Tag Archives: thinking

#434837 In Defense of Black Box AI

Posted on April 17, 2019 by Android

Deep learning is powering some amazing new capabilities, but we find it hard to scrutinize the workings of these algorithms. Lack of interpretability in AI is a common concern and many are trying to fix it, but is it really always necessary to know what’s going on inside these “black boxes”?

In a recent perspective piece for Science, Elizabeth Holm, a professor of materials science and engineering at Carnegie Mellon University, argued in defense of the black box algorithm. I caught up with her last week to find out more.

Edd Gent: What’s your experience with black box algorithms?

Elizabeth Holm: I got a dual PhD in materials science and engineering and scientific computing. I came to academia about six years ago and part of what I wanted to do in making this career change was to refresh and revitalize my computer science side.

I realized that computer science had changed completely. It used to be about algorithms and making codes run fast, but now it’s about data and artificial intelligence. There are the interpretable methods like random forest algorithms, where we can tell how the machine is making its decisions. And then there are the black box methods, like convolutional neural networks.

Once in a while we can find some information about their inner workings, but most of the time we have to accept their answers and kind of probe around the edges to figure out the space in which we can use them and how reliable and accurate they are.

EG: What made you feel like you had to mount a defense of these black box algorithms?

EH: When I started talking with my colleagues, I found that the black box nature of many of these algorithms was a real problem for them. I could understand that because we’re scientists, we always want to know why and how.

It got me thinking as a bit of a contrarian, “Are black boxes all bad? Must we reject them?” Surely not, because human thought processes are fairly black box. We often rely on human thought processes that the thinker can’t necessarily explain.

It’s looking like we’re going to be stuck with these methods for a while, because they’re really helpful. They do amazing things. And so there’s a very pragmatic realization that these are the best methods we’ve got to do some really important problems, and we’re not right now seeing alternatives that are interpretable. We’re going to have to use them, so we better figure out how.

EG: In what situations do you think we should be using black box algorithms?

EH: I came up with three rules. The simplest rule is: when the cost of a bad decision is small and the value of a good decision is high, it’s worth it. The example I gave in the paper is targeted advertising. If you send an ad no one wants it doesn’t cost a lot. If you’re the receiver it doesn’t cost a lot to get rid of it.

There are cases where the cost is high, and that’s then we choose the black box if it’s the best option to do the job. Things get a little trickier here because we have to ask “what are the costs of bad decisions, and do we really have them fully characterized?” We also have to be very careful knowing that our systems may have biases, they may have limitations in where you can apply them, they may be breakable.

But at the same time, there are certainly domains where we’re going to test these systems so extensively that we know their performance in virtually every situation. And if their performance is better than the other methods, we need to do it. Self driving vehicles are a significant example—it’s almost certain they’re going to have to use black box methods, and that they’re going to end up being better drivers than humans.

The third rule is the more fun one for me as a scientist, and that’s the case where the black box really enlightens us as to a new way to look at something. We have trained a black box to recognize the fracture energy of breaking a piece of metal from a picture of the broken surface. It did a really good job, and humans can’t do this and we don’t know why.

What the computer seems to be seeing is noise. There’s a signal in that noise, and finding it is very difficult, but if we do we may find something significant to the fracture process, and that would be an awesome scientific discovery.

EG: Do you think there’s been too much emphasis on interpretability?

EH: I think the interpretability problem is a fundamental, fascinating computer science grand challenge and there are significant issues where we need to have an interpretable model. But how I would frame it is not that there’s too much emphasis on interpretability, but rather that there’s too much dismissiveness of uninterpretable models.

I think that some of the current social and political issues surrounding some very bad black box outcomes have convinced people that all machine learning and AI should be interpretable because that will somehow solve those problems.

Asking humans to explain their rationale has not eliminated bias, or stereotyping, or bad decision-making in humans. Relying too much on interpreted ability perhaps puts the responsibility in the wrong place for getting better results. I can make a better black box without knowing exactly in what way the first one was bad.

EG: Looking further into the future, do you think there will be situations where humans will have to rely on black box algorithms to solve problems we can’t get our heads around?

