Post Economics

Copyright is always government intervention

Monday, September 10th, 2007

Like the acknowledgement of copyright as censorship on the Google Policy Blog a few months ago, William Patry’s Copyright is always Government Intervention is too nice to pass up, though Patry is only criticizing copyright maximalists’ selective accusation of government intervention and the Google Policy Blog said that copyright is a justifiable reason for censorship.

Speaking of copyright as a tool for censorship, Techdirt points out that the Russian government is cracking down on software piracy — by dissidents.

Energy encryption

Saturday, September 8th, 2007

Steve Omohundro’s talk at today’s Singularity Summit made the case that a self-improving machine would be a rational economic actor, seeking to eliminate biases that get in the way of maximizing its utility function. Omohundro threw in one purely speculative method of self-preservation — “energy encryption” — by which he meant that an entity’s energy would be “encrypted” such that it could not be used by another entity that attacks in order to get access to more energy.

I note “energy encryption” here because it sounds neat but seems impossible and I can find no evidence of use in this way before Omohundro (there is a crypto library with the name).

The “seems impossible” part perhaps means the concept should not be mentioned again outside a science fantasy context, but I realized the concept could perhaps be used with artistic license to describe something that has evolved in a number of animals — prey that is poisonous, or tastes really bad. What’s the equivalent for the hypothetical in a dangerous part of the galaxy? A stock of antimatter?

I also found one of Omohundro’s other self-preservation strategies slightly funny in the context of this summit — a self-aware AI will (not should, but as a consequence of being a rational actor) protect its utility function (“duplicate it, replicate it, lock it in safe place”), for if the utility function changes, its actions make no sense. So, I guess the “most important question facing humanity” is taken care of. The question, posed by the Singularity Institute for Artificial Intelligence, organizer of the conference:

How can one make an AI system that modifies and improves itself, yet does not lose track of the top-level goals with which it was originally supplied?

I suppose Omohundro did not intend this as a dig at his hosts (he is an advisor to SIAI) and that my interpretation is facile at best.

Addendum: Today Eliezer Yudkowsky said something like Omohundro is probably right about goal preservation, but current decision theory doesn’t work well with self-improving agents, and it is essentially Yudkowsky’s (SIAI) research program to develop a “reflective decision theory” such that one can prove that goals will be preserved. (This is my poor paraphrasing. He didn’t say the words “reflective decision theory”, but see hints in a description of SIAI research and a SL4 message.)

microPledge

Monday, August 27th, 2007

microPledge looks like the most interesting effort to provide a platform for funding creation of public goods through donations that I’ve seen in awhile (which isn’t saying much). Their projects could be thought of as assurance contracts — you either get the software or your money back. Would be interesting to see them attempt to offer dominant assurance contracts — … or your money back, plus. They also have what looks to be a reasonable approaches to payments to creators while a project is in progress and quitting creators.

But the amounts pledged so far are micro.

Via Erik Möller and Jeff Bone.

Trends in international apartheid?

Monday, August 6th, 2007

Last month in an editoral titled Free people movement is the way to global prosperity, Mirko Bagaric makes the obvious case that most are oblivious to: birth jurisdiction is a bogus moral category and all of the usual objections to open borders are highly suspect. Go read the column, but I want to call out one interesting claim:

For most of human history there have been few migration limits. Now we are moving to an age of “anti-migration”. In 1976 only about 7 per cent of UN members had restrictive immigration policies. This rose to 40 per cent in the early part of the 21st century. Advanced (western) economies are at the forefront of this regrettable trend.

The first sentence really annoys me, as it is difficult to make non-glib historical comparisons, in this case as in many others. The last sentence seems highly suspect–I have not heard of poor jurisdictions with liberal immigration policies and I have heard of many with illiberal policies.

The figures in the middle are rather interesting, and probably come from the World Economic and Social Survey 2004, Chapter III on International migration policies (pdf), page 75 (as numbered; 7 in the pdf) which says that in

1976 when few Governments had explicit policies to modify migration flows; 7 per cent had a policy to lower immigration

while in 2003

some 40 per cent wish to lower immigration.

which says very little about whether legal barriers to migration and their enforcement have actually increased.

If you read the chapter it appears that migration is a policy issue for many more jurisdictions than in the past and the overall policy mix has become much more complex, except that explicitly race-based policies have mostly disappeared.

It is too bad Bagaric felt it necessary to ruin an otherwise excellent column with unfounded things-are-increasingly-bad rhetoric.

