Risk: Difference between revisions

1,055 bytes removed ,  8 January 2019
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{{a|risk|}}
{{a|risk|}}
==={{risk|Ecosystem}} versus {{risk|Market}}===
*{{risk|Benign and {{risk|brutish}}
*{{risk|Market}}
**The {{risk|firm}}
==={{risk|Prisoner’s dilemma}}===
==={{risk|Cooperation}}===
*{{risk|Transaction}}
*[[Complexity]]  
*[[Complexity]]  
*[[Fear]]
*[[Fear]]
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And what can we do to fix it? <br>
And what can we do to fix it? <br>
There is no perfect marketplace. <br>
There is no perfect marketplace. <br>
==={{risk|Ecosystem}}===
==={{risk|Prisoner’s dilemma}}===




:::(v) So in an environment we have many dynamics – brutish competitions, opportunities for wealthy collaboration, each interaction shapes the {{risk|market}}. <br>
:::(v) So in an environment we have many dynamics – brutish competitions, opportunities for wealthy collaboration, each interaction shapes the {{risk|market}}. <br>


:(c) Basic unit of commercial replication is the individual. <br>
:
:::(i) Again, the analogy is close but not perfect<br>
::::(1) Individuals can move from firm to firm; genes cannot leave one existing individual and join another individual (except by reproduction) <br>
::::(2) However transfixed their executives might be with evolutionary metaphors, Corporations do not evolve like organisations do, by reproducing and dying. They adapt during life. This is Lamarckian evolution at best. (Lamarckian evolution is a great biological heresy). <br>
::::(3) But the ability of “crabs to pole-vault” means that Lamarckian approach makes sense. <br>
:::(ii) The firm is a vessel for replicating individuals. It is not a replicator itself. <br>
:::(iii) No matter how much we might try to tell ourselves it has a legal personality, legal responsibility and legal “consciousness” these are FICTIONS.  The firm has NO consciousness other than that of the individuals comprising it.<br>
:::(iv) Just as the evolutionary fitness of an organism can only be explained by the reproductive capacity of its genes, so the fitness of an organisation is a function of the survival instincts of its employees.<br>
:(d) The Firm<br>
:(d) The Firm<br>
:::(i) Rebuttable presumption: this is the purest form of reaction to the {{risk|market}}. This will thrive in the absence of rules Evolutionary advantages for firms (not individuals)<br>
:::(i) Rebuttable presumption: this is the purest form of reaction to the {{risk|market}}. This will thrive in the absence of rules Evolutionary advantages for firms (not individuals)<br>