I pay tribute to scientists who I think have done excellent empirical research.

Blair Fix

Data science is all the rage right now. The data scientist uses
complicated algorithms and sophisticated statistics to analyze reams of
'big data'. Don't get me wrong --- I'm all for analyzing big data. But I
don't want to forget about an equally important form of empirical
research: *muckraking*.

Empirical muckraking is the slow, tedious process of searching for
scattered data. It requires pulling together disparate sources --- using
datasets that were never designed to go together. It requires endless
hours of searching the internet. And before the internet, it required
actually going to a *library*. You had to move your feet!

In data science, computational power is everything. In empirical
muckraking, the researcher's resolve is what matters. Empirical
muckraking is painstaking and unsexy. But it's absolutely necessary for
good social science.

Why? In a word, *history*. Data science is blind to history. You know
those reams of data generated by social media? They go back about 10
years. Although we may forget, the world did exist before Facebook,
Twitter, and Instagram. And unlivable as it was, that dark age needs to
be studied.

Studying economic history requires empirical muckraking. The farther
back you want to go, the more tedious it gets. But it can lead to
spectacular new knowledge. So let's celebrate some great examples of
empirical muckraking.

### Nitzan and Bichler's Buy-to-Build Indicator

During the 1990s, *corporate mergers* became part of the public
zeitgeist. But what is the *deep* history of mergers and acquisitions?

Jonathan Nitzan and Shimshon Bichler piece together the puzzle with
their 'buy-to-build' indicator. This indicator measures the dollar value
of mergers and acquisitions expressed as a percentage of gross fixed
investments. It tells us how much corporations are spending on *buying
other companies*, relative to how much they are spending on actually
*building things*. Nitzan and Bichler muckrake to put together a century
of US data:

<figure id="attachment_198" class="wp-caption aligncenter"
aria-describedby="caption-attachment-198" style="width: 657px">
<img
src="https://i0.wp.com/economicsfromthetopdown.com/wp-content/uploads/2019/04/buy_to_build.png?resize=657%2C604&amp;ssl=1"
class="aligncenter size-full wp-image-198" loading="lazy"
decoding="async" data-attachment-id="198"
data-permalink="https://economicsfromthetopdown.com/2019/04/17/three-cheers-for-the-empirical-muckraker/buy_to_build/"
data-orig-file="https://i0.wp.com/economicsfromthetopdown.com/wp-content/uploads/2019/04/buy_to_build.png?fit=657%2C604&amp;ssl=1"
data-orig-size="657,604" data-comments-opened="1"
data-image-meta="{&quot;aperture&quot;:&quot;0&quot;,&quot;credit&quot;:&quot;&quot;,&quot;camera&quot;:&quot;&quot;,&quot;caption&quot;:&quot;&quot;,&quot;created_timestamp&quot;:&quot;0&quot;,&quot;copyright&quot;:&quot;&quot;,&quot;focal_length&quot;:&quot;0&quot;,&quot;iso&quot;:&quot;0&quot;,&quot;shutter_speed&quot;:&quot;0&quot;,&quot;title&quot;:&quot;&quot;,&quot;orientation&quot;:&quot;0&quot;}"
data-image-title="buy_to_build" data-image-description=""
data-image-caption="&lt;p&gt;Nitzan and Bichler’s Buy-to-Build Indicator&lt;/p&gt;
"
data-medium-file="https://i0.wp.com/economicsfromthetopdown.com/wp-content/uploads/2019/04/buy_to_build.png?fit=300%2C276&amp;ssl=1"
data-large-file="https://i0.wp.com/economicsfromthetopdown.com/wp-content/uploads/2019/04/buy_to_build.png?fit=657%2C604&amp;ssl=1"
data-recalc-dims="1" width="657" height="604" alt="buy_to_build" />
<figcaption>Nitzan and Bichler’s Buy-to-Build Indicator <a
href="http://bnarchives.yorku.ca/259/2/20090522_nb_casp_full_indexed.pdf">(Source)</a></figcaption>
</figure>

More recently, Joe Francis compiled an [open source
update](http://www.joefrancis.info/buy-to-build-indicator/) of the
buy-to-build indicator. This is great empirical muckraking.

