Archives for posts with tag: skin in the game

Word of mouth has it that a dissatisfied customer will be more vocal than a happier one.
A search over the internet yields unconvincing results. The statistical jury seems to be still out on this one.

A misspell in the search window unveiled something a lot more interesting.

The brain is hard wired to recognize an angry voice. As well as an angry face.

Are we aware of all this?
Probably not. Statistically speaking…

And this is important why?

Being able to recognize anger makes it easier for us to deal with conflict.
Individuals who do it better have more chances to survive when involved in dangerous situations. Or even to turn them around. To find ways in which to use conflict in a profitable manner. Profitable for them… And only time will tell for how long!
Communities adept at taming conflict into something useful have greater chances to survive than those less able to deal with it.

Now, where are we in this moment?
Do we talk to each other? Are we aware of what’s going on around us? Cognizant enough to take the appropriate measures?
Or do we just vent out our bile? Creating such an environment that no coherent answer will be presented when needed?

Are we, each of us, part of the solution?
Or we just create more and more problem?

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Sand for the statue and fences for protection.

Not for a particular king!
No.
Not even for kings in general.

Only for all those ‘in charge’!
As a reminder for the fact that their authority is very fragile.
Goes for only as far as it is accepted. Protected by those who respect it.

As a reminder for the fact that fences not only protect but also separate.

The point being that whenever those calling the shots no longer suffer the consequences, the situation becomes extremely fragile.
That whenever a ‘king’ needs to be protected from his subjects instead of by them…

No home means ‘no sleep’.
No place secure enough for you to let you guard down – no matter how shortly, and relax.
Survival becomes problematic and occupies all your time. And brain power….

An uncomfortable home means ‘no dreams’.
Every waken moment is occupied by ‘how do I get a bigger home’ and whatever sleep you might muster is fitful.
You cannot rest properly so you cannot do much during your active hours. You’ll never reach your full potential so you’ll never be as useful/productive as you could possibly be.

Too big a home means ‘nightmare’.
Difficult to maintain – for your means, impossible to ‘explore’/’exploit’, always afraid somebody would try to steal it from you.
And, above all, too big a home means ‘insulation’ from the real world. You’re so far away from what’s really happening out there that you’re no longer able of proper decision making.
Nightmare.

I wish you a string of very good nights and some pleasant dreams.

“We arise as human beings in the experience of observing ourselves observing.”
Humberto Maturana, The Origin and Conservation of Self-Consciousness, 2005

Thinkers are divided when it comes to ‘reality’.

Some of them, the self styled ‘scientists’, study reality as if it was an ‘exterior’ fact.
At the other end of the spectrum, other people are convinced reality is nothing but a projection/illusion.

To me, this whole thing is yet another example of ‘which came first’, only simpler. Way simpler…

You need a chicken to lay an egg to hatch a chicken. This is indeed complicated…

‘Reality’, on the other hand, is, first and foremost, a human concept!

There was no such ‘thing’ as ‘reality’ until one of our forepersons had come up with the word/concept!

‘And where did that foreperson came ‘in’ from, huh?!?’

Have you noticed the scare marks?

The ‘thing’ we identify as being ‘reality’ had existed since… the Big Bang… I don’t know….
But I do know that nobody called it that – or thought of it in that manner, until somebody did!
And until the peers of that person agreed to use the term and to think about ‘it’ – the ‘thing’, not the word – in that manner.

‘Does this mean that we made ‘reality’?

No, not exactly made it… more about this later…
Only ‘found’ it and ‘measured’ it.
Named it, to put it in a simpler form.

As for who made it… this is another good question.

God?
I argued, in my last post, that ‘God’ – the concept, is yet another human artifact.
The only bridge we could trust to take us to the future.

I don’t know, with absolute certainty, whether the whole thing we call ‘reality’ has been made (is constantly being made, as according to the Ash-Arite tradition) by an ‘outside’ agent or it had evolved naturally. But I do know that if our ‘reality’ had been made by somebody then a ‘small’ question begs to be asked.

Who made that somebody’s reality?

I can accept the notion that we are lab rats. Playing in a pen made by some experimenter. Just as we do with/to our lab rats. But exactly as I’m trying to find an answer to ‘how did we come about’, the moment I’ll accept that we’ve been made by some agent will be the moment I’ll start wondering about ‘who pulled this creative agent out of the proverbial hat!’.

