It is widely held that the influence of risk on rational decisions is not entirely explained by the shape of an agent’s utility curve. Buchak (Erkenntnis, 2013, Risk and rationality, Oxford University Press, Oxford, in press) presents an axiomatic decision theory, risk-weighted expected utility theory (REU), in which decision weights are the agent’s subjective probabilities modified by his risk-function r. REU is briefly described, and the global applicability of r is discussed. Rabin’s (Econometrica 68:1281–1292, 2000) calibration (...) theorem strongly suggests that plausible levels of risk aversion cannot be fully explained by concave utility functions; this provides motivation for REU and other theories. But applied to the synchronic preferences of an individual agent, Rabin’s result is not as problematic as it may first appear. Theories that treat outcomes as gains and losses (e.g. prospect theory and cumulative prospect theory) account for risk sensitivity in a way not available to REU. Reference points that mark the difference between gains and losses are subject to framing, many instances of which cannot be regarded as rational. However, rational decision theory may recognize the difference between gains and losses, without endorsing all ways of fixing the point of reference. In any event, REU is a very interesting theory. (shrink)

The Truth problem is one of the central problems of philosophy. Nowadays, every major theory of truth that applies to formal languages utilizes devices referring to formulae. Such devices include name-forming functions. The theory of truth discussed in this paper applies to strict formal logic languages, the critique of which must, therefore, also obey mathematical rigour. This is why I have used formal logic derivations below rather than the argumentation of ordinary language.

A capability approach has been proposed to risk analysis, where risk is conceptualized as the probability that capabilities are reduced. Capabilities refer to the genuine opportunities of individuals to achieve valuable doings and beings, such as being adequately nourished. Such doings and beings are called functionings. A current debate in risk analysis and other fields where a capability approach has been developed concerns whether capabilities or actual achieved functionings should be used. This paper argues that in (...) class='Hi'>risk analysis the consequences of hazardous scenarios should be conceptualized in terms of capabilities, not achieved functionings. Furthermore, the paper proposes a method for assessing capabilities, which considers the levels of achieved functionings of other individuals with similar boundary conditions. The capability of an individual can then be captured statistically based on the variability of the achieved functionings over the considered population. (shrink)

When our choice affects some other person and the outcome is unknown, it has been argued that we should defer to their risk attitude, if known, or else default to use of a risk avoidant risk function. This, in turn, has been claimed to require the use of a risk avoidant risk function when making decisions that primarily affect future people, and to decrease the desirability of efforts to prevent human extinction, owing to the significant (...) risks associated with continued human survival. I raise objections to the claim that respect for others’ risk attitudes requires risk avoidance when choosing for future generations. In particular, I argue that there is no known principle of interpersonal aggregation that yields acceptable results in variable population contexts and is consistent with a plausible ideal of respect for others’ risk attitudes in fixed population cases. GPI Working Paper No . 20-2022. (shrink)

When you are indifferent between two options, it’s rationally permissible to take either. One way to decide between two such options is to flip a fair coin, taking one option if it lands heads and the other if it lands tails. Is it rationally permissible to employ such a tie-breaking procedure? Intuitively, yes. However, if you are genuinely risk-averse—in particular, if you adhere to risk-weighted expected utility theory (Buchak in Risk and rationality, Oxford University Press, 2013) and (...) have a strictly convex risk-function—the answer will often be no: the REU of deciding by coin-flip will be lower than the REU of choosing one of the options outright (so long as at least one of the options is a nondegenerate gamble). This turns out to be a significant worry for risk-weighted expected utility theory. I argue that it adds real bite to established worries about diachronic consistency afflicting views, like risk-weighted expected utility theory, that violate Independence. And that, while these worries might be surmountable, surmounting them comes at a price. (shrink)

According to the orthodox treatment of risk preferences in decision theory, they are to be explained in terms of the agent's desires about concrete outcomes. The orthodoxy has been criticised both for conflating two types of attitudes and for committing agents to attitudes that do not seem rationally required. To avoid these problems, it has been suggested that an agent's attitudes to risk should be captured by a risk function that is independent of her utility and probability (...) functions. The main problem with that approach is that it suggests that attitudes to risk are wholly distinct from people's (non-instrumental) desires. To overcome this problem, we develop a framework where an agent's utility function is defined over chance propositions (i.e., propositions describing objective probability distributions) as well as ordinary (non-chance) ones, and argue that one should explain different risk attitudes in terms of different forms of the utility function over such propositions. (shrink)

There has been a movement aiming to teach agents about their privilege by making the information about their privilege as costless as possible. However, some argue that in risk-sensitive frameworks, such as Lara Buchak’s (2013), it can be rational for privileged agents to shield themselves from learning about their privilege, even if the information is costless and relevant. This threatens the efficacy of these information-access efforts in alleviating the problem of elite-group ignorance. In response, I show that even within (...) the same framework, in this case David Kinney and Liam Kofi Bright’s (2021), the rationality of this information avoidance rests on shaky ground in practice. In this framework, whether an agent should avoid information depends on the precise details of (1) how relevant they expect the information to be, (2) their priors about the value of various options, and (3) their risk attitudes. The model suggests that the rationality of elite-group ignorance is a function of structural factors that are pervasive but nonetheless not insurmountable, thus offering a way out of pessimism about elite group education. (shrink)

Risk communication has been generally categorized as a warning act, which is performed in order to prevent or minimize risk. On the other side, risk analysis has also underscored the role played by information in reducing uncertainty about risk. In both approaches the safety aspects related to the protection of the right to health are on focus. However, it seems that there are cases where a risk cannot possibly be avoided or uncertainty reduced, this is (...) for instance valid for the declaration of side effects associated with pharmaceutical products or when a decision about drug approval or retirement must be delivered on the available evidence. In these cases, risk communication seems to accomplish other tasks than preventing risk or reducing uncertainty. The present paper analyzes the legal instruments which have been developed in order to control and manage the risks related to drugs – such as the notion of “development risk” or “residual risk” – and relates them to different kinds of uncertainty. These are conceptualized as epistemic, ecological, metric, ethical, and stochastic, depending on their nature. By referring to this taxonomy, different functions of pharmaceutical risk communication are identified and connected with the legal tools of uncertainty management. The purpose is to distinguish the different functions of risk communication and make explicit their different legal nature and implications. (shrink)

