Tag Archives: The Atlantic

Economics, Essays, Politics

Political Essay: ‘America’s Future Is Hungary’

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ATLANTIC MAGAZINE (March 31, 2025) :

lashy hotels and upmarket restaurants now dominate the center of Budapest, a city once better known for its shabby facades. New monuments have sprung up in the center of town too. One of them, a pastiche of the Vietnam War memorial in Washington, D.C., mourns Hungary’s lost 19th-century empire. Instead of war dead, the names of formerly “Hungarian” places—cities and villages that are now in Romania, Slovakia, Ukraine, Poland—are engraved in long granite walls, solemnly memorialized with an eternal flame.

But the nationalist kitsch and tourist traps hide a different reality. Once widely perceived to be the wealthiest country in Central Europe (“the happiest barrack in the socialist camp,” as it was known during the Cold War), and later the Central European country that foreign investors liked most, Hungary is now one of the poorest countries, and possibly the poorest, in the European Union. Industrial production is falling year-over-year.

Productivity is close to the lowest in the region. Unemployment is creeping upward. Despite the ruling party’s loud talk about traditional values, the population is shrinking. Perhaps that’s because young people don’t want to have children in a place where two-thirds of the citizens describe the national education system as “bad,” and where hospital departments are closing because so many doctors have moved abroad. Maybe talented people don’t want to stay in a country perceived as the most corrupt in the EU for three years in a row. Even the Index of Economic Freedom—which is published by the Heritage Foundation, the MAGA-affiliated think tank that produced Project 2025—puts Hungary at the bottom of the EU in its rankings of government integrity.

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Essays, Technology

Technology Essay: ‘The Unbelievable Scale Of AI’s Pirated-Books Problem’

THE ATLANTIC (March 20, 2025):

When employees at Meta started developing their flagship AI model, Llama 3, they faced a simple ethical question. The program would need to be trained on a huge amount of high-quality writing to be competitive with products such as ChatGPT, and acquiring all of that text legally could take time. Should they just pirate it instead?

Meta employees spoke with multiple companies about licensing books and research papers, but they weren’t thrilled with their options. This “seems unreasonably expensive,” wrote one research scientist on an internal company chat, in reference to one potential deal, according to court records. A Llama-team senior manager added that this would also be an “incredibly slow” process: “They take like 4+ weeks to deliver data.” In a message found in another legal filing, a director of engineering noted another downside to this approach: “The problem is that people don’t realize that if we license one single book, we won’t be able to lean into fair use strategy,” a reference to a possible legal defense for using copyrighted books to train AI.

‘…generative-AI chatbots are presented as oracles that have “learned” from their training data and often don’t cite sources (or cite imaginary sources). This decontextualizes knowledge, prevents humans from collaborating, and makes it harder for writers and researchers to build a reputation and engage in healthy intellectual debate.”

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One of the biggest questions of the digital age is how to manage the flow of knowledge and creative work in a way that benefits society the most. LibGen and other such pirated libraries make information more accessible, allowing people to read original work without paying for it. Yet generative-AI companies such as Meta have gone a step further: Their goal is to absorb the work into profitable technology products that compete with the originals. Will these be better for society than the human dialogue they are already starting to replace?

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Alex Reisner is a contributing writer at The Atlantic.

Essays, Ideas

Ideas: ‘Buy, Borrow, Die’

THE ATLANTIC MAGAZINE (March 17, 2025):

America’s superrich have always found ways to avoid paying taxes, but in recent years, they’ve discovered what might be the mother of all loopholes. It’s a three-step process called “Buy, Borrow, Die,” and it allows people to amass a huge fortune, spend as much of it as they want, and pass the rest—untaxed—on to their heirs. The technique is so cleverly designed that the standard wish list of progressive tax reforms would leave it completely intact.

Step one: buy. The average American derives most of their disposable income from the wages they earn working a job, but the superrich are different. They amass their fortune by buying and owning assets that appreciate. Elon Musk hasn’t taken a traditional salary as CEO of Tesla since 2019; Warren Buffett, the chair of Berkshire Hathaway, has famously kept his salary at $100,000 for more than 40 years. Their wealth consists almost entirely of stock in the companies they’ve built or invested in. The tax-law scholars Edward Fox and Zachary Liscow found that even when you exclude the 400 wealthiest individuals in America, the remaining members of the top 1 percent hold $23 trillion in assets.

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In theory, a democratic system, operating on behalf of the majority, should be able to respond by making adjustments that force the rich to pay their fair share. But in a world where money readily translates to political power, voice, and influence, the superrich have virtually endless resources at their disposal to make sure that doesn’t happen. To make society more equal, you need to tax the rich. But to tax the rich, it helps for society to be more equal.

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Rogé Karma is a staff writer at The Atlantic.