Digital Nudging: Data, Devices & Social Control

Reposted with permission from Wrench in the Gears.

Digital exhaust, virtual selves

…“Choice architects” create these systems and weave them into public policy. Through strategic application of “nudges,” citizens,  otherwise “irrational actors” in the market, can be guided to conform to economists’ expectations. Through nudges, human behaviors are redirected to fit mathematical equations and forecasts….

The way we live our lives generates enormous amounts of data. Keystrokes; online payments; photos with embedded meta-data; cell tower pings; fit bits; education management apps; search histories; avatars; social media posts all contribute to a cloud of digital exhaust that threatens to engulf us. Our world is being increasingly data-fied as smart phones mediate our daily activities, and Internet of Things (IoT) sensors become integrated into our homes and public spaces.

In the coming decade we’re going to have to navigate environments defined by ubiquitous computing and surveillance. Virtual and real worlds will meld in unsettling ways. The threat of state repression will intensify, especially for black and brown people, immigrants, refugees, the poor, and dissidents. As the former CIO of the City of Philadelphia Charles Brennan noted at the end of an October 22, 2017 meeting, the future of policing will encompass predictive analytics, facial recognition software, and drone surveillance.

With UPenn’s GRASP lab currently managing a $27 million contract with the US Army Research Lab to develop distributed intelligence, autonomous weapons, it’s not too soon to be thinking about what comes next. To get a feel for where we could be headed, the write up, “Singapore, City of Sensors” describes what it’s like to live in a “smart nation”  where EA3 devices track “Everyone, Everywhere, Everything, All The Time.”

Bits and bytes of data build up like passes from a 3-D printer; and as the data is aggregated, our digital doppelgangers emerge. Of course they’re merely shadows of our true, authentic selves. They magnify certain aspects of our personalities while suppressing others. The data of our online counterparts can be incorrect or incomplete, yet even with all those flaws our online profiles and reputations have begun to profoundly influence our offline lives.

As Eric Schmidt of Alphabet (Google’s parent company) says: data is the new oil, so valuable nation states will fight over it. From Cambridge Analytica to Cornell-Technion’s Small Data Lab to Wharton’s Behavior Change for Good program, social scientists are teaming up with venture capital, government agencies, and NGOs to devise new and intrusive ways to monitor people and extract profit from the management of our data-filled lives.

The relationship map below (click here for the interactive version) features individuals and organizations associated with the Small Data Lab, a program of Cornell-Technion based on Roosevelt Island in New York City. This research and development program is backed by influential impact investors and technology companies, including Google. If you know your way around social impact bonds, you’ll see quite a few familiar names: Goldman Sachs, Bloomberg Philanthropies and Atlantic Philanthropies. The aim is to come up with sophisticated ways to analyze digital exhaust and devise technological “solutions” that pressure individuals to conform to neoliberal economic conditions. The technological underpinnings of these app-ified “solutions” enable the capture of “impact metrics” that will fuel the growing social investment sector.

Cornell-Technion also aims to grow the STEM/cyber-security human capital pipeline, having recently accepted at $50 million gift from Tata Consulting, one of India’s most highly-capitalized IT companies, to build an innovation center on their campus. The program plans to do outreach into New York City schools to promote skill development in AI and human-computer interaction.

PTB Ventures, Project Trillion Billion, is one example of a company positioning itself for this new market. A financial backer of Learning Machine, spun out of the MIT Media Lab and specializing in Blockchain education credentials, PTB has also invested in Callsign (digital identity authentication), Element (biometrics), and DISC Holdings (digital payments and credit on blockchain). Their website states the company anticipates a future where trillions of devices will be connected to billions of humans and create trillions of dollars in economic value. These investors hope to use connected devices and sensors to mine the lives of the global poor and dispossessed for the economic benefit of the social impact and fin-tech sectors.

Proposals for online platforms are beginning to emerge that aim to combine decentralized identifiers (DIDs used to create self-sovereign digital identities), e-government transactions, and online payment systems (including public welfare benefits) with “digital nudges” grounded in behavioral economics. See the screenshot taken from the Illinois Blockchain Task Force’s January 2018 report. It shows a desire to digitally incentivize healthy eating purchases for people receiving SNAP benefits.

