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Bitcoin Is All that Stands between My Family and Starvation – Article by Anonymous Venezuelan

Bitcoin Is All that Stands between My Family and Starvation – Article by Anonymous Venezuelan

The New Renaissance Hat
Anonymous Venezuelan
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I am writing this post in response to comments I get from people when I try and explain what Bitcoin is. Uneducated people have told me countless times that bitcoins are only used by criminals. I want to debunk that myth and explain how the real potential for bitcoins is so much bigger than the black market can ever be.

Bitcoin is literally saving my family from hunger and giving them the financial freedom to immigrate in the near future. My parents and sister live in Venezuela. A lot of you might not know exactly what’s happening there so here are the cliff notes.

  1. An incredibly incompetent socialist government took power.
  2. They created strict currency controls that made it impossible for people to buy goods in anything other than their local currency. If you owned a business and needed to import something from overseas you needed the government’s approval to exchange the local currency to US dollars
  3. This made running a business almost impossible. To operate you had to buy US dollars on a black market or bribe a government official to exchange currency.
  4. When oil prices dropped the government quickly ran out of money causing an expected inflation of 1800% in 2017.

For more about what’s going on in Venezuela check our www.reddit.com/r/arepas

Things started to get really bad in Venezuela around 2014. My father owned at the time a successful air conditioning repair business but he knew things were about to take a turn for the worse. We came up with a plan to open a US bank account and convert bolívars (Venezuelan currency) into US dollars so we would be protected from inflation. We quickly ran into logistical problems, physically getting and safely transporting the money out of the country.

Caracas is one of the most violent cities in the world. Carjackings are common and people are killed for their cell phones. The airport police are corrupt and just as likely to rob you, and the money can’t be put in the local bank because you aren’t allowed to have dollars.

I’m 2014 Bitcoin was a new technology so we were very skeptical about it but we didn’t have any other options.

Fast forward to 2017. The economy is Venezuela is dead. My father lost his air conditioning business and people like our neighbors that were middle and upper class a few years ago can’t afford food. Thanks to the rising price of Bitcoin and its relative stability (to the Venezuelan economy), my family is part of a very small fortunate minority that can afford to help feed their community and also potentially immigrate to another country.

Now consider how big the Venezuelan economy is and that other countries like Brazil and Argentina are also experiencing similar problems. If citizens converted only a small amount of their savings into bitcoins this would represent an incredible amount of money.

Bitcoin can give anyone the ability to trade freely and protect themselves financially against corrupt and incompetent governments. In a world of 6 billion people, most of whom have no access or are ineligible for basic banking services, and an increasing number of governments opposing free speech and basic human rights, Bitcoin might not be the perfect hero we want but it’s what we need.

So in summary, Bitcoin is used by criminals the same way cash is used by criminals. If you take one step back you’ll realize that the possible legitimate uses for Bitcoin are far greater than the black market can ever be.

Reprinted from Reddit and the Foundation for Economic Education.

The author of this essay requested to remain anonymous.

How To Survive a World of Instant Feedback – Article by Jeffrey A. Tucker

How To Survive a World of Instant Feedback – Article by Jeffrey A. Tucker

Jeffrey A. Tucker
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I first started writing before the Internet existed. We all wrote for an audience we mostly had to imagine in our minds.

The only way to give an author feedback was to write a letter, put it in an envelope with an approved stamp, and give it to a government employee who would slog across the land and then drop it at the writer’s physical locale a week after he or she wrote the initial piece. People did it but not that often.

Yes, I know there are people reading this who find this hilarious and embarrassing. It seems as long ago as the War of the Roses. Actually it was that long ago. But the distance between then and now seems like eons. That how much and how quickly we’ve advanced.

The dark ages: everything before 1995.

Because no one really knew what readers were thinking – actually hardly anyone knew anything about anything in retrospect – you had to assume some rule of thumb about any feedback you were lucky enough to get. I assumed that one letter equalled the views of one thousand readers. Two letters saying that same thing represented five thousand readers. Three letters with the same opinion suggested near unanimity: this is the view of every reader.

Now We Know Everything

Times have dramatically changed. I could right now post a thought and get hundreds of reactions within a few minutes. There’s no shortage of input, that’s for sure. There’s email of course, but also comment boxes, forums, social media posts, and lightning-fast Twitter interactions.

Twitter is often called a cesspool of toxicity. This is mostly untrue. It’s just that the toxic parts stand out in our minds because they have a bigger impact on our psyches.

This is how it is with all feedback. I once knew a world-famous soprano who received her fans following concerts. One hundred fifty people would tell her she was fabulous and amazing. One person would say: “You were fine but it wasn’t your best night.”

Guess which comment she remembered?

So too on Twitter. Not all commentary is thoughtful. In fact, no matter what I post, unless it is completely innocuous, I’m very likely to face a flurry of outraged opinions, some of which is laced with profanity and some of which trends toward the deeply disturbing. These are the reactions we tend to remember. They rattle, shock, and alarm us. They give the impression that humanity is a teeming mass of angry, unthoughtful, and even cruel people.