EH: I do think so, and it’s not as much of a stretch as we think it is. For example, humans don’t design the circuit map of computer chips anymore. We haven’t for years. It’s not a black box algorithm that designs those circuit boards, but we’ve long since given up trying to understand a particular computer chip’s design.

With the billions of circuits in every computer chip, the human mind can’t encompass it, either in scope or just the pure time that it would take to trace every circuit. There are going to be cases where we want a system so complex that only the patience that computers have and their ability to work in very high-dimensional spaces is going to be able to do it.

So we can continue to argue about interpretability, but we need to acknowledge that we’re going to need to use black boxes. And this is our opportunity to do our due diligence to understand how to use them responsibly, ethically, and with benefits rather than harm. And that’s going to be a social conversation as well as as a scientific one.

*Responses have been edited for length and style

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Posted in Human Robots

#434781 What Would It Mean for AI to Become ...

Posted on March 26, 2019 by Android

As artificial intelligence systems take on more tasks and solve more problems, it’s hard to say which is rising faster: our interest in them or our fear of them. Futurist Ray Kurzweil famously predicted that “By 2029, computers will have emotional intelligence and be convincing as people.”

We don’t know how accurate this prediction will turn out to be. Even if it takes more than 10 years, though, is it really possible for machines to become conscious? If the machines Kurzweil describes say they’re conscious, does that mean they actually are?

Perhaps a more relevant question at this juncture is: what is consciousness, and how do we replicate it if we don’t understand it?

In a panel discussion at South By Southwest titled “How AI Will Design the Human Future,” experts from academia and industry discussed these questions and more.

Wait, What Is AI?
Most of AI’s recent feats—diagnosing illnesses, participating in debate, writing realistic text—involve machine learning, which uses statistics to find patterns in large datasets then uses those patterns to make predictions. However, “AI” has been used to refer to everything from basic software automation and algorithms to advanced machine learning and deep learning.

“The term ‘artificial intelligence’ is thrown around constantly and often incorrectly,” said Jennifer Strong, a reporter at the Wall Street Journal and host of the podcast “The Future of Everything.” Indeed, one study found that 40 percent of European companies that claim to be working on or using AI don’t actually use it at all.

Dr. Peter Stone, associate chair of computer science at UT Austin, was the study panel chair on the 2016 One Hundred Year Study on Artificial Intelligence (or AI100) report. Based out of Stanford University, AI100 is studying and anticipating how AI will impact our work, our cities, and our lives.

“One of the first things we had to do was define AI,” Stone said. They defined it as a collection of different technologies inspired by the human brain to be able to perceive their surrounding environment and figure out what actions to take given these inputs.

Modeling on the Unknown
Here’s the crazy thing about that definition (and about AI itself): we’re essentially trying to re-create the abilities of the human brain without having anything close to a thorough understanding of how the human brain works.

“We’re starting to pair our brains with computers, but brains don’t understand computers and computers don’t understand brains,” Stone said. Dr. Heather Berlin, cognitive neuroscientist and professor of psychiatry at the Icahn School of Medicine at Mount Sinai, agreed. “It’s still one of the greatest mysteries how this three-pound piece of matter can give us all our subjective experiences, thoughts, and emotions,” she said.

This isn’t to say we’re not making progress; there have been significant neuroscience breakthroughs in recent years. “This has been the stuff of science fiction for a long time, but now there’s active work being done in this area,” said Amir Husain, CEO and founder of Austin-based AI company Spark Cognition.

Advances in brain-machine interfaces show just how much more we understand the brain now than we did even a few years ago. Neural implants are being used to restore communication or movement capabilities in people who’ve been impaired by injury or illness. Scientists have been able to transfer signals from the brain to prosthetic limbs and stimulate specific circuits in the brain to treat conditions like Parkinson’s, PTSD, and depression.

But much of the brain’s inner workings remain a deep, dark mystery—one that will have to be further solved if we’re ever to get from narrow AI, which refers to systems that can perform specific tasks and is where the technology stands today, to artificial general intelligence, or systems that possess the same intelligence level and learning capabilities as humans.

