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Tiberius Brastaviceanu

James Grier Miller, Living Systems (1978) - 0 views

www.panarchy.org/...livingsystems.html

Grier Miller living systems theory concepts paper

shared by Tiberius Brastaviceanu on 23 Jun 11 - No Cached
  • reality as an integrated hierarchy of organizations of matter and energy
  • General living systems theory is concerned with a special subset of all systems, the living ones
  • a space is a set of elements which conform to certain postulate
  • ...266 more annotations...
  • s. Euclidean space
  • metric space
  • topological space
  • Physical space is the extension surrounding a point
  • My presentation of a general theory of living systems will employ two sorts of spaces in which they may exist, physical or geographical space and conceptual or abstracted spaces
  • Physical or geographical space
  • Euclidean space
  • distance
  • moving
  • maximum speed
  • objects moving in such space cannot pass through one another
  • friction
  • The characteristics and constraints of physical space affect the action of all concrete systems, living and nonliving.
  • information can flow worldwide almost instantly
  • Physical space is a common space
  • Most people learn that physical space exists, which is not true of many spaces
  • They can give the location of objects in it
  • Conceptual or abstracted spaces
  • Peck order
  • Social class space
  • Social distance
  • Political distance
  • life space
  • semantic space
  • Sociometric space
  • A space of time costs of various modes of transportation
  • space of frequency of trade relations among nations.
  • A space of frequency of intermarriage among ethnic groups.
  • These conceptual and abstracted spaces do not have the same characteristics and are not subject to the same constraints as physical space
  • Social and some biological scientists find conceptual or abstracted spaces useful because they recognize that physical space is not a major determinant of certain processes in the living systems they study
  • interpersonal relations
  • one cannot measure comparable processes at different levels of systems, to confirm or disconfirm cross-level hypotheses, unless one can measure different levels of systems or dimensions in the same spaces or in different spaces with known transformations among them
  • It must be possible, moreover, to make such measurements precisely enough to demonstrate whether or not there is a formal identity across levels
  • fundamental "fourth dimension" of the physical space-time continuum
  • is the particular instant at which a structure exists or a process occurs
  • or the measured or measurable period over which a structure endures or a process continues.
  • durations
  • speeds
  • rates
  • accelerations
  • irreversible unidirectionality of time
  • thermodynamics
  • negentropy
  • "time's arrow."
  • Matter and energy
  • Matter is anything which has mass (m) and occupies physical space.
  • Energy (E) is defined in physics as the ability to do work.
  • kinetic energy
  • potential energy
  • rest mass energy
  • Mass and energy are equivalent
  • Living systems need specific types of matter-energy in adequate amounts
  • Energy for the processes of living systems is derived from the breakdown of molecules
  • Any change of state of matter-energy or its movement over space, from one point to another, I shall call action.
  • It is one form of process.
  • information (H)
  • Transmission of Information
  • Meaning is the significance of information to a system which processes it: it constitutes a change in that system's processes elicited by the information, often resulting from associations made to it on previous experience with it
  • Information is a simpler concept: the degrees of freedom that exist in a given situation to choose among signals, symbols, messages, or patterns to be transmitted.
  • The set of all these possible categories (the alphabet) is called the ensemble or repertoire
  • .) The unit is the binary digit, or bit of information
  • . The amount of information is measured as the logarithm to the base 2 of the number of alternate patterns
  • Signals convey information to the receiving system only if they do not duplicate information already in the receiver. As Gabor says:
  • [The information of a message can] be defined as the 'minimum number of binary decisions which enable the receiver to construct the message, on the basis of the data already available to him.'
  • meaning cannot be precisely measured
  • Information is the negative of uncertainty.
  • information is the amount of formal patterning or complexity in any system.
  • The term marker was used by von Neumann to refer to those observable bundles, units, or changes of matter-energy whose patterning bears or conveys the informational symbols from the ensemble or repertoire.
  • If a marker can assume n different states of which only one is present at any given time, it can represent at most log2n bits of information. The marker may be static, as in a book or in a computer's memory
  • Communication of almost every sort requires that the marker move in space, from the transmitting system to the receiving system, and this movement follows the same physical laws as the movement of any other sort of matter-energy. The advance of communication technology over the years has been in the direction of decreasing the matter-energy costs of storing and transmitting the markers which bear information.
  • There are, therefore, important practical matter-energy constraints upon the information processing of all living systems exerted by the nature of the matter-energy which composes their markers.
  • organization is based upon the interrelations among parts.
  • If two parts are interrelated either quantitatively or qualitatively, knowledge of the state of one must yield some information about the state of the other. Information measures can demonstrate when such relationships exist
  • The disorder, disorganization, lack of patterning, or randomness of organization of a system is known as its entropy (S)
  • the statistical measure for the negative of entropy is the same as that for information
  • entropy becomes a measure of the probability
  • Increase of entropy was thus interpreted as the passage of a system from less probable to more probable states.
  • according to the second law, a system tends to increase in entropy over time, it must tend to decrease in negentropy or information.
  • therefore no principle of the conservation of information
  • The total information can be decreased in any system without increasing it elsewhere
  • but it cannot be increased without decreasing it elsewhere
  • . Making one or more copies of a given informational pattern does not increase information overall, though it may increase the information in the system which receives the copied information.
  • transforms information into negative entropy
  • smallest possible amount of energy used in observing one bit of information
  • calculations of the amount of information accumulated by living systems throughout growth.
  • the concept of Prigogine that in an open system (that is one in which both matter and energy can be exchanged with the environment) the rate of entropy production within the system, which is always positive, is minimized when the system is in a steady state.
  • in systems with internal feedbacks, internal entropy production is not always minimized when the system is in a stationary state. In other words, feedback couplings between the system parameters may cause marked changes in the rate of development of entropy. Thus it may be concluded that the "information flow" which is essential for this feedback markedly alters energy utilization and the rate of development of entropy, at least in some such special cases which involve feedback control. While the explanation of this is not clear, it suggests an important relationship between information and entropy
  • amount of energy actually required to transmit the information in the channel is a minute part of the total energy in the system, the "housekeeping energy" being by far the largest part of it
  • In recent years systems theorists have been fascinated by the new ways to study and measure information flows, but matter-energy flows are equally important. Systems theory is more than information theory, since it must also deal with energetics - such matters as
  • the flow of raw materials through societies
  • Only a minute fraction of the energy used by most living systems is employed for information processing
  • I have noted above that the movement of matter-energy over space, action, is one form of process. Another form of process is information processing or communication, which is the change of information from one state to another or its movement from one point to another over space
  • Communications, while being processed, are often shifted from one matter-energy state to another, from one sort of marker to another
  • transformations go on in living systems
  • One basic reason why communication is of fundamental importance is that informational patterns can be processed over space and the local matter-energy at the receiving point can be organized to conform to, or comply with, this information
  • the delivery of "flowers by telegraph."
  • Matter-energy and information always flow together
  • Information is always borne on a marker
  • . Conversely there is no regular movement in a system unless there is a difference in potential between two points, which is negative entropy or information
  • If the receiver responds primarily to the material or energic aspect, I shall call it, for brevity, a matter-energy transmission; if the response is primarily to the information, I shall call it an information transmission
  • Moreover, just as living systems must have specific forms of matter-energy, so they must have specific patterns of information
  • example
  • example
  • develop normally
  • have appropriate information inputs in infancy
  • pairs of antonyms
  • one member of which is associated with the concept of information (H)
  • the other member of which is associated with its negative, entropy (S)
  • System
  • A system is a set of interacting units with relationships among them
  • .The word "set" implies that the units have some common properties. These common properties are essential if the units are to interact or have relationships. The state of each unit is constrained by, conditioned by, or dependent on the state of other units. The units are coupled. Moreover, there is at least one measure of the sum of its units which is larger than the sum of that measure of its units.
  • Conceptual system
  • Units
  • terms
  • Relationships
  • a set of pairs of units, each pair being ordered in a similar way
  • expressed by words
  • or by logical or mathematical symbols
  • operations
  • The conceptual systems of science
  • observer
  • selects
  • particular sets to study
  • Variable
  • Each member of such a set becomes a variable of the observer's conceptual system
  • conceptual system may be loose or precise, simple or elaborate
  • Indicator
  • an instrument or technique used to measure fluctuations of variables in concrete systems
  • Function
  • a correspondence between two variables, x and y, such that for each value of x there is a definite value of y, and no two y's have the same x, and this correspondence is: determined by some rule
  • Any function is a simple conceptual system
  • Parameter
  • An independent variable through functions of which other functions may be expressed
  • The state of a conceptual system
  • the set of values on some scale, numerical or otherwise, which its variables have at a given instant
  • Formal identity
  • variables
  • varies comparably to a variable in another system
  • If these comparable variations are so similar that they can be expressed by the same function, a formal identity exists between the two systems
  • Relationships between conceptual and other sorts of systems
  • Science advances as the formal identity or isomorphism increases between a theoretical conceptual system and objective findings about concrete or abstracted systems
  • A conceptual system may be purely logical or mathematical, or its terms and relationships may be intended to have some sort of formal identity or isomorphism with units and relationships empirically determinable by some operation carried out by an observer
  • Concrete system
  • a nonrandom accumulation of matter-energy, in a region in physical space-time, which is organized into interacting interrelated subsystems or components.
  • Units
  • are also concrete systems
  • Relationships
  • spatial
  • temporal
  • spatiotemporal
  • causal
  • Both units and relationships in concrete systems are empirically determinable by some operation carried out by an observer
  • patterns of relationships or processes
  • The observer of a concrete system
  • distinguishes a concrete system from unorganized entities in its environment by the following criteria
  • physical proximity of its units
  • similarity of its units
  • common fate of its units
  • distinct or recognizable patterning of its units.
  • Their boundaries are discovered by empirical operations available to the general scientific community rather than set conceptually by a single observer
  • Variable of a concrete system
  • Any property of a unit or relationship within a system which can be recognized by an observer
  • which can potentially change over time, and whose change can potentially be measured by specific operations, is a variable of a concrete system
  • Examples
  • number of its subsystems or components, its size, its rate of movement in space, its rate of growth, the number of bits of information it can process per second, or the intensity of a sound to which it responds
  • A variable is intrasystemic
  • not to be confused with intersystemic variations which may be observed among individual systems, types, or levels.
  • The state of a concrete system
  • its structure
  • represented by the set of values on some scale which its variables have at that instant
  • Open system
  • Most concrete systems have boundaries which are at least partially permeable, permitting sizable magnitudes of at least certain sorts of matter-energy or information transmissions to pass them. Such a system is an open system. In open systems entropy may increase, remain in steady state, or decrease.
  • Closed system
  • impermeable boundaries through which no matter-energy or information transmissions of any sort can occur is a closed system
  • special case
  • No actual concrete system is completely closed
  • In closed systems, entropy generally increases, exceptions being when certain reversible processes are carried on which do not increase it. It can never decrease.
  • Nonliving system
  • the general case of concrete systems, of which living systems are a very special case. Nonliving systems need not have the same critical subsystems as living systems, though they often have some of them
  • Living system
  • a special subset of the set of all possible concrete systems
  • They all have the following characteristics:
  • open systems
  • inputs
  • throughputs
  • outputs
  • of various sorts of matter-energy and information.
  • maintain a steady state of negentropy even though entropic changes occur in them as they do everywhere else
  • by taking in inputs
  • higher in complexity or organization or negentropy
  • than their outputs
  • The difference permits them to restore their own energy and repair breakdowns in their own organized structure.
  • In living systems many substances are produced as well as broken down
  • To do this such systems must be open and have continual inputs of matter-energy and information
  • entropy will always increase in walled-off living systems
  • They have more than a certain minimum degree of complexity
  • They either contain genetic material composed of deoxyribonucleic acid (DNA)
  • or have a charter
  • blueprint
  • program
  • of their structure and process from the moment of their origin
  • may also include nonliving components.
  • They have a decider, the essential critical sub-system which controls the entire system, causing its subsystems and components to interact. Without such interaction under decider control there is no system.
  • other specific critical sub-systems or they have symbiotic or parasitic relationships with other living or nonliving systems
  • Their subsystems are integrated together to form actively self-regulating, developing, unitary systems with purposes and goals
  • They can exist only in a certain environment
  • change in their environment
  • produces stresses
  • Totipotential system
  • capable of carrying out all critical subsystem processes necessary for life is totipotential
  • Partipotential system
  • does not itself carry out all critical subsystem processes is partipotential
  • A partipotential system must interact with other systems that can carry out the processes which it does not, or it will not survive
  • parasitic
  • symbiotic
    • Tiberius Brastaviceanu
      Tiberius Brastaviceanu on 25 Jun 11
       
      The Exchange fime is a symbiotic system to SENSORICA
  • Fully functioning system
  • when it
  • Partially functioning system
  • it must do its own deciding, or it is not a system
  • Abstracted system
  • Units
  • relationships abstracted or selected by an observer in the light of his interests, theoretical viewpoint, or philosophical bias.
  • Some relationships may be empirically determinable by some operation carried out by the observer, but others are not, being only his concepts
  • Relationships
  • The relationships mentioned above are observed to inhere and interact in concrete, usually living, systems
  • these concrete systems are the relationships of abstracted systems.
  • The verbal usages of theoretical statements concerning abstracted systems are often the reverse of those concerning concrete systems
  • An abstracted system differs from an abstraction, which is a concept
  • representing a class of phenomena all of which are considered to have some similar "class characteristic." The members of such a class are not thought to interact or be interrelated, as are the relationships in an abstracted system
  • Abstracted systems are much more common in social science theory than in natural science.
  • are oriented toward relationships rather than toward the concrete systems
  • spatial arrangements are not usually emphasized
  • their physical limits often do not coincide spatially with the boundaries of any concrete system, although they may.
  • important difference between the physical and biological hierarchies, on the one hand, and social hierarchies, on the other
  • Most physical and biological hierarchies are described in spatial terms
  • we propose to identify social hierarchies not by observing who lives close to whom but by observing who interacts with whom
  • intensity of interaction
  • in most biological and physical systems relatively intense interaction implies relative spatial propinquity
  • To the extent that interactions are channeled through specialized communications and transportation systems, spatial propinquity becomes less determinative of structure.
    • Tiberius Brastaviceanu
      Tiberius Brastaviceanu on 25 Jun 11
       
      This is the case of SENSORICA, built on web-based communication and coordination tools. 
  • PARSONS
  • the unit of a partial social system is a role and not the individual.
  • culture
  • cumulative body of knowledge of the past, contained in memories and assumptions of people who express this knowledge in definite ways
  • The social system is the actual habitual network of communication between people.
  • RUESCH
  • A social system is a behavioral system
  • It is an organized set of behaviors of persons interacting with each other: a pattern of roles.
  • The roles are the units of a social system
    • Tiberius Brastaviceanu
      Tiberius Brastaviceanu on 25 Jun 11
       
      That is why we need a role system in SENSORICA
  • On the other hand, the society is an aggregate of social subsystems, and as a limiting case it is that social system which comprises all the roles of all the individuals who participate.
  • What Ruesch calls the social system is something concrete in space-time, observable and presumably measurable by techniques like those of natural science
  • To Parsons the system is abstracted from this, being the set of relationships which are the form of organization. To him the important units are classes of input-output relationships of subsystems rather than the subsystems themselves
  • system is a system of relationship in action, it is neither a physical organism nor an object of physical perception
  • evolution
  • differentiation
  • growth
  • from earlier and simpler forms and functions
  • capacities for specializations and gradients
  • [action] is not concerned with the internal structure of processes of the organism, but is concerned with the organism as a unit in a set of relationships and the other terms of that relationship, which he calls situation
  • Abstracted versus concrete systems
  • One fundamental distinction between abstracted and concrete systems is that the boundaries of abstracted systems may at times be conceptually established at regions which cut through the units and relationships in the physical space occupied by concrete systems, but the boundaries of these latter systems are always set at regions which include within them all the units and internal relationships of each system
  • A science of abstracted systems certainly is possible and under some conditions may be useful.
  • If the diverse fields of science are to be unified, it would be helpful if all disciplines were oriented either to concrete or to abstracted systems.
  • It is of paramount importance for scientists to distinguish clearly between them
Steve Bosserman

When Cities Run Themselves | WOUB - 0 views

woub.org/...when-cities-run-themselves

urban trends machine-to-machine automation internet-of-things sensor_technology

shared by Steve Bosserman on 24 May 12 - No Cached
  • Steve Bosserman on 24 May 12
     
