Archives for category: Bounded rationality

When I was six, my father took me to a German kinder-garden.

He was learning German, at 35, and thought I should start earlier.
In the end, I didn’t exactly learn the language but during the process I met a lot of nice German speaking people.

At 16 I read

The Death Factory, a book about the Auschwitz concentration camp

Well, actually it was translated in Romanian but the original cover is far more suggestive for non-Romanians.

That was when I learned to distinguish between a people as a whole and the atrocities committed by a minority.

As I grew up, under communist rule, I noticed the ‘little compromises’ my parents had to make in order to provide a better life for me. The small bribes offered whenever ‘necessary’, not speaking up their minds in ‘official settings’, allowing stupid, but powerful, individuals to boss them around…
As a young adult, I understood how those small compromises, made by almost all of us, added up and eventually caused the entire regime to collapse. Eaten up, from inside, by institutionalized corruption.

As a no longer young adult, after the regime change, I noticed that ‘compromise’ was so entrenched in our habit that it had been carried over into the new regime. As if the new found liberty had been interpreted as the freedom to accept ‘un-earned benefits’ from whoever offered them. In exchange for things which were not ours to give…
The same was happening in other ex-communist countries. The closer to Moscow, the more intense the phenomenon.

That was when I learned to dissociate corruption from any particular political regimen.

Soon after that I learned the international dimension of the whole thing.

“BONN, Germany (AP) _ Germany is set to outlaw tax deductions for bribes paid to foreign officials, falling in line with a U.S.-led drive to fight corruption and promote fair competition.
The change is part of proposed tax reforms presented Monday by the new center-left government of Chancellor Gerhard Schroeder. Parliament is expected to approve the measure before the end of the year.
Currently, kickbacks paid by German companies abroad or at home to win contracts are tax deductible as legitimate business expenses unless the person who made the payout is found out and convicted of bribery. In practice, that rarely happens
.”

AP NEWS, November 10, 1998

Gerhard Schroeder, who had called „the Russian president a “flawless democrat””, „has been tapped to join the Gazprom supervisory board”.

That was when I realized how many of those living inside a country have no effing idea about what some of their compatriots do when ‘working’ abroad.

A few short years later, a Romanian president had the audacity to shout ‘the emperor is naked’.

“Corruption belongs to both the public and private sectors, and the president has said he does not shift responsibility to anyone, but that it must be “shared and assumed.”
An official cannot be corrupted if there is no one to pay a bribe, just as a ministry cannot pay 50% more for a contract if there is no consultant to do an expertise in this regard, Basescu explained.
“Let’s get out of the hypocrisy. If there is corruption, the state alone cannot be corrupted, it has a partner. The state cannot be alone. It has a partner and this is the private economy.”
Basescu was present yesterday at the launch of the Romanian Competitiveness Report prepared by AmCham.
“

Claudiu Medrega, Ziarul Financiar, 15/12/2011

That was when I learned that democracy alone is not enough to cure corruption. That democracy can also be eaten from the inside by this worm. If ‘the people’ do not pay enough attention!

This morning, on top of the already ‘normal’ news from the Ukrainian front, I learned that

“Last week, Boris Romanchenko, a 96-year-old Holocaust survivor, was killed when shelling hit his ordinary flat in the war-ravaged Ukrainian city of Kharkiv”
“The multi-storey apartment building where Romanchenko lived was shelled and caught on fire,” said the statement.
Kharkiv, Ukraine’s second largest city, has been under heavy fire from Russian artillery throughout the invasion, which Russian President Vladimir Putin calls a “special military operation” necessary to disarm and “denazify” its neighbour.”

Reuters, March 22, 2022

That was when I understood that ‘what goes around, comes around’ is driven by our bad choices.
By our unwillingness to make good what we have already learned from past mistakes.

Should have learned from past mistakes…

Really guys?
The Red Army had spilled its blood to free the people herded to be killed at Auschwitz and a survivor from Auschwitz is killed by a Russian bomb attempting to ‘denazify’ Ukraine?!?
Which Ukraine wanted nothing but to join the EU and NATO?
But couldn’t! Crimea was occupied while Donetsk and Luhansk have rebelled against the central government… and NATO – like all other clear headed alliances do not admit new members which are already involved in ‘border disputes’.

