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User Journal

Journal Journal: More on Slot-in FPGAs 3

My last JE has been submitted as an article.

If you're wondering, my interest in the story is that I've done a small amount of chip design myself, for a small startup, Advanced Rendering Technology, which made boxes that perform ray-tracing in hardware. The modern incarnation of ART is to be found here. For a short synopsis of the company and its history, here is a comment by my old boss.

I'll probably be fit enough to work next year, so I'm hoping to get hold of one of these things... :o)

Note: Original JE deleted as I posted a reply that read a little like sour grapes, due to this article, currently in The Mysterious Future. I hadn't mentioned the word "Opteron". Duh!

User Journal

Journal Journal: Faith-Based Government 6

It becomes hard to take the American administration seriously when they are deliberatly ignoring evidence, as appears to have happenned here (NYT sign-in/bugmenot required):

Susan Bro, an agency spokeswoman, said Thursday's statement resulted from a past combined review by federal drug enforcement, regulatory and research agencies that concluded "smoked marijuana has no currently accepted or proven medical use in the United States and is not an approved medical treatment."

. . .

The Food and Drug Administration statement directly contradicts a 1999 review by the Institute of Medicine, a part of the National Academy of Sciences, the nation's most prestigious scientific advisory agency. That review found marijuana to be "moderately well suited for particular conditions, such as chemotherapy-induced nausea and vomiting and AIDS wasting.

Let me say here that my youth experience of marijuana is that it is an extremely boring drug, and although I find it ridiculous that the drug is illegal, I think that there are many considerably more important things to get het up about.

My question is that if this administration engage in such outright lying, can you really trust them on anything? To me, this is worse as Clinton getting a blow-job and lying about it, as it involves a conspiracy of liars.

The Matrix

Journal Journal: Linus is wrong over the GPL version 3 8

Torvalds reveals how technical competence does not imply philosophical depth.

Here is the devastating evidence: a letter to The Register.

Now, I know that The Register isn't exactly the most highbrow publication on the planet, but let us analyse Linus's reply to The Register's earlier article:

Since you seem to be following the kernel mailing list, you could have picked a better email to comment on.

Okay, The Register was seeking to put Linus in a bad light; they could have been fairer to him.

Anyway, look for the one that talks about "reciprocity" to get an idea for why I like the GPLv2, and not the GPLv3 (I don't know how you read the mailing list, but you can search for it at least on lkml.org).

Reciprocity optimises a two-entity system; writing software, however, is a manifold system. The virtue of the GPL is that it spills onwards, and requires that others who want to use its bounty have to reciprocate with the GPL's conception of freedom; not with a particular individual, or collection of individuals. The future developer or user is protected by the GPL. The GPL creates a freedom akin to the free market, and as such protects future transferability, and future trade.

In a manifold system, "reciprocity" is often cartelisation. Higher values turn one against the immediate group for the sake of the larger group. I imagine that Linus is thinking that since he'd like hardware manufactorers to respect programmers' freedoms, so he should act to protect theirs.

It's not about "freedom". It's about "fairness".

Which, btw, is a lot more fundamental concept. "Do unto others.." and all that, you know.

And here Linus betrays where he's really coming from. This is pure Scandinavia. And here he also reveals a lack of philosophical depth.

I know from hard experience that "freedom" is often seen as being synonymous with greed, but it doesn't take long to see why this is mistaken: freedom is essentially the flipside of trust, but trust is a complex beast when one is dealing with something as complex as society. We (by and large) accept laws in order to allow trust to develop. Is other words, we selectively distrust in order to raise the overall level of trust. The GPL functions much in the same way as law does. The BSD licence is more trusting, mostly because programmers who write under BSD licences want it that way. The GPL, however, creates trust further down the line, and trust from those who might wish to contribute to the body of the GPLed work. The GPL is deliberately unfair to the closed shop, for much the same reason that green taxes are deliberately unfair to polluting entities; in both cases, they are seeking to change behaviour. The GPL aims to maximise freedom, and green taxes aim to maximise the difference between the value of 'goods' and 'bads'.

Fairness is just about the worst-defined concept in common use. The golden rule fails as soon as you realise that people want different things (or else there wouldn't be trade), and just about everyone defines fairness as the perfection of their chosen strain of politics (equal opportunity, equal outcome, equal consideration, trade without compulsion, ...), so that to use the word is essentially to have said nothing over and above "it doesn't suit my politics". When you go about defining exactly what should be made fair, then you have something to talk about.

