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*THIS POST IS BY STIRLING NEWBERRY*
A great deal has been written about the Theory of Games, but unfortunately, most of it is wrong: it doesn’t accurately represent what the theory means for economic and biological behavior. Some who write about game theory have taken a course in game theory and are honestly trying and are honestly trying to explain the idea that everything can be explained by game theory. They just don’t understand it well.
But some are more pernicious in their intent: they know that Game Theory does not actually make the point they want to make, but they know very few people will be able to catch the rather subtle intricacies on which their misleading theory rests.
There are also blunders that great human will make because of a blind spot in their thinking: Linus Pauling is one behind step behind us, laughing as he does so. (He made some errors in the structure of DNA, which amused everyone, especially when Watson and Crick’s very soon afterward got the structure right, with a great deal of help from Franklin’s x-ray pictures).
Game theory started with John von Neumann’s proof that mixed strategy equilibria could be to collapse down to at least one point. He originally did this using using a topographical proof know as the Brouwer fixed-point theorem. Eventually Nash expanded the theory include any number of players and describe what is now known as a Nash equilibrium.
This much you can learn with a few Wikipedia searches.
If one starts reading, one is soon introduced to the “Prisoner’s Dilemma”, which was one of the early games because of its application to real-world problems. In the simplest case, there are 2 players and they are caught, but the prosecutors do not have enough evidence to convict them with a confession. So the prisoners are separated and each of the same deal: if you rat on the other person, he will take the blame. What the prosecutors are hoping for is that each one will rat on the other, and they can get both.
So there is a two-person game, but which is set up by a 3rd person to get the information that they want.
But if one thinks about it, there is a fourth looking at the running of both games, and they will find out that loosely connected criminals will do as they expect: the two finger the other person. But in tightly knit communities with a deep commitment to crime, the 2 players will shut up, serve the much lesser sentence, and go free. This is because one of the goals of the prisoner’s dilemma does not apply: the 2 criminals had already said, and were committed to, not talking if they are captured.
So a 2 player game, becomes a 3 player game (prosecutors), becomes a 4 player game (politicians) becomes a 5 player game (criminal underworld world). This is the part of being a real game theorist: imagining a game, and asked whether a new dimension could be introduced by taking a set of people who are betting on the game itself.
It also points out a very necessary thing about game theory: it often does not produce the optimal set of outputs, but the pessimal series, the least worst position that a player can get. This is why, in game theory, one usually solves backward – take the last step, and then the next to last step, and so on.
One of the other core concepts of game theory is also on display here: to find out if one player has a dominant strategy, that is one play which will lead to the best outcomes whatever choice his opponent makes. The dominant strategy does not produce the best outcome, merely the best outcome given that the other player will accept. That is why the word “pessimalization” (not pessimization) is used certain groups of people, to emphasize that it is the best possible worst outcome.
Going forward, for future posts, I will post on real topics, and I will imagine that the people involved are expert players, or they can get hold of some. These topics will include Brexit, Climate Change, Trump and other problems with rational outcomes, though a great number of people do not want the rational outcome to happen. This too has a game theory solution: change the rules.
(This article is by Stirling Newberry)
The election was not stolen, but it was massaged. A majority of the voters in the United States preferred Hillary Clinton over Donald Trump, but that is not the way the election was decided. If we, the people, of the United States want a different system, then there are steps to get one. First we have to look back at the election of 2016, and see the many different avenues that converged to allow Donald Trump, who clearly did not win the majority of votes, to nevertheless claim the presidency. Again these are not suppositions, but facts that have two be dealt with, or in the future they will be used the same way to get a minority president. Remember that several times this has happened, and in some cases a good president has won out; for example, Lincoln won with only 40 percent of the vote.