“Putin says Russia’s concerns expressed over three decades about NATO’s expansion were dismissed by the West, and post-Soviet Russia was humiliated after the 1991 fall of the Soviet Union.”
He says NATO, as an instrument of the United States, was building up its military on Ukraine’s territory in a way that threatened Russia.
On March 11, Russia’s Defence Minister Sergei Shoigu told Putin the West was beefing up military forces close to Russia’s Western borders. Putin asked Shoigu to prepare a report on how to respond
.”

“For almost 25 years, the West believed Russia could be tamed by diplomacy and trade to maintain stability and security in Europe. In 1997, NATO and Russia signed a “founding act” that was designed to build trust and limit both sides’ force presence in eastern Europe.
The alliance also sought to build a partnership with Russia, which took part in NATO exercises in the Baltic as recently as 2012, according to retired U.S. Admiral James Foggo, who commanded U.S. and NATO fleets in Europe for almost a decade until 2020.

After Russia annexed Crimea in 2014… NATO created small, multinational combat units in Poland and the three Baltic states, which serve as a forward presence to deter Moscow. But the force numbers are designed not to violate the “founding act,” which has hindered NATO’s ability to move troops into the Baltics and Poland on a permanent basis.“

So. Putin, spooked by a NATO who doesn’t dare to violate the ‘founding act’ – not even after Russia had occupied Crimea, orders the Russian Army to demilitarize and denazify a country whose independence and integrity was guaranteed by the Budapest Memorandum.

And, caught in the middle, a man whose life had been saved – some 75 years ago, by the Red Army ends up being killed by the Russian one…

Simply because we didn’t pay attention.
And allowed what went around to come back!

Boris Romantschenko of Ukraine, along with five other former prisoners, renews the oath of Buchenwald, from April 19, 1945, at the Buchenwald Concentration Camp Memorial, in Weimar, Germany, April 12, 2015. Picture taken April 12, 2015. Michael Reichel – Buchenwald and Mittelbau-Dora Memorials Foundation/Handout via REUTERS/File Photo

I grew up in a communist country, Romania.

Russian films were ‘readily’ available.
Some of them were good. Really good.

Besides going to the movies, I was an avid reader.
I must confess that the ‘great Russian classics’ didn’t impress me. No special reason.
But I did read a lot of Russian literature. About the partizans fighting the Nazis during WWII, about the communists fighting for freedom – for their version of freedom, in the early ‘920-ies, some Sci-Fi novels about the happy lives the Russians were going to live in the next millennium.

This morning I was listening to the radio.
The news bulletin was, of course, about what’s going on in Ukraine.

A refugee, a woman who had fled accompanied by her young daughter – her husband and her son remained at home to fight, was speaking in her native language.
I know that Ukrainian is different from Russian. But for my ears they sound very much the same.

Imagine what I felt.

I grew up associating the Russian language with the struggle for freedom. With the promise of a better world.

As I learned things… my understanding of history had become more ‘nuanced’.
The Soviet Union had collapsed after Afghanistan. The regime finally got what was coming to it.
As Putin crushed Chechnya, killed Litvinenko, ‘peacefully’ occupied Crimea … things were no longer ‘nuanced’…

But this!

They say that an image is worth a thousand words… I’m no longer sure about that!

There is so much violence paraded in front of our yes that our ‘retina’ has become calloused.

Hearing that brave woman trying to convey her tragedy in a language I associated in my childhood with the promise of liberty really did it for me.

This time the oppressor itself was speaking Russian.
Russian soldiers were doing the very same thing the Russian people had experienced during the WWII. And they were doing it to their ‘brothers’.

Russian soldiers were turning Kyiv into rubble!
Kyiv, the birth place of the Rus-ian people…

All this conveyed in a language which, for me, sounds very much the same as the language I had associated in my childhood with the quest for freedom.

I wept.

Hoping the Kremlin will learn to understand tears.
Maybe not the present ruler but at least the stony walls…

The internet is full of articles attempting to understand Putin’s motives starting from what he had said about the subject.

Here’s but the last I’ve read.
Why has Russia invaded Ukraine and what does Putin want?

Nothing special inside but it illustrates well enough the point I’m trying to make.

At first, Putin’s words are summarized and then proven ‘wrong’. Misleading. Or plain false.
In the next section of the article, the author – Paul Kirby, like many more before him, attempts to divine what Putin will do. Starting from the same words which have just been proven false and/or misleading.

?!?

No, the author is not ‘dense’.
He simply does what he was trained to do.

We, here in the land of democracy, understand language as a medium for negotiation.
And negotiation as an exchange where we let our needs be known, in earnest. As an exchange where we ‘trade’ information with the goal of finding the best mutually acceptable solution for whatever problem we attempt to solve.
In this sense, a negotiation is a form of cooperation. And compromise is something which both sides find beneficial.

