Edge 254 — August 12, 2008
THE REALITY CLUB A
SHORT COURSE IN BEHAVIORAL ECONOMICS IN THE NEWS THE NEW YORK TIMES PROSPECT NEW YORK TIMES NEW YORK TIMES THE CHRONICLE REVIEW NEWSWEEK BLOGGINGHEADS TV |
ON "A SHORT COURSE IN BEHAVIORAL ECONOMICS" DANIEL KAHNEMAN is Eugene Higgins Professor of Psychology, Princeton University, and Professor of Public Affairs, Woodrow Wilson School of Public and International Affairs. He is winner of the 2002 Nobel Prize in Economic Sciences for his pioneering work integrating insights from psychological research into economic science, especially concerning human judgment and decision-making under uncertainty. DR. NATHAN MYHRVOLD is CEO and managing director of Intellectual Ventures, a private entrepreneurial firm. Before Intellectual Ventures, Dr. Myhrvold spent 14 years at Microsoft Corporation. In addition to working directly for Bill Gates, he founded Microsoft Research and served as Chief Technology Officer. Let me postulate a few things: Priming as Danny presents it is quite a strange phenomenon:
I'm pretty sure Danny said each of these, one way or another. Or maybe I was just primed to draw these conclusions myself, but I think they are accurate. If somebody told me "the sun is green", there are two natural reactions I would have. The first would be to be skeptical and discount the assertion, thinking it is either false, exaggerated or occurs in very weird conditions. The second is to accept it provisionally and say "ok, if the sun is green, help me understand and accept that by explaining further how this could it be that I've lived my whole life thinking the opposite". Even if I want to believe, if I get no answer to this second approach, then I surely will be driven back to skepticism. But hey, maybe that's just me. [...MORE] But I can't resist one final point. The strangeness of priming is much worse than simply that we are not aware of it—we also don't seem to find its traces afterward. Click here for entire discussion to date: W. Daniel Hillis, Daniel Kahneman, Nathan Myhrvold, Richard Thaler, Daniel Kahneman, Nathan Myhrvold, NEW Daniel Kahneman, Nathan Myhrvold, Daniel Kahneman, Nathan Myhrvold |
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Let me postulate a few things: Let me respond to your points in your previous message.
1a. Not correct. The German judges were not completely malleable. They would not have assigned the same sentence to jaywalking. But under the influence of a prime they added an average of 8 months to the sentence.
1b. Yes, similar world test have been done here. Priming has been shown to have a marked influence on the behavior of people in an ultimatum game with real money. I don't know why this should be surprising. People's behavior in games is affected by sniffing oxytocin, which tends to make them more tolerant of exploitation. Oxytocin does not change their nature completely, but it biases their behavior in predictable ways, just as priming does. Much of priming research has been done with real behavior as a dependent variable. Recall the story of the eyes affecting behavior at the "honesty box" (repeated in Monday's NYT). The "artificial questionnaire/no incentive" gambit does not work here.
The power of anchoring effects is such that if a freshman opinion had been the only number proposed as a sentence, it would very likely have an effect. An anchoring effect occurs whenever you recruit arguments to make sense of something that sounds like a solution to your problem.
Two responses to this. First, decisions and judgments are made at a particular time and in a particular context. What priming effects demonstrate is that random features of the context can have a surprisingly large effect on decisions and judgment. The second response is that some priming-like effects are not short-lived. A defendant's physical attractiveness is a long-term prime that has significant effects. And a culture can provide very frequent reminders of the importance of money, or of the importance of community.
As I said above, let us stipulate that no one can make me vote Republican. I did not say that behavior is infinitely malleable, only that it is much, much more malleable than people know. So the fact that people stay with wives and political parties is not a challenge to what I said. But there was a lot of luck and a lot of random priming in the choice of the wife, if not of the party. There is a classic study in which male subjects encountered an attractive woman on a swaying bridge in Vancouver, or just off the bridge. They were much more likely to be smitten if the encounter was on the bridge—they did not know exactly why they had been excited. This is one of many ways in which behavior is moved by forces of which we are not aware.