Let’s stick with the naturally evolving reality! The alternative is far too complicated…

‘But if it had evolved naturally, then nobody made it… right???!’

…No…, not exactly, anyway!
It may have evolved naturally but that doesn’t preclude any factors – and even agents, from chipping away at it!

‘What?!?
Are you gonna make up your mind?
As in once and for all???’

No, I can’t promise you anything like that!
My mind will never be ‘made up’.
My understanding is a work in progress.
I’m constantly adjusting my opinions according to the evidence ‘presented’ to me by ‘reality’.

‘And what about this constantly evolving reality? What/who drives this ‘evolution’?’

What do you see here?
A ‘Nature Made’, volcano whose flanks had been eroded by naturally occurring factors.
The debris had been transported to lower altitudes, by other naturally occurring factors and then transformed into fertile soil by a different class of equally naturally occurring factors.
The factors belonging to the first class had been rain, freeze, wind and gravity while in the second class we point out algae, microbes, plants and animals.
On top, literally, of these natural occurrences we find the consequences of our own actions. Of our own agency.
Of our own choices!

The buildings you see, the farms you know are there, the roads people take when going from their houses to their farms… and so on, up to the top of the mountain. Where we find snow full of other ‘evidence’ of our own existence. Soot, various industrial dust, etc., etc.,…

So. We live at the intersection between the natural evolution of things and the consequences of our previous existence/choices.

We live in a reality increasingly influenced by our own existence.
Are we truly aware of this?

Are we conscient enough?
Enough to realize how much of our reality is of our own doing?

“Please” is an attempt to maximize your chances to get something.
“Thank you” is an attempt to maximize your chances at ‘second helpings’.
“I’m sorry” is an attempt to ‘reconnect’ after committing a ‘blunder’.

All of them, simultaneously, serve the individual uttering them and knit the community.

But there’s something which sets one of them apart.
While “please” and “thank you’ are ‘upfront’, “I’m sorry” has a more ‘hidden’ nature. And is a lot less used…

Both “please” and “thank you” have a very clear message. “I want/am grateful for something’ and ‘I acknowledge the fact that I cannot function/exist by myself’.

“I’m sorry” is far more complex and a lot less upfront.
‘I acknowledge not only that something went wrong but also that I have anything to do with the occurrence’. And ‘please do not banish me for what I have done’!

If we dig deeper, we’ll find some more ‘intricacies’.

“Please” and “Thank you” are ‘face to face’. You know what you want/are grateful for and by uttering them you transmit that information to your audience. Those who might fulfill your wishes or have already done that.

“I’m sorry” identifies you as the ‘culprit’. Or, even worse, tells the ‘victim’ that something nasty is going to happen.

It is here that things become really interesting.
Conscience is a function. A feature which helps the individual. To survive and to thrive. In order to do that, conscience must – first and foremost, to take care of itself. To protect and cherish itself. More about how it does that in my next posts. The point of the present one being that is far easier for ‘conscience’ to ‘please’ and ‘thank’ rather than to ‘apologize’.

First of all, ‘gratification’.
1.0 versus 2.0.
Getting what you want/need versus avoiding punishment.
Which is never as direct.

The ‘buried head’ fallacy.
‘What if/maybe they never find out’?
‘Who did it’ or even that it had happened at all …

The ‘I cannot afford to appear weak’ fallacy.
Or the ‘I cannot afford to accept having been wrong’ situation.

That’s why it is far easier to say ‘I’m sorry’ after stepping on somebody’s toe than to leave a sorry note on somebody’s windshield after denting their fender in an unsupervised parking lot.
That’s why it is far easier to apologize to a a coworker than to admit guilt, as a CEO, in a shareholders meeting.
That is why it is almost inconceivable for a dictator to publicly admit an error which had been committed under their watch.

According to ‘science’, life is nothing but a process through which (genetic) information is passed, with small alterations, from one generation to another and during which the environment is, however minutely, changed by whatever the living organisms do during their lifespans.

