Capitalists, Governments, and Charity
Matthew Bishop is American Business Editor and New York Bureau Chief for The Economist. Philanthrocapitalism, his 2008 book (with Michael Green) on the business of philanthropy was described as "terrific" by the New York Times, and called "the definitive guide to a new generation of philanthropists who understand innovation and risk-taking and who will play a crucial part in solving the biggest problems facing the world," by New York Mayor Michael Bloomberg.
"Economics A to Z", the official Economist layperson's guide to economics, was published in 2009. He is now writing a book about the current economic crisis, and what must be done to improve how capitalism works. He was previously The Economist's London-based Business Editor. Matthew is the author of several Economist special survey supplements, including "The Business of Giving", which looks at the industrial revolution taking place in philanthropy; "Kings of Capitalism", an influential analysis of the private-equity industry; and "Capitalism and its Troubles", an examination of the impact of problems such as the collapse of Enron in 2002 which highlighted many of the flaws in the system that led to the current crisis.
Before joining The Economist, Matthew was on the faculty of London Business School, where he co-authored three books for Oxford University Press. He has served as a member of the Sykes Commission on the investment system in the 21st Century. He was also on the Advisors Group of the United Nations International Year of Microcredit 2005. He has been honored as a Young Global Leader by the World Economic Forum. He is a graduate of Oxford University.
Question: Are for-profit philanthropists more effective than governments at charity?
Matthew Bishop: Well, I think we’ve seen a lot about how governments fail in trying to solve big social problems because they tend to get very risk adverse. Politicians are always thinking about the next election so they don’t want to take a risk that might fail. And I think a lot of social change requires people to try things that you don’t quite know whether it’s going to work or not. And that’s the press. The press and really get on the back of a politician who does something that doesn’t work. Business people are much more used to that mindset of, I’ll take a risk, I know there’s a 20% chance it is going to succeed, but if I do enough of those things, then we’ll find the answer. And so that’s why I think the role of social innovation is much better driven by the private sector. Government then has a huge role to play in taking successful ideas pioneered by the private sector by philanthrocapitalists and scaling it up and taking the idea to a level where hundreds of millions of people benefit rather than smaller numbers. And I was very struck by Bill Gates. Although he is giving away three or four billion dollars a year, which seems like a huge amount of money, he is very conscious that compared to the scale of the problems he is trying to address in the developing world, that money is a drop in the ocean compared to the sort of money that governments have at their disposal. So, part of his challenge as a philanthropist is not just to come up with clever ideas for solving social problems, but to persuade those who have far more money than he does, which are by and large, governments to use their money and put their money behind his in innovative ideas.
Question: Are you optimistic about microfinance loan facilitators like kiva.org?
Matthew Bishop: Kiva.org is a fantastic innovation. It’s allowing people with $20 to give away to have some of the same experience that someone with $200 million or $2 billion to give away is going to have. Because a lot of us find we write a check to a charity and that’s all we ever hear about it. The money goes off, we don’t know whether it’s made any different whatsoever. With Kiva, you are actually able to interact with the people you are giving to. And you get the feedback of this person. This small farmer say you’ve lent money to, a few months later you’re check comes back and realize that you’re money has made a difference, they’ve managed to put that money to work and they’ve made some money and you feel great about him and then you say, well who am I going to help next. And you also see on Kiva, groups – teams forming, to compete with each other to give more money to different people and different causes, so you have at Kiva Obama supporters who are competing with the Kiva McCain people. Last year during the election, the Kiva atheists are competing with the Kiva Christians. And that’s building a sort of discussion amongst those groups that is leading to a much more informed public debate about aid and how to do it effectively and how to do giving effectively. And increasingly, I think we’re going to see partnerships between these mass organizations where we can all get involved with both big philanthropy like the Gates foundation and indeed with the government. And one of the ideas that Michael Green and I are proposing throughout philanthrocapitalism work is that 10 percent of the aid budget ought to be given away through these sites were all the members of the public can have a say in how the money is given, so Kiva should be given matching funds by the government.