It’s mostly an illusion. But it takes some experience to figure out why.

Everyone Hates You

We live in a highly partisan world generally divided between right and left, and each side is ready to pounce on anyone it perceives to be an enemy.

One day this week, I was simultaneously hammered by the left and right, and it made an interesting study in contrast.

The Twitter Left

I had written a defense of “child labor,” which is to say I wrote against laws that forbid tweens from getting a paying job as a supplement to education they are otherwise forced by government to endure. This would be a wonderful opportunity for them, and give them an awesome preparation for life. The law forbade this back in the 1930s. Today, kids are basically banned from working or face such hurdles as to make it not worth it. They can’t really be fully employed until the age of 18.

To me all of this is rather obvious, and I don’t get why I seem to be one of the only people on this beat. Regardless, the article took off and received 100,000-plus views. Some of the readers were dedicated leftists, who regard the legal abolition of “child labor” to be one of the great signs of progress in the world.

The flurry of loathing began. I was called out for being a bad person, a cruel person, a man with a heart of stone, a complete jerk who lacks a shred of human decency. In each case, I would reply asking my accuser to explain why he or she is saying this. They would respond with shock: “for God’s sake, man, you are defending child labor!”

Again, that only raises the question. One person said that I dreamt of throwing kids back in the salt mines. I don’t even know what that means. Is there a salt mine around here that is looking for 12-year old inexperienced kids to exploit? Actually, I’m thinking more of kids working at Chick-Fil-A or Walmart or a lawn company.

Anyway, this seems to be a left-wing penchant. Anyone who disagrees with their policies is a bad person. End of story.

The Twitter Right

Then you have the far-right, the sector of Internet life that has most mastered the art of trolling. Users in this camp don’t tend to use their real names. They create dozens of sock-puppet accounts. They send blast after blast designed to make the recipient feel as if he or she is being bombarded.

The same day as my child labor piece came out, I tweeted that I had doubts about the theory that Seth Rich was shot for leaking DNC emails. I raised the problem that there is a lack of evidence to support the theory. If you know about this conspiracy theory, there are hundreds of thousands of people who believe, thanks mostly to Sean Hannity, that there is a huge coverup going on, and that someone in the Hillary Clinton camp is guilty of outright murder.

I have no special intelligence on the topic. I was only asking what I thought were intelligent questions.

Then came the bombardment. I was accused of being a toady of the Democrats. A dupe. A snowflake. An apologist for Clinton. A cuck. A member of the mainstream media. In the pay of the deep state. And so on. Then the memes started. Here is where things get wicked. They use your face and plant it in cartoons, being thrown out of helicopters, being burned alive in gas chambers, and so on.

What you discover from Twitter is that when you are trolled by the right, you are only one degree separated from real Nazis. Of course they say that they are not really Nazis. They are only ironic Nazis, people using free speech to annoy the left with extremist rhetoric that is not authentic but only play acting.

As if ideas don’t matter. Of course they matter! No one wants to wake up in the morning to 150 notifications from Nazis. That will indeed take your breath away and get your heart pumping. It is supposed to. That is precisely what it is intended to do. If you then go public and write a bleating post about the rise of Nazism in America, they all cheer because that is what they hope for.

How To Deal With It

Dealing with instant feedback from anyone in the world is something new. It is no longer the case that three interactions with the same opinion represent multitudes. It could mean only three people. Even 300 interactions means only 300 interactions. There are 328 million people on Twitter.

Keep that in mind.

Other strategies I use include retweeting insults (this very much confuses your tormentors), calm and rational argumentation, and of course blocking. I feel like I block constantly. It’s not actually true: last I checked, I’ve blocked 140 people and have 26,000 followers. That’s not a huge army of trolls. That’s really a minor annoyance, even if it feels otherwise.

Most of all, I would suggest feeling nothing but gratitude for the spread of information technology. People complain constantly about fake news, internet trolls, hate armies, and so on. But you know what’s worse? Living in the dark ages. No one wants to go back.

Jeffrey Tucker is Director of Content for the Foundation for Economic Education. He is also Chief Liberty Officer and founder of Liberty.me, Distinguished Honorary Member of Mises Brazil, research fellow at the Acton Institute, policy adviser of the Heartland Institute, founder of the CryptoCurrency Conference, member of the editorial board of the Molinari Review, an advisor to the blockchain application builder Factom, and author of five books. He has written 150 introductions to books and many thousands of articles appearing in the scholarly and popular press.

This article was published by The Foundation for Economic Education and may be freely distributed, subject to a Creative Commons Attribution 4.0 International License, which requires that credit be given to the author. Read the original article.

Elon Musk and Merging With Machines – Article by Edward Hudgins

Elon Musk and Merging With Machines – Article by Edward Hudgins

The New Renaissance HatEdward Hudgins
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Elon Musk seems to be on board with the argument that, as a news headline sums up, “Humans must merge with machines or become irrelevant in AI age.” The PayPal co-founder and SpaceX and Tesla Motors innovator has, in the past, expressed concern about deep AI. He even had a cameo in Transcendence, a Johnny Depp film that was a cautionary tale about humans becoming machines.