‘Individually’ – organism by organism, life takes place inside a ‘membrane’. Which you might call it ‘skin’, if you like.
That membrane separates the ‘inside’ – the living organism, from the ‘outside’ – otherwise known as the ‘environment’.
Each individual organism continues to be alive for as long as the membrane manages to keep the inside in, the outside out AND to properly regulate the exchanges between the inside and the outside.
This being the moment when we need to remember that each living organism needs to eat, to drink, to breathe and to excrete. Meaning that it needs a more or less continuous flow of certain substances from the outside and to periodically clean itself. And the moment to understand that each organism continuously changes its environment. By incorporating some of it while feeding/breathing and by ‘polluting’ it when ‘throwing out’ the by-products of its metabolism.

For all the activity above to take place, each individual organism needs to follow some ‘rules’. It’s ‘membrane’ needs to ‘know’ which substances to allow in and which to keep out. Which substances to throw out and which to keep it.
To perform all these duties, the membrane itself needs to be organized in a certain manner. For all to happen as it should, the ‘interior’ has to be organized in a certain – and specific, manner.

On the other hand, for any (set of) rule(s) to make sense, it has to be congruent to the situation it ‘attempts’ to manage. For instance, the rule about what substances are to be ‘allowed in’ has to be adapted both to the specific needs of the organism following it AND to what substances are available in the particular environment in which that organism attempts to survive/thrive.
Since the environment in which the living process attempts to take place is subjected to continuous change – both as a consequence of organisms living in it and as happenstance happening, the ‘rules of life’ cannot be ‘set in stone’.
For life to continue in a consistent manner, it has to preserve its rules while for life to survive in an ever-changing environment it has to adapt its rules to fit the changes in the environment.
This being where evolution takes charge.

That’s why the life we’re familiar with, ours, is comprised of successive generations of many individual organisms which somehow pass genetic information (rules of life) from one another. The fundamental ‘trick’ which makes everything possible being that during the ‘passing’ process the genetic information is slightly altered.
Sometimes with beneficial results – those individuals thrive and, eventually, new species appear. Other times, the results are tragic. The individuals which receive bad – read unfit, rules of life do not survive.
Equally tragic is the fate of those species, otherwise ‘successful’ until that moment, which, at some point, are confronted by so momentous changes in their environment that they are no longer able to adapt. Dinosaurs are the first examples which come to my mind but the list is so long that we’ll never learn about all of them.

A pessimist might conclude that life is all about species and that individuals are expandable.
Au contraire, mon cher ami. Since there’s no way in hell – or in heaven, for anybody to know which individual organism has that particular piece of information which will enable their successors to survive the next alteration in the environment it would be rather dense to consider any individual as being expandable. In fact, it was the ‘individualization’ of the living process that made possible the evolutionary process.

Life is about both individuals and species, simultaneously and with equal importance.

The oldest surviving civilized nation, China, calls itself Zhongguo.
The Middle Kingdom. ‘In the middle’ of the barbaric people that surrounded her but also at middle distance between Heaven and the rest of the Earth. The aforementioned barbarians.

And, according to Confucius, it was the emperor’s job to ‘keep things as they should remain’.

Which makes sense. After all, the whole kingdom was the exclusive property of the emperor. And whose job is to watch over one’s property?

Well, things went on long enough for those involved to believe this was the natural order of things.
Until the whole arrangement was upset by a small number of people which had come, more or less ‘under their own steam’, from the other side of the world. And who were, at that time, a lot less civilized than the Chinese.

How can be explained something like this?
OK, the Aztec and the Inca empires might have been primitive relative to the Spanish invaders. They might have prevailed over the small number of invaders by brute force but they had been overcome by the sheer novelty and the apparent sophistication of the assailants.
But China had been in contact for centuries with the rest of the ‘civilized’ world! And way advanced than the rest. Both culturally and economically.

So, what had happened?
How can something like this be explained?

We might try to take the ‘historical route’. And observe that, exactly as Confucius and Laozi had told us, China’s destiny had been tightly linked to the ability of those in charge – the emperors, to manage the empire. From the paleolithic migrations until the Mongol invasion in 1271, nothing from outside had any significant impact over the Chinese hinterland. But the fortunes of those living in that hinterland had oscillated from the misery induced by almost constant ‘live conflict’ during the Warring States period to the various prosperous eras. The Han, Tang and Song dynasties, to mention just a few of them.
The same principle had been valid also for what went on while foreign dynasties had been in power. As long as the ‘managers’ were doing their jobs, things continued to improve. As soon as the helm was grabbed by an incompetent leader… all hell broke loose.

