Constantine Sandis and I have completed The Skin in the Game Paper, with derivations.
Nothing new for the members here but we placed it withing the philosophical traditions, particularly in what relates to moral luck. And we added mathematics to balance philosophy, with 2 (small) mistakes that Carl Fakhry Kimos (or another member here) will find within 24 hours.
Skin in the Game as a Required Heuristic for Acting Under Uncertainty by Constantine Sandis,…
We propose a global and morally mandatory heuristic that anyone involved in an action which can possibly generate harm for others,
via Constantine Sandis and I have completed… – Nassim Nicholas Taleb | Facebook.
A breath of fresh air – this is what the layman feels when millenary human experience named “common sense” is being expressed out loud by lovers of “sophia”. I find it also significant that the paper is the joint cooperation of philosophy and mathematics (economics). People having least important occupations (that is, impacting the least number of individuals) are being directly affected or held responsible for the quality of the work they deliver to others, so why shouldn’t the same hold true for those whose decision power affects masses globally??
Whether it is rooted in an attitude of Olympian over-detachment from the reality of all of us, or be it due to utter incompetence, people in power should burn their skin too, from economists to scientists and politicians.
What about the 2010 Reinhart-Kennedy Excel formula that it is said to have served as basis for the austerity programs all over Europe? It is revolting that in our times things are still being hushed up, no questions asked,while human lives get to be deteriorated for ever.
Some basic common sense should be reinstated, if it were just in the very interest of those who would always want to be at the gaining end. Accumulation of too much wealth and/or power at one end is weakening, or causing disability at the other, so that eventually the feed-back loop would stop producing, thus placing their own interests in jeopardy – like any other system-organism, society suffers for being parasitised. Even in conditions of uncertainty or total obscurity, there are natural mechanisms that work for a while in one direction then invariably will shift. It is the “Black Swan” effect: stress and contradiction bring in the chaotic conditions, the disorder and the upheaval that cause revolution and reform. Any string has its maximum limit of elasticity, over which it snaps.
Thank you, professors, for voicing out these absolute truths in the competent way that you do, and may this millenary wisdom (re)spread globally!