Behavioral economics is the study of how psychological, cognitive, emotional, social, and cultural factors influence the economic choices a person makes. It challenges the idea of homo economicus, that people maintain stable preferences and consistently make self-interested choices in relation to market forces. The field was popularized in the United States by Nobel-prize winning psychologist Daniel Kaheneman. University of Chicago economist Richard Thaler built upon this work. Thaler won a Nobel Prize in Economics for his research last year.

Thaler worked closely with Cass Sunstein, who headed Obama’s Office of Information and Regulatory Affairs. In 2008, they co-wrote Nudge, a book espousing “libertarian paternalism.” People make “choices,” but systems can be designed and implemented to encourage a preferred “choice,” generally one that prioritizes long-term cost-savings. “Choice architects” create these systems and weave them into public policy. Through strategic application of “nudges,” citizens,  otherwise “irrational actors” in the market, can be guided to conform to economists’ expectations. Through nudges, human behaviors are redirected to fit mathematical equations and forecasts. David Johnson’s 2016 New Republic article Twilight of the Nudges, provides useful background on this technique and the ethical implications of applying nudges to public policy.

Sunstein Obama

The first “nudge unit” was established in the United Kingdom in 2010 as the Behavioural Insights Team (BIT). It operated as a cabinet office for several years before reinventing itself as a global consultancy in 2014. BIT is now owned in equal parts by staff, the UK government and NESTA, a social policy innovation / impact investing foundation funded with proceeds from the UK lottery system. Thaler is on their Academic Advisory Team. From 2015 to 2018 BIT had a $42 million contract with Bloomberg Philanthropies to support development of their “What Works Cities” initiative in the United States. Results for America, the organization that co-hosted the $100 Million “Pay for Success” celebration in Washington, DC last month, currently manages the What Works Cities program on behalf of Bloomberg Philanthropies.

Ideas42 has also been very active at the intersection of social science, behavioral economics and impact investing strategies. It was founded in 2008 as a program of Harvard University with support from scholars and experts at MIT, Princeton, the International Finance Commission (IFC), and the Brookings Institution. Focus areas include education, healthcare and financial inclusion. Numerous mega-philanthropies that are actively implementing the Ed Reform 2.0 agenda have partnered with the organization: Gates, MacArthur, Arnold, Lumina, HP, and Dell. Other partners are involved in deployment of global aid: USAID, the World Bank, the International Rescue Committee (see my previous post re BIT and IRC involvement with Syrian refugee children), and the UN Environment Programme. There are representatives of global finance including Citi Foundation and American Express; insurance companies, MetLife and the Association of British Insurers; and impact investors focused health and wellness, the Robert Woods Johnson and Kellogg Foundations.

Over one hundred experts are allied with this program, including Angela Duckworth and Katherine Milkman of the University of Pennsylvania. They created the ninety-second video “Making Behavior Change Stick” as part of their application to the MacArthur Foundation’s $100 Million and Change challenge. While the proposal was not a finalist, Duckworth and Milkman’s research continues to move forward with private support, housed within the Wharton Business School. Their first $1 million came from the Chan Zuckerberg Initiative (founded with Facebook stock), that interestingly enough is also currently working with the Philadelphia District Attorney’s office (Larry Krasner) on criminal justice “reform.” More opportunities for our technological overlords to encourage “good” decision making while completely disregarding “broken on purpose” social programs, I suppose.

Take note of the partners identified in Duckworth and Milkman’s MacArthur proposal:

Duckworth and Milkman’s premise is that technology can be used to encourage people to make “good choices,” which the begs the question, “Good for whom?” I suspect what will make a certain choice “good” is the likelihood it will enrich social impact investors while furthering the austerity that drives reduction in public services, increases outsourcing, and fosters the creation of public-private partnerships. The desires of those needing to access services will not be factored into the computer code that sets up friction points and establishes preferred outcomes. Citizens are simply inert, raw material to be molded, for profit, by inhumane digital systems. In the nudge model, economic systems that create mass poverty are not addressed. Instead, the impetus is placed upon the individual to better navigate existing systems steeped in structural racism.