For people conversant in ‘dictatorian’, ‘compromise’ is something to be shoved down the throat of the weaker side. The bigger the power differential, the harder to swallow becomes the ‘compromise’.

Doesn’t make much sense?
To us, democrats?
Because we know that shoving things down the throat of now weaker people doesn’t work on the longer time frame?

‘Assuming’ is the worst thing a negotiator may make.

We keep assuming that dictators are rational. Even worse, that they follow the same ‘ratio’ as we do.
That we – as in we and them, see the same world and have ‘slightly’ different goals.
And express those different goals in the same manner. Using the same kind of language.

We are wrong.

We, the democratically minded, are trained – conditioned is a truer word, to consider ‘the other’ as being equivalent to us.
At least some of the others, but that’s another discussion.
We actually ‘know’, in our bones, that we cannot ‘do’ anything by ourselves. That we exist only in cooperation with those around us. That everything we have ever accomplished was the result of a common effort.

People conditioned in dictatorial regimes see things rather differently.
They don’t cooperate, they just obey.
Their existence does not stem from the common effort but from following orders.
Language is not at all a medium where information is being passed between equivalent agents but a two way conduit. Orders are flowing from top to bottom and acknowledgments crawl from bottom to the top.

‘And what about ‘information’?!?
How does it travel among those people?’

Piecemeal.
Exclusively on a ‘need to know’ basis.
Nobody ‘volunteers’ any information unless expressly asked about it by a superior.

This is why dictatorships end up crumbling under their own weight.

That’s why we don’t understand, for real, what Putin attempts to communicate.
That’s why he is extremely annoyed right know.

Putin no longer understands what’s going on.
Let aside the fact that nobody around him dares to volunteer any information – which would be contrary to what Putin wants to hear.
My point being that Putin had been accustomed to having his way.

I’m not going to enumerate all the things he had done. Things we should have reacted against…
As in ‘reacted’, not meowed meekly.
As a consequence, he had grown accustomed to shoving things down our throats…

Suddenly, we have stopped swallowing!
Without giving him a ‘reasonable’ reason…
A reason he could understand!

Do you remember what I’ve told you?
A few moments ago? That dictators don’t care about those who are weaker? Nor about the long term consequences of their decisions?
That dictators are concerned exclusively with their own survival?

Savvy?

Circa 840, “three noble brothers” of Viking origin – Rurik, Sineus and Truvor, established “what came to be called Kievan Rus”.

“Rus,” which is where the name “Russia” comes from, purportedly derives from an old Nordic word for “men who row.”

882. Oleg the Prophet captures Kyiv and moves the capital of the Viking kingdom from Novgorod to Kyiv.
Thus the Rus becomes Kievan.

1703. Peter the Great of Rus-sia established Sank Petersburg as a bulwark against the Swedish Kingdom.
The city served as Russia’s capital from 1712 to 1918

1941. Hitler breaks the German Soviet Non Aggression Pact and starts a war against the Soviet Union.
Leningrad – the city formerly known as Sankt Petersburg, had been put under siege from September 8, 1941 to January 27, 1944

2022. February 24. Vladimir Vladimirovich Putin, the present day ruler of Rus-sia, in complete defiance of the Budapest Memorandum, started a “special military operation” meant to achieve the “demilitarization and denazification of Ukraine,”

Kyiv hasn’t been besieged yet but has already been under heavy bombardment.

I’m Romanian.
Romanians don’t have very fond memories of what had happened to their country whenever the Russian soldiers had come by to ‘visit’.
As a teenager I read The 900 Days The Siege of Leningrad, 1968, by Harrison Salisbury

And wept.

Now, an already old man, I check out, on the Internet, what’s going out in Kyiv – the former capital of the Kievan Rus.

And weep.

Homo homini lupus has become a massive understatement.

1. Sow doubt.
2. Drop a loud fact. Or two… This will simultaneously ‘water’ the previously planted seed and act as a ‘foot in the door’ for your next move.
3. ‘Miss-interpret’ another fact.
4. Mention an universal human emotion, inviting your audience to identify itself with the ‘victim’.
5. Squarely state what you want your audience to believe.

