PAC = Partition and Conquer; RBV = Resource-Based View
Doc has made an intriguing comment on my last post, referencing a resourcer-resource mismatch and the efforts of the affected to reach the resource in a quicker, better and efficient manner. This broad topic can be explored in many ways.
An Operations Researcher like myself looks at the world through a 'Resource-Based View' lens- or RBV. To him, the world (or the individual) has finite (often scarce) resources that have to be allocated so as to maximize (or minimize) certain objective functions. Often there are constraints on these resources, so this view is also referred to as Constraint Based Optimization (CBO).
At an institutional level, taking this view and using the PAC (partition and conquer) approach to the bigger problems has resulted in solutions that may be locally optimal for certain groups or individuals but are far from being optimal in a broader social sense.
As an example, by a number of estimates the world food supply in the recent past has been more than sufficient to feed the entire world population, but clearly dire hunger exists in several parts of the U.S., not to mention other countries. This resource has been allocated 'optimally' or dismally, depending on who's asked. Currently the shift by farmers to planting corn for ethanol is 'optimal' for one constituency, painful for another. There are plenty of lung surfactant drugs available to treat babies born with small lungs, but still babies die because of lack of access or affordability. OTOH Bill Gates decided that the optimal way to 'consume' his resources is through not-for-profit socially benefiting activities.
For an individual to get access to a resource he/she needs another resource to exchange or substitute, and information about resource availability and costs. Information asymmetry can distort resource constraints and allocation and deployment, but at the end of the day, it is the objective function- what we want to maximize or minimize, that matters. To that end, universal access to information and the education to process that information is, IMHO, the only long-term solution. Part of the education is 'social justice.'
An enjoyable and interesting book: Animal, Vegetable, Miracle: A Year of Food Life
by Barbara Kingsolver et al.
Monday, March 24, 2008
PAC your problems- Look through RBV Lenses
Subscribe to:
Post Comments (Atom)
Posts
5 comments:
Sir: sorry to be asking a naive question you have doubtless long since answered, but isn't one of the requirements, for people who need a resource, to get it from those who have it, something of value to exchange for it? Just knowing (for example) where there is a lot of food does not do you much good if you have nothing the food owner wants -- unless (of course)you are willing and able to take it by force.
In fact, there have been efforts to allow, create and perpetuate information asymmetry and that seems to be the problem that prevents the resource from reaching the 'resourcee'. This is indeed an efficient strategy on the part of the resourcer because resourcer, as J rightly mentioned, is also a resourcee in another sense and would not part with his resource for nothing. Undistorted information is also a resource.
From a RBV view, a resource is to be 'consumed' for a specific gain. Exchanges of resources clearly fall into this category. Information is a resource that is also 'consumed.'The 'social' challenge arises from the objective(s) a person is trying to optimize while 'consuming' the resources, i.e. maximizing his or her expected return out of asset utilization.
The notion of "trading" or using a " material currency" to trade is rather limiting, in this context. Should I only provide food to those who pay me money (or give me physical things in return) because I am optimizing on money, or is my objective function too narrow? That's what I am trying to get across, from an OR point of view. The point is that 'education' should move a person to a higher order of objectives and therefore a different set of functions to optimize. I mean 'education' in a broad sense- not necessarily having degrees.
Education alone might not determine an upward shift in the objectives set by the resourcer. In situations with all-round resource scantiness a resourcer could still dwell on a low heirarchy of need (and greed) and the resourcee who is assumed to be still lower cannot be hoped to have the advantage of comparable education all the time.
So a shot of educated effort towards altruism is what is needed but the beginning should be made by the resourcer in a non-transactional manner.
Just a point of view- doc. To a modeler EVERYTHING is transactional- what the resourcer gets, even in altruism, is something of value in exchange. For example, we encourage students to go abroad and volunteer, because it 'broadens' their education. So, the issue for us is not whether 'altruism' can be a part of education or not, but if education can make people consciously aware, that will give a shot towards your 'altruism.'
Post a Comment