Has Musk changed his views? What should we think?

Human-machine symbiosis

Musk said in a speech this week at the opening of Tesla in Dubai warned governments to “Make sure researchers don’t get carried away — scientists get so engrossed in their work they don’t realize what they are doing. But he also said that “Over time I think we will probably see a closer merger of biological intelligence and digital intelligence.” In techno-speak he told listeners that “Some high-bandwidth interface to the brain will be something that helps achieve a symbiosis between human and machine intelligence.” Imagine calculating a rocket trajectory by just thinking about it since your brain and the Artificial Intelligence with which it links are one!

This is, of course, the vision that is the goal of Ray Kurzweil and Peter Diamandis, co-founders of Singularity University. It is the Transhumanist vision of philosopher Max More. It is a vision of exponential technologies that could even help us live forever.

AI doubts?

But in the past, Musk has expressed doubts about AI. In July 2015, he signed onto “Autonomous Weapons: an Open Letter from AI & Robotics Researchers,” which warned that such devices could “select and engage targets without human intervention.” Yes, out-of-control killer robots! But it concluded that “We believe that AI has great potential to benefit humanity in many ways … Starting a military AI arms race is a bad idea…” The letter was also signed by Diamandis, one of the foremost AI proponents. So it’s fair to say that Musk was simply offering reasonable caution.

In Werner Herzog’s documentary Lo and Behold: Reveries of a Connected World, Musk explained that “I think that the biggest risk is not that the AI will develop a will of its own but rather that it will follow the will of people that establish its utility function.” He offered, “If you were a hedge fund or private equity fund and you said, ‘Well, all I want my AI to do is maximize the value of my portfolio,’ then the AI could decide … to short consumer stocks, go long defense stocks, and start a war.” We wonder if the AI would appreciate that in the long-run, cities in ruins from war would harm the portfolio? In any case, Musk again seems to offer reasonable caution rather than blanket denunciations.

But in his Dubai remarks, he still seemed reticent. Should he and we be worried?

Why move ahead with AI?

Exponential technologies already have revolutionized communications and information and are doing the same to our biology. In the short-term, human-AI interfaces, genetic engineering, and nanotech all promise to enhance our human capacities, to make us smarter, quicker of mind, healthier, and long-lived.

In the long-term Diamandis contends that “Enabled with [brain-computer interfaces] and AI, humans will become massively connected with each other and billions of AIs (computers) via the cloud, analogous to the first multicellular lifeforms 1.5 billion years ago. Such a massive interconnection will lead to the emergence of a new global consciousness, and a new organism I call the Meta-Intelligence.”

What does this mean? If we are truly Transhuman, will we be soulless Star Trek Borgs rather than Datas seeking a better human soul? There has been much deep thinking about such question but I don’t know and neither does anyone else.

In the 1937 Ayn Rand short novel Anthem, we see an impoverished dystopia governed by a totalitarian elites. We read that “It took fifty years to secure the approval of all the Councils for the Candle, and to decide on the number needed.”

Proactionary!

Many elites today are in the throes of the “precautionary principle.” It holds that if an action or policy has a suspected risk of causing harm … the burden of proof that it is not harmful falls on those proposing the action or policy. Under this “don’t do anything for the first time” illogic, humans would never have used fire, much less candles.

By contrast, Max More offers the “proactionary principle.” It holds that we should assess risks according to available science, not popular perception, account for both risks the costs of opportunities foregone, and protect people’s freedom to experiment, innovate, and progress.

Diamandis, More and, let’s hope, Musk are the same path to a future we can’t predict but which we know can be beyond our most optimistic dreams. And you should be on that path too!

Explore:

Edward Hudgins, “Public Opposition to Biotech Endangers Your Life and Health“. July 28, 2016.

Edward Hudgins, “The Robots of Labor Day“. September 2, 2015.

Edward Hudgins, “Google, Entrepreneurs, and Living 500 Years“. March 12, 2015.

Dr. Edward Hudgins is the director of advocacy for The Atlas Society and the editor and author of several books on politics and government policy. He is also a member of the U.S. Transhumanist Party

U.S. Transhumanist Party Discussion Panel on Aritificial Intelligence – January 8, 2017

U.S. Transhumanist Party Discussion Panel on Aritificial Intelligence – January 8, 2017

The New Renaissance Hat

The U.S. Transhumanist Party’s first expert discussion panel, hosted in conjunction with the Nevada Transhumanist Party, asked panelists to consider emerging developments in artificial intelligence.

The panel took place on Sunday, January 8, 2017, at 10 a.m. U.S. Pacific Time.