The biggest question that arises here, and one that’s become a popular theme across stories and films, is if machines achieve human-level general intelligence, does that also mean they’d be conscious?

Wait, What Is Consciousness?
As valuable as the knowledge we’ve accumulated about the brain is, it seems like nothing more than a collection of disparate facts when we try to put it all together to understand consciousness.

“If you can replace one neuron with a silicon chip that can do the same function, then replace another neuron, and another—at what point are you still you?” Berlin asked. “These systems will be able to pass the Turing test, so we’re going to need another concept of how to measure consciousness.”

Is consciousness a measurable phenomenon, though? Rather than progressing by degrees or moving through some gray area, isn’t it pretty black and white—a being is either conscious or it isn’t?

This may be an outmoded way of thinking, according to Berlin. “It used to be that only philosophers could study consciousness, but now we can study it from a scientific perspective,” she said. “We can measure changes in neural pathways. It’s subjective, but depends on reportability.”

She described three levels of consciousness: pure subjective experience (“Look, the sky is blue”), awareness of one’s own subjective experience (“Oh, it’s me that’s seeing the blue sky”), and relating one subjective experience to another (“The blue sky reminds me of a blue ocean”).

“These subjective states exist all the way down the animal kingdom. As humans we have a sense of self that gives us another depth to that experience, but it’s not necessary for pure sensation,” Berlin said.

Husain took this definition a few steps farther. “It’s this self-awareness, this idea that I exist separate from everything else and that I can model myself,” he said. “Human brains have a wonderful simulator. They can propose a course of action virtually, in their minds, and see how things play out. The ability to include yourself as an actor means you’re running a computation on the idea of yourself.”

Most of the decisions we make involve envisioning different outcomes, thinking about how each outcome would affect us, and choosing which outcome we’d most prefer.

“Complex tasks you want to achieve in the world are tied to your ability to foresee the future, at least based on some mental model,” Husain said. “With that view, I as an AI practitioner don’t see a problem implementing that type of consciousness.”

Moving Forward Cautiously (But Not too Cautiously)
To be clear, we’re nowhere near machines achieving artificial general intelligence or consciousness, and whether a “conscious machine” is possible—not to mention necessary or desirable—is still very much up for debate.

As machine intelligence continues to advance, though, we’ll need to walk the line between progress and risk management carefully.

Improving the transparency and explainability of AI systems is one crucial goal AI developers and researchers are zeroing in on. Especially in applications that could mean the difference between life and death, AI shouldn’t advance without people being able to trace how it’s making decisions and reaching conclusions.

Medicine is a prime example. “There are already advances that could save lives, but they’re not being used because they’re not trusted by doctors and nurses,” said Stone. “We need to make sure there’s transparency.” Demanding too much transparency would also be a mistake, though, because it will hinder the development of systems that could at best save lives and at worst improve efficiency and free up doctors to have more face time with patients.

Similarly, self-driving cars have great potential to reduce deaths from traffic fatalities. But even though humans cause thousands of deadly crashes every day, we’re terrified by the idea of self-driving cars that are anything less than perfect. “If we only accept autonomous cars when there’s zero probability of an accident, then we will never accept them,” Stone said. “Yet we give 16-year-olds the chance to take a road test with no idea what’s going on in their brains.”

This brings us back to the fact that, in building tech modeled after the human brain—which has evolved over millions of years—we’re working towards an end whose means we don’t fully comprehend, be it something as basic as choosing when to brake or accelerate or something as complex as measuring consciousness.

“We shouldn’t charge ahead and do things just because we can,” Stone said. “The technology can be very powerful, which is exciting, but we have to consider its implications.”

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Posted in Human Robots

#434767 7 Non-Obvious Trends Shaping the Future

Posted on March 21, 2019 by Android

When you think of trends that might be shaping the future, the first things that come to mind probably have something to do with technology: Robots taking over jobs. Artificial intelligence advancing and proliferating. 5G making everything faster, connected cities making everything easier, data making everything more targeted.