It is my opinion that any definition of fair which justifies the GPL version 2 cannot help but justify version 3, and even prefer it. I understand that the GPL version 2 may be a good compromise for many individuals and entities, but that is exactly what it is: a compromise.

Note to RingDev: I'm sorry, I was (mostly) away from the computer for a few days, so I lost the chance to follow up on your reply, so I posted a delayed response in my last JE.

The Almighty Buck

Journal Journal: What Capitalism Is, and its Connection With DRM 8

This JE grows out of this post of mine.

We are facing the steady erosion of the free use of our property both through legal, and through technical means. I reproduce my post (in response to this post) below, although I have cleared up a few typos on the way:

The brief answer to your point is that Capitalism isn't what you claim it is. Maximum property is not the rule in capitalism, rather, law has evolved in order to recognise that property is not absolute, for example that one, or a collection of people, can attain ownership over land through use, and lack of enforcement. This recognises that the principle of capitalism is a codification of natural behaviour, rather than being an abstract system based upon the absolute value of property.

Look closer, and you find that the deeper principle of capitalism as codified by common law (that is the natural evolution of law according to the rule of precedent, rather than industry lobbies), is far closer to a principle of maximum freedom, than the application of an axiomatic set of rules.

Additional to this, it is worth noting why "fair use" rights exist in law: real value, and freedom is won, in particular by creating derivative works. The restriction of rights that is property can create an incentive, but also creates restrictions, that impede the creation of derivative works in particular. The creation of "intellectual property" clearly has costs and gains to freedom, and in particular to the creative freedom that is the root of the creation of wealth, with is a far vaster concept than money (in truth, the real wealth will be more than the money wealth, for that "imbalance" is what causes the trade to be made in the first place). Investment selects ideas to build on; it is our creativity that causes them to be. To undermine creativity so as to provide "an incentive" is to get things back-to-front.

Personal use is just the tip of the iceberg. Furthermore, you don't get that companies simply don't want to provide fair use. It gets in the way of the greater plan to deny the user as much property as possible, so as to extract more of the value that would otherwise accrue to the customer by eg. having the file in several formats, or playable after a licence runs out. If fair use can be undermined by DRM "so much the better!"

I agree that we already have limited rights of ownership, but the principle that underlies law and practise should still be that of maximum freedom, that is: allowing the right degree of property and enforcement, so that positive freedom (incentive) and negative freedom (lack of obstruction) are in balance. As long as there remains profit in production, negative freedom is worth having. What's more, it's not worth trading freedom so as to ensure the security of the creation of wealth beyond a certain point. Besides, as you must be well aware, the connection between the abuse of freedom through copyright infringement, and the loss of income of artists is tenuous. It might affect the income flowing to music companies, though, but there are evolving far more efficient distribution mechanisms, that can give the artists more 'cake' in absolute terms, even though the whole cake is smaller. Think of the savings in eliminating wasteful administration!

No. The real issue is that of maintaining old business methods and practises. One that will keep certain sectors of industry in business, rather than protecting the creative output that is the economic purpose of these companies. The entire argument about "capitalism" and "communism" is a smokescreen for a far more old-fashioned and tradition argument: the special pleading of outdated industries against forces that threaten to displace then, which require convenient restrictions of freedom.

I know that it took me a few days to reply. I just didn't see the point. But this argument needs to be won again and again, for our conception of property is changing, in part because of the deliberate and systematic misuse of language by those who wish to keep more power to themselves, and their allies. Some of their allies are in government: quite apart from unholy alliances, there is the simple fact that governments, by their very structure, think like large companies, or rather, one set of bureaucrats is much like another, and so their natural instincts will be to protect what they deem to be "stability". Ie. restrictions of freedoms that appear to threaten the relevant establishments attempting to do what they see to be their job. They almost never think of the same outcome being brought about by other means.

My real interest in all this is in the matter of patents, rather than that of copyright. But both are important, and copyright has a wider interest, and (with the GPL version 3 specifically addressing DRM) appears to be very much an issue of the moment.

Footnote: Above, I should really be referring to the free market, rather than to capital; Capitalism is by definition the doctorine of property. Free-marketry is the general rule of freedom in the marketplace. I reverted the article heading, as I'd used "Capitalism" throughout, in the sense that a libertarian would use it, and the post of mine that I quoted cannot be edited.

Ps. DRM and the Death of Culture.

