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It's not just their work; it's their way of life. As workers move to factories, the social fabric is torn apart. But that rending of life opens the door for a mobile workforce able to take advantage of new opportunities. Traditional life disappears; in its place stand the efficiencies of capitalism.

Low-wage countries seize the opportunity and climb upon the escalator of the international system, and with them come the political and business elite and the poor, for whom even the brutality of early industrialism is a relief.

In looking at this historically, two markers showed themselves. One is a historical first step: garment and footwear manufacturing, a highly competitive area that demands low wages but provides work opportunities that the population, particularly women, understand in principle. A second marker is mobile phone assembly, which requires a work force that can master relatively simple operations. Price matters greatly in this ruthlessly competitive market.

We were not looking for the kind of large-scale movements that would be noticed globally, but the first movements that appear to be successful. Where a handful of companies are successful, others will follow, so long as there is labor, some order and transportation.

The Cultural Revolution had ended a few years before. It was a national upheaval of violence with few precedents. Mao Zedong died in 1976, and there had been an intense power struggle, with Deng Xiaoping consolidating power in 1977. China was politically unstable, had no clear legal system, sporadic violence and everything else that would make it appear economically hopeless. In fact, Egbert F. Dernberger and David Fasenfest of the University of Michigan wrote a paper for the Joint Economic Committee of Congress titled "China's Post-Mao Economic Future." In this paper, the authors state: "In the next seven years as a whole, the rate of industrial investment and production, more than the total of the last 28 years, imply a level of imports and industrial labor force such that the exports, transportation facilities, social overhead capital, energy and middle-level technical personnel requirements would exceed any realistic assessment of Chinese capabilities."

I don't mean to criticize the authors. This was the reasonable, conventional wisdom at the time. It assumed that the creation of infrastructure and a managerial class was the foundation of economic growth. In fact in China, it was the result of economic growth. The same can be said for rule of law, civil society, transparency and the other social infrastructure that emerges out of the social, financial and managerial chaos that a low-wage economy almost always manifests.

When you look at map, much of this new activity is focused in the Indian Ocean Basin. The most interesting pattern is in the eastern edge of Sub-Saharan Africa: Tanzania, Kenya, Uganda and Ethiopia. Sri Lanka, Indonesia, Myanmar and Bangladesh are directly on the Indian Ocean.

A special word needs to be included on Mexico. The area north of Mexico City and south of the U.S. borderlands has been developing intensely in recent years. We normally would not include Mexico but the area in central-southern Mexico is large, populous and still relatively underdeveloped.

All of this has to be placed in context. This is not the only growth process underway. It is most unlikely that all of these countries will succeed. They are not yet ready, with some exceptions, for advanced financial markets or quantitative modeling. They are entering into a process that has been underway in the world since the late 1700s: globalism and industrialism combined.

It can be an agonizing process and many have tried to stop it. They have failed not because of their respective ruling classes, which would have the most to lose. It doesn't take place because of multinational corporations. They come in later. It takes place because of profit-driven jobbers who know how to live with instability and corruption. It also takes place because of potential workers looking to escape their lives for what to them seems like a magnificent opportunity but for us seems unthinkable.

the central government has targeted the Yangtze River economic corridor -- the urban industrial zones lining the Yangtze River from Chongqing to Shanghai -- as a key area for investment, development and urbanization in the coming years. Ultimately, the Party hopes to transform the Yangtze's main 2,800-kilometer-long (1,700-mile-long) navigable channel into a central superhighway for goods and people, better connecting China's less developed interior provinces to the coast and to each other by way of water -- a significantly cheaper form of transport than road or railway.

Stretching 6,418 kilometers from its source in the Tibetan Plateau to its terminus in the East China Sea, the river both divides and connects the country. To its north lie the wheat fields and coal mines of the North China Plain and Loess Plateau, unified China's traditional political cores. Along its banks and to the south are the riverine wetlands and terraced mountain faces that historically supplied China with rice, tea, cotton and timber.

The river passes through the highlands of the Yunnan-Guizhou Plateau, the fertile Sichuan Basin, the lakes and marshes of the Middle Yangtze and on to the trade hubs of the Yangtze River Delta. Its watershed touches 19 provinces and is central to the economic life of more people than the populations of Russia and the United States combined.

The Yellow River may be the origin of the Han Chinese civilization, but on its own it is far too weak to support the economic life of a great power.

This division, more than any other, forms the basis of Chinese political history and provides China's rulers with their most fundamental strategic imperative: unity of the lands above and below the river. Without both north and south, there is no China, only regional powers.

If the Yangtze did not exist, or if its route had veered downward into South and Southeast Asia (like most of the rivers that begin on the Tibetan Plateau), China would be an altogether different and much less significant place.

the Upper (encompassing present-day Sichuan and Chongqing), Middle (Hubei, Hunan and Jiangxi) and Lower Yangtze (Jiangsu and Zhejiang provinces, as well as Shanghai and parts of Anhui).

Geography and time have made these regions into distinct and relatively autonomous units, each with its own history, culture and language. Each region has its own hubs -- Chengdu and Chongqing for the Upper Yangtze; Wuhan, Changsha and Nanchang for the Middle Yangtze; and Suzhou, Hangzhou and Shanghai for the Lower Yangtze.