Technology is undoubtedly changing the way we live, and will continue to do so—probably at an accelerating rate—in the near and far future. But there are other trends impacting the course of our lives and societies, too. They’re less obvious, and some have nothing to do with technology.

For the past nine years, entrepreneur and author Rohit Bhargava has read hundreds of articles across all types of publications, tagged and categorized them by topic, funneled frequent topics into broader trends, analyzed those trends, narrowed them down to the most significant ones, and published a book about them as part of his ‘Non-Obvious’ series. He defines a trend as “a unique curated observation of the accelerating present.”

In an encore session at South by Southwest last week (his initial talk couldn’t fit hundreds of people who wanted to attend, so a re-do was scheduled), Bhargava shared details of his creative process, why it’s hard to think non-obviously, the most important trends of this year, and how to make sure they don’t get the best of you.

Thinking Differently
“Non-obvious thinking is seeing the world in a way other people don’t see it,” Bhargava said. “The secret is curating your ideas.” Curation collects ideas and presents them in a meaningful way; museum curators, for example, decide which works of art to include in an exhibit and how to present them.

For his own curation process, Bhargava uses what he calls the haystack method. Rather than searching for a needle in a haystack, he gathers ‘hay’ (ideas and stories) then uses them to locate and define a ‘needle’ (a trend). “If you spend enough time gathering information, you can put the needle into the middle of the haystack,” he said.

A big part of gathering information is looking for it in places you wouldn’t normally think to look. In his case, that means that on top of reading what everyone else reads—the New York Times, the Washington Post, the Economist—he also buys publications like Modern Farmer, Teen Vogue, and Ink magazine. “It’s like stepping into someone else’s world who’s not like me,” he said. “That’s impossible to do online because everything is personalized.”

Three common barriers make non-obvious thinking hard.

The first is unquestioned assumptions, which are facts or habits we think will never change. When James Dyson first invented the bagless vacuum, he wanted to sell the license to it, but no one believed people would want to spend more money up front on a vacuum then not have to buy bags. The success of Dyson’s business today shows how mistaken that assumption—that people wouldn’t adapt to a product that, at the end of the day, was far more sensible—turned out to be. “Making the wrong basic assumptions can doom you,” Bhargava said.

The second barrier to thinking differently is constant disruption. “Everything is changing as industries blend together,” Bhargava said. “The speed of change makes everyone want everything, all the time, and people expect the impossible.” We’ve come to expect every alternative to be presented to us in every moment, but in many cases this doesn’t serve us well; we’re surrounded by noise and have trouble discerning what’s valuable and authentic.

This ties into the third barrier, which Bhargava calls the believability crisis. “Constant sensationalism makes people skeptical about everything,” he said. With the advent of fake news and technology like deepfakes, we’re in a post-truth, post-fact era, and are in a constant battle to discern what’s real from what’s not.

2019 Trends
Bhargava’s efforts to see past these barriers and curate information yielded 15 trends he believes are currently shaping the future. He shared seven of them, along with thoughts on how to stay ahead of the curve.

Retro Trust
We tend to trust things we have a history with. “People like nostalgic experiences,” Bhargava said. With tech moving as fast as it is, old things are quickly getting replaced by shinier, newer, often more complex things. But not everyone’s jumping on board—and some who’ve been on board are choosing to jump off in favor of what worked for them in the past.

“We’re turning back to vinyl records and film cameras, deliberately downgrading to phones that only text and call,” Bhargava said. In a period of too much change too fast, people are craving familiarity and dependability. To capitalize on that sentiment, entrepreneurs should seek out opportunities for collaboration—how can you build a product that’s new, but feels reliable and familiar?

Muddled Masculinity
Women have increasingly taken on more leadership roles, advanced in the workplace, now own more homes than men, and have higher college graduation rates. That’s all great for us ladies—but not so great for men or, perhaps more generally, for the concept of masculinity.

“Female empowerment is causing confusion about what it means to be a man today,” Bhargava said. “Men don’t know what to do—should they say something? Would that make them an asshole? Should they keep quiet? Would that make them an asshole?”

By encouraging the non-conforming, we can help take some weight off the traditional gender roles, and their corresponding divisions and pressures.