This panel was moderated by Gennady Stolyarov II, Chairman of the U.S. Transhumanist Party and Chief Executive of the Nevada Transhumanist Party. Key questions addressed include the following:

(i) What do you think will be realistic, practical applications of artificial intelligence toward improving human lives during the next 5 years?
(ii) Are you genuinely concerned about existential risk stemming from AI, or do you think those concerns are exaggerated / overhyped (or do you have some intermediate position on these issues)?
(iii) On the other hand, do you perceive significant tendencies in contemporary culture to overhype the positive / functional capabilities of AI?
(iv) How can individuals, particularly laypersons, become better at distinguishing between genuine scientific and technological advances in AI and hype / fear-mongering?
(v) What is your techno-optimistic vision for how AI can help improve the future of human (and transhuman) beings?
(vi) What are your thoughts regarding prognostications of an AI-caused technological Singularity? Are they realistic?

Panelists

Zak Field is an international speaker, consultant, games designer, and entrepreneur based in Norwich, UK. A rising thought leader in Mixed Realities (VR/AR), Zak speaks and consults on Mixed Realities-related topics like gamification, Virtual Reality (VR), Augmented Reality (AR), Robotics, Artificial Intelligences (AIs), and the Internet of Things (IoT).

In 2015, Zak partnered with Futurist Miss Metaverse as co-founder of BodAi, a robotics and AI company developing Bods, lifelike humanoid robot companions made accessible through a unique system that accommodates practical 21st-Century business and lifestyle needs.

David J. Kelley is the CTO for the tech venture capital firm Tracy Hall LLC, focused on companies that contribute to high-density sustainable community technologies, as well as the principal scientist with Artificial General Intelligence Inc. David also volunteers as the Chairman of the Transhuman National Committee board. David’s career has been built on technology trends and bleeding each research primarily around the capitalization of product engineering where those new products can be brought to market and made profitable. David’s work on Artificial Intelligence in particular – the ICOM research project with AGI Inc. – is focused on emotion-based systems that are designed to work around human constraints and help remove the ‘human’ element from the design of AI systems, including military applications for advanced self-aware cognitive systems that do not need human interaction.

Hiroyuki Toyama is a Japanese doctoral student at the Department of Psychology in University of Jyväskylä, Finland. His doctoral study has focused on emotional intelligence (EI) in the context of personality and health psychology. In particular, he has attempted to shed light on the way in which trait EI is related to subjective well-being and physiological health. He has a great interest in the future development of artificial EI on the basis of contemporary theory of EI.

Mark Waser is Chief Technology Officer of the Digital Wisdom Institute and D161T4L W15D0M Inc., organizations devoted to the ethical implementation of advanced technologies for the benefit of all. He has been publishing data science research since 1983 and developing commercial AI software since 1984, including an expert system shell and builder for Citicorp, a neural network to evaluate thallium cardiac images for Air Force pilots and, recently, mobile front-ends for cloud-based AI and data science. He is particularly interested in safe ethical architectures and motivational systems for intelligent machines (including humans). As an AI ethicist, he has presented at numerous conferences and published articles in international journals. His current projects can be found at the Digital Wisdom website – http://wisdom.digital/

Demian Zivkovic is CEO+Structure of Ascendance Biomedical, president of the Institute of Exponential Sciences, as well as a scholar of several scientific disciplines. He has been interested in science, particularly neuropsychology, astronomy, and biology from a very young age. His greatest passions are cognitive augmentation and life extension, two endeavors he remains deeply committed to, to this day. He is also very interested in applications of augmented reality and hyperreality, which he believes have incredible potential for improving our lives.

He is a strong believer in interdisciplinarity as a paradigm for understanding the world. His studies span artificial intelligence, innovation science, and business, which he has studied at the University of Utrecht. He also has a background in psychology, which he has previously studied at the Saxion University of Applied Sciences. Demian has co-founded Ascendance Biomedical, a Singapore-based company focused on cutting edge biomedical services. Demian believes that raising capital and investing in technology and education is the best route to facilitate societal change. As a staunch proponent of LGBT rights and postgenderism, Demian believes advanced technologies can eventually provide a definite solution for sex/gender-related issues in society.

Could the Market Really End Meat? – Article by Alex Tabarrok

Could the Market Really End Meat? – Article by Alex Tabarrok

The New Renaissance HatAlex Tabarrok
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Animal rights will be the big social revolution of the 21st century. Most people have a vague feeling that factory farms aren’t quite ethical. But few people are willing to give up meat, so such feelings are suppressed because acknowledging them would only make one feel guilty. Once the costs of giving up meat fall, however, vegetarianism will spread like a prairie wildfire, changing eating habits, the use of farmland, and the science and economics of climate change.

Lab-grown or cultured meat is improving, but so is the science of veggie burgers. Beyond Meat has sold a very successful frozen “chicken” strip since 2013, and their non-frozen burger patties are just now seeing widespread distribution in the meat aisle at Whole Foods. Beyond Meat extracts protein from peas and then combines it with other vegetable elements under heating, cooling, and pressure to realign the proteins in a way that simulates the architecture of beef.