In many ways, China was more deeply united under Mao Zedong than under any emperor since Kangxi in the 18th century. After 1978, the foundations of internal cohesion began to shift and crack as the reform and opening process directed central government attention and investment away from the interior (Mao's power base) and toward the coast.

Today, faced with the political and social consequences of that process, the Party is once again working to reintegrate and recentralize -- both in the sense of slowly reconsolidating central government control over key sectors of the economy and, more fundamentally, forcibly shifting the economy's productive core inland.

In 2011, more than 1.6 billion metric tons of goods passed through it, representing 40 percent of the nation's total inland waterborne cargo traffic and about 5 percent of all domestic goods transport that year

First, there is a clear shift in central government policy away from intensive focus on coastal manufacturing at the expense of the interior (the dominant approach throughout the 1990s and early 2000s) and toward better integrating China's diverse regions into a coherent national economy.

By 2001, the economies of Shanghai and Shenzhen, for instance, were in many ways more connected to those of Tokyo, Seoul and Los Angeles than of the hinterlands of Sichuan and Shaanxi provinces.

This continual supply of cheap labor from the interior kept Chinese manufacturing cost-competitive throughout the 2000s -- far longer than if Chinese factories had only had the existing coastal labor pool to rely on.

This dual process -- accumulation of wealth by the state and systematic wage repression in low-end coastal manufacturing -- significantly hampered the development of China's domestic consumer base. But even more troubling was the effect of labor migration, coupled with the relative lack of central government attention to enhancing inland industry throughout the 1990s and early 2000s, on the economies of interior provinces.

In trying to urbanize and industrialize the interior, Beijing is going against the grain of Chinese history -- a multimillennia saga of failed attempts to overcome the radical constraints of geography, population, food supply and culture through ambitious central government development programs.

But there’s a problem, the architect points out. She reminds you that your city requires you to provide off-street parking on the property for each of the apartments you build. 

access ramps to the underground garage will subtract six apartments, and your general contractor estimates that excavating will cost $55,000 per parking space — almost as much as the $60,000 you’ve budgeted to build each apartment.

You contemplate whether to dig a second subterranean level in the garage, but the deeper you go, the contractor explains, the more expensive it gets.

You’re now considering a building with 30 apartments, plus 19 spaces behind. That’s only 0.6 parking spaces apiece, so you’ll still be in trouble with the city. To get one space per apartment, you’ll need to drop down to 25 apartments or fewer and raise the rent again.

The whole situation is aggravating, because the area surrounding your building has vast, untapped reservoirs of parking: surface lots at grocery stores and movie theaters, underground spaces at shopping complexes and office buildings, and idle spots at nearby apartments.

You could even rent a group of overnight spaces at a nearby garage and sublet them to tenants, but such innovative solutions are not a legal substitute for on-site parking in your city.

You’re stuck with no good options: a long and risky waiver application, underground parking with extremely high rents, or a half-sized building with high rent and slots out back.

 Parking quotas drive up construction costs. (“But supply and demand, not cost, set prices,” I hear my Econ 101 professor Hirschel Kasper pointing out.

There’s no way you can legally build your no-parking $800-a-month apartments, nor can anyone else, anywhere in town. The whole apartment market will be missing its bottom end.

Todd Litman of the Victoria Transport Policy Institute has modeled a typical affordable housing development and concluded that including one parking space per dwelling raises the cost of each rental unit by 12.5 percent

Parking quotas constrain the supply of dwelling units, particularly of modest, economical ones, which causes their price to rise.

Parking quotas often make it prohibitively expensive to adapt buildings for other uses. Developers cannot convert vacant warehouses into lofts, or aging office blocks into condos, unless they somehow shoehorn floors of parking into the historic structures.

By suppressing the number of apartments on each city lot (see Nos. 2 and 3), quotas force housing demand to spread outward across the landscape.

 Parking quotas shift the cost of storing vehicles from those vehicles’ owners into the rent of non-owners. By flooding the market for parking, quotas make it impossible to recoup the full cost of parking by charging its users.

This effect does not raise the rent on average beyond what effects 1, 2, and 3 do, but it does shift the cost of storing vehicles from car owners to non-owners. Even tenants who do not use parking pay for it.

The cost of parking, furthermore, exceeds its market price almost everywhere in King County, so even tenants who do not own cars end up paying for parking through their rent.

In 1961, Oakland introduced a quota of one space per new apartment. Immediately, as housing economist Brian Bertha has documented (see page 143), the construction cost per apartment jumped by 18 percent and typical apartment buildings shrank: The number of units per new building fell by 30 percent. Developers built fewer, larger apartments, and the rent rose.

A newer proof comes from urban planning professor Michael Manville of Cornell University. He described in the Journal of the American Planning Association what happened in downtown Los Angeles after 1999 when the city enacted an adaptive reuse ordinance (ARO).

Quickly, the deregulation of parking yielded more than 6,000 new apartments and condominiums, some of them in previously dilapidated historic office buildings that dated from the Art Deco era.

When parking requirements are removed, developers provide more housing and less parking, and also … developers provide different types of housing: housing in older buildings, in previously disinvested areas, and housing marketed toward non-drivers. This latter category of housing tends to sell for less than housing with parking spaces.

Minimum parking requirements do not jack the rent up much in the kinds of pricey buildings where the developer would have installed an abundance of parking anyway.