Ximian

Journal Journal: Grumble grumble MODs grumble grumble 4

Actually, I've just stopped grumbling.

Since I exchanged emails with CmdrTaco a while ago, re: posting with TOR, I've not had the ability to moderate.

But suddenly today, halfway through meta-modding, I was hit by a wave a relief: I'm not being held accountable! So: no more timid second-guessing, a neutral which should have been an anti, or up-modding ever-so-slightly funny comments. I can mod as I think!

And about time too. I've not punished conservatives, for example, but I've not hitherto rewarded them proportionally or properly punished their down-modders. I shall stop being such a wimp!

Please note: I resolve to continue in the same vein, even if I find my ability to moderate mysteriously returns. I will be accurate, not moderate.

And now, let us all watch the monkeys dance!

User Journal

Journal Journal: Straussian Text 7

After watching The Power of Nightmares, which refers to Leo Strauss's "compelling myths" (of nation and religion), I have been moved to take on Straussian thinking as I find it.

But I have to admit that I am fascinated by the concept of the Straussian text (para. six). Quoting the article:

"The key Straussian concept is the Straussian text, which is a piece of philosophical writing that is deliberately written so that the average reader will understand it as saying one ("exoteric") thing but the special few for whom it is intended will grasp its real ("esoteric") meaning. The reason for this is that philosophy is dangerous. Philosophy calls into question the conventional morality upon which civil order in society depends; it also reveals ugly truths that weaken men's attachment to their societies..."

To bring to mind two personal influences, I see the I Ching as a canonical example of this, and Nietzsche as the exact opposite. Or rather the same, but with a different end in mind.

First the I Ching: to many westerners, the I Ching is hocus-pocus. A book to consult as one would an astrological chart, or the tarot, and the source of many trendy concepts of harmony and resonance. But the I Ching is a Chinese text, and is a conservative work that appears to strongly endorce social norms and values. This is the exoteric meaning: harmony from conformity. But there is a deeper, more liberal strain within it: reading the text carefully, you see that this conformity is in fact how one gets ahead, and in positions of power, one is expected to be magnaminous and lenient. This is still a conservative order of society, though. As one traces things back to their sources, one finds that there is embedded a Nietzschian subtext: The Creative comes first, represented by the Dragon, a symbol of the power of genius. Throughout the texts are references to the forming of moral laws, and changing the laws and the standards... The sage is a creator of values; knowing how values regulate society, he actively designs them so as to regulate the masses, and that includes the Ruler's conduct...

Nietzsche superficially attacks the basis of morality within western society. He attacks Christianity using arguments that closely parallel libertarian attacks upon Socialism. He wishes to restore the individual, characterising a healthy society as one that can tolerate those superficially harmful to it, in fact developing a hardiness from such tolerance. He encourages self-expression, and the overturning of moral norms, that able minds should be creators of values, form and extend their own standards of good and evil. He does this because he believes that our values are in fact ones that are created by our rulers for their convenience. Christianity gets it in the neck for its encouragement of sheepish conformity. To Nietzsche, the genius should be regulated only by competition; monopoly power being the only excuse for tearing one down. The exoteric meaning of his text, then, is that of what, in popular parlence would be called "anarchy".

Esoterically, his philosophy goes far deeper, and converges with the I Ching. Nietzsche's "Overman" is a kind of sage; like the Taoist sage, he rises above arbitary value-systems, and even the desire to create particular systems. He reaches a point "beyond good and evil"; a kind of "objectivity". The Overman as an ideal induces creators of values as the second tier. Nietzsche writes for the teachers' teachers. He wants to restore the noble values that he feels that Christianity's collectivism has undermined, and indeed his work is well-read, and poorly understood. Perhaps this was the intention: Nietzsche is rejected by most as a rabble-rouser; a sign of teenage rebellion to be outgrown. Thus camouflaged, he coaches the next generation of intellectuals.

My own personal judgement is that Nietzsche failed: although he wrote forcefully and continuously against collectivism, his philosophy is written to induce a high, and appeals to (emotional) collectivists because of this. Dishonestly formed bastard children are the result of this: individualism is then suppressed as those not filled with revolutionary fervour are taken to be neo-capitalist spokesmen for received ideas. "If you disagree with me, you're not thinking for yourself". Nietzsche attempts to be beyond left and right. Sadly, to most, he only serves to deepen prejudice, since people convince themselves that their received views are their own, and it is their right as 'Nietzschians' to enforce them.