It is also not the case that Trump was the only factor; this is why it is a constitutional crisis, but one that the elites can ignore, because they have the wherewithal to weather the storms, whereas a large number of the populace does not. In Rome, they called the elites “patricians,” and the populace were called “ plebes,” and it may be useful to recognize that in American society we are not that much different from Rome, but that there are important distinctions. Or as Orwell once wrote, “All animals are equal, but some are more equal than others.”
The Division of the People
In a democratic government, all votes should be equal. Thus, the first step towards making an undemocratic government is to divide the people, so that the vast majority of them do not really have an effective vote. This is true for the majority of people in the United States–so much so, that it is part of the primer on presidential elections. A Democrat in Wyoming or a Republican in New York might as well stay at home, for all the good their presidential vote means. It will be counted, but it does not mean anything. It is, for all intents and purposes, a wasted vote.
What matters is that there are more wasted votes on one side than the other, and again, this is part of the system; states, not people, decide an election. In 1787, the states–not the people–were the ultimate arbiters of the presidency (this was modified by the 12th amendment, but still had the same thrust). This has remained true even though we would like to think that the people elect the president. And in most cases they do, but there are exceptions.
In the five times a popular vote winner has lost the presidency to another, the first time, in 1824, was different. In that election, no candidate attained a majority of the vote. Jackson won a plurality of the electoral college, and was also the winner of the vote, but it was John Quincy Adams who took the presidency, because if no one had won the presidency through the popular vote, the election was thrown into the house of representatives, which voted by state. The other four times however, 1876, 1888, 2000, and 2016, the situation was much clearer. While the winner of the popular vote may not have commanded a majority, in each of those elections, the president-elect commanded more than the winner of the electoral vote system.
In fact, in 1876, there was a case of the presidential vote being “massaged.” On election day, the polls opened, and when they closed, Democrat, Samuel J. Tilden seemed to be elected president. But a single man looked at the results differently. That man is Daniel Sickles, and he is now no more than a forgotten footnote. But at the time, through sheer force of will, he pushed the 1876 election to a crisis point.
While there are many versions of this story, the upshot was that the election was not decided by constitutional means. The result of this constitutional crisis resulted in the passing of a law which would decide the presidential election. The law formed a 15 man committee, and that committee decided eight to seven in favor of the Republican, Rutherford Hayes, as the winner of all 20 disputed electoral votes. In reality, several of the states’ votes would not be treated “fairly” as we would define it, in that several decisions were made by an elected official, who somehow managed to make a decision which was in accordance with their party. Eventually, this incident heralded the end of the Reconstruction Period (the period during which Southern Confederate states were brought back into the Republican union).
In the past, there have been constitutional crisis points, this is not the first. But while these crisis points can happen, they require a spark – both a running spark and an ignition. Or to put it another way, there is an argument between the people deciding the Presidency, and the states deciding the presidency.
And 2016 is such a point.
The Deep Background
First, an election like in 2016 does not occur in a vacuum. The election of 2000 also featured an indecisive result. The important thing to remember is that if the result is thrown to the House of Representatives, the inevitable result is a Republican victory. This is because the result is not based on “one representative equals one vote,” but one state equals one vote. That is to say, Alaska has the same weight as California. Thus, the pressure on the Democratic Party must be that the election was decided by the popular vote, or George W. Bush would win any contest in the House of Representatives.
But there was a hidden feature: The Republicans had rigged the vote through a variety of means, and they knew how it was done. But the Democrats did not have this information, so they had to guess which votes in Florida needed to be recounted, and they guessed wrong. The result was decided in the US Supreme Court as Bush v. Gore. While the people thought that the election was theirs to decide, in actuality it was between the Democratic presidential candidate and the Republican presidential candidate. The difference is that if the election was the People’s to decide, every length to correctly determine the winner would have been pursued. As in this case, it was a struggle between the two presidential candidates, thus, there is an agreement, and that agreement will be rubber stamped by Congress. The agreement, though never put in to words, was that the Democrats would have one chance to contest the election in Florida, and no more than that.