As you may remember from my previous post, Duckworth has been working closely with human capital and labor economist James (7-13% ROI on Early Childhood Education Investments) Heckman. She is one of five leaders of the “Identity and Personality” division of his Human Capital and Economic Opportunity Working Group, based out of the University of Chicago and funded by the Institute for New Economic Thinking (INET). In May 2017, Duckworth brought an interdisciplinary group of experts in behavior change to the University of Pennsylvania for two-day conference sponsored by the Center for Economics of Human Development. Fourteen presentations, including  a “Fireside Chat With Daniel Kahneman” were recorded and are viewable here.

The prior year, Philadelphia became the first city in the US with its own municipal level “nudge unit.” Though Duckworth does not appear to be directly involved, Evan Nesterak, a researcher in Duckworth’s Characterlab, co-founded The Philadelphia Behavioral Science Initiative (PBSI) with Swarthmore Professor Syon Bhanot. Bhanot is involved with theSwarthmore Professor Syon Bhanot, as well. According to a 2018 report on PBSI published by Results for America, the initiative’s other academic partners include: the University of Pennsylvania, Drexel, Temple, St. Joseph’s, Yale, Columbia and Princeton. The report, viewable here, was funded by the John and Laura Arnold Foundation. John Arnold, a hedge-fund billionaire who made his fortune at Enron, has since moved on to education reform, gutting public pensions, and promoting pay for success “evidence-based” finance.

“Innovative” programs are being incubated within the planning and policy departments of many US cities now via fellowships and loaner “experts” who plan to advance an “evidence-based,” “big-data,” “platform-government” agenda. Anjali Chainani, Mayor Kenney’s Policy Director and Manager of the city’s GovLab, has gone through the Results for America Local Government Fellow program.  The Philadelphia Behavioral Science Initiative is an outgrowth of the City Accelerator and GovLabPHL, which she manages. While the initial program areas are strategically uncontroversial (it would be difficult to speak against seniors taking advantage of discounted water bills or public bike sharing), it seems likely an “evidence-based” campaign of nudges, once normalized, will be extended into more lucrative and ethically-dubious areas like policing, health care delivery, family services, and behavioral health.

Below is an extensive relationship map that shows interconnections between data-driven public policy / privatization programs originating out of the Harvard Kennedy School of Government, the global financial interests represented by the members of Citi Group’s “Living Cities” program, and how those interface with government operations in the city of Philadelphia. Many of these programs were put into place by our former mayor, Michael Nutter, who went on to become a senior fellow for Bloomberg’s “What Works Cities” program. His wife Lisa is now a principal with Sidecar Social Finance, an impact investing firm.

Click here for the interactive version.

Feeding this machine is our gradual yet irresistible slide into a financial world of digital economic transactions. My next post will focus on that. Please take some time to explore the maps above. They are complex but convey a great deal about the forces at work. Sometimes a nudge is actually a shove. I think our city is being positioned for some serious shoving.

The footage above is from the violent July 5, 2018 police intervention against peaceful OccupyICEPHL protestors at 8th and Cherry Streets outside Philadelphia’s ICE detention center.

-Alison McDowell

Advertisements

Badges Find Their Way to San Jose, Philadelphia (and the Point Defiance Zoo)

Reposted with permission from Wrench in the Gears.

LRNG playlist

 

In this brave, new world education will no longer be defined as an organic, interdisciplinary process where children and educators collaborate in real-time, face-to-face, as a community of learners. Instead, 21st century education is about unbundling and tagging discrete skill sets that will be accumulated NOT with the goal of becoming a thoughtful, curious member of society, but rather for attaining a productive economic niche with as little time “wasted” on “extraneous” knowledge as possible. The problem, of course, is that we know our children’s futures will depend on flexibility, a broad base of knowledge, the ability to work with others, and creative, interdisciplinary thinking, none of which are rewarded in this new “personalized pathway/badging” approach to education.

