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comment by b_b
b_b  ·  3936 days ago  ·  link  ·    ·  parent  ·  post: Kartik Agaram: From Cognitive Biases to Institutional Decay

    A conservative regards history as full of examples of functioning societies that, for some reason or another, suddenly fell apart. Since the reasons for these failures are illegible, any kind of change is to be avoided, since we have that most precious of things: a stable, prosperous, free, safe society. While our society is not absolutely stable, prosperous, free, and safe, it is historically all of those things, and there are a lot more ways to break it than there are to fix it.

What if it's not stable, though. What if societies are only metastable, which I think is far more likely. Metastability, for the uninitiated, is a situation in which forces can be balanced, but that perturbations in the system tend to grow with time, whereas in a truly stable system, perturbations decay with time. In the classic example, a ball at the bottom of a hill is stable, because if it is knocked a little to the left or right, it will fall back to its original spot. However, a ball at the apex of a hill is still forced balanced, but any bump, and it's never going to spontaneously return whence it came.

Similarly, I think we would have a hard time arguing that our society is actually stable, although the analogy with pure physics might be a bit thin. Perhaps this is one reason that our institutions degrade over time. They need constant nudging back to the top of the hill, so we get layers upon layers of bureaucracy to keep the ball in place. Same thing with, say, support for the poor. Wealth is out of their grasp, so we invent complex institutions to make sure they stay above water. The situation not only son't be, but can't be, fixed organically, because it is energetically unfavorable.

So, eventually, we run out of gas, and the ball rolls to the bottom of the energy well. How fast and how hard it falls depend on how much energy it too to prop it up in the first place. The Soviet Union, for example, only lasted mere decades, because it was a contrivance that required bureaucracy, brutality and relentless spying just to keep the whole thing duct taped together. The United States, on the other hand, has basically developed on its own, although in recent years has required a lot more top down maintenance to keep afloat. I think, however, collapse is not just likely, but inevitable, no matter what the system.





akkartik  ·  3936 days ago  ·  link  ·  

Oh yes. A sentence that ended up on the editing floor:

    Change happens; avoiding it amounts to sticking one's head in the sand.
b_b  ·  3936 days ago  ·  link  ·  

Anyway, I think you have the start of an interesting look at institutional failure, and I look forward to reading the next installment. Personally, I think a huge part of the problem, and what I would like to see explored in greater detail from journalists who cover government, and especially budget fights is this:

    As people shy away from the complexity, control is gradually ceded to a small coterie of insiders who grow more fluent with the complexity and increasingly (first unconsciously, later deliberately) work to maintain a ‘moat’ around their influence. This is how our institutions get captured: insensitivity to low ownership, being seen as an externality and oh-so-gradually creeping complexity. To round out the toxic cocktail, capture gives insiders further incentives to deliberately make rules more complex and inaccessible to latecomers.

We always hear of lobbying from without, but rarely of lobbying from within, an equally toxic problem. Moat building, as you call it, tends to crystallize bad policy, which leads to even more top down control being required to keep the lights on.