Gore thought that counting the “undervotes” would be enough. But in fact there were three sets of problems with the ballots. The first was that Florida was run by Republicans, and officers of the Republican party would often go into a county election board, and would fill out Republican voters absentee ballots. In one case, some 5000 of these ballots were submitted. The problem with this from the Democratic party, is that these votes were all legitimate, and one could say that the Republican party was correcting the voting rolls. And this is true in so far as it goes, thus these votes were counted. The problem is that Democratic votes were not counted, and thus Democratic voters had no such help in getting their absentee ballots counted.
The next problem was with “undervotes.” These were ambiguous votes which could not be decided by machine. Much of the time, the voter had made a clear decision, but often it was the voting equipment was unable to determine what the decision was. In Florida, the “under votes” needed to be counted by hand. This gave rise to an additional problem: There were multiple kinds of voting equipment. So in one county, one vote would be registered, and in the next county over, one would not be recorded. The problem is, “How do you know?” and in many cases, it comes down to a point of diminishing returns. If a human vote counter cannot tell, then a vote should not be counted. When totaling up the human counted total, there is a slight difference from the machine-counted total. But this, alone, did not give Gore the additional votes that he needed. So under the elite agreement, the winner was Bush.
The final problem is with the “overvotes,” that is, a person wants to be sure that their vote was counted, and so not only did they punch the ticket for whichever candidate they selected, they also wrote it in. Again, the machine throws the battle out, however the law says that the vote should be counted if the name in the writing section is the same as the punch section. And this is important because, with overvotes and undervotes both counted, Gore would have won.
But the key factor is this: Who is deciding who wins the election? And the subterranean decision was that the two parties would decide the election, not the people.
However, this is not the end of story. Because at the end of his presidency, Bush basically wrecked the economy, not as in a recession, but The Great Recession. The problem was that the elites thought that it was up to them to decide, and the decision was 50-50, one would be acceptable whichever one the people chose. But that was not the case. Bush ruined the economy, and brought America into two wars which, while it did not lose, it was a struggle to see them to their conclusions. In other words, the elites picked Bush, and the elites were wrong. There was a difference between the two candidates, and it resembled catastrophe theory in its result.
The Big Sort
There was however a deeper problem. Americans were sorting themselves in to Democrats and Republicans. This was documented by a book: The Big Sort, by Bill Bishop. In this book, Bill Bishop lays out the way which the two parties sorted themselves, and how the Republicans came out the better for it. This means that any election could be the trigger–only an overwhelming Democratic surge keeps this in check. And in 2008 and 2012, this surge quieted the undercurrent of “the big sort.” The other problem is that before the sort, their were many more democratic counties which could be described as “landslides” and afterwards there were many times more Republican counties that could be described the same. This meant that the Democrats relied on a few large counties to offset the overwhelming majority of likely populated Republican counties.
This meant that in 2016, a problem emerged – a few razor thin Republican states, could overwhelm the popular preference for a Democratic candidate. Thus, Hillary Clinton is winning by some 1.43 million votes.
But “the big sort” is not the only problem, because on the ground level, the Republicans have twisted the election system so that many people who wanted to vote for Clinton, were purged from the rolls. This made a difference in the rust belt states. Again, legally they had the power to do this, but ethically it is questionable for one side to skew the results – because not only did Trump win the states, he won by a lot. Also remember, there is always the chance of cheating at the local level – after all the results are going to be enormous – and people who count the votes are often intertwined with their candidate. Again, this happens in most elections, it is just that with the Presidency of the United States, the consequences are tremendous.
Some examples of this can be seen from the number of polls in 2012 vs. 2016. One came to an 868 count in The Nation magazine. There were also purges of voters in key states, such as Michigan. Enough so that the result could quite probably have been different. While many commentators talk about GOTV (“Getting Out The Vote”), at least as important is “KITV” – Keep In The Vote. This has been done in almost every election, it is just that at the presidency, the results are larger than in any other form. Is also true that KITV largely does not matter. But this time it did.