1. ‘The Soviet Union didn’t crumple under its own weight. It was dissolved by Yeltsin so that Gorbachev’s position would disappear.
Leaving Yeltsin as the top dog of the day. Even if at the helm of a little smaller empire…’

2. ‘After the Cold War had ended, the West should have treated the ‘defeated’ as Germany, Italy and Japan had been treated after WWII. The West should have helped the Soviet Union to overcome the transition hurdles by extending to it an equivalent of the Marshall Plan.
Instead of that, the Americans had come up with the Wolfowitz – later Bush, Doctrine.’

3. ‘Gorbatchev was told by James Baker that NATO will not move an inch eastward’

4. “…1998, Yeltsin, late Yeltsin: ‘you promised not to do this! So, how do we trust you, if you make a promise?’ “

5.1. Vladimir Putin has been created by the United States.
5.2. The so called free media in general – and New York Times in particular, cannot be trusted to provide honest information.

Pozner’s discourse is far more ‘byzantine’ than the ‘stream-lined’ version I used to illustrate what skillful propaganda looks like. Skillful maskirovka, more likely?

This post has become long enough. Let me wrap it up.

The main question here being ‘did he actually say it? Did Baker actually promised Gorbachev that “NATO will not move an inch eastward” ‘?

“Having met with Genscher on his way into discussions with the Soviets, Baker repeated exactly the Genscher formulation in his meeting with Foreign Minister Eduard Shevardnadze on February 9, 1990, (see Document 4); and even more importantly, face to face with Gorbachev.
Not once, but three times, Baker tried out the “not one inch eastward” formula with Gorbachev in the February 9, 1990, meeting. He agreed with Gorbachev’s statement in response to the assurances that “NATO expansion is unacceptable.” Baker assured Gorbachev that “neither the President nor I intend to extract any unilateral advantages from the processes that are taking place,” and that the Americans understood that “not only for the Soviet Union but for other European countries as well it is important to have guarantees that if the United States keeps its presence in Germany within the framework of NATO, not an inch of NATO’s present military jurisdiction will spread in an eastern direction.”
“

‘So he actually said it!’…

“the Americans understood that “not only for the Soviet Union but for other European countries as well it is important to have guarantees that if the United States keeps its presence in Germany within the framework of NATO, not an inch of NATO’s present military jurisdiction will spread in an eastern direction.”“

The Soviet Union is long gone, all the states which have been admitted into NATO are ‘in’ because they had asked themselves to join – and are now extremely glad to be protected by the famous 5th article – … while the only (frustrated) ‘agent’ who ever cried foul was Putin.
Not only cried foul but eventualy acted out his frustrations!

But Putin is not exactly alone…

“Putin’s Munich speech was the first explicit warning of serious trouble if the West did not abandon its increasingly aggressive posture toward Russia; the Kremlin’s latest demands for security guarantees and a NATO military pullback from Russia’s borders may be the last warning. The United States and its allies are backing Russia into a corner, and that is profoundly unwise if the goal is to avoid war with a heavily armed great power.“

Ted Galen Carpenter, Senior Fellow, Cato.org January 24, 2022

Trump: “How smart is that?”
Pompeo: “I have an enormous respect for him!”

Pozner seems to be somewhat right, after all.
His arguments don’t stand – as he had framed them – but he does have an inkling…

And yes, you can – and actually should, analyze my post following the steps I already mentioned.
Then please read this:

Manipulation: useful tool, mortal sin or what?!? April 27, 2015
‘Causing’ Circumstances March 1, 2022

This is a stub.

Basically, this post will reinterpret the arguments used in the previous one.

This is a stub.

‘This time is different’. https://www.economist.com/media/pdf/this-time-is-different-reinhart-e.pdf

History teaches us that each and every empire has collapsed. Usually under it’s own weight. Pareto has given us a valid explanation – each structure which doesn’t have to ‘refresh’ itself tends to become clogged with self serving individuals, near-sighted enough to ‘forget’ that none of them (none of us, actually) is able to survive ‘outside’. Yet each ’emperor’ allows themselves to believe that this time is different. I’m better than all my predecessors. And their followers allow this to happen, just as Pareto had taught us.

‘They is a rational operator hence they must have a reasonable objective’.
That’s how people raised/educated in a reasonable environment think/interpret the actions of other people.
This being the reason for democratically groomed leaders having such a hard time when they need to understand how dictators operate. This being the reason for democratically groomed political operators having such a hard time when it comes to identify skillful would be dictators.

https://www.journalofdemocracy.org/articles/russias-road-to-autocracy/

This is a stub.

