while in favor of dismantling the city’s police
become even in the custody of the Minneapolis police, department, though it remains to be seen how
more salient as several American cities were convulsed by this slogan will be translated into policy. MI
of late. protests that quickly devolved into riots. fellow and City Journal contributing editor
Against the backdrop of urban unrest Rafael Mangual has consistently offered a
3
The Full Truth About
Race and Policing Tired of bad cops? First,
The media likes to break down cops’ behavior by race,
but doesn’t do the same for civilian crime.
By Jason L. Riley | June 9, 2020
look at their labor unions.
There can be no true reform of police departments as
long as labor unions make discipline impossible.
By Daniel DiSalvo | June 3, 2020
The Myth of Systemic
Police Racism
Hold officers accountable who use excessive force.
But there’s no evidence of widespread racial bias.
By Heather Mac Donald | June 2, 2020
Unrest can harm the people it’s meant
to help. Here’s how to support them.
Peaceful protests can inspire meaningful change. But where the
demonstrations turned violent, they may end up worsening the challenges
faced by urban black and brown neighborhoods.
By Rafael Mangual | June 9, 2020
5
better path forward for those interested policing. The keynote conversation
in pragmatic reform. In his City Journal was a discussion between Riley and
article “The Toxic Narrative About Police Harvard economics professor Roland
Is Wrong,” Mangual shows how New Fryer, whose pathbreaking research on
York City’s recent past holds valuable police use of force found no evidence
lessons on how to make policing less to substantiate the belief that police
violent. American police officers resort disproportionately use lethal force
to force more frequently than do their against black and Hispanic citizens.
counterparts in other wealthy countries Fryer’s central contribution to the
because they are asked to police a much public conversation has been to remind
more violent population. However, in people that the instances that most
cities like New York, where proactive frequently get captured on film—street
policing of the “Broken Windows” encounters gone terribly awry—are
P H OT O B Y K E VIN J IA NG
mold has succeeded in reducing violent unrepresentative of most serious police
crime, instances of police use of force confrontations, which overwhelmingly
have fallen dramatically. Since 1990, arise in the context of police responding
the number of New Yorkers killed by to reports of serious crimes like burglar-
police in an average year has declined ies, domestic disputes, and shootings.
by more than 90 percent. The answer While safely reopening our cities will
to bad policing, Mangual argues, is to require, first and foremost, maintain-
recommit to proven strategies for crime ing order, policymakers must also
COLEMAN HUGHES
reduction that have been shown to also put forward a strategy for restoring
M a n h atta n I nst i t ute fel l ow and
cut down on instances of police-on- economic vitality without triggering
City Journal co nt ri but i ng edi to r
citizen violence. another wave of Covid-19 infections.
At our June 18 publicly streamed event In the pages of City Journal—which has
“Race, Riots, and the Police,” Mangual seen record web traffic and social media
discussed the debates surrounding engagement this spring—and a series of
criminal-justice reform with author timely MI reports, our scholars have laid
Jamil Jivani, MI senior fellow Jason out the path to do just that.
Riley, and MI’s newest fellow, Coleman In our home city of New York, the
Hughes—a recent graduate of Columbia crucial challenge will be to mitigate
University, whose work in Quillette, the the health risks associated with high-
Wall Street Journal, and the New York density living, which is the subject of
Times has already distinguished him an issue brief by MI adjunct fellow Arpit
as one of the country’s most incisive Gupta and coauthor Jonathan Ellen, M.D.,
writers on race and culture. Hughes, “A Strategy for Reopening New York City’s
who joined MI in May as a fellow and Economy.” Gupta and Ellen’s analysis
contributing editor of City Journal, called for New York to bring testing
wrote his debut feature-length essay in on-site for large employers, require social
the Summer 2020 issue of City Journal distancing measures within workplaces,
on the life and work of the economist and start the reopening process with
S O FA R I N 2 0 2 0 , Y E A R - O V E R - Y E A R
and public intellectual Thomas Sowell. the young and healthy. As MI state and
CITY JOURNAL
His first piece as a contributing editor local policy director Michael Hendrix has
for City Journal online, “The Illusion shown in a recent City Journal article,
of Certainty,” dealt with the media’s
wall-to-wall coverage of Ahmaud
many of Gupta’s ideas will sound familiar
to residents of Florida and Tennessee,
90 INCREASE IN SOCIAL
MEDIA ENGAGEMENT
Arbery’s tragic death in Georgia and the where Governors DeSantis and Lee have
dangers of imputing motives to Arbery’s
killers before the full facts of the case
taken steps to protect those living in
nursing homes from infection while
40 INCREASE
PAGEVIEWS
IN
have been unearthed.
At another recent virtual MI event
chaired by senior fellow Jason Riley,
allowing less vulnerable populations to
return to work.