Microfinance has become one of the great success stories of philanthropy and aid. But what’s so interesting about microfinance is that what 30 years ago started out as a charity, a way to basically help people help themselves get out of poverty has become a very, very profitable business. There’s a Mexican microfinance institution called Compo Tomos that was started as a charity, but had an IPO last year that raised over a billion dollars, and is one of the strongest performing shares on the Mexican Stock Exchange. This has been hugely controversial because some people say; well you shouldn’t be making money out of providing things that the poor need. But actually what’s happened is that a lot more money has gone into helping the poor because there’s a chance to make money on their investment than every comes through charity. You could never reach as many people through charity as you can through marshalling some of that money into for profit capital markets. And so, a lot of kind of – well I think some of the cleverest philanthrocapitalists and social entrepreneurs are saying, well maybe there’s a load of other services for the poor in the developing world that we traditionally have thought as charities, like providing them with water, or with healthcare, or with education, that we can actually find a business model that makes profit, and therefore, people who have a lot of capital to invest in profitable growth opportunities will say, “Let’s get in and put a lot of money behind this.” Actually, if they do that, we can actually scale out those services to the poor much quicker than by waiting for charity to do it. And so, this is a very exciting area and we are going to see a lot of action over the next few years. It’s going to be controversial, but I think it could end up making a huge difference in helping the poor far more than some of the traditional sorts of charity.
Question: How do you respond to Dambisa Moyo’s argument that charitable money promotes corruption in Africa?
Matthew Bishop: Well, Dambisa Moyo’s, Dead Aid is a cry from the heart from an African woman who has seen terrible corruption as a result of aid, hold Africa back. I think thought it is more emotional in its rather simple message that all aid is bad than it is rational because some aid is needed and the private sector will not do it on its own. The question is, can we get smart aid rather than some of the old forms of aid. Smart aid is what we think the essence of philanthrocapitalism is. It’s about business philanthropy, social entrepreneurs, charities, governments all coming together around how do we most effectively design partnerships that quickly deliver results. So its very results orientated. And that, I think, is the future of aid. But to argue that all aid is dead, all aid is useless, even though there is plenty of evidence that a lot of aid in the past has been useless, and bad, and actually harmful to Africa I think is wrong.
Recorded on: September 24, 2009
Philanthrocapatilists and small donors are increasingly provide charity independently of governments and large institutions. Is this a good trend?
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How would the ability to genetically customize children change society? Sci-fi author Eugene Clark explores the future on our horizon in Volume I of the "Genetic Pressure" series.
- A new sci-fi book series called "Genetic Pressure" explores the scientific and moral implications of a world with a burgeoning designer baby industry.
- It's currently illegal to implant genetically edited human embryos in most nations, but designer babies may someday become widespread.
- While gene-editing technology could help humans eliminate genetic diseases, some in the scientific community fear it may also usher in a new era of eugenics.
