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Posts Tagged ‘tragedy of the commons

“What is missing from the policy analyst’s tool kit – and from the set of accepted, well-developed theories of human organization – is an adequately specified theory of collective action whereby a group of principals can organize themselves voluntarily to retain the residuals of their own efforts”*…

Locals at the Marienfluss Conservancy in Namibia meet to discuss conservation

Further to yesterday’s post on privacy as a public good, a revisit of an apposite topic, the destructively-problematic concept of “The Tragedy of the Commons“…

In December 1968, the ecologist and biologist Garrett Hardin had an essay published in the journal Science called ‘The Tragedy of the Commons’. His proposition was simple and unsparing: humans, when left to their own devices, compete with one another for resources until the resources run out. ‘Ruin is the destination toward which all men rush, each pursuing his own best interest,’ he wrote. ‘Freedom in a commons brings ruin to all.’ Hardin’s argument made intuitive sense, and provided a temptingly simple explanation for catastrophes of all kinds – traffic jams, dirty public toilets, species extinction. His essay, widely read and accepted, would become one of the most-cited scientific papers of all time.

Even before Hardin’s ‘The Tragedy of the Commons’ was published, however, the young political scientist Elinor Ostrom had proven him wrong. While Hardin speculated that the tragedy of the commons could be avoided only through total privatisation or total government control, Ostrom had witnessed groundwater users near her native Los Angeles hammer out a system for sharing their coveted resource. Over the next several decades, as a professor at Indiana University Bloomington, she studied collaborative management systems developed by cattle herders in Switzerland, forest dwellers in Japan, and irrigators in the Philippines. These communities had found ways of both preserving a shared resource – pasture, trees, water – and providing their members with a living. Some had been deftly avoiding the tragedy of the commons for centuries; Ostrom was simply one of the first scientists to pay close attention to their traditions, and analyse how and why they worked.

The features of successful systems, Ostrom and her colleagues found, include clear boundaries (the ‘community’ doing the managing must be well-defined); reliable monitoring of the shared resource; a reasonable balance of costs and benefits for participants; a predictable process for the fast and fair resolution of conflicts; an escalating series of punishments for cheaters; and good relationships between the community and other layers of authority, from household heads to international institutions.

When it came to humans and their appetites, Hardin assumed that all was predestined. Ostrom showed that all was possible, but nothing was guaranteed. ‘We are neither trapped in inexorable tragedies nor free of moral responsibility,’ she told an audience of fellow political scientists in 1997…

Far from being profoundly destructive, we humans have deep capacities for sharing resources with generosity and foresight. Michelle Nijhuis (@nijhuism) explains: “The miracle of the commons.”

Elinor Ostrom (who received the 2009 Nobel Prize in Economics for her work)

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As we come together, we might recall that it was on this date in 1908 that a Conference of Governors, convened by President Theodore Roosevelt and focused on the issue of conservation, opened in Washington. The brainchild of Gifford Pinchot, Chief Forester of the U.S., it was attended by the governors of the states and territories, the members of the Supreme Court and the Cabinet, scientists, and other national leaders. Seven days later, the governors adopted a declaration supporting conservation. One result was The National Conservation Commission, appointed by Roosevelt later that year, which prepared the first inventory of the natural resources of the United States with chairmen for water, forests, lands, and minerals. The conference also led to annual governors’ conferences, and the appointment of 38 state conservation commissions.

Roosevelt and Pinchot

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“So distribution should undo excess, and each man have enough”*…

 

current-global-inequality-in-standard-of-living

 

What makes a person healthy, wealthy, and wise? The UN’s Human Development Index (HDI) measures this by one’s life expectancy, average income, and years of education.

However, the value of each metric varies greatly depending on where you live. Today’s data visualization from Max Roser at Our World in Data summarizes five basic dimensions of development across countries—and how our average standards of living have evolved since 1800…

While there’s absolutely no room for complacency, the details are encouraging: “How the Global Inequality Gap Has Changed In 200 Years.”

* Shakespeare, King Lear (Act 4, Scene 1)

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As we mind the gap, we might recall that it was on this date in 1968 that Science published Garrett Hardin‘s influential essay, “The Tragedy of the Commons.”  Hardin was building on an argument from an 1833 pamphlet by economist William Forster Lloyd which included a hypothetical example of over-use of a common resource– cattle herders sharing a common parcel of land on which they are each entitled to let their cows graze, as was the custom in English villages.  Lloyd postulated that if a herder put more than his allotted number of cattle on the common, overgrazing could result.  For each additional animal, a herder could receive additional benefits, while the whole group shared the resulting damage to the commons.  If all herders made this individually rational economic decision, the common could be depleted or even destroyed, to the detriment of all.  Hardin generalized this example to all natural resources in arguing that population should be controlled: that left to their own devices, humans would deplete all natural resources, leading to a Malthusian collapse.