San Jose LRNG Badges

Yesterday I watched a May 7, 2018 meeting held by the City Council of San Jose on education and digital literacy efforts related to the LRNG program, an initiative of the McCarthur Foundation-funded Collective Shift. Philadelphia is also a City of LRNG. Below is a five-minute clip in which they describe their digital badging program roll out.

Collecting an online portfolio of work-aligned skills is key to the planned transition to an apprenticeship “lifelong learning” model where children are viewed as human capital to be fed into an uncertain gig economy. Seattle Education’s recent post “Welcome to the machine” describes what is happening as Washington state follows the lead of Colorado and Arizona in pushing “career-connected” education.

Philadelphia’s LRNG program is called Digital On Ramps and is linked to WorkReady, the city’s youth summer jobs program. For the past several years children as young as fourteen have been encouraged to create online accounts and document their work experience using third party platforms. Opportunities to win gift cards and iPad minis have been used as incentives to complete the online activities. Within the past year the LRNG program has grown to include numerous badges related to creating and expanding online LinkedIn profiles. Microsoft bought Linked in for $26 billion in 2016. See screen shots below.

LRNG Contest

LRNG Contest 2

Below are excerpts from two previous posts I wrote about badges and Digital On Ramps. Activity is ramping up around online playlist education and the collection of competencies/badges using digital devices. We need to be paying attention. The first is from “Trade you a backpack of badges for a caring teacher and a well-resourced school” posted October 2016.

“This is not limited to K12 or even P20, the powers that be envision this process of meeting standards and collecting badges to be something we will have to do our ENTIRE LIVES. If you haven’t yet seen the “Learning is Earning” video-stop now and watch it, because it makes this very clear. Badges are representations of standards that have been met, competencies that have been proven. Collections of badges could determine our future career opportunities. The beauty of badges from a reformer’s perspective is that they are linked to pre-determined standards and can be earned “anywhere.” You can earn them from an online program, from a community partner, even on the job. As long as you can demonstrate you have mastery of a standard, you can claim the badge and move on to the next bit of micro-educational content needed to move you along your personalized pathway to the workforce.

In this brave, new world education will no longer be defined as an organic, interdisciplinary process where children and educators collaborate in real-time, face-to-face, as a community of learners. Instead, 21st century education is about unbundling and tagging discrete skill sets that will be accumulated NOT with the goal of becoming a thoughtful, curious member of society, but rather for attaining a productive economic niche with as little time “wasted” on “extraneous” knowledge as possible. The problem, of course, is that we know our children’s futures will depend on flexibility, a broad base of knowledge, the ability to work with others, and creative, interdisciplinary thinking, none of which are rewarded in this new “personalized pathway/badging” approach to education.

The reformers needed to get data-driven, standards-based education firmly in place before spotlighting their K12 badge campaign. Low-key preparations have been in the works for some time. In 2011, Mozilla announced its intention to create an Open Badges standard that could be used to verify, issue, and display badges earned via online instructional sites. The MacArthur Foundation and HASTAC (Humanities, Arts, Science, and Technology Alliance and Collaboratory) supported this effort. In 2013 a citywide badging pilot known as “The Summer of Learning” was launched in Chicago. 2013 was also the year that the Clinton Global Initiative joined the badge bandwagon. They have since agreed to incorporate badges into their operations and work to bring them to scale globally as part of the Reconnect Learning collaborative.

Other partners in the “Reconnect Learning” badging program include: The Afterschool AllianceBadge AllianceBlackboardDigital PromiseEdXETSHive Learning NetworksPearsonProfessional Examination Service and Council for Aid to Education, and Workforce.IO.

The Chicago Summer of Learning program expanded nationally and has since evolved into LRNG Cities, a program of the MacArthur Foundation. According to their website: “LRNG Cities combine in-school, out-of-school, employer-based and online learning experiences into a seamless network that is open and inviting to all youth. LRNG Cities connect youth to learning opportunities in schools, museums, libraries, and businesses, as well as online.”