    Machines talking to machines No doubt that the Olympics will have a profound effect in shaping London's future. By the time the Games begin, for instance, it will have Europe's largest free WiFi zone, with the city's iconic red phone booths converted, fittingly, into hotspots. But another opportunity London landed earlier this month could have just as much impact, perhaps more. A company called Living PlanIt announced that it will begin testing its "Urban Operating System" in the Greenwich section of the city. What does that mean? Put simply, London would have its own operating system, much as your PC runs on Windows or your Mac runs on Apple's IOS. This ties into the latest hot buzz phrase, "the internet of things," which describes a world where machines talk to other machines. No human interaction required. So, for a city, this means sensors in buildings would connect to sensors in water treatment plants which would connect to sensors in stoplights. It would be one gigantic, computerized urban nervous system, which a lot of experts think is the only way cities can survive a future when they'll contain more than two out of every three people on Earth. Based on what sensors reveal about the location and movement of humans in a section of a city, for instance, buildings will automatically adjust their temperatures, streetlights will dim or brighten, water flow will increase or slow. Or, in the event of a disaster, emergency services would have real-time access to traffic data, trauma unit availability, building blueprints. And soon enough, our smart phones will be able to tap in to the Urban OS. So will our household appliances. This is not some 21st century analogue of the personal jet pack. The Urban OS is the driving force behind a smart city being built from the ground up in northern Portugal. Construction is scheduled to be completed in three years; eventually it will have about 150,000 residents. It will also have more than 100 million sen
Kurt Laitner

Crowding Out - P2P Foundation - 1 views

p2pfoundation.net/Crowding_Out

crowding out p2p Michel Bauwens financial reward incentive

shared by Kurt Laitner on 17 Jul 15 - No Cached
  • The curve indicates that while workers will initially chose to work more when paid more per hour, there is a point after which rational workers will choose to work less
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      in other words, people are financially motivated until they are financially secure, then other motivations come in
  • "leaders" elsewhere will come and become your low-paid employees
  • At that point, the leaders are no longer leaders of a community, and they turn out to be suckers after all, working for pittance, comparatively speaking
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      so part of the dynamic is that everyone is paid fairly, if not there is the feeling of exploitation
  • ...36 more annotations...
  • under certain structural conditions non-price-based production is extraordinarily robust
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      which are... abundance?
  • There is, in fact, a massive amount of research that supports the idea that when you pay people to do something for you, they stop enjoying it, and distrust their own motivations. The mysterious something that goes away, and that “Factor X” even has a name: intrinsic motivation.
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      the real question though is why, and whether it is the paying them that is the problem, or perhaps how that is determined, and who else gets what on what basis..  if you have to have them question the fairness of the situation, they will likely check out
  • giving rewards to customers can actually undermine a company’s relationship with them
  • It just is not so easy to assume that because people behave productively in one framework (the social process of peer production that is Wikipedia, free and open source software, or Digg), that you can take the same exact behavior, with the same exact set of people, and harness them to your goals by attaching a price to what previously they were doing in a social process.
  • Extrinsic rewards suggest that there is actually an instrumental relationship at work, that you do the activity in order to get something else
  • If you pay me for it, it must be work
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      only because a dichotomy of work and play exists in western culture
  • It’s what we would call a robust effect. It shows up in many contexts. And there’s been considerable testing to try to find out exactly why it works. A major school of thought is that there is an “Overjustification Effect.” (http://kozinets.net/archives/133)
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      yes, why is key
  • interesting examples of an effect called crowding
  • Offering financial rewards for contributions to online communities basically means mixing external and intrinsic motivation.
  • A good example is children who are paid by their parents for mowing the family lawn. Once they expect to receive money for that task, they are only willing to do it again if they indeed receive monetary compensation. The induced unwillingness to do anything for free may also extend to other household chores.
  • Once ‘gold-stars’ were introduced as a symbolic reward for a certain amount of time spent practicing the instrument, the girl lost all interest in trying new, difficult pieces. Instead of aiming at improving her skills, her goal shifted towards spending time playing well-learned, easy pieces in order to receive the award (Deci with Flaste 1995)
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      this is a more troubling example, as playing the harder pieces is also practicing - I would take this as a more complex mechanism at work - perhaps the reinterpretation by the girl that all playing was considered equal, due to the pricing mechanism, in which case the proximal solution would be to pay more for more complex pieces, or for levels of achievement - the question remains of why the extrinsic reward was introduced in the first place (unwillingness to practice as much as her parents wanted?) - which would indicate intrinsic motivation was insufficient in this case
  • Suddenly, she managed to follow the prescription, as her own (intrinsic) motivation was recognized and thereby reinforced.
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      or perhaps the key was to help her fit the medication into her day, which she was having trouble with...
  • The introduction of a monetary fine transforms the relationship between parents and teachers from a non-monetary into a monetary one
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      absolutely, in some sense the guilt of being late is replaced by a rationalization that you are paying them - it is still a rationalization, and parents in this case need to be reminded that staff have lives too to reinforce the moral suasion
  • "The effects of external interventions on intrinsic motivation have been attributed to two psychological processes: (a) Impaired self-determination. When individuals perceive an external intervention to reduce their self-determination, they substitute intrinsic motivation by extrinsic control. Following Rotter (1966), the locus of control shifts from the inside to the outside of the person affected. Individuals who are forced to behave in a specific way by outside intervention, feel overjustified if they maintained their intrinsic motivation. (b) Impaired self-esteem. When an intervention from outside carries the notion that the actor's motivation is not acknowledged, his or her intrinsic motivation is effectively rejected. The person affected feels that his or her involvement and competence is not appreciated which debases its value. An intrinsically motivated person is taken away the chance to display his or her own interest and involvement in an activity when someone else offers a reward, or commands, to undertake it. As a result of impaired self-esteem, individuals reduce effort.
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      these are finally very useful - so from (a) as long as self determination is maintained (actively) extrinsic reward should not shut down intrinsic motivation AND (b) so long as motivations are recognized and reward dimensions OTHER THAN financial continue to operate, extrinsic reward should not affect intrinsic motivation
  • External interventions crowd-out intrinsic motivation if the individuals affected perceive them to be controlling
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      emphasis on "if" and replacing that with "in so far as"
  • External interventions crowd-in intrinsic motivation if the individuals concerned perceive it as supportive
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      interesting footnote
  • In that case, self-esteem is fostered, and individuals feel that they are given more freedom to act, thus enlarging self-determination
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      so effectively a system needs to ensure it is acting on all dimensions of reward, or at least those most important to the particular participant, ego (pride, recognition, guilt reduction, feeling needed, being helpful, etc), money (sustenance, beyond which it is less potent), meaning/purpose etc.  If one ran experiments controlling for financial self sufficiency, then providing appreciation and recognition as well as the introduced financial reward, they might yield different results
  • cultural categories that oppose marketplace modes of behavior (or “market logics”) with the more family-like modes of behavior of caring and sharing that we observe in close-knit communities (”community logics”)
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      are these learned or intrinsic?
  • this is labor, this is work, just do it.
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      except that this cultural meme is already a bias, not a fact
  • When communal logics are in effect, all sorts of norms of reciprocity, sacrifice, and gift-giving come into play: this is cool, this is right, this is fun
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      true, and part of our challenge then is to remove this dichotomy
  • So think about paying a kid to clean up their room, paying parishioners to go to church, paying people in a neighborhood to attend a town hall meeting, paying people to come out and vote. All these examples seem a little strange or forced. Why? Because they mix and match the communal with the market-oriented.
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      and perhaps the problem is simply the conversion to money, rather than simply tracking these activities themselves (went to church 50 times this year!, helped 50 orphans get families!) (the latter being more recognition than reward
  • Payment as disincentive. In his interesting book Freakonomics, economist Steven Levitt describes some counterintuitive facts about payment. One of the most interesting is that charging people who do the wrong thing often causes them to do it more, and paying people to do the right thing causes them to do it less.
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      and tracking them causes them to conform to cultural expectations
  • You direct people _away_ from any noble purpose you have, and instead towards grubbing for dollars
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      and we are left with the challenge, how to work to purpose but still have our scarce goods needs sufficiently provided for?  it has to be for love AND money
  • When people work for a noble purpose, they are told that their work is highly valued. When people work for $0.75/hour, they are told that their work is very low-valued
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      so pay them highly for highly valued labour, and don't forget to recognize them as well... no?
  • you're going to have to fight your way through labour laws and tax issues all the way to bankruptcy
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      this is a non argument, these are just interacting but separate problems, use ether or bitcoin, change legislation, what have you
  • Market economics. If you have open content, I can copy your content to another wiki, not pay people, and still make money. So by paying contributors, you're pricing yourself out of the market.
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      exactly, so use commonsource, they can use it all they want, but they have to flow through benefit (provide attribution, recognition, and any financial reward must be split fairly)
  • You don't have to pay people to do what they want to do anyways. The labour cost for leisure activities is $0. And nobody is going to work on a wiki doing things they don't want to do.
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      wow, exploitative in the extreme - no one can afford to do work for free, it cuts into paid work, family time etc.  if they are passionate about something they will do it for free if they cannot get permission to do it for sustenance, but they still need to sustain themselves, and they are making opportunity cost sacrifices, and if you are in turn making money off of this you are an asshole.. go ahead look in the mirror and say "I am an asshole"
  • No fair system. There's simply no fair, automated and auditable way to divvy up the money
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      this is an utter cop out - figure out what is close enough to fair and iterate forward to improve it, wow
  • too complicated to do automatically. But if you have a subjective system -- have a human being evaluate contributions to an article and portion out payments -- it will be subject to constant challenges, endless debates, and a lot of community frustration.
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      yes to the human evaluation part, but "it's too complicated" is disingenuous at the least
  • Gaming the system. People are really smart. If there's money to be made, they'll figure out how to game your payment system to get more money than they actually deserve
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      yes indeed, so get your metrics right, and be prepared to adjust them as they are gamed - and ultimately, as financial penalties are to BP, even if some people game the system, can we better the gaming of the capitalist system.. it's a low bar I know
  • They'll be trying to get as much money out of you as possible, and you'll be trying to give as little as you can to them
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      it doesn't have to be this way, unless you think that way already
  • If you can't convince people that working on your project is worth their unpaid time, then there's probably something wrong with your project.
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      wow, talk about entrepreneurial taker attitude rationalization
  • People are going to be able to sense that -- it's going to look like a cover-up, something sleazy
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      and getting paid for others free work isn't sleazy, somehow...?
  • Donate.
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      better yet, give yourself a reasonable salary, and give the rest away
  • Thank-you gifts
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      cynical.. here have a shiny bobble you idiot
  • Pay bounties
    • Kurt Laitner
      Kurt Laitner on 17 Jul 15
       
      good way to get people to compete ineffectively instead of cooperating on a solution, the lottery mechanism is evil
  • Kurt Laitner on 17 Jul 15
     
    while good issue are brought up in this article, the solutions offered are myopic and the explanations of the observed effects not satisfying
Kurt Laitner

Value Creating Service Systems: From Service Systems to Digital Lives - 0 views

value-basedservicesystem.blogspot.nl/...-systems-to-digital-lives.html

HAT SDL Service Dominant Logic value

shared by Kurt Laitner on 30 May 13 - No Cached
  • Kurt Laitner on 30 May 13
     
    "Service dominant logic suggest that value is always co-created in context of use and experience. Co-creation is not an option (Vargo and Lusch, 2004, 2008). "Moving things along meant a focus on 2 key aspects. philosophy and methods. "An SD logic approach is not one that you can run a survey of attitude, behaviours or intentions. The person is embedded in his actions and practices of value creation. The focus on context means the unit of analysis is in the sociology of real life behaviours. A sociological approach makes methods a problem because we've inherited a world where we have created tools from analysing water in a bucket, not by looking at its behaviour in a river. "GD logic is compelling not only because it is entrenched for over 500 years, but also because you could measure its constructs. GDP, sales, revenues, CPI - they are all constructs of a GD logic society. What SD logic needed was better methods and new constructs. "To that end, and rather ironically, I found an ally in digital technology. Here was a world of sensors and actuators with an enthusiastic community looking for novel ways of deploying them into homes and buildings i.e. the internet-of-things. "I also found, as an ally, the thinking around new economic and business models. Here was another strand of literature largely marginalised by mainstream business literature because it was (the way I interpreted it) taking a systemic view of value proposition, value creation and value capture (ie, change one, change all) and the way the organisation had to be agile and transformed for it - which sat very nicely with SD logic. "Customised products are firm centric. Personalised products are customer initiated and empowering. Personalised products also tend to move the product into becoming platforms to afford co-creation, which advanced the notion of symmetry in value co-creation further. Finally, with the advent of platforms, the economics of 2 or multi-sided markets completed my set of theoretica
  • Kurt Laitner on 30 May 13
     
    an interesting starting point for research
Tiberius Brastaviceanu

Evolving Towards a Partner State in an Ethical Economy - 0 views

www.realitysandwich.com/_partner_state_ethical_economy

ethical economy new economy paper theory value networks Bauwens Michel

shared by Tiberius Brastaviceanu on 02 Apr 12 - No Cached
  • In the  emerging institutional model of peer production
  • we can distinguish an interplay between three partners
  • a community of contributors that create a commons of knowledge, software or design;
  • ...46 more annotations...
  • There is a clear institutional division of labour between these three players
  • a set of "for-benefit institutions' which manage the 'infrastructure of cooperation'
  • an enterpreneurial coalition that creates market value on top of that commons;
  • Can we also learn something about the politics of this new mode of value creation
  • Is there perhaps a new model of power and democracy co-evolving out of these new social practices, that may be an answer to the contemporary crisis of democracy
  • we are witnessing a new model for the state. A 'P2P' state, if you will.
  • The post-democratic logic of community
  • these communities are not democracies
  • because democracy, and the market, and hierarchy, are modes of allocation of scarce resources
  • Such communities are truly poly-archies and the type of power that is held in them is meritocratic, distributed, and ad hoc.
  • Everyone can contribute without permission, but such a priori permissionlessness is  matched with mechanisms for 'a posteriori'  communal validation, where those with recognized expertise and that are accepted by the community, the so-called 'maintainers' and the 'editors',  decide
  • These decisions require expertise, not communal consensus
  • tension between inclusiveness of participation and selection for excellence
  • allowing for maximum human freedom compatible with the object of cooperation. Indeed, peer production is always a 'object-oriented' cooperation, and it is the particular object that will drive the particular form chosen for its 'peer governance' mechanisms
  • The main allocation mechanism in such project, which replaces the market, the hierarchy and democracy,  is a 'distribution of tasks'
  • no longer a division of labor between 'jobs', and the mutual coordination works through what scientist call 'stigmergic signalling'
  • work environment is designed to be totally open and transparent
  • every participating individual can see what is needed, or not and decide accordingly whether to undertake his/her particular contribution
  • this new model
  • has achieved capacities both for global coordination, and for the small group dynamics that are characteristic of human tribal forms and that it does this without 'command and control'! In fact, we can say that peer production has enabled the global scaling of small-group dynamics.
  • And they have to be, because an undemocratic institution would also discourage contributions by the community of participants.
    • Kurt Laitner
      Kurt Laitner on 02 Apr 12
       
      disagree, there are many ways to ethically distribute governance, not just democracy
  • Hence, an increased exodus of productive  capacities, in the form of direct use value production, outside the existing system of monetization, which only operates at its margins.
  • Where there is no tension between supply and demand, their can be no market, and no capital accumulation
  • Facebook and Google users create commercial value for their platforms, but only very indirectly and they are not at all rewarded for their own value creation.
  • Since what they are creating is not what is commodified on the market for scarce goods, there is no return of income for these value creators
  • This means that social media platforms are exposing an important fault line in our system
  • If you did not contribute, you had no say, so engagement was and is necessary.
    • Kurt Laitner
      Kurt Laitner on 02 Apr 12
       
      key divergence from birth/process citizenship driven democracy
  • ⁃   At the core of value creation are various commons, where the innovations are deposited for all humanity to share and to build on ⁃   These commons are enabled and protected through nonprofit civic associations, with as national equivalent the Partner State, which empowers and enables that social production ⁃   Around the commons emerges a vibrant commons-oriented economy undertaken by different kinds of ethical companies, whose legal structures ties them to the values and goals of the commons communities, and not absentee and private shareholders intent of maximising profit at any cost
  • the citizens deciding on the optimal shape of their provisioning systems.
    • Kurt Laitner
      Kurt Laitner on 02 Apr 12
       
      ie value equations..?
  • Today, it is proto-mode of production which is entirely inter-dependent with the system of capital
  • Is there any possibility to create a really autonmous model of peer production, that could create its own cycle of reproduction?
  • contribute
    • Kurt Laitner
      Kurt Laitner on 02 Apr 12
       
      defined as?
    • Tiberius Brastaviceanu
      Tiberius Brastaviceanu on 03 Apr 12
       