But is the emperors’ incompetence enough to explain what had happened during the XIX-th century? The most advanced, and numerous, nation on Earth had been subjugated – for all practical purposes, by a bunch of drug pushers pretending to act in the name of the far away, and far weaker, British King?

Or we can take the sociological route.
Along which we’ll notice that the ‘drug pushers’ were only nominally subjects of the British Empire. Which empire was behaving imperially only towards the exterior while inside it was already a democracy!

Sounds familiar?

Ancient Athens, the first known democracy, had dominated the Eastern Mediterranean for as long as it had retained its democratic character and had failed, abysmally, each time it had reverted to tyranny?
Ancient Rome had established a huge empire as a democratic republic and collapsed four short centuries after becoming a totalitarian empire?
And so on…?

And what might be the difference between a totalitarian empire and a democratic one?
On the face of it, a democratic empire sounds like an oxymoron… yet there’s plenty of such examples in our history…

As you might guess from the title of this post, the ‘famous’ middle class was both the engine and the explanation for the ease with which the ‘democratic’ empires had been established. And yes, the Spanish and Portuguese ones can be explained in the same manner. At that time none of the Iberian monarchies was yet behaving in the absolutist manner they had pursued as soon as the looted precious metals had started to pour in…

But what makes the middle class so special?

Nassim Nicholas Taleb would tell you that the middle class has enough skin left in the game to really care about the outcome and I’m going to add that the middle class is simultaneously distanced enough from the fray to act in a reasonable enough manner.

Let me put back, for a short while, my historian’s cap.

Most of us consider that the middle class is a late appearance. That most of the time, humankind had been divided in two. The haves and the have-nots. The powerful and the meek.
Well, I’m not so sure about that…
For the first 60 000 years after we had learned to speak – which had made us really human, we had been living in small packs. Led by the more powerful male member of the group – if we consider that our ancestors used to behave like our Chimpanzee cousins, or ‘self managed’ in a more or less democratic manner if our ancestors had used the model followed by our other cousins, the Bonobos.
Or we could look at how the surviving ‘primitives’ lead their lives. None of the Hadzabe, Yanomami or Inuit, who have survived in the most difficult conditions on Earth, have a hierarchical social structure.
Primitives?!? Maybe… but not because of their social arrangements. After all, they are freer than most of us.
And what is it that we, proudly modern people, value more than our individual freedom?

Money? I’m going to let this rest… for a while.

Let’s go back to our ancestors.
Who, by all indications, had been living as ‘extended middle class societies’. Without any 0.1% and without people who went to bed hungry while the rest of the gang had been gorging themselves.
Let’s remember now that during those times we had actually transformed ourselves from apes to humans. And if you consider this to be a small feat, just try to teach a bonobo to speak. Then remember how many people who had been born in poor and backward countries are now successful business people or scientists. After passing through a thorough educational process, true! Only that educational process is in no way accessible to any bonobo…
Don’t disparage the long evolution we had graduated from, as a species, while living in ‘extended middle class societies’.

‘But you haven’t explained what you mean by middle class! Most of us see the middle class as those people who make a certain amount of money each year and you keep speaking about primitive people… who have absolutely no use for any money…!’

OK.
For good or for bad, our present society consist of three categories of people.
The haves, the in-between and the dirt poor.

I’m not going to assign numerical values to any of these.
Taleb’s Skin in the Game criterion is far more useful in this situation.