The orthodox theory of instrumental rationality, expected utility (EU) theory, severely restricts the way in which risk-considerations can figure into a rational individual's preferences. It is argued here that this is because EU theory neglects an important component of instrumental rationality. This paper presents a more general theory of decision-making, risk-weighted expected utility (REU) theory, of which expected utility maximization is a special case. According to REU theory, the weight that each outcome gets in decision-making is not the (...) subjective probability of that outcome; rather, the weight each outcome gets depends on both its subjective probability and its position in the gamble. Furthermore, the individual's utility function, her subjective probability function, and a function that measures her attitude towards risk can be separately derived from her preferences via a Representation Theorem. This theorem illuminates the role that each of these entities plays in preferences, and shows how REU theory explicates the components of instrumental rationality. (shrink)

Special Issue “Risks of artificial general intelligence”, Journal of Experimental and Theoretical Artificial Intelligence, 26/3 (2014), ed. Vincent C. Müller. http://www.tandfonline.com/toc/teta20/26/3# - Risks of general artificial intelligence, Vincent C. Müller, pages 297-301 - Autonomous technology and the greater human good - Steve Omohundro - pages 303-315 - - - The errors, insights and lessons of famous AI predictions – and what they mean for the future - Stuart Armstrong, Kaj Sotala & Seán S. Ó hÉigeartaigh - pages 317-342 - - (...) - The path to more general artificial intelligence - Ted Goertzel - pages 343-354 - - - Limitations and risks of machine ethics - Miles Brundage - pages 355-372 - - - Utility function security in artificially intelligent agents - Roman V. Yampolskiy - pages 373-389 - - - GOLEM: towards an AGI meta-architecture enabling both goal preservation and radical self-improvement - Ben Goertzel - pages 391-403 - - - Universal empathy and ethical bias for artificial general intelligence - Alexey Potapov & Sergey Rodionov - pages 405-416 - - - Bounding the impact of AGI - András Kornai - pages 417-438 - - - Ethics of brain emulations - Anders Sandberg - pages 439-457. (shrink)

When our choice affects some other person and the outcome is unknown, it has been argued that we should defer to their risk attitude, if known, or else default to use of a risk avoidant risk function. This, in turn, has been claimed to require the use of a risk avoidant risk function when making decisions that primarily affect future people, and to decrease the desirability of efforts to prevent human extinction, owing to the significant (...) risks associated with continued human survival. I raise objections to the claim that respect for others’ risk attitudes requires risk avoidance when choosing for future generations. In particular, I argue that there is no known principle of interpersonal aggregation that yields acceptable results in variable population contexts and is consistent with a plausible ideal of respect for others’ risk attitudes in fixed population cases. GPI Working Paper No. 20-2022. (shrink)

We investigate risk attitudes when the underlying domain of payoffs is finite and the payoffs are, in general, not numerical. In such cases, the traditional notions of absolute risk attitudes, that are designed for convex domains of numerical payoffs, are not applicable. We introduce comparative notions of weak and strong risk attitudes that remain applicable. We examine how they are characterized within the rank-dependent utility model, thus including expected utility as a special case. In particular, we characterize (...) strong comparative risk aversion under rank-dependent utility. This is our main result. From this and other findings, we draw two novel conclusions. First, under expected utility, weak and strong comparative risk aversion are characterized by the same condition over finite domains. By contrast, such is not the case under non-expected utility. Second, under expected utility, weak comparative risk aversion is characterized by the same condition when the utility functions have finite range and when they have convex range. By contrast, such is not the case under non-expected utility. Thus, considering comparative risk aversion over finite domains leads to a better understanding of the divide between expected and non-expected utility, more generally, the structural properties of the main models of decision-making under risk. (shrink)

Papers from the conference on AI Risk (published in JETAI), supplemented by additional work. --- If the intelligence of artificial systems were to surpass that of humans, humanity would face significant risks. The time has come to consider these issues, and this consideration must include progress in artificial intelligence (AI) as much as insights from AI theory. -- Featuring contributions from leading experts and thinkers in artificial intelligence, Risks of Artificial Intelligence is the first volume of collected chapters dedicated (...) to examining the risks of AI. The book evaluates predictions of the future of AI, proposes ways to ensure that AI systems will be beneficial to humans, and then critically evaluates such proposals. 1 Vincent C. Müller, Editorial: Risks of Artificial Intelligence - 2 Steve Omohundro, Autonomous Technology and the Greater Human Good - 3 Stuart Armstrong, Kaj Sotala and Sean O’Heigeartaigh, The Errors, Insights and Lessons of Famous AI Predictions - and What they Mean for the Future - 4 Ted Goertzel, The Path to More General Artificial Intelligence - 5 Miles Brundage, Limitations and Risks of Machine Ethics - 6 Roman Yampolskiy, Utility Function Security in Artificially Intelligent Agents - 7 Ben Goertzel, GOLEM: Toward an AGI Meta-Architecture Enabling Both Goal Preservation and Radical Self-Improvement - 8 Alexey Potapov and Sergey Rodionov, Universal Empathy and Ethical Bias for Artificial General Intelligence - 9 András Kornai, Bounding the Impact of AGI - 10 Anders Sandberg, Ethics and Impact of Brain Emulations 11 Daniel Dewey, Long-Term Strategies for Ending Existential Risk from Fast Takeoff - 12 Mark Bishop, The Singularity, or How I Learned to Stop Worrying and Love AI -. (shrink)

In this paper, we distinguish between different sorts of assessments of algorithmic systems, describe our process of assessing such systems for ethical risk, and share some key challenges and lessons for future algorithm assessments and audits. Given the distinctive nature and function of a third-party audit, and the uncertain and shifting regulatory landscape, we suggest that second-party assessments are currently the primary mechanisms for analyzing the social impacts of systems that incorporate artificial intelligence. We then discuss two kinds of (...) as-sessments: an ethical risk assessment and a narrower, technical algo-rithmic bias assessment. We explain how the two assessments depend on each other, highlight the importance of situating the algorithm within its particular socio-technical context, and discuss a number of lessons and challenges for algorithm assessments and, potentially, for algorithm audits. The discussion builds on our team’s experience of advising and conducting ethical risk assessments for clients across dif-ferent industries in the last four years. Our main goal is to reflect on the key factors that are potentially ethically relevant in the use of algo-rithms, and draw lessons for the nascent algorithm assessment and audit industry, in the hope of helping all parties minimize the risk of harm from their use. (shrink)