Using as little resources/effort as possible to get what you’ve set your mind to accomplish versus making as much profit as possible (in the given conditions)

Reversible versus ‘definitive’

Quite a lot of people around the Internet are considering that ‘Ukraine is of little interest for the US’.
Even some of the Europeans are considering that isolating Putin’s Russia from ‘SWIFT’ is a too steep price to be paid, by them, for Ukraine’s independence.

I remind them, all of them, of what Martin Niemoeller had to say on this subject.

First they came for the Communists
And I did not speak out
Because I was not a Communist
Then they came for the Socialists
And I did not speak out
Because I was not a Socialist
Then they came for the trade unionists
And I did not speak out
Because I was not a trade unionist
Then they came for the Jews
And I did not speak out
Because I was not a Jew
Then they came for me
And there was no one left
To speak out for me.

Chapter 1. Explaining prediction.

I’ve trained to be an engineer. And practiced being one.
Then I felt the need to understand. And studied sociology.
That’s how I learned, the hard way, the difference between ‘hard’ science and ‘soft’ science.
Between ‘bona fide’ science and ‘bogus’ science…

Those of us still convinced that soft science is bogus have yet to grasp the whole meaning of ‘science’.
A collection of ‘special’ data, a ‘special’ method of gathering data and a ‘special’ state of mind.

We all know what ‘scientific data’ and ‘scientific method’ mean.
But there is almost no talk about ‘scientific state of mind’.
Most people consider that ‘scientific thinking’ is solelly about applying the scientific method when dealing with the ‘reality’. With what happens ‘outside’ of us.
Outside of our individual consciences…

Historically, science – the concept of science, had sprung up in the minds of people concerned primarily with physics and chemistry.
Hence the subsidiary concept of ‘consistency’.
Data can be considered to be scientific only if it had been gathered in a ‘consistent’ manner.
If by applying the same method, in the same circumstances, the end results will be the same – regardless of who had happened to be at the helm of the experiment.
And a method can be considered to be scientific only if it produces the same data whenever it is applyed, in the same circumstances, by no matter whom.

I’m sure that, by now, at least some of you have figured out what I’m driving at.
The main difference between ‘hard’ and ‘soft’ science is, of course, related to the relative inconsistency of the data yielded by the ‘soft’ sciences. This being the reason for which some people cannot even accept the ‘scientific’ nature of the soft sciences…

Hence the need to discuss about the ‘scientific’ ‘state of mind’…
Let me start by pointing out the fact that we, people, are rationalizers.
We pretend to be rational, true, but in reality we are nothing but very astute rationalizers.
So astute that we are not even aware of the fact.
We are so convinced of our rational nature that we are fooling ourselves.

Please read about this subject by hitting the link below if you are not familiar with the concept of rationalization before proceeding.
https://cushmanlab.fas.harvard.edu/docs/rationalization_is_rational.pdf

Accepting that we are deep enough into rationalization that we need to pay special attention when trying to be objective is the first step towards attaining a scientific state of mind.
The second, and just as important, step being the respect we need to extend towards our peers. Towards our fellow experimenters.

Changing tack – and approaching ‘scientific state of mind’ from another angle, I might try to describe it as a ‘work in progress’.
A never ending attempt at self improvement made by someone fully aware of the fact that they’ll never get there. Yet still striving towards that goal.
A never ending attempt made by somebody who knows they’ll never get ‘there’ yet they continue to encourage others to go further and further up that road.
A never ending attempt made by people who know they’ll never get there yet they respectfully help each-other towards their common goal.

And now, that I’ve done my best to explain what I mean by ‘scientific state of mind’ let me delve in the main subject.
The real difference between soft and hard science.

By their very nature, hard sciences are defined by the fact that an explanation constitutes a very good prediction.
If you are capable of explaining the Earth rotation around the Sun you are also able to compute where the Earth will be 10 seconds from now. As well as ten centuries from now…
If you are capable of explaining radio-activity you are also able to build an atomic bomb.
By understanding how DNA works we have been able to come up with a mRNA vaccine against the SarsCOV-2 virus.
https://www.cdc.gov/coronavirus/2019-ncov/vaccines/different-vaccines/mrna.html

The problem with soft sciences being that in their case, explanations – no matter how precise, cannot predict much.
We know why a maniac behaves like one – because …, but we don’t know what a maniac will actually do. Nor when…
We know that a free market works better than a monopoly but we cannot agree upon how free a market should be. Nor can we agree upon what a ‘free market’ really looks like…
We know what will eventually happen to an empire – it will fall, because of ‘negative selection’, but we never know exactly when and how that will happen… nor what will occur between the establishment of the empire and its eventual demise.

Savvy?