The fiscal toll of the pandemic on
200 INCREASE IN
BROADCAST HITS
a select group of scholars and practi-
tioners analyzed the evidence on
state and city budgets, unlikely to
be offset by even the most generous 80 INCREASE IN LINKS TO
CITY JOURNAL CONTENT
6 Manhattan Institute President’s Update
Summer 2020
While ending stay-at-home orders
and moving to reopen the
economy sounds like a simple
task, its success will depend
critically on whether people
feel safe and secure enough
to resume normal activities.
A forceful but measured process
to lift restraints is critical.
Given the current budget crunch, School-level test-score data
the city’s $8.7 billion commitment to across the U.S. reveal that there is
build four borough jails will potentially a small but positive relationship between
overwhelm the capital budget, crowding the proportion of students within a
out other critical infrastructure priorities. geographic district who attend a charter
school as of 2009 and the test-score
growth for students enrolled in
traditional public schools in the same
district over the next seven years.
federal stimulus, will require making public that could otherwise go toward bridges,
services more cost-effective. In New York tunnels, and roads. Moreover, the city’s plan
City, Mayor Bill de Blasio shows other cities would require lowering its jail population by
(and states) what not to do. In an MI issue 42 percent, even if there is no comparable
brief, “De Blasio’s Budget: Putting Off the reduction in the crime rate. In a New York
Tough Decisions,” adjunct fellow Eric Kober Post adaptation, Gelinas urged the city
observes that in his preliminary budget, de to instead invest in modernizing Rikers,
Blasio eschews the tough choices required transferring prisoners to new state-of-the-
of leadership in a crisis. Declining to lower art jails on the island as they come online.
the city’s budget by even as much as a In response to the pandemic’s squeeze on
percentage point, the mayor proposes no school district budgets, officials at all levels
personnel reductions—despite having added of government must adopt a clear-eyed
20,000 employees to the city’s payroll over perspective on where limited funding can
his tenure. best be used. Senior fellow Max Eden, writing
Efficiencies, however, are there for at RealClearPolicy (“Schools Risk Drowning
the taking—as MI senior fellow and City in Red Ink”), identified several areas of
Journal contributing editor Nicole Gelinas spending that have been shown to hold little
details in a report criticizing the de Blasio correlation to learning: pre-K, “diversity,
administration’s plan to shutter New York’s equity, and inclusion” initiatives, and
Rikers Island prison campus and build new professional development for teachers. MI’s
high-rise jails in four of the city’s boroughs. education policy director, Ray Domanico,
In her report, Gelinas shows how the city can writing in City & State New York, argued that
improve its jail system at much lower cost and to preserve much-needed services for kids,
with less risk to public safety than is possible salaries should be frozen for teachers, given
through the city’s current plan, which is that they have already received considerable
projected to cost at least $8.7 billion—money raises in recent years.
7
Fiscal constraints imposed by the pandemic effectively direct education dollars, suggests
should also prompt policymakers to consider Eden in his latest report: “Advanced Oppor-
the benefits of charter schools, which often tunities: How Idaho Is Reshaping High Schools
operate at a lower cost compared with tradi- by Empowering Students.” In Idaho, the state
tional public schools. Though critics have provides each student with a grant of $4,125
claimed that charters harm district schools that can be spent as they see fit—whether on
by “creaming” the best students, MI senior advanced placement courses, college classes,
fellow Marcus Winters’s latest report debunks professional certification examinations, or, as
of this school year, workforce development
and apprenticeship courses. Eden’s report,
The genius of American civil society which was cited by Politico and featured in
has been apparent since the start of the Washington Examiner, demonstrates
the virtue of tying education investment to
the pandemic. Faced with a once- students rather than to school systems.
The genius of American civil society has
in-a-century challenge, millions of been apparent since the start of the pandemic.
Faced with a once-in-a-century challenge,
ordinary citizens took action to help millions of ordinary citizens took action to
their neighbors in need. help their neighbors in need—from check-
ing in on the elderly and volunteering at
food banks to donating books and supplies
that canard. Winters shows that the presence to students who have been kept away from
of charter schools correlates with improved their classrooms. Long attuned to the indis-
test scores for all kids, suggesting that pensable role of civil society, since 2001 MI
students are better served by a system that has recognized privately funded nonprofit
forces traditional public schools to compete organizations that reflect the best of this
with other offerings. American tradition, an effort spearheaded by
Parents and students themselves may be senior fellow Howard Husock. MI will confer
in the best position to determine how to most the 2020 Civil Society Awards in the fall.
180 2020 AWARD NOMINATIONS
165 UNIQUE
ORGANIZATIONS
CITIES ACROSS
THE U.S. 107
During the pandemic, the Institute has continued to engage its
community through an array of online events—from livestreaming
MI’s Shadow Open Market Committee (SOMC) and criminal-justice
conferences to convening panels for our Young Leaders Circle (YLC)
and Adam Smith Society members, and much more. For the Adam
Smith Society members who are still in business school or who are in
the earliest stages of their careers, the current economic disruptions
are particularly harrowing. MI’s event programming has helped these
members grow their personal networks and think through the
impact of Covid-19 and technological change with experts such as
MI senior fellow and Harvard University economist Edward Glaeser
and George Mason University economist Tyler Cowen.