Tribalism and discrimination<p>One question the "Genetic Pressure" series explores: What would tribalism and discrimination look like in a world with designer babies? As designer babies grow up, they could be noticeably different from other people, potentially being smarter, more attractive and healthier. This could breed resentment between the groups—as it does in the series.</p><p>"[Designer babies] slowly find that 'everyone else,' and even their own parents, becomes less and less tolerable," author Eugene Clark told Big Think. "Meanwhile, everyone else slowly feels threatened by the designer babies."</p><p>For example, one character in the series who was born a designer baby faces discrimination and harassment from "normal people"—they call her "soulless" and say she was "made in a factory," a "consumer product." </p><p>Would such divisions emerge in the real world? The answer may depend on who's able to afford designer baby services. If it's only the ultra-wealthy, then it's easy to imagine how being a designer baby could be seen by society as a kind of hyper-privilege, which designer babies would have to reckon with. </p><p>Even if people from all socioeconomic backgrounds can someday afford designer babies, people born designer babies may struggle with tough existential questions: Can they ever take full credit for things they achieve, or were they born with an unfair advantage? To what extent should they spend their lives helping the less fortunate? </p>
Sexuality dilemmas<p>Sexuality presents another set of thorny questions. If a designer baby industry someday allows people to optimize humans for attractiveness, designer babies could grow up to find themselves surrounded by ultra-attractive people. That may not sound like a big problem.</p><p>But consider that, if designer babies someday become the standard way to have children, there'd necessarily be a years-long gap in which only some people are having designer babies. Meanwhile, the rest of society would be having children the old-fashioned way. So, in terms of attractiveness, society could see increasingly apparent disparities in physical appearances between the two groups. "Normal people" could begin to seem increasingly ugly.</p><p>But ultra-attractive people who were born designer babies could face problems, too. One could be the loss of body image. </p><p>When designer babies grow up in the "Genetic Pressure" series, men look like all the other men, and women look like all the other women. This homogeneity of physical appearance occurs because parents of designer babies start following trends, all choosing similar traits for their children: tall, athletic build, olive skin, etc. </p><p>Sure, facial traits remain relatively unique, but everyone's more or less equally attractive. And this causes strange changes to sexual preferences.</p><p>"In a society of sexual equals, they start looking for other differentiators," he said, noting that violet-colored eyes become a rare trait that genetically engineered humans find especially attractive in the series.</p><p>But what about sexual relationships between genetically engineered humans and "normal" people? In the "Genetic Pressure" series, many "normal" people want to have kids with (or at least have sex with) genetically engineered humans. But a minority of engineered humans oppose breeding with "normal" people, and this leads to an ideology that considers engineered humans to be racially supreme. </p>
Regulating designer babies<p>On a policy level, there are many open questions about how governments might legislate a world with designer babies. But it's not totally new territory, considering the West's dark history of eugenics experiments.</p><p>In the 20th century, the U.S. conducted multiple eugenics programs, including immigration restrictions based on genetic inferiority and forced sterilizations. In 1927, for example, the Supreme Court ruled that forcibly sterilizing the mentally handicapped didn't violate the Constitution. Supreme Court Justice Oliver Wendall Holmes wrote, "… three generations of imbeciles are enough." </p><p>After the Holocaust, eugenics programs became increasingly taboo and regulated in the U.S. (though some states continued forced sterilizations <a href="https://www.uvm.edu/~lkaelber/eugenics/" target="_blank">into the 1970s</a>). In recent years, some policymakers and scientists have expressed concerns about how gene-editing technologies could reanimate the eugenics nightmares of the 20th century. </p><p>Currently, the U.S. doesn't explicitly ban human germline genetic editing on the federal level, but a combination of laws effectively render it <a href="https://academic.oup.com/jlb/advance-article/doi/10.1093/jlb/lsaa006/5841599#204481018" target="_blank" rel="noopener noreferrer">illegal to implant a genetically modified embryo</a>. Part of the reason is that scientists still aren't sure of the unintended consequences of new gene-editing technologies. </p><p>But there are also concerns that these technologies could usher in a new era of eugenics. After all, the function of a designer baby industry, like the one in the "Genetic Pressure" series, wouldn't necessarily be limited to eliminating genetic diseases; it could also work to increase the occurrence of "desirable" traits. </p><p>If the industry did that, it'd effectively signal that the <em>opposites of those traits are undesirable. </em>As the International Bioethics Committee <a href="https://academic.oup.com/jlb/advance-article/doi/10.1093/jlb/lsaa006/5841599#204481018" target="_blank" rel="noopener noreferrer">wrote</a>, this would "jeopardize the inherent and therefore equal dignity of all human beings and renew eugenics, disguised as the fulfillment of the wish for a better, improved life."</p><p><em>"Genetic Pressure Volume I: Baby Steps"</em><em> by Eugene Clark is <a href="http://bigth.ink/38VhJn3" target="_blank">available now.</a></em></p>
Answering the question of who you are is not an easy task. Let's unpack what culture, philosophy, and neuroscience have to say.
