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Tuesday, 7 March 2017

Has Big Data already captured the world?

George Monbiot in The Guardian


Has a digital coup begun? Is big data being used, in the US and the UK, to create personalised political advertising, to bypass our rational minds and alter the way we vote? The short answer is probably not. Or not yet.

A series of terrifying articles suggests that a company called Cambridge Analytica helped to swing both the US election and the EU referendum by mining data from Facebook and using it to predict people’s personalities, then tailoring advertising to their psychological profiles. These reports, originating with the Swiss publication Das Magazin (published in translation by Vice), were clearly written in good faith, but apparently with insufficient diligence. They relied heavily on claims made by Cambridge Analytica that now appear to have been exaggerated. I found the story convincing, until I read the deconstructions by Martin Robbins on Little Atoms, Kendall Taggart on Buzzfeed and Leonid Bershidsky on Bloomberg.

None of this is to suggest we should not be vigilant. The Cambridge Analytica story gives us a glimpse of a possible dystopian future, especially in the US, where data protection is weak. Online information already lends itself to manipulation and political abuse, and the age of big data has scarcely begun. In combination with advances in cognitive linguistics and neuroscience, this data could become a powerful tool for changing the electoral decisions we make.

Our capacity to resist manipulation is limited. Even the crudest forms of subliminal advertising swerve past our capacity for reason and make critical thinking impossible. The simplest language shifts can trip us up. For example, when Americans were asked whether the federal government was spending too little on “assistance to the poor”, 65% agreed. When they were asked whether it was spending too little on “welfare”, 25% agreed. What hope do we have of resisting carefully targeted digital messaging that uses trigger words to influence our judgment? Those who are charged with protecting the integrity of elections should be urgently developing a new generation of safeguards.

Already big money exercises illegitimate power over political systems, making a mockery of democracy: the battering ram of campaign finance, which gives billionaires and corporations a huge political advantage over ordinary citizens; the dark money network (a web of lobby groups, funded by billionaires, that disguise themselves as thinktanks); astroturf campaigning (employing people to masquerade as grassroots movements); and botswarming (creating fake online accounts to give the impression that large numbers of people support a political position). All these are current threats to political freedom. Election authorities such as the Electoral Commission in the UK have signally failed to control these abuses, or even, in most cases, to acknowledge them.

China shows how much worse this could become. There, according to a recent article in Scientific American, deep-learning algorithms enable the state to develop its “citizen score”. This uses people’s online activities to determine how loyal and compliant they are, and whether they should qualify for jobs, loans or entitlement to travel to other countries. Combine this level of monitoring with nudging technologies – tools designed subtly to change people’s opinions and responses – and you develop a system that tends towards complete control.


Already big money exercises illegitimate power over political systems, making a mockery of democracy

That’s the bad news. But digital technologies could also be a powerful force for positive change. Political systems, particularly in the Anglophone nations, have scarcely changed since the fastest means of delivering information was the horse. They remain remote, centralised and paternalist. The great potential for participation and deeper democratic engagement is almost untapped. Because the rest of us have not been invited to occupy them, it is easy for billionaires to seize and enclose the political cyber-commons.

A recent report by the innovation foundation Nesta argues that there are no quick or cheap digital fixes. But, when they receive sufficient support from governments or political parties, new technologies can improve the quality of democratic decisions. They can use the wisdom of crowds to make politics more transparent, to propose ideas that don’t occur to professional politicians, and to spot flaws and loopholes in government bills.

Among the best uses of online technologies it documents are the LabHacker and eDemocracia programmes in Brazil, which allow people to make proposals to their representatives and work with them to improve bills and policies; Parlement et Citoyens in France, which plays a similar role; vTaiwan, which crowdsources new parliamentary bills; the Better Reykjavík programme, which allows people to suggest and rank ideas for improving the city, and has now been used by more than half the population; and the Pirate party, also in Iceland, whose policies are chosen by its members, in both digital and offline forums. In all these cases, digital technologies are used to improve representative democracy rather than to replace it.  