I picked up a two-pack on the weekend. Beyond Meat burgers look and cook like meat. But what about the taste?

The taste is excellent. The burger has a slightly smokey taste, not exactly like beef, but like meat. If you had never tasted a buffalo burger before, and I told you that this was a buffalo burger, you would have no reason to doubt me. A little sauce and salt and pepper, and this is a very good-tasting burger, not a sacrifice for morality.

The price is currently more than beef, $6 for two patties, but that’s Whole-Foods expensive, not out-of-reach expensive. I will buy more.

The revolution has begun.

The second picture is the BuzzFeed version. My burger wasn’t quite so artfully arranged but was still delicious, and I attest to the overall accuracy.

This post first appeared at Marginal Revolution.

Alex Tabarrok is a professor of economics at George Mason University. He blogs at Marginal Revolution with Tyler Cowen.

The Good News They’re Not Telling You – Article by Thomas E. Woods, Jr.

The Good News They’re Not Telling You – Article by Thomas E. Woods, Jr.

The New Renaissance HatThomas E. Woods, Jr.
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As we look at things that impress us technologically we also have a certain trepidation, because we’re told that robots are going to take our jobs. “Yes, the internet is wonderful,” we may say, “but robots, I don’t want those.”

I don’t mean to make light of this because robots are going to take a lot of jobs. They’re going to take a lot of blue collar jobs, and they’re going to take a lot of white collar jobs you don’t think they can take. Already there are robots that can dispense pills at pharmacies. That’s being done in California. They have not made one mistake. You can’t say that about human pharmacists, who are now free to be up front talking to you while the robot fills the prescription.

Much of this is discussed by author Kevin Kelly in his new book The Inevitable, with the subtitle Understanding the 12 Technological Forces that Will Shape Our Future. It’s incredible what robots can do and what they will be able to do.

Automation Really Is Taking Our Jobs

To me, just the fact that one of Google’s newest computers can caption a photo perfectly — it can figure out what’s happening in the photo and give a perfect caption — is amazing. Just when you think “a machine can’t do my job,” maybe it can.

What kind of world is this we’re moving into? I understand the fear about that. But, at the same time, let’s think, first of all, about what happened in the past.

In the past, most people worked on farms, and automation took away 99 percent of those jobs. Literally 99 percent. They’re gone. People wound up with brand new jobs they could never have anticipated. And in pursuing those jobs we might even argue that we became more human. Because we diversified. Because we found a niche for ourselves that was unique to us. Automation is going to make it possible for human beings to do work that is more fulfilling.

How is that? Well, first let’s think about the kinds of jobs that automation and robots do that we couldn’t do even if we tried. Making computer chips, there’s no one in this room who could do that. We don’t have the precision and the control to do that. We can’t inspect every square millimeter of a CAT scan to look for cancer cells. These are all points Kevin Kelly is trying to make to us. We can’t inflate molten glass into the shape of a bottle.

So, there are many tasks that are done by robots, through automation that are tasks we physically could not do at all, and would not get done otherwise.

Automation Creates Luxuries We Didn’t Know Were Possible

But also automation creates jobs we didn’t even know we wanted done. Kelly gives this example:

Before we invented automobiles, air-conditioning, flat-screen video displays, and animated cartoons, no one living in ancient Rome wished they could watch pictures move while riding to Athens in climate-controlled comfort. … When robots and automation do our most basic work, making it relatively easy for us to be fed, clothed, and sheltered, then we are free to ask, “What are humans for?”

Kelly continues:

Industrialization did more than just extend the average human lifespan. It led a greater percentage of the population to decide that humans were meant to be ballerinas, full-time musicians, mathematicians, athletes, fashion designers, yoga masters, fan-fiction authors, and folks with one-of-a kind titles on their business cards.

The same is true of automation today. We will look back and be ashamed that human beings ever had to do some of the jobs they do today.

Turning Instead to Art, Science, and More

Now here’s something controversial. Kelly observes that there’s a sense in which we want jobs in which productivity is not the most important thing. When we think about productivity and efficiency, robots have that all over us. When it comes to “who can do this thing faster,” they can do it faster. So let them do jobs like that. It’s just a matter of — so to speak — robotically doing the same thing over and over again as fast as possible. We can’t compete there. Why bother?

Where can we compete? Well, we can compete in all the areas that are gloriously inefficient. Science is gloriously inefficient because of all the failures that are involved along the way. The same is true with innovation. The same is true of any kind of art. It is grotesquely inefficient from the point of view of the running of a pin factory. Being creative is inefficient because you go down a lot of dead ends. Healthcare and nursing: these things revolve around relationships and human experiences. They are not about efficiency.

So, let efficiency go to the robots. We’ll take the things that aren’t so focused on efficiency and productivity, where we excel, and we’ll focus on relationships, creativity, human contact, things that make us human. We focus on those things.