- Who am I? It's a question that humans have grappled with since the dawn of time, and most of us are no closer to an answer.
- Trying to pin down what makes you you depends on which school of thought you prescribe to. Some argue that the self is an illusion, while others believe that finding one's "true self" is about sincerity and authenticity.
- In this video, author Gish Jen, Harvard professor Michael Puett, psychotherapist Mark Epstein, and neuroscientist Sam Harris discuss three layers of the self, looking through the lens of culture, philosophy, and neuroscience.
The newly discovered galaxies are 62x bigger than the Milky Way.
- Two recently discovered radio galaxies are among the largest objects in the cosmos.
- The discovery implies that radio galaxies are more common than previously thought.
- The discovery was made while creating a radio map of the sky with a small part of a new radio array.
An extremely active galaxy<p> <br> </p><p>Radio galaxies are galaxies with extremely active central regions, known as nuclei, which shine incredibly brightly in some part of the electromagnetic spectrum. They are known for emitting large jets of ionized matter into intergalactic space at speeds approaching that of light. They are related to quasars and blazars. It is thought that supermassive black holes are the energy source that make these galaxies shine so brightly. </p><p>What makes these two galaxies (known as MGTC J095959.63+024608.6 and MGTC J100016.84+015133.0) so interesting is their size. Only 831 similar, "giant radio galaxies" are known to exist. As study co-author Dr. Matthew Prescott explains, these are particularly large even for <a href="https://www.forbes.com/sites/jamiecartereurope/2021/01/18/we-just-found-two-mysterious-galaxies-62-times-bigger-than-our-milky-way-say-scientists/?sh=76edf29c2892" target="_blank" rel="noopener noreferrer">giants</a>:</p><p>"These two galaxies are special because they are amongst the largest giants known, and in the top 10 percent of all giant radio galaxies. They are more than two mega-parsecs across, which is around 6.5 million light-years or about 62 times the size of the Milky Way. Yet they are fainter than others of the same size."</p><p>The smaller of the two is just over two megaparsecs across, roughly six and a half million light-years. The larger is almost another half megaparsec larger than <a href="http://www.sci-news.com/astronomy/giant-radio-galaxies-09266.html" target="_blank">that</a>. <br></p><p>Exactly how these things get to be so massive remains a mystery. Some have proposed that they are ejecting matter into unusually empty space, allowing for the jet to expand further, though some evidence contradicts this. The most commonly suggested idea is that they are simply much, much older than the previously observed radio galaxies, allowing more time for expansion to occur.</p>
How does this change our understanding of the universe?<p> While exciting and impressive on their own, the findings also suggest that there are very many more of these giant galaxies than previously supposed. If you were going off the previous estimates for how typical these galaxies are, then the odds of finding these two would be 1 in 2.7×10<sup>6. </sup>This suggests that there must be more, given that the alternative is that the scientists were impossibly lucky. </p><p> In the study, the researchers also apply this reasoning to smaller versions of these galaxies, saying:</p><p> "While our analysis has considered only enormous (>2 Mpc) objects, if radio galaxies must grow to reach this size, then we may expect to similarly uncover in our data previously undetected GRGs with smaller sizes."</p><p> Exactly how common radio galaxies and turn out to be remains to be seen. Still, it will undoubtedly be an exciting time for radio astronomy as new telescopes are turned skywards to search for them.</p>
How did they find them?<iframe width="730" height="430" src="https://www.youtube.com/embed/c1ZW3nVfe5A" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture" allowfullscreen></iframe><p> The new galaxies were discovered by the amusingly named <a href="https://www.sarao.ac.za/gallery/meerkat/" target="_blank" rel="noopener noreferrer">MeerKAT</a> radio telescope in South Africa during the creation of a new radio map of the sky. The MeerKAT is the first of what will soon be the <a href="https://en.wikipedia.org/wiki/Square_Kilometre_Array" target="_blank" rel="noopener noreferrer">Square Kilometre Array</a> of telescopes, which will span several countries in the southern hemisphere and make even more impressive discoveries in radio astronomy possible. </p>
The father of all giant sea bugs was recently discovered off the coast of Java.