What’s more, half of the parking spaces developers provided to tenants were at neighboring or nearby properties. In fact, at 16 of the 57 ARO buildings, all the parking was off-site. These developers did what you wanted to do for your 50-unit building: They secured tenant parking not by pouring concrete but by sipping coffee with the owners of nearby garages.

Wuhan, the flagship of new port investment on the Yangtze as well as nationally, actually saw declines in both the number of berths and freight throughput during that period.

Going forward, the question for Beijing will be whether and to what extent it is able to realize its ambitious plans for the Yangtze River corridor and inland China as a whole. Even then, it is not clear that expanding and industrializing a handful of inland cities will reduce mounting economic imbalances or social tensions unless combined with significant changes to a range of other policies, including the hukou (or household registration) system and the fiscal and financial relationship between city, provincial and national governments. Significant changes to these policies will, in turn, meet steep resistance from entrenched bureaucratic interests. More fundamentally, such changes would likely unleash the social unrest that Beijing's entire political economic system is intended to manage.

port development in Wuhan is similar to projects like the Three Gorges Dam or the ongoing South-North Water Transfer Project, which seeks to divert up to 10 percent of the Yangtze River's flow to water-starved provinces in northern China. All three are attempts to reconcile immense geographic and environmental constraints with the ballooning demands (both consumer and industrial) of an enormous population and an ever-expanding economy -- all while providing enough jobs to maintain a degree of stability.

The problem, then, is not simply that the Chinese government's approach to economic development is inconsistent with the needs of the economy and population as a whole

GURGAON, India

In Gurgaon, economic growth is often the product of a private sector improvising to overcome the inadequacies of the government. To compensate for electricity blackouts, Gurgaon’s companies and real estate developers operate massive diesel generators capable of powering small towns. No water? Drill private borewells. No public transportation? Companies employ hundreds of private buses and taxis. Worried about crime? Gurgaon has almost four times as many private security guards as police officers.

Gurgaon was widely regarded as an economic wasteland. In 1979, the state of Haryana created Gurgaon by dividing a longstanding political district on the outskirts of New Delhi. One half would revolve around the city of Faridabad, which had an active municipal government, direct rail access to the capital, fertile farmland and a strong industrial base. The other half, Gurgaon, had rocky soil, no local government, no railway link and almost no industrial base. As an economic competition, it seemed an unfair fight. And it has been: Gurgaon has won, easily. Faridabad has struggled to catch India’s modernization wave, while Gurgaon’s disadvantages turned out to be advantages, none more important, initially, than the absence of a districtwide government, which meant less red tape capable of choking development. By 1979, Mr. Singh had taken control of his father-in-law’s real estate company, now known as DLF, at a moment when urban development in India was largely overseen by government agencies. In most states, private developers had little space to operate, but Haryana was an exception. Slowly, Mr. Singh began accumulating 3,500 acres in Gurgaon that he divided into plots and began selling to people unable to afford prices in New Delhi.

Mr. Singh had become the company’s India representative after befriending Jack Welch, then the G.E. chairman. When Mr. Welch decided to outsource some business operations to India, he eventually opened a G.E. office inside a corporate park in Gurgaon in 1997. “When G.E. came in,” Mr. Singh said, “others followed.”

Ordinarily, such a wild building boom would have had to hew to a local government master plan. But Gurgaon did not yet have such a plan, nor did it yet have a districtwide municipal government. Instead, Gurgaon was mostly under state control. Developers built the infrastructure inside their projects, while a state agency, the Haryana Urban Development Authority, or HUDA, was supposed to build the infrastructure binding together the city.

From computerized control rooms, Genpact employees manage 350 private drivers, who travel roughly 60,000 miles every day transporting 10,000 employees.

The city’s residential compounds, especially the luxury developments along golf courses, exist as similarly self-contained entities.

“We pretty much carry the entire weight of what you would expect many states to do,” said Pramod Bhasin, who this spring stepped down as Genpact’s chief executive. “The problem — a very big problem — is our public services are always lagging a few years behind, but sometimes a decade behind. Our planning processes sometimes exist only on paper.”

Not all of the city’s islands are affluent, either. Gurgaon has an estimated 200,000 migrant workers, the so-called floating population, who work on construction sites or as domestic help.

Meanwhile, with Gurgaon’s understaffed police force outmatched by such a rapidly growing population, some law-and-order responsibilities have been delegated to the private sector. Nearly 12,000 private security guards work in Gurgaon, and many are pressed into directing traffic on major streets.

Sudhir Rajpal, the wiry, mustachioed commissioner of the new Municipal Corporation of Gurgaon, has a long to-do list: fix the roads, the sewers, the electrical grid, the drainage, the lack of public buses, the lack of water and the lack of planning. The Municipal Corporation was formed in 2008, and Mr. Rajpal, having assumed the city’s top administrative position a few months ago, has been conducting a listening tour to convince people that government can solve their problems. It is not an easy sell.

“The drains are broken and accidents are happening,” shouted one man. “Yet no one is answerable! There are problems and problems. Whatever water we get is dirty, but we have nowhere to complain.”