Innovation Envy
Innovation has become an over-used word, to the point that it’s thrown onto ideas and actions that aren’t really innovative at all. “We innovate by looking at someone else and doing the same,” Bhargava said. If an employee brings a radical idea to someone in a leadership role, in many companies the leadership will say they need a case study before implementing the radical idea—but if it’s already been done, it’s not innovative. “With most innovation what ends up happening is not spectacular failure, but irrelevance,” Bhargava said.

He suggests that rather than being on the defensive, companies should play offense with innovation, and when it doesn’t work “fail as if no one’s watching” (often, no one will be).

Artificial Influence
Thanks to social media and other technologies, there are a growing number of fabricated things that, despite not being real, influence how we think. “15 percent of all Twitter accounts may be fake, and there are 60 million fake Facebook accounts,” Bhargava said. There are virtual influencers and even virtual performers.

“Don’t hide the artificial ingredients,” Bhargava advised. “Some people are going to pretend it’s all real. We have to be ethical.” The creators of fabrications meant to influence the way people think, or the products they buy, or the decisions they make, should make it crystal-clear that there aren’t living, breathing people behind the avatars.

Enterprise Empathy
Another reaction to the fast pace of change these days—and the fast pace of life, for that matter—is that empathy is regaining value and even becoming a driver of innovation. Companies are searching for ways to give people a sense of reassurance. The Tesco grocery brand in the UK has a “relaxed lane” for those who don’t want to feel rushed as they check out. Starbucks opened a “signing store” in Washington DC, and most of its regular customers have learned some sign language.

“Use empathy as a principle to help yourself stand out,” Bhargava said. Besides being a good business strategy, “made with empathy” will ideally promote, well, more empathy, a quality there’s often a shortage of.

Robot Renaissance
From automating factory jobs to flipping burgers to cleaning our floors, robots have firmly taken their place in our day-to-day lives—and they’re not going away anytime soon. “There are more situations with robots than ever before,” Bhargava said. “They’re exploring underwater. They’re concierges at hotels.”

The robot revolution feels intimidating. But Bhargava suggests embracing robots with more curiosity than concern. While they may replace some tasks we don’t want replaced, they’ll also be hugely helpful in multiple contexts, from elderly care to dangerous manual tasks.

Back-storytelling
Similar to retro trust and enterprise empathy, organizations have started to tell their brand’s story to gain customer loyalty. “Stories give us meaning, and meaning is what we need in order to be able to put the pieces together,” Bhargava said. “Stories give us a way of understanding the world.”

Finding the story behind your business, brand, or even yourself, and sharing it openly, can help you connect with people, be they customers, coworkers, or friends.

Tech’s Ripple Effects
While it may not overtly sound like it, most of the trends Bhargava identified for 2019 are tied to technology, and are in fact a sort of backlash against it. Tech has made us question who to trust, how to innovate, what’s real and what’s fake, how to make the best decisions, and even what it is that makes us human.

By being aware of these trends, sharing them, and having conversations about them, we’ll help shape the way tech continues to be built, and thus the way it impacts us down the road.

Image Credit: Rohit Bhargava by Brian Smale Continue reading →

Posted in Human Robots

#434759 To Be Ethical, AI Must Become ...

Posted on March 19, 2019 by Android

As over-hyped as artificial intelligence is—everyone’s talking about it, few fully understand it, it might leave us all unemployed but also solve all the world’s problems—its list of accomplishments is growing. AI can now write realistic-sounding text, give a debating champ a run for his money, diagnose illnesses, and generate fake human faces—among much more.

After training these systems on massive datasets, their creators essentially just let them do their thing to arrive at certain conclusions or outcomes. The problem is that more often than not, even the creators don’t know exactly why they’ve arrived at those conclusions or outcomes. There’s no easy way to trace a machine learning system’s rationale, so to speak. The further we let AI go down this opaque path, the more likely we are to end up somewhere we don’t want to be—and may not be able to come back from.

In a panel at the South by Southwest interactive festival last week titled “Ethics and AI: How to plan for the unpredictable,” experts in the field shared their thoughts on building more transparent, explainable, and accountable AI systems.