For upcoming virtual event details, please contact:
events@manhattan-institute.org
9
Data visuals excerpted from Brian Riedl’s “Coronavirus Budget Projections”
issue brief appeared on national television.
The generation of private resources to on years of Capitol Hill experience, MI senior
fuel civil society requires wise, pro-growth fellow Brian Riedl has sounded the alarm
policies from the federal over America’s deteriorating fiscal position.
With the addition of government. At the most
recent meeting of MI’s
With deficits already rising due to increases
in entitlement spending, the federal debt has
the Covid-19-related Shadow Open Market grown even more burdensome as trillions
Committee (SOMC)—a of dollars in relief spending flowed out of
outlays, total U.S. group of economists who Washington this spring. Riedl estimates
follow and analyze the the 2020 budget shortfall at $4.2 trillion—
borrowing now rivals decisions of the Federal greater than the budget deficits from 2014
that of the World War II Reserve—panelists assessed
the Fed’s emergency
to 2019 combined. With the addition of the
Covid-19-related outlays, total U.S. borrow-
years. response to the coronavirus. ing now rivals that of the World War II years.
Panelists discussed the Borrowing from the future, Riedl explains, is
pandemic’s deflationary pressure on prices, a viable strategy only if it represents a modest
the Fed’s unprecedented move into amount of anticipated
the corporate and municipal debt wealth. The rapid
markets, and how the Fed’s actions America must both economic growth of
compare with those taken by the the postwar era made
world’s other central banks. There jumpstart growth this true of World War
was consensus that in an era of low II’s borrowing binge.
real interest rates and an already-
and close the gap In order to repeat the
large Fed balance sheet, the onus on its annual deficit. successful deleverag-
for prudent economic management ing of the 1950s, when
increasingly falls to Congress, where the ratio of federal
fiscal policy ought to be set. debt to GDP fell by almost half, America must
Indeed, it is in Congress where America both jumpstart growth and close the gap on
must address mounting federal debt. Drawing its annual deficit.
10 Manhattan Institute President’s Update
Summer 2020
How to achieve these two seemingly Our nation is still reeling from the
incompatible goals is the subject of upheaval and discord of recent months.
Austerity: When It Works and When It The months ahead will be a time of great
Doesn’t, by Alberto Alesina, Carlo Favero, consequence for American public policy.
and Francesco Giavazzi, the winner of this With your support, MI can help shape a
year’s Friedrich Hayek Book Prize. Inspired future for our cities and country that favors
and supported by MI trustee Thomas W. racial comity, public health and safety,
Smith, MI’s Hayek Prize recognizes the private-sector innovation, and flourishing
book that best reflects the great economist’s communities. On October 20, we will
insights into the functioning of markets and convene MI’s annual Alexander Hamilton
the limits of centralized planning; its Award Dinner, where we will honor
honorarium of $50,000 makes it one of philanthropist and charter school advocate
The months the world’s most generous book prizes. Daniel S. Loeb, as well as the Federalist
ahead will be The authors of Austerity explain that
not all debt reduction is created equal.
Society’s Eugene Meyer and Leonard Leo.
The funds raised at the dinner will both
a time of great Based on exhaustive data sets from enable our scholars’ research and support
the many countries that have found the Institute’s ability to bring their ideas
consequence themselves ensnared in debt crises, to policymakers and citizens across the
the authors observe that the drag on country. We thank you for your interest in
for American economic growth is much worse when MI’s work and hope that you will lend your
public policy. austerity is primarily achieved by tax
increases rather than spending cuts.
support to our mission.
Alesina, a former chairman of Harvard’s
economics department and a giant in the Thank you,
field, sadly passed away earlier this year.
His intellectual contributions, however,
will remain highly relevant to protecting
the prospects of future generations from an Reihan Salam
irresponsible debt burden.HONOREES
TWENTIETH ANNUAL GALA Eugene Meyer
SAVE THE DATE & Leonard Leo
THE FEDERALIST SOCIETY
Daniel S. Loeb
THIRD POINT LLC
IN MEMORIAM F O R M E R M A N H AT TA N
RICHARD GILDER INSTITUTE CHAIRMAN
MI gratefully remembers the friendship and leadership of the late
Richard “Dick” Gilder, former MI board chairman and one of New York
City’s most prominent philanthropists. As MI senior fellow Howard
Husock noted in his remembrance of Gilder in City Journal, “Gilder’s
best-known philanthropic initiative, the Central Park Conservancy,
transformed a crime-ridden dust bowl back into the jewel designed
by Frederick Law Olmsted—the world’s most famous green space.”
Gilder’s good works included his generous support of the New-York
Historical Society and his founding, alongside Lew Lehrman, of the
Gilder Lehrman Institute of American History, which is dedicated
to improving the quality of history education nationally. At MI and
across the city and country he loved, Dick Gilder is deeply missed.52 Vanderbilt Avenue | New York, NY 10017 | 212.599.7000 | support@manhattan-institute.org | manhattan-institute.org
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