How Many are Coming to My Party or Wedding?

Have you ever given a party or planned a wedding and been stressed about ordering or cooking enough food?  If you knew exactly how many people were coming, the party would be much less stressful!  The problem is that today many people cannot or will not tell you ahead of time if they are coming.  People are so last minute in making up their minds.  Given this problem, how do you figure out weeks or days ahead of time “how many people are coming to the party” so you can tell the caterer or purchase food for the right number?

Continue reading How Many are Coming to My Party or Wedding?

Will Fast Food Kill You?

I have recently been doing research into the question “Is it Really Just the Poor Who Eat Fast Food?”  when I came across an amazing article by Rudelt, French, and Hamack.  The article came out in September in the journal “Public Health Nutrition,” which is not a magazine most people read on a daily basis so I want to point it out here.

The authors look at how much sodium (Na) is in the food sold by fast food restaurants like McDonalds, Burger King, KFC and Taco Bell. Most sodium in our food comes from table salt, which is sodium chloride.  They write sodium is important because “High blood pressure is the most common risk factor for heart disease and stroke, the first and fourth leading causes of death  in the USA. High-Na diets are also associated with kidney disease and osteoporosis as well as stomach cancer.”

We all know fast food has a lot of salt.  Not only does the article point out how much, it shows the changes at 7 points in time from 1997 to 2009.  The article shows how much sodium is in the typical (median) lunch/dinner entree.  In 1997 the typical burger or chicken meal had 883 mg.  By 2009 the sodium content of the typical entree had risen to 1,015 mg, which is a 15% increase.  Fast food restaurants on average have been boosting the amount of salt by roughly 1% each year.

The CDC recommends that adults should have less than 2,300 mg of sodium per day and that people over 51 should limit themselves to 1,500 mg.  In simple terms eating two burgers at McDonalds almost puts you at your daily limit, before you start in on the fries.

The rising levels of salt bring up an interesting economic problem.  Consumers clearly like their fast food.  These same consumers clearly dislike the rapid rise in medical care costs and insurance the US has been experiencing.  When is it right for the government to control or mandate how much salt we eat in fast food restaurants to protect health?  Should the government have no control over the rising levels of fast food salt and leave us free to make our own decisions, or should the government begin to regulate hamburgers, much like it regulates cigarettes?

Advice to High School Students: Why Should You Go To College?

I teach a large Introduction to Macroeconomics class every Spring.  For a number of years one of the local charter high schools has sent a group of their seniors to my class to give them a taste of college.  A few days ago I went to the charter high school to meet the 13 students who will be taking my class.  One of the things I talked to them about was why it is important to go and finish college.

As an economist I laid out a pretty simple argument.  If you get a 4 year college degree you earn a lot more money.  I used the Bureau of Labor Statistics quarterly “Usual weekly earnings of wage and salary workers” news release as the basis for my argument.  The numbers I used came from table 5 of the Nov 1, 2013 release, but the answers haven’t changed much from year to year.

I divided the class up into men and women and had each gender look at the table and do their own calculations.  The table shows the median weekly earnings for people with just a high school degree were $742 a week for men and $569 a week for women.  The median weekly earnings for people with just a bachelor’s degree and no higher education were $1,267 for men and $941 a week for women.

While there are many more complex and correct ways to calculate lifetime wages (see my Business Macroeconomics textbook’s Chapter 14 section 3) I had them do a simple calculation.  First they multiplied the weekly figures by 52 to turn the numbers into yearly averages.  Then they multiplied the result by 40 since the average person spends about 40 years in the labor force.  We finally rounded the results and got the following table.

Men With Just a High School Degree $1.5 million lifetime earnings

Men with a College Degree $2.6 million lifetime earnings

Additional amount earned by going to college $1.1 million

============================================

Women With Just a High School Degree $1.2 million lifetime earnings

Women with a College Degree $2.0 million lifetime earnings

Additional amount earned by going to college $800 thousand

There were two reactions to the table.  The first was anger by a lot of women about the large difference in lifetime pay.  The second was the recognition that even if college is expensive it clearly seems worth it to go and graduate.  I don’t know if the promise of more gold at the end of the rainbow will help some of them complete college but it is eye-opening how large the pay gap is currently between high school graduates and college graduates.

Jumping into Mirror Lake

The Provost just sent out a message saying that this year the annual jump (shove??) into Mirror Lake after the “Beat Michigan” rally will be more controlled than usual with only people with official wrist bands allowed into the lake area.    For some people (like parents) jumping into Mirror Lake is tough to understand.  Mirror Lake is cold and filthy.  Plus, the weather tomorrow is supposed to be rotten.  Many people who jump in will be cold and miserable after doing it.

If you are going to jump in I offer two pieces of advice.  First, spend one minute thinking about the small stuff.  One of my children went to a semi-organized event, similar to the jump into Mirror Lake.  The big difference was that instead of a lake it was a partially frozen river.  The organizers promised lots of free hot coffee and hot chocolate (plus beer) to anyone who jumped in.  The organizers were true to their word and brought giant containers of very hot drinks.  Unfortunately, they forgot about bringing cups so no one was able to drink anything to warm up.   One minute of checking for the small but important stuff can be all the difference between having fun tomorrow and not.

Second, don’t tell your parents until after you do it.

Go Bucks!!