“Every day some agitation is taking place,” he said, shouting above the din of traffic. “People are not satisfied.” If people should be satisfied anywhere in India, Gurgaon should be the place. Average incomes rank among the highest in the country. Property values have jumped sharply since the 1990s. Gurgaon’s malls offer many of the country’s best shops and restaurants, while the city’s most exclusive housing enclaves are among the finest in India. Yet the economic power that growth has delivered to Gurgaon has not been matched by political power. The celebrated middle class created by India’s boom has far less clout at the ballot box than the hundreds of millions of rural peasants struggling to live on $2 a day, given the far larger rural vote, and thus are courted far less by Indian politicians.

China recently became the second largest net oil importer in the world behind the United States and the world's largest global energy consumer. Gas imports have also risen in recent years, and China became a net natural gas importer for the first time in almost two decades in 2007.

Japan is the third largest net importer of crude oil behind the United States and China, as well as the world's largest importer of liquefied natural gas (LNG), owing to few domestic energy resources.

Hydrocarbon reserves in the East China Sea are difficult to determine. The area is underexplored and the territorial disputes surrounding ownership of potentially rich oil and natural gas deposits have precluded further development.

China began exploration activities in the Each China Sea in the 1980's, discovering the Pinghu oil and gas field in 1983. Japan co-financed two oil and gas pipelines running from the Pinghu field to Shanghai and the Ningbo onshore terminal on the Chinese mainland through the Asian Development Bank and its own Japanese Bank of International Cooperation (JBIC).

Only the Pinghu field, operational since 1998, has produced oil in significant quantities to date. Pinghu's production peaked at around 8,000 to 10,000 barrels per day (bbl/d) of oil and condensate in the late 1990's, and leveled off to around 400 bbl/d in recent years. In the medium-term, the East China Sea is not expected to become a significant supplier of oil.

EIA estimates that the East China Sea has between 1 and 2 trillion cubic feet (Tcf) in proven and probable natural gas reserves.

In 2012, an independent evaluation estimated probable reserves of 119 Bcf of natural gas in LS 36-1, a promising gas field north of Taiwan currently being developed as a joint venture between CNOOC and U.K. firm Primeline Petroleum Corp.

The uncontested Pinghu field began producing in 1998, reaching a peak of approximately 40 to 60 million cubic feet per day (Mmcf/d) in the mid-2000's and declining in recent years.

China began producing at the contested Tianwaitian/Kashi field in 2006, claiming it as part of its Exclusive Economic Zone.

The Chinese government prioritizes boosting the share of natural gas as part of total energy consumption to alleviate high pollution from the country's heavy coal use. To that end, Chinese authorities intend to ramp up production and increase East China Sea gas to flow into the Yangtze River delta region, which includes Shanghai and Hangzhou, two large cities with growing gas demand.

In the 1990's, several foreign companies drilled a series of dry holes in uncontested waters.

In 2003, Unocal and Royal Dutch Shell announced a joint venture (JV) with CNOOC and Sinopec to explore gas reserves in the Xihu/Okinawa trough. However, Unocal and Shell withdrew from exploration projects in late 2004, citing doubts over the commercial viability of developing energy resources in the disputed area.

The companies plan to build pipelines and a 42 Mmcf/d onshore processing terminal at Wenzhou to accept the future gas supplies from the LS 36-1 field.

Despite multiple rounds of high-level negotiations between China and Japan, the two countries have thus far been unable to resolve territorial issues related to the East China Sea.

Until these disputes are resolved, it is likely that the East China Sea will remain underexplored and its energy resources will not be fully developed.

The Daioyu/Senkaku Islands consist of five uninhabited islets and three barren rocks. Approximately 120 nautical miles southwest of Okinawa, the islands are situated on a continental shelf with the Xihu/Okinawa trough to the south separating them from the nearby Ryukyu Islands.

For several decades after 1945, the United States administered the islands as part of the post-war occupation of Okinawa. The islands generated little attention during this time

Although China had not previously disputed Japanese claims, the PRC claimed the islands in May 1970 after Japan and Taiwan held talks on joint exploration of energy resources in the East China Sea.

China claims the disputed land based on historic use of the islands as navigational aids. In addition, the government links the territory to the 1895 Shimonoseki Peace Treaty that removed Japanese claims to Taiwan and Chinese lands after World War II.

Japan claims that it incorporated the islands as vacant territory (terra nullius) in 1895 and points to continuous administration of the islands since that time as part of the Nansei Shoto island group.

Japan defines its boundary as the UNCLOS Exclusive Economic Zone (EEZ) extending westward from its southern Kyushyu island and Ryukyu islands.

China defines its boundary using the UNCLOS principle of the natural extension of its continental shelf.

Under UNCLOS, Article 121 (3), "Rocks which cannot sustain human habitation or economic life of their own shall have no exclusive economic zone or continental shelf". The Japanese have claimed that the disputed islands generate an EEZ and continental shelf. China has not taken an official position on the status of the Daioyu/Senkakus as rocks or islands.

But more important than Lanier’s hopes for a cure is his diagnosis of the digital disease. Eccentric as it is, “Future” is one of the best skeptical books about the online world, alongside Nicholas Carr’s “The Shallows,” Robert Levine’s “Free Ride” and Lanier’s own “You Are Not a Gadget.”

