Showing posts with label Pareto. Show all posts
Showing posts with label Pareto. Show all posts

Sunday, October 2, 2011

There is no single answer

We are possessed by and at the mercy of the powers of centralisation and absolutism. The way many of us think of and frame problems is in the hope that there is some definitive outcome at the end. "The answer is forty-two!" we would like to hear. When we are interested in the outcomes of a policy option, we ask, How many people will this give cancer to? or, How many people will this save from cancer? This is the way policy-making is done--through some sort of quanitfication of outcomes, through cost-benefit analyses, through some sort of Pareto optimisation. Unfortunately, this is a massive mischaracterisation of the problems that face us, and of the way we need to be addressing them.

Engineers like to think about energy, and most of the engineers that are interested in sustainability and ecological issues tend to focus on the issues through the lens of energy. If you were ever to go to a talk on the energy "future" given by some engineer, you will inevitably here this statement: There is no silver bullet. When it comes to where our energy ought to be coming from (in all actuality we should be using less, in conjunction with a move away from extremely ecologically degrading sources), there are advantages and disadvantages to each kind of energy, be it coal, solar, wind, hydroelectric, nuclear, petroleum. Some are more "convenient" than others, some are more "easily produced" than others, some are more ecologically degrading than others, some are backed by more powerful interests than others. We must have the right "portfolio," some might say.

That being said, I want to tie together a few posts and themes that have emerged over the past months, which I have written about in, for example, The right, the wrong, and the other, Traveling at home, and What if you don't live in Ann Arbor?. I have realised that there is no definitive way in which I, or anyone else for that matter, can address the myriad of socio-environmental issues in existence. Issues are specific to time and place. However, what is true is that they have been influenced by a common ethic of domination, violence, greed, disrespect, hegemony, and carelessness. Such an ethic expresses itself differently in different places.

The desire for absolute, definitive answers masks the messiness of complexity, makes us simplify debate in terms of "right" and "wrong," "us" versus "them," and moves us no closer to a much-needed introspection of social norms. This was brought together beautifully, although in a slightly different context, by David Remnick, writing about what we have and have not learned since 9/11, in the September 12th issue of The New Yorker.
A decade later, we also continue to reckon no only with the violence that [Osama] bin Laden inflicted but with the follies, the misjudgments, and the violence that, directly or indirectly, he provoked--the acts of government deception, illegal domestic surveillance, "extraordinary rendition," "enhanced interrogation," waterboarding. The publication of Dick Cheney's memoirs is the latest instance of Bush Administration veterans serenely insisting that they "got it right," that the explosion of popular discontent that began in Tunisia last December and spread through the region is the direct result of the American-led invasion and the occupation of Iraq. This is as dubious as it is self-serving...Ten years after the attacks, we are still faced with questions about ourselves--questions about the balance of liberty and security, about the urge to make common cause with liberation movements abroad, and about countervailing limits. Only absolutists answer these questions absolutely.
There is nothing absolute when it comes to dealing with social or environmental problems, because each place is unique. This we must understand. What works here doesn't work there. Solar power in cloudy regions doesn't work, but it may in sunny regions. Damming rivers nonchalantly doesn't take into account the specificities of seismic activity. Building a bridge in the name of "economic development" at the expense of community, consequently disenfranchising a group of people, just isn't sustainable. On the contrary, empowering people knowledgeable about the place and watershed they live in, a thoughtful education of the interconnectedness of the local and the global, and a sincere understanding and acceptance of the differences that define us, can lead to more sustainable, more respectful outcomes. If we have a fertile foundation upon which our actions can bloom, we will be much better equipped in dealing with the uniqueness of place and time.

Monday, January 31, 2011

On the fallacy "economic" sustainability

Thoughts on the notion of sustainability have grown exponentially it seems. Everyone is talking about it, whether they mean it or not. As you may have found odd, massive resource extraction companies talk about it and promote it, when their very existence is in opposition to it. In all honesty, I am not really sure what "sustainability" means fully, and probably no one can really put it fully into words without writing a tome. My notions of it are challenged day by day. What I do know is that such companies mentioned above do not practice it at all, whatever sustainability truly is, apart from "economic" sustainability - they are making absolutely sure that their viability and legitimacy as entities stays intact, and they are "sustained." They have all too easily kidnapped the word, and made it mean what they want it to mean.