I found the aforementioned column via Nathan Smith’s well-titled End World Apartheid post. I agree with Smith that South Africa is a useful analogue to the world:

South Africa is an interesting country because about 15 years ago it was a microcosm of the world. Like the world, it was about 15% white, the rest African and Asian. Like the world, the whites were segregated from the non-whites by law (of course the West does have some blacks and Asians, but it segregates the vast majority of them). The whites lived in prosperity, the blacks in poverty, their opportunities severely restricted by laws that were supposed to shut them up in “sovereign” native states, against their will.

South African apartheid has been abolished; world apartheid remains. But the end of South African apartheid has caused a surge in crime. So it’s a legitimate concern.

However, it is a far from perfect analogue. Bryan Caplan cites evidence that immigrants to the U.S. commit crimes at a far lower rate than U.S. citizens. There is a case to be made that extraordinarily high crime rates in South Africa are the result of Apartheid and its antecedents, not its end. For an example of this case, see Human Rights and Policing in South Africa: A Historical Perspective by Gary Kynock (pdf; abstract only, let me know if you find the full paper):

In other words, violence in South Africa is considered a post-conflict phenomenon.

This popular analysis is limited by its failure to consider the longer term dimensions of the prevailing crisis. This paper investigates the historical origins of South Africa’s pervasive criminal violence, suggesting that it was produced by a unique combination of a longstanding culture of violence interacting with large-scale political hostilities. While acknowledging that the politically driven violence of the past two decades has contributed to contemporary South Africa’s critical situation, I argue that these conflicts did not create a culture of violence. A historically grounded analysis clearly demonstrates that the political rivalries found fertile ground for escalation partially because a culture of violence was already ingrained in township society. This position is supported by a comparison between South Africa and other post-conflict societies. Many countries recovering from horrific civil conflicts have been relatively untroubled by criminal violence. Lebanon, Mozambique, Bosnia-Herzegovina and Congo-Brazzaville are but a few examples. Beirut, Maputo, Sarajevo and Brazzaville are all much safer cities than Johannesburg. What differentiates Johannesburg is the level of violence township residents experienced before the outbreak of political hostilities. South Africa’s endemic violence, in other words, is not a “post-conflict” affair, but rather a continuation of pre-existing township violence.

Organised criminal violence dates back to the establishment of the Johannesburg townships in the 1880s and I argue that policing, criminal gang activity and vigilantism were critical factors in determining the patterns of violence over several generations of political, economic and social change. The poverty, social dislocation, and institutionalised racism that were a direct result of state policies governing African urbanisation undoubtedly created conditions that encouraged violence. However, we need to probe more deeply to understand the forces that shaped and sustained a culture of violence in the townships and the ways that different segments of township communities coped with the violence. The nature of township policing encouraged both criminal gang activity and the emergence of a vigilante culture. These three particular dynamics became inextricably intertwined over the years and were a driving force behind the culture of violence that developed in the townships.

This paper concentrates on the historical role of the South African police and discusses why the police have failed to become more effective and accountable in the post-apartheid era.

Copyright as censorship

Saturday, June 23rd, 2007

Google Public Policy Blog on Censorship as trade barrier:

Some forms of censorship are entirely justifiable: the worldwide prohibitions on child pornography and copyright infringement, for example.

Yes it is called justified here, but copyright is too seldom called censorship, regardless of how obvious that is.

Others, however, are overbroad and unwarranted. When a government blocks the entire YouTube service due to a handful of user-generated videos that violate local sensibilities –- despite our willingness to IP-block illegal videos from that country –- it affects us as a non-tariff trade barrier.

I have mixed feelings about this. On one hand, adding classes of trade barriers simply provides an excuse for “retaliatory” protectionism. Autonomous liberalization does the most good, and I suspect that’s as true of free speech as any other area. On the other hand, this is great to the extent free speech is actually promoted, either as intended or by crowding out pro-censorship (strong copyright) from the U.S. trade negotiation agenda.

Immigration

Sunday, June 10th, 2007

is a hot topic of late. I haven’t had time to write about it, so here’s a linkdump as I close tabs.

Iraqis who can are leaving Iraq, but they face severe restrictions on living and working elsewhere in the region, and the U.S. is only accepting a trickle. Tragedies abound in this NYT magazine piece, almost all worsened by anti-immigrant policies.

Landlords are beginning to be drafted to uphold apartheid in the U.S., following increased anti-employment raids.

Immigration up, unemployment down in Spain.