It really depends on what you mean by "small". I think that 8 months is not small, and many significant anchoring effects with real money are quite large in absolute terms. The effects are not huge—they are within the range of what people would consider unsurprising behavior for themselves. But I may be giving too much ground here: in the post-hypnotic suggestion case, people find themselves doing pretty bizarre things and are not subjectively very surprised. They find a reason for what they observe themselves doing. However, we know that even hypnotic suggestion has bounded effects. Repeating myself, I don't know how to use large or small—I do know that the effects are larger than most people think—otherwise the research would not be interesting and we would not be having this exchange.
See above—who claimed that random priming effects utterly dominate individual life? You insist that the effect of priming is either overwhelming or negligible, but of course it is neither.
Tell that to the felon who got sentenced. And there is really no reason to expect priming effects to cancel out. Yet again, you respond to a claim that has not been made, that we are totally influenced by context.
This is coming close to what I believe.
This is much stronger than I believe. Life is not a random walk, but there is more randomness than we see.
The experiments you suggest have been done. Totally ridiculous numbers will not work, but you can be quite extreme and still get large priming effects. Dan McFadden (Econ Nobel Laureate) and I reported on a study in which one group of subjects made free estimates of a set of quantities, or answered hypothetical open-ended questions about contributions to various causes. Other subjects were anchored by a dichotomous question (the redwood example was from that study). The anchors were set either at the 5th or at the 95th percentile of the distribution of free responses. We could measure the anchoring effect as the proportion of the distance between the anchors that was spanned by the responses of the anchored groups. The results of such studies produce a robust estimate: about 50%. I have called this measure the anchoring index. |
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Danny complains that I am objecting to something he never said. I suppose that may be technically true, but what it tells me is that I must have done a poor job of explaining why I was bringing these points up in the first place. My apologies, let me try again.
I'm pretty sure Danny said each of these, one way or another. Or maybe I was just primed to draw these conclusions myself, but I think they are accurate. |
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If somebody told me "the sun is green", there are two natural reactions I would have. The first would be to be skeptical and discount the assertion, thinking it is either false, exaggerated or occurs in very weird conditions. The second is to accept it provisionally and say "ok, if the sun is green, help me understand and accept that by explaining further how this could it be that I've lived my whole life thinking the opposite". Even if I want to believe, if I get no answer to this second approach, then I surely will be driven back to skepticism. But hey, maybe that's just me. |
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Well, with this I think we can declare our commentary finished! Danny and I seem to be largely in agreement. |
| Return to "A SHORT COURSE IN BEHAVIORAL ECONOMICS" |
ON "HYPERPOLITICS (AMERICAN STYLE)" David Brin |
DAVID BRIN [8.07.08] Thanks for sharing Mark Pesce's entertaining and erudite missive on hyperpolitics. Alas, though, I must take on a number of his points. Certainly his conclusion. First, Pesce, defines Hypermimesis:
Pesce extrapolates this to a plague of omni-imitation—humanity's billions enslaving themselves to uniform fads, in a simplistic cascade of monkey-see, monkey-do in which cultural and individual distinctions vanish under corroding waves of impulsive mimicry. Much as Pohl and Kornbluth portrayed civilization homogenizing into a bland paste of dullard sameness, in The Marching Morons, Pesce forecasts a commonwealth where expertise is lost and democracy becomes a tyranny of lobotomized consensus. Of course, Pesce's thesis fits into the pattern of cyber-grouchery, also seen in Nicholas Carr's recent essay in The Atlantic, "Is Google Making Us Stoopid?" He goes on to front-load an axiom we're expected to take for granted—that liberal civilization is fundamentally based on privacy, secrecy and ownership. Yet, none of these three are given core status in any of the foundation documents of the liberal Enlightenment, especially the U.S. Constitution. Secrecy, when mentioned, is disdained. The word "privacy" is absent, though