Deontological theories face difficulties in accounting for situations involving risk; the most natural ways of extending deontological principles to such situations have unpalatable consequences. In extending ethical principles to decision under risk, theorists often assume the risk must be incorporated into the theory by means of a function from the product of probability assignments to certain values. Deontologists should reject this assumption; essentially different actions are available to the agent when she cannot know that a certain act (...) is in her power, so we cannot simply understand her choice situation as a “risk-weighted” version of choice under certainty. (shrink)

Recent advances in natural language processing have given rise to a new kind of AI architecture: the language agent. By repeatedly calling an LLM to perform a variety of cognitive tasks, language agents are able to function autonomously to pursue goals specified in natural language and stored in a human-readable format. Because of their architecture, language agents exhibit behavior that is predictable according to the laws of folk psychology: they function as though they have desires and beliefs, and then make (...) and update plans to pursue their desires given their beliefs. We argue that the rise of language agents significantly reduces the probability of an existential catastrophe due to loss of control over an AGI. This is because the probability of such an existential catastrophe is proportional to the difficulty of aligning AGI systems, and language agents significantly reduce that difficulty. In particular, language agents help to resolve three important issues related to aligning AIs: reward misspecification, goal misgeneralization, and uninterpretability. (shrink)

Currently, under the conditions of permanent financial risks that hamper the sustainable economic growth in the financial sector, the development of evaluation and risk management methods both regulated by Basel II and III and others seem to be of special importance. The reputation risk is one of significant risks affecting reliability and credibility of commercial banks. The importance of reputation risk management and the quality of their assessment remain relevant as the probability of decrease in or loss (...) of business reputation influences the financial results and the degree of customers’, partners’ and stakeholders’ confidence. By means of imitating modeling based on Bayesian Networks and the fuzzy data analysis, the article characterizes the mechanism of reputation risk assessment and possible losses evaluation in banks by plotting normal and lognormal distribution functions. Monte-Carlo simulation is used to calculate the probability of losses caused by reputation risks. The degree of standardized histogram similarity is determined on the basis of the fuzzy data analysis applying Hamming distance method. The tree-like hierarchy based on the OWA-operator is used to aggregate the data with Fishburne's coefficients as the convolution scales. The mechanism takes into account the impact of criteria, such as return on equity, goodwill value, the risk assets ratio, the share of the productive assets in net assets, the efficiency ratio of interest bearing liabilities, the risk ratio of credit operations, the funding ratio and reliability index on the business reputation of the bank. The suggested methods and recommendations might be applied to develop the decision-making mechanism targeted at the implementation of reputation risk management system in commercial banks as well as to optimize risk management technologies. (shrink)

Looks into evaluation of information provision probability from different sources, based on use of linguistic variables. Formation of functions appurtenant for its unclear variables provides for adoption of decisions by the decision maker, in conditions of nonprobabilistic equivocation. The development of market relations in Ukraine increases the independence and responsibility of enterprises in justifying and making management decisions that ensure their effective, competitive activities. As a result of the analysis, it is determined that the condition of economic facilities can (...) be described and determined by the decision-maker, in the presence of the necessary information. The confidence of the decision-maker in the information received is different and the decisions made have a correspondingly different level of information risk. It is important to substantiate the procedure for assessing the numerical extent of information risk in decision-making based on the information obtained in conditions of uncertainty. The use of a linguistic variable in the processing of expert data presented in the form of a matrix of binary relations of values of the membership function, which allowed to move to further processing of knowledge to support decision-making in the management of industrial, commercial, financial and other activities. As a mathematical model for estimating the numerical measure of information risk when making decisions based on the information obtained in conditions of non-stochastic uncertainty, a model has been developed to model natural language uncertainties, which differs from existing ones by formalizing knowledge taking into account uncertainty of input information. Making such a clear decision in a fuzzy environment has appropriate values of effectiveness and risk. The paper proposes all the functions and accessories of indicators of both quantitative nature and qualitative nature to bring their values in the field of definition to one scale. Then the indicator of the effectiveness of decision-making will be a measure of the clarity of the cross-section of fuzzy subsets, which correspond to the introduced indicators of information risk. The condition of economic facilities can be described and determined by the decision-maker, if the necessary information is available. Decision-making on thenumerical measure of information risk must be determined by a set of basic indicators, which can be both quantitative and qualitative in nature. Predictive values of indicators should be determined in conditions of nonstochastic uncertainty. In this case, the indicators of a quantitative nature can be determined by fuzzy triangular numbers, which implement a high level of confidence in the subjective judgments of experts. Indicators of qualitative nature should be presented in linguistic variables. The values of the indicators of qualitative nature that are predicted must be considered for all fuzzy variable terms-sets of linguistic variables introduced into consideration. For any fuzzy variable, the introduction to the consideration of a clear set of values as carriers of the α-level of its membership function allows to reduce to a single interpretation of the predicted values of indicators of quantitative and qualitative nature in terms of non-stochastic uncertainty. (shrink)

In this essay I seek to critically evaluate some forms of holism and organicism in biological thought, as a more deflationary echo to Gilbert and Sarkar's reflection on the need for an 'umbrella' concept to convey the new vitality of holistic concepts in biology (Gilbert and Sarkar 2000). Given that some recent discussions in theoretical biology call for an organism concept (from Moreno and Mossio’s work on organization to Kirschner et al.’s research paper in Cell, 2000, building on chemistry to (...) articulate what they called “molecular vitalism,” studying the “vitalistic” properties of molecular, cellular, and organismal function, and Pepper and Herron’s suggestion in their 2008 paper that organisms define a category that evolutionary biology cannot do without), the question, what concept of organicism are they calling for? To what extent are such claims philosophically committed to a non-naturalistic concept of organism as organizing centre, as a foundational rather than heuristic concept – or possibly a “biochauvinism,” to use Di Paolo’s term (Di Paolo 2009)? My aim in this paper is to conceptually clarify the forms of holism and organicism that are involved in these cases (and I acknowledge that the study of early 20th-century holisms [Peterson 2010] indicates that not all of them were in fact ‘organicist’ or ‘biologistic’). I suggest that contemporary holists are still potentially beholden to a certain kind of vitalism or “biochauvinism”; but that when they reduce their claims to mere heuristics, conversely, they risk losing sight of a certain kind of organizational “thickness”, a “vital materiality” (Wheeler 2010) which is characteristic of biological systems (Bechtel 2007). And I ask if it is possible to articulate a concept of biological holism or organicism which is neither an empirical ‘biochauvinism’ nor a metaphysical ‘vitalism’? (shrink)