Maybe Leo Strauss has a point. You need to be careful of both the exoteric, and the esoteric content of what you write, and (presumably) say. I can certainly tell you that I wish I had, a few years ago!

Biotech

Journal Journal: On Evolution and Morality 21

In response to a .sig that I felt was simply wrong:

Real evolutionists get their morals from their biology textbooks.

I felt the need to respond:

Quick question: how do you deduce anything about morality from a physical mechanism?

Knowledge of underlying mechansims can help us to solve problems, but it doesn't affect the moral standards by which we judge our solutions, surely?

Besides, bringing up a moral dimension of evolutionary teaching is like saying that free markets cannot work because they rely upon people pursuing their perceived interests, which is morally wrong, so that they must not be believed to work.

Now I know that is isn't quite that simple, but penguinoid raised a different point: that evolution undermines religion. I should probably have pointed out that the Europeans don't view it that way, and in particular the Catholic Church, but instead I pointed out how atheists get to grow up to have meaningful values, as well as responding this:

First, your parallel is a bit off. The purpose of the free market is to use people's greed for the benefit of everyone, and I'm sure you will find that noone believes that people are all saints. What the free market does do is encourage such greedy behavior, by making it socially acceptable and outcompeting those that are not looking out for #1. This is indeed a moral issue with the free market, which should be taken into account when deciding if it is superior to the other alternatives. However, I am sure the alternatives have issues as well.

Well, briefly, the free market has no purpose. What could be a better illustration of the ID supporter's slides of thought?

All of this, I'm afraid, is another reminder of the increasingly prevalent view that language is reality.

Footnote: I was a bit hard on penguinoid (re: markets), as my language wasn't as precise as it could have been.

Nonetheless, more generally, the search for a first cause does have a tendency to infer meaning and intent from emergent "purpose".

The Almighty Buck

Journal Journal: Capital Flow is a Little Like Pagerank 1

In response to the front page story Search Engine Results Relatively Fair, I wrote this post, and, although it's far from my best post made on Slashdot, I think that the point that it makes illuminates the nature of the continuum between democratic "equality", through capitalism, to outright hierachy.

From my post:

...It's more like capital flow.

Here's how: the wealthy get to decide who receives their spending, and those people in turn decide how strongly to weight their suppliers' votes in the allocation of resources. This perpetuates through in a cycle that reaches a very rough, shifting equilibrium that very much resembles Google's "pagerank", IMO.

Compared with outright hierarchy, this kind of inequality is still going to appear relatively fair, but it doesn't measure up to equally weighted votes. That is, it isn't democratically fair. However, this, or at least some inequality appears to be essential to making useful discrimination, if you're going to use the "intelligence" of the web itself to do it. Ideally, the results would be based upon the quality of the content itself, no matter how obscure, but the artificial intelligence required to do that would be mind-boggling...

This need for extreme artificial intelligence is of course the reason why socialism has failed. But this is no reason to make this "intelligence" still more perfect. Every advance in such artificial intelligence would bring with it a corresponding reduction of freedom. And we would accept it: authority and convenience are seductive to mankind, as they avoid the need for us to do any real work, apply any judgement, in the course of our lives. Also, in attempting to bring artificial intelligence to the problem, we would be creating hierachy in any case, so the more "perfect" allocation of resources would be at the cost of what those resources are for: doing what we want in our lives.

Back to Google. Borrowed from BlackHat's old bio, a Google search that was wholly semantic should cause serious pause for thought.

User Journal

Journal Journal: Text of Complaint to the BBC 2

Dear Sir or Madam,

With regard to the article:
http://news.bbc.co.uk/1/hi/technology/4376470.stm

I know that this will appear to be a frivolous complaint by a "film
pirate", but it is not: I am concerned about consistent distortion of
the facts in favour of encouraging correct behaviour. This is simple
social engineering, and to lie by consistently interviewing people with
a particular interpretation of the facts which panders to their fears
and desire for control, however supported by reasonable moral feeling,
is not the business of a news site such as the BBC.