Yeah, and I remember there was this fascination with the idea of the informal economy about 10 years ago. Stewart Brand was talking about how brilliant it is that people get by in slums on an informal economy. He’s a friend so I don’t want to rag on him too much. But he was talking about how wonderful it is to live in an informal economy and how beautiful trust is and all that.

So Kodak has 140,000 really good middle-class employees, and Instagram has 13 employees, period. You have this intense concentration of the formal benefits, and that winner-take-all feeling is not just for the people who are on the computers but also from the people who are using them. So there’s this tiny token number of people who will get by from using YouTube or Kickstarter, and everybody else lives on hope. There’s not a middle-class hump. It’s an all-or-nothing society.

If we go back to the 19th century, photography was kind of born as a labor-saving device, although we don’t think of it that way.

And then, you know, along a similar vein at that time early audio recordings, which today would sound horrible to us, were indistinguishable between real music to people who did double blind tests and whatnot.

So in the beginning photography was kind of a labor saving device. And whenever you have a technological advance that’s less hassle than the previous thing, there’s still a choice to make. And the choice is, do you still get paid for doing the thing that’s easier?

And so you could make the argument that a transition to cars should create a world where drivers don’t get paid, because, after all, it’s fun to drive.

Of course jobs become obsolete. But the only reason that new jobs were created was because there was a social contract in which a more pleasant, less boring job was still considered a job that you could be paid for. That’s the only reason it worked. If we decided that driving was such an easy thing [compared to] dealing with horses that no one should be paid for it, then there wouldn’t be all of those people being paid to be Teamsters or to drive cabs. It was a decision that it was OK to have jobs that weren’t terrible.

I mean, the whole idea of a job is entirely social construct. The United States was built on slave labor. Those people didn’t have jobs, they were just slaves. The idea of a job is that you can participate in a formal economy even if you’re not a baron. That there can be, that everybody can participate in the formal economy and the benefit of having everybody participate in the formal economy, there are annoyances with the formal economy because capitalism is really annoying sometimes.

It was all a social construct to begin with, so what changed, to get to your question, is that at the turn of the [21st] century it was really Sergey Brin at Google who just had the thought of, well, if we give away all the information services, but we make money from advertising, we can make information free and still have capitalism.

There’s always academic tenure, or a taxi medallion, or a cosmetology license, or a pension. There’s often some kind of license or some kind of ratcheting scheme that allows people to keep their middle-class status.

Music is a great example where value is copied. And so once you have it, again it’s this winner-take-all thing where the people who really win are the people who run the biggest computers. And a few tokens, an incredibly tiny number of token people who will get very successful YouTube videos, and everybody else lives on hope or lives with their parents or something.

And whenever I look for these people – I mean when I wrote “Gadget” I looked around and found a handful – and at this point three years later, I went around to everybody I could to get actual lists of people who are doing this and to verify them, and there are more now. But like in the hip-hop world I counted them all and I could find about 50. And I really talked to everybody I could. The reason I mention hip-hop is because that’s where it happens the most right now.

The interesting thing about it is that people advertise, “Oh, what an incredible life. She’s this incredibly lucky person who’s worked really hard.” And that’s all true. She’s in her 20s, and it’s great that she’s found this success, but what this success is that she makes maybe $250,000 a year, and she rents a house that’s worth $1.1 million in L.A.. And this is all breathlessly reported as this great success.

But for someone who’s out there, a star with a billion views, that’s a crazy low expectation. She’s not even in the 1 percent. For the tiny token number of people who make it to the top of YouTube, they’re not even making it into the 1 percent.

I think in the total of music in America, there are a low number of hundreds. It’s really small. I wish all of those people my deepest blessings, and I celebrate the success they find, but it’s just not a way you can build a society.

The other problem is they would have to self-fund. This is getting back to the informal economy where you’re living in the slum or something, so you’re desperate to get out so you impress the boss man with your music skills or your basketball skills. And the idea of doing that for the whole of society is not progress. It should be the reverse. What we should be doing is bringing all the people who are in that into the formal economy. That’s what’s called development. But this is the opposite of that. It’s taking all the people from the developed world and putting them into a cycle of the developing world of the informal economy.

The way society actually works is there’s some mechanism of basic stability so that the majority of people can outspend the elite so we can have a democracy. That’s the thing we’re destroying, and that’s really the thing I’m hoping to preserve. So we can look at musicians and artists and journalists as the canaries in the coal mine, and is this the precedent that we want to follow for our doctors and lawyers and nurses and everybody else? Because technology will get to everybody eventually.

I have 14-year-old kids who come to my talks who say, “But isn’t open source software the best thing in life? Isn’t it the future?” It’s a perfect thought system. It reminds me of communists I knew when growing up or Ayn Rand libertarians.

You’re concerned with equality and a shrinking middle class. And yet you don’t seem to consider yourself a progressive or a man of the left — why not?

All of these things are magisterial, where the people who become involved in them tend to wish they could be the only ones.

Libertarians tend to think the economy can totally close its own loops, that you can get rid of government. And I ridicule that in the book. There are other people who believe that if you could get everybody to talk over social networks, if we could just cooperate, we wouldn’t need money anymore. And I recommend they try living in a group house and then they’ll see it’s not true.

And that is doesn’t concentrate power too much, and if we can just get to that point, then we’ll really be fine. I’m actually modest. People have been accusing me of being super-ambitious lately, but I feel like in a way I’m the most modest person in the conversation.