Participation tends to be deep but narrow. Tech-savvy young men are often over-represented, while most of those who are alienated by offline politics remain, so far, alienated by online politics. But these results could be greatly improved, especially by using blockchain technology (a method of recording data), text-mining with the help of natural language processing (that enables very large numbers of comments and ideas to be synthesised and analysed), and other innovations that could make electronic democracy more meaningful, more feasible and more secure.

Of course, there are hazards here. No political system, offline or online, is immune to hacking; all systems require safeguards that evolve to protect them from being captured by money and undemocratic power. The regulation of politics lags decades behind the tricks, scams and new technologies deployed by people seeking illegitimate power. This is part of the reason for the mass disillusionment with politics: the belief that outcomes are rigged, and the emergence of a virulent anti-politics that finds expression in extremism and demagoguery.

Either we own political technologies, or they will own us. The great potential of big data, big analysis and online forums will be used by us or against us. We must move fast to beat the billionaires.

Trump is right on Russia

Jawed Naqvi in The Dawn


IT is a strange anomaly. Whenever India or Pakistan, or both, go into the cobra pose, hissing invectives and threatening to decimate each other, including with nuclear weapons, the world cries foul.

When Nawaz Sharif visits Delhi or when Narendra Modi drops in uninvited at a Lahore wedding, Indian and Pakistani peaceniks applaud together with the worried world. Yet, when Donald Trump wants to improve his country’s troubled relations with Vladimir Putin he is pilloried for even making the suggestion.

Granted he is not gender sensitive, that he has wronged and abused women and his mindset is possibly racist, driven by acute Islamophobia. I would liken Russia in this equation to the baby in Trump’s dirty bathtub. The deep state that contrived lies to invade Iraq or exulted in the wrecking of Libya, in cahoots with the media, seems to be facing an existential crisis with Trump’s presidency over his plans to touch base with Putin.

One day Trump excelled himself in his collaring of the deep state, which includes all major parties and the media. He said something to the effect that his country’s image was not exactly squeaky clean when it came to shedding blood around the world. That was his response to a Fox TV question about Putin’s alleged bloodlust as seen in the military operations in Aleppo.


Is the current American president really worse than the marauders of Iraq and Libya?


Trump’s blunt criticism of his country’s savage moments has been at par with Reverend Jeremiah Wright, the priest who baptised Barack Obama’s children. When in a fit of rage over an Israeli assault on Palestinian camps he yelled ‘goddamn America’ Obama cut off ties with the African American priest.

Then suddenly it began to rain scams on Trump. So and so met the Russian ambassador. So and so made eye contact with him. Trump’s attorney general is said to have a racist background. That was forgiven or grudgingly gulped down. Instead his alleged dalliances with Russian diplomats and/or businessmen were picked up for censure.

A wider conspiracy was unleashed to torpedo the new president’s still unwavering plans to improve relations with Putin. BBC dug out dirt on the Russians, which they are good at. Russia was a British quarry, which became America’s bête noire.

Cut to the day when Prime Minister Theresa May sauntered into Washington and Ankara recently and the media said she was fixing business deals. They omitted the fact that both her destinations involved allies who seemed to have lost interest in the old British fear-mongering called Russophobia. Trump’s fascination with Putin was by now legendary and Turkey’s President Recep Tayyip Erdogan too had shown signs of becoming disenchanted with the British-assigned role of playing an anti-Moscow Sancho Panza.

If we think freely and without the Cold War blinkers, May couldn’t have signed a groundbreaking deal with anybody bilaterally until the fate of Brexit was decided, which could be some years away. Trump looks destined not to last that long.

For Erdogan to become a member of the Russian-Iranian backed peace talks on Syria was a huge somersault by a country that was regarded as a lynchpin to Nato’s Middle East policy. Turkey is no longer insisting on the Syrian president’s head as condition to discuss a future setup in Damascus. Erdogan’s unease with the Americans became more pronounced with the botched coup attempt, which he blamed on Turkish dissidents seated in the US.

It is nearly impossible to believe that May did not discuss her worry about Russia and Putin with Trump and Erdogan. Russia has been a British bugbear for centuries even if Napoleon preceded it and other Europeans in turning an obsession with Russia into an exhausting and costly military expedition.