      "ad hoc": perhaps based on context, needs and everyone's understanding of the situation
  • and whose mission is the support of the commons and its contributors
  • In this way, the social reproduction of commoners would no longer depend on the accumulation cycle of capital, but on its own cycle of value creation and realization
  • Phyles are mission-oriented, purpose-driven, community-supportive entities that operate in the market, on a global scale, but work for the commons.
  • peer production license, which has been proposed by Dmytri Kleiner.
  • Thijs Markus writes  so eloquently about Nike in the Rick Falkvinge blog, if you want to sell $5 shoes for $150 in the West, you better have one heck of a repressive IP regime in place.
  • Hence the need for SOPA/PIPA , ACTA'S and other attempts to criminalize the right to share.
  • An economy of scope exists between the production of two goods when two goods which share a CommonCost are produced together such that the CommonCost is reduced.
  • shared infrastructure costs
  • 2) The current system beliefs that innovations should be privatized and only available by permission or for a hefty price (the IP regime), making sharing of knowledge and culture a crime; let's call this feature, enforced 'artificial scarcity'.
  • 1) Our current system is based on the belief of infinite growth and the endless availability of resources, despite the fact that we live on a finite planet; let's call this feature, runaway 'pseudo-abundance'.
  • So what are the economies of scope of the new p2p age? They come in two flavours: 1) the mutualizing of knowledge and immaterial resources 2) the mutualizing of material productive resources
  • how does global governance look like in P2P civilization?
  • conflicts between contributors
  • are not decided by authoritarian fiat, but by 'negotiated coordination'.
Tiberius Brastaviceanu

Partner State - P2P Foundation - 0 views

p2pfoundation.net/Partner_State

partner state blockchainaccess_project paper

shared by Tiberius Brastaviceanu on 30 May 16 - No Cached
    • Tiberius Brastaviceanu
      Tiberius Brastaviceanu on 30 May 16
       
      we call this a custodian
    • Tiberius Brastaviceanu
      Tiberius Brastaviceanu on 30 May 16
       
      we call this a custodian
  • So here we have it, the new triarchy: - The state, with its public property and representative mechanisms of governance (in the best scenario) - The private sector, with the corporation and private property - The commons, with the Trust (or the for-benefit association), and which is the ‘property’ of all its members (not the right word in the context of the commons, since it has a different philosophy of ownership)
    • Tiberius Brastaviceanu
      Tiberius Brastaviceanu on 30 May 16
       
      so where is direct democracy in all this?
  • ...39 more annotations...
  • In a first phase, the commons simply emerges as an added alternative.
  • becoming a subsector of society, and starts influencing the whole
  • phase transition and transformation will need to occur.
  • how a commons-dominated, i.e. after the phase transition, society would look like.
  • At its core would be a collection of commons, represented by trusts and for-benefit associations, which protect their common assets for the benefit of present and future generations
  • The commons ‘rents out’ the use of its resources to entrepreneurs. In other words, business still exists, though infinite growth-based capitalism does not.
  • More likely is that the corporate forms will be influenced by the commons and that profit will be subsumed to other goals, that are congruent with the maintenance of the commons.
  • The state will still exist, but will have a radically different nature
  • Much of its functions will have been taken over by commons institutions, but since these institutions care primarily about their commons, and not the general common good, we will still need public authorities that are the guarantor of the system as a whole, and can regulate the various commons, and protect the commoners against possible abuses. So in our scenario, the state does not disappear, but is transformed, though it may greatly diminish in scope, and with its remaining functions thoroughly democratized and based on citizen participation.
  • In our vision, it is civil-society based peer production, through the Commons, which is the guarantor of value creation by the private sector, and the role of the state, as Partner State, is to enable and empower the creation of common value. The new peer to peer state then, though some may see that as a contradictio in terminis, is a state which is subsumed under the Commons, just as it is now under the private sector. Such a peer to peer state, if we are correct, will have a much more modest role than the state under a classic state society, with many of its functions taken over by civil society associations, interlinked in processes of global governance. The above then, this triarchy, is the institutional core which replaces the dual private-public binary system that is characteristic of the capitalist system that is presently the dominant format.
  • fundamental mission is to empower direct social-value creation, and to focus on the protection of the Commons sphere as well as on the promotion of sustainable models of entrepreneurship and participatory politics
  • the state becomes a 'partner state' and enables autonomous social production.
  • the state does exist, and I believe that we can’t just imagine that we live in a future state-less society
  • retreating from the binary state/privatization dilemma to the triarchical choice of an optimal mix amongst government regulation, private-market freedom and autonomous civil-society projects
  • the role of the state
  • “the peer production of common value requires civic wealth and strong civic institutions.
  • trigger the production/construction of new commons by - (co-) management of complexe resource systems which are not limited to local boundaries or specific communities (as manager and partner) - survey of rules (chartas) to care for the commons (mediator or judge) - kicking of or providing incentives for commoners governing their commons - here the point is to design intelligent rules which automatically protect the commons, like the GPL does (facilitator)"
  • the emergence of the digital commons. It is the experience of creating knowledge, culture, software and design commons, by a combination of voluntary contributions, entrepreneurial coalitions and infrastructure-protecting for-benefit associations, that has most tangibly re-introduced the idea of commons, for all to use without discrimination, and where all can contribute. It has drastically reduced the production, distribution, transaction and coordination costs for the immaterial value that is at the core also of all what we produce physically, since that needs to be made, needs to be designed. It has re-introduced communing as a mainstream experience for at least one billion internet users, and has come with proven benefits and robustness that has outcompeted and outcooperated its private rivals. It also of course offers new ways to re-imagine, create and protect physical commons.
  • stop enclosures
  • peer to peer, i.e. the ability to freely associate with others around the creation of common value
  • communal shareholding, i.e. the non-reciprocal exchange of an individual with a totality. It is totality that we call the commons.
  • It is customary to divide society into three sectors, and what we want to show is how the new peer to peer dynamic unleashed by networked infrastructures, changes the inter-relationship between these three sectors.
  • In the current ‘cognitive capitalist’ system, it is the private sector consisting of enterprises and businesses which is the primary factor, and it is engaged in competitive capital accumulation. The state is entrusted with the protection of this process. Though civil society, through the citizen, is in theory ‘sovereign’, and chooses the state; in practice, both civil society and the state are under the domination of the private sector.
  • it fulfills three contradictory functions
  • Of course, this is not to say that the state is a mere tool of private business.
  • protect the whole system, under the domination of private business
  • protector of civil society, depending on the balance of power and achievements of social movements
  • protector of its own independent interests
  • Under fascism, the state achieves great independence from the private sector , which may become subservient to the state. Under the welfare state, the state becomes a protector of the social balance of power and manages the achievements of the social movement; and finally, under the neoliberal corporate welfare state, or ‘market state’, it serves most directly the interests of the financial sector.
  • key institutions and forms of property.
  • The state managed a public sector, under its own property.
  • The private sector , under a regime of private ownership, is geared to profit, discounts social and natural externalities, both positive and negative, and uses its dominance in society to use and dominate the state.
  • civil society has a relative power as well, through its capability of creating social movements and associations
  • Capitalism has historically been a pendulum between the private and the public sector
  • However, this configuration is changing,
  • the endangerment of the biosphere through the workings of ‘selfish’ market players; the second is the role of the new digital commons.
  • participatory politics
  • Peer production gives us an advance picture of how a commons-oriented society would look like. At its core is a commons and a community contributing to it, either voluntarily, or as paid entrepreneurial employees. It does this through collaborative platforms using open standards. Around the commons emerges enterprises that create added value to operate on the marketplace, but also help the maintenance and the expansion of the commons they rely on. A third partner are the for-benefit associations that maintain the infrastructure of cooperation. Public authorities could play a role if they wanted to support existing commons or the creation of new commons, for the value they bring to society.
  • if a commons is not created as in the case of the digital commons, it is something that is inherited from nature or former generations, given in trust and usufruct, so that it can be transmitted to our descendents. The proper institution for such commons is therefore the trust, which is a corporate form that cannot touch its principal capital, but has to maintain it.
Francois Bergeron

Displacement | Microstrain - 0 views

www.microstrain.com/displacement

supplier sensors strain displacement company material

shared by Francois Bergeron on 06 Jun 12 - No Cached
  • MicroStrain offers a range of miniature displacement sensors.  These include contact sensors, non-contact sensors, and signal conditioners. Within our contact sensors, we offer gauging, non-gauging, sub-miniature (very small) and micro-miniature (smallest available on the market) displacement sensor designs.  MicroStrain displacement/position sensors are known as DVRTs (Differential Variable Reluctance Transducers) which are half-bridge LVDTs (Linear Variable Differential Transformers).  Our DVRTs deliver a very high linear stroke range to body length ratio, and can be used in environments where traditional LVDTs are too large.  MicroStrain’s miniature displacement transducers are extremely robust, capable of operating at temperatures up to 175°C in corrosive media such as saline, oil, and brake fluid.  The near frictionless design enables sensors to operate over millions of cycles without wear or degradation in signal quality.
  • croStrain offers a range of miniature displacement sensors.  These include contact sensors, non-contact sensors, and signal conditioners. Within our contact sensors, we offer gauging, non-gauging, sub-miniature (very small) and micro-miniature (smallest available on the market) displacement sensor designs.  MicroStrain displacement/position sensors are known as DVRTs (Differential Variable Reluctance Transducers) which are half-bridge LVDTs (Linear Variable Differential Transformers).  Our DVRTs deliver a very high linear stroke range to body length ratio, and can be used in environments where traditional LVDTs are too large.  MicroStrain’s miniature displacement transducers are extremely robust, capable of operating at temperatures up to 175°C in corrosive media such as saline, oil, and brake fluid.  The near frictionless design enables sensors to operate over millions of cycles without wear or degradation in signal quality. MicroStrain’s displacement sensing products including transducers, signal conditioners, and motherboards. These systems provide highly precise measurement solutions. MicroStrain’s contact displacement transducers deliver highly precise linear measurements with an extremely small, miniature design.  Both gauging and non-gauging displacement transducers are available. Our non-contact displacement transducers are designed to measure the displacement and proximity of a metal target without physical contact. MicroStrain offers wireless, analog, and digital output DVRT signal conditioners. Signal conditioners are required for use with MicroStrain DVRT displacement sensors.   .familyNav1, .familyNav2, .familyNav3, .familyNav4 { background: none repeat scroll 0 0 #CCCCCC; color: #FFFFFF; display: block; font-size: 14px; margin: 1px 0; padding: 6px 0 3px 6px; text-decoration: none; } .familyNav1:hover, .familyNav2:hover, .familyNav3:hover, .familyNav4:hover { opacity:1.0; filter:alpha(opacity=100); } .familyNav1:hover, .familyNav1.live { background:#0468AD; } .familyNav2:hover, .familyNav2.live{ background:#32641E; } .familyNav3:hover, .familyNav3.live{ background:#B55A11; } .familyNav4:hover, .familyNav4.live{ background:#76285D; } .familySub { margin: -1px 0 0; opacity:0.7; filter:alpha(opacity=80); font-size:12px; } .familySub img { width: 22px; } WIRELESS SENSOR NETWORKS
Tiberius Brastaviceanu

Welcome to the new reputation economy (Wired UK) - 1 views

www.wired.co.uk/...-to-the-new-reputation-economy

economy Reputation paper

shared by Tiberius Brastaviceanu on 02 Oct 12 - No Cached
  • banks take into account your online reputation alongside traditional credit ratings to determine your loan
  • headhunters hire you based on the expertise you've demonstrated on online forums
  • reputation data becomes the window into how we behave, what motivates us, how our peers view us and ultimately whether we can or can't be trusted.
  • ...37 more annotations...
  • At the heart of Movenbank is a concept call CRED.
  • The difference today is our ability to capture data from across an array of digital services. With every trade we make, comment we leave, person we "friend", spammer we flag or badge we earn, we leave a trail of how well we can or can't be trusted.
  • An aggregated online reputation having a real-world value holds enormous potential
  • peer-to-peer marketplaces, where a high degree of trust is required between strangers; and where a traditional approach based on disjointed information sources is currently inefficient, such as recruiting.
  • opportunity to reinvent the way people found jobs through online reputation
  • "It's not about your credit, but your credibility," King says.
  • But this wealth of data raises an important question -- who owns our reputation? Shouldn't our hard-earned online status be portable? If you're a SuperHost on Airbnb, shouldn't you be able to use that reputation to, say, get a loan, or start selling on Etsy?
  • "People are currently underusing their networks and reputation," King says. "I want to help people to understand and build their influence and reputation, and think of it as capital they can put to good use."
  • Social scientists have long been trying to quantify the value of reputation.
  • Using functional magnetic resonance imaging, the researchers monitored brain activity
  • "The implication of our study is that different types of reward are coded by the same currency system." In other words, our brains neurologically compute personal reputation to be as valuable as money.
  • Personal reputation has been a means of making socioeconomic decisions for thousands of years. The difference today is that network technologies are digitally enabling the trust we used to experience face-to-face -- meaning that interactions and exchanges are taking place between total strangers.
  • Trust and reputation become acutely important in peer-to-peer marketplaces such as WhipCar and Airbnb, where members are taking a risk renting out their cars or their homes.
  • When you are trading peer-to-peer, you can't count on traditional credit scores. A different measurement is needed. Reputation fills this gap because it's the ultimate output of how much a community trusts you.
  • Welcome to the reputation economy, where your online history becomes more powerful than your credit history.
  • Presently, reputation data doesn't transfer between verticals.
  • A wave of startups, including Connect.Me, TrustCloud, TrustRank, Legit and WhyTrusted, are trying to solve this problem by designing systems that correlate reputation data. By building a system based on "reputation API" -- a combination of a user's activity, ratings and reviews across sites -- Legit is working to build a service that gives users a score from zero to 100. In trying to create a universal metric for a person's trustworthiness, they are trying to "become the credit system of the sharing economy", says Jeremy Barton, the 27-year-old San Francisco-based cofounder of Legit.
  • His company, and other reputation ventures, face some big challenges if they are to become, effectively, the PayPal of trust. The most obvious is coming up with algorithms that can't be easily gamed or polluted by trolls. And then there's the critical hurdle of convincing online marketplaces not just to open up their reputation vaults, but create a standardised format for how they frame and collect reputation data. "We think companies will share reputation data for the same reasons banks give credit data to credit bureaux," says Rob Boyle, Legit cofounder and CTO. "It is beneficial for one company to give up their slice of reputation data if in return they get access to the bigger picture: aggregated data from other companies."
  • PeerIndex, Kred and Klout,
  • are measuring social influence, not reputation. "Influence measures your ability to drag someone into action,"
  • "Reputation is an indicator of whether a person is good or bad and, ultimately, are they trustworthy?"
  • Early influence and reputation aggregators will undoubtedly learn by trial and error -- but they will also face the significant challenge of pioneering the use of reputation data in a responsible way. And there's a challenge beyond that: reputation is largely contextual, so it's tricky to transport it to other situations.
  • Many of the ventures starting to make strides in the reputation economy are measuring different dimensions of reputation.
  • reputation is a measure of knowledge
  • a measure of trust
  • a measure of propensity to pay
  • measure of influence
  • Reputation capital is not about combining a selection of different measures into a single number -- people are too nuanced and complex to be distilled into single digits or binary ratings.
  • It's the culmination of many layers of reputation you build in different places that genuinely reflect who you are as a person and figuring out exactly how that carries value in a variety of contexts.
  • The most basic level is verification of your true identity
  • reliability and helpfulness
  • do what we say we are going to do
  • respect another person's property
  • trusted to pay on time
  • we will be able to perform a Google- or Facebook-like search and see a picture of a person's behaviour in many different contexts, over a length of time. Slivers of data that have until now lived in secluded isolation online will be available in one place. Answers on Quora, reviews on TripAdvisor, comments on Amazon, feedback on Airbnb, videos posted on YouTube, social groups joined, or presentations on SlideShare; as well as a history and real-time stream of who has trusted you, when, where and why. The whole package will come together in your personal reputation dashboard, painting a comprehensive, definitive picture of your intentions, capabilities and values.
  • idea of global reputation
  • By the end of the decade, a good online reputation could be the most valuable currency in your possession.
Tiberius Brastaviceanu