One challenge in providing an adequate definition of physical disability is unifying the heterogeneous bodily conditions that count as disabilities. We examine recent proposals by Elizabeth Barnes (2016), and Dana Howard and Sean Aas (2018), and show how this debate has reached an impasse. Barnes’ account struggles to deliver principled unification of the category of disability, whilst Howard and Aas’ account risks inappropriately sidelining the body. We argue that this impasse can be broken using a novel concept: marginalised functioning. Marginalised (...) functioning concerns the relationship between a person’s bodily capacities and their social world: specifically, their ability to function in line with the default norms about how people can typically physically function that influence the structuring of social space. We argue that attending to marginalised functioning allows us to develop, not one, but three different models of disability, all of which—whilst having different strengths and weaknesses—unify the category of disability without sidelining the body. (shrink)

Investigation of neural and cognitive processes underlying individual variation in moral preferences is underway, with notable similarities emerging between moral- and risk-based decision-making. Here we specifically assessed moral distributive justice preferences and non-moral financial gambling preferences in the same individuals, and report an association between these seemingly disparate forms of decision-making. Moreover, we find this association between distributive justice and risky decision-making exists primarily when the latter is assessed with the Iowa Gambling Task. These findings are consistent with neuroimaging (...) studies of brain function during moral and risky decision-making. This research also constitutes the first replication of a novel experimental measure of distributive justice decision-making, for which individual variation in performance was found. Further examination of decision-making processes across different contexts may lead to an improved understanding of the factors affecting moral behaviour. (shrink)

The Japanese particle 'to' serves as a quotative marker, either indicating the content of speech or thought, or serving related functions. The particle 'tte' is frequently identified as an informal variant of 'to', serving identical or nearly identical functions. Scholars have suggested the two forms may have different distribution or function, but to date there has been little empirical work to distinguish the forms using broad-based corpus methods. This study of a corpus 129 informal conversations suggests that both (...) particles are used in informal contexts. The particle 'tte' tends to occur with verbs indicating speech, or with no verb; the particle 'to' tends to occur with verbs indicating thought. Discussion also reveals some difficulties inherent in the use of morphological parsers for large-scale corpus study. Over-specifying the morphological contexts in which a form may occur risks only finding instances that support current models of grammar. (shrink)

The possibility of social and technological collapse has been the focus of science fiction tropes for decades, but more recent focus has been on specific sources of existential and global catastrophic risk. Because these scenarios are simple to understand and envision, they receive more attention than risks due to complex interplay of failures, or risks that cannot be clearly specified. In this paper, we discuss the possibility that complexity of a certain type leads to fragility which can function as (...) a source of catastrophic or even existential risk. The paper first reviews a hypothesis by Bostrom about inevitable technological risks, named the vulnerable world hypothesis. This paper next hypothesizes that fragility may not only be a possible risk, but could be inevitable,and would therefore be a subclass or example of Bostrom’s vulnerable worlds. After introducing the titular fragile world hypothesis, the paper details the conditions under which it would be correct, and presents arguments for why the conditions may in fact may apply. Finally, the assumptions and potential mitigations of the new hypothesis are contrasted with those Bostrom suggests. (shrink)

In this paper, I argue that looking at the concept of neural function through the lens of cognition alone risks cognitive myopia: it leads neuroscientists to focus only on mechanisms with cognitive functions that process behaviorally relevant information when conceptualizing “neural function”. Cognitive myopia tempts researchers to neglect neural mechanisms with noncognitive functions which do not process behaviorally relevant information but maintain and repair neural and other systems of the body. Cognitive myopia similarly affects philosophy of neuroscience because (...) scholars overlook noncognitive functions when analyzing issues surrounding e.g., functional decomposition or the multifunctionality of neural structures. I argue that we can overcome cognitive myopia by adopting a patchwork approach that articulates cognitive and noncognitive “patches” of the concept of neural function. Cognitive patches describe mechanisms with causally specific effects on cognition and behavior which are likely operative in transforming sensory or other inputs into motor outputs. Noncognitive patches describe mechanisms that lack such specific effects; these mechanisms are enabling conditions for cognitive functions to occur. I use these distinctions to characterize two noncognitive functions at the mesoscale of neural circuits: subsistence functions like breathing are implemented by central pattern generators and are necessary to maintain the life of the organism. Infrastructural functions like gain control are implemented by canonical microcircuits and prevent neural system damage while cognitive processing occurs. By adding conceptual patches that describe these functions, a patchwork approach can overcome cognitive myopia and help us explain how the brain’s capacities as an information processing device are constrained by its ability to maintain and repair itself as a physiological apparatus. (shrink)

The world population is aging rapidly. Fear of falling among the elderly constitute a significant problem in health care. Among community-dwelling elderly, fear of falling is frequent, with prevalence ranging from 3% to 85% % in community-based epidemiologic studies. The aim of this review is to reveal the prevalence and risk factors of fear of falling (FOF) among elderly. The review has identified that age, sex, physical performance, comorbidity, a history of falls, hearing impairment, poor self-related health and depressive (...) symptoms affect fear of falling. The consequences that develop as a result of a fear of falling can include: loss of confidence, decreased quality of life, mobility or activity restriction and the development of deconditioning, leading to loneliness, depression, and anxiety, subsequent falls and physical, psychological and mental function declines. Maintenance of physical function and pain management might be important for older adults with fear of falling. (shrink)

