Money & Trust

Money & Trust

Currencies are not always intuitive. At a basic level, human trade is more straightforward when we can trade item for item, service for service, or knowledge for knowledge without the use of a different medium of exchange. After a natural disaster, on the playground with playing cards, or in the neighborhood, exchanges of similar things without a currency can be common and straightforward. If you have a lot of extra water but need fuel for a generator after a hurricane, you can probably come to agreement with someone close by who has extra fuel and is need of water. A limitation, however, of exchanging like goods, as can be seen in all three examples, is that such exchanges often require proximity and trust with the individual. Young kids on the playground probably wouldn’t make a lot of trades with random kids they don’t know from other schools (I did as a kid and got burned by a fake card). And neighbors will help each other out, but few of us would ask someone from several blocks away to check on our house while we are on vacation and few of us would shovel snow from the driveway of a house that wasn’t immediately next to ours (no matter how generous we feel during the holidays).
 
 
Currencies are able to overcome these barriers. “Money is the most universal and most efficient system of mutual trust ever devised,” writes Yuval Noah Harari in his book Sapiens. Money allows us to make exchanges with people who are not in our immediate proximity and who we don’t know. I wouldn’t shovel the driveway for someone I didn’t know who lived a few blocks away from me, but I would certainly give them a few pieces of paper or coin in exchange for a lamp if I saw one I was interested in at a garage sale. I don’t need to know the person, know anything about the lamp, or demonstrate that what I was trying to trade them was of equivalent value to the lamp. We could both trust the currency I was using in the exchange and smile and move on without ever seeing each other again.
 
 
Money expands the scope of who we can interact with and facilitates markets by providing a medium through which we can compare different goods, services, and information. It is hard to trade information about an approaching winter storm for a gemstone, but if enough people are willing to give someone money if they can relatively accurately predict the weather, then that forecaster can go purchase a gemstone. If we couldn’t trust the forecaster, if we only had goods and services to exchange for their information, the market couldn’t exist and trades could only rarely take place. Instead we trade currencies, or numbers from digital bank accounts, for information, goods, and services. The money, or digits on the computer screen, are not in themselves valuable, but through our system of trust they become valuable. Currency enables trust and is further enhanced by trust, allowing us to cooperate with more people than just our neighbors or the other kids on the playground.
Us Versus Them

A Decline in Us Versus Them Thinking?

Homo sapiens evolved to think of people as divided into us and them. Us was the group immediately around you, whoever you were, and them was everyone else,” writes Yuval Noah Harari in his book Sapiens. Humans evolved in small tribes, and if you have ever been part of a small club, you know that your small group can adopt a number of distinguishing quirks. Whether it is the name your group adopts, where your group chooses to meet up, or what tv show everyone in your group happens to like, small and random factors can become important distinguishing markers of your group. Larger factors can also become dominant distinguishing factors. Say you are part of a small running team whose goal is to win a big race. Your group is going to have a different culture, attitude, and expectation on individuals compared to a group that just wants to finish the race. Or imagine you are part of a quilting group in the Midwest. Your quilting group may be more interested in very different style than a quilting group meeting in south central Los Angeles. It wouldn’t be hard to imagine (or perhaps stereotype is more accurate) the Midwest group including country song lines on their quilts while the group from LA wrote, “sí se puede” on their quilts.
 
 
The small tribes our ancestors evolved within probably varied as much as the running teams and quilting groups I imagined above. With so many small differences and large differences possible, each tribe became unique, especially if they didn’t have a large amount of interaction with other tribes. Slowly, over time, groups grew, multiplied, and had more opportunities to interact. Initially, their differences would have been incredibly obvious, and the us versus them mindset would have been front and center. Two ancient tribes meeting would have been like our competitive and participatory running teams meeting each other on race day. Or like our Midwest and South Central LA quilting groups sitting next to each other at a restaurant before a quilting convention. They would have recognized their similarities, but their differences would have stood out as much or even more than their similarities. It would have been easy to fall into in-group and out-group thinking, considering the in-group to be the correct way to approach running or quilting (or being human) and the out-group to be erroneous, dangerous, or just strange. Luckily for us, humans have adapted beyond us versus them thinking (to some extent) to enable us to have cooperative and relatively peaceful modern cities, countries, and even global governance and development organizations.
 