The other problem was with the Democratic party – almost all of the officeholders wanted Hillary to be their president. In hindsight, this was bad, because Hillary did not mobilize enough voters to score the “down ballot” races. In Indiana and Wisconsin, the “sure thing” Democratic candidates lost, because of the low turnout on the Democratic side. Sanders was clearly a better candidate, because the electorate wanted change, and Hillary was not a change candidate. The problem with Sanders is that he was overwhelmingly not the favorite of the Democratic party establishment. So much so, that he was an outsider. This is a problem, because if had been only a slight outsider, he might well have persuaded the Democratic party to nominate him on his merits. But just as Trump was not well liked in side the party, Hillary was overwhelmingly the insiders’ choice–even though they knew that she was widely disliked among the electorate. It may not have been fair, but that is not the point. Changing the public’s perception of a candidate takes years, or you can go with someone lesser known.
The other problem however is the media almost no media outlet gave Trump their support and, much more importantly, no media outlet forecast Trump as the winner even on the day of election. So this was not just a matter of the Republicans stealing the election, it was the Republican, Democratic, and media spheres which were involved.
Remember, the public was crying out for a different form of priorities, ones with which Obama and Hillary did not seem aligned. Obama was not on the ballot, and thus Clinton could not count on the African American vote in the same way they he had. This is documented: Hillary did not turn out the African American vote the way Obama did.
But still in all, she won the popular ballot. The problem is there is more than one piece of the electoral puzzle – imagine that a candidate could score a small victory by counting on a few counties, such as New York, and leave the rest alone. In other words, imagine that the positions were reversed – a Democratic candidate who got just a few more votes in a few more cases, but the over whelming majority wanted a Republican. So it is not just the case that we have to juggle the system so that the popular will of people determines the vote.
Conclusion
A great deal of the media wants Election 2016 to be swept under the rug, primarily because they are mostly for-profit companies. In the mid-20th century, there was an agreement that the news was treated as an public service, not a center for profit. Those days are over. One also used to be able to make a case that the Democratic Party was the People’s Party, and that time is also over. Instead, with a new generation of political thinkers, some who were there before Bill Clinton came in to office, the Democratic Party became a means for enriching its members. Again,this is not unusual. LBJ enriched himself as Senator.
The problem is that enriching oneself came second in the mid-20th century, and this ethos was reversed in the early 21st century–one first figured out how to enrich oneself, then asked how many people did one need to do this. Unfortunately, Hillary Rodham Clinton miscalculated, and Donald Trump already had money, so he could massage the election to his advantage.
Under neoliberalism, getting rich became the reason for winning, not the side benefit, and this was one of the reasons for neo-liberalism. Instead of making a few industries open to trade, it became a mantra among Democratic party economists to open everything. The problem with this is that a great deal of the trade deals outside the US rely on a lower wage scale for their competition. And in this time much lower wage scales.
So the massaging of the 2016 election rests on a large problem, namely the big sort, which the government should have realized was a significant problem. It then filtered through a corrupt Republican party, which spent years on stacking the deck, even though a single election might be out of reach. Finally, these factors converged in 2016, when the big sort filtered through the Republican party – and the Democratic party and the media were not aware of just how large their mistake was.
I wish I was telling the story of a great person who was brought down. But that is not where the facts lie. Every person involved, even some of the greatest, had disadvantages which meant their ruin. The next time, I will talk about what we have to do, and it is more complicated than most people realize–and even though many media outlets understand the problem, they do not comprehend the solution.
(This piece is by Stirling Newberry)
This is a constitutional crisis. However, instead of the crisis arising all at once, for all tiers of society, some tiers have gotten what they need–without the others getting what they need.