In this article, I show why it is necessary to abolish the use of predictive algorithms in the US criminal justice system at sentencing. After presenting the functioning of these algorithms in their context of emergence, I offer three arguments to demonstrate why their abolition is imperative. First, I show that sentencing based on predictive algorithms induces a process of rewriting the temporality of the judged individual, flattening their life into a present inescapably doomed by its past. Second, I demonstrate (...) that recursive processes, comprising predictive algorithms and the decisions based on their predictions, systematically suppress outliers and progressively transform reality to match predictions. In my third and final argument, I show that decisions made on the basis of predictive algorithms actively perform a biopolitical understanding of justice as management and modulation of risks. In such a framework, justice becomes a means to maintain a perverse social homeostasis that systematically exposes disenfranchised Black and Brown populations to risk. (shrink)

Risk assessment is one of the prerequisites for understanding its causes and possible consequences. We base our risk assessment on the principles described in the European standard EN 31000 - Risk Management Process. This standard comprehensively describes the continuous activities that are necessary in managing risks and minimizing their possible adverse effects on the operation of the system under investigation. In this activity, it is necessary to first identify the existing risks, then analyze and evaluate the identified (...) risks. In the analysis of existing risks, it is possible to use both qualitative and quantitative analytical methods, or combine them. We use qualitative methods in cases where we do not have a sufficient amount of input information, these are more subjective. Quantitative methods are more accurate, but also more demanding on input information and time. The choice of a suitable analytical method is a basic prerequisite for knowledge of risks and their evaluation. The values of individual risks obtained in this way are the basis for determining the measures that are ecessary to minimize them, i.e., to adjust them to an acceptable level. The draft measures are always based on the value of the individual components used to calculate the risk number, as well as on the value of the asset , which needs to be protected. Appropriately chosen analytical methods are one of the basic prerequisites for the consistent application of the principles of risk management, as a continuous process aimed at increasing the overall security of the system under study. In the article, the author describes the procedures used in risk assessment, as well as specific analytical methods that can be used in working with risks. The aim of identifying risk factors is to create a list of events that could cause undesirable disruption to ongoing processes. At this stage, we define all the risks that will be subsequently analyzed and evaluated. When identifying, we can use methods such as, e.g. SWOT, PHA (Preliminary Hazard Analysis) or CA (Checklist Analysis). Methods suitable for determining the causes and creating scenarios for the course of a risk event are ETA (Event Tree Analysis) or FTA (Fault Tree Analysis). The basic analysis of the system can be performed using the FMEA method (Failure Mode and Effect Analysis), which provides a numerical risk assessment. By comparison with the numerical value of the risk that we are willing to accept, we obtain 2 groups of risks. Acceptable, which will be given regular attention and unacceptable, which we will focus on in risk management and we will try to minimize its negative affect on the functioning of the system under study. (shrink)

This article assesses how autonomy and machine learning impact the existential risk of nuclear war. It situates the problem of cyber security, which proceeds by stealth, within the larger context of nuclear deterrence, which is effective when it functions with transparency and credibility. Cyber vulnerabilities poses new weaknesses to the strategic stability provided by nuclear deterrence. This article offers best practices for the use of computer and information technologies integrated into nuclear weapons systems. Focusing on nuclear command and (...) control, avoiding autonomy and machine learning is recommended as one means to reduce the existential risk of unintended nuclear conflict. (shrink)

Stable adaptive strategy of Homo sapiens (SESH) is a superposition of three different adaptive data arrays: biological, socio-cultural and technological modules, based on three independent processes of generation and replication of an adaptive information – genetic, socio-cultural and symbolic transmissions (inheritance). Third component SESH focused equally to the adaptive transformation of the environment and carrier of SESH. With the advent of High Hume technology, risk has reached the existential significance level. The existential level of technical risk is, by (...) definition, an evolutionary risk as possible leads to the genesis of disappearance of humanity as a species. The emergence of bioethics has to consider as a form of modern (transdisciplinary) scientific concept and sociocultural adaptation for regulate human identity in the global-evolutionary transformation and performs the function of self-preservation. (shrink)

Academics working on military ethics and serving military personnel rarely have opportunities to talk to each other in ways that can inform and illuminate their respective experiences and approaches to the ethics of war. The workshop from which this paper evolved was a rare opportunity to remedy this problem. Our conversations about First Lieutenant (1LT) Portis’s experiences in combat provided a unique chance to explore questions about the relationship between oversight, accountability, and the idea of moral risk in military (...) operations. In this paper, we outline a particular experience of 1LT Portis’s that formed the basis of our discussions, before elucidating the ethical issues this experience raised. In particular, we see 1LT Portis’s experience as, first, illustrative of the problem of moral risk – when military personnel are placed in situations of moral temptation. The problem of moral risk, we propose, is best understood through the framework of the military’s duty of care. Second, we see his experience as highlighting tensions within the dominant moralized warrior model of the military profession. What we call a toxic warrior identity — a distorted form of the moralized warrior identity — can negatively affect the attitudes of military personnel toward rules, policies, procedures, and accountability mechanisms, particularly in relation to non-combat related roles and duties and when leaders must choose between competing bureaucratic demands. We see 1LT Portis’s experience as illustrative of these tensions, yet his experiences also highlight important concerns about the impact of increasing bureaucratic demands on military functioning. In the conclusion, we address the need to balance concerns about toxic warrior identity with legitimate criticisms of overly demanding bureaucracy and suggest avenues for further research on this issue. (shrink)

Purpose (metatask) of the present work is to attempt to give a glance at the problem of existential and anthropo- logical risk caused by the contemporary man-made civilization from the perspective of comparison and confronta- tion of aesthetics, the substrate of which is emotional and metaphorical interpretation of individual subjective values and politics feeding by objectively rational interests of social groups. In both cases there is some semantic gap pre- sent between the represented social reality and its representation in (...) perception of works of art and in the political doctrines as well. Methodology of the research is evolutionary anthropological comparativistics. Originality of the conducted analysis comes to the following: As the antithesis to biological and social reductionism in interpretation of the phenomenon of bio-power it is proposed a co-evolutionary semantic model in accordance with which the de- scribed semantic gap is of the substantial nature related to the complex module organization of a consistent and adaptive human strategy consisting of three associated but independently functional modules (genetic, cultural and techno-rational). Evolutionary trajectory of all anthropogenesis components including civilization cultural and so- cial-political evolution is identified by the proportion between two macro variables – evolutionary effectiveness and evolutionary stability (sameness), i.e. preservation in the context of consequential transformations of some invari- ants of Homo sapiens species specificity organization. It should be noted that inasmuch as in respect to human, some modules of the evolutionary (adaptive) strategy assume self-reflection attributes, it would be more correctly to state about evolutionary correctness, i.e. correspondence to some perfection. As a result, the future of human nature de- pends not only on the rationalist principles of ethics of Homo species (the archaism of Jurgen Habermas), but also on the holistic and emotionally aesthetic image of «Self». In conclusion it should be noted that there is a causal link between the development of High Hume (NBIC) technologies and the totality of the trend in the anthropological phenomenon of bio-power that permeates all the available human existence in modern civilization. As a result, there is a transformation of a contemporary social (man-made) risk in the evolutionary civilization risk. (shrink)

