A Political and Economic Basis for Innovation America 3.0 * A Three act play New Reality 1 Food Crises & Revolution The Arab spring uprisings were more to do with food prices than politics. * Third Shock in 4 years We are about to enter a new cycle of food price rises * Population Explosion All inexorably driven by population growth in places with food and ecology stresses * The Coming Water Crisis Lack of water being the most dramatic. * Ethnic Tensions In the Mid east, almost every country, including Israel will be wracked by sectarian tensions for years to come. We are a bystander as recent events have shown. * Starvation=Migration Ecological stress leads to migration, much of it towards Europe * European Muslim Tension This has led to right wing backlash throughout Europe * Chinese Dissent According to the New York Times authorities recorded 127,000 so-called mass incidents in 2010 Even in China, dissent is on the rise and will be accentuated as economic stresses expand. * * Balance of Power We are entering a new era where “it’s every nation for itself” as Merrill Lynch recently reported. This might look like earlier eras where there was a balance of power, such as the hundred years after the Congress of Vienna in 1814. * New Reality 2 -We really live in 2 americas - * Gun Control Laws 2 americas once again * Blue subsidizes Red California paid $318,000,000,000 in Federal Taxes in 2010 * Rural Power 215,000 citizens 18,000,000 citizens Today, with the filibuster, 21 of the 50 states, representing 11 percent of the population, can muster the 41 votes to stop a majority in the Senate. John Barasso-Wyoming Barbara Boxer-California * Gridlock This does not have to be our future. “Congress has largely been reduced from a lawmaking entity to a political operation.”-New York Times, July 12, 2013 -The people who want to make sure theres no federal gun control, marriage laws, they can always block it -Nothing happens in Washington (think about it) * Progressive Federalism“It is one of the happy incidents of the federal system that a single courageous state may, if its citizens choose, serve as a laboratory; and try novel social and economic experiments without risk to the rest of the country.” –Justice Brandeis * False Narratives * America 3.0 Energy independentReduced carbon footprintHighly educated publicReduced InequalityFiscal Sanity How do we get there? * America 1.0 “We shall be as a city on a hill. The eyes of the world will be upon us…we must be willing to abridge our selves of our superfluities, for the supply of others necessities”-John Winthrop America 1.0 We hold these truths to be self-evident, that all Men are created equal, that they are endowed by their creator with certain unalienable Rights, that among these are Life, Liberty and the Pursuit of Happiness Thomas JeffersonIt will be our policy to cultivate tranquility at.

1. A Political and Economic Basis for Innovation
America 3.0
*
A Three act play
New Reality 1
Food Crises & Revolution
The Arab spring uprisings were more to do with food prices
than politics.
*
Third Shock in 4 years
We are about to enter a new cycle of food price rises
*

2. Population Explosion
All inexorably driven by population growth in places with food
and ecology stresses
*
The Coming Water Crisis
Lack of water being the most dramatic.
*
Ethnic Tensions
In the Mid east, almost every country, including Israel will be
wracked by sectarian tensions for years to come. We are a
bystander as recent events have shown.
*
Starvation=Migration
Ecological stress leads to migration, much of it towards Europe
*

3. European Muslim Tension
This has led to right wing backlash throughout Europe
*
Chinese Dissent
According to the New York Times authorities recorded 127,000
so-called mass
incidents in 2010
Even in China, dissent is on the rise and will be accentuated as
economic stresses expand.
*
*
Balance of Power
We are entering a new era where “it’s every nation for itself” as
Merrill Lynch recently reported. This might look like earlier
eras where there was a balance of power, such as the hundred

4. years after the Congress of Vienna in 1814.
*
New Reality 2
-We really live in 2 americas
-
*
Gun Control Laws
2 americas once again
*
Blue subsidizes Red
California paid $318,000,000,000 in Federal Taxes in 2010
*
Rural Power
215,000 citizens
18,000,000 citizens
Today, with the filibuster, 21 of the 50 states, representing 11
percent of the population, can muster the 41 votes to stop a

5. majority in the Senate.
John Barasso-Wyoming
Barbara Boxer-California
*
Gridlock
This does not have to be our future.
“Congress has largely been reduced from a lawmaking entity to
a political operation.”-New York Times, July 12, 2013
-The people who want to make sure theres no federal gun
control, marriage laws, they can always block it
-Nothing happens in Washington (think about it)
*
Progressive Federalism“It is one of the happy incidents of the
federal system that a single courageous state may, if its citizens
choose, serve as a laboratory; and try novel social and economic
experiments without risk to the rest of the country.” –Justice
Brandeis
*
False Narratives

