Tag Archives: economics

Economist pride (Italiano)

Inutile negarlo: noi economisti non siamo simpatici alla gente. La nostra disciplina è soprannominata “la scienza triste”; veniamo accusati, in modo più o meno velato, di complicità con i peggiori eccessi del capitalismo di rapina; alcuni dei più famosi e rispettati esponenti della professione si sono visti affibbiare dalla stampa soprannomi da supercriminale dei fumetti, come “Dottor Destino” (Nouriel Roubini) e “Il Cigno Nero” (Nassim Taleb). Non mi risulta che questo succeda ai linguisti o agli astronomi.

La scienza economica, proprio come la scienza in generale, ha i suoi scheletri nell’armadio: posizioni ideologiche a cui è stata data una copertura di pretesa oggettività; previsioni completamente sbagliate; prescrizioni di politica economica che hanno causato molta povertà e sofferenza. Ma altrettante sono state le vittorie intellettuali, le invenzioni straordinarie, i contributi di valore alla prosperità umana. A mio modo di vedere, questo dualismo è inevitabile, perché l’economia politica nasce da una costola della filosofia morale: Adam Smith, da molti considerato il fondatore della disciplina, scrisse una Teoria dei sentimenti morali a cui teneva almeno quanto alla più famosa Ricchezza delle nazioni. E la filosofia morale non è un pranzo di gala: è un campo in cui devi fare scelte terribili ad ogni passo. Libertà o eguaglianza? Meritocrazia o sicurezza? Come i Cavalieri Jedi di Guerre Stellari, i filosofi morali e i loro cugini economisti sono sempre esposti sia al lato luminoso che a quello oscuro della Forza.

Di recente mi è capitato di leggere Towards a General Theory of Consumerism: Reflecions on Keynes’s Economic Possibilities for Our Grandchildren (in questo libro) di Joseph Stiglitz e Governing the Commons di Elinor Ostrom. Stiglitz usa da maestro la teoria neoclassica per illuminare un problema su cui si riflette troppo poco, e cioè il perché, pur potendoselo permettere, le società moderne non scelgano di lavorare meno, rinunciando a un po’ di consumi in cambio di tempo libero. Tra le altre cose, Stiglitz mostra come semplicissime estensioni del modello standard conducano a ribaltarne le previsioni: per esempio, in un modello a due settori non è necessariamente vero che l’aumento del salario in un settore conduce a una riduzione dell’offerta complessiva di lavoro. In me questo suscita ammirazione per la potenza e la flessibilità del modello e un certo imbarazzo nel riscontrare quanto male venga utilizzato nella discussione comune.

Ostrom racconta gli sforzi di diverse comunità umane, dalla Svizzera alle Filippine, nel coordinarsi per gestire in modo sostenibile risorse comuni come tratti di mare pescoso, foreste o sistemi di irrigazione. Successi, fallimenti, episodi di auto-organizzazione e tentativi di riforma dall’esterno sono analizzati con rigore teorico, potenza esplicativa, radicalità, empatia.

Joseph, Elinor: grazie. Questa è l’economia del Lato Luminoso, quella che volevo studiare da ragazzo e che mi rende orgoglioso di essere, nel mio piccolo, un lontano parente dei grandi pensatori come voi. Se organizzate una parata per rivendicare l’orgoglio di essere economisti – un po’ sul modello del Gay Pride, che ha funzionato bene – contate su di me.

Economist pride

There is no denying that we economists are hardly everyone’s favorite characters. Our discipline is known as “the dismal science”; we are accused, in a more or less implicit fashion, of supporting the worst excesses of rogue capitalism; some of the most senior and best known members of the profession are known by the media with comic books supervillain nicknames like “Doctor Doom” (Nouriel Roubini) or “The Black Swan” (Nassim Taleb). This does not happen to linguists or astronomers.