implied in very general restrictions upon the state's power of search and seizure. Property is defended, but only in loose terms having to do with due process. These are, in fact, contingent rights, desirable but fluid, subject to whatever laws, definitions and processes each generation chooses. Let me re-state this point, because it's obscure, but important. In the U.S. Constitution, property and privacy are protected primarily by requiring that laws be evenly applied through open due process. As the Jeffersonians insisted, citizens are free to negotiate and even redefine these terms, contingent to the needs of each generation. (Ask women, who were "chattel," if they approve this process of continuing re-definition.) Other rights are not "contingent" but instead treated as timeless and essential, with definitions that are rigid, clear and emphatic, in order to span all generations. Topmost among these: the right to know and to speak, to argue and compete—in other words, the basic toolset by which each generation may strike anew its own consensus about law and custom... and then re-argue that consensus, a little later. Here is where constitutional protection is explicit and fierce! Because any dilution of the freedom to know and speak can render pragmatic liberty useless. Pesce goes from one strange assumption to the next: "In Liberalism, knowledge is a scarce resource, managed by elites: the more scarce knowledge is, the more highly valued that knowledge, and the elites which conserve it." He then takes the neo-modern trait that Kevin Kelly and others are so proud of, the proliferation of "the free" and calls this trend a calamity, because a tide of general altruism will now trump the 'virtue of selfishness.'" So, let's see if I'm following this right. Liberal/Enlightenment society is based not only upon secrecy and ownership, but also upon scarce knowledge, elite control and selfishness. But... weren't these traits of all human cultures? Certainly feudalism had plenty of all five. Indeed, if the Enlightenment emphasized anything, even at the beginning, it was opening the floodgates of knowledge and harnessing selfishness under straps and collars of binding rules. May I insert a passage written by James Madison, during the debates over the Constitution?
Out of Pesce's list of liberal "fundamentals," I'll concede that selfishness serves an important, though crude, role in the Enlightenment, analogous to the heat driving its engines. But those engines—markets, democracy, courts and science—use widespread education and knowledge to convert that self-serving heat into direction and production and problem-solving and positive-sum games. Markets and science and democracy have always benefited from increasingly open information flows in the past and education levels are still rising. Heck, so are IQ scores. And this is bad? Mark Pesce will need more than a just-so story about imitative human-monkeys, to convince me that knowledge will soon reverse its effects and become a toxin. Indeed, he goes on to somehow foresee increased knowledge leading to a decline in selfishness, which then leads, in turn, to anarchic civil war, a logical chain that seems perplexing. I'll concede that his apocalyptic vision does climax in a vivid and eloquent anthem for the rising Renunciation Movement. "Fasten your seatbelts and prepare for a rapid descent into the bellum omnia contra omnes, Thomas Hobbes' "war of all against all."...Hyperconnectivity begets hypermimesis begets hyperempowerment. After the arms race comes the war." Wow. Look, I share some of Mark Pesce's cybergrouch skepticism toward techno-transcendentalists like Ray Kurzweil and Clay Shirky, who foresee a rosy, Aquarian age just ahead, one of accelerating openness and proliferating connectedness, unleashing human potential in something radiant and self-propelled, self-directed and exponentially cornucopian. Oy! Teilhard's bodhisattva has returned! And part of me wants to believe. After all, the Teilhardists helped bring us to this party. If I must simplistically choose between Teilhardists and Renunciators, I'll pick the optimists. But even Mr. Singularity, Vernor Vinge, will tell you that it ain't gonna be easy. If these good things are going to happen, it won't be smooth, organic or automatic. Emergent properties help those who help themselves! Above all, we'll need to improve the tools of enlightenment at an ever-accelerating pace, so that smart mobs become super-smart, and not mobs! At present, looking at today's lobotomizing social nets, avatar worlds and so-called "collaborationware," I have to give ten points to the grouches. Nevertheless, returning to Pesce, I see no reason to expect that hyper-interconnectedness will result in "Hypermimesis." For sure, some millions, perhaps