If you know a little bit about "sustainability," you'll know that the world has basically defined three pillars of it - environmental sustainability, social sustainability, and economic sustainability. The way the problem of sustainability is currently set up is such that goals and targets must be met for all three pillars - environmental, social, and economic. A "sustainable" outcome is some sort of optimisation of the three pillars. What this means is that there are some compromises that need to be made, and one or two of the pillars will be compromised more so than the others; there are conflicts and tensions between these pillars. Our world has a tendency to compromise on the pillars of environmental and social sustainability, because there is very little willingness to change the economic foundations of how we live our lives, the foundations that have gotten us into this mess in the first place.

The way sustainability is currently defined involves the considerations of economic structures that are counter to the notion of sustainability, just like the economics practiced by corporations. The economic structures I am talking about are those such as capitalism, communism, or any mix of anything of that sort. Such economics are by their very definition destructive to both the environment and people. In fact, there is no way you can have equality in any capitalist or communist framework - there are losers, human and non-human, always. There is never a Pareto-optimal decision if you also consider the environment and justice.

The issue is this: the problem is over-constrained, because we have decided that our current economic structure trumps people and the environment. We have limited our conceptualisation and imagination of sustainability by limiting the options we have available to us, because we are unwilling to change our economies. (In order to maintain the economic viability of our nation, jobs are being created in sectors that necessarily involve violence against the land, air and water. Such jobs are clearly not sustainable.) There is no way you can be remotely sustainable unless you define a new economics. Economics should in fact not be its own pillar at all, but should rather be a fluid, moving and dynamic outcome of our definitions of society and the environment. Such economies might better be able to address chronic problems that face our society today, such as bad food, homelessness and poverty. The goal of any social structure should involve justice and equality. In this light, society itself should be dynamically defined based on environmental constraints and environmental sustainability. There is no getting around it - we live on Earth.

More to come.

Saturday, November 20, 2010

A new kind of Pareto optimality

Given any policy or allocation of resources, if one were to make a change to this policy or allocation, making at least one person better off without making anyone else worse off, the change is a Pareto improvement. If we keep making such Pareto improvements, we will reach a point at which no more improvements can be made. This is the point of Pareto optimality. In practice, it is likely that a person that is made worse off through a change in policy will be compensated monetarily, given some quantification of their worse position. This is how a lot of public policy is made. This may make sense from a neoclassical economic perspective, but it is such thinking that leads to people wanting to be compensated for interests that are clearly environmentally and socially harmful, or leads people to compensating other people with money for a harm that is incalculable. For example, monetary profits made from having a landfill close to people's residences might be divided in some part to people at those residences, to compensate for their distress at having the landfill close by.

But given continuing environmental harm, burgeoning populations all over the world, and the ever increasing size of human interventions in nature (larger dams, larger swaths of forest cleared for reaching oil sands, deeper mines), there is a likelihood that any choice that is potentially harmful to the environment and communities may have much larger consequences than in the past. However, it seems as if powerful interests are willing to increase monetary compensations so long as they can function viably. For example, the BP-Macondo Oil Spill in the Gulf of Mexico led to BP setting aside $20 billion to deal with settlement claims and cleaning the oil.

On an episode of Speaking of Faith (now known as Being), Jean Vanier talked about how it is essential that we lives our lives and make decisions with those most vulnerable among us at the centre of the decisions. Vanier gave the example of a new born child - the child is the most vulnerable member of a family or group, and once it exists, our decision making must accommodate the needs of this being. It is fascinating how this creature, although completely incapable of doing anything on its own, can control an entire group, its minds and hearts. This seems to throw a huge wrench in the Pareto way of thinking. Unfortunately, however, when it comes to how our governments and corporations make decisions today, it is the interests of not the most vulnerable among us, but the interests of the most powerful among us that are front and centre. Indeed, the Pareto condition is centred around those that are already well off compared to most of the rest. And then, there are the silent - nature and other living beings, who are potentially more vulnerable than the most vulnerable humans. What if we were to consider the interests of nature and ecosystems in the Pareto condition? If we are to constantly improve people's lives, can we do so without making the provider worse off?

V. Pareto