The Baffler - 0 views

thebaffler.com/...the_meme_hustler

O'Reilly paper

shared by Tiberius Brastaviceanu on 06 Apr 13 - No Cached
  • This tendency to view questions of freedom primarily through the lens of economic competition, to focus on the producer and the entrepreneur at the expense of everyone else, shaped O’Reilly’s thinking about technology.
  • the O’Reilly brand essence is ultimately a story about the hacker as hero, the kid who is playing with technology because he loves it, but one day falls into a situation where he or she is called on to go forth and change the world,
  • His true hero is the hacker-cum-entrepreneur, someone who overcomes the insurmountable obstacles erected by giant corporations and lazy bureaucrats in order to fulfill the American Dream 2.0: start a company, disrupt an industry, coin a buzzword.
  • ...139 more annotations...
  • gospel of individualism, small government, and market fundamentalism
  • innovation is the new selfishness
  • mastery of public relations
  • making it seem as if the language of economics was, in fact, the only reasonable way to talk about the subject
  • memes are for losers; the real money is in epistemes.
  • “Open source software” was also the first major rebranding exercise overseen by Team O’Reill
  • It’s easy to forget this today, but there was no such idea as open source software before 1998; the concept’s seeming contemporary coherence is the result of clever manipulation and marketing.
  • ideological cleavage between two groups
  • Richard Stallman
  • Free Software Foundation, preoccupied with ensuring that users had rights with respect to their computer programs. Those rights weren’t many—users should be able to run the program for any purpose, to study how it works, to redistribute copies of it, and to release their improved version (if there was one) to the public
  • “free software.”
  • association with “freedom” rather than “free beer”
  • copyleft
  • profound critique of the role that patent law had come to play in stifling innovation and creativity.
  • Plenty of developers contributed to “free software” projects for reasons that had nothing to do with politics. Some, like Linus Torvalds, the Finnish creator of the much-celebrated Linux operating system, did so for fun; some because they wanted to build more convenient software; some because they wanted to learn new and much-demanded skills.
  • Stallman’s rights-talk, however, risked alienating the corporate types
  • he was trying to launch a radical social movement, not a complacent business association
  • By early 1998 several business-minded members of the free software community were ready to split from Stallman, so they masterminded a coup, formed their own advocacy outlet—the Open Source Initiative—and brought in O’Reilly to help them rebrand.
  • “open source”
  • The label “open source” may have been new, but the ideas behind it had been in the air for some time.
  • In those early days, the messaging around open source occasionally bordered on propaganda
  • This budding movement prided itself on not wanting to talk about the ends it was pursuing; except for improving efficiency and decreasing costs, those were left very much undefined.
  • extremely decentralized manner, using Internet platforms, with little central coordination.
  • In contrast to free software, then, open source had no obvious moral component.
  • “open source is not particularly a moral or a legal issue. It’s an engineering issue. I advocate open source, because . . . it leads to better engineering results and better economic results
  • While free software was meant to force developers to lose sleep over ethical dilemmas, open source software was meant to end their insomnia.
  • Stallman the social reformer could wait for decades until his ethical argument for free software prevailed in the public debate
  • O’Reilly the savvy businessman had a much shorter timeline: a quick embrace of open source software by the business community guaranteed steady demand for O’Reilly books and events
  • The coup succeeded. Stallman’s project was marginalized. But O’Reilly and his acolytes didn’t win with better arguments; they won with better PR.
  • A decade after producing a singular vision of the Internet to justify his ideas about the supremacy of the open source paradigm, O’Reilly is close to pulling a similar trick on how we talk about government reform.
  • much of Stallman’s efforts centered on software licenses
  • O’Reilly’s bet wa
  • the “cloud”
  • licenses would cease to matter
  • Since no code changed hands
  • So what did matter about open source? Not “freedom”
  • O’Reilly cared for only one type of freedom: the freedom of developers to distribute software on whatever terms they fancied.
  • the freedom of the producer
  • who must be left to innovate, undisturbed by laws and ethics.
  • The most important freedom,
  • is that which protects “my choice as a creator to give, or not to give, the fruits of my work to you, as a ‘user’ of that work, and for you, as a user, to accept or reject the terms I place on that gift.”
  • O’Reilly opposed this agenda: “I completely support the right of Richard [Stallman] or any individual author to make his or her work available under the terms of the GPL; I balk when they say that others who do not do so are doing something wrong.”
  • The right thing to do, according to O’Reilly, was to leave developers alone.
  • According to this Randian interpretation of open source, the goal of regulation and public advocacy should be to ensure that absolutely nothing—no laws or petty moral considerations—stood in the way of the open source revolution
  • Any move to subject the fruits of developers’ labor to public regulation
  • must be opposed, since it would taint the reputation of open source as technologically and economically superior to proprietary software
  • the advent of the Internet made Stallman’s obsession with licenses obsolete
  • Many developers did stop thinking about licenses, and, having stopped thinking about licenses, they also stopped thinking about broader moral issues that would have remained central to the debates had “open source” not displaced “free software” as the paradigm du jour.
  • Profiting from the term’s ambiguity, O’Reilly and his collaborators likened the “openness” of open source software to the “openness” of the academic enterprise, markets, and free speech.
  • “open to intellectual exchange”
  • “open to competition”
  • “For me, ‘open source’ in the broader sense means any system in which open access to code lowers the barriers to entry into the market”).
  • “Open” allowed O’Reilly to build the largest possible tent for the movement.
  • The language of economics was less alienating than Stallman’s language of ethics; “openness” was the kind of multipurpose term that allowed one to look political while advancing an agenda that had very little to do with politics
  • highlight the competitive advantages of openness.
  • the availability of source code for universal examination soon became the one and only benchmark of openness
  • What the code did was of little importance—the market knows best!—as long as anyone could check it for bugs.
  • The new paradigm was presented as something that went beyond ideology and could attract corporate executives without losing its appeal to the hacker crowd.
  • What Raymond and O’Reilly failed to grasp, or decided to overlook, is that their effort to present open source as non-ideological was underpinned by a powerful ideology of its own—an ideology that worshiped innovation and efficiency at the expense of everything else.
  • What they had in common was disdain for Stallman’s moralizing—barely enough to justify their revolutionary agenda, especially among the hacker crowds who were traditionally suspicious of anyone eager to suck up to the big corporations that aspired to dominate the open source scene.
  • linking this new movement to both the history of the Internet and its future
  • As long as everyone believed that “open source” implied “the Internet” and that “the Internet” implied “open source,” it would be very hard to resist the new paradigm
  • Telling a coherent story about open source required finding some inner logic to the history of the Internet
  • “If you believe me that open source is about Internet-enabled collaboration, rather than just about a particular style of software license,”
  • everything on the Internet was connected to everything else—via open source.
  • The way O’Reilly saw it, many of the key developments of Internet culture were already driven by what he called “open source behavior,” even if such behavior was not codified in licenses.
  • No moralizing (let alone legislation) was needed; the Internet already lived and breathed open source
  • apps might be displacing the browser
  • the openness once taken for granted is no more
  • Openness as a happenstance of market conditions is a very different beast from openness as a guaranteed product of laws.
  • One of the key consequences of linking the Internet to the world of open source was to establish the primacy of the Internet as the new, reinvented desktop
  • This is where the now-forgotten language of “freedom” made a comeback, since it was important to ensure that O’Reilly’s heroic Randian hacker-entrepreneurs were allowed to roam freely.
  • Soon this “freedom to innovate” morphed into “Internet freedom,” so that what we are trying to preserve is the innovative potential of the platform, regardless of the effects on individual users.
  • Lumping everything under the label of “Internet freedom” did have some advantages for those genuinely interested in promoting rights such as freedom of expression
  • Forced to choose between preserving the freedom of the Internet or that of its users, we were supposed to choose the former—because “the Internet” stood for progress and enlightenment.
  • infoware
  • Yahoo
  • their value proposition lay in the information they delivered, not in the software function they executed.
  • The “infoware” buzzword didn’t catch on, so O’Reilly turned to the work of Douglas Engelbart
  • to argue that the Internet could help humanity augment its “collective intelligence” and that, once again, open source software was crucial to this endeavor.
  • Now it was all about Amazon learning from its customers and Google learning from the sites in its index.
  • The idea of the Internet as both a repository and incubator of “collective intelligence”
  • in 2004, O’Reilly and his business partner Dale Dougherty hit on the idea of “Web 2.0.” What did “2.0” mean, exactly?
  • he primary goal was to show that the 2001 market crash did not mean the end of the web and that it was time to put the crash behind us and start learning from those who survived.
  • Tactically, “Web 2.0” could also be much bigger than “open source”; it was the kind of sexy umbrella term that could allow O’Reilly to branch out from boring and highly technical subjects to pulse-quickening futurology
  • O’Reilly couldn’t improve on a concept as sexy as “collective intelligence,” so he kept it as the defining feature of this new phenomenon.
  • What set Web 2.0 apart from Web 1.0, O’Reilly claimed, was the simple fact that those firms that didn’t embrace it went bust
  • find a way to harness collective intelligence and make it part of their business model.
  • By 2007, O’Reilly readily admitted that “Web 2.0 was a pretty crappy name for what’s happening.”
  • O’Reilly eventually stuck a 2.0 label on anything that suited his business plan, running events with titles like “Gov 2.0” and “Where 2.0.” Today, as everyone buys into the 2.0 paradigm, O’Reilly is quietly dropping it
  • assumption that, thanks to the coming of Web 2.0, we are living through unique historical circumstances
  • Take O’Reilly’s musings on “Enterprise 2.0.” What is it, exactly? Well, it’s the same old enterprise—for all we know, it might be making widgets—but now it has learned something from Google and Amazon and found a way to harness “collective intelligence.”
  • tendency to redescribe reality in terms of Internet culture, regardless of how spurious and tenuous the connection might be, is a fine example of what I call “Internet-centrism.”
  • “Open source” gave us the “the Internet,” “the Internet” gave us “Web 2.0,” “Web 2.0” gave us “Enterprise 2.0”: in this version of history, Tim O’Reilly is more important than the European Union
  • For Postman, each human activity—religion, law, marriage, commerce—represents a distinct “semantic environment” with its own tone, purpose, and structure. Stupid talk is relatively harmless; it presents no threat to its semantic environment and doesn’t cross into other ones.
  • Since it mostly consists of falsehoods and opinions
  • it can be easily corrected with facts
  • to say that Tehran is the capital of Iraq is stupid talk
  • Crazy talk, in contrast, challenges a semantic environment, as it “establishes different purposes and assumptions from those we normally accept.” To argue, as some Nazis did, that the German soldiers ended up far more traumatized than their victims is crazy talk.
  • For Postman, one of the main tasks of language is to codify and preserve distinctions among different semantic environments.
  • As he put it, “When language becomes undifferentiated, human situations disintegrate: Science becomes indistinguishable from religion, which becomes indistinguishable from commerce, which becomes indistinguishable from law, and so on.
  • pollution
  • Some words—like “law”—are particularly susceptible to crazy talk, as they mean so many different things: from scientific “laws” to moral “laws” to “laws” of the market to administrative “laws,” the same word captures many different social relations. “Open,” “networks,” and “information” function much like “law” in our own Internet discourse today.
  • For Korzybski, the world has a relational structure that is always in flux; like Heraclitus, who argued that everything flows, Korzybski believed that an object A at time x1 is not the same object as object A at time x2
  • Our language could never properly account for the highly fluid and relational structure of our reality—or as he put it in his most famous aphorism, “the map is not the territory.”
  • Korzybski argued that we relate to our environments through the process of “abstracting,” whereby our neurological limitations always produce an incomplete and very selective summary of the world around us.
  • nothing harmful in this per se—Korzybski simply wanted to make people aware of the highly selective nature of abstracting and give us the tools to detect it in our everyday conversations.
  • Korzybski developed a number of mental tools meant to reveal all the abstracting around us
  • He also encouraged his followers to start using “etc.” at the end of their statements as a way of making them aware of their inherent inability to say everything about a given subject and to promote what he called the “consciousness of abstraction.”
  • There was way too much craziness and bad science in Korzybski’s theories
  • but his basic question
  • “What are the characteristics of language which lead people into making false evaluations of the world around them?”
  • Tim O’Reilly is, perhaps, the most high-profile follower of Korzybski’s theories today.
  • O’Reilly openly acknowledges his debt to Korzybski, listing Science and Sanity among his favorite books
  • It would be a mistake to think that O’Reilly’s linguistic interventions—from “open source” to “Web 2.0”—are random or spontaneous.
  • There is a philosophy to them: a philosophy of knowledge and language inspired by Korzybski. However, O’Reilly deploys Korzybski in much the same way that the advertising industry deploys the latest findings in neuroscience: the goal is not to increase awareness, but to manipulate.
  • O’Reilly, of course, sees his role differently, claiming that all he wants is to make us aware of what earlier commentators may have overlooked. “A metaphor is just that: a way of framing the issues such that people can see something they might otherwise miss,
  • But Korzybski’s point, if fully absorbed, is that a metaphor is primarily a way of framing issues such that we don’t see something we might otherwise see.
  • In public, O’Reilly modestly presents himself as someone who just happens to excel at detecting the “faint signals” of emerging trends. He does so by monitoring a group of überinnovators that he dubs the “alpha geeks.” “The ‘alpha geeks’ show us where technology wants to go. Smart companies follow and support their ingenuity rather than trying to suppress it,
  • His own function is that of an intermediary—someone who ensures that the alpha geeks are heard by the right executives: “The alpha geeks are often a few years ahead of their time. . . . What we do at O’Reilly is watch these folks, learn from them, and try to spread the word by writing down (
  • The name of his company’s blog—O’Reilly Radar—is meant to position him as an independent intellectual who is simply ahead of his peers in grasping the obvious.
  • “the skill of writing is to create a context in which other people can think”
  • As Web 2.0 becomes central to everything, O’Reilly—the world’s biggest exporter of crazy talk—is on a mission to provide the appropriate “context” to every field.
  • In a fascinating essay published in 2000, O’Reilly sheds some light on his modus operandi.
  • The thinker who emerges there is very much at odds with the spirit of objectivity that O’Reilly seeks to cultivate in public
  • meme-engineering lets us organize and shape ideas so that they can be transmitted more effectively, and have the desired effect once they are transmitted
  • O’Reilly meme-engineers a nice euphemism—“meme-engineering”—to describe what has previously been known as “propaganda.”
  • how one can meme-engineer a new meaning for “peer-to-peer” technologies—traditionally associated with piracy—and make them appear friendly and not at all threatening to the entertainment industry.
  • O’Reilly and his acolytes “changed the canonical list of projects that we wanted to hold up as exemplars of the movement,” while also articulating what broader goals the projects on the new list served. He then proceeds to rehash the already familiar narrative: O’Reilly put the Internet at the center of everything, linking some “free software” projects like Apache or Perl to successful Internet start-ups and services. As a result, the movement’s goal was no longer to produce a completely free, independent, and fully functional operating system but to worship at the altar of the Internet gods.
  • Could it be that O’Reilly is right in claiming that “open source” has a history that predates 1998?
  • Seen through the prism of meme-engineering, O’Reilly’s activities look far more sinister.
  • His “correspondents” at O’Reilly Radar don’t work beats; they work memes and epistemes, constantly reframing important public issues in accordance with the templates prophesied by O’Reilly.
  • Or take O’Reilly’s meme-engineering efforts around cyberwarfare.
  • Now, who stands to benefit from “cyberwarfare” being defined more broadly? Could it be those who, like O’Reilly, can’t currently grab a share of the giant pie that is cybersecurity funding?
  • Frank Luntz lists ten rules of effective communication: simplicity, brevity, credibility, consistency, novelty, sound, aspiration, visualization, questioning, and context.
  • Thus, O’Reilly’s meme-engineering efforts usually result in “meme maps,” where the meme to be defined—whether it’s “open source” or “Web 2.0”—is put at the center, while other blob-like terms are drawn as connected to it.
  • The exact nature of these connections is rarely explained in full, but this is all for the better, as the reader might eventually interpret connections with their own agendas in mind. This is why the name of the meme must be as inclusive as possible: you never know who your eventual allies might be. “A big part of meme engineering is giving a name that creates a big tent that a lot of people want to be under, a train that takes a lot of people where they want to go,”
  • News April 4 mail date March 29, 2013 Baffler party March 6, 2013 Žižek on seduction February 13, 2013 More Recent Press I’ve Seen the Worst Memes of My Generation Destroyed by Madness io9, April 02, 2013 The Baffler’s New Colors Imprint, March 21, 2013
  • There is considerable continuity across O’Reilly’s memes—over time, they tend to morph into one another.
Kurt Laitner