The banking system collapsed in 2008, but is doing fine now. This is because the banking sector, along with those who depend on it, figured out what banking’s basic problem was in 1929-1932, but they have no concern with the other parts of the system. If your wealth depends on not having a gold standard, all well and good. But there were other problems in 1929-1932 that they didn’t bother solving. This is one of them.
In 1932, there were other problems besides the banking system imploding. For example, child labor was an issue. What happened in that time is that one man understood there were solutions and a check upon the system which had to be enacted together. He also knew that certain solutions would not be made palatable until their maw wrapped around the country.
This man’s name was Franklin Delano Roosevelt. He knew, for example, that the United States would have to go to war, but he also knew that such a step would not be palatable until much later. On the other hand, there were problems that had to be moved against immediately, and there were also problems–however extreme they might have been–which had to wait for the public to view them.
So many things were done at the last minute, many other things were put off for a generation. A few things were done which were abominable even by the standards of the time, such as the imprisonment of people who were of Japanese descent during World War II. In other words, there was no guarantee that everything would be done correctly, only that enough things were done in time. The check was that when it counted, enough people would do the right thing.
In 2012, we were again in a crisis, but the well-off thought that they had a solution, which did not involve handing so much power over to the public. Their solution was inadequate, but they did not see it in their equations. Instead they waited for the chance to assume power with almost no limit. The result is a Trump Presidency. In this presidency, certain, small things can be done for a class that has been ignored, but in the larger sense it is ultra conservative: Money will rule everything.
The problem they didn’t factor into their equation was with healthcare, and what will happen to people who do not have it. States can do things, but enough states rely upon the federal government–because, in fact, those state are poor. The old system understood this, so the rich states formed a bargain with the poor states: If the poor would put up some money, the federal government would put up the rest. While this was a burden to the rich states, they were making enough money that they could afford it. This distribution from rich to poor had advantages for both; the rich states would be caught in a series of inflationary cycles, while the poor states were trapped in disinflation.
Now in 2016, the rich want more. This is because the rich are not really the creative class, though they assume they are, and they need more money to enrich themselves. Health care is something that everyone needs eventually, the only question is when. Since they have looted the federal government tax system, the rich are in a quandary: They another system to bankrupt. Presently, there are only a few. One is healthcare. The other is the environment. Both of these will not last, but that is not the problem of the wealthy–they are fixed on the now and the short term.
So the real problem is that the liberal party (the Democrats) has taken their eyes off the ball. Obama was too concerned about being rich to think about the consequences, and the Clintons were very much in the same mold. They reversed the old system’s bargain: Instead of giving a great mass of the people a chance to make them selves rich, and then pocketing the difference for themselves (and remember, the great heroes of liberalism were also very rich by the end of their terms–they enriched themselves and gave just enough, or what they assumed was just enough, to be poor).
The problem is that they have not been dealing with a lumpen electorate. If one scans a large wall of books, one will find Leo Strauss, Ayn Rand, and other popularizers and intellectuals of the right. The problem is that they have been dealing with a conservative movement which has objectives, and is small enough to figure out ways of achieving them.
But now, our constitutional crisis begins with the fact that the popular movement knows that things are wrong. Because they do not have, in and of themselves, political power, they can only do things individually. When a state becomes conservative, people can only do one thing: Move. So, they move to the states that are more liberal. This has been documented by The Big Sort, by Bill Bishop. In fact, this problem should have been a priority for the federal government, and the Democratic party was, itself, part of the problem. Instead of making the country rich and making money, it reversed itself and made money, giving only the bare minimum. Some would make them selves rich, but many more became poor. This was fine for the Wall Street types who paid the Democratic party elites (including Bill and Hillary), but it created a wave of people who could not move from their state, and thus found few opportunities to make money.
The Republican party thought they had an answer: Real estate. And so for six years, from 2002-2007, there was a binge. Banking’s infrastructure managed, sagged, and then exploded. The Republican party thought that they would be fine, as they had learned that easing of money in a time of crisis was essential. Not for the poor, but for the rich. The rich would eventually pay it back, if not it could be forwarded indefinitely.
