What is a Meaningful Life? What is a Meaningful Life? The purpose - PDF document

What is a Meaningful Life? What is a Meaningful Life? “The purpose of life, after all, is to live it, to taste experience to the utmost, to reach out eagerly and without fear for newer and richer experience.” ‒ Eleanor Roosevelt What is a Meaningful Life? What is a Meaningful Life? “Deprived of meaningful work, men and women lose their reason for existence; they go stark, raving mad.” ‒ Fyodor Dostoevsky 2018 Milken Institute Hamptons Dialogues Building a Stronger Future 1

P= S Ft i *( S HC i + S SC i + S RA i ) P = Prosperity Ft = Financial Technology HC = Human Capital SC = Social Capital RA = Real Assets P= S Ft i *( S HC i + S SC i + S RA i ) Financial Human Social Real Technology Capital Capital Assets Innovative processes & Productivity: Rule of law Cash   Property rights Receivables components including: Skills    Convertible bonds Education Public health Real estate     Universal education Factories Preferred stock Training     High-yield bonds Experience Religious freedom Capital     Collateralized loans Creativity Police/fire protection equipment    Cultural resources Roads Collateralized bonds Habits     Equity-linked Values Universal suffrage Buildings     Protection of creditors Infrastructure securities Health    Securitized obligations Rigorous financial   (mortgages, credit reporting standards Transparent markets cards, etc.)  Derivatives Regulatory continuity   2018 Milken Institute Hamptons Dialogues Building a Stronger Future 2

Financial Technologies • Collateralized loan obligations • Collateralized bond obligations • Securitized mortgages • Securitized credit cards • Derivatives • Convertible bonds • Preferred stock • High-yield bonds America Goes to Work U.S. and Fortune 500 Employment 180 U.S. = + 62 million jobs 160 New financial technologies are fully implemented 140 120 100 Modern capital 80 markets begin Fortune 500 = minus 4 million 60 1970 1975 1980 1985 1990 1995 2000 Source: Bureau of Labor Statistics, Bloomberg, Thomson Reuters. 2018 Milken Institute Hamptons Dialogues Building a Stronger Future 3

U.S. small businesses represent … U.S. small businesses represent …  Almost 50% of private U.S. GDP  99.7% of all employers  48% of private-sector workers  58% of high-tech workers  1.9 million of net new jobs  $3.3 trillion+ in annual payroll Source: Small Business Administration (Statistics of U.S. Businesses/2015); U.S. Census; US Bureau of Labor Statistics The 21 st century is being defined by a worldwide competition for human capital. 2018 Milken Institute Hamptons Dialogues Building a Stronger Future 4

Human capital is the largest asset class. Human Capital Human Capital Gary Becker, 1992 Nobel Prize in Economics “To most of you, capital means a bank account, stock certificates or factories. “I’m talking about a different kind of capital. Schooling, a computer training course, expenditures on medical care and lectures on the virtues of punctuality and honesty are capital too.” 2018 Milken Institute Hamptons Dialogues Building a Stronger Future 5

Three Ways to Build Human Capital  Immigration  Health  Education “They’re taking our jobs.” European immigrants Chinese railroad workers Black migration to the north Mexican “braceros” Vietnamese shrimpers Today 2018 Milken Institute Hamptons Dialogues Building a Stronger Future 6

Immigrants Seek Strong Social Capital Throughout history, people have sought to live in nations that provide the freedoms that come with vibrant social capital – especially the Rule of Law. In the 19 th century, 50 million Europeans emigrated to America. Where U.S. Immigrants Were Born 1960 Today Europe Canada 12% Europe Other 2% Other 1% 75% 5% Asia 5% Latin America 9% Asia 28% Latin Canada America 10% 54% Sources: Migration Policy Institute, U.S. Census, United Nations Population Division, 2015 Note: 2015 figures sum to 101% due to rounding. 2018 Milken Institute Hamptons Dialogues Building a Stronger Future 7