Just like science in general, economic science has its share of skeletons in the closet: ideologies that were given a coverage of objectivity; wildly off-the-mark forecasts; policy prescriptions that failed to prevent, and even caused, much suffering and poverty. But just as many were the intellectual victories, the extraordinary inventions, the valuable contributions to human prosperity. I think this dualism is inevitable, because political economy is the offspring of moral philosophy: Adam Smith, that many regard as the father of the discipline, wrote a Theory of moral sentiments that he cared for just as much as for the more famous Wealth of nations. And moral philosophy is no walk in the park: it is a minefield, in which you have to make terrible choices with every step you take. Liberty or equality? Meritocracy or stability? Like Jedi Knights in Star Wars, moral philosophers and their cousins, economists, are always exposed both to the light and the dark side of the Force.

Recently I chanced to read Joseph Stiglitz’s Towards a General Theory of Consumerism: Reflecions on Keynes’s Economic Possibilities for Our Grandchildren (in this book and Elinor Ostrom’s Governing the Commons. Stiglitz deploys standard neoclassical theory like a true master to illuminate a problem we don’t think enough about: why is it that, though they could in principle afford to, modern societies do not choose to work less, exchanging some consumption for leisure time. Among other things, Stiglitz shows how elementary extensions to the standard model lead to reverting its result: for example, in a two-sector model it is not always true that increasing salary in one of them leads to an overall reduction of labour supply. To me, that inspires awe for the power and the flexibility of the model, and not a little embarassment for the unsophisticated way it is often wielded in common political discourse.

Ostrom tells of the efforts of several human communities, from Switzerland to the Philippines, in coordinating to manage common resources like fisheries, forests or irrigation systems. Successes, failures, institution provision through self-organization and reform attempts from outside are analyzed with theoretical rigor, explanatory power, radical thinking and empathy.

Joseph, Elinor, thanks. This is the Light Side economics, the one I wanted to study as a young man and that makes me proud of being somehow related to great thinkers like yourselves. If you organize a parade to affirm the pride of being economists – modeled on the Gay Pride, which seems to have worked well – you can count on me to show up.

Dragon Trainer begins

Good news: a research project I helped to write has been approved for funding by the European Commission’s Future and Emerging Technologies program. The project is led by one of the scientists I admire the most, David Lane, and rests firmly in the complexity science tradition associated to the Santa Fe Institute. We intend to attack a big, fundamental problem: innovation is out of control. Humans invent to solve problems, but they end up creating new and scary ones. Which they tackle by innovating more, and the cycle repeats itself. Cars improve mobility, but they come with global warming and the urban sprawl. Hi tech agriculture mitigates food scarcity, but it also gives rise to the obesity epidemics. To quote one of our working documents:

While newly invented artifacts are designed, innovation as a process is emergent. It happens in the context of ongoing interaction between agents that attribute new meanings to existing things and highlight new needs to be satisfied by new things. This process displays a positive feedback […] and is clearly not controlled by any one agent or restricted set of agents. As a consequence, the history of innovation is ripe with stories of completely unexpected turns. Some of these turns are toxic for humanity: phenomena like global warming or the obesity epidemics can be directly traced back to innovative activities. We try to address these phenomena by innovation, but we can’t control for more unintended consequences, perhaps even more lethal, stemming from this new innovation.

We want (1) build a solid theory that concatenates design end emergence in innovation and (2) use it to forge tools that the civil society can use to prevent the nefarious consequences of technical change. It does not get any bigger! And in fact we got a stellar evaluation: 4.5 out of 5 for technical and scientific excellence and 5 out of 5 for social impact.

The project commits to building Dragon Trainer, an online community management augmentation software. The idea is to make a science of the art of “training” online communities to do useful things (like policy evaluation), just as you would train an animal too large and strong to push around. I am responsible for producing Dragon Trainer, and it is quite a responsibility.

I am superhappy, but worried too. Taxpayers foot most of the bill, and this makes it even more imperative to produce the absolutely best result we can. I will need to work very, very hard. I am seriously thinking of devoting myself to full time research for a couple of years starting in 2012. Does this make sense? What do yo think?