How much of a jerk do you have to be to oppose immigration? has been linked by many, but read if you haven’t:

Both Alex Tabarrok and Dani Rodrik have come out in favor of immigration into US on the basis that the relevant “moral community” one should consider is the world and not just the US natives. It might be the case that immigration from Mexico into US lowers the wages of the unskilled workers here (the extent of this effect is subject to some controversy, see the previous post on Ottaviano and Peri). However, the increase in the migrants’ wages is so large that support for immigration is still justified.

This kind of argument provokes the expected response from the expected folks, roughly along the lines that we should care more about native workers – the citizens – then the migrants – the non-citizens. Ok. But how much more? Let’s put on our annoying-economist hat and consider the question; if you consider a foreign national to be only 1/2 a human being (alright, alright, only 1/2 as “important”) as a native citizen, are you justified in opposing immigration? After all, it takes a real jerk to argue that foreign people’s welfare should not count at all. Suppose the foreigners are only 1/10th as important? Surely, if natives’ welfare counts for ten times as much as that of foreigners, we would be justified in banning immigration since it may adversely affect the wages of the unskilled in US? Well, let’s see…

Nathan Smith’s freedom of migration category has lots of good stuff.

CNN needs to fire Lou Dobbs.

Philippe Legrain’s Immigrants: Your Country Needs Them will be available in the U.S. June 21.

Should we end global apartheid? in today’s NYT magazine:

Indeed, Pritchett attacks the primacy of nationality itself, treating it as an atavistic prejudice. Modern moral theory rejects discrimination based on other conditions of birth. If we do not bar people from jobs because they were born female, why bar them because they were born in Nepal? The name John Rawls appears on only a single page of “Let Their People Come,” but Pritchett is taking Rawlsian philosophy to new lengths. If a just social order, as Rawls theorized, is one we would embrace behind a “veil of ignorance” — without knowing what traits we possess — a world that uses the trait of nationality to exclude the neediest workers from the richest job markets is deeply unjust. (Rawls himself thought his theory did not apply across national borders.) Pritchett’s Harvard students rallied against all kinds of evils, he writes, but “I never heard the chants, ‘Hey, ho, restrictions on labor mobility have to go.’ ”

I never understood the appeal of beginning chants with “Hey, ho”, but let’s get on with ending apartheid and destroying nationalism anyway. Atavistic prejudice, indeed.

Speaking of which, I am not fond of the term immigration, which gives special status to political borders. Migration is better. I prefer moving or relocation, regardless of distance or jurisdictions involved.

The most bizarre sentence I’ve read today

Saturday, April 21st, 2007

Tyler Cowen just linked to a comment left by Robin Hanson on this blog. I agree with Cowen’s comment left on the same post here: “Robin is awesome, enough said.”

Hanson’s writing never disappoints, even when he’s claiming that medicine is useless (the statistical argument is strong).

On the other hand Cowen is one of my most eagerly read bloggers (and semi-frequent provider of fodder for my comments), but sometimes Cowen says the darndest things, like this from the post linked above:

The very reason we resort to a firm, rather than the market, is to build consensus and morale, not to forecast the truth.

Consensus I’ll buy, as shorthand for lower in-firm transaction costs. Morale? He’s got to be kidding (note that the only instance of “morale” in the Wikipedia article on is immediately followed by “-damaging”).

Cowen continues:

Prediction markets would tend to break down firms, but of course they still can flourish in Arrow-Hahn-Debreu space.

My guess is that in the short term adoption of prediction markets will favor firms that have access to specialists needed by early adopters to succeed and layers of management that can be made redundant without immediately threatening the authority of the top, i.e., large firms.

I have no idea what Arrow-Hahn-Debreu space is, other than that it has something to do with . If I had to take a wild ignorant guess at the import of “but of course…” I would say it is arguably a tautology.

Comparative advantage

Thursday, April 19th, 2007

Philip Greenspun reporting from the Digital Freedom Exposition in South Africa:

My personal view is that it is not the job of computer nerds to keep people free of disease. We build interesting Web sites and other services to make life interesting and worth living as long as the biologists and doctors are able to keep folks alive. Even if human life expectancy were reduced to 30 years, we shouldn’t abandon our keyboards and move into the medical labs since even a 30-year life can be significantly enriched with Google and Wikipedia.

He understands .

Another fun excerpt from the same post:

More than food, shelter, or other seeming essentials, they wanted Internet access, starting with an Internet cafe for women in the capital (under the Islamic regime, only men were allowed to visit Internet cafes).

Double whammy on those who complain that others who attempt to bring technology to the poor should focus on basic needs first.