 
Harari continues, “Merchants, conquerors, and prophets were the first people who managed to transcend the binary evolutionary division, us vs them, and to foresee the potential unity of humankind.” At the end of the day, the quilting groups can trade materials, ideas, and techniques. They can engage in economic transactions and become united, and slightly less in-group versus out-group oriented through trade. The fast running team could recruit a couple of the strong runners from the non-competitive team, effectively conquering the slow team and leaving the slowest of the slow without a team to continue running with, uniting the two teams through conquest (and eliminating some from the sport which isn’t necessarily great). Both groups, our runners and quilters, could also find themselves motivated by prophets.  Our quilter groups could find that they both read the same quilting magazine or follow the same quilters on Instagram. Our running groups could be equally inspired by the Olympics and could find that they all participate on the same running message boards on letsrun.com. Even beyond intra-group unification, the quilters and runners could be connected on a larger scale by all using the same social media channel to coordinate their events and activities or all traveling to the same place for events. Throughout human history, all of these examples, Harari argues, have occurred, bringing people closer together and slowly but surely reducing our us versus them mindset and creating more space for us to be similar even if we are still unique. We seem to default to seeing the differences in others and closing in around the groups we identify with, but other factors continue to unite us with other groups, expanding the circle of who is us and reducing who is them.
Cultural Agglomeration

Cultural Agglomoration

During my undergraduate studies at the University of Nevada, Reno I had a Peninsular Medieval Literature class focused on early Spanish literature of the Iberian Peninsula. Today, the Iberian Peninsula contains two sovereign countries, and Spain contains four dominant sub-cultures. But in the past, the Peninsula had many different tribal cultures separated geographically and separated in terms of how they interacted with outsiders. Over time, through trade, conquest, and other means, the tribes coalesced to form the starting blocks that became Portugal, Spain, and the minor sub-cultures that exist within the countries.
 
 
This pattern of cultural agglomeration has been common throughout human history. At least since the Agrarian Revolution, living in larger tribes has been advantageous for humans. The evolution and growth of our brains and social institutions has created an environment that favors larger numbers. Consequentially, human societies and cultures have been on a pathway toward coalescence. As Yuval Noah Harari writes in his book Sapiens, “Over the millennia, small, simple cultures gradually coalesce into bigger and more complex civilizations, so that the world contains fewer and fewer mega-cultures, each of which is bigger and more complex.” Harari acknowledges that this is a generalization, and that even mega-cultures maintain sub-cultures and smaller segments that may break apart, but the trend seems to hold with dominant institutions taking root across the smaller sub-cultures.
 
 
Humans originally evolved within small tribes. The brains of our earliest ancestors did not have the capability to maintain large social groups, and cultural evolution had not provided humanity with institutions that could maintain large groups. The earliest humans, likely similar to ape groups of today, could only maintain social cohesion among so many members before the group broke apart. The evolution of Homo Sapiens set humanity on a new path where the human brain could support ever larger and more complex social organizations, ultimately favoring larger cultures and more complex cultural agglomeration for a host of reasons that are beyond the scope of this post.
Cognitive Dissonance is Vital

Cognitive Dissonance is Vital

In the book Sapiens, Yuval Noah Harari writes, “Cognitive dissonance is often considered a failure of the human psyche. In fact, it is a vital asset.”
 