Purpose of the present work is to attempt to give a glance at the problem of existential and anthropological risk caused by the contemporary man-made civilization from the perspective of comparison and confrontation of aesthetics, the substrate of which is emotional and metaphorical interpretation of individual subjective values and politics feeding by objectively rational interests of social groups. In both cases there is some semantic gap present between the represented social reality and its representation in perception of works of (...) art and in the political doctrines as well. Methodology of the research is evolutionary anthropologicalcomparativistics. Originality of the conducted analysis comes to the following: As the antithesis to biological and social reductionism in interpretation of the phenomenon of bio-power it is proposed a co-evolutionary semantic model in accordance with which the described semantic gap is of the substantial nature related to the complex module organization of a consistent and adaptive human strategy consisting of three associated but independently functional modules. Evolutionary trajectory of all anthropogenesis components including civilization cultural and social-political evolution is identified by the proportion between two macro variables – evolutionary effectiveness and evolutionary stability, i.e. preservation in the context of consequential transformations of some invariants of Homo sapiens species specificity organization. It should be noted that inasmuch as in respect to human, some modules of the evolutionary strategy assume self-reflection attributes, it would be more correctly to state about evolutionary correctness, i.e. correspondence to some perfection. As a result, the future of human nature depends not only on the rationalist principles of ethics of Homo species, but also on the holistic and emotionally aesthetic image of «Self». In conclusion it should be noted that there is a causal link between the development of High Hume technologies and the totality of the trend in the anthropological phenomenon of bio-power that permeates all the available human existence in modern civilization. As a result, there is a transformation of a contemporary social risk in the evolutionary civilization risk. (shrink)

The article investigates the main characteristics of the financial stability of Ukrainian banks, their risk profile, structure of assets, liabilities, income, expenses based on the monthly reporting data for 2004-2020 (number of observations – 3 813). The Kohonen self-organizing map (SOM) toolkit is used to form homogeneous groups of banks based on a large number of financial indicators. The selected toolkit provides a convenient visualization of the results. Each bank occupies a specific place on the SOM. The close location (...) of banks on the map indicates that these banks have many common characteristics. This study is called the method of structural and functional groups of banks. The study formed stable groups of banks with the same characteristics of business models and risk profile. The formation of consecutive maps for each reporting period allows to obtain the characteristics of each bank separately and the banking system as a whole. The trajectory of an individual bank’s activity during the observation period characterizes the development of its business strategy. The migration of a large number of banks between groups reflects the objective changes in the conditions of banking. Increasing groups of high-risk banks indicate systemic problems. The results show that after a significant reduction in the banking system of Ukraine in 2014-2016, the business models of banks have changed significantly. The resource base relies on unstable sources of current funds with no set term of use. In the assets of banks, a significant portion is invested in government securities – government bonds. Bank loan portfolios have declined and have a higher proportion of non-performing assets (NPL). Many banks have increased currency risk. Concerns are raised about the state of large state-owned banks that hold a separate high-risk group. Thus, the conducted research allows to distinguish groups of banks with specific characteristics of business models and to observe changes of risk profile inherent to these groups. For each structural-functional group, changes in the values of financial indicators are investigated and migration between groups is studied. The proposed methodology is useful for studying both macro and macro levels. (shrink)

We provide conditions under which an incomplete strongly independent preorder on a convex set X can be represented by a set of mixture preserving real-valued functions. We allow X to be infi nite dimensional. The main continuity condition we focus on is mixture continuity. This is sufficient for such a representation provided X has countable dimension or satisfi es a condition that we call Polarization.

This article develops a constructive criticism of methodological conventionalism. Methodological conventionalism asserts that standards of inductive risk ought to be justified in virtue of their ability to facilitate coordination in a research community. On that view, industry bias occurs when conventional methodological standards are violated to foster industry preferences. The underlying account of scientific conventionality, however, is problematically incomplete. Conventions may be justified in virtue of their coordinative functions, but often qualify for posterior empirical criticism as research advances. (...) Accordingly, industry bias does not only threaten existing conventions but may impede their empirically warranted improvement if they align with industry preferences. My empiricist account of standards of inductive risk avoids such a problem by asserting that conventional justification can be pragmatically warranted but has, in principle, only a provisional status. Methodological conventions, therefore, should not only be defended from preference-based infringements on their coordinative function but ought to be subjected to empirical criticism. (shrink)

Academics working on military ethics and serving military personnel rarely have opportunities to talk to each other in ways that can inform and illuminate their respective experiences and approaches to the ethics of war. The workshop from which this paper evolved was a rare opportunity to remedy this problem. Our conversations about First Lieutenant (1LT) Portis’s experiences in combat provided a unique chance to explore questions about the relationship between oversight, accountability, and the idea of moral risk in military (...) operations. In this paper, we outline a particular experience of 1LT Portis’s that formed the basis of our discussions, before elucidating the ethical issues this experience raised. In particular, we see 1LT Portis’s experience as, first, illustrative of the problem of moral risk – when military personnel are placed in situations of moral temptation. The problem of moral risk, we propose, is best understood through the framework of the military’s duty of care. Second, we see his experience as highlighting tensions within the dominant moralized warrior model of the military profession. What we call a toxic warrior identity — a distorted form of the moralized warrior identity — can negatively affect the attitudes of military personnel toward rules, policies, procedures, and accountability mechanisms, particularly in relation to non-combat related roles and duties and when leaders must choose between competing bureaucratic demands. We see 1LT Portis’s experience as illustrative of these tensions, yet his experiences also highlight important concerns about the impact of increasing bureaucratic demands on military functioning. In the conclusion, we address the need to balance concerns about toxic warrior identity with legitimate criticisms of overly demanding bureaucracy and suggest avenues for further research on this issue. (shrink)