6. *
America 3.0
Energy independentReduced carbon footprintHighly educated
publicReduced InequalityFiscal Sanity
How do we get there?
*
America 1.0
“We shall be as a city on a hill. The eyes of the world will be
upon us…we must be willing to abridge our selves of our
superfluities, for the supply of others necessities”-John
Winthrop
America 1.0
We hold these truths to be self-evident, that all Men are created
equal, that they are endowed by their creator with certain
unalienable Rights, that among these are Life, Liberty and the
Pursuit of Happiness Thomas JeffersonIt will be our policy to
cultivate tranquility at home and abroad and extend our
commerce as far as possibleGeorge Washington
1776-1915

7. *
Liberty, equality and anti-imperialism
Federalism“The true theory of our Constitution is that the states
are independent as to everything within themselves, and united
as to everything respecting foreign nations.”-Thomas Jefferson
The three ideas of Washington and Jefferson made us unique
*
Abandoning Federalism and Anti-imperialism
But we have abandoned both Washington’s anti-imperialism and
Jefferson’s federalism
*
If America were a company“We must lower the center of
gravity at IBM”-Sam Palmisano, former CEO
The centralization of power has led to sclerosis and like big
companies, we should force change.
*
America’s AdvantageFreedom and EqualityTranquility and

8. TradeFederalism and Experimentation
We can restore all three elements by 2020 and take advantage of
this networked revolution
*
The Public Good
Local
Federal
America 1.0
America 1.0 was built on a split between local control and
financing of schools, roads bridges and public services and
Federal control of big interstate projects like the railroads or
interstate highway system.
*
It worked pretty well
This combination of local and federal leads to the greatest gain
in income per capita in history.
*

9. The Inventive Society
It also lead to a very innovative society where bottom-up
enterprise could flourish in regional pockets of experimentation
*
America 2.0-Making the World Safe for Democracy
1917-2012
Woodrow Wilson entered the First World War and Federal
Government spending began it’s relentless climb
*
The Neoconservative GospelThe twin poles of the
Neoconservative philosophy first elucidated by Irving Kristol in
The Public Interest in 1965: In domestic affairs the national
government should shrink (by cutting taxes and business
regulations) In foreign affairs the government should grow (by
becoming the world’s sole military superpower).
*
Conservatives did not understand these two principles could
only lead to record deficits.
Reagan & Bush’s Legacy

10. Budget Priorities
*
The Free Rider Problem
*
The National Security State
Rise of the Plutocracy
Although tax cuts for the rich led to record incomes for the top
0.01%, it killed the middle class.
*
Savage Capitalism

11. The Crash of 2008
Productivity & Wages
“There appears to be a new tendency to substitute against labor.
It’s permanent, as long as there are alternatives like outsourcing
and robotics.”-Allen Sinai
The Outsourcing Revolution
Robots & Jobs
Labor vs. Capital
“Only 30% of the American workforce is actively engaged in
their work”-Gallup

12. *
Oligopoly
Number and Percentage of U.S. Manufacturing Industries in
which Largest Four Companies Accounted for at Least 50
Percent of Shipment Value in Their Industries
How the Other Half Lives
Bottom 2 Quintiles (40% U.S. Population)
Recovery without employment
4 million fewer workers
We have recovered from the crash of 2008 on a GDP basis, with
4 million fewer workers.
*
Fiscal Cliff or Sanity?
Reduce our Military Footprint

13. Declining Foreign Oil Dependence
Renewable Energy
That’s enough for 600 Million lightbulbs
The Soft Power Era
*
It is no longer a question: the sources of leadership, innovation
and change are coming from Decentralized, Networked
enterprises and governments.
Scale and Fragmentation Coexist
Proctor & Gamble, Coca Cola, WalMart, Pepsico, Colgate
Palmolive, Kimberly Clark. General Mills, Kraft, Kellogg,
Costco, Whole Foods, Altria, Mondelez
VDC
*
Jobs, Sustainability and Education

14. Progressive Federalism
I use California as an example of how New Federalism would
work. It could apply to any state.
*
Reversal of Fortunes
Energy Technology Efficiency
Invest, Divest & Prosper
*
Plug-In Hybrids
Modern Nuclear Power
*

15. Cooperation between builders and insurance co’s
Sustainable Agriculture
Steinbeck Innovation Cluster
*
Transportation and Walkable Cities
LA-San Francisco in 2 hours with minimal pollution
*
Federalist Health Care
California Lifestyle
Health Behavior
Schools

16. EducationDouble Teacher SalariesU.S. High School Teacher-
$36,000 (1.2x average income)Korean High School Teacher-
2.5x average income
Cut State University Tuition1978 tuition cost for a California
Resident-$4002012 tuition cost for a California Resident-
$21,000
*
The Virtuous Circle
A Cambrian MomentCloud ComputingGraphic Processing
Chips/systems-GPU’sSocial NetworksBig Data Analytic
EnginesSentiment Analysis2nd Screen-ubiquitous
computingTransmedia5D-building immersive worlds
The Imagination Economy
The Magic of Innovation
The Return of the Golden State