Towards a Material Commons | Guerrilla Translation! - 0 views

guerrillatranslation.com/...towards-a-material-commons

Michel Bauwens interview flok society

shared by Kurt Laitner on 31 Jan 14 - No Cached
  • the modes of communication we use are very tightly coupled with the modes of production that finance them
  • I’m focused on the policy formation around this transition to a new, open knowledge and commons-based economy, and that’s the research work I’m doing here
  • The problem is I can only make a living by still working for capital.
  • ...88 more annotations...
  • We now have a technology which allows us to globally scale small group dynamics, and to create huge productive communities, self-organized around the collaborative production of knowledge, code, and design. But the key issue is that we are not able to live from that, right
  • A lot of co-ops have been neo-liberalizing, as it were, have become competitive enterprises competing against other companies but also against other co-ops, and they don’t share their knowledge
  • We cannot create our own livelihood within that sphere
  • instead of having a totally open commons, which allows multinationals to use our commons and reinforce the system of capital, the idea is to keep the accumulation within the sphere of the commons.
  • The result would be a type of open cooperative-ism, a kind of synthesis or convergence between peer production and cooperative modes of production
  • then the material work, the work of working for clients and making a livelihood, would be done through co-ops
  • But it hasn’t had much of a direct connection to this emerging commons movement, which shares so many of the values and  principles of the traditional cooperative movement.
  • There’s also a lot of peer-to-peer work going on, but it’s not very well versed around issues like cooperative organization, formal or legal forms of ownership, which are based on reciprocity and cooperation, and how to interpret the commons vision with a structure, an organizational structure and a legal structure that actually gives it economic power, market influence, and a means of connecting it to organizational forms that have durability over the long-term.
  • The young people, the developers in open source or free software, the people who are in co-working centers, hacker spaces, maker spaces. When they are thinking of making a living, they think startups
  • They have a kind of generic reaction, “oh, let’s do a startup”, and then they look for venture funds. But this is a very dangerous path to take
  • Typically, the venture capital will ask for a controlling stake, they have the right to close down your start up whenever they feel like it, when they feel that they’re not going to make enough money
  • Don’t forget that with venture capital, only 1 out of 10 companies will actually make it, and they may be very rich, but it’s a winner-take-all system
  • we don’t have what Marx used to call social reproduction
  • I would like John to talk about the solidarity co-ops, and how that integrates the notion of the commons or the common good in the very structure of the co-op
  • They don’t have a commons of design or code, they privatize and patent, just like private competitive enterprise, their knowledge
  • Cooperatives, which are basically a democratic and collective form of enterprise where members have control rights and democratically direct the operations of the co-op, have been the primary stakeholders in any given co-op – whether it’s a consumer co-op, or a credit union, or a worker co-op.
  • Primarily, the co-op is in the service of its immediate members
  • What was really fascinating about the social co-ops was that, although they had members, their mission was not only to serve the members but also to provide service to the broader community
  • In the city of Bologna, for example, over 87% of the social services provided in that city are provided through contract with social co-ops
  • democratically run
  • much more participatory, and a much more engaged model
  • The difference, however, is that the structure of social co-ops is still very much around control rights, in other words, members have rights of control and decision-making within how that organization operates
  • And it is an incorporated legal structure that has formal recognition by the legislation of government of the state, and it has the power, through this incorporated power, to negotiate with and contract with government for the provision of these public services
  • In Québec they’re called Solidarity co-ops
  • So, the social economy, meaning organizations that have a mutual aim in their purpose, based on the principles of reciprocity, collective benefit, social benefit, is emerging as an important player for the design and delivery of public services
  • This, too, is in reaction to the failure of the public market for provision of services like affordable housing or health care or education services
  • This is a crisis in the role of the state as a provider of public services. So the question has emerged: what happens when the state fails to provide or fulfill its mandate as a provider or steward of public goods and services, and what’s the role of civil society and the social economy in response?
  • we have commonses of knowledge, code and design. They’re more easily created, because as a knowledge worker, if you have access to the network and some means, however meager, of subsistence, through effort and connection you can actually create knowledge. However, this is not the case if you move to direct physical production, like the open hardware movement
  • I originally encountered Michel after seeing some talks by Benkler and Lessig at the Wizard of OS 4, in 2006, and I wrote an essay criticizing that from a materialist perspective, it was called “The creative anti-commons and the poverty of networks”, playing on the terms that both those people used.
  • In hardware, we don’t see that, because you need to buy material, machines, plastic, metal.
  • Some people have called the open hardware community a “candy” economy, because if you’re not part of these open hardware startups, you’re basically not getting anything for your efforts
  • democratic foundations like the Apache foundation
  • They conceive of peer production, especially Benkler, as being something inherently immaterial, a form of production that can only exist in the production of immaterial wealth
  • From my materialist point of view, that’s not a mode of production, because a mode of production must, in the first place, reproduce its productive inputs, its capital, its labor, and whatever natural wealth it consumes
  • From a materialist point of view, it becomes  obvious that the entire exchange value produced in these immaterial forms would be captured by the same old owners of materialist wealth
  • different definition of peer production
  • independent producers collectively sharing a commons of productive assets
  • I wanted to create something like a protocol for the formation and allocation of physical goods, the same way we have TCP/IP and so forth, as a way to allocate immaterial goods
  • share and distribute and collectively create immaterial wealth, and become independent producers based on this collective commons.
  • One was the Georgist idea of using rent, economic rent, as a fundamental mutualizing source of wealth
  • Mutualizing unearned income
  • So, the unearned income, the portion of income derived from ownership of productive assets is evenly distributed
  • This protocol would seek to normalize that, but in a way that doesn’t require administration
  • typical statist communist reaction to the cooperative movement is saying that cooperatives can exclude and exploit one another
  • But then, as we’ve seen in history, there’s something that develops called an administrative class,  which governs over the collective of cooperatives or the socialist state, and can become just as counterproductive and often exploitive as capitalist class
  • So, how do we create cooperation among cooperatives, and distribution of wealth among cooperatives, without creating this administrative class?
  • This is why I borrowed from the work of Henry George and Silvio Gesell in created this idea of rent sharing.
  • This is not done administratively, this is simply done as a protocol
  • The idea is that if a cooperative wants an asset, like, an example is if one of the communes would like to have a tractor, then essentially the central commune is like a bond market. They float a bond, they say I want a tractor, I am willing to pay $200 a month for this tractor in rent, and other members of the cooperative can say, hey, yeah, that’s a good idea,we think that’s a really good allocation of these productive assets, so we are going to buy these bonds. The bond sale clears, the person gets the tractor, the money from the rent of the tractor goes back to clear the bonds, and  after that, whatever further money is collected through the rent on this tractor – and I don’t only mean tractors, same would be applied to buildings, to land, to any other productive assets – all this rent that’s collected is then distributed equally among all of the workers.
  • The idea is that people earn income not only by producing things, but by owning the means of production, owning productive assets, and our society is unequal because the distribution of productive assets is unequal
  • This means that if you use your exact per capita share of property, no more no less than what you pay in rent and what you received in social dividend, will be equal
  • But if you’re not working at that time, because you’re old, or otherwise unemployed, then obviously the the productive assets that you will be using will be much less than the mean and the median, so what you’ll receive as dividend will be much more than what you pay in rent, essentially providing a basic income
  • venture communism doesn’t seek to control the product of the cooperatives
  • It doesn’t seek to limit, control, or even tell them how they should distribute it, or under what means; what they produce is entirely theirs, it’s only the collective management of the commons of productive assets
  • On paper this would seem to work, but the problem is that this assumes that we have capital to allocate in this way, and that is not the case for most of the world workers
  • how do we get to that stage?
  • other two being counter politics and insurrectionary finance
  • do we express our activism through the state, or do we try to achieve our goals by creating the alternative society outside
  • pre-figurative politics, versus statist politics
  • My materialist background tells me that when you sell your labor on the market, you have nothing more than your subsistence costs at the end of it, so where is this wealth meant to come from
  • I believe that the only reason that we have any extra wealth beyond subsistence is because of organized social political struggle; because we have organized in labor movements, in the co-op movement, and in other social forms
  • To create the space for prefiguring presupposes engagement with the state, and struggle within parliaments, and struggle within the public social forum
  • Instead, we should think that no, we must engage in the state in order to protect our ability to have alternative societies
  • We can only get rid of the state in these areas once we have alternative, distributed, cooperative means to provide those same functions
  • We can only eliminate the state from these areas once they actually exist, which means we actually have to build them
  • What I mean by insurrectionary finance is that we have to acknowledge that it’s not only forming capital and distributing capital, it’s also important how intensively we use capital
  • I’m not proposing that the cooperative movement needs to engage in the kind of derivative speculative madness that led to the financial crisis, but at the same time we can’t… it can’t be earn a dollar, spend a dollar
  • We have to find ways to create liquidity
  • to deal with economic cycles
  • they did things the organized left hasn’t been able to do, which is takeover industrial means of production
  • if they can take over these industrial facilities, just in order to shut them down and asset strip them, why can’t we take them over and mutualize them?
  • more ironic once you understand that the source of investment that Milken and his colleagues were working with were largely workers pension funds
  • idea of venture communism
  • pooling, based on the capture of unearned income
  • in Québec, there is a particular form of co-op that’s been developed that allows small or medium producers to pool their capital to purchase machinery and to use it jointly
  • The other idea I liked was trying to minimize a management class
  • much more lean and accountable because they are accountable to boards of directors that represent the interests of the members
  • I’ve run into this repeatedly among social change activists who immediately recoil at the notion of thinking about markets and capital, as part of their change agenda
  • I had thought previously, like so many, that economics is basically a bought discipline, and that it serves the interests of existing elites. I really had a kind of reaction against that
  • complete rethinking of economics
  • recapture the initiative around vocabulary, and vision, with respect to economics
  • reimagining and reinterpreting, for a popular and common good, the notion of market and capital
  • advocating for a vision of social change that isn’t just about politics, and isn’t just about protest, it has to be around how do we reimagine and reclaim economics
  • markets actually belong to communities and people
  • capital wasn’t just an accumulated wealth for the rich
  • I think what we’re potentially  talking about here is to make the social economy hyper-productive, hyper-competitive, hyper-cooperative
  • The paradox is that capital already knows this. Capital is investing in these peer production projects
  • Part of the proposal of the FLOK society project in Ecuador will be to get that strategic reorganization to make the social economy strategic
  • Kurt Laitner on 31 Jan 14
     
    A lot of really interesting points of discussion in here.
Tiberius Brastaviceanu

POWER-CURVE SOCIETY: The Future of Innovation, Opportunity and Social Equity in the Eme... - 1 views

www.aspeninstitute.org/...tion-opportunity-social-equity

book paper value networks

shared by Tiberius Brastaviceanu on 17 Oct 13 - No Cached
  • how technological innovation is restructuring productivity and the social and economic impact resulting from these changes
  • concern about the technological displacement of jobs, stagnant middle class income, and wealth disparities in an emerging "winner-take-all" economy
  • personal data ecosystems that could potentially unlock a revolutionary wave of individual economic empowerment
  • ...70 more annotations...
  • the bell curve described the wealth and income distribution of American society
  • As the technology boom of the 1990s increased productivity, many assumed that the rising water level of the economy was raising all those middle class boats. But a different phenomenon has also occurred. The wealthy have gained substantially over the past two decades while the middle class has remained stagnant in real income, and the poor are simply poorer.
  • America is turning into a power-curve society: one where there are a relative few at the top and a gradually declining curve with a long tail of relatively poorer people.
  • For the first time since the end of World War II, the middle class is apparently doing worse, not better, than previous generations.
  • an alarming trend
  • What is the role of technology in these developments?
  • a sweeping look at the relationship between innovation and productivity
  • New Economy of Personal Information
  • Power-Curve Society
  • the future of jobs
  • the report covers the social, policy and leadership implications of the “Power-Curve Society,”
  • World Wide Web
  • as businesses struggle to come to terms with this revolution, a new set of structural innovations is washing over businesses, organizations and government, forcing near-constant adaptation and change. It is no exaggeration to say that the explosion of innovative technologies and their dense interconnections is inventing a new kind of economy.
  • the new technologies are clearly driving economic growth and higher productivity, the distribution of these benefits is skewed in worrisome ways.
  • the networked economy seems to be producing a “power-curve” distribution, sometimes known as a “winner-take-all” economy
  • Economic and social insecurity is widespread.
  • major component of this new economy, Big Data, and the coming personal data revolution fomenting beneath it that seeks to put individuals, and not companies or governments, at the forefront. Companies in the power-curve economy rely heavily on big databases of personal information to improve their marketing, product design, and corporate strategies. The unanswered question is whether the multiplying reservoirs of personal data will be used to benefit individuals as consumers and citizens, or whether large Internet companies will control and monetize Big Data for their private gain.
  • Why are winner-take-all dynamics so powerful?
  • appear to be eroding the economic security of the middle class
  • A special concern is whether information and communications technologies are actually eliminating more jobs than they are creating—and in what countries and occupations.
  • How is the power-curve economy opening up opportunities or shutting them down?
  • Is it polarizing income and wealth distributions? How is it changing the nature of work and traditional organizations and altering family and personal life?
  • many observers fear a wave of social and political disruption if a society’s basic commitments to fairness, individual opportunity and democratic values cannot be honored
  • what role government should play in balancing these sometimes-conflicting priorities. How might educational policies, research and development, and immigration policies need to be altered?
  • The Innovation Economy
  • Conventional economics says that progress comes from new infusions of capital, whether financial, physical or human. But those are not necessarily the things that drive innovation
  • What drives innovation are new tools and then the use of those new tools in new ways.”
  • at least 50 percent of the acceleration of productivity over these years has been due to ICT
  • economists have developed a number of proxy metrics for innovation, such as research and development expenditures.
  • Atkinson believes that economists both underestimate and overestimate the scale and scope of innovation.
  • Calculating the magnitude of innovation is also difficult because many innovations now require less capital than they did previously.
  • Others scholars
  • see innovation as going in cycles, not steady trajectories.
  • A conventional approach is to see innovation as a linear, exponential phenomenon
  • leads to gross errors
  • Atkinson
  • believes that technological innovation follows the path of an “S-curve,” with a gradual increase accelerating to a rapid, steep increase, before it levels out at a higher level. One implication of this pattern, he said, is that “you maximize the ability to improve technology as it becomes more diffused.” This helps explain why it can take several decades to unlock the full productive potential of an innovation.
  • innovation keeps getting harder. It was pretty easy to invent stuff in your garage back in 1895. But the technical and scientific challenges today are huge.”
  • costs of innovation have plummeted, making it far easier and cheaper for more people to launch their own startup businesses and pursue their unconventional ideas
  • innovation costs are plummeting
  • Atkinson conceded such cost-efficiencies, but wonders if “the real question is that problems are getting more complicated more quickly than the solutions that might enable them.
  • we may need to parse the different stages of innovation: “The cost of innovation generally hasn’t dropped,” he argued. “What has become less expensive is the replication and diffusion of innovation.”
  • what is meant by “innovation,”
  • “invention plus implementation.”
  • A lot of barriers to innovation can be found in the lack of financing, organizational support systems, regulation and public policies.
  • 90 percent of innovation costs involve organizational capital,”
  • there is a serious mismatch between the pace of innovation unleashed by Moore’s Law and our institutional and social capacity to adapt.
  • This raises the question of whether old institutions can adapt—or whether innovation will therefore arise through other channels entirely. “Existing institutions are often run by followers of conventional wisdom,”
  • The best way to identify new sources of innovation, as Arizona State University President Michael Crow has advised, is to “go to the edge and ignore the center.”
  • Paradoxically, one of the most potent barriers to innovation is the accelerating pace of innovation itself.
  • Institutions and social practice cannot keep up with the constant waves of new technologies
  • “We are moving into an era of constant instability,”
  • “and the half-life of a skill today is about five years.”
  • Part of the problem, he continued, is that our economy is based on “push-based models” in which we try to build systems for scalable efficiencies, which in turn demands predictability.
  • The real challenge is how to achieve radical institutional innovations that prepare us to live in periods of constant two- or three-year cycles of change. We have to be able to pick up new ideas all the time.”
  • pace of innovation is a major story in our economy today.
  • The App Economy consists of a core company that creates and maintains a platform (such as Blackberry, Facebook or the iPhone), which in turn spawns an ecosystem of big and small companies that produce apps and/or mobile devices for that platform
  • tied this success back to the open, innovative infrastructure and competition in the U.S. for mobile devices
  • standard
  • The App Economy illustrates the rapid, fluid speed of innovation in a networked environment
  • crowdsourcing model
  • winning submissions are
  • globally distributed in an absolute sense
  • problem-solving is a global, Long Tail phenomenon
  • As a technical matter, then, many of the legacy barriers to innovation are falling.
  • small businesses are becoming more comfortable using such systems to improve their marketing and lower their costs; and, vast new pools of personal data are becoming extremely useful in sharpening business strategies and marketing.
  • Another great boost to innovation in some business sectors is the ability to forge ahead without advance permission or regulation,
  • “In bio-fabs, for example, it’s not the cost of innovation that is high, it’s the cost of regulation,”
  • This notion of “permissionless innovation” is crucial,
  • “In Europe and China, the law holds that unless something is explicitly permitted, it is prohibited. But in the U.S., where common law rather than Continental law prevails, it’s the opposite
Kurt Laitner