60% of Chinese people with assets exceeding $1.6 million are thinking about emigrating to the U.S. or Europe. Source: U.S. Department of Homeland Security (WSJ 2/22/12 “ Plan B for China ’ s Wealthy: Moving to the U.S./Europe) Immigration Facts  35% of all U.S. Nobel Prize winners are immigrants.  83% of finalists in the 2016 Intel Science Talent search were children of immigrants.  40% of Fortune 500 company founders were immigrants or children of immigrants.  Immigrants start businesses at twice the rate of other Americans.  Incarceration rate of immigrants is nearly half of U.S. citizens.  Without immigrants, the U.S. has had no population growth since 1970. Sources: Bret Stephens, New York Times, Four Questions About American Greatness , Dec. 7, 2017 2018 Milken Institute Hamptons Dialogues Building a Stronger Future 8

Immigrant Inventors Foreign-born scientists in the U.S. are listed among the inventors on…  More than five out of six information-technology patents  Almost eight out of 10 pharmaceutical drug patents  Three out of four patents in molecular biology and microbiology. Sources: Partnership for a New American Economy The Value of Health The Value of Health Each life is priceless… but in economic terms, over the past two centuries, as much as 50% of all economic growth can be traced to advances in health. 2018 Milken Institute Hamptons Dialogues Building a Stronger Future 9

Worldwide Life Expectancy Four million years 118 years 72 produced an 11-year produced a 41- increase from 20 to 31. year increase. 31 1900 2018 James Carey: Longevity; United Nations Development Program Some Major Diseases Now Mostly Controlled Some Major Diseases Now Mostly Controlled  Chicken pox  Pneumococcal disease  Diphtheria  Polio  H. influenza -caused  Tetanus invasive diseases  Typhoid fever  Measles  Yellow fever  Pertussis  Smallpox Source: Discovery Fit & Health 2018 Milken Institute Hamptons Dialogues Building a Stronger Future 10

What caused the increase?  Vastly improved sanitation  Development of antibiotics  Implementation of vaccines  Progress against heart disease  Investment in bioscience research We have entered a new Age of Medicine.  Immunology  Precision medicine  Genomics  Powerful diagnostic tools 2018 Milken Institute Hamptons Dialogues Building a Stronger Future 11

Pathologist vs. Computer  Two highly skilled pathologists assessing the same slide will agree only about 60% of the time.  Machine-learning predicted patient survival times better than the standard practice of pathologists. Source: Stanford University School of Medicine ROI of Young Investigators Percentage of Epilepsy MFF Grant Researchers Still Active 100% 75% 7% Late-Stage Mid-Level Young Investigator Career Awards Career Awards Awards Source: Philanthropy Advisory Service, Milken Institute 2018 Milken Institute Hamptons Dialogues Building a Stronger Future 12

Impact of PCF Young Investigators Impact of PCF Young Investigators 10 FDA-approved treatments for prostate cancer since 2010. Provenge: stimulates tumor immunity  Xgeva: improves quality of life by reducing side effects  Jevtana: chemotherapy that kills prostate cancer cells  Zytiga: reduces testosterone, resulting in longer life  Xtandi: blocks testosterone’s cancer targets and prolongs life  Xofigo: results in less medication to control bone pain  Erleada: treatment for those who fail testosterone reduction  Zytiga + Prednisone: delays cancer progression by 18 months  Pembrolizumab: precision immunotherapy for solid tumors  Xtandi: secondary approval for non-metastatic CRPC  Return on Human Capital Investment Preschool Programs Return School Job Training Age Source: James Heckman, University of Chicago 2018 Milken Institute Hamptons Dialogues Building a Stronger Future 13

“ By age 5, it is possible to predict with depressing accuracy who will complete high school and who won’t. ” James Heckman Nobel Prize in Economics Source: New York Times – July 29, 2008 Do human capital strategies work? Per Capita GDP Singapore 1960 2017 $2,271 $51,431 Jamaica $2,255 $5,017 Source: IMF Outlook (9/28/17). 2018 Milken Institute Hamptons Dialogues Building a Stronger Future 14

Beverly Hills High School Canada Canada 46 th percentile in math 87.7 % rank “proficient” students or above in math. Singapore 34 th percentile in math Sources: City-Data.com / Global Report Card (Jay Greene and Josh McGee) University-Community Outreach Program ( (UCOP) Program at Berkeley, Columbia, USC and Wharton designed to create productive partnerships within their communities. Mentoring  Scholarships  Young Entrepreneurs  Tutoring  Community workshops  Assistance to local businesses  2018 Milken Institute Hamptons Dialogues Building a Stronger Future 15