The haves qualify only after they have no skin left in the game. In the sense that they have so much ‘money’ that come hell and/or high water they feel safe. What they make of this world is heavily influenced by the thick ‘insulation’ which separates them from the rest of the world.
The dirt poor – or the lumpen proletariat, in Marx’s terms, have all their skin in the game. In fact, they are the famous ‘Boiling Frog’. They have no way of leaving the kettle so…

In a sense, both haves and the dirt poor are  prisoners. Neither can leave their respective cell blocks. Simply because the dirt poor have no way to go anywhere while almost none of the haves would be able to survive ‘outside’.

the boiling frog

Wesley Chang, The Boiling Frog, Medium.com

Which leaves us with the middle class.
Who have some resources stashed away – or enough credit available, to weather some crises. But not enough to last them for their entire remaining lives.
Which makes the middle class the only really interested people in the long term well being of the entire society. The only ones really interested in maintaining the freedom of the market as the main economic engine. The only ones really interested in maintaining democracy as the main manner of avoiding catastrophic mistakes perpetrated by the too powerful autocrats.

Or, from a psychological point of view, we can look at the haves/dirt poor as being stuck in an immobile state of mind while the middle class are the only open minded members of the society.
In fact, I prefer this last approach.
You see, until recently the American Dream was relatively accessible. With some luck, a ton of determination and a fair amount of brain power, the sky was the only limit. Belonging to any of those three categories, haves, middle class and dirt-poor was as much about the state of mind of those involved as it was about actual economic conditions.
The haves were free to consider the big picture, the dirt poor could contemplate brighter perspectives while the middle class were doing their thing. Keeping the whole show afloat.

I’m afraid we have reached an inflexion point. A watershed mark, if you prefer.
For whatever reason – I’m not ready to tackle this subject right now, we’ve become so preoccupied with something in particular that we’ve lost sight of everything else.

Including the middle class.

Exactly those which were supposed to maintain their cool heads and open minds.

part of the problem

Matthew Stewart,
The 9.9 Percent is the New American Aristocracy,
The Atlantic

Any way you look at it, a human individual is a decision making machine.

When living in the bush, the decision making process was rather straightforward.
Information was available on a ‘what you see is what you get’ basis and bad decisions had the rather nasty habit of becoming obvious after a very short time.

Now, when living in a social context, things are a little more complicated.
Other people want from us.
Other people actually depend on convincing us to do various things and not to do other things.

‘Convincing us’ means influencing our decision making processes.
Which can be done using one, two or a combination of the following methods.

By ‘managing’ the information we have at our disposal when making a certain decision.
By altering the way in which we feel about the outcome of that decision being put in practice.

The A&B of the matter, for those familiar with the domain…

But there are two other things which are rarely discussed about these matters.

How ethical is it to manipulate other people?
Specially when the manipulated are not fully aware of what’s going on, which puts the manipulator in almost full control of the whole process.

What are the longer term consequences of the whole thing?
Is there any difference between manipulating people to ‘consume’ things which are more or less detrimental to their health and manipulating people into making far reaching political decisions?

As in ‘is there any difference between convincing people that smoking isn’t that bad for them (or at least pleasurable enough to balance the risk) and convincing them to vote for/against … (feel free to pick your own candidate/issue)?

“The researcher whose work is at the center of the Facebook-Cambridge Analytica data analysis and political advertising uproar has revealed that his method worked much like the one Netflix uses to recommend movies.”

Matthew Hindman,
https://theconversation.com/how-cambridge-analyticas-facebook-targeting-model-really-worked-according-to-the-person-who-built-it-94078

We were discussing ‘worst possible scenarios’ on Facebook and somebody mentioned ‘climate change’.
I must add here that the exchange was ‘framed’ by ‘skin in the game‘, a concept used by Nassim Nicholas Taleb in his rather don-quixotic quest for more responsible decision makers.

OK, the whole domain of climate change is riddled with epistemological holes.
Linear models are used to approximate processes we barely know anything about.
‘Starting points’ have been, again and again, been proven wrong.
I could go on for hours.

I’ll make a small parenthesis here and inform you that according to a fresh study things might be far worse than we’ve reckoned. This paper, published by Nature.com, suggests that Earth’s oceans used to be far cooler than we’ve previously thought they were.

In this context, one of the participants made the following remark:
the burden (of proof) should fall on those calling for changes, for the rather obvious reason that we could suggest changes all day long. Only a few can be implemented.

Hard to argue with that, right?

But which changes are we talking about here?

A change in our manner of interacting with Mother Nature?
Costly, indeed, financial wise, but nowadays technologically possible.

Or about the changes we’ve already – unwittingly, most of them, imposed upon our ‘spaceship’?