Russophobia as we know it is a British innovation. It was left to Winston Churchill to give the Cold War a newer variant of an old pursuit. The new seeds were planted in Churchill’s Iron Curtain speech. Then James Bond took over while Alfred Hitchcock also embraced the diabolical imagery of the Russians. Until then, Hollywood had been in hot pursuit of Germans as America’s horns and canines ogres.

Much earlier, before Western democracies were swamped with the Churchillian exhortations against Russia, British governors general and viceroys in India took it upon themselves to deepen and sustain the fear mongering. Delhi’s imposing colonial monument — India Gate — is a testimony to this perpetually induced fear with the rulers of Moscow. All sides of the landmark sandstone monument are lined with thousands of names of Sikh and Muslim soldiers who were sacrificed in the suicidal Afghan wars. May must have seen how Britain’s self-defeating obsession with Russia had dissipated into the brick-batting in Washington D.C. between the Democrats and the Republicans.

Going by usually trustworthy accounts Donald Trump is an unpredictable person, which makes him a dangerous leader of an already error-prone military power. Nevertheless, Noam Chomsky must have shocked the Democrats by suggesting that in his view John Kennedy was the most dangerous of presidents. Trump is lampooned daily, which is as it should be, as an unqualified gatecrasher in the White House. The suggestion, however, implies that the world was somehow better off under George W. Bush and, more worryingly, under his Dr Strangelove-like colleagues — Donald Rumsfeld and Dick Cheney. Is Trump really worse than the marauders of Iraq and Libya?

Shorn of any media support in the heart of the land of free speech, Vladimir Putin wrote a piece for the American audiences in The New York Times of Sept 11 2013.

“Relations between us have passed through different stages. We stood against each other during the Cold War. But we were also allies once, and defeated the Nazis together.” Trump believes the two countries should jointly fight a new menace, the militant Islamic State group. His detractors within the deep state somehow seem not to like the idea.

Monday, 6 March 2017

Utopian thinking: the easy way to eradicate poverty

Rutger Bregman in The Guardian

Why do poor people make so many bad decisions? It’s a harsh question, but look at the data: poor people borrow more, save less, smoke more, exercise less, drink more and eat less healthily. Why?

Margaret Thatcher once called poverty a “personality defect”. Though not many would go quite so far, the view that there’s something wrong with poor people is not exceptional. To be honest, it was how I thought for a long time. It was only a few years ago that I discovered that everything I thought I knew about poverty was wrong.

It all started when I accidently stumbled on a paper by a few American psychologists. They had travelled 8,000 miles, to India, to carry out an experiment with sugar cane farmers. These farmers collect about 60% of their annual income all at once, right after the harvest. This means they are relatively poor one part of the year and rich the other. The researchers asked the farmers to do an IQ test before and after the harvest. What they discovered blew my mind. The farmers scored much worse on the tests before the harvest. The effects of living in poverty, it turns out, correspond to losing 14 points of IQ. That’s comparable to losing a night’s sleep, or the effects of alcoholism.

A few months later I discussed the theory with Eldar Shafir, a professor of behavioural science and public policy at Princeton University and one of the authors of this study. The reason, put simply: it’s the context, stupid. People behave differently when they perceive a thing to be scarce. What that thing is doesn’t much matter; whether it’s time, money or food, it all contributes to a “scarcity mentality”. This narrows your focus to your immediate deficiency. The long-term perspective goes out of the window. Poor people aren’t making dumb decisions because they are dumb, but because they’re living in a context in which anyone would make dumb decisions.


 ‘Indian sugar cane farmers scored much worse on IQ tests before the harvest than after.’ Photograph: Ajay Verma/REUTERS

Suddenly the reason so many of our anti-poverty programmes don’t work becomes clear. Investments in education, for example, are often completely useless. A recent analysis of 201 studies on the effectiveness of money management training came to the conclusion that it makes almost no difference at all. Poor people might come out wiser, but it’s not enough. As Shafir said: “It’s like teaching someone to swim and then throwing them in a stormy sea.”