Not New, but Different
Ryan Welsh, founder and director of explainable AI startup Kyndi, pointed out that having knowledge-based systems perform advanced tasks isn’t new; he cited logistical, scheduling, and tax software as examples. What’s new is the learning component, our inability to trace how that learning occurs, and the ethical implications that could result.

“Now we have these systems that are learning from data, and we’re trying to understand why they’re arriving at certain outcomes,” Welsh said. “We’ve never actually had this broad society discussion about ethics in those scenarios.”

Rather than continuing to build AIs with opaque inner workings, engineers must start focusing on explainability, which Welsh broke down into three subcategories. Transparency and interpretability come first, and refer to being able to find the units of high influence in a machine learning network, as well as the weights of those units and how they map to specific data and outputs.

Then there’s provenance: knowing where something comes from. In an ideal scenario, for example, Open AI’s new text generator would be able to generate citations in its text that reference academic (and human-created) papers or studies.

Explainability itself is the highest and final bar and refers to a system’s ability to explain itself in natural language to the average user by being able to say, “I generated this output because x, y, z.”

“Humans are unique in our ability and our desire to ask why,” said Josh Marcuse, executive director of the Defense Innovation Board, which advises Department of Defense senior leaders on innovation. “The reason we want explanations from people is so we can understand their belief system and see if we agree with it and want to continue to work with them.”

Similarly, we need to have the ability to interrogate AIs.

Two Types of Thinking
Welsh explained that one big barrier standing in the way of explainability is the tension between the deep learning community and the symbolic AI community, which see themselves as two different paradigms and historically haven’t collaborated much.

Symbolic or classical AI focuses on concepts and rules, while deep learning is centered around perceptions. In human thought this is the difference between, for example, deciding to pass a soccer ball to a teammate who is open (you make the decision because conceptually you know that only open players can receive passes), and registering that the ball is at your feet when someone else passes it to you (you’re taking in information without making a decision about it).

“Symbolic AI has abstractions and representation based on logic that’s more humanly comprehensible,” Welsh said. To truly mimic human thinking, AI needs to be able to both perceive information and conceptualize it. An example of perception (deep learning) in an AI is recognizing numbers within an image, while conceptualization (symbolic learning) would give those numbers a hierarchical order and extract rules from the hierachy (4 is greater than 3, and 5 is greater than 4, therefore 5 is also greater than 3).

Explainability comes in when the system can say, “I saw a, b, and c, and based on that decided x, y, or z.” DeepMind and others have recently published papers emphasizing the need to fuse the two paradigms together.

Implications Across Industries
One of the most prominent fields where AI ethics will come into play, and where the transparency and accountability of AI systems will be crucial, is defense. Marcuse said, “We’re accountable beings, and we’re responsible for the choices we make. Bringing in tech or AI to a battlefield doesn’t strip away that meaning and accountability.”

In fact, he added, rather than worrying about how AI might degrade human values, people should be asking how the tech could be used to help us make better moral choices.

It’s also important not to conflate AI with autonomy—a worst-case scenario that springs to mind is an intelligent destructive machine on a rampage. But in fact, Marcuse said, in the defense space, “We have autonomous systems today that don’t rely on AI, and most of the AI systems we’re contemplating won’t be autonomous.”

The US Department of Defense released its 2018 artificial intelligence strategy last month. It includes developing a robust and transparent set of principles for defense AI, investing in research and development for AI that’s reliable and secure, continuing to fund research in explainability, advocating for a global set of military AI guidelines, and finding ways to use AI to reduce the risk of civilian casualties and other collateral damage.

Though these were designed with defense-specific aims in mind, Marcuse said, their implications extend across industries. “The defense community thinks of their problems as being unique, that no one deals with the stakes and complexity we deal with. That’s just wrong,” he said. Making high-stakes decisions with technology is widespread; safety-critical systems are key to aviation, medicine, and self-driving cars, to name a few.

Marcuse believes the Department of Defense can invest in AI safety in a way that has far-reaching benefits. “We all depend on technology to keep us alive and safe, and no one wants machines to harm us,” he said.