The research on the effect of file-sharing upon sales is in fact very
mixed: Look, for example at some of the results of this google search:

http://scholar.google.com/scholar?q=file+sharing+sales

The article that you wrote a few months ago reporting research that
"Music piracy 'does hit CD sales'", reporting on a report on the effect
of music piracy by (relatively younger and poorer) students:

http://news.bbc.co.uk/2/hi/entertainment/3995885.stm

Is countered by the observation at the conclusion of the below paper
that "the impact of file sharing on CD sales is negative for young
people, but positive for old people", continuing "My results strongly
suggest that file sharing does not have a negative aggregate effect on
CD sales, and certainly not a large enough effect to explain the current
decline in record sales". See part VI of this paper:

http://scholar.google.com/scholar?hl=en&lr=&q=cache:xRCZWBwil5EJ:www.princeton.edu/~eboorsti/thesis/Music%2520Sales%2520in%2520the%2520Age%2520of%2520File%2520Sharing.pdf+file+sharing+sales
Original PDF:
http://www.princeton.edu/~eboorsti/thesis/Music%20Sales%20in%20the%20Age%20of%20File%20Sharing.pdf

Further, whilst the article quoted a previous report, that original
report by F. Oberholzer and K.S. Strumpf was never reported by you
in the first place. Incidentally, there is no contradiction as you
originally reported, since the difference in conclusion is easily
accounted for in the selection bias of only analysing the effect of
file-sharing upon the purchasing habits of the young (students).

I know that the BBC is concerned about its own copyrights, but this is
surely not an excuse for consistent selection bias of this nature. If
anything, awareness of one's own interests calls for extra vigilance
upon your own part.

I have forwarded the text of this complaint to a friend of mine who
monitors the BBC for political bias, and also to my MP, David Howarth
(Lib Dem, Cambridge).

Yours Faithfully,

__________________________________________________

Footnote: My above-mentioned friend sent me a copy of this report
on systematic bias in the BBC's reporting on Europe.

The Matrix

Journal Journal: Matthew Parris on "glorifying terrorism"

We should expect the policeman's knock for what we do, not think

Matthew Parris

LIKE A DODGY auctioneer offloading family furniture in a distress sale, Charles Clarke fingers his hammer and moves from pile to pile of once-cherished items.

"Lot number 47: Ancient Liberties. Now what am I bid? Suspension of Habeas Corpus -- three months? Will anyone give me three months' detention without trial? The police tell me it's worth three months, but I'll take a lower bid to start us off -- yes, you there, sir, in the Liberal Democrat hat: still sticking at 14 days? Come on, let's get this sale moving. Have I no Tory bid? Downing Street's getting twitchy . . . six weeks, somebody -- a snip at six. Just 42 days -- they'll fly by in no time -- I'll swallow my pride and let it go at six. Going, going . . ."

But one item may prove impossible to shift: a new crime of "glorifying" terrorism. It won't have been Mr Clarke's idea to put people in prison for praising an idea. Home Office lawyers will have told him that it cannot be done and (one hopes) his instincts will anyway have been against the attempt.

No, there is only one possible source of this folly. The notion that you can make the world a better place by making it illegal to say nasty and dangerous things has the intellectual sloppiness, the headline-seeking shallowness, the philosophical carelessness and the creepy mix of the sinister with the sanctimonious, that marks it out as absolutely characteristic of our Prime Minister's mind.

When I was about 7, urged to say my prayers before bed, I came up with what seemed a succinct and catch-all formula. "Please God," I would whisper, "make everybody be as they ought to be and do as they ought to do." By the age of 10 it had occurred to me that my prayer did not do justice to the complexities of life, and I moved on. I rather think that Tony Blair is still stuck at this stage.

But enough of Mr Blair's mind. What of his idea? This is worth discussing, even though the likelihood is that the relevant section of any terrorism Bill will be shredded by the Lords and abandoned. Then Mr Clarke can tell No 10 that he did his best but the old fuddy-duddies threw it out.

The old fuddy-duddies will be right, but the fact that rationalists shelter behind a wall of ermine to defend Enlightenment values is a commentary on our times. The rules of what Mr Blair calls "the game" have not, as he suggests, changed, but muscles are being flexed in that purpose.

The easy way to fight the idea of speech-crime is to show why it will not work. No watertight legal definition will be found for the kind of terrorism whose glorification a Home Secretary might seek to criminalise.

I would not myself praise Archbishop Makarios, the Stern Gang, Jomo Kenyatta or even the perpetrators of the Boston Tea Party, but who seriously suggests that it should be a crime to glorify their struggles? Researchers more ingenious than I will find youthful speeches by the likes of Charles Clarke, Jack Straw, Peter Hain and probably Tony Blair too, glorifying terrorists. So the proposed law will include powers for government to "certify" past terrorist movements who may, or may not, be "glorified".