### Angus Maddison's Deep Economic History

[Angus Maddison](https://en.wikipedia.org/wiki/Angus_Maddison) was a
British economic historian. Over his lifetime he muckraked to create a
dataset of long-run economic growth. For most economists, 'long-run'
means 100 years. But Maddison went back *2000 years*. It's a monumental
accomplishment.

Now, I am very critical of real GDP as a measure of economic scale. I've
written a [paper](https://osf.io/preprints/socarxiv/tfwju/) about the
problems with real GDP, and I hope to have a blog post about it shortly
(I'm going to collaborate with Nitzan and Bichler on this). But my
skepticism of real GDP does not diminish the importance of Maddison's
work. Maddison died in 2010. Thankfully the [Maddison Project
Database](https://www.rug.nl/ggdc/historicaldevelopment/maddison/releases/maddison-project-database-2018)
continues to host this important data.

### Vaclav Smil --- The Energy Oracle {#vaclav-smil-the-energy-oracle}

[Vaclav Smil](https://en.wikipedia.org/wiki/Vaclav_Smil) is by far the
most prolific energy muckraker out there. I'm not going to try to
summarize his research. Just look at his list of publications
[here](http://vaclavsmil.com/publications/).

But I will leave you with a beautiful chart of Smil's data. Gail
Tverberg has used Smil's data to make a fantastic series of charts on
world energy consumption. She uses Angus Maddison's population data too.
See the whole series
[here](https://www.financialsense.com/contributors/gail-tverberg/world-energy-consumption-since-1820-in-charts).
Below is Tverberg's chart for energy use per capita. Credit to Tverberg
for such a pretty chart, and credit to Smil for muckraking the energy
data.

<figure id="attachment_200" class="wp-caption aligncenter"
aria-describedby="caption-attachment-200" style="width: 753px">
<img
src="https://i0.wp.com/economicsfromthetopdown.com/wp-content/uploads/2019/04/per-capita-world-energy-by-source.png?resize=723%2C436&amp;ssl=1"
class="aligncenter size-full wp-image-200" loading="lazy"
decoding="async" data-attachment-id="200"
data-permalink="https://economicsfromthetopdown.com/2019/04/17/three-cheers-for-the-empirical-muckraker/per-capita-world-energy-by-source/"
data-orig-file="https://i0.wp.com/economicsfromthetopdown.com/wp-content/uploads/2019/04/per-capita-world-energy-by-source.png?fit=753%2C454&amp;ssl=1"
data-orig-size="753,454" data-comments-opened="1"
data-image-meta="{&quot;aperture&quot;:&quot;0&quot;,&quot;credit&quot;:&quot;&quot;,&quot;camera&quot;:&quot;&quot;,&quot;caption&quot;:&quot;&quot;,&quot;created_timestamp&quot;:&quot;0&quot;,&quot;copyright&quot;:&quot;&quot;,&quot;focal_length&quot;:&quot;0&quot;,&quot;iso&quot;:&quot;0&quot;,&quot;shutter_speed&quot;:&quot;0&quot;,&quot;title&quot;:&quot;&quot;,&quot;orientation&quot;:&quot;0&quot;}"
data-image-title="per-capita-world-energy-by-source"
data-image-description=""
data-image-caption="&lt;p&gt;Gail Tverberg’s chart of world energy use per capita. She uses data from Vaclav Smil.&lt;/p&gt;
"
data-medium-file="https://i0.wp.com/economicsfromthetopdown.com/wp-content/uploads/2019/04/per-capita-world-energy-by-source.png?fit=300%2C181&amp;ssl=1"
data-large-file="https://i0.wp.com/economicsfromthetopdown.com/wp-content/uploads/2019/04/per-capita-world-energy-by-source.png?fit=723%2C436&amp;ssl=1"
data-recalc-dims="1" width="723" height="436"
alt="per-capita-world-energy-by-source" />
<figcaption>Gail Tverberg’s chart of world energy use per capita. She
uses data from Vaclav Smil. <a
href="https://www.financialsense.com/contributors/gail-tverberg/world-energy-consumption-since-1820-in-charts">(Source)</a></figcaption>
</figure>

### Thomas Piketty --- Modern Inequality {#thomas-piketty-modern-inequality}

I don't think I need to say much about [Thomas
Piketty](https://en.wikipedia.org/wiki/Thomas_Piketty). He's probably
the most famous economist in the world. Since publishing *Capital in the
Twenty-First Century*, he's become an academic rock star.

