Lunch with Tyler

academic salaries, alternative countries to live in, Financial crisis, Tyler Cowen 1 Minute

I had lunch with my colleague (also famous blogger) Tyler Cowen today at a new Indian place in Fairfax. Our conversation drifted all over the map –from the economic crisis to health care to what higher education might actually look like 10-15 years from now.

We also talked about what other countries might be reasonable to live in for academic types such as ourselves if, as seems perhaps less likely now, economic Armageddon ensues. Tyler liked both Mexico and Thailand (the assumptions here are perhaps $40K/year–not the $10M that Tyler was talking about a while ago in his blog–i.e. reality). I mentioned the Netherlands because of their superb and stable social welfare system, but Tyler was quick to disabuse me of that idea–if the US goes, Western Europe will most assuredly go also. Forget “decoupling”.
But, if you consider decoupling, well then Brazil begins to look pretty good according to Tyler (and I agree with him). They make all their own food. They are essentially energy independent, and they don’t do a lot of trade with either the U.S. or China. So they would probably be able to continue, although they would be much poorer.
Well, in that case, I’d definitely chose Sao Paolo, the Los Angeles of Brazil. The only problem with that pointed out Tyler, is that the housing costs would pretty much be the same as here in DC–not really possible on $40K a year.
So I ask you, dear reader–what country would you chose, in case the U.S. goes broke?
Jim
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Published by jlolds

Native Angeleno, professor of Neuroscience and Public Policy at George Mason University

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5 thoughts on “Lunch with Tyler”

  1. The only thing Sao Paulo shares with LA is the huge traffic jams. As someone pointed out, crime and corruption are astronomical compared to the US or Western Europe (and many other emerging countries as well).

    Infra-structure is very problematic (“fast” internet is slow, roads are horrible outside Sao Paulo state, etc…)

    It is certainly a good place to make money (in fact, the best in Brazil) if you have the right connections and abilities.

    Another advantage of Brazil for Americans is the relatively similar culture (as compared to China, Russia or India).

    I am not sure about your assessment that Brazil doesn't do a lot of trade with China. It does, and it's huge. China is buying Brazilian commodities like crazy. Also, the economy is practivally government-driven (Petrobras is state-owned and Vale the govt has its fingers everywhere- even in the so-called “private” Vale).

    But Brazilians do know how to party, and the girls are amazingly beautiful, so one could go along quite well down there…

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  3. But crime in Sao Paulo is insane. Would you have a guard? Live in a gated community? Have the giant cinder block walls topped by barbed wire and broken glass?

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