What madness is this? Are ministers and civil servants to work through history books, ticking boxes? Are we to have (retrospectively) approved terrorists? Truly, as Paul Flynn MP has said, under new Labour "only the future is certain; the past is always changing".

Nelson Mandela, the Free French Resistance, Ho Chi Minh, Fidel Castro, Abdul Nasser, the Easter Rising . . . oh, what's the point? No wonder Mr Clarke is talking about a 20-year "cut-off" point before which we should be able to praise terrorists. That takes us conveniently back to a time after he and Mr Blair left university. But what is he saying? That we should be able to praise Mandela now, but it should have been illegal to praise him them? There are a hundred struggles, a hundred leaders, some good, some bad, in which terrorism has arguably played a part. Arguably. We have to be able to have the argument. People have to be able to make the case for terrorism as an agent for change, and (arguably) change for the better in history.

A year or so ago I argued, on this page, that in a world where a giant superpower was ready to use either crushing conventional military force or the threat of nuclear annihilation against small countries, the rest of the world might as well give up tanks and fighter-planes and take refuge in combination of the greatest and the least: independent nuclear capability at the top, and a capability for bloodthirsty insurrection on the streets. Around the same time Jenny Tonge, then the Liberal Democrat spokesman, declared that if she were an impoverished Palestinian she might have reacted as Palestinian terrorists have. Either or both of these statements could plausibly be represented as "glorifying" terrorism; they were intended to invite sympathy for this method of resistance.

Because I am a Times columnist and Dr Tonge was a parliamentarian, we should have been unlikely to be prosecuted. But if less mainstream voices are to be threatened with imprisonment for saying similar things, their counsel will not be short of evidence for their defence. Were Mr Blair's idea to become law, only minutes would elapse before George Galloway tested that law by glorifying terrorism in Commons debate. If parliamentary privilege were to cover such speeches, Mr Galloway would repeat his on the streets of Bow. The effect would be wholly counter-productive. Such thoughts must haunt the Director of Public Prosecutions.

So it will not do to say, as poor Vera Baird, Mr Clarke's parliamentary private secretary (her boss being unaccountably unavailable) tried to on Newsnight on Thursday, that "surely we all know what we mean" by the type of speech being targeted. Some legal nets have to be bigger than their intended catch, and goodwill and common sense may remedy the imprecision. But here goodwill will be absent. People will be actively seeking prosecutions. This law will never work.

So it will not pass. But I said above that the easy way to resist it was on practical grounds like these. Where, however, one's real objection is in principle rather than in practice, the easy way is not the most honest.

So now for the hard way. I object to creating speech-crimes even if the legislation could be tightly drafted and made to work. I object to the banning of ideas, theories or arguments. I object to the prohibition of sentiments. Difficult as the boundary is to mark or police, I see the line between thought and action as absolutely central to the rule of law in a liberal society. Good law ties hands; it does not stop mouths or minds. It is for what we do, not what we think or say, that we should expect the policeman's knock.

Of course words may lead to actions. Of course thoughts can be incendiary. Of course shouting "fire!" in a crowded theatre is behaviour with direct consequences. But somewhere a line must be drawn between willing things and doing things, and how we draw that line is what defines us as believers -- or not -- in freedom of conscience. The Prime Minister's disregard for this most important of distinctions is deeply troubling.

In my Britain a man or woman is free to say they admire a terrorist and support his aims, but not to offer any practical support to him in his work. The difference is fuzzy and we are doomed to agonies of indecision about the marshy ground which lies between taking stands and taking part, but how we negotiate that marsh, and whether we think it matters, is what marks us out as caring about individual liberty.

I don't think Tony Blair cares. I doubt he even recognises the problem. For this he should not be forgiven, and never be trusted. Charles Clarke, who knows better, should feel ashamed to have anything to do with this measure.

Lord of the Rings

Journal Journal: Hayek is right. Friedman is wrong 3

I just found an article by Milton Friedman on the web.

Here's where Friedman makes his mistake (typos are in the linked text; emphasis is my own):

Of course, the corporate executive is also a person in his own right. As a person, he may have many other responsibilities that he recognizes or assumes voluntarily-to his family, his conscience, his feelings of charity, his church, his clubs, his city, his country. He ma}. feel impelled by these responsibilities to devote part of his income to causes he regards as worthy, to refuse to work for particular corporations, even to leave his job, for example, to join his country's armed forces. Ifwe wish, we may refer to some of these responsibilities as "social responsibilities." But in these respects he is acting as a principal, not an agent; he is spending his own money or time or energy, not the money of his employers or the time or energy he has contracted to devote to their purposes. If these are "social responsibilities," they are the social responsibilities of individuals, not of business.