A Creation Superior to Its Creator
That said, we’ve come to expect technology to meet our needs in just the way we want, all the time—servers must never be down, GPS had better not take us on a longer route, Google must always produce the answer we’re looking for.

With AI, though, our expectations of perfection may be less reasonable.

“Right now we’re holding machines to superhuman standards,” Marcuse said. “We expect them to be perfect and infallible.” Take self-driving cars. They’re conceived of, built by, and programmed by people, and people as a whole generally aren’t great drivers—just look at traffic accident death rates to confirm that. But the few times self-driving cars have had fatal accidents, there’s been an ensuing uproar and backlash against the industry, as well as talk of implementing more restrictive regulations.

This can be extrapolated to ethics more generally. We as humans have the ability to explain our decisions, but many of us aren’t very good at doing so. As Marcuse put it, “People are emotional, they confabulate, they lie, they’re full of unconscious motivations. They don’t pass the explainability test.”

Why, then, should explainability be the standard for AI?

Even if humans aren’t good at explaining our choices, at least we can try, and we can answer questions that probe at our decision-making process. A deep learning system can’t do this yet, so working towards being able to identify which input data the systems are triggering on to make decisions—even if the decisions and the process aren’t perfect—is the direction we need to head.

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Posted in Human Robots

#434701 3 Practical Solutions to Offset ...

Posted on March 11, 2019 by Android

In recent years, the media has sounded the alarm about mass job loss to automation and robotics—some studies predict that up to 50 percent of current jobs or tasks could be automated in coming decades. While this topic has received significant attention, much of the press focuses on potential problems without proposing realistic solutions or considering new opportunities.

The economic impacts of AI, robotics, and automation are complex topics that require a more comprehensive perspective to understand. Is universal basic income, for example, the answer? Many believe so, and there are a number of experiments in progress. But it’s only one strategy, and without a sustainable funding source, universal basic income may not be practical.

As automation continues to accelerate, we’ll need a multi-pronged approach to ease the transition. In short, we need to update broad socioeconomic strategies for a new century of rapid progress. How, then, do we plan practical solutions to support these new strategies?

Take history as a rough guide to the future. Looking back, technology revolutions have three themes in common.

First, past revolutions each produced profound benefits to productivity, increasing human welfare. Second, technological innovation and technology diffusion have accelerated over time, each iteration placing more strain on the human ability to adapt. And third, machines have gradually replaced more elements of human work, with human societies adapting by moving into new forms of work—from agriculture to manufacturing to service, for example.

Public and private solutions, therefore, need to be developed to address each of these three components of change. Let’s explore some practical solutions for each in turn.

Figure 1. Technology’s structural impacts in the 21st century. Refer to Appendix I for quantitative charts and technological examples corresponding to the numbers (1-22) in each slice.
Solution 1: Capture New Opportunities Through Aggressive Investment
The rapid emergence of new technology promises a bounty of opportunity for the twenty-first century’s economic winners. This technological arms race is shaping up to be a global affair, and the winners will be determined in part by who is able to build the future economy fastest and most effectively. Both the private and public sectors have a role to play in stimulating growth.

At the country level, several nations have created competitive strategies to promote research and development investments as automation technologies become more mature.

Germany and China have two of the most notable growth strategies. Germany’s Industrie 4.0 plan targets a 50 percent increase in manufacturing productivity via digital initiatives, while halving the resources required. China’s Made in China 2025 national strategy sets ambitious targets and provides subsidies for domestic innovation and production. It also includes building new concept cities, investing in robotics capabilities, and subsidizing high-tech acquisitions abroad to become the leader in certain high-tech industries. For China, specifically, tech innovation is driven partially by a fear that technology will disrupt social structures and government control.

Such opportunities are not limited to existing economic powers. Estonia’s progress after the breakup of the Soviet Union is a good case study in transitioning to a digital economy. The nation rapidly implemented capitalistic reforms and transformed itself into a technology-centric economy in preparation for a massive tech disruption. Internet access was declared a right in 2000, and the country’s classrooms were outfitted for a digital economy, with coding as a core educational requirement starting at kindergarten. Internet broadband speeds in Estonia are among the fastest in the world. Accordingly, the World Bank now ranks Estonia as a high-income country.