Automation Really Does Make Us Richer

Now, with extraordinary efficiency comes fantastic abundance. And with fantastic abundance comes greater purchasing power, because of the pushing down of prices through competition. So even if we earn less in nominal terms, our paychecks will stretch much further. That’s how people became wealthy during and after the Industrial Revolution. It was that we could suddenly produce so many more goods that competitive pressures put downward pressure on prices. That will continue to be the case. So, even if I have a job that pays me relatively little — in terms of how many of the incredibly abundant goods I’ll be able to acquire — it will be a salary the likes of which I can hardly imagine.

Now, I can anticipate an objection. This is an objection I’ll hear from leftists and also from some traditionalist conservatives. They’ll sniff that consumption and greater material abundance don’t improve us spiritually; they are actually impoverishing for us.

Well, for one thing, there’s actually much more materialism under socialism. When you’re barely scraping enough together to survive, you are obsessed with material things. But, second, let’s consider what we have been allowed to do by these forces. First, by industrialization alone. I’ve shared this before, but on my show I had Deirdre McCloskey once and she pointed out that in Burgundy, as recently as the 1840s, the men who worked the vineyards — after the crop was in, in the fall — they would go to bed and they would sleep huddled together, and they basically hibernated like that for months because they couldn’t afford the heat otherwise, or the food they would need to eat if they were expending energy by walking around. Now that is unhuman. And they don’t have to live that way anymore because they have these “terrible material things that are impoverishing them spiritually.”

The world average in terms of daily income has gone from $3 a day a couple hundred years ago to $33 a day. And, in the advanced countries, to $100 a day.
Yes, true, people can fritter that away on frivolous things, but there will always be frivolous people.

Meanwhile, we have the leisure to do things like participate in an American Kennel Club show, or go to an antiques show, or a square-dancing convention, or be a bird watcher, or host a book club in your home. These are things that would have been unthinkable to anyone just a few hundred years ago.

The material liberation has liberated our spirits and has allowed us to live more fulfilling lives than before. So, I don’t want to hear the “money can’t give you happiness” thing. If this doesn’t make you happy — that people are free to do these things and pursue things they love — then there ain’t no satisfying you.

Tom Woods, a senior fellow of the Mises Institute, is the author of a dozen books, most recently Real Dissent: A Libertarian Sets Fire to the Index Card of Allowable Opinion. Tom’s articles have appeared in dozens of popular and scholarly periodicals, and his books have been translated into a dozen languages. Tom hosts the Tom Woods Show, a libertarian podcast that releases a new episode every weekday. With Bob Murphy, he co-hosts Contra Krugman, a weekly podcast that refutes Paul Krugman’s New York Times column.

This article was published on Mises.org and may be freely distributed, subject to a Creative Commons Attribution United States License, which requires that credit be given to the author.

The IRS Believes All Bitcoin Users are Tax Cheats – Article by Jim Harper

The IRS Believes All Bitcoin Users are Tax Cheats – Article by Jim Harper

The New Renaissance HatJim Harper
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The Internal Revenue Service has filed a “John Doe” summons seeking to require U.S. Bitcoin exchange Coinbase to turn over records about every transaction of every user from 2013 to 2015. That demand is shocking in sweep, and it includes: “complete user profile, history of changes to user profile from account inception, complete user preferences, complete user security settings and history (including confirmed devices and account activity), complete user payment methods, and any other information related to the funding sources for the account/wallet/vault, regardless of date.” And every single transaction:

All records of account/wallet/vault activity including transaction logs or other records identifying the date, amount, and type of transaction (purchase/sale/exchange), the post transaction balance, the names or other identifiers of counterparties to the transaction; requests or instructions to send or receive bitcoin; and, where counterparties transact through their own Coinbase accounts/wallets/vaults, all available information identifying the users of such accounts and their contact information.

The demand is not limited to owners of large amounts of Bitcoin or to those who have transacted in large amounts. Everything about everyone.

Equally shocking is the weak foundation for making this demand. In a declaration submitted to the court, an IRS agent recounts having learned of tax evasion on the part of one Bitcoin user and two companies. On this basis, he and the IRS claim “a reasonable basis for believing” that all U.S. Coinbase users “may fail or may have failed to comply” with the internal revenue laws.

If that evidence is enough to create a reasonable basis to believe that all Bitcoin users evade taxes, the IRS is entitled to access the records of everyone who uses paper money.

Anecdotes and online bragodaccio about tax avoidance are not a reasonable basis to believe that all Coinbase users are tax cheats whose financial lives should be opened to IRS investigators and the hackers looking over their shoulders. There must be some specific information about particular users, or else the IRS is seeking a general warrant, which the Fourth Amendment denies it the power to do.

Speaking of the Fourth Amendment, that rock-bottom “reasonable basis” standard is probably insufficient. Americans should and probably do have Fourth Amendment rights in information they entrust to financial services providers required by contract to keep it confidential. Observers of Fourth Amendment law know full-well that the “third-party doctrine,” which cancels Fourth Amendment interests in shared information, is in retreat.

