Governing by identity describes the emerging regime of a globalizing, mobile world. Governance depends on identification but identification increasingly depends on biometrics. This 'solution' to difficulties of verification is described and some technical weaknesses are discussed. The role of biometrics in classification systems is also considered and is shown to contain possible prejudice in relation to racialized criteria of identity. Lastly, the culture of biometric identification is shown to be limited to abstract data, artificially separated from the lived experience of (...) the body including the orientation to others. It is proposed that creators of national ID systems in particular address these crucial deficiencies in their attempt to provide new modes of verification. (shrink)

This revised edition of the first complete translation of the seminal work 'Die Philosophie des Geldes' by Georg Simmel includes a new preface by David Frisby.

In a quiet London office, a software designer muses on the algorithms that will make possible the risk flags to be visualized on the screens of border guards from Heathrow to St Pancras International. There is, he says, ‘real time decision making’ – to detain, to deport, to secondarily question or search – but there is also the ‘offline team who run the analytics and work out the best set of rules’. Writing the code that will decide the association rules (...) between items of data, prosaic and mundane – flight route, payment type, passport – the analysts derive a novel preemptive security measure. This paper proposes the analytic of the data derivative – a visualized risk flag or score drawn from an amalgam of disaggregated fragments of data, inferred from across the gaps between data and projected onto an array of uncertain futures. In contrast to disciplinary and enclosed techniques of collecting data to govern population, the data derivative functions via ‘differential curves of normality’, imagining a range of potential futures through the association rule, thus ‘opening up to let things happen’ ( Foucault 2007 ). In some senses akin to the risk orientation of the financial derivative, itself indifferent to actual underlying people, places or events by virtue of modulated norms, the contemporary security derivative is not centred on who we are, nor even on what our data say about us, but on what can be imagined and inferred about who we might be – on our very proclivities and potentialities. (shrink)

Marketing and web analytic companies have implemented sophisticated algorithms to observe, analyze, and identify users through large surveillance networks online. These computer algorithms have the capacity to infer categories of identity upon users based largely on their web-surfing habits. In this article I will first discuss the conceptual and theoretical work around code, outlining its use in an analysis of online categorization practices. The article will then approach the function of code at the level of the category, arguing that an (...) analysis of coded computer algorithms enables a supplement to Foucauldian thinking around biopolitics and biopower, of what I call soft biopower and soft biopolitics. These new conceptual devices allow us to better understand the workings of biopower at the level of the category, of using computer code, statistics and surveillance to construct categories within populations according to users’ surveilled internet history. Finally, the article will think through the nuanced ways that algorithmic inference works as a mode of control, of processes of identification that structure and regulate our lives online within the context of online marketing and algorithmic categorization. (shrink)

In this Article I argue that the global credit crunch of 2007-2009 is the result of the multifaceted phenomenon of liquidity illusion. Fundamentally, the problem of liquidity illusion derives from the hollow conceptualization of "liquidity" in mainstream financial theory and practice. Represented most recently by the market completion theory, this paradigm has led to a widespread misunderstanding of the dynamics of the relationship between the process of financial innovation and the liquidity of the financial system. In order to unpack the (...) political economy of liquidity illusion from other factors in the leadup to the global credit crunch, this Article builds upon Hyman Minsky’s vision of financial innovation and crisis. Challenging mainstream views of the liquidity-enhancing process of financial innovation, I identify the three pillars of liquidity illusion in the recent 2002-2007 bout of securitization: a) the paradigm of self-regulating finance; b) the role of Ponzi finance; and c) the function of private authority, namely credit rating agencies. (shrink)

Contemporary financial markets have recently witnessed a sea change with the ‘algorithmic revolution’, as trading automats are used to ease the execution sequences and reduce market impact. Being constantly monitored, they take an active part in the shaping of markets, and sometimes generate crises when ‘they mess up’ or when they entail situations where traders cannot go backwards. Algorithms are software codes coding practices in an IT significant ‘textual’ device, designed to replicate trading patterns. To be accepted, however, they need (...) to comply with regulatory texts, which are nothing else but codes of conduct coding accepted practices in the markets. In this article, I draw on ethnographic fieldwork in order to open these black boxes, while trying to describe their existence as devices encapsulating several points of views. I address the question of a possible misalignment between those visions, and more specifically try to draw the consequences raised by such discrepancies as regards the future of financial regulation. (shrink)