Many heterodox economists think Piketty's *theories* of inequality are
naive. I would be one of those economists. But this does not detract
from Piketty's empirical work. He's a prolific inequality muckraker.

Together with other researchers, Piketty has created the [World
Inequality Database](https://wid.world/). It's an invaluable tool for
understanding modern inequality. I'll leave you with one of Piketty's
most famous charts. Here's the history of inequality in the United
States:

<figure id="attachment_201" class="wp-caption aligncenter"
aria-describedby="caption-attachment-201" style="width: 950px">
<img
src="https://i0.wp.com/economicsfromthetopdown.com/wp-content/uploads/2019/04/graph-1.png?resize=723%2C415&amp;ssl=1"
class="aligncenter size-full wp-image-201" loading="lazy"
decoding="async" data-attachment-id="201"
data-permalink="https://economicsfromthetopdown.com/2019/04/17/three-cheers-for-the-empirical-muckraker/graph-1/"
data-orig-file="https://i0.wp.com/economicsfromthetopdown.com/wp-content/uploads/2019/04/graph-1.png?fit=950%2C545&amp;ssl=1"
data-orig-size="950,545" data-comments-opened="1"
data-image-meta="{&quot;aperture&quot;:&quot;0&quot;,&quot;credit&quot;:&quot;&quot;,&quot;camera&quot;:&quot;&quot;,&quot;caption&quot;:&quot;&quot;,&quot;created_timestamp&quot;:&quot;0&quot;,&quot;copyright&quot;:&quot;&quot;,&quot;focal_length&quot;:&quot;0&quot;,&quot;iso&quot;:&quot;0&quot;,&quot;shutter_speed&quot;:&quot;0&quot;,&quot;title&quot;:&quot;&quot;,&quot;orientation&quot;:&quot;0&quot;}"
data-image-title="Graph-1" data-image-description=""
data-image-caption="&lt;p&gt;This may be the most famous chart in modern economics. It’s Piketty’s data for the income share of the top 10% in the United States.&lt;/p&gt;
"
data-medium-file="https://i0.wp.com/economicsfromthetopdown.com/wp-content/uploads/2019/04/graph-1.png?fit=300%2C172&amp;ssl=1"
data-large-file="https://i0.wp.com/economicsfromthetopdown.com/wp-content/uploads/2019/04/graph-1.png?fit=723%2C415&amp;ssl=1"
data-recalc-dims="1" width="723" height="415" alt="Graph-1" />
<figcaption>This may be the most famous chart in modern economics. It’s
Piketty’s data for the income share of the top 10% in the United States.
<a
href="http://piketty.pse.ens.fr/en/capital21c2">(Source)</a></figcaption>
</figure>

### Branko Milanović --- Ancient Inequality {#branko-milanović-ancient-inequality}

Branko Milanović is the oracle of ancient inequality. He has muckraked
to compile inequality data for many pre-industrial societies. Here's a
chart of inequality versus GDP per capita for ancient societies:

<figure id="attachment_199" class="wp-caption aligncenter"
aria-describedby="caption-attachment-199" style="width: 661px">
<img
src="https://i0.wp.com/economicsfromthetopdown.com/wp-content/uploads/2019/04/milanovic.png?resize=661%2C485&amp;ssl=1"
class="aligncenter size-full wp-image-199" loading="lazy"
decoding="async" data-attachment-id="199"
data-permalink="https://economicsfromthetopdown.com/2019/04/17/three-cheers-for-the-empirical-muckraker/milanovic/"
data-orig-file="https://i0.wp.com/economicsfromthetopdown.com/wp-content/uploads/2019/04/milanovic.png?fit=661%2C485&amp;ssl=1"
data-orig-size="661,485" data-comments-opened="1"
data-image-meta="{&quot;aperture&quot;:&quot;0&quot;,&quot;credit&quot;:&quot;&quot;,&quot;camera&quot;:&quot;&quot;,&quot;caption&quot;:&quot;&quot;,&quot;created_timestamp&quot;:&quot;0&quot;,&quot;copyright&quot;:&quot;&quot;,&quot;focal_length&quot;:&quot;0&quot;,&quot;iso&quot;:&quot;0&quot;,&quot;shutter_speed&quot;:&quot;0&quot;,&quot;title&quot;:&quot;&quot;,&quot;orientation&quot;:&quot;0&quot;}"
data-image-title="milanovic" data-image-description=""
data-image-caption="&lt;p&gt;Ancient Inequality Data from Branko Milanović&lt;/p&gt;
"
data-medium-file="https://i0.wp.com/economicsfromthetopdown.com/wp-content/uploads/2019/04/milanovic.png?fit=300%2C220&amp;ssl=1"
data-large-file="https://i0.wp.com/economicsfromthetopdown.com/wp-content/uploads/2019/04/milanovic.png?fit=661%2C485&amp;ssl=1"
data-recalc-dims="1" width="661" height="485" alt="milanovic" />
<figcaption>Ancient Inequality Data from Branko Milanović. <a
href="http://documents.worldbank.org/curated/en/930881468168833179/pdf/WPS6449.pdf">(Source)</a></figcaption>
</figure>

