Information hiding in random variable and tight belt in economic system
November 26, 2007
This is a complaining post, I succed well in complaining, maybe it is a part of the culture of Genova.
The title is divided in two parts, with a common feature, common citizen is cheated by companies or state. Information hiding in random variable is a very simple concept, suppose you go to your bank and buy some of their product, that is sell with the random bonus, that is ‘probably we will give you back more money’; then after some year you came back and they give you exactly the same money(so you lose a bit), saying that you have been unlucky. The problem is that you may really think it is true because it was a ‘random’ bonus, but a random variable has a mean and I would not be surprised if every year for every ‘random’ thing the mean is always a little shifted in favour of the big company.
But how much can it be shifted? So we see the second topic of the title, the tight belt. In our economy it is not possible to be happy or quiet with money, we will always be a little complaining, why? Well, I do not see big companies interested we are happy, the only thing is we are no sad about them. Now imagine that in a room an employer of a bank is deciding an extra tax for citizen, it is ‘extra’ because the bank does not need it, but it happens that customers are happy with the bank! What a shame, they have no choice other than this bank! Why not stealing them 100 euros… too much, what about 20… yes, now they will be less happy, but not enough for leaving the bank…
Obviously this thing may happen for every price decision process, that is starting from above and then thinking if customers will accept the price. Between the variables there is also our happiness and a little complaining is a lower bound…
[16/12]: after watching this part of the video of story of stuff I realized that the tight belt principle is applied also to natural resources, that is that as long as people do not complain valuable and not renewable resources, like petrol, are squandered for bringing us to our holyday house, does have a meaning we pay for petrol? I do not think so, it is without any reason that we sell petrol, we are burning up our planet . I see only a reason for the single type of money economical system: we are too stupid for organizing ourselves and so accept the self organizing structure, on the other side it is one of the main and old natural social structure: the survival of the fittest. It is important to notice that the main characters of these changings are not humans! They are economical structures, an economical structure is a machine that take as input a bunch of money, human time, resources and produces something that is converted in other money, and waste, of course. I personally think that there is no direct solution, it is true, on the other side, that our technologies and engines are very advanced with respect to our society structures and knowlede of our psychology. Right now I think that all we can do is to keep information as more clear and available as possible, McLuhan said ‘the medium is the message’, we should try to ignore the medium and concentrate on the content, content, content, content, CONTENT. Lazyness of thinking is the same as being stupid.