Invention versus innovation

Monday, April 16th, 2007

Will this post get Chris Masse to stop bothering me for a promised post on invention vs. innovation?

Many people have written on this, a few recent links, not all precisely relevant to the question.

One way of putting it is that six billion people generate a huge number of ideas, some number of which could be called inventions. Most are hopeless (the inventions; the people at least manage to survive for a time). Most of the rest are not actively pursued. The only way to test whether an invention is hopeless or useful is to attempt to deliver it at scale. So innovators (think of them as idea entrepreneurs, or whatever) both figure out which inventions are not hopeless and deliver the useful ones at scale. Innovators create all of the surplus, inventors do little more than breathe.

I’ve had an idea in my head for a few years that Masse recently mentioned in passing (not the moronic one he has recently written at length about). Have I done anything with the idea? No. Without implementation the idea is worthless.

Read Robin Hanson’s short The Myth Of Creativity article. Excerpt:

What society needs is not more creativity or suggestions for change but better ways to encourage people to focus on important issues, identify the most promising ideas, and tell the right people about them. But our deification of creativity gets in the way.

Do read the whole thing. Hanson’s target is slightly different than mine.

Before Masse calls me a fan-boy again (I don’t mind), I’ll pose the obvious question: how much of an innovator is Hanson? He’s clearly a fantastic ideas person, but ideas don’t matter. He seems a more productive innovator than the average academic, but that bar is probably very low.

A recent and very apropos Seth Godin post on Meeting Needs spurred me to finally write this. Godin:

Almost no new idea meets the needs of shareholders and CEOs. That’s because most of all they need predictability and apparent freedom from risk. This is why public companies are almost always on the road to disaster. They flee from change in order to do what they think is meeting the needs of those constituents. They fight changes in laws, policies, technologies and markets because their CEO (especially) wants a nice even flight pattern while he racks up big time options.

Shrink wrap software feels safe. Secure. Supported. Beyond reproach.

But…

It turns out that open source can do a brilliant job of meeting their actual needs (lower overhead to install and maintain, higher productivity to use, more stable over time) but the problem is that apparent needs (playing it safe, making your boss happy) almost always get in the way. Until it’s too late. When it’s too late, the competition has leapfrogged you.

Godin also mentions blogging, read the full post. One could substitute prediction markets for open source or blogging. Put that in your marketing pipe and smoke it, Mr. Chris Masse. :-)

Dying to Win: The Strategic Logic of Suicide Terrorism

Sunday, April 8th, 2007

collected data for every documented case of from 1983-2003. In he makes a strong case that suicide terrorism is almost exclusively used to combat occupation where there is a religious difference between the occupiers and occupied (together these present an existential threat to the occupied community) and the occupier jurisdiction is a democracy (and therefore less likely to reply ruthlessly and more likely to grant concessions). Furthermore, suicide terrorism seems to be relatively effective under these conditions.

Pape also dismisses two sucicide terrorism myths. First, that it is an Islam-only phenomenon (the Hindu/Marxist Tamil Tigers account for the most cases). Second, that suicide terrorists are primarily poor, uneducated and fundamentalist (they tend to have above average education and opportunities for their communities and often show now fundamentalist commitment before volunteering — an act of extreme commitment to their community by well integrated members of the same).

Although Pape has amassed significant data in support of his analysis, suicide terrorism (largely suicide bombing) has effectively only existed for a little over two decades (though suicide attacks have occasionally been used for millennia, briefly covered in this book). Will suicide terrorism change, or continue in the same pattern? There are two obvious questions, neither of which Pape bothers to pose (though I read the book a few months ago, I could’ve missed or forgotten):

  • Will suicide terrorism continue to be effective? In other words, will democracies continue to respond with a combination of concession, coercion, and grandstanding? Alternatives include apolitical response (e.g., criminal investigation and prosecution) and ruthless response (i.e., annihilation of the terrorist’s community).
  • Given that suicide terrorism is effective, will it be taken up by other groups that perceive an existential threat, e.g., radical environmentalists?

It seems that suicide bombings in Iraq, only the first several of which are included in Pape’s data, fit the pattern Pape has described. Even when not directed against the occupiers, religious difference (Shia vs. Sunni) is involved, as is the potential for influencing the democratic occupiers.

Apart from advising democracies to not occupy jurisdictions with a different predominant religion, which flows obviously from his analysis, Pape’s recommendations are irrelevant at best (e.g., lock down U.S. jurisdiction borders), as Peter McCluskey observes in his review. Nick Szabo and Chris Hibbert have also recently reviewed the book.