Solution 2: Address Increased Rate of Change With More Nimble Education Systems
Education and training are currently not set for the speed of change in the modern economy. Schools are still based on a one-time education model, with school providing the foundation for a single lifelong career. With content becoming obsolete faster and rapidly escalating costs, this system may be unsustainable in the future. To help workers more smoothly transition from one job into another, for example, we need to make education a more nimble, lifelong endeavor.

Primary and university education may still have a role in training foundational thinking and general education, but it will be necessary to curtail rising price of tuition and increase accessibility. Massive open online courses (MooCs) and open-enrollment platforms are early demonstrations of what the future of general education may look like: cheap, effective, and flexible.

Georgia Tech’s online Engineering Master’s program (a fraction of the cost of residential tuition) is an early example in making university education more broadly available. Similarly, nanodegrees or microcredentials provided by online education platforms such as Udacity and Coursera can be used for mid-career adjustments at low cost. AI itself may be deployed to supplement the learning process, with applications such as AI-enhanced tutorials or personalized content recommendations backed by machine learning. Recent developments in neuroscience research could optimize this experience by perfectly tailoring content and delivery to the learner’s brain to maximize retention.

Finally, companies looking for more customized skills may take a larger role in education, providing on-the-job training for specific capabilities. One potential model involves partnering with community colleges to create apprenticeship-style learning, where students work part-time in parallel with their education. Siemens has pioneered such a model in four states and is developing a playbook for other companies to do the same.

Solution 3: Enhance Social Safety Nets to Smooth Automation Impacts
If predicted job losses to automation come to fruition, modernizing existing social safety nets will increasingly become a priority. While the issue of safety nets can become quickly politicized, it is worth noting that each prior technological revolution has come with corresponding changes to the social contract (see below).

Figure 2. Labor laws have historically adjusted as technology and society progressed

Solutions like universal basic income (no-strings-attached monthly payout to all citizens) are appealing in concept, but somewhat difficult to implement as a first measure in countries such as the US or Japan that already have high debt. Additionally, universal basic income may create dis-incentives to stay in the labor force. A similar cautionary tale in program design was the Trade Adjustment Assistance (TAA), which was designed to protect industries and workers from import competition shocks from globalization, but is viewed as a missed opportunity due to insufficient coverage.

A near-term solution could come in the form of graduated wage insurance (compensation for those forced to take a lower-paying job), including health insurance subsidies to individuals directly impacted by automation, with incentives to return to the workforce quickly. Another topic to tackle is geographic mismatch between workers and jobs, which can be addressed by mobility assistance. Lastly, a training stipend can be issued to individuals as means to upskill.

Policymakers can intervene to reverse recent historical trends that have shifted incomes from labor to capital owners. The balance could be shifted back to labor by placing higher taxes on capital—an example is the recently proposed “robot tax” where the taxation would be on the work rather than the individual executing it. That is, if a self-driving car performs the task that formerly was done by a human, the rideshare company will still pay the tax as if a human was driving.

Other solutions may involve distribution of work. Some countries, such as France and Sweden, have experimented with redistributing working hours. The idea is to cap weekly hours, with the goal of having more people employed and work more evenly spread. So far these programs have had mixed results, with lower unemployment but high costs to taxpayers, but are potential models that can continue to be tested.

We cannot stop growth, nor should we. With the roles in response to this evolution shifting, so should the social contract between the stakeholders. Government will continue to play a critical role as a stabilizing “thumb” in the invisible hand of capitalism, regulating and cushioning against extreme volatility, particularly in labor markets.

However, we already see business leaders taking on some of the role traditionally played by government—thinking about measures to remedy risks of climate change or economic proposals to combat unemployment—in part because of greater agility in adapting to change. Cross-disciplinary collaboration and creative solutions from all parties will be critical in crafting the future economy.

Note: The full paper this article is based on is available here.

Image Credit: Dmitry Kalinovsky / Shutterstock.com Continue reading →

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