Let’s stick with politics for one more. Is there something dissonant about the fact that the greatest fortunes in human history have been created with a system developed largely by taxpayers dollars?

Yeah, no kidding. I was there. I gotta say, every little step of this thing was really funded by either the military or public research agencies. If you look at something like Facebook, Facebook is adding the tiniest little rind of value over the basic structure that’s there anyway. In fact, it’s even worse than that. The original designs for networking, going back to Ted Nelson, kept track of everything everybody was pointing at so that you would know who was pointing at your website. In a way Facebook is just recovering information that was deliberately lost because of the fetish for being anonymous. That’s also true of Google.

I don’t hate anything about e-books or e-book readers or tablets. There’s a lot of discussion about that, and I think it’s misplaced. The problem I have is whether we believe in the book itself.

I was in a cafe this morning where I heard some stuff I was interested in, and nobody could figure out. It was Spotify or one of these … so they knew what stream they were getting, but they didn’t know what music it was. Then it changed to other music, and they didn’t know what that was. And I tried to use one of the services that determines what music you’re listening to, but it was a noisy place and that didn’t work. So what’s supposed to be an open information system serves to obscure the source of the musician. It serves as a closed information system. It actually loses the information.

And if we start to see that with books in general – and I say if – if you look at the approach that Google has taken to the Google library project, they do have the tendency to want to move things together. You see the thing decontextualized.

So to realize how much better musical instruments were to use as human interfaces, it helped me to be skeptical about the whole digital enterprise. Which I think helped me be a better computer scientist, actually.

The U.S. government alleges that Velazquez was first recruited by the Cuban intelligence service in 1983 while a student at Johns Hopkins. She reportedly traveled from Washington to Mexico City where she met with a Cuban intelligence officer and was formally recruited as an agent. During her studies at Johns Hopkins, the government claims that Velazquez served as a spotter agent who helped the Cuban intelligence service identify, assess and recruit people who occupied sensitive national security positions or who had the potential to move into such positions in the future.

During the early 1980s, a left-wing movement developed in many American universities. The movement opposed Reagan's Central American policies, such as opposition to the Sandinistas, support for the Contra rebels and support of the regimes in El Salvador and Guatemala.

The indictment alleges that in the fall of 1984, while Montes was working as a clerk at the Department of Justice, Velazquez took her to New York to meet a friend who Velazquez said could provide Montes an opportunity to help the Nicaraguan people.

In March of 1985, Velazquez and Montes traveled to Madrid, Spain, where they were met by a Cuban intelligence officer, who provided them with false passports and other documents. They then used these documents to travel to Prague in what was then Czechoslovakia. Once in Prague they were met by another Cuban intelligence officer who provided them with yet another set of false documents, as well as new sets of clothing. The Cuban officer they met in Prague then traveled with the women to Havana.

Upon returning to Washington, Montes applied for a job at the Defense Intelligence Agency using Velazquez as a character reference. She was hired by the Defense Intelligence Agency as an analyst in September 1985. Montes would excel at the agency and eventually became the Defense Intelligence Agency's most senior Cuba analyst. She served at that agency until the FBI arrested her in September 2001.

The Velazquez case, when studied in conjunction with those of Montes and Walter and Gwendolyn Myers, provides a fascinating window into the scope and nature of Cuban intelligence efforts inside the United States.

The fact that there were three high-profile Cuban agents who penetrated the U.S. government and who were all associated with the School of Advanced International Studies would seem to be an incredible coincidence.

Traditionally, money has proved to be the top motivation for Americans arrested for espionage, but as seen in the Velazquez, Montes and Myers cases, the Cubans were very successful in recruiting American agents using ideology.

In addition to the Cuban preference for ideologically motivated agents, this case also shows that the Cuban intelligence service is very patient and is willing to wait years for the agents it recruits to move into sensitive positions within the U.S. government rather than just focus on immediate results.

It is also clear that Cuban espionage efforts against the United States did not end with the Cold War and continue to this day.   

Perhaps the most disturbing revelation from the Velazquez case for American counterintelligence officials, though, is the fact that Velazquez was not caught due to some operational mistake or intelligence coup.

It is not surprising that the background investigations failed to uncover Velazquez's espionage activities. Background investigations often are seen as mundane tasks, and thus are not given high priority -- especially when there are so many other "real" cases to investigate.

these investigations are most often done by contract investigators whose bureaucratic bosses emphasize speed over substance, meaning important leads are often ignored because of a case deadline.

In fact, contractors who do attempt to dig deep are sometimes accused of trying to milk the system in an effort to acquire more points (the basis upon which contract investigators are paid) by running additional leads and interviewing additional people.

Quite frankly, when it comes to background investigations, the prevalent attitude is to do the minimum work necessary to check off the prerequisite boxes and get the investigation over as quickly -- and as superficially -- as possible.

the polygraph that Velazquez and Montes received during their first trip to Cuba underscores the limitation of polygraph examinations -– they only work really well on honest people.

If a small, poor nation like Cuba can successfully recruit so many agents and place them in critical positions within the U.S. government for so long, what does this portend about the efforts and successes of larger or richer countries with aggressive intelligence agencies like China, Russia, Israel and India?