 
Cognitive dissonance refers to the inconsistencies within our beliefs. It doesn’t feel like it, but all of us have incompatible beliefs. The simple example that Harari uses in the book to demonstrate incompatible beliefs is the example of liberty merged with equality. At the extremes, these two values, which are central to effectively all functioning democracies, are entirely incompatible. On the margin, the two require constant trade-offs where one value is applicable in one situation but not as applicable in another. We argue whether one person’s liberty should be curtailed for another person’s equality, whose liberty and whose equality matters most, and what measures of liberty and equality should be the most important. There is no perfect rule for delineating between equality and liberty or finding the right balance and mixture between the two incompatible views. Cognitive dissonance is what enables us to manage.
 
 
“Consistency is the playground of dull minds,” writes Harari. Great stories involve conflict and challenges with what a character knows they should do versus what they want to do. Much of art is in some ways about conflict, overcoming limitations, and somehow trying to merge the incompatible. Cognitive dissonance is our ability to live with conflicting and contradicting views without recognizing it. It enables us to have complex societies and to pursue individual goals while simultaneously being dependent on others. Like in art, where conflict creates something more interesting and engaging, cognitive dissonance in our lives enables us to live richer and more interesting lives – even if those lives are based on incompatible beliefs, ideas, actions, and values.
Attempts to Reconcile Contradictory Beliefs

Attempts to Reconcile Contradictory Beliefs

I studied Political Science at the University of Nevada, Reno, and was always a little unnerved to hear about studies that demonstrated substantial ideological contradictions within a single individual. The studies showed even the smartest and most learned people to be almost hypocritical at worst or gullible and ignorant at best. Changing small contexts, adopting slightly different perspectives, and wording questions in different ways or orders  can seemingly produce very different answers and preferences from a single individual with little consistency between the answers. You can find instances where people who identify as conservative favor large scale state intervention in the lives and liberties of individuals. You can also find instances where people who identify as liberal prefer some form of cultural conservatism. People seem to have trouble being internally consistent with their stated values, and that was unnerving for a young college undergrad and grad student who was hoping to better understand how people reached their political and ideological beliefs.
 
 
In his book Sapiens, Yuval Noah Harari shows how these internal contradictions and inconsistencies stretch back much further than our current political moment. He writes about Medieval knights struggling to reconcile Christianity with ideas of chivalry and he writes about the struggles of creating a system that incorporates both social equality and individual freedom today. On the latter he writes, “ever since the French Revolution, people throughout the world have gradually come to see both social equality and individual freedom as fundamental values. Yet the two values contradict each other. … The entire political history of the world since 1789 can be seen as a series of attempts to reconcile this contradiction.”
 
 
Equality and individual freedom form the backbone of many WEIRD (western, educated, industrialized, rich, democratic) societies, and while many citizens don’t think about the contradiction of the two values, they are not easily merged together. An authoritarian regime could force some sort of equality onto all people, but it would require a loss of individual freedoms. At the other extreme, society could radically favor individual liberties to the extent where there was no law enforcement because individual freedoms were maximized. This of course would be extremely unequal as some people would literally die while others kept living due to personal choices that threatened the lives of some. These two examples are the extreme poles that few would argue in favor of, but it is worth noting that we are arguing for some sort of balance between two contradictory ideas.
 
 
Humans live with more internal inconsistencies than we realize, and we can even flourish within such inconsistencies. Democracies which struggle between liberty and equality have created middle classes, have pushed technological advances, and have generally been attractive places to live. But they are difficult and sometimes unwieldly as people fail to reach cohesive decisions on how much liberty and how much equality a society should strive toward. Much of our lives is spent trying to reconcile inconsistent and even contradictory beliefs within our own lives and within our larger societies. It is a distressing reality, but one that humans seem perfectly able to flourish within. 
Culture, Physics, Noise, & Thrawn

Culture, Physics, Noise, & Thrawn

I am a big fan of Timothy Zahn’s books about the Star Wars character Thrawn, but one critique I would offer is on the way that Thrawn derives insights about entire populations based on their artwork. It’s a fun part of the stories and I don’t mind suspending disbelief as I jump into the fiction worlds that Zahn has helped create, but culture is too turbulent for the ideas to really hold if you don’t work extra hard to suspend your disbelief. The reality is that culture is ever moving, shifting, and swirling, and drawling large conclusions about anyone and anything from artwork is probably not a good judgement practice.
 