Note: I use 'he', rather than 's/he' below for simplicity, and because Friedman does.

Although the executive owes the owners of the business a duty of honesty, he does not lose his identity and values as an individual. Just as you cannot contract to be a slave, so it should not be possible to contract out of the exercise of one's moral judgement. He should therefore refrain from actions that he feels to be wrong, and make a serious effort to engage in what he feels is right. He should act responsibility with the company's resources, but use them in a manner that he finds to be humane. His moral judgement extends further than whether to work for a company or not: there isn't enough choice to be able to choose work that is entirely aligned with one's values.

If the business's owners do not like the executive, then they should choose another, or else run the enterprise themselves. If however they believe that they are hiring someone to use their judgement, rather than just their time and energy, they will have to accept that their own judgement will sometimes differ. The integrity of a corporation as a viable entity is not a separate concern from the ethics by which it is run. Apart from anything else, goodwill can win co-operation is surprising places. For one to have to enumerate them in advance is actually an error made by statists more than free-marketeers.

But I am wandering a little off-topic. Even if on occasion the business is run in a way that diverges from the owners' real interests, the owners' legitimate interest is to pick that executive, or another. It is not legitimately their right to pick the best, and coerce them to be better still by their own measure. If they demand that, they are not hiring a man to act as the company executive; they are hiring a part-time slave, which is not their right.

[ . . . ]

In each of these cases, the corporate executive would be spending someone else's money for a general social interest. Insofar as his actions in accord with his "social responsibility" reduce returns to stockholders, he is spending their money. Insofar as his actions raise the price to customers, he is spending the customers' money. Insofar as his actions lower the wages of some employees, he is spending their money.

The stockholders or the customers or the employees could separately spend their own money on the particular action if they wished to do so. The executive is exercising a distinct "social responsibility," rather than serving as an agent of the stockholders or the customers or the employees, only if he spends the money in a different way than they would have spent it.

But if he does this, he is in effect imposing taxes, on the one hand, and deciding how the tax proceeds shall be spent, on the other.

The analogy fails: it does so because the force of competition is still intact, both between companies, and in-between potential executives. The 'tax' is simply the cost of choosing an executive with one set of values over another. The owners are free to choose another executive, so to present it as a tax (which is involuntary) is a false analogy.

And so I move onto why Hayek was right. Hayek did not argue like this. Hayek instead argued that the forces of competition limited the powers of those who would abuse it, in contrast with politicians who remove the regulatory power of competition to give themselves monopoly power, and then pretend that they've simply moved the locus of power from the hands to capitalists to those of democrats, when in fact they've created monopoly power where there was none before.

Here we see that Friedman would like to enforce behaviour upon the executives through law so as to defeat the forces of competition, rather than rely upon those forces to regulate the market, and it is this that makes Friedman a right-winger, rather than a libertarian.

Businesses

Journal Journal: The British Gov't don't know the meaning of "externality"

Proof

The government don't seem to realise that exclusive "sponsorship" is likely to reduce the aggregate benefit of the London Olympics to Britain. As government, they should really be looking to aggregate effects rather than specific revenue streams.

This kind of policy making is very clearly the result of those who understand the concept of spending (and the need to raise revenue), but not investment (and the need to allow the recipient{s} freedom to realise the value of that investment). I suspect that love of the concept of property, and in particular "intellectual property" is behind this.

Articles like this one will, in time, have their effect, but the politician's love of the concrete blinds them again and again to the systemic, and this appears to be the latest instance of this.

PC Games (Games)

Journal Journal: Breakout!

Just a bit of silliness.

I have created a level set for LBreakout2, an Arkanoid style game (bounce balls against bricks to destroy/diminish them; clear the bricks on one level to get to the next), and here it is! (GPL-style licence, etc, etc).

Just place in your ~/.lgames/lbreakout2-levels/ or <INSTPATH>\lgames\lbreakout2-levels directory to try them out.

Enjoy!

The Courts

Journal Journal: Eminent Domain - Compulsary Confiscation of Property 3

There is a big problem with the concept of governmental confiscation of property. It appears to be a necessary evil, but it troubles me nonetheless.