Can compensation repair the moral harm of a previous wrongful act? On the one hand, some define the very function of compensation as one of restoring the moral balance. On the other hand, the dominant view on compensation is that it is insufficient to fully repair moral harm unless accompanied by an act of punishment or apology. In this paper, I seek to investigate the maximal potential of compensation. Central to my argument is a distinction between apologetic compensation and non-apologetic (...) compensation. Apologetic compensation, I argue, is an act that expresses regret and apology by means of some offer of money, goods, or services. Non-apologetic compensation is an act that seeks to restore loss or harm without expressing regret or apology. In the paper, I defend the view that acts of compensation can be apologetic and argue that such apologetic compensation is sufficient for moral repair. (shrink)

A method of identifying banks’ business models and studying the features of their risk profile, considering the system of indicators featuring the structure of assets, liabilities, income, expenses, and other qualitative indicators based on monthly statistical reporting. Kohonen's self-organizing maps (SOM) are used to process large data sets, revealing objects’ hidden features by forming homogeneous groups according to similar values of a large system of indicators. The choice of the system of indicators that play the most significant role in (...) describing the business models of modern banks is substantiated. The proposed method makes it possible to group banks with homogeneous characteristics into so-called structural-functional groups and studies the change in the characteristics of groups of banks over time to compare their behavior during periods of active development of the system and during a crisis. That approach is useful for studying the banking system at the macro level, as it provides a quantitative measure of its financial stability. The more banks are in groups with negative values of parameters, increased risks, and unprofitable performance, the worse the general state of the system. The method also allows studying the features of each structural and functional group and the business models’ features at the meso-level. The number and composition of banks inherent in any group change dynamically, which characterizes the features of the relevant business model in a particular period. The averages of each group reflect the objective changes in the banking system structure. In addition, the SOM trajectory can be built for each individual bank determining the development of its strategy, features of a particular business model, and risk profile. At the micro-level, it allows comparing the features of individual banks within the SFGB and models ways to improve efficiency and financial stability by forecast values for SOM. An extensive system of indicators used to form structural and functional groups of banks allows to quickly respond to changes in the banking system, identify areas of increased risk and explore the adequacy and effectiveness of banks’ business models. (shrink)

The notion of antifragility, an attribute of systems that makes them thrive under variable conditions, has recently been proposed by Nassim Taleb in a business context. This idea requires the ability of such systems to ‘tinker’, i.e., to creatively respond to changes in their environment. A fairly obvious example of this is natural selection-driven evolution. In this ubiquitous process, an original entity, challenged by an ever-changing environment, creates variants that evolve into novel entities. Analyzing functions that are essential during (...) stationary-state life yield examples of entities that may be antifragile. One such example is proteins with flexible regions that can undergo functional alteration of their side residues or backbone and thus implement the tinkering that leads to antifragility. This in-built property of the cell chassis must be taken into account when considering construction of cell factories driven by engineering principles. (shrink)

This is basically a paper about artistic evaluation and how multiple interpretations can give rise to inconsistent and conflicting meanings. Images like Joel-Peter Witkin’s First Casting for Milo (2004) challenge the viewer to look closely, understand the formal properties at work, and then extract a meaning that ultimately asks, Is the model exploited or empowered? Is Karen Duffy, pictured here, vulnerable and “enfreaked” or is she potentially subversive, transgressive, and perhaps self-empowered? I will offer an argument in agreement with artist/author/ (...) performer Ann Millett-Gallant that favors the latter interpretation, but will augment and complicate the issue by also introducing a pointed question or two taken from a recent analysis by Cynthia Freeland on objectification. I judge the works by photographer Joel-Peter Witkin to be representations of disabled persons who are empowered through agency and pride, but I also worry about the risk of multiple, conflicting interpretations on the part of viewers who do not, or cannot, entertain such enlightened readings. Like second wave feminist views about pornography that depicted women in demeaning ways, or feminist critiques of Judy Chicago’s The Dinner Party , Witkin’s photos can be judged as potentially offensive. But they are also objects of beauty—both in terms of aesthetic properties (they are magnificent studies in black and white, shadows, the human body, with many classical references) and because of the feeling of beauty and pride felt by the posers, who become performers of their own beauty and pride. I argue that beauty trumps offensiveness. Pride wins. But I’m not sure that everyone will agree. (shrink)

The utopian character of modern scientific theories, with the human nature as a subject, is an inevitable consequence of the presence of an imperative component of transdisciplinary human dimensional scientific knowledge. Its social function is the adaptation of the descriptive component of the theory to the given socio-cultural type that simplifies the passage of the process of social verification of the theory. The genesis of bioethics can be seen as one of the basic premises for the actualization of the anthropic (...) principle of ontology, which thus acquires the axiological and epistemological sense. (shrink)

The authors of the book have come to the conclusion that it is necessary to effectively use the methodological tools for assessing the competitiveness of financial and insurance markets, methodological approaches to assessing the effectiveness of regional policy, internal audit of resources. Basic research is aimed at researching the main trends in the international economy, socialization of global economic development, investment aspects of development countries, functioning of consumer market in the international economic system, trends of international population migration, processes of (...) European integration in the field of energy efficiency. The research results have been implemented in the different models of the behavior of the economic system in the conditions of crisis, provision competitiveness of national economy in the face of increasing burden of public debt. The results of the study can be used in decision-making at the level of international business, ministries and departments that regulate international relations, ensuring security and overcoming risks. The results can also be used by students and young scientists in modern concepts of the formation of international economic relations in the context of strengthening European integration processes and globalization of the economy. (shrink)

The authors of the book have come to the conclusion that it is necessary to effectively use modern management mechanisms and development strategies of economic entities in order to increase the efficiency of their activities. Basic research focuses on diagnostics threat of bankruptcy, assessment of bioenergy potential, intellectual property, efficiency of corporate governance, use of information support, ensuring competitiveness of banking institutions, functioning of the tax system and its decentralization, assessment of the investment climate and investment risks, functioning of a (...) small business. The research results have been implemented in the different models of cluster structures, mechanisms for monitoring the quality of health care, predicting the convergence of economic development, innovative development models, and development strategies of economic entities in various sectors of the economy in the context of euro integration. The results of the study can be used in decisionmaking at the level of international business, ministries and departments that regulate the processes development of economic systems, ensuring stability and efficiency. The results can also be used by students and young scientists in modern concepts of the development of economic entities in the context of institutional transformations of the global environment. (shrink)