We’ve dramatically changed the ‘use of land’. Agriculture and transport – yes, roads and railways have a huge impact – have changed the very nature of what’s going on on a considerable portion of the Earth’s surface.
We’ve dramatically changed the composition of the atmosphere. And I’m not talking about CO2 yet. CFCs, pesticides, NOx and SOx gases, etc., etc….
And, last but not least, we’ve reversed a trend which had been going on for hundreds of millions of years. Photosynthesis used to transform atmospheric CO2 into organic matter, some of which has been steadily accumulated as coal and crude oil.

So, about which changes should we worry first?

Or, in SITG terms, whose skin should bear the brunt of change?

Ours or our children’s?

Both are done ‘by hand’.

Apparently, any likeness between these two stops here.

But, if you pull back in earnest, the ugly thing becomes unraveled.
Not only that it is masturbatory, aka self-inflicted, (political) manipulation should also be classified as sado-masochistic.

Manipulation, as a process, can be examined from two perspectives.
A social one and an individual one.
Now, that everybody knows that ‘manipulation is bad for you‘, any individual who allows themselves to be manipulated into anything must suffer from a masochistic disorder while those who actively manipulate others must be cold blooded sadists.
On the social side, since time and time again manipulation has been proven to have had dangerous consequences, any community that sees any form of manipulation as an acceptable practice must have certain suicidal tendencies. Aka suffer from a ‘social form’ of masochistic disorder. While those who manipulate must be, themselves, cold blooded sadists.

As for being masturbatory, something which is brought upon one self by their own hand, that is almost as evident as Polichinelle’s secret:

Bona-fide politics, that made in earnest, involves open discussion between those who are going to be affected by the decisions and those who propose and support them. Discussions which take place before each major decision is made, during its implementation and after its consequences have started to be felt. The interaction between the politicians and the general public is direct, unmediated.
In Nassim Taleb’s terms, in this situation the politicians have their own ‘skin in the game‘.

Which results ‘risk management’ policy which is the complete opposite of the one adopted by those who believe themselves to be insulated from the consequences of their own actions.

The manipulators, on the other hand, window-dress themselves and the propositions they make. Their goal being not as much to contribute to the well being of their community as to ‘sell to the public’ whatever their minds have been focused on, at that moment. They consider manipulation to be a legitimate tool either because they are not fully aware of the great dangers involved or because they have convinced themselves that they will be forever exempt from contributing to the  the eventual price.
Meanwhile, those who allow themselves to be manipulated either do not realize they are being manipulated or have adopted ‘cynicism as a refuge’ in order to mitigate the cognitive dissonance that is eating away their self esteem.

In an ever-changing, incomprehensible world the masses had reached the point where they would, at the same time, believe everything and nothing, think that everything was possible and nothing was true… The totalitarian mass leaders based their propaganda on the correct psychological assumption that, under such conditions, one could make people believe the most fantastic statements one day, and trust that if the next day they were given irrefutable proof of their falsehood, they would take refuge in cynicism; instead of deserting the leaders who had lied to them, they would protest that they had known all along that the statement was a lie and would admire the leaders for their superior tactical cleverness.

Please note that in this situation the interaction is no longer direct. The manipulator and the manipulated do not ‘touch’ each-other. Therefore neither knows exactly what the other has in mind.
The interaction is mediated by symbols. Which are ‘photo-shopped’ by the manipulators and, sometimes ‘admiringly’, accepted by the manipulated.

It’s exactly this lack of direct contact between the manipulators and the manipulated which determines the whole thing.
The manipulators are, simultaneously, unaware of the true situation and growingly convinced of their ‘impunity’.
The manipulated have initial difficulties in determining that they are subjected to manipulation and, in a second stage, the impression that there is nothing left to be done about the whole thing.

When, eventually, the consequences catch up with both of them, it is usually too late for anything else but ‘damage control’.

People regret that they didn’t wise up earlier, promise themselves they’ll never let something like that happen to them… and forget. Until the next time.

Manipulation: useful tool, mortal sin or what?!?

Hannah Arendt Explains How Propaganda Uses Lies to Erode All Truth & Morality: Insights from The Origins of Totalitarianism

Masochistic Personality Disorder

Secret de Polichinelle

Cognitive dissonance

Karma

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