The IRS’s effort to strip away the privacy of all Coinbase users is more broad than the government’s effort in recent cases dealing with cell site location information. In the CSLI cases, the government has sought data about particular suspects, using a standard below the probable cause standard required by the Fourth Amendment (“specific and articulable facts showing that there are reasonable grounds to believe”).

In United States v. Benbow, we argued to the D.C. Circuit that people retain a property right in information they share with service providers under contractual privacy obligations. This information is a “paper or effect” for purposes of the Fourth Amendment. Accordingly, a probable cause standard should apply to accessing that data.

Again, the government in the CSLI cases sought information about the cell phone use of particular suspects, and that is controversial enough given the low standard of the Stored Communications Act. Here, the IRS is seeking data about every user of Bitcoin, using a standard that’s even lower.

Coinbase’s privacy policy only permits it to share user information with law enforcement when it is “compelled to do so.” That implies putting up a reasonable fight for the interests of its users. Given the low standard and the vastly overbroad demand, Coinbase seems obligated to put up that fight.

Jim Harper is a senior fellow at the Cato Institute, working to adapt law and policy to the information age in areas such as privacy, cybersecurity, telecommunications, intellectual property, counterterrorism, government transparency, and digital currency. A former counsel to committees in both the U.S. House and the U.S. Senate, he went on to represent companies such as PayPal, ICO-Teledesic, DigitalGlobe, and Verisign, and in 2014 he served as Global Policy Counsel for the Bitcoin Foundation.

Harper holds a JD from the University of California–Hastings College of Law.

This work by Cato Institute is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 3.0 Unported License. Read the original article.

Nevada Transhumanist Party Interview on the EMG Radio Show – November 7, 2016

Nevada Transhumanist Party Interview on the EMG Radio Show – November 7, 2016

The New Renaissance HatG. Stolyarov II
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On November 7, 2016, Mr. Stolyarov had his first radio interview as Chief Executive of the Nevada Transhumanist Party. The EMG Radio Show on 91.5 The Rebel HD-2, hosted by Andre’ Haynes, interviewed Mr. Stolyarov for about 10 minutes on the mission of the Nevada Transhumanist Party and transhumanist views on emerging technologies – such as artificial wombs, designer babies, artificial intelligence, and life extension.

The interview begins at 2:00 in the video.

This recording was reproduced with permission from the EMG Radio Show.

Download the interview recording here.

Visit the Nevada Transhumanist Party page here.

Join the Nevada Transhumanist Party Facebook group here.

Find out about Mr. Stolyarov here.

NTP-Logo-9-1-2015

Proxima Centauri B – Painting by Wendy Stolyarov

Proxima Centauri B – Painting by Wendy Stolyarov

wendy_stolyarov_proxima_centauri_bProxima Centauri B – by Wendy Stolyarov

Note: Left-click on this image to get a full view of this digital work of fractal art.

Inspired by the recently-discovered habitable exoplanet orbiting Proxima Centauri, this painting depicts a risk-taking space colonist/engineer overseeing the construction of a Hyperloop (with the aid of sentient drones!) in a bright, and hopefully near, future.

Inspiration:An Epochal Discovery: A Habitable Planet Orbits a Nearby Star” – Rebecca Boyle, The Atlantic, August 24, 2016

See the index of Wendy Stolyarov’s art works. 

Visit Wendy Stolyarov’s website and view her art portfolio.

Wendy D. Stolyarov is an accomplished writer, thinker, artist, and graphic designer, who brings her immense talent and capacity for innovation to The Rational Argumentator and the wider movement for the advancement of Reason, Rights, and Progress. Mrs. Stolyarov uses computer technology masterfully to produce precise, realistic, life-affirming art. She has also contributed multiple essays to TRA and designed many of the magazine’s newer logos, including its banner and the New Renaissance top hat. Mrs. Stolyarov is married to G. Stolyarov II, the Editor-in-Chief of The Rational Argumentator. She is the illustrator for Death is Wrong, the children’s book on indefinite life extension written by Mr. Stolyarov in 2013. 

Does Star Trek Boldly Go Beyond Scarcity? – Article by Frederik Cyrus Roeder

Does Star Trek Boldly Go Beyond Scarcity? – Article by Frederik Cyrus Roeder

The New Renaissance HatFrederik Cyrus Roeder
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As a long-time Trekkie (with several conventions and selfies with William Shatner) and an economist, I was more than delighted when a good friend of mine gave me the recently published book Trekonomics: The Economics Behind Star Trek by Manu Saadia.

Saadia’s highly exciting book attempts to explain the economy of Star Trek and describes the Federation of United Planets (which includes Earth) as a post-scarcity society that no longer uses money because everyone maximizes their utility by just doing what they want to do. The main driving force behind people’s behavior is vanity, not profit. He calls this economic system “Trekonomics.”

Economics Is an Intergalactic Concept

While describing a post-scarcity society, Saadia admits that there are some resources that are scarce. He mainly focuses on dilithium crystals that are the source of energy in the Star Trek universe:

Logic would dictate that near-absolute abundance has driven prices to zero on all but few strategic goods. These strategic goods are of limited use for most people anyway. I do not need a big chunk of dilithium crystals in the course of my everyday life. Matter-antimatter power plants require it, whether on board starships or on the ground, but not me. I am not in the market for it, society as a whole is.