Elinor Ostrum received the Nobel Prize in Economics in 2009 for her work demonstrating that humans can, in fact, share– and in so doing, be effective stewards of commonly-“held” natural resources.

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Written by (Roughly) Daily

December 13, 2019 at 1:01 am

“What is common to many is least taken care of”*…

 

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As an evolutionary biologist who received my PhD in 1975, I grew up with Garrett Hardin’s essay “The Tragedy of the Commons,” published in Science magazine in 1968. His parable of villagers adding too many cows to their common pasture captured the essence of the problem that my thesis research was designed to solve. The farmer who added an extra cow gained an advantage over other farmers in his village but it also led to an overgrazed pasture. The biological world is full of similar examples in which individuals who behave for the good of their groups lose out in the struggle for existence with more self-serving individuals, resulting in overexploited resources and other tragedies of non-cooperation…

Unbeknownst to me, another heretic named Elinor Ostrom was also challenging the received wisdom in her field of political science. Starting with her thesis research on how a group of stakeholders in southern California cobbled together a system for managing their water table, and culminating in her worldwide study of common-pool resource (CPR) groups, the message of her work was that groups are capable of avoiding the tragedy of the commons without requiring top-down regulation, at least if certain conditions are met (Ostrom 1990, 2010). She summarized the conditions in the form of eight core design principles: 1) Clearly defined boundaries; 2) Proportional equivalence between benefits and costs; 3) Collective choice arrangements; 4) Monitoring; 5) Graduated sanctions; 6) Fast and fair conflict resolution; 7) Local autonomy; 8) Appropriate relations with other tiers of rule-making authority (polycentric governance). This work was so groundbreaking that Ostrom was awarded the Nobel Prize in economics in 2009…

David Sloan Wilson on the design principles that can solve the tragedy of the commons: “The Tragedy of the Commons: How Elinor Ostrom Solved One of Life’s Greatest Dilemmas.”

For more on the tragedy of the commons, see here— also the source of the cartoon above.

* Aristotle

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As we share and share alike, we might recall that it was on this date in 1937 that we– the entire population of the earth– narrowly avoided total obliteration, as the 500,000 ton asteroid/planetoid 69230 Hermes failed to collide with our planet.  It missed by twice the distance of the Moon… but that’s only three seconds.  (In 1989, the earth had an even closer approach, but by the smaller 4581 Asclepius.)

69230 Hermes

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Written by (Roughly) Daily

October 30, 2018 at 1:01 am

“Organizing is a process; an organization is the result of that process”*…

 

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19th century railroad stock offers were the cryptocurrencies of their time: confusing, risky… but with the promise of converting “old” wealth (mostly land riches) into the wealth of the future

 

Many crypto enthusiasts are looking at blockchains as a way to correct the sins of the past (government over-reach, lack of sound money, expensive middlemen, centralized businesses, etc.)

The truly important question should be way bigger than this: How can crypto-powered businesses create new types of abundance? How will blockchains drive our standard of living forward exponentially? How will we see the creation of tens of trillions in new value like we did with the stock market in the last 150 years?

The answer lies in how crypto can transform the tragedy of the commons into the wealth of the commons…

“Midas List” V.C. Mike Maples traces the provenance of cryptocurrencies and the blockchain from the railroad IPOs of the 1870s (which helped launch an explosion of global economic growth) through the work of Nobel laureate Elinor Ostrum to argue for crypto’s promise as a remedy to the Tragedy of the Commons: “Crypto Commons.”

[Readers looking for an on-ramp to understanding crypto-tech and the blockchain may want to start with Steven Johnson’s blissfully-clear “Beyond the Bitcoin Bubble.”]

* Elinor Ostrum

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As we address asset allocation, we might recall that it was on this date in 1936 that Henry F. Phillips received several U.S. patents for the Phillips-head screw and screwdriver– a system in which a matching driver with a tapering tip conveniently self-centers in the screw head.  Phillips founded the Phillips Screw Company to license his patents, and persuaded the American Screw Company to manufacture the fasteners.  General Motors was convinced to use the screws on its 1937 Cadillac; by 1940, virtually every American automaker had switched to Phillips screws.

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Written by (Roughly) Daily

July 7, 2018 at 1:01 am

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