The curved line is the 'inequality possibility frontier'. This is the
maximum inequality that is achievable at the given level of production.
I have my own ideas about what creates an inequality frontier --- I
think it has to do with the growth of hierarchy. I'll write about these
ideas later. But I'm glad that Milanović has done the tedious muckraking
so that I can come along and do 'high theory'. Kudos to Milanović.

### ... And many others {#and-many-others}

This has been a brief tour of the empirical muckrakers who I admire.
There are countless others doing important work. So don't send me an
angry email if I didn't put you on the list.

Let's hope that as big data envelops academic research, the noble
tradition of empirical muckraking continues.

------------------------------------------------------------------------

#### Support this blog

Economics from the Top Down is where I share my ideas for how to create
a better economics. If you liked this post, please consider becoming a
patron. You'll help me continue my research, and continue to share it
with readers like you.

[![patron_button](https://i0.wp.com/economicsfromthetopdown.com/wp-content/uploads/2023/05/supporter_button-1.png?w=220&ssl=1){.size-thumbnail
.wp-image-1180 .aligncenter decoding="async" attachment-id="1180"
permalink="https://economicsfromthetopdown.com/patron_button/"
orig-file="https://i0.wp.com/economicsfromthetopdown.com/wp-content/uploads/2020/02/patron_button.png?fit=434%2C102&ssl=1"
orig-size="434,102" comments-opened="1"
image-meta="{\"aperture\":\"0\",\"credit\":\"\",\"camera\":\"\",\"caption\":\"\",\"created_timestamp\":\"0\",\"copyright\":\"\",\"focal_length\":\"0\",\"iso\":\"0\",\"shutter_speed\":\"0\",\"title\":\"\",\"orientation\":\"0\"}"
image-title="patron_button" image-description="" image-caption=""
medium-file="https://i0.wp.com/economicsfromthetopdown.com/wp-content/uploads/2020/02/patron_button.png?fit=300%2C71&ssl=1"
large-file="https://i0.wp.com/economicsfromthetopdown.com/wp-content/uploads/2020/02/patron_button.png?fit=434%2C102&ssl=1"
recalc-dims="1"}](https://economicsfromthetopdown.com/membership/){target="_blank"
rel="noopener"}

------------------------------------------------------------------------

#### Stay updated

Sign up to get email updates from this blog.

:::: {.jetpack_subscription_widget}
##  {#section .widgettitle}

::: {.wp-block-jetpack-subscriptions__container}
Email Address

Keep me up to date
:::
::::

------------------------------------------------------------------------

[![](https://i0.wp.com/economicsfromthetopdown.com/wp-content/uploads/2021/03/by.png?w=150&ssl=1){.aligncenter
decoding="async"
recalc-dims="1"}](http://creativecommons.org/licenses/by/4.0/){rel="license"}  
This work is licensed under a [Creative Commons Attribution 4.0
License](http://creativecommons.org/licenses/by/4.0/){rel="license"}.
You can use/share it anyway you want, provided you attribute it to me
(Blair Fix) and link to [Economics from the Top
Down](https://economicsfromthetopdown.com/).

------------------------------------------------------------------------


Data science is all the rage right now. The data scientist uses complicated algorithms and sophisticated statistics to analyze reams of ‘big data’. Don’t get me wrong — I’m all for analyzing big data. But I don’t want to forget about an equally important form of empirical research:
<em>
 muckraking
</em>
.  Empirical muckraking is the slow, tedious process of searching for scattered data.

Messaggi di Rogue Scholar

Three Cheers for the Empirical Muckraker