This is a good article and can be read in it’s entirely at the link at the bottom and when you stop and think about what’s being said here, it’s true. For a few years I have spoken about the imbalance between tangibles and intangibles and the author here just pretty much defines more of what I have said. We do have bitcoins out there that are intangibles in the fact that it is software, not a piece of currency you can hold in your hand. It connects it’s value though to real currency.
Back in April of 2012 I wrote about devaluating some algorithms as when you look at what Wall Street touts for investments today, a lot of it is intangible money making algorithms. What do you get, a piece of an algorithm running on a server? Actually what you get is betting on that algorithms to function in a fashion that will generate some kind of profit, much of it today based on the epidemic of data selling we have in the US and the world.
“Devaluate the Algorithm” And “Tax the Data Sellers”–A Cure for Both Healthcare and an Economy Based Heavily on Intangibles–We’ve Lost Our Balance
If you look at Walgreens in 2010, they stated their intangible income of selling data was just a bit short of $800 million, so do they make that much a year selling prescriptions? I would guess this number is up over a billion now. I don’t know but I would put a guess out there that the data revenue couple be toppling the drug side of their business and if not now, soon.
Web algorithms have more value than food, and sadly when I’m hungry I can’t eat an algorithm can I? So why is it that food and other commodities that we need to live are rated as values much lower than these social algorithms? On the same hand when I’m sick, an algorithm can certainly help diagnose but it’s not going to cure me as I need something tangible, like a drug or device maybe, so again these social algorithms and the madness created by Wall Street with behavioral analytics if off balance. We need both tangibles and intangibles but if we don’t get smart enough to learn how to use both in harmony we are all going to suffer.
Denying access is the way this works as written in the original article and I couldn’t agree more. You need a certain digital worth today and access to maintain millionaire or billionaire status for the most part and the 1% have this, we don’t. If more efforts with writing math models and formulas were directed towards the use in producing tangible products instead of selling data as such high yielding profits we could perhaps move a little closer to balance. You don’t have access to all the data that is collected about you at all. It’s not transparent at all.
Now with the NSA issue of data being collected, the entire issue of the government NOT addressing privacy is coming back to haunt as again the education process has not been there (except for the efforts of this blog and a few others) as well as the intelligence needed in executive cabinets to even think about addressing it. ILLITS IN THE DIGITAL WORLD…FROM WHAT IS IN THE NEWS…ALL OMG STUFF FOR RATINGS THAT FEED ON IRRATIONAL BEHAVIOR VERSUS LOGIC.
Lack of Modeling and Algorithm Sleuths and Stalkers In Government, Part of Why We See Such “Silly” HHS and Congressional News About Financial Donations And/Or Solicitations…
I guess all the sleuths are working for the NSA that the government employs and again what contracted companies does the NSA use? We don’t know an Congress is about as useful as a tick on coal diggers ass with their futile explanations. A long time ago this member of Congress, Newt Gingrich fought hard and heavy with a few others to abandon the “Office of Technology Assessment” and boy does it show today. Feinstein and the folks in Congress who spoke up basically had nothing of substance to add to the NSA situation. We all learn more from reading the Guardian.
They just repeat that “this was ok” but in fact what the hell do they know about data mechanics? Answer, not much more than what they are told or sometimes guess with under-educated and illusional perceptions….the OMG stuff pokes in again. Congress needs a bigger brain so we can get rid of some of the “Algorithm Fairies” that float around out there. I pretty much today consider a lot of what I hear from the Hill to be ill fated digital fantasy perceptions as they don’t know and think they are smarter than they are. I use logic and they don’t I guess is the difference.
Congress Needs a Bigger Brain–Restore the Office of Technology Assessment And Truly Assess What is Useful And Remove The Algo Duping Permeating In Government–Fantasy Perceptions That Are Not Real Can Be A Dangerous Thing
So again with the NSA bomb with data surveillance the US Government gets exactly the feedback that they grow with consumers, adding no transparency and the inability or desire to properly and logically address privacy in the country while banks and companies thrive on selling every bit of data they can for profit and we lose as there’s no incentive to bring more jobs back to the US with using technology to create tangibles. I don’t care at this point about the public data being released, it’s fine for journalists but I want data that interests and helps me.
Instead of logic you can certainly look forward to more bliss and non educated focuses while private industry sells you blind too and queries and requires your data, flawed and all for profit. Here’s a couple examples at the links below. The government seems to have received the scorn they absolutely deserved here with lack of transparency and the lack of addressing a huge emerging economic situation that is out of hand, digitally illits in government are killing us. Scroll down to the footer of this blog for some great videos that help educate or visit the Algo Duping page with a few more educational videos on how this all works. It’s all data running on servers 24/7 making life impacting decisions about all of us, behind server doors.
One more note, don’t depend on Richard Cordray, he’s way too far behind the 8 ball and just one more useless attorney trying to do a job where a technologist is needed. BD
Licensing and Excise Taxing Data Sellers, Facial Recognition Yet One More Tool Used To Secure & Match Data - The Epidemic, Billions in Profits for Banks and US Corporations Using Killer Algorithms to Further Erode Consumer Privacy
Insurance Companies Are Buying Up Consumer Spending Data-Time is Here to License and Tax the Data Sellers-As Insurers Sell Tons of Data, Gets Flawed Data When Data Buyers Uses Out of Context Too
Does the US Government Need a Department of Modeling and Algorithms–Is Data Addiction and Abuse the Next Up and Coming 12 Step Program, Some Classic Posts & Topics Revisited
Time Has Come to License and Tax the Data Sellers of the Web, Companies, Banks, Social Networks..Any One Making a Profit-Latest Microsoft/Google Privacy War Helping the Cause –Consumers Deserve to Know What Is Being Sold and To Who in a Searchable Format
We all understand that the cost of everything that can be created digitally is near-zero.This is why music, videos, text-based knowledge and telephone calls (Skype) are now basically free.
Since money is now created digitally, it too is basically free. We can see how easy it is to digitally create trillions of dollars in this chart of the U.S. monetary base. Roughly $1.2 trillion was created out of thin air essentially overnight back in the good old days of global financial meltdown.
The key feature of digitally creating credit/money is this: it is immeasurably easier to digitally create claims on real-world assets than it is to create real-world assets. The Fed can digitally print a trillion dollars at no cost, but that doesn't mean the money flows into the real economy.
Since money can be created for free, how does it retain its value? The answer is artificial scarcity. The example of a college diploma is instructive.
So how does the Fed artificially create scarcity-value for its freely created trillions of dollars? It restricts access to all that beautiful free money. Wouldn't it be nice if you and I could reach in and grab a couple of million bucks from the overflowing till?
When debt-serf purchases of assets serve the agenda of the political/financial Elites, for example buying an auto or home, then the free money is doled out to secure the key feature of debt-serfdom--serfs must service all the debt they take on, thereby enriching the financial system that loaned them the money.