In some ways such a system may sound wonderful and exciting. But I think we need to ask ourselves if we shift K12 funding (public, philanthropic, or social impact investing) outside school buildings, and if we allow digital badges to replace age-based grade cohorts, report cards, and diplomas, what are we giving up? Is this shiny, new promise worth the trade off? Many schools are shadows of their former selves. They are on life support. It is very likely that expanding the role of community partners and cyber education platforms via badging will put the final nail in the coffin of neighborhood schools.” Read full post here.

The second is from “Will “Smart” Cities lead to surveilled education and social control?” posted July 2017.

“Philadelphia has been on the Smart Cities’ bandwagon since 2011 when it teamed up with IBM to develop Digital On Ramps, a supposedly “ground breaking” human capital management program. As part of this initiative Philadelphia Academies, led at the time by Lisa Nutter (wife of Democrats for Education Reform former mayor Michael Nutter), developed a system of badges for youth that promoted workforce-aligned “anywhere, any time learning.” You can view a 2012 HASTAC conference presentation on the program starting at timestamp 50:00 of this video.  Lisa Nutter now works as an advisor to Sidecar Social Finance, an impact investment firm, and Michael Nutter is, among other things, a senior fellow with Bloomberg’s What Works Cities. This relationship map shows some of the interests surrounding the Digital On Ramps program. Use this link for an interactive version.

Digital On Ramps has since combined with Collective Shift’s initiative City of LRNG operating with support from the MacArthur Foundation. Besides Philadelphia, ten other Cities of LRNG are spread across the country: Chicago, Columbus, Detroit, Kansas City, Orlando, San Diego, San Jose, Sacramento, Washington, DC and Springfield, OH.

The premise is the “city is your classroom” where students “learn” through playlists of curated activities that are monitored via phone-based apps. Many of these cities are also “smart” cities. The Philadelphia program is presently housed at Drexel University, an institution that is involved in education technology research and development, that is a partner in Philadelphia’s Promise Zone initiative (education is a major component), and whose president John Fry served a term on the board of the Philadelphia School Partnership, the city’s ed-reform engine. Drexel’s graduate school of education is currently the lead on an unrelated NSF-funded STEM educational app and badging program being piloted with Philadelphia teachers in the Mantua neighborhood within the Promise Zone. It is touted as “an immersive, mentor-guided biodiversity field experience and career awareness program.”

In April 2017, Drexel’s School of Education hosted a lecture by DePaul University’s Dr. Nichole Pinkard entitled “Educational Technologies in a Time of Change in Urban Communities,” in which the MacArthur-funded 2013 Chicago Summer of Learning pilot was discussed. In this clip from the Q&A that followed the lecture, an audience member raised concerns about credit-bearing out-of-school time learning in the ecosystem model.

The 2011 IBM summary report for Digital On Ramps noted that among the four top priority recommendations was the creation of a “federated” view of the citizen in the cloud.” Of course, 2011 predates developments like Sesame Credit, but looking at it now I can’t help but conjure up an image of the “federated citizen in the cloud” as portrayed in Black Mirror’s dystopian Nosedive episode.

Digital On-Ramps appears to be a prototype for a career pathway, decentralized learning ecosystem model for public education. As the task-rabbit, gig economy becomes more entrenched with freelancers competing for the chance to provide precarious work at the lowest rate (see this short clip from Institute for the Future’s video about Education and Blockchain), what will it mean to reduce education to a series of ephemeral micro-credentials? And what dangers are there in adding behavioral competencies from predictive HR gaming platforms like Knack into the mix? Tech and human capital management interests are counting on the fact that people are intrigued by new apps. We’re predisposed to seek out pleasurable entertainment. Gamification is both appealing and distracting, consequently few people contemplate the downside right away, if ever.” Read full post here.

-Alison McDowell

Editor’s Note: The Point Defiance Zoo and Aquarium is a community partner with LRNG and offers badges. To learn more click here. -Carolyn Leith