billions, will become couch —or net—potatoes. Unimaginative, fad-following and imitative. So? Those people will matter as little tomorrow as they do today. Meanwhile, a large minority will continue to feel repelled by homogeneity and sameness! They'll seek the different and surprising. Centrifugally driven by a need to be exceptional, even in a small way, they'll nurture hobbies that turn into avocations that transform into niches of profound expertise in an Age of Amateurs. Already we are in an era when no worthwhile skill is ever lost, if it can draw the eye of some small band of amateurs. Today there are more expert flint-knappers than in the Paleolithic. More swordmakers than the Middle Ages. Vastly more surface area of hobbyist telescopes than instruments owned by all governments and universities, put together. Networks of neighbors have started setting up chemical sensors that will weave into hyper environmental-webs. Can you really look at this and see the same species of thoughtless, imitative monkeys that Mark Pesce sees? Well, we are varied. We contain multitudes, including grouches, mystics and pragmatists. And that's the point. |
Return to "HYPERPOLITICS (AMERICAN STYLE)" |
GUEST COLUMNIST
In these arguments, evolution is treated as an abstract subject that deals with the age of the earth or how fish first flopped onto land. It’s discussed as though it were an optional, quaint and largely irrelevant part of biology. And a common consequence of the arguments is that evolution gets dropped from the curriculum entirely. This is a travesty. It is also dangerous. Evolution should be taught—indeed, it should be central to beginning biology classes—for at least three reasons. ... |
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What's wrong with a man buying an oven-ready chicken, having sex with it, then serving it to his friends for dinner? Disgust is the guardian of our souls Sunday lunch. it's a family reunion. Across the table, Ebby shoots me a smile and jams a finger into her right nostril. Would I like to see her bogeys? No thanks, I say, but too late. The finger reappears capped in a glob of snot. Such a charmer, my wife says on the drive home. Charming? Nose-picking at the dinner table? Disgusting, surely. Picture Ebby as a dribbling great aunt and there's no question. But she's a pretty two year old, and purity trumps repugnance. Two year olds are full of emotions like joy, fear and surprise, but have no sense of disgust, which usually emerges around age four or five. Disgust is a late developer in evolutionary terms, too, and may be uniquely human. Infants and animals reject bad tastes, but taste aversion and disgust are not the same. Disgust has more to do with offensiveness. Chocolate tastes good, but shape and texture it like dogshit and most adults are put off. Not so two year olds. That was an experiment devised by pioneer disgust researcher, Paul Rozin. He and a young philosopher called Jonathan Haidt went on to explore disgust and morality. In his 2006 book The Happiness Hypothesis, Haidt describes the evolutionary gear shift from "core disgust," which is triggered... Further Reading: Moral Psychology and the Misunderstanding of Religion By Jonathan Haidt [10.3.07] |
The world can be divided in many ways — rich and poor, democratic and authoritarian — but one of the most striking is the divide between the societies with an individualist mentality and the ones with a collectivist mentality. This is a divide that goes deeper than economics into the way people perceive the world. If you show an American an image of a fish tank, the American will usually describe the biggest fish in the tank and what it is doing. If you ask a Chinese person to describe a fish tank, the Chinese will usually describe the context in which the fish swim. These sorts of experiments have been done over and over again, and the results reveal the same underlying pattern. Americans usually see individuals; Chinese and other Asians see contexts. When the psychologist Richard Nisbett showed Americans individual pictures of a chicken, a cow and hay and asked the subjects to pick out the two that go together, the Americans would usually pick out the chicken and the cow. They’re both animals. Most Asian people, on the other hand, would pick out the cow and the hay, since cows depend on hay. Americans are more likely to see categories. Asians are more likely to see relationships. ... Further Reading: Telling More Than We Can Know By Richard Nisbett [1.1.06]. |