This chapter of the Handbook of Utility Theory aims at covering the connections between utility theory and social ethics. The chapter first discusses the philosophical interpretations of utility functions, then explains how social choice theory uses them to represent interpersonal comparisons of welfare in either utilitarian or non-utilitarian representations of social preferences. The chapter also contains an extensive account of John Harsanyi's formal reconstruction of utilitarianism and its developments in the later literature, especially when society faces uncertainty rather than (...) probabilistic risk. (shrink)

In the following, I will discuss the current social reaction to the ecological crisis and the ways in which society reacts to technological risks, which can be understood primarily as a reaction to scientific and moral or ethical uncertainty. In the first section, I will clarify what is meant by scientific and moral or ethical uncertainty. In the second section, I will contrast Max Weber's differentiation of science, law [Recht) and morality in the modern world with the process of de-differentiation (...) of these value spheres, a trend which can be observed in the present-day context of the ecological crisis and technological risks. We shall see that social contradictions emerge in the functional relationships between these value spheres, and that such contradictions go hand in hand with these value spheres or contexts of discourse either losing their original function or becoming transformed. Science forfeits its role as a functional authority and becomes a strategic resource for politics. Law becomes a basic constituent of an amoral form of negotiation, which can no longer be properly grasped in terms of legal categories. Morality is transformed into fear, and economics yields unprofitable practices. In the third section, I will in attempt to open up the moral and ethical dimension of how to deal with uncertainty with the help of discourse theory (Apel, 1988; Habermas, 1996), as well as outline a possible solution. (shrink)

As ever more advanced digital systems are created, it becomes increasingly likely that some of these systems will be digital minds, i.e. digital subjects of experience. With digital minds comes the risk of digital suffering. The problem of digital suffering is that of mitigating this risk. We argue that the problem of digital suffering is a high stakes moral problem and that formidable epistemic obstacles stand in the way of solving it. We then propose a strategy for solving (...) it: Access Monitor Prevent (AMP). AMP uses a ‘dancing qualia’ argument to link the functional states of certain digital systems to their experiences—this yields epistemic access to digital minds. With that access, we can prevent digital suffering by only creating advanced digital systems that we have such access to, monitoring their functional profiles, and preventing them from entering states with functional markers of suffering. After introducing and motivating AMP, we confront limitations it faces and identify some options for overcoming them. We argue that AMP fits especially well with—and so provides a moral reason to prioritize—one approach to creating such systems: whole brain emulation. We also contend that taking other paths to digital minds would be morally risky. (shrink)

An influential critique of anger holds that anger comes at an important epistemic cost. In particular, feeling angry typically makes risk less visible to us. This is anger’s ‘red mist.’ These epistemic costs, critics suggest, arguably outweigh the epistemic benefits commonly ascribed to anger. This essay argues that the epistemic critique of anger is importantly misleading. This is not because it underestimates anger’s epistemic benefits, but rather because it overlooks the fact that anger’s red mist performs a crucial moral (...) function. By concealing risk, the red mist helps protect the dignity and self-respect of those who live under severe and unchosen risk. This function is vitally important in non-ideal circumstances, where many are unjustly subjected to dignity-impairing risk. And it is irreplaceable, in that it cannot readily be performed by other political emotions, such as hope. Beyond providing a novel defence of anger, this argument has a broader upshot. Anger’s red mist reveals that ignorance is not always problematic in politics. Accordingly, it should not be treated—as has standardly been the case—as an unmitigated political evil. In the first instance, our efforts are better spent ascertaining when ignorance is a problem, and when, instead, it performs a felicitous function. (shrink)

What sort of doxastic response is rational to learning that one disagrees with an epistemic peer who has evaluated the same evidence? I argue that even weak general recommendations run the risk of being incompatible with a pair of real epistemic phenomena, what I call evidential attenuation and evidential amplification. I focus on a popular and intuitive view of disagreement, the equal weight view. I take it to state that in cases of peer disagreement, a subject ought to end (...) up equally confident that her own opinion is correct as that the opinion of her peer is. I say why we should regard the equal weight view as a synchronic constraint on (prior) credence functions. I then spell out a trilemma for the view: it violates what are intuitively correct updates (also leading to violations of conditionalisation), it poses implausible restrictions on prior credence functions, or it is non-substantive. The sorts of reasons why the equal weight view fails apply to other views as well: there is no blanket answer to the question of how a subject should adjust her opinions in cases of peer disagreement. (shrink)

There are three main accounts of the proper function of the low mood system (LMS): the social risk theory, the disease theory, and the propitiousness theory. Adjudicating between these accounts has proven difficult, as there is little agreement in the literature about what a theory of the LMS’s proper function is supposed to explain. In this article, drawing upon influential work on the evolution of other affective systems, such as the disgust system and the fear system, I argue that (...) a theory of the proper function of the low mood system should: (i) account for the reliable, distal causes and effects of the system’s activation, and (ii) explain how having a system that performed such a function increased fitness in ancestral environments. On this basis, I show that the proper function of the low mood system is to limit resource expenditure in relatively unpropitious circumstances, exactly as hypothesised by the propitiousness theory. (shrink)

Regulation by design (RBD) is a growing research field that explores, develops, and criticises the regulative function of design. In this article, we provide a qualitative thematic synthesis of the existing literature. The aim is to explore and analyse RBD's core features, practices, limitations, and related governance implications. To fulfil this aim, we examine the extant literature on RBD in the context of digital technologies. We start by identifying and structuring the core features of RBD, namely the goals, regulators, regulatees, (...) methods, and technologies. Building on that structure, we distinguish between three types of RBD practices: compliance by design, value creation by design, and optimisation by design. We then explore the challenges and limitations of RBD practices, which stem from risks associated with compliance by design, contextual limitations, or methodological uncertainty. Finally, we examine the governance implications of RBD and outline possible future directions of the research field and its practices. (shrink)