Google’s founding ideas came from Page and Brin, world-class developers in their own right. In the late 1990s they built PageRank, an algorithm for returning the most relevant results to a given search query. The focus on relevance put Google on a course to surpass Yahoo, AltaVista, and the day’s other leading search engines. But as the upstart grew in popularity, it faced a tremendous computing challenge. “We couldn’t deploy machines fast enough” to keep up with demand, Dean recalls.

Ghemawat helped lead a team that built the Google File System, which allowed for huge files to be efficiently distributed across thousands of cheap servers. Then Dean and Ghemawat developed a programming tool called MapReduce that allowed developers to efficiently process gargantuan data sets with those machines working in parallel.

it’s not immediately obvious that I can say anything useful about a civilization run by beings vastly more intelligent than us. I’d be like an australopithecine trying to visualize daytime cable TV.

The idea of an AI singularity

if you start trying to visualize a coherent future that includes aliens, telepathy, faster than light travel, or time machines, your futurology is going to rapidly run off the road and go crashing around in the blank bits of the map that say HERE BE DRAGONS.

at least one barkingly implausible innovation will come along between now and 2061 and turn everything we do upside down

My crystal ball is currently predicting that base load electricity will come from a mix of advanced nuclear fission reactor designs and predictable renewables such as tidal and hydroelectric power.

We are, I think, going to have molecular nanotechnology and atomic scale integrated circuitry.

engineered solutions that work a bit like biological systems

Mature nanotechnology is going to resemble organic life forms the way a Boeing 737 resembles thirty tons of seagull biomass.

without a technological civilization questions of network security take second place to where to get a new flint arrowhead.

if we’re still alive in the 26th century you’re welcome to remind me of what I got wrong in this talk.

we’re living through the early days of a revolution in genomics and biology

We haven’t yet managed to raise the upper limit on human life expectancy (it’s currently around 120 years), but an increasing number of us are going to get close to it.

another prediction: something outwardly resembling democracy everywhere.

Since 1911, democractic government by a republic has gone from being an eccentric minority practice to the default system of government world-wide

Democracy is a lousy form of government in some respects – it is particularly bad at long-term planning, for no event that lies beyond the electoral event horizon can compel a politician to pay attention to it

. In general, democratically elected politicians are forced to focus on short-term solutions to long-term problems because their performance is evaluated by elections held on a time scale of single-digit years

Democratic systems are prone to capture by special interest groups that exploit the information asymmetry that’s endemic in complex societies

Finally, representative democracy scales up badly

Nor are governments as important as they used to be.

the US government, the largest superpower on the block right now, is tightly constrained by the international trade system it promoted in the wake of the second world war.

we have democratic forms of government, without the transparency and accountability.

The good news is, we’re a lot richer than our ancestors. Relative decline is not tragic in a positive-sum world.

Assuming that they survive the obstacles on the road to development, this process is going to end fairly predictably: both India and China will eventually converge with a developed world standard of living, while undergoing the demographic transition to stable or slowly declining populations that appears to be an inevitable correlate of development.

a quiet economic revolution is sweeping Africa

In 2006, for the first time, more than half of the planet’s human population lived in cities. And by 2061 I expect more than half of the planet’s human population will live in conditions that correspond to the middle class citizens of developed nations.

by 2061 we or our children are going to be living on an urban middle-class planet, with a globalized economic and financial infrastructure recognizably descended from today’s system, and governments that at least try to pay lip service to democratic norms.

It’s a normative projection

I’m pretty certain that something utterly unexpected will come along and up-end all these projections – something as weird as the world wide web would have looked in 1961.

And while the outer forms of that comfortable, middle-class urban developed-world planetary experience might look familiar to us, the internal architecture will be unbelievably different.

a lot of the buildings are going to be familiar

Automobiles are automobiles, even if the ones he sees look kind of melted

Fashion? Hats are out, clothing has mutated in strange directions

He may be thrown by the number of pedestrians walking around with wires in their ears, or holding these cigarette-pack-sized boxes with glowing screens.

But there seem to be an awful lot of mad people walking around with bits of plastic clipped to their ears, talking to themselves

Our visitor from 1961 is familiar with cars and clothes and buildings

But he hasn’t heard of packet switched networks

Our time traveller from 1961 has a steep learning curve if he wants to understand the technology the folks with the cordless headsets are using.

The social consequences of a new technology are almost always impossible to guess in advance.

For example, we’re currently raising the first generation of kids who won’t know what it means to be lost – everywhere they go, they have GPS service and a moving map that will helpfully show them how to get wherever they want to go.

to our time traveller from 1961, it’s magic: you have a little glowing box, and if you tell it “I want to visit my cousin Bill, wherever he is,” a taxi will pull up and take you to Bill’s house

The whole question of whether a mature technosphere needs three or four billion full-time employees is an open one, as is the question of what we’re all going to do if it turns out that the future can’t deliver jobs.

We’re still in the first decade of mass mobile internet uptake, and we still haven’t seen what it really means when the internet becomes a pervasive part of our social environment, rather than something we have to specifically sit down and plug ourselves in to, usually at a desk.

the shape of the future depends on whether whoever provides the basic service of communication

funds their service by charging for bandwidth or charging for a fixed infrastructure cost.

These two models for pricing imply very different network topologies.