 
In the book Sapiens, Yuval Noah Harari demonstrates this by contrasting culture with physics. He writes, “every culture has its typical beliefs, norms, and values, but these are in constant flux. … Unlike the laws of physics, which are free of inconsistencies, every man-made order is packed with internal contradictions.” Whether it is our political beliefs, the larger influencing factors that shape our media and artwork, or our individual opinions and mood, there is a lot of noise that influences our cultural products. We all see the world through unique perspectives influenced by where we happen to be at any given moment, what our past experiences have been, and factors that we are not even aware of. Drawing a single conclusion about anything is hardly ever possible, even for ideas and memes that are shared throughout a culture.
 
 
It is not just Thrawn who draws large overarching conclusions about entire groups of people based on their cultural outputs. Thrawn works because it is something we all do. It is easy to watch a sporting even where our favored team is losing and decide that the opposing team’s fans are savage animals. It is easy to see high school kids these days and decide that they are all degenerates based on seeing the way that a few of them dress and behave. It is easy to make broad assumptions and generalizations about people in another country after seeing a tourism advertisement. In each of these areas our own biases, the randomness of who we see and when, and even deliberate propaganda and framing influences the way we come to understand the world. But how people act and behave, how people dress, and what cultural outputs they create constantly change and are not the same between people or even within the same individual over time. Unlike physics, the culture of a people is constantly ebbing and flowing. It is constantly up for interpretation and debate, and constantly influenced by outside forces or appropriations. In a way we are all Thrawn, making grand pronouncements about others, without recognizing just how turbulent culture truly is and how much noise and variability is possible within a culture.
The Biological Possibilities of He and She

The Biological Possibilities of He and She

In his book Sapiens, Yuval Noah Harari writes, “most of the laws, norms, rights, and obligations that define manhood and womanhood reflect human imagination more than biological reality.” Throughout human societies, imagined orders and hierarchies define the way that humans interact and relate to one another.  These hierarchies matter in terms of how people understand their role in the world, understand what is good and evil, and understand how they should behave. However, these hierarchies are not necessarily grounded in any scientific fact or objective reality. They are often influenced by chance historical events and myths that societies adopt as they develop. Some myths are helpful for development. Some myths lose their grip and cease to function in a helpful way over time. And other myths never manage to get beyond a fringe group.
 
 
Often, the status quo that is produced by chance events and myths become entrenched and defended as natural. Those who stand to benefit from the status quo, and those who do not wish to believe that their lives are driven by myths, will argue that biology, economy, or other seemingly objective sciences inevitably produced the society and culture in which they live. But this is a mistake. We can see that throughout time and space human societies have differed in many important ways. There is far more variation possible than we often recognize. “Biology is willing to tolerate a very wide spectrum of possibilities,” writes Harari. Whatever organization we choose to adopt, for whatever reason we choose to adopt such organization, can be defended as natural. Harari continues, “whatever is possible is by definition also natural.”
 
 
This can be seen in the ways in which cultures and societies relate to concepts of gender. Biology is often used to define men and women as purely XY and XX, as having male anatomy and female anatomy, and as occupying certain roles that are determined and entirely influenced by biology. But if Harari’s quote from earlier is correct, much of the way we think about masculinity, femininity, and gender is not based in biology, but in human constructs. Perhaps our sex chromosomes and the biological differences that our genes reliably produce (in most individuals) is the basis for the differences we see in how we understand gender, but that doesn’t explain why the picture of manliness changes so much throughout time or why so many people don’t seem to fit with the dominant gender roles of any given period.
 
