Can I read Proxyeconomics, the Inevitable Corruption of Proxy-based Competition on EtoBox?

Proxyeconomics, the Inevitable Corruption of Proxy-based Competition by Braganza, Oliver is a scholarly article available to read on EtoBox.

What is Proxyeconomics, the Inevitable Corruption of Proxy-based Competition about?

When society maintains a competitive system to promote an abstract goal, competition by necessity relies on imperfect proxy measures. For instance profit is used to measure value to consumers, patient volumes to measure hospital performance, or the Journal Impact Factor to measure scientific value. Here we note that \textit{any proxy measure in a competitive societal system becomes a target for the competitors, promoting corruption of the measure}, suggesting a general applicability of what is best known as Campbell's or Goodhart's Law. Indeed, prominent voices have argued that the scientific reproducibility crisis or inaction to the threat of global warming represent instances of such competition induced corruption. Moreover, competing individuals often report that competitive pressures limit their ability to act according to the societal goal, suggesting lock-in. However, despite the profound implications, we lack a coherent theory of such a process. Here we propose such a theory, formalized as an agent based model, integrating insights from complex systems theory, contest theory, behavioral economics and cultural evolution theory. The model reproduces empirically observed patter

Author

Braganza, Oliver

Published

2018

Language

EN