This leaves aside a third model, that of peer to peer mesh networks with no actual cellcos as such – just lots of folks with cheap routers. I’m going to provisionally assume that this one is hopelessly utopian

the security problems of a home-brew mesh network are enormous and gnarly; when any enterprising gang of scammers can set up a public router, who can you trust?

Let’s hypothesize a very high density, non-volatile serial storage medium that might be manufactured using molecular nanotechnology: I call it memory diamond.

wireless bandwidth appears to be constrained fundamentally by the transparency of air to electromagnetic radiation. I’ve seen some estimates that we may be able to punch as much as 2 tb/sec through air; then we run into problems.

One thing you can do trivially with that kind of capacity is full lifelogging for everyone. Lifelogging today is in its infancy, but it’s going to be a major disruptive technology within two decades.

the resulting search technology essentially gives you a prosthetic memory.

Lifelogging offers the promise of indexing and retrieving the unwritten and undocmented. And this is both a huge promise and an enormous threat.

Lifelogging raises huge privacy concerns, of course.

The security implications are monstrous: if you rely on lifelogging for your memory or your ability to do your job, then the importance of security is pushed down Maslow’s hierarchy of needs.

if done right, widespread lifelogging to cloud based storage would have immense advantages for combating crime and preventing identity theft.

whether lifelogging becomes a big social issue depends partly on the nature of our pricing model for bandwidth, and how we hammer out the security issues surrounding the idea of our sensory inputs being logged for posterity.

at least until the self-driving automobile matches and then exceeds human driver safety.

In particular, there’s a huge boom in new technologies for high speed gene sequencing.

full genome sequencing for individuals now available for around US $30,000, and expected to drop to around $1000–3000 within a couple of years.

Each of us is carrying around a cargo of 1–3 kilograms of bacteria and other unicellular organisms, which collectively outnumber the cells of our own bodies by a thousand to one.

Only the rapid development of DNA assays for SARS – it was sequenced within 48 hours of its identification as a new pathogenic virus – made it possible to build and enforce the strict quarantine regime that saved us from somewhere between two hundred million and a billion deaths.

we can expect eventually to see home genome monitoring – both looking for indicators of precancerous conditions or immune disorders within our bodies, and performing metagenomic analysis on our environment.

In each of these three examples of situations where personal privacy may be invaded, there exists a strong argument for doing so in the name of the common good – for prevention of epidemics, for prevention of crime, and for prevention of traffic accidents. They differ fundamentally from the currently familiar arguments for invasion of our data privacy by law enforcement – for example, to read our email or to look for evidence of copyright violation. Reading our email involves our public and private speech, and looking for warez involves our public and private assertion of intellectual property rights …. but eavesdropping on our metagenomic environment and our sensory environment impinges directly on the very core of our identities.

With lifelogging and other forms of ubiquitous computing mediated by wireless broadband, securing our personal data will become as important to individuals as securing our physical bodies.

the shifting sands of software obsolescence have for the most part buried our ancient learning mistakes.

The Rocky Mountains dominate the Western third of the northern and central parts of North America

Farther east of this semiarid region are the well-watered plains of the prairie provinces of Canada and the American Midwest

East of this premier arable zone lies a second mountain chain known as the Appalachians.

North of the Great Lakes region lies the Canadian Shield, an area where repeated glaciation has scraped off most of the topsoil.

The continent’s final geographic piece is an isthmus of varying width, known as Central America, that is too wet and rugged to develop into anything more than a series of isolated city-states, much less a single country that would have an impact on continental affairs. Due to a series of swamps and mountains where the two American continents join, there still is no road network linking them, and the two Americas only indirectly affect each other’s development.

Very few of its tributaries begin at high elevations, making vast tracts of these rivers easily navigable. In the case of the Mississippi, the head of navigation — just north of Minneapolis — is 3,000 kilometers inland.

The unified nature of this system greatly enhances the region’s usefulness and potential economic and political power.

This factor is the primary reason why the major economic powers of the past half-millennia have been Japan, Germany, France, the United Kingdom and the United States.

The vast bulk of the prime agricultural lands are within 200 kilometers of a stretch of navigable river.

First, navigable rivers by definition service twice the land area of a coastline (rivers have two banks, coasts only one).

Second, rivers are not subject to tidal forces, greatly easing the construction and maintenance of supporting infrastructure.

Third, storm surges often accompany oceanic storms, which force the evacuation of oceanic ports.

First are the severe indentations of North America’s coastline, granting the region a wealth of sheltered bays and natural, deep-water ports.

Second, there are the Great Lakes.

Third and most important are the lines of barrier islands that parallel the continent’s East and Gulf coasts.

There are many secondary stretches of agricultural land as well

The rivers of the American Atlantic coastal plain — flowing down the eastern side of the Appalachians — are neither particularly long nor interconnected. This makes them much more like the rivers of Northern Europe in that their separation localizes economic existence and fosters distinct political identities, dividing the region rather than uniting it. The formation of such local — as opposed to national — identities in many ways contributed to the American Civil War.

What is now Mexico lacks even a single navigable river of any size. Its agricultural zones are disconnected and it boasts few good natural ports.

Canada’s maritime transport zones

Its first, the Great Lakes, not only requires engineering but is shared with the United States.

The second, the St. Lawrence Seaway, is a solid option (again with sufficient engineering), but it services a region too cold to develop many dense population centers.