 
Harari contrasts a picture of King Louis XIV of France with a picture of Barack Obama. Both men are in poses of masculine domination, but the pictures could not be more different in how they demonstrate masculinity. King Louis XIV is wearing tights, has a long flowing wig, is dressed in something like a ball gown, and is even wearing make-up and high heeled shoes. President Obama, on the other hand, is wearing a dark relatively fitted suite. He has little jewelry on and the only thing with any shine are his polished black dress shoes. He sits on the desk in the oval office with a confident, yet calm look on his face. The masculinity presented in each photo could hardly be more different.
 
 
Our ideas about gender are not set in stone and constantly change and evolve. Technology, global relationships, and the type of labor that is rewarded in society can all influence what is manly, what is feminine, and what is acceptable within both spaces. Throughout history the way masculinity and femininity have been defined has hardly been stable, and has hardly been fair. “Gender is a race in which some of the runners compete only for the bronze medal,” Harari writes to describe the inequalities that women have faced throughout much of history. There is no reason this inequality  has to exist. It is not truly biologically based, though men and women typically do have predictable biological differences, and there is no reason we have to consider such discrimination natural. The biological possibilities of he and she are greater than what we usually realize and accept.
Sociopolitical Hierarchies and Biology

Sociopolitical Hierarchies and Biology

In the book Sapiens, Yuval Noah Harari makes the argument that studying biology is insufficient for understanding human society. We cannot understand the complex human societies and different cultures of the world purely by studying the biology of humans. Testing humans on physiological and psychological metrics does provide us with interesting information, but it doesn’t explain exactly why so many differences are seen across cultures and places. It also doesn’t explain why certain hierarchies exist within different cultures across the globe.
 
 
To understand complex societies, Harari argues, we have to understand history, context and circumstance, and power relations. By doing so, we can begin to understand the structures within societies that shape the institutions that humans have created, and that ultimately shape the behaviors, opportunities, incentives, and motivations for humans. “Since the biological distinctions between different groups of Homo sapiens are, in fact, negligible, biology can’t explain the intricacies of Indian society or American racial dynamics,” writes Harari.
 
The two examples that Harari uses to demonstrate culture and society relative to biology demonstrate how chance historical events created unique circumstances that shaped different institutions that are highly influential within certain societies, but are unrecognizable outside those societies. Brahmins and Shudras are not understood as different races, but as different castes within Indian society, with substantial discrimination between the two groups. Racial discrimination has been a driving factor of American economic and political society. However, caste systems are nearly completely absent in the United States and the racial discrimination in the United States is not present in India. The explanations for the caste system and the racial dynamics are not biologically based, but culturally based – dependent on power and institutions.
 
Harari writes, “most sociopolitical hierarchies lack a logical or biological basis – they are nothing but the perpetuation of chance events supported by myths.” We see this when we look at recent challenges in the replication of psychological studies. Many of the findings from the field of psychology have come from studies involving college age students in the United States. Such individuals represent a very small segment of humanity. Generalizing from studies involving American college students will give us an inaccurate picture of the world – a picture that is not based on true biology, but on chance cultural factors specific to a unique population. We can easily make the mistake of believing that what we observe, either through a psychological study of American college students or through our own experiences with people in our community, state, or country, reflects a biological reality. However, what we observe is often the result of cultural differences or institutions and power structures that we are not consciously aware of.
 
Harari explains that this is what has happened with the Indian caste system and American racial dynamics. Cultural factors, chance historical events, and subsequent policies and institutions have created differences among people that we can observe and measure. However those differences are not based in biology. It is a mistake to attribute those differences to something innate in Homo sapiens or to assume that the way things are is the way that things should be. Quite often, our sociopolitical hierarchies have no logical or absolute reason for being the way they are.
Circular Arguments in Racism, Sexism, and Other Forms of Discrimination

Circular Arguments in Racism, Sexism, and Other Forms of Discrimination

The myths which supported slavery were hard to eliminate in part because they created environments for circular arguments and vicious circles. The myths created situations where black people were discriminated against, and the outcome of that discrimination became a justification for the discrimination. Yuval Noah Harari describes the lasting impact of such circular arguments generations after the civil war in his book Sapiens by writing, “trapped in this vicious circle, blacks were not hired for white-collar jobs because they were deemed unintelligent, and the proof of their inferiority was the paucity of blacks in white-collar jobs.”