The basic orientation of p2p theory towards societal reform: transforming civil society... - 1 views

blog.p2pfoundation.net/...12

Michel Bauwens p2p economy civil society partner state paper

shared by Kurt Laitner on 22 Jul 14 - No Cached
  • under the ‘leadership’ of corporations and those members of our society who have access to capital.
  • Despite all democratic advances, the state forms have clearly been captured by private interests.
  • in a capitalist system, ‘civil society’ is not directly productive of the goods and services that we need to survive, live and thrive
  • ...22 more annotations...
  • everything that needs to be made, has to be designed through collaborative innovation in the first place
  • continuous interchange and dialogue of citizens as they determine their collective life
  • Both civil society and the notion of citizenship can be criticized for being insufficiently inclusionary, and therefore as ‘mechanisms of exclusion’.
  • consisting of shared depositories of knowledge, code and design; the communities of contributors and users of such commons
  • infrastructures of collaboration, which are managed by a new type of ‘for-benefit associations’
  • democratically governed by all participants and stakeholders in such commons
    • Kurt Laitner
      Kurt Laitner on 22 Jul 14
       
      hmm
  • which are not derived or secondary from either the private or state forms.
  • civil society is the locus of the shared abundance of value creation, and the place for the continual dialogue regarding the necessities of common life.
  • democratically decide
    • Kurt Laitner
      Kurt Laitner on 22 Jul 14
       
      ? our values need be expressed in every action within the matrix, not just when a 'vote' is held, in fact general democratic 'voting' should probably disappear
  • the ‘common good’ of society as a whole
    • Kurt Laitner
      Kurt Laitner on 22 Jul 14
       
      there is no such thing
  • The difference is that the commons where the immaterial value is created are positioned in a field of abundance characteristic for non-rival or anti-rival goods; while the for-benefit associations are responsible for the sometimes contentious allocation of rival infrastructures.
    • Kurt Laitner
      Kurt Laitner on 22 Jul 14
       
      !!!
  • Whereas the commons themselves are plurarchies based on permissionless contribution, forking and other rights guaranteeing the diversity of contributions and contributors; the for-benefit associations are democratically governed.
  • true reform of the private sector and the corporate form.
    • Kurt Laitner
      Kurt Laitner on 22 Jul 14
       
      really?
  • Under conditions of the rule of capital, for-profit corporations are beholden to work for the interests of the shareholders. This format allows for the accumulation of capital, but also indirectly of political power, through the power of money to influence politics and politicians. For-profit corporations are part of a system of infinite growth and compound interest, must continuously compete with other corporations, and therefore, also minimize costs. For-profit corporations are designed to ignore negative environmental externalities by avoiding to pay the costs associated with them; and to ignore positive social externalities, also by avoiding to pay for them. In terms of sustainability, corporations practice planned obsolescence as a rule, because while the market is a scarcity allocation mechanism, capitalism itself is a scarcity maintenance and creation mechanism. Anti-sustainable practices are systemic and part of the DNA of the for-profit corporation.
  • Under conditions of peer production, design and innovation moves to commons-based communitiies, which lack the incentive for unsustainable design; products are inherently design for sustainability, and the production process itself is designed for openness and distribution.
  • designed to make the commoners and the commons themselves sustainable, by not ‘leaking’ surplus value to external shareholders
  • mission-oriented, community supportive, sustainability-oriented corporate forms, that operate in the marketplace but do not themselves reproduce capitalism.
  • surplus value stays within the commons, allows its autonomous social reproduction, and sustains the commoners
  • ethical mechanism that subsumes profit making under the social goal of strengthening the commons.
  • because commons and their communities are themselves specific, and do not automatically take into account the common good of society as a whole .
  • A Partner State functions center around enabling and empowering social production and abandons some of the paternalistic aspects of the welfare state by focusing on strengthening the possibilities of autonomy.
  • mobilization of social forces to obtain a new social contract
  • Kurt Laitner on 22 Jul 14
     
    Good synopsis of the big picture by Michel
Tiberius Brastaviceanu

If not Global Captalism - then What? - 0 views

www.moq.org/...ifnotglobal.html

paper nondominium Chris Cook

shared by Tiberius Brastaviceanu on 02 Jun 11 - Cached
  • I posit an optimistic view of the potential for Society from the emergence of a new and “Open” form of Capitalism.
  • Open Capital
  • the concept of “Open” Capital is “so simple…. it repels the mind".
  • ...162 more annotations...
  • Open Capital is defined as “a proportional share in an enterprise for an indeterminate time”
  • ‘Enterprise’ is defined as ‘any entity within which two or more individuals create, accumulate or exchange Value”.
  • Value is to Economics as Energy and Matter are to Physics.
  • The Metaphysics Of Value
  • division between “subject” and “object”.
  • primary reality is “Quality”
  • formless and indefinable
  • not a “thing”
  • a non-intellectual awareness or “pre-intellectual reality”
  • but an event at which the subject becomes aware of the object and before he distinguishes it
  • Quality is the basis of both subject and object
  • distinguish between “Static” and “Dynamic” Quality
  • treating Value as a form of “Quality” as envisioned by Pirsig.
  • Riegel
  • defined “Value” as “ the Relativity of Desire” again implying indeterminacy.
  • Pirsig’s approach Capital may be viewed as “Static” Value and Money as “Dynamic” Value. “Transactions” are the “events” at which individuals (Subjects) interact with each other or with Capital (both as Objects) to create forms of Value and at which “Value judgments” are made based upon a “Value Unit”.
  • The result of these Value Events /Transactions is to create subject/object pairings in the form of data ie Who “owns” or has rights of use in What,
  • at what Price
  • accounting data
  • Neo-Classical” Economics confuses indeterminate Value with a market– determined Price –
  • Data may be static
  • This Data identifies the subject with objects such as tangible ‘Material Value’
  • Data may itself constitute ‘Intellectual Value’
  • It, too, may then be defined in a subject/object pairing through the concept of “intellectual property”.
  • Other forms of Value are however not definable by data:
  • “sentimental” Value
  • Emotional Value’
  • 'Spiritual Value’
  • We may therefore look at the “transaction” or “value event” in a new light.
  • The creation and circulation of Value essentially comprises the concept we know of as “Money”.
  • Money / Dynamic Value
  • “The purpose of money is to facilitate barter by splitting the transaction into two parts, the acceptor of money reserving the power to requisition value from any trader at any time
  • money
  • value unit dissociated from any object
  • monetary unit
  • the basis relative to which other values may be expressed
  • The monetary process is a dynamic one involving the creation and recording of obligations as between individuals and the later fulfilment of these obligations
  • The monetary “Value Event”/ Transaction involves the creation of “Credit”
  • obligation to provide something of equivalent Value at a future point in time.
  • These obligations may be recorded on transferable documents
  • database of “Credit”/obligations is not Money, but temporary “Capital”
  • “Working Capital”
  • Static Value – which only becomes “Money”/ Dynamic Value when exchanged in the transitory Monetary process.
  • what we think of as Money is in fact not tangible “cash” but rather
  • the flow of data between databases of obligations maintained by Credit Institutions
  • or dynamic
  • Banks literally “loan” Money into existence
  • In exchange for an obligation by an Individual to provide to the Bank something of Value
  • Bank’s obligation is merely to provide another obligation at some future time
  • These Bank-issued obligations are therefore
  • claim upon a claim upon Value
  • The true source of Credit is the Individual, not the intermediary Bank
  • this Money they create from nothing despite the fact that it is literally Value-less
  • Thus there is no true sharing of Risk and Reward involved in Lending
  • issue in relation to Credit/Debt and this relates to the nature of Lending itself.
  • the practice of Lending involves an incomplete exchange in terms of risk and reward: a Lender, as opposed to an Investor, has no interest in the outcome of the Loan, and requires the repayment of Principal no matter the ability of the Borrower to repay.
  • Ethical problem
    • Tiberius Brastaviceanu
      Tiberius Brastaviceanu on 02 Jun 11
       
      "The Lender has no interest in the outcome of the loan", i.e doesn't care what happens in the end. The Lender ins not interested in the economical outcome of the Lender-Loner relation. So in fact there is no real risk sharing. the only risk for the Lender is when the Loner doesn't pay back, which is not really a risk... In fact it is a risk for the small bank, who has to buy money from the central bank, but not for the central bank. 
  • Money is not
  • an “Object” circulating but rather a dynamic process of Value creation and exchange by reference to a “Value Unit”.
  • Capital/ Static Value
  • Capital represents the static accumulation of Value
  • Some forms of Capital are “productive”
  • An ethical question
  • in relation to Productive Capital relates to the extent of “property rights” which may be held over it thereby allowing individuals to assert “absolute” permanent and exclusive ownership - in particular in relation to Land
  • our current financial system is based not upon Value but rather a claim upon Value
  • Financial Capital consists of two types:
  • “Debt”
  • “Equity”
  • Interest
  • obligations of finite/temporary duration but with no participation in the assets or revenues
  • absolute and permanent ownership/participation (without obligation) in assets and revenues
  • discontinuity between Debt and Equity
  • at the heart of our current problems as a Society
  • The Enterprise
  • ‘Charitable’ Enterprise
  • ‘Social’ Enterprise
  • Value
  • exchanged in agreed proportions;
  • Value is exchanged for the Spiritual and Emotional Value
  • ‘Commercial’ Enterprise
  • ‘closed’
  • Value are exchanged between a limited number of individuals
  • Early enterprises were partnerships and unincorporated associations
  • need for institutions which outlived the lives of the Members led to the development of the Corporate body with a legal existence independent of its Members
  • The key development in the history of Capitalism was the creation of the ‘Joint Stock’ Corporate with liability limited by shares of a ‘Nominal’ or ‘Par’ value
  • over the next 150 years the Limited Liability Corporate evolved into the Public Limited Liability Corporate
  • Such “Closed” Shares of “fixed” value constitute an absolute and permanent claim over the assets and revenues of the Enterprise to the exclusion of all other “stakeholders” such as Suppliers, Customers, Staff, and Debt Financiers.
  • The latter are essentially ‘costs’ external to the
  • owners of the Enterprise
  • maximise ‘Shareholder Value’
  • There is a discontinuity/ fault-line within the ‘Closed’ Corporate
  • It has the characteristics of what biologists call a ‘semi-permeable membrane’ in the way that it allows Economic Value to be extracted from other stakeholders but not to pass the other way.
    • Tiberius Brastaviceanu
      Tiberius Brastaviceanu on 02 Jun 11
       
      It is a way to extract value from productive systems. It is a system of exploitation. 
  • Capital most certainly is and always has been - through the discontinuity (see diagram) between:‘Fixed’ Capital in the form of shares ie Equity; and ‘Working’ Capital in the form of debt finance, credit from suppliers, pre-payments by customers and obligations to staff and management.
  • irreconcilable conflict between Equity and Debt
  • xchange of Economic Value in a Closed Corporate is made difficult and true sharing of Risk and Reward is simply not possible
  • No Enterprise Model has been capable of resolving this dilemma. Until now.
  • Corporate Partnerships with unlimited liability
  • mandatory for partnerships with more than 20 partners to be incorporated
  • in the USA
  • it is the normal structure for professional partnerships
  • Limited Liability Partnerships
  • In the late 1990's
  • litigation
  • The UK LLP is supremely simple and remarkably flexible.
  • All that is needed is a simple ‘Member Agreement’ – a legal protocol which sets out the Aims, Objectives. Principles of Governance, Revenue Sharing, Dispute Resolution, Transparency and any other matters that Members agree should be included. Amazingly enough, this Agreement need not even be in writing, since in the absence of a written agreement Partnership Law is applied by way of default.
  • The ease of use and total flexibility enables the UK LLP to be utilised in a way never intended – as an ‘Open’ Corporate partnership.
  • ‘Open’ Corporate Partnership
  • concepts which characterise the ‘Open’ Corporate Partnership
  • it is now possible for any stakeholder to become a Member of a UK LLP simply through signing a suitably drafted Member Agreement
  • ‘Open’
  • supplier
  • employee
  • may instead become true Partners in the Enterprise with their interests aligned with other stakeholders.
    • Tiberius Brastaviceanu
      Tiberius Brastaviceanu on 02 Jun 11
       
      Can SENSORICA be a UK LLP?
  • no profit or loss in an Open Corporate Partnership, merely Value creation and exchange between members in conformance with the Member Agreement.
  • Proportional shares
  • in an Enterprise constitute an infinitely divisible, flexible and scaleable form of Capital capable of distributing or accumulating Value organically as the Enterprise itself grows in Value or chooses to distribute it.
  • Emergence of “Open” Capital
  • example of how ‘Temporary Equity’ may operate in practice
  • The Open Capital Partnership (“OCP”)
  • Within the OCP Capital and Revenue are continuous: to the extent that an Investee pays Rental in advance of the due date he becomes an Investor.
  • Open Capital – a new Asset Class
  • create a new asset class of proportional “shares”/partnership interests
  • in Capital holding OCP’s
  • Property Investment Partnerships (“PIP’s”)
  • Open Corporate Partnerships as a Co-operative Enterprise model
  • A Co-operative is not an enterprise structure: it is a set of Principles that may be applied to different types of enterprise structure.
  • Within a Partnership there is no “Profit” and no “Loss”.
  • Partnerships
  • mutual pursuit of the creation and exchange of Value
  • Partners do not compete with each othe
  • the crippling factors in practical terms have been, inter alia: the liability to which Member partners are exposed from the actions of their co-partners on their behalf; limited ability to raise capital.
  • they favour the interests of other stakeholders, are relatively restricted in accessing investment; are arguably deficient in incentivising innovation.
  • The ‘new’ LLP was expressly created to solve the former problem by limiting the liability of Member partners to those assets which they choose to place within its protective ‘semi-permeable membrane’
  • However, the ability to configure the LLP as an “Open” Corporate permits a new and superior form of Enterprise.
  • it is possible to re-organise any existing enterprise as either a partnership or as a partnership of partnerships.
  • the revenues
  • would be divided among Members in accordance with the LLP Agreement. This means that all Members share a common interest in collaborating/co-operating to maximise the Value generated by the LLP collectively as opposed to competing with other stakeholders to maximise their individual share at the other stakeholders’ expense.
  • facilitate the creation of LLP’s as “Co-operatives of Co-operatives”.
  • he ‘Commercial’ Enterprise LLP – where the object is for a closed group of individuals to maximise the value generated in their partnership. There are already over 7,000 of these.
    • Tiberius Brastaviceanu
      Tiberius Brastaviceanu on 02 Jun 11
       
      Can SENSORICA be one of these?
  • the Profit generated in a competitive economy based upon shareholder value and unsustainable growth results from a transfer of risks outwards, and the transfer of reward inwards, leading to a one way transfer of Economic Value.
  • This,
  • will very often impoverish one or more constituency of stakeholders
  • A partnership, however, involves an exchange of value through the sharing of risk and reward.
  • Whether its assets are protected within a corporate entity with limited liability or not, it will always operate co-operatively – for mutual profit.
  • Open Capital, Economics and Politics
  • continuity between Capital as Static Value and Money as Dynamic Value which has never before been possible due to the dichotomy between the absolute/infinite and the absolute/finite durations of the competing claims over assets – “Equity” and “Debt”
  • Open Capital Partnership gives rise to a new form of Financial Capital of indeterminate duration. It enables the Capitalisation of assets and the monetisation of revenue streams in an entirely new way.
  • It is possible to envisage a Society within which individuals are members of a portfolio of Enterprises constituted as partnerships, whether limited in liability or otherwise.
  • Some will be charitable
  • Others will be ‘social’
  • ‘Commercial’ enterprises of all kinds aimed at co-operatively working together to maximise value for the Members.
  • the process has already begun
  • Capitalism
  • superior
  • to all other models, such as Socialism.
  • It can only be replaced by another ‘emergent’ phenomenon, which is adopted ‘virally’ because any Enterprise which does not utilise it will be at a disadvantage to an Enterprise which does.
  • The ‘Open’ Corporate Partnership is: capable of linking any individuals anywhere in respect of collective ownership of assets anywhere; extremely cheap and simple to operate; and because one LLP may be a Member of another it is organically flexible and ‘scaleable’. The phenomenon of “Open Capital” – which is already visible in the form of significant commercial transactions - enables an extremely simple and continuous relationship between those who wish to participate indefinitely in an Enterprise and those who wish to participate for a defined period of time.
  • Moreover, the infinitely divisible proportionate “shares” which constitute ‘Open’ Capital allow stakeholder interests to grow flexibly and organically with the growth in Value of the Enterprise. In legal terms, the LLP agreement is essentially consensual and ‘pre-distributive’: it is demonstrably superior to prescriptive complex contractual relationships negotiated adversarially and subject to subsequent re-distributive legal action. Above all, the ‘Open’ Corporate Partnership is a Co-operative phenomenon which is capable, the author believes, of unleashing the “Co-operative Advantage” based upon the absence of a requirement to pay returns to “rentier” Capitalists.
Kurt Laitner

