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This is interesting and cool, but also scary in a way. In this particular case, the algorithm can at worst fund the wrong company -- think of funding some shady

by sklivvz1971 12y ago

This is interesting and cool, but also scary in a way. In this particular case, the algorithm can at worst fund the wrong company -- think of funding some shady, amoral but profitable corporation. It's much worse when algorithms will make decisions on boards of, say, weapons companies, or health insurances, etc. It would be like appointing a cold, amoral board member only concerned with pure profit -- probably not great for society at large, but I could be wrong of course.

AndrewKemendo 12y ago
>It would be like appointing a cold, amoral board member only concerned with pure profit -- probably not great for society at large, but I could be wrong of course. Theoretically, as defined by the fiduciary responsibility of a corporation to it's shareholders, this is exactly what they would want. The subtext of your statement is a contention that there is an inherent conflict inherent in those two goals (profitability and social benefit), which I don't think can be rigorously supported.
- jal278 12y ago
  Of course there is an inherent conflict between profitability and social benefit: The morality of raw profit optimization is indifferent to human concerns. For example, it made more financial sense for a tobacco company to generate FUD about lung cancer and avoid the truth as long as possible, because it was of greater benefit to shareholders, which is what a publically-owned corporation is legally obligated to optimize, human consequences be damned.
- npizzolato 12y ago
  The belief that companies have a fiduciary responsibility to ignore all ethical issues in search of maximum profit is completely absurd. You don't have to look far to find companies that make ethical decisions that would be difficult to justify from a pure profitability standpoint who aren't getting suited by their shareholders.
  - AndrewKemendo 12y ago
    That is exactly my point though - the way to maximize profits is to provide a social good in addition to your excellent product.
- npizzolato 12y ago
  The belief that companies have a fiduciary responsibility to ignore all ethical issues in search of maximum profit is completely absurd. You don't have to look far to find companies that make ethical decisions that would be difficult to justify from a pure profitability standpoint who aren't getting suited by their shareholders.

AndrewKemendo 12y ago

>It would be like appointing a cold, amoral board member only concerned with pure profit -- probably not great for society at large, but I could be wrong of course. Theoretically, as defined by the fiduciary responsibility of a corporation to it's shareholders, this is exactly what they would want. The subtext of your statement is a contention that there is an inherent conflict inherent in those two goals (profitability and social benefit), which I don't think can be rigorously supported.

jal278 12y ago
Of course there is an inherent conflict between profitability and social benefit: The morality of raw profit optimization is indifferent to human concerns. For example, it made more financial sense for a tobacco company to generate FUD about lung cancer and avoid the truth as long as possible, because it was of greater benefit to shareholders, which is what a publically-owned corporation is legally obligated to optimize, human consequences be damned.
npizzolato 12y ago
The belief that companies have a fiduciary responsibility to ignore all ethical issues in search of maximum profit is completely absurd. You don't have to look far to find companies that make ethical decisions that would be difficult to justify from a pure profitability standpoint who aren't getting suited by their shareholders.
- AndrewKemendo 12y ago
  That is exactly my point though - the way to maximize profits is to provide a social good in addition to your excellent product.
npizzolato 12y ago
The belief that companies have a fiduciary responsibility to ignore all ethical issues in search of maximum profit is completely absurd. You don't have to look far to find companies that make ethical decisions that would be difficult to justify from a pure profitability standpoint who aren't getting suited by their shareholders.