- A new species of isopod with a resemblance to a certain Sith lord was just discovered.
- It is the first known giant isopod from the Indian Ocean.
- The finding extends the list of giant isopods even further.
The ocean depths are home to many creatures that some consider to be unnatural.<img type="lazy-image" data-runner-src="https://assets.rebelmouse.io/eyJhbGciOiJIUzI1NiIsInR5cCI6IkpXVCJ9.eyJpbWFnZSI6Imh0dHBzOi8vYXNzZXRzLnJibC5tcy8yMzU2NzY4My9vcmlnaW4ucG5nIiwiZXhwaXJlc19hdCI6MTYxNTUwMzg0NX0.BTK3zVeXxoduyvXfsvp4QH40_9POsrgca_W5CQpjVtw/img.png?width=980" id="b6fb0" class="rm-shortcode" data-rm-shortcode-id="2739ec50d9f9a3bd0058f937b6d447ac" data-rm-shortcode-name="rebelmouse-image" data-width="1512" data-height="2224" />
What benefit does this find have for science? And is it as evil as it looks?<div class="rm-shortcode" data-media_id="7XqcvwWp" data-player_id="FvQKszTI" data-rm-shortcode-id="8506fcd195866131efb93525ae42dec4"> <div id="botr_7XqcvwWp_FvQKszTI_div" class="jwplayer-media" data-jwplayer-video-src="https://content.jwplatform.com/players/7XqcvwWp-FvQKszTI.js"> <img src="https://cdn.jwplayer.com/thumbs/7XqcvwWp-1920.jpg" class="jwplayer-media-preview" /> </div> <script src="https://content.jwplatform.com/players/7XqcvwWp-FvQKszTI.js"></script> </div> <p>The discovery of a new species is always a cause for celebration in zoology. That this is the discovery of an animal that inhabits the deeps of the sea, one of the least explored areas humans can get to, is the icing on the cake.</p><p>Helen Wong of the National University of Singapore, who co-authored the species' description, explained the importance of the discovery:</p><p>"The identification of this new species is an indication of just how little we know about the oceans. There is certainly more for us to explore in terms of biodiversity in the deep sea of our region." </p><p>The animal's visual similarity to Darth Vader is a result of its compound eyes and the curious shape of its <a href="https://lkcnhm.nus.edu.sg/research/sjades2018/" target="_blank" rel="noopener noreferrer dofollow" style="">head</a>. However, given the location of its discovery, the bottom of the remote seas, it may be associated with all manner of horrifically evil Elder Things and <a href="https://en.wikipedia.org/wiki/Cthulhu" target="_blank" rel="dofollow">Great Old Ones</a>. <em></em></p>
Daydreaming can be a pleasant pastime, but people who suffer from maladaptive daydreamers are trapped by their fantasies.
Maladaptive daydreaming<img type="lazy-image" data-runner-src="https://assets.rebelmouse.io/eyJhbGciOiJIUzI1NiIsInR5cCI6IkpXVCJ9.eyJpbWFnZSI6Imh0dHBzOi8vYXNzZXRzLnJibC5tcy8yNTUwMjgyMy9vcmlnaW4uanBnIiwiZXhwaXJlc19hdCI6MTY0OTUxNzc3Nn0.yVIUGnZl6VnJhfevESkBpb1TEvwKrHcLtobwNJV55HI/img.jpg?width=1245&coordinates=0%2C63%2C0%2C63&height=700" id="713cf" class="rm-shortcode" data-rm-shortcode-id="e2d24a66284b3aa58ad16b66c135dc9d" data-rm-shortcode-name="rebelmouse-image" data-width="1245" data-height="700" />
One maladaptive dreamer spent hours a day dreaming he was a powerful man who could solve the world's problems.