Crisis of Value Theory - P2P Foundation - 0 views

p2pfoundation.net/Crisis_of_Value_Theory

Michel Bauwens Kevin Carson capitalism alternative economy paper

shared by Kurt Laitner on 11 Jul 12 - Cached
  • accumulation of knowledge assets
  • a new class has arisen which controls the vectors of information
  • In terms of knowledge creation, a vast new information commons is being created, which is increasingly out of the control of cognitive capitalism.
  • ...19 more annotations...
  • But notice that to do this, the system had to change, the core logic was no longer the same.
  • The emergence of the peer model of production, based on the non-rivalrous nature and virtually non-existent marginal cost of reproduction of digital information, and coupled with the increasing unenforceability of “intellectual property” laws, means that capital is incapable of realizing returns on ownership in the cognitive realm.
  • capital is becoming an a posteriori intervention in the realization of innovation, rather than a condition for its occurrence
  • 1) The creation of non-monetary value is exponential 2) The monetization of such value is linear
  • What this announces is a crisis of value, most such value is ‘beyond measure’, but also essentially a crisis of accumulation of capital.
  • more and more positive externalizations are created from the social field
  • “the core logic of the emerging experience economy, operating as it does in the world of non-rival exchange, is unlikely to have capitalism as its core logic.”
  • This takes the form both of “intellectual property” law, as well as direct subsidies from the taxpayer to the corporate economy
  • crisis of realization under state capitalism to capital’s growing dependence on the state to capture value from social production and redistribute it to private corporate owners
  • The state capitalist system will reach a point at which, thanks to the collapse of the portion of value comprised of rents on artificial property, the base of taxable value is imploding at the very time big business most needs subsidies to stay afloat.
  • We live in a political economy that has it exactly backwards. We believe that our natural world is infinite, and therefore that we can have an economic system based on infinite growth. But since the material world is finite, it is based on pseudo-abundance. And then we believe that we should introduce artificial scarcities in the world of immaterial production, impeding the free flow of culture and social innovation, which is based on free cooperation, by creating the obstacle of permissions and intellectual property rents protected by the state. What we need instead is a political economy based on a true notion of scarcity in the material realm, and a realization of abundance in the immaterial realm.
  • Brains and bodies still need others to produce value, but the others they need are not necessarily provided by capital and its capacities to organize production.
  • The household and informal economies have been allowed to function to the extent that they bear reproduction costs that would otherwise have to be internalized in wages; but they have been suppressed (as in the Enclosures) when they threaten to increase in size and importance to the point of offering a basis for independence from wage labor. “
  • increasing untenability of property rights in the information realm
  • there is no more outside.
  • one of intensive development, to grow in the immaterial field, and this is basically what the experience economy means
  • Innovation is becoming social and diffuse, an emergent property of the networks
  • failure of artificial abundance
  • failure of artificial scarcity
  • Kurt Laitner on 11 Jul 12
     
    the passing of the capitalist age
Tiberius Brastaviceanu

WebProtégé - 3 views

webprotege-beta.stanford.edu

tools tool ontology online infrastructure

shared by Tiberius Brastaviceanu on 29 Jul 12 - No Cached
  • Tiberius Brastaviceanu on 29 Jul 12
     
    I am using Protege to build a living systems ontology applied to SNESORICA. This ontology will constitute the backbone of value networks'infrastructure, modeled as living systems. If you want to contribute to the elaboration of this ontology please contact me, this web application is collaborative. I am also using it to build our Projects ontology. If you want to contribute to the elaboration of this ontology please contact me, this web application is collaborative.
Kurt Laitner

Digital Reality | Edge.org - 0 views

edge.org/...il_gershenfeld-digital-reality

*neilgershenfeld fab labs IoT molecular computing nano star trek replicator

shared by Kurt Laitner on 17 Feb 15 - No Cached
  • When you snap the bricks together, you don't need a ruler to play Lego; the geometry comes from the parts
  • first attribute is metrology that comes from the parts
  • digitizing composites into little linked loops of carbon fiber instead of making giant pieces
  • ...75 more annotations...
  • In a 3D printer today, what you can make is limited by the size of the machine. The geometry is external
  • is the Lego tower is more accurate than the child because the constraint of assembling the bricks lets you detect and correct errors
  • That's the exponential scaling for working reliably with unreliable parts
  • Because the parts have a discrete state, it means in joining them you can detect and correct errors
  • detect and correct state to correct errors to get an exponential reduction in error, which gives you an exponential increase in complexity
  • The next one is you can join Lego bricks made out of dissimilar materials.
  • The last one is when you're done with Lego you don't put it in the trash; you take it apart and reuse it because there's state in the materials. In a forest there's no trash; you die and your parts get disassembled and you're made into new stuff. When you make a 3D print or laser cut, when you're done there's recycling attempts but there's no real notion of reusing the parts
  • The metrology coming from the parts, detecting and correcting errors, joining dissimilar materials, disconnecting, reusing the components
  • On the very smallest scale, the most exciting work on digital fabrication is the creation of life from scratch. The cell does everything we're talking about. We've had a great collaboration with the Venter Institute on microfluidic machinery to load designer genomes into cells. One step up from that we're developing tabletop chip fab instead of a billion dollar fab, using discrete assembly of blocks of electronic materials to build things like integrated circuits in a tabletop process
  • a child can make a Lego structure bigger than themself
  • There's a series of books by David Gingery on how to make a machine shop starting with charcoal and iron ore.
  • There are twenty amino acids. With those twenty amino acids you make the motors in the molecular muscles in my arm, you make the light sensors in my eye, you make my neural synapses. The way that works is the twenty amino acids don't encode light sensors, or motors. They’re very basic properties like hydrophobic or hydrophilic. With those twenty properties you can make you. In the same sense, digitizing fabrication in the deep sense means that with about twenty building blocks—conducting, insulating, semiconducting, magnetic, dielectric—you can assemble them to create modern technology
  • By discretizing those three parts we can make all those 500,000 resistors, and with a few more parts everything else.
  • Now, there's a casual sense, which means a computer controls something to make something, and then there's the deep sense, which is coding the materials. Intellectually, that difference is everything but now I'm going to explain why it doesn't matter.
  • Then in turn, the next surprise was they weren't there for research, they weren't there for theses, they wanted to make stuff. I taught additive, subtractive, 2D, 3D, form, function, circuits, programming, all of these skills, not to do the research but just using the existing machines today
  • What they were answering was the killer app for digital fabrication is personal fabrication, meaning, not making what you can buy at Walmart, it’s making what you can't buy in Walmart, making things for a market of one person
  • The minicomputer industry completely misread PCs
  • the Altair was life changing for people like me. It was the first computer you could own as an individual. But it was almost useless
  • It was hard to use but it brought the cost from a million dollars to 100,000 and the size from a warehouse down to a room. What that meant is a workgroup could have one. When a workgroup can have one it meant Ken Thompson and Dennis Ritchie at Bell Labs could invent UNIX—which all modern operating systems descend from—because they didn't have to get permission from a whole corporation to do it
  • At the PC stage what happened is graphics, storage, processing, IO, all of the subsystems got put in a box
  • To line that up with fabrication, MIT's 1952 NC Mill is similar to the million-dollar machines in my lab today. These are the mainframes of fab. You need a big organization to have them. The fab labs I'll tell you about are exactly analogous to the cost and complexity of minicomputers. The machines that make machines I'll tell you about are exactly analogous to the cost and complexity of the hobbyist computers. The research we're doing, which is leading up to the Star Trek Replicator, is what leads to the personal fabricator, which is the integrated unit that makes everything
  • conducting, resistive, insulating.
  • The fab lab is 2 tons, a $100,000 investment. It fills a few thousand square feet, 3D scanning and printing, precision machining, you can make circuit boards, molding and casting tooling, computer controlled cutting with a knife, with a laser, large format machining, composite layup, surface mount rework, sensors, actuators, embedded programming— technology to make technology.
  • Ten years you can just plot this doubling. Today, you can send a design to a fab lab and you need ten different machines to turn the data into something. Twenty years from now, all of that will be in one machine that fits in your pocket.
  • We've been living with this notion that making stuff is an illiberal art for commercial gain and it's not part of the means of expression. But, in fact, today, 3D printing, micromachining, and microcontroller programming are as expressive as painting paintings or writing sonnets but they're not means of expression from the Renaissance. We can finally fix that boundary between art and artisans
  • You don't go to a fab lab to get access to the machine; you go to the fab lab to make the machine.
  • Over the next maybe five years we'll be transitioning from buying machines to using machines to make machines. Self-reproducing machines
  • But they still have consumables like the motors, and they still cut or squirt. Then the interesting transition comes when we go from cutting or printing to assembling and disassembling, to moving to discretely assembled materials
  • because if anybody can make anything anywhere, it challenges everything
    • Kurt Laitner
      Kurt Laitner on 17 Feb 15
       
      great quote (replace challenges with changes for effect)
  • Now, the biggest surprise for me in this is I thought the research was hard. It's leading to how to make the Star Trek Replicator. The insight now is that's an exercise in embodied computation—computation in materials, programming their construction. Lots of work to come, but we know what to do
  • And that's when you do tabletop chip fab or make airplanes. That's when technical trash goes away because you can disassemble. 
  • irritated by the maker movement for the failure in mentoring
  • At something like a Maker Faire, there's hall after hall of repeated reinventions of bad 3D printers and there isn't an easy process to take people from easy to hard
  • We started a project out of desperation because we kept failing to succeed in working with existing schools, called the Fab Academy. Now, to understand how that works, MIT is based on scarcity. You assume books are scarce, so you have to go there for the library; you assume tools are scarce, so you have to go there for the machines; you assume people are scarce, so you have to go there to see them; and geography is scarce. It adds up to we can fit a few thousand people at a time. For those few thousand people it works really well. But the planet is a few billion people. We're off by six orders of magnitude. 
  • Next year we're starting a new class with George Church that we've called "How to Grow Almost Anything", which is using fab labs to make bio labs and then teach biotech in it. What we're doing is we're making a new global kind of university
  • Amusingly, I went to my friends at Educause about accrediting the Fab Academy and they said, "We love it. Where are you located?" And I said, "Yes" and they said, "No." Meaning, "We're all over the earth." And they said, "We have no mechanism. We're not allowed to do that. There's no notion of global accreditation."
  • Then they said something really helpful: "Pretend."
  • Once you have a basic set of tools, you can make all the rest of the tools
  • The way the Fab Academy works, in computing terms, it's like the Internet. Students have peers in workgroups, with mentors, surrounded by machines in labs locally. Then we connect them globally by video and content sharing and all of that. It's an educational network. There are these critical masses of groups locally and then we connect them globally
  • You still have Microsoft or IBM now but, with all respect to colleagues there, arguably that's the least interesting part of software
  • To understand the economic and social implications, look at software and look at music to understand what's happening now for fabrication
  • There's a core set of skills a place like MIT can do but it alone doesn't scale to a billion people. This is taking the social engineering—the character of MIT—but now doing it on this global scale.
  • Mainframes didn't go away but what opened up is all these tiers of software development that weren't economically viable
  • If you look at music development, the most interesting stuff in music isn't the big labels, it's all the tiers of music that weren't viable before
  • You can make music for yourself, for one, ten, 100, 1,000, a million. If you look at the tracks on your device, music is now in tiers that weren't economically viable before. In that example it's a string of data and it becomes a sound. Now in digital fab, it's a string of data and it becomes a thing.
  • What is work? For the average person—not the people who write for Edge, but just an average person working—you leave home to go to a place you'd rather not be, doing a repetitive operation you'd rather not do, making something designed by somebody you don't know for somebody you'll never see, to get money to then go home and buy something. But what if you could skip that and just make the thing?
    • Kurt Laitner
      Kurt Laitner on 17 Feb 15
       
      !!!
  • It took about ten years for the dot com industry to realize pretty much across the board you don't directly sell the thing. You sell the benefits of the thing
  • 2016 it's in Shenzhen because they're pivoting from mass manufacturing to enabling personal fabrication. We've set Shenzhen as the goal in 2016 for Fab Lab 2.0, which is fab labs making fab labs
  • To rewind now, you can send something to Shenzhen and mass manufacture it. There's a more interesting thing you can do, which is you go to market by shipping data and you produce it on demand locally, and so you produce it all around the world.
  • But their point was a lot of printers producing beautiful pages slowly scales if all the pages are different
  • In the same sense it scales to fabricate globally by doing it locally, not by shipping the products but shipping the data.
  • It doesn't replace mass manufacturing but mass manufacturing becomes the least interesting stuff where everybody needs the same thing. Instead, what you open up is all these tiers that weren't viable before
  • There, they consider IKEA the enemy because IKEA defines your taste. Far away they make furniture and flat pack it and send it to a big box store. Great design sense in Barcelona, but 50 percent youth unemployment. A whole generation can't work. Limited jobs. But ships come in from the harbor, you buy stuff in a big box store. And then after a while, trucks go off to a trash dump. They describe it as products in, trash out. Ships come in with products, trash goes out
    • Kurt Laitner
      Kurt Laitner on 17 Feb 15
       
      worse actually.. the trash stays
  • The bits come and go, globally connected for knowledge, but the atoms stay in the city.
  • instead of working to get money to buy products made somewhere else, you can make them locally
    • Kurt Laitner
      Kurt Laitner on 17 Feb 15
       
      this may solve greece's problem, walk away from debt, you can't buy other people's (country's) stuff anymore, so make it all yourself
  • The biggest tool is a ShotBot 4'x8'x1' NC mill, and you can make beautiful furniture with it. That's what furniture shops use
  • Anything IKEA makes you can make in a fab lab
  • it means you can make many of the things you consume directly rather than this very odd remote economic loop
  • the most interesting part of the DIY phone projects is if you're making a do-it-yourself phone, you can also start to make the things that the phones talk to. You can start to build your own telco providers where the users provide the network rather than spending lots of money on AT&T or whoever
  • Traditional manufacturing is exactly replaying the script of the computer companies saying, "That's a toy," and it's shining a light to say this creates entirely new economic activity. The new jobs don't come back to the old factories. The ability to make stuff on demand is creating entirely new jobs
  • To keep playing that forward, when I was in Barcelona for the meeting of all these labs hosted by the city architect and the city, the mayor, Xavier Trias, pushed a button that started a forty-year countdown to self-sufficiency. Not protectionism
  • I need high-torque efficient motors with integrated lead screws at low cost, custom-produced on demand. All sorts of the building blocks that let us do what I'm doing currently rest on a global supply chain including China's manufacturing agility
  • The short-term answer is you can't get rid of them because we need them in the supply chain. But the long-term answer is Shenzhen sees the future isn't mass producing for everybody. That's a transitional stage to producing locally
  • My description of MIT's core competence is it's a safe place for strange people
  • The real thing ultimately that's driving the fab labs ... the vacuum we filled is a technical one. The means to make stuff. Nobody was providing that. But in turn, the spaces become magnets. Everybody talks about innovation or knowledge economy, but then most things that label that strangle it. The labs become vehicles for bright inventive people who don't fit locally. You can think about the culture of MIT but on this global scale
  • My allegiance isn't to any one border, it's to the brainpower of the planet and this is building the infrastructure to scale to that brainpower
  • If you zoom from transistors to microcode to object code to a program, they don't look like each other. But if we take this room and go from city, state, country, it's hierarchical but you preserve geometry
  • Computation violates geometry unlike most anything else we do
  • The reason that's so important for the digital fabrication piece is once we build molecular assemblers to build arbitrary systems, you don't want to then paste a few lines of code in it. You need to overlay computation with geometry. It's leading to this complete do-over of computer science
  • If you take digital fab, plus the real sense of Internet of Things—not the garbled sense—plus the real future of computing aligning hardware and software, it all adds up to this ability to program reality
  • I run a giant video infrastructure and I have collaborators all over the world that I see more than many of my colleagues at MIT because we're all too busy on campus. The next Silicon Valley is a network, it's not a place. Invention happens in these networks.
  • When Edwin Land was kicked out of Polaroid, he made the Rowland Institute, which was making an ideal research institute with the best facilities and the best people and they could do whatever they want. But almost nothing came from it because there was no turnover of the gene pool, there was no evolutionary pressure.  
  • the wrong way to do research, which is to believe there's a privileged set of people that know more than anybody else and to create a barrier that inhibits communication from the inside to the outside
  • you need evolutionary pressure, you need traffic, you need to be forced to deal with people you don't think you need to encounter, and you need to recognize that to be disruptive it helps to know what people know
  • For me the hardest thing isn't the research. That's humming along nicely. It's that we're finding we have to build a completely new kind of social order and that social entrepreneurship—figuring out how you live, learn, work, play—is hard and there's a very small set of people who can do that kind of organizational creation.
    • Kurt Laitner
      Kurt Laitner on 17 Feb 15
       
      our challenge in the OVN space
  • Kurt Laitner on 17 Feb 15
     
    what is heavy is local, what is light is global, and increasingly manufacturing is being recreated along this principle
Tiberius Brastaviceanu