I have written before about the nature of property, where I conclude that property isn't an absolute right, and yet such confiscation bothers me very much. I can see that there are alternative uses for property that are of benefit to all, but how do we justify one development over another: profit comes as a result of meeting peoples' needs, so it's irrational to exclude that. So maybe that the development has to be in one place rather than another, or that it meets needs that are seen to be higher, rather than simply more extensive, by popular consensus.

In any case, the degree of compensation is too low. l2718's excellent post 'What does "own" mean now?' raises this point: the "market rate" is neither the value to the seller, or the buyer; by believing the market rate to be somehow "correct", rather than emergent, we are guilty of collectivism. I have raised the fallacy of the market rate on an earlier occasion. The monetary value to the typical tenant is in fact likely to be higher than the market rate, as the surplus value is what caused them to move in in the first place, and indeed causes them to stay. Indeed, the value of their property is likely to go up in time as they build a circle of friends on the basis of where they live. The buyer is themselves likely to value the property more highly, as they wish to use it profitably!

What I'm really saying is that the true market rate is not the "market rate" to be deduced from existing, voluntary trades, but is in fact higher than that, and perhaps ideally, the value to the tenant should be paid, as a minimum. The trouble being that there is an immediate moral hazard if we attempt to determine the rate that tenants are willing to accept by asking them. On the basis of this, the government could perhaps initiate a policy of voluntary purchase wherever possible (eg. when there is more than one place for an amenity to go), with the goal of attempting to judge what people are willing to accept, and which factors (including existing market rates) play most strongly in the decision. By having backup choices, there is less risk of moral hazard. If a simple heuristic appears to do the job for (say) 95% of the population (eg. "market rate plus 40%"), then that should be the money value paid for future compulsory purchase orders.

Any thoughts?

PS. 1 2

User Journal

Journal Journal: Email to my MP regarding copyright 16

Dear David,

        This is not an issue that affects me as much as software patents do (by
a long way), but I feel that the same fundamentalist propertarian stance
underlies it; it might affect me a good deal more were I a musician.

http://www.timesonline.co.uk/article/0,,2087-1641428,00.html

        There are two things here of note. First, the government, like all
extremists, has failed to perform a cost-benefit analysis on the
proposal to extend copyright on existing work, so as to raise further
revenue for the existing music industry "so that the record companies
can plough money back into unearthing new talent". The cost of such
copyright was clearly shown by the mass campaign of civil disobedience
that constituted Grey Tuesday.

http://www.greytuesday.org/
http://www.firstmonday.org/issues/issue9_10/howard/

        Once more, the language of "incentives" ,"investment", etcetera is
blinding us all to what wealth really is: creativity on the ground
rendered into real goods. Wealth is not synonymous with profit, but I
am sure that I am teaching you how to suck eggs here. Besides, there's
a good chance that greater wealth will create the opportunities for
greater profit in as yet unforeseen ways.

        Quite simply, government policy appears to be to create artificial
scarcity, so that a few future acts can be picked for us on our behalf
by the music companies, where they could instead be allowing songs to
fall out of copyright, and thereby encouraging reuse and
reinterpretation of the underlying ideas, and surely thereby creating
new wealth, especially since it is now a good deal easier for a band to
market itself with the advent of the internet.

        My motive for writing this is really that of frustration with the
Establishment's economic incompetence, confusing, as ever, the interests
of incumbents with future creativity, whether in software, or (as is the
case here) in the case of music. I would have hoped that by now,
government would have matured to the point where making such an error
would be evidence of serious corruption, but I fear that it is economic
incompetence, instead.

        Yours sincerely,
--
I forgot to write the second "thing of note", or rather, I decided not to put it in. Sadly, it remains referred to in the text of my letter. I decided not to put it in, for I wished to come across as a moderate, rather than as the radical that I am.

It was simply to ask whether the government should be putting taxpayer's money into an industry problem that isn't an economic problem.
--
Follow-on email...

Hello again, David,

        Further to my previous email, I though that I would send you a further
link. Vivendi's behavior in the takeover and selling on of mp3.com
reveal that far from wishing to promote new acts, the large music
companies will do what they can to inhibit the development of
independent music. Further cash being funneled to these companies is
as likely to be spent inhibiting creativity as funding it. It is not a way
to develop new talent.

http://www.dubroom.org/articles/0009.htm

        Yours etc.,
--
Footnote: it appears that MP3.com's president was a bit of a plonker.

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