So what can be done? Modern economists have a few solutions. We could make the paperwork easier, or send people a text message to remind them of their bills. These “nudges” are hugely popular with modern politicians, because they cost next to nothing. They are a symbol of this era, in which we so often treat the symptoms but ignore the causes.

I asked Shafir: “Why keep tinkering around the edges rather than just handing out more resources?” “You mean just hand out more money? Sure, that would be great,” he said. “But given the evident limitations … the brand of leftwing politics you have in Amsterdam doesn’t even exist in the States.”

But is this really an old-fashioned, leftist idea? I remembered reading about an old plan, something that has been proposed by some of history’s leading thinkers. Thomas More hinted at it in Utopia, more than 500 years ago. And its proponents have spanned the spectrum from the left to the right, from the civil rights campaigner Martin Luther King to the economist Milton Friedman.
It’s an incredibly simple idea: universal basic income – a monthly allowance of enough to pay for your basic needs: food, shelter, education. And it’s completely unconditional: not a favour, but a right.

But could it really be that simple? In the three years that followed, I read all I could find about basic income. I researched dozens of experiments that have been conducted across the globe. And it didn’t take long before I stumbled upon the story of a town that had done it, had eradicated poverty – after which nearly everyone forgot about it.


‘Everybody in Dauphin was guaranteed a basic income ensuring that no one fell below the poverty line.’ Photograph: Barrett & MacKay/Getty Images/All Canada Photos

This story starts in Winnipeg, Canada. Imagine a warehouse attic where nearly 2,000 boxes lie gathering dust. They are filled with data – graphs, tables, interviews – about one of the most fascinating social experiments ever conducted. Evelyn Forget, an economics professor at the University of Manitoba, first heard about the records in 2009. Stepping into the attic, she could hardly believe her eyes. It was a treasure trove of information on basic income.

The experiment had started in Dauphin, a town north-west of Winnipeg, in 1974. Everybody was guaranteed a basic income ensuring that no one fell below the poverty line. And for four years, all went well. But then a conservative government was voted into power. The new Canadian cabinet saw little point in the expensive experiment. So when it became clear there was no money left for an analysis of the results, the researchers decided to pack their files away. In 2,000 boxes.

When Forget found them, 30 years later, no one knew what, if anything, the experiment had demonstrated. For three years she subjected the data to all manner of statistical analysis. And no matter what she tried, the results were the same every time. The experiment – the longest and best of its kind – had been a resounding success.

Forget discovered that the people in Dauphin had not only become richer, but also smarter and healthier. The school performance of children improved substantially. The hospitalisation rate decreased by as much as 8.5%. Domestic violence was also down, as were mental health complaints. And people didn’t quit their jobs – the only ones who worked a little less were new mothers and students, who stayed in school longer.


The great thing about money is that people can use it to buy things they need, instead of things experts think they need

So here’s what I’ve learned. When it comes to poverty, we should stop pretending to know better than poor people. The great thing about money is that people can use it to buy things they need instead of things self-appointed experts think they need. Imagine how many brilliant would-be entrepreneurs, scientists and writers are now withering away in scarcity. Imagine how much energy and talent we would unleash if we got rid of poverty once and for all.
While it won’t solve all the world’s ills – and ideas such as a rent cap and more social housing are necessary in places where housing is scarce – a basic income would work like venture capital for the people. We can’t afford not to do it – poverty is hugely expensive. The costs of child poverty in the US are estimated at $500bn (£410bn) each year, in terms of higher healthcare spending, less education and more crime. It’s an incredible waste of potential. It would cost just $175bn, a quarter of the country’s current military budget, to do what Dauphin did long ago: eradicate poverty.

That should be our goal. The time for small thoughts and little nudges is past. The time has come for new, radical ideas. If this sounds utopian to you, then remember that every milestone of civilisation – the end of slavery, democracy, equal rights for men and women – was once a utopian fantasy too.

We’ve got the research, we’ve got the evidence, and we’ve got the means. Now, 500 years after Thomas More first wrote about basic income, we need to update our worldview. Poverty is not a lack of character. Poverty is a lack of cash.