17. 240
220
200
180
160
140
120
100
80
1990 1995 2000 2005 2010
260
240
220
200
180
160
140
120

18. Fo
od
P
ri
ce
In
de
x
2004 2006 2008 2010 2012
Tunisia (300+)
Libya (10000+)
Egypt (800+)
Mozambique (6)
Cameroon (40)
Yemen (12)
Haiti (5), Egypt (3),
Cote d'Ivoire (1) Somalia (5)
Somalia (5)
India (4)
Mauritania (2)
Sudan (3) Tunisia (1)
India (1),

19. Sudan (1)
Mozambique (13)
Algeria (4), Saudi Arabia (1)
Mauritania (1), Sudan (1), Yemen (300+)
Oman (2), Morocco (5)
Iraq (29), Bahrain (31)
Syria (900+)
Uganda (5)
Burundi (1)
240
220
200
180
160
140
120
100
80
19901995200020052010
260
240
220
200
180
160
140
120
F
o
o

20. d
P
r
i
c
e
I
n
d
e
x
2004 2006 2008 2010 2012
Tunisia (300+)
Libya (10000+)
Egypt (800+)
Mozambique (6)
Cameroon (40)
Yemen (12)
Haiti (5), Egypt (3),
Cote d'Ivoire (1)
Somalia (5)
Somalia (5)
India (4)
Mauritania (2)
Sudan (3)
Tunisia (1)
India (1),
Sudan (1)
Mozambique (13)
Algeria (4), Saudi Arabia (1)
Mauritania (1), Sudan (1), Yemen (300+)
Oman (2), Morocco (5)
Iraq (29), Bahrain (31)
Syria (900+)

21. Uganda (5)
Burundi (1)
Formal Paper #1 Guidelines
- 3-4 types pages, double-spaced
- Works Cited should be on its own separate page
Grading: 20% of final grade
Format: MLA
Text:Virgin Suicides, Night, “We Are Calling to Offer You a
Fabulous Life”, “Waltz of the Midnight Miscarriage,” and
“Goodness and the Salt of the Earth”
Task: Choose no more than one chapter and no less than one
paragraph (for novels) and no more than one page and no less
than one paragraph (for short stories) that you believe holds the
key to understanding one of the story’s important themes.
Perform a close reading of that passage and describe what effect
it has on the reader and how it creates that effect. In addition,
describe how it connects to or helps explain the meaning of the
larger work.
Directions: Choose a passage which you find compelling and
which raises interesting questions in your mind. This can be a
single chapter or a series of paragraphs in any of the texts
we’ve read thus far. Read the passage carefully. Read the
passage several times. While you’re reading it, notice what
you’re noticing. Make annotations in the margins, mark places
where something clicks for you, underline phrases you find
interesting or confusing, paying particular attention to word
choice, irony/humor, repetition, sudden changes, and

22. contrasting or clashing elements (characters, places, events,
images, etc.).
Develop a thesis statement that explains why the passage you’ve
chosen is significant for understanding the work as a whole.
Make sure this thesis is contestable (not something that
everyone can agree on), supported by the text, and most
importantly, interesting to you. Remember that your whole
paper should reflect your thesis. This means you must use
specific examples from the text to back up your thesis argument
throughout. Furthermore, make sure you structure your paper,
ordering paragraphs logically to support your thesis.
Things You Should Consider: This is a formal analytical paper,
so please make sure that you have created a thoughtful, well-
written essay that focuses on one particular idea or aspect of the
text and demonstrates reflection and analysis rather than
unfocused feelings or simple personal responses. I’m looking
for you to write clearly, persuasively, and above all
interestingly, about what you find important to the meaning of
the story. It goes without saying that the essay you submit to me
must also be proofread.
A Note on MLA Citation:
I expect this to be in the standards of MLA format, which will
be the citation style we use in this class:
· No cover page
· On the top left-hand corner of the first page only, not in the
header: Your name, my name, course name, date due, word
count
· Suitable title in MLA style: no bold or underlining
· Times New Roman, 12-point font only
· Single-sided printing on otherwise blank white paper in black
ink
· MLA style double-spaced, 1-inch margins on top, bottom, left,
and right

23. · Numbered pages
· Indented paragraphs
· MLA style in-text parenthetical citations and MLA style
Works Cited page
· Must be stapled
· For more information, see Purdue OWL’s website
(owl.english.purdue.edu/owl/resource/747/01/)
Grading:
An A-range paper:
· Has a strong, clear thesis
· The thesis is grounded in evidence from the text
· Ideas are developed and refined as the essay progresses, i.e.
the writer does not simply state the same idea over and over
again
· The writer shows a good understanding of the literary terms
used (tone, style, character, etc)
· The essay is logically structured and flows smoothly from one
paragraph to the next
· The writing is engaging and demonstrates the writer’s interest
in the topic
· There are few if any grammatical or technical errors