(Photo: Pixabay)<p>Daydreaming is an indulgence of the mind and imagination, one provided courtesy of the <a href="https://www.sciencedirect.com/topics/neuroscience/default-mode-network#:~:text=The%20default%20mode%20network%20(DMN,and%20Exercise%20Psychology%20Research%2C%202016" target="_blank">default mode network</a>, a network of interacting brain regions that is active even when the conscious mind is not. But like so many of life's indulgences—wine, steak dinners, video games, and even <a href="https://www.healthline.com/health-news/why-too-much-exercise-can-be-bad-042514" target="_blank">exercise</a>—too much daydreaming can be harmful to our well-being. When daydreaming crosses that threshold, it can be considered maladaptive.</p><p>This disorder was first identified by <a href="https://haifa.academia.edu/EliSomer" target="_blank">Eli Somer</a>, a professor of clinical psychology at the University of Haifa, School of Social Work, in <a href="https://link.springer.com/article/10.1023/A:1020597026919" target="_blank" rel="noopener noreferrer">a 2002 paper</a>. That paper looked to six patients in a trauma center whose daydreaming habits replaced human interactions or interfered with their standard life functions, such as going to school or holding down a job. </p><p>Since then, other case studies have looked at <a href="https://www.healthline.com/health/mental-health/maladaptive-daydreaming#:~:text=Maladaptive%20daydreaming%20is%20a%20psychiatric,life%20events%20trigger%20day%20dreams." target="_blank" rel="noopener noreferrer">maladaptive daydreamers</a> and compiled a list of potential symptoms. These include vivid, richly-detailed daydreams; abnormally long daydreaming sessions; daydreams triggered by real-life events; daydreaming sessions that interrupt sleep; and repetitive motions or whisperings while daydreaming. On average, one study reported, maladaptive daydreamers spend <a href="https://bigthink.com/bps-research-digest/people-with-maladaptive-daydreaming-spend-an-average-of-four-hours-a-day-lost-in-their-imagination" target="_self">four hours a day</a> housed in their imaginations.</p><p>"This is not like rehearsing a conversation that you might have with a boss," <a href="https://www.cnn.com/2016/12/30/health/maladaptive-daydreaming-feature/index.html" target="_blank" rel="noopener noreferrer">Somer told CNN</a>. "This is fanciful, weaving of stories. It produces an intense sense of presence."</p><p>While such symptoms are common, though not comprehensive or guaranteed, how maladaptive daydreams manifest are naturally individual to the dreamers. <a href="https://www.ncbi.nlm.nih.gov/pmc/articles/PMC6426361/" target="_blank" rel="noopener noreferrer">In one case study</a>, researchers analyzed the diary of a man codenamed "Peter." Peter described investing as many as 14 hours a day online. The news and images he happened upon would trigger related fantasies. For example, he may envision himself as a multimillionaire genius who could prevent bad news from occurring or self-insert himself into the power fantasies of superhero movies or police procedurals for hours at a time.</p><p>"When I felt this pain as a child, I started imagining how things could be different. I created stories which never happened. To suppress that pain I would hug my pillow or quilt, thinking I was being comforted by someone else," Peter wrote.</p><p>In an interview with CNN, Cordellia Rose described her maladaptive daydreaming like a drug and noted that her daydreams developed into intricate storylines that could last for years. These stories proved so distracted that she was unable to complete everyday tasks such as driving lessons.</p><p>"You get hooked on it, because it can be like an action movie in your head that's so gripping that you cannot turn off," Rose told CNN. "This [condition] needs to be public, because these are people suffering, and badly."</p><p>To be clear, maladaptive dreaming is not a <a href="https://www.webmd.com/schizophrenia/guide/what-is-psychosis#1" target="_blank" rel="noopener noreferrer">psychotic disorder</a> like schizophrenia. Daydreamers such as Peter and Rose are aware that their fantasies are as unreal as they may be unrealistic. Because of this, many maladaptive dreamers understand the difficulties they face and the real-life losses they have endured for the sake of their fantasies. </p>