Co-Creating as Disruption to the Dominant Cultural Framework » Wirearchy - 0 views

wirearchy.com/...he-dominant-cultural-framework

paper Wirearchy John Husband

shared by Tiberius Brastaviceanu on 18 Jun 14 - No Cached
  • more open people processes
  • Participative processes like Open Space, World Cafes, Unconferences, Peer Circles
  • Barcamps, Wordcamps, Govcamps, Foo Camps, Unconferences, high-end celebrity-and-marketing-and venture-capital ‘experience’ markets, new cultural and artistic festivals with technology-and-culture-making themes
  • ...45 more annotations...
  • maker faires
  • community-and-consensus building, organizing for activism and fundraising
  • The impetus behind this explosion is both technological and sociological
  • Technological
  • information technology and the creation and evolution of the Internet and the Web
  • appearance, development and evolution of social tools, web services, massive storage, and the ongoing development of computer-and-smart-devices development
  • Sociological
  • People are searching for ways to find others with similar interests and motivations so that they can engage in activities that help them learn, find work, grow capabilities and skills, and tackle vexing social and economic problems
  • get informed and take action
  • Developing familiarity and practice with open and collaborative processes
  • play and work together
  • rules about self-management, operate democratically, and produce results grounded in ownership and the responsibilities that have been agreed upon by the ‘community’
  • The relationships and flows of information can be transferred to online spaces and often benefit from wider connectivity.
  • Today, our culture-making activities are well engaged in the early stages of cultural mutation
  • What’s coming along next ?  “Smart” devices and Internet everywhere in our lives ?  Deep(er) changes to the way things are conceived, carried out, managed and used ?  New mental models ?  Or, will we discover real societal limits to what can be done given the current framework of laws, institutions and established practices with which people are familiar and comfortable ?
  • Shorter cycle-based development and release
  • Agile development
  • It is clear evidence that the developmental and learning dynamics generated by continuous or regular feedback loops are becoming the norm in areas of activity in which change and short cycles of product development are constants.
  • The Internet of Things (IoT)
  • clothes, homes, cars, buildings, roads, and a wide range of other objects that have a place in peoples’ daily life activities
  • experiencing major growth, equally in terms of hardware, software and with respect to the way the capabilities are configured and used
  • The IoT concept is being combined with the new-ish concepts of Open Data and Big Data
  • ethical, political and social impact policy decisions
  • that key opportunities associated with widespread uptake of the IoT are derived from the impact upon peoples’ activities and lives
  • ‘we’ are on our way towards more integrated eco-systems of issues, people and technologies
  • participation and inclusion enabled by interconnectedness are quickly becoming the ‘new rules’
  • What the Future May Hold
  • the ‘scenario planning’ approach
  • world’s politics, economics, anthropology, technology, psychology, sociology and philosophy
  • A scenario planning exercise carried out by the Rockefeller Foundation
  • Clearly these early (and now not-so-weak) signals and patterns tell us that the core assumptions and principles that have underpinned organized human activities for most of the past century
  • are being changed by the combinations and permutations of new, powerful, inexpensive and widely accessible information-processing technologies
  • The short description of each scenario reinforces the perception that we are both individually and collectively in transition from a linear, specialized, efficiency-driven paradigm towards a paradigm based on continuous feedback loops and principles of participation, both large and small in scope.
  • cultural ‘mutation’
  • Wirearchy
  • a dynamic two-way flow of power and authority based on knowledge, trust, credibility and a focus on results, enabled by interconnected people and technology.
  • the role of social media and smart mobile devices in the uprisings in Egypt, Libya and elsewhere in the Middle East
  • The roots of organizational development (OD) are in humanistic psychology and sociology action and ethnographic and cybernetic/ socio-technical systems theory.  It’s a domain that emerged essentially as a counter-balance to the mechanistic and machine-metaphor-based core assumptions about the organized activities in our society.
  • Organizational development principles are built upon some basic assumptions about human motivations, engagement and activities.
  • Participative Work Design – The Six Criteria
  • in recent years created models that help clarify how to evaluate and respond to the continuous turbulence and ambiguity generated by participating in interconnected flows of information.
  • contexts characterized by either Simple, Complicated or Chaotic dynamics (from complexity theory fundamentals). Increasingly, Complexity is emerging as a key definer of the issues, problems and opportunities faced by our societies.
  • peer-to-peer movement(s) unfolding around the world
  • Co-creating in a wide range of forms, processes and purpose may become an effective and important antidote to the spreading enclosure of human creative activity.
  • But .. the dominant models of governance, commercial ownership and the use and re-use of that which is co-created by people are going to have to undergo much more deep change in order to disrupt the existing paradigm of proprietary commercial creation and the model of socio-economic power that this paradigm enables and carries today.
Kurt Laitner

What do we need corporations for and how does Valve's management structure fit into tod... - 0 views

blogs.valvesoftware.com/...it-into-todays-corporate-world

valve management structure company paper

shared by Kurt Laitner on 07 Aug 12 - No Cached
  • Valve’s management model; one in which there are no bosses, no delegation, no commands, no attempt by anyone to tell someone what to do
  • Every social order, including that of ants and bees, must allocate its scarce resources between different productive activities and processes, as well as establish patterns of distribution among individuals and groups of output collectively produced.
  • the allocation of resources, as well as the distribution of the produce, is based on a decentralised mechanism functioning by means of price signals:
  • ...18 more annotations...
  • Interestingly, however, there is one last bastion of economic activity that proved remarkably resistant to the triumph of the market: firms, companies and, later, corporations. Think about it: market-societies, or capitalism, are synonymous with firms, companies, corporations. And yet, quite paradoxically, firms can be thought of as market-free zones. Within their realm, firms (like societies) allocate scarce resources (between different productive activities and processes). Nevertheless they do so by means of some non-price, more often than not hierarchical, mechanism!
  • they are the last remaining vestiges of pre-capitalist organisation within… capitalism
  • The miracle of the market, according to Hayek, was that it managed to signal to each what activity is best for herself and for society as a whole without first aggregating all the disparate and local pieces of knowledge that lived in the minds and subconscious of each consumer, each designer, each producer. How does this signalling happen? Hayek’s answer (borrowed from Smith) was devastatingly simple: through the movement of prices
  • The idea of spontaneous order comes from the Scottish Enlightenment, and in particular David Hume who, famously, argued against Thomas Hobbes’ assumption that, without some Leviathan ruling over us (keeping us “all in awe”), we would end up in a hideous State of Nature in which life would be “nasty, brutish and short”
  • Hume’s counter-argument was that, in the absence of a system of centralised command, conventions emerge that minimise conflict and organise social activities (including production) in a manner that is most conducive to the Good Life
  • Hayek’s argument was predicated upon the premise that knowledge is always ‘local’ and all attempts to aggregate it are bound to fail. The world, in his eyes, is too complex for its essence to be distilled in some central node; e.g. the state.
  • The idea here is that, through this ever-evolving process, people’s capacities, talents and ideas are given the best chance possible to develop and produce synergies that promote the Common Good. It is as if an invisible hand guides Valve’s individual members to decisions that both unleash each person’s potential and serve the company’s collective interest (which does not necessarily coincide with profit maximisation).
  • Valve differs in that it insists that its employees allocate 100% of their time on projects of their choosing
  • In contrast, Smith and Hayek concentrate their analysis on a single passion: the passion for profit-making
  • Hume also believed in a variety of signals, as opposed to Hayek’s exclusive reliance on price signalling
  • One which, instead of price signals, is based on the signals Valve employees emit to one another by selecting how to allocate their labour time, a decision that is bound up with where to wheel their tables to (i.e. whom to work with and on what)
  • He pointed out simply and convincingly that the cost of subcontracting a good or service, through some market, may be much larger than the cost of producing that good or service internally. He attributed this difference to transactions costs and explained that they were due to the costs of bargaining (with contractors), of enforcing incomplete contracts (whose incompleteness is due to the fact that some activities and qualities cannot be fully described in a written contract), of imperfect monitoring and asymmetrically distributed information, of keeping trade secrets… secret, etc. In short, contractual obligations can never be perfectly stipulated or enforced, especially when information is scarce and unequally distributed, and this gives rise to transaction costs which can become debilitating unless joint production takes place within the hierarchically structured firm. Optimal corporation size corresponds, in Coase’s scheme of things, to a ‘point’ where the net marginal cost of contracting out a service or good (including transaction costs) tends to zero 
  • As Coase et al explained in the previous section, the whole point about a corporation is that its internal organisation cannot turn on price signals (for if it could, it would not exist as a corporation but would, instead, contract out all the goods and services internally produced)
  • Each employee chooses (a) her partners (or team with which she wants to work) and (b) how much time she wants to devote to various competing projects. In making this decision, each Valve employee takes into account not only the attractiveness of projects and teams competing for their time but, also, the decisions of others.
  • Hume thought that humans are prone to all sorts of incommensurable passions (e.g. the passion for a video game, the passion for chocolate, the passion for social justice) the pursuit of which leads to many different types of conventions that, eventually, make up our jointly produced spontaneous order
  • Valve is, at least in one way, more radical than a traditional co-operative firm. Co-ops are companies whose ownership is shared equally among its members. Nonetheless, co-ops are usually hierarchical organisations. Democratic perhaps, but hierarchical nonetheless. Managers may be selected through some democratic or consultative process involving members but, once selected, they delegate and command their ‘underlings’ in a manner not at all dissimilar to a standard corporation. At Valve, by contrast, each person manages herself while teams operate on the basis of voluntarism, with collective activities regulated and coordinated spontaneously via the operations of the time allocation-based spontaneous order mechanism described above.
  • In contrast, co-ops and Valve feature peer-based systems for determining the distribution of a firm’s surplus among employees.
  • There is one important aspect of Valve that I did not focus on: the link between its horizontal management structure and its ‘vertical’ ownership structure. Valve is a private company owned mostly by few individuals. In that sense, it is an enlightened oligarchy: an oligarchy in that it is owned by a few and enlightened in that those few are not using their property rights to boss people around. The question arises: what happens to the alternative spontaneous order within Valve if some or all of the owners decide to sell up?
Kurt Laitner

Owning Together Is the New Sharing by Nathan Schneider - YES! Magazine - 0 views

www.yesmagazine.org/...ng-together-is-the-new-sharing

ouishare sensorica loomio enspiral cobudget ethereum sovolve swarm ownership sharing paper

shared by Kurt Laitner on 05 Jan 15 - No Cached
  • VC-backed sharing economy companies like Airbnb and Uber have caused trouble for legacy industries, but gone is the illusion that they are doing it with actual sharing
  • Their main contribution to society has been facilitating new kinds of transactions
  • The notion that sharing would do away with the need for owning has been one of the mantras of sharing economy promoters. We could share cars, houses, and labor, trusting in the platforms to provide. But it’s becoming clear that ownership matters as much as ever.
  • ...30 more annotations...
  • Whoever owns the platforms that help us share decides who accumulates wealth from them, and how
  • Léonard and his collaborators are part of a widespread effort to make new kinds of ownership the new norm. There are cooperatives, networks of freelancers, cryptocurrencies, and countless hacks in between. Plans are being made for a driver-owned Lyft, a cooperative version of eBay, and Amazon Mechanical Turk workers are scheming to build a crowdsourcing platform they can run themselves. Each idea has its prospects and shortcomings, but together they aspire toward an economy, and an Internet, that is more fully ours.
  • Jeremy Rifkin, a futurist to CEOs and governments, contends that the Internet-of-things and 3-D printers are ushering in a “ zero marginal cost society“ in which the “collaborative commons” will be more competitive than extractive corporations
  • once the VC-backed sharing companies clear away regulatory hurdles, local co-ops will be poised to swoop in and spread the wealth
  • People are recognizing that doing business differently will require changing who gets to own what.
  • “We’re moving into a new economic age,” says Marjorie Kelly, who spent two decades at the helm of Business Ethics magazine and now advises social entrepreneurs. “It needs to be sustainable. It needs to be inclusive. And the foundation of what defines an economic age is its form of ownership.”
  • It’s a worker-owned cooperative that produces open-source software to help people practice consensus—though they prefer the term “collaboration”—about decisions that affect their lives.
  • From the start Loomio was part of Enspiral, an “open value network“ of freelancers and social enterprises devoted to mutual support and the common good.
  • a companion tool, CoBudget, to help them allocate resources together
  • The team members recently had to come to terms with the fact that, for the time being, only some of them could be paid for full-time work They called the process “participatory downsizing.”
  • And they can take many forms. Loomio and other tech companies, for instance, are aspiring toward the model of a multi-stakeholder cooperative—one in which not just workers or consumers are voting members, but several such groups at once.
  • Loconomics is a San Francisco-based startup designed, like TaskRabbit, to manage short-term freelance jobs
  • “People who have been without for a long time,” she says, “often operate with a mindset that they can’t share what they have, because they don’t know when that resource will come along again.”
  • As Loconomics prepares to begin operations this winter, it’s running out of the pocket of the founder, Josh Danielson
  • The ambition of a cooperative Facebook or Uber—competitive, widespread, and owned by its community—still seems out of reach for enterprises not willing to sell large parts of themselves to investors. Organizations like 
  • His fellow OuiShare founder Benjamin Tincq is concerned that too much fixation on a particular model will make it hard for well-meaning ventures to be successful. “I like the idea that we don’t need to have a specific legal status,” he says. “It’s more about hacking an existing legal status and making these hacks work.”
  • Fenton’s new undertaking, Sovolve, proposes to “create innovative solutions to accelerate social change,” much as CouchSurfing did, but it’s doing the innovating cautiously. All work is done by worker-owners located around the world. Sovolve uses an internal platform—soon to become a product in its own right—through which contributors decide how much they want to be paid in cash and how much in equity. They can see how much others are earning. Their virtual workplace is gamified, with everyone working to nudge their first product, WonderApp, into virality
  • Loomio’s members use a similar system, which they call Loomio Points. But Sovolve is no cooperative; contributors are not in charge.
  • Open-source software and share-alike licenses have revived the ancient idea of the commons for an Internet age. But the “ commons-based peer production“ that Sensorica seeks to practice doesn’t arise overnight. Just as today’s business culture rests on generations of accumulated law, habit, and training, learning to manage a commons successfully takes time
  • It makes possible decentralized autonomous organizations, or DAOs, which exist entirely on a shared network
  • The most ambitious successor to Bitcoin, Ethereum, has raised more than $15 million in crowdfunding on the promise of creating such a network.
  • all with technology that makes collective ownership a lot easier than a conventional legal structure
  • A project called Eris is developing a collective decision-making tool designed to govern DAOs on Ethereum, though the platform may still be months from release.
  • For now, the burden of reinventing every wheel at once makes it hard for companies like Sensorica and Loomio to compete
  • For instance, Cutting Edge Capital specializes in helping companies raise money through a long-standing mechanism called the direct public investment, or DPO, which allows for small, non-accredited investors.
  • Venture funding may be in competition with Dietz’s cryptoequity vision, but it provides a fearsome head start
  • Co-ops help ensure that the people who contribute to and depend on an enterprise keep control and keep profits, so they’re a possible remedy for worsening economic inequality
  • Sooner or later, transforming a system of gross inequality and concentrated wealth will require more than isolated experiments at the fringes—it will require capturing that wealth and redirecting its flows
  • A less consensual strategy was employed to fund the Catalan Integral Cooperative in Spain; over the course of a few years, one activist borrowed around $600,000 from Spanish banks without paying any of it back.
  • In Jackson, Mississippi, Chokwe Lumumba was elected mayor in 2013 on a platform of fostering worker-owned cooperatives, although much of the momentum was lost when Lumumba died just a few months later.
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