So the populace moved to the coasts, and the rich could make money on them doing so.
Now for the crisis: We could, by means of a treaty, create a popular mechanism for electing a president. But–and this is a very large but–that does not do any good for the populace who cannot, or will not, move. The draining away, the big sort, needs to be fixed. So even if we created the is a popular election mechanism, it wouldn’t change the fact that a large majority of states are retrograde. In terms of healthcare, climate change, and other problems–including the reborn banking crisis.
This is what we are up against, not a minor crisis, nor even a major one, but a constitutional crisis. Because a Trump presidency will eventually have to make unreal news real. It cannot help itself: The “facts” upon which it was collected are unreal, and, in no small number of cases, ugly unreal. There are people who do not look like “people” to the Trump voter, and they will do something about this. We may have one more chance, though I do say “may.” It is a return to a thought process, not just a mode of governing. A thought process which looks ahead, and sees problems long before they become a problem.
The alternative is destruction of the environment, and of people who are different, disabled, or locked in to a place. The new Democratic Party is still very much real, and though those who control it cannot govern the country, they can squash people who are disenchanted with them. Remember, a great deal of the country will have to get behind what could be called “The New New Deal.” They will have two have this problem explained, not in one long lesson but in short bursts. The need to have it explained why Kennedy was able to wedge himself in, but our new president cannot. There are a host of reasons, and they need to be drilled into the minds of those people who will do the explaining.
We need to do this now, because there is no then. This is our last chance.
Once it was up to the state to do what was required for a good society that corporations would not do.
That time is over.
Today about 10% of the population calls the shots: primary voters, because primaries are the real elections. This is as those in power wanted it: just enough people to thwart any attempt to stampede the election, but little more than that.
There is another side to story, often commented upon, but not paid enough attention to. What our leaders give is the powerto lord it over others: Whites over non-whites, men over women, middle management over workers, and so on. We are made afraid of each other, so that whites are frightened by African-Americans, African-Americans by whites. We resent each other, fear each other, oppress each other, hate each other. This is given to us by our lords.
Only 9% of the population believes Congress is doing a good job, but it doesn’t matter, and it won’t change, because only 10% of the population chooses, and they prefer reactionaries (Obama, for example, was the most right wing of the 3 major Democratic primary candidates.)
What the oligarchs want, and what they have arranged, rather than have most of the population benasty to them, have them be nasty to each other– to waste our time on sports, conquests, and whether the guy ahead of you is white, black, Asian, Muslim, Christian, Bi orGay. As long as we’re fighting amongst ourselves, as long as we see each other as the opposition, and not them, the oligarchs are happy.
But the game is changing, because the oligarchs are turning on each other. Diane Feinstein, one of the firmest friends of the military-industrial complex and the spy industry thought she was an insider. she throughtshe was immune to being spied on, even as she gave permission to spy on ordinary people.
Now she has learned that she’s not on the inside, has never been on the inside, She’s ordinary.
Elites have a pecking order, but there is inside and there is outside. Inside you don’t get spied on; you don’t go to jail for securities fraud; you don’t go to jail for torture and mass-murder.
Feinstein has now realized that she’s outside, not inside.
This pattern is not just amongst elites, but amongst nations. The Ukrainians hated their former leader, so they rose up and got rid of him. But what they are receiving in return is worse than that they had before. This is happening around the world: Ukraine, El Salvador, Libya and Egypt are only a few of the places where uprisings have produced something even worse : where large groups of people have been told they are on the outside of the world order, and must submit to their local oligarchs (the Egyptian military has huge holdings in the economy), or whoever has the power of the gun (as in Libya.)
The world is awash in monstrous people treating other people monstrously; and the pace of nations being destroyed is picking up.
The choice is no longer Democrat or Republican, progressive or conservative: the choice is human or not.
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