Early on in any journalist's career, the young reporter is besieged by advice from all sides. Flacks, sources and run-of-the-mill busybodies will pound on the phone about why the reporter isn't covering this or that story. And then, a sage editor will appear and counsel the newbie: "We decide what the news is." That truism still attains; it's just the meaning of the pronoun has changed. Yes, we decide what is news as long as "we" now includes every sentient human with access to a mouse, a remote or a cellphone. On Friday, NBC spent the day trying to plug online leaks of the splashy opening ceremony of the Beijing Olympics in order to protect its taped prime-time broadcast 12 hours later. There was a profound change in roles here: a network trying to delay broadcasting a live event, more or less TiVo-ing its own content. Consumers have no issue with time-shifting content — in some younger demographics, at least half the programming is consumed on a time-shifted basis — they just want to be the ones doing the programming. Trying to stop foreign broadcasts and leaked clips from being posted on YouTube — NBC's game of "whack-a-mole" as my colleague Brian Stelter described it — was doomed to failure because information not only wants to be free [* See Edge note], its consumers are cunning, connected and will find a workaround on any defense that can be conceived. ... [*Edge note: Credit for coinage of "information wants to be free" goes to Stewart Brand in his talk at the first Hacker's Conference in 1984 (organized by Brand and Kevin Kelly), and in a May 1985 article in Whole Earth Review:" 'Keep designing': How the information economy is being created and shaped by the hacker ethic.". "Information wants to be free" now has it's own page on Wikipedia.] Further Reading: Stewart Brand Meets The Cybernetic Counterculture By Fred Turner [10.3.06]. |
...Knol is not Google's first foray into content hosting. The company has long owned Blogger, one of the most popular blogging services. It is digitizing millions of books, which it makes available through its search service. It owns the archives of Usenet, a popular collection of online discussion forums that predates the Web. Google also carries some news stories from The Associated Press in Google News, and it publishes stock market information through Google Finance. And of course, Google owns YouTube, one of the largest media sites on the Web. Critics say each new Google initiative in this area casts more doubt on the company's claims that it is not a media company. "Google can say they are not in the content business, but if they are paying people and distributing and archiving their work, it is getting harder to make that case," said Jason Calacanis, the chief executive of Mahalo, a search engine that relies on editors to create pages on a variety of subjects. "They are competing for talent, for advertisers and for users" with content sites, he said. Knol has been called a potential rival to Wikipedia and other sites whose content spans a broad range of topics, including Mahalo and About.com, a property of The New York Times Company that uses experts it calls "guides" to write articles on a variety of topics. ... |
WHO FRAMED GEORGE LAKOFF? George P. Lakoff is falling asleep. It is a bright summer afternoon in San Francisco, and Lakoff is nursing a latte at a small table near the entrance of a bustling, sun-dappled cafe. "This is what happens when you are 67," he explains sheepishly after dozing off midsentence. A stocky man with a wide smile and a well-trimmed white beard, Lakoff doesn't seem tired so much as beleaguered. Further Reading: Philosophy In the Flesh: A Talk with George Lakoff [3.9.99] |
MIT robotics professor Rodney Brooks helped bring about a paradigm shift in robotics in the late 1980s when he advocated a move away from top-down programming (which required complete control of the robot's environment) toward a biologically inspired model that helped robots navigate dynamic, constantly changing surroundings on their own. His breakthroughs paved the way for Roomba, the vacuuming robot disc that uses multiple sensors to adapt to different floor types and avoid obstalces in its path. (Brooks is chief technology officer and cofounder of Roomba's parent company, iRobot.) Brooks talked to NEWSWEEK's Katie Baker about the challenges involved in creating robots that can interact in social settings. ... NEWSWEEK: Sociologists talk about the importance of culture and sociability in humans, and why [it should be equally important] in robots. Do roboticists consider things such as culture when thinking about how to integrate robots into human lives? ...So are there ethical implications involved when you think about developing sociable robots, in terms of how they might change human behavior? Further Reading: Better Than Free By Kevin Kelly [2.5.08]; Beyond Computation: A Talk with Rod Brooks [6.5.02]; Biocomputation: A Talk with J. Craig Venter, Ray Kurzweil, Rodney Brooks [6.29.05] |
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