In response to Fabio's comments: If you just start by saying "what's the optimal number of math or english PhDs" then obviously you are going to get nowhere. A better procedure, however, is to say that the current situation is non-optimal if it is based upon arbitrary factors.
In particular, the distribution of students and budgets can't be optimal if it is based on the fact that some professors and disciplines arbitrarily grade easier than other professors and disciplines. Thus, rather than say "I think there should be more math and science degrees" I say "I think the choice of what degree to puruse should not be based on an arbitrary grade inflation factor." Alex P.S. I very much doubt that such a system is second-best optimal. Here is a test for all such arguments (in this and in other contexts). If all disciplines and professors graded on a common scale would anyone argue in *favor* of grade inflation in English? I seriously doubt it - thus such ex-post rationalizations should be given little weight (even - perhaps especially! - if they come from exceedingly clever people like Fabio). P.P.S. I was not reading the NYTimes this morning but I did find what Fabio was referring to, an article by Valen Johnson. Available here: http://www.nytimes.com/2002/04/14/edlife/14ED-VIEW.html Several years ago in Statistical Science, Johnson proposed a grading scheme that would overcome the grade inflation problem. You can find the paper on his home page, but to make a long story short the essential idea is to downweight an A from a professor/discipline that gives all As (and thus provides little discriminating information) and to upweigh an A from a professor/discipline where there are As and Cs. I was enthusiastic about Johnson's proposal when I brought it up on this list some time ago. There was some discussion then, I think Robin had some critiques - check the archives. Alex -- Dr. Alexander Tabarrok Vice President and Director of Research The Independent Institute 100 Swan Way Oakland, CA, 94621-1428 Tel. 510-632-1366, FAX: 510-568-6040 Email: [EMAIL PROTECTED]