This type of circular thinking is common in many arenas of discrimination. We see an outcome that likely has a long history of cultural norms, discrimination, and bias yet fail to recognize the context. We see the end result and assume that it is not a cultural biproduct of discriminatory views and practices, but somehow reflective of the true nature of the universe. Examples go beyond the lack of black business owners and CEOs in the United States. Women historically have been shut out of math, computer science, and engineering fields on discriminatory grounds. However, the same circular argument around their inability to do the work as evidenced by their low representation in such fields is used to justify their absences from STEM and computer industries. The biased and discriminatory explanation is that women are not good at math and science, and that is why women are not represented in such fields, but this argument fails to recognize the cultural factors at play.

In the instances above, with specific attention called out to the circular thinking, the role of unjust bias and discrimination can be obvious and infuriating. But it is often harder to see and recognize circular arguments in the real world. Asians are viewed as being good at math and the evidence is the high proportion of Asians in math and science fields in American Universities. White people are not viewed as being as good at sports as black people, with representation in major American sports being used as evidence for the argument – although quarterbacks in college football and the NFL are more white than the rest of the teams, often supported by the circular argument that black athletes are not smart enough to play the position as evidenced by the fact that so few quarterbacks are black. Quite often some sort of bias, discrimination, or other cultural factor is at play, but American’s have an easier time attributing outcomes to individual factors and hazy notions of biology than to cultural biases, discrimination, and other factors. Circular arguments may ultimately be vacuous, but they are hard to always recognize and denounce – especially when the results of discrimination and bias are in our individual self-interest.

A Vicious Circle

A Vicious Circle

How did discrimination against black people in the United States become so bad? In Sapiens, Yuval Noah Harari argues that two competing desires, economic self-interest and a desire to see themselves as pious, just, and objective drove white slave owners to develop myths and excuses for the enslavement of black people. The myths created were powerful. Harari writes, “theologians argued that Africans descended from Ham, son of Noah, saddled by his father with a curse that his offspring would be slaves. Biologists argued that blacks are less intelligent than whites and their moral sense less developed. Doctors alleged that blacks live in filth and spread diseases – in other words, they are a source of pollution.”
 
 
These myths dominated the mindset of both white and black people with regards to race. They played on fear, used faulty evidence to justify white slave owners’ inherent self-interest, and allowed white slave owners to see themselves as benevolent, not as oppressive. Harari argues that these myths were so effective and persuasive that even when slavery officially ended, the influence of these myths lived on. While it was a huge change of events and culture to make slavery illegal, the power of myths found a way to live on.
 
 
“Notably,” Harari writes of British anti-slavery actions and subsequent American actions, “this was the first and only time in history that a large number of slaveholding societies voluntarily abolished slavery. But, even though the slaves were freed, racist myths that justified slavery persisted. Separation of the races was maintained by racist legislation and social custom. The result was a self-reinforcing cycle of cause and effect, a vicious circle.”
 
 
We celebrate the achievements of those who overturned and outlawed slavery in the Untied States, but we often fail to recognize how powerful the myths surrounding black inferiority were, and in many ways have continued to be to this day. It is a mistake to say that when slavery ended, that when blatantly racist legislation was repealed, that when a black man was elected president, the power of the myths which bolstered slavery and in some ways established our country dissipated. When myth creates the circumstances for a vicious circle, passively hoping that racism and inequality established by such myths will fade away is inadequate. The power of a myth must be replaced, Harari would argue, by another more powerful myth. Myths do not go away and cease to be influential on their own.