While Saadia praises the replicator (Star Trek’s version of the universal 3D printer) as the driving force behind post-scarcity, he omits the fact that replicators (and holodecks, and warp drives needed in delivery shuttles bringing the latest vintage of Chateau Picard to your cottage on Mars) require energy in order to create food out of nothing.

If there’s a shortage of dilithium, there needs to be a market in order to efficiently allocate energy. Therefore, every individual is interested in a sufficient supply of dilithium crystals. An analogy to our world can be seen in oil dwells or nuclear power plants. While individuals rarely explore oil fields or build power plants, they do purchase their product (energy) on a daily basis.

Even if every one of the tens of billions of citizens of the Federation would act altruistically, it would be impossible to allocate energy to the projects with the highest priority. Only central planning or a market for energy can solve this.

The 24th century’s technological progress has reduced all physical resources to one: energy. Humans and aliens can nearly produce everything out of energy. This is great and probably significantly cuts down value/supply-chains, but there is still scarcity.

Price Controls in the Trek Universe

The value chain of the Federation’s economy most likely includes the following few stakeholders: dilithium explorers and miners, dilithium transporters/shippers, dilithium power plant operators, power grid operators, B2B replicator manufacturers (those replicators that replicate replicators), replicator owners, and replicator maintenance providers. 

Assuming there’s a natural monopoly in running these services, one company or institution running all of this might also be thinkable (though given our experiences with centrally managed energy supply, I would highly doubt that there’s a natural monopoly in the dilithium value chain).

Without a price for the resource energy, a single individual could deplete the Federation’s dilithium supplies by merely replicating a galaxy full of larger-than-life Seven of Nine action figures. Thus a price system for energy is crucial in order to allow consumer choice in the Federation. The only other way to solve this issue would be the creation of the United Socialist Republics of the Galaxy (USRG) and centrally plan the energy distribution. Good luck with queuing for holodeck time in that USRG!

Light-Speed, Among Other Things, Isn’t Immune to Scarcity

Dilithium seems to perfectly qualify as a private good because both rivalry (it is scarce and you need to find it somewhere in deep and hostile space) and exclusivity (it’s pretty easy to cut someone off the energy grid) apply.

While Saadia acknowledges the scarcity of dilithium, he misses several other scarce goods:

Private Property: rivalry also exists when it comes to the use of land. Imagine a beautiful cliff in Europe that gives you a perfect view of Saturn during sunset. The cliff has space for exactly one cottage. Who decides who can build and live there? Galactic homesteading is probably a feasible means of solving this problem in times of early inter-planetary exploration, but the moment the galaxy gets more crowded, a land-registry proving property rights will be necessary in order to prevent and solve disputes and facilitate the transfer of ownership.

Unique locations and goods: Saadia admits that there’s a scarcity of seats at Sisko’s restaurant or bottles of the famous Chateau Picard, but as people have overcome the idea of enjoying status, they are not interested in over-consuming such gems in the galaxy.

In trekonomics, the absence of money implies that status is not tied to economic wealth or discretionary spending. Conspicuous consumption and luxury have lost their grip on people’s imaginations. The opposition between plenty and scarcity, which under our current conditions determines a large cross section of prices and purchasing behaviors, is no longer relevant.

This reasoning comes short in explaining how people demand dinner at Sisko’s or a good bottle of wine at all, and what happens if the demand is higher than the supply. Would first customers start hoarding? Are there black markets for these non-replicated goods and experiences?

Incentives: a Terran settler on Mars craves the 2309 vintage of Chateau Picard and wants to get it delivered in light speed from the South of France. How do we incentivize the shuttle pilot (beaming wine spoils the tannins) to stop soaking in the sun in the Mediterranean and swing his body behind the helm of a shuttle? How do we compensate him for the time and energy he spent delivering the wine to the Red Planet? If vanity is the major driving force in trekonomics, one can just hope that someone sees more vanity in the delivery of this excellent wine instead of chugging it day-in day-out himself. A more realistic way of getting people to do (annoying) things is to create incentives (e.g. to pay in dilithium units).

Live long and prosper as long the central planners allow it?

Star Trek Federation is a great thought experiment on what a post-scarcity society could look like. However, there are major shortcomings such as the allocation of property rights, a price system for energy, incentivization of services, and the existence of rivalry.

A free, prosperous, and open society such as the Federation can only function with a price system in place in order to deal with the scarcity of energy. If trekonomics would really be applied in the Federation, we would see a much more repressive version of this interplanetary union forcing its citizens to work in certain professions and rationing energy.

frederik-roeder


Frederik Cyrus Roeder

Fred Roeder is the Vice President of Students for Liberty and member of the Executive Board at Young Voices. He is based in Germany.

This article was originally published on FEE.org. Read the original article.