There's still a lot to take issue with in  Gilder's latest transformation, his 
annual
re-invention of himself, but there is more now to agree with and be thankful 
for.
He still touts Reagan, who, to me, was mostly a dud as a president, but
maybe we can set that aside to focus on his critique of Silicon Valley.

Here is someone who at least shares some of my sentiments about Google, et al,
that the people at the top in these software giants are full of themselves, and
full of crap. And I agree with Gilder that the technology is amazing but that
the values that animate the tech industry are bad news, indeed, so such
anarchism / nihilism / regurgitated libertarianism; plus a heavy dose
of Leftist politics.

Some day I want to develop a full-throated critique of Silicon Valley.
The social values of the Valley cause me considerable anxiety, fear of
censorship at the top of my list, but including hyper-technophilia,
ideological Cultural Marxist values a la Brin and others, and so forth,
and there seem to be some good ideas in Gilder's latest material
to make productive use of.


Billy

---------------------


Sage Against the Machine
A leading Google critic on why he thinks the era of ‘big data’ is done, why he 
opposes Trump’s talk of regulation, and the promise of blockchain.
By
Tunku Varadarajan
Aug. 31, 2018 4:30 p.m. ET

New York
‘I rarely have an urge to whisper,” says George Gilder—loudly—as he settles 
onto a divan by the window of his Times Square hotel room. I’d asked him to 
speak as audibly as possible into my recording device, and his response, while 
literal, could also serve as a metaphor: Nothing Mr. Gilder says or writes is 
ever delivered at anything less than the fullest philosophical decibel.

Mr. Gilder is one of a dwindling breed of polymath Americans who thrive in a 
society obsessed with intellectual silos. As academics know more and more about 
less and less, he opines brazenly on subjects whose range would keep several 
university faculties on their toes: marriage and family, money and economics, 
law and regulation, and the social role of technology, a subject that engrosses 
him at present and the topic of his latest book, “Life After Google: The Fall 
of Big Data and the Rise of the Blockchain Economy.”
[Sage Against the Machine]

Mr. Gilder has published 20 books, the best-known of which, “Wealth and 
Poverty” (1981), sold more than a million copies and made him rich. It was an 
impassioned defense of the morality and compassion of the free market. Ronald 
Reagan acknowledged that the book bolstered his confidence in supply-side 
economics, and he was known to be particularly beguiled by its opening line, 
which reads: “The most important event in the recent history of ideas is the 
demise of the socialist dream.”

Mr. Gilder also had a vast and avid following during the tech boom of the 
1990s, when his Gilder Technology Report—an idiosyncratic subscription 
newsletter—shaped the investing habits of thousands around the world. Analysts 
spoke of a Gilder Effect, which had investors rushing to buy stock in any new 
company mentioned in the Report. The newsletter effectively ended, Mr. Gilder 
tells me, “in the months after the stock market crash of 2000, when I lost 
nearly all my 106,000 subscribers.”

Mr. Gilder, 78, is still immersed in the world of tech, but he doesn’t like all 
that he sees. Google makes him mad, as does Silicon Valley more broadly, and 
his ire is directed at the “new catastrophe theory” which holds “that 
artificial intelligence will make human minds obsolete, and that we’ll soon 
produce machine-learning tools and robotics that excel the capabilities of 
human brains.” He calls this attitude “Google Marxism”—a phrase he utters with 
a certain salivary distaste—“because Marx’s essential theme was that the 
Industrial Revolution of the 19th century had overcome all the challenges of 
production.” From that point on, Marx held, “human beings would focus on 
redistributing wealth among the classes rather than creating it.”

  *







Marx was convinced that the steam turbine, electrification and what William 
Blake called “dark satanic mills” were a final stage in social evolution—“an 
eschaton.” Mr. Gilder loves abstruse words, and this one, which signifies a 
kind of climax in human attainment, is a particular favorite. “Google and the 
Silicon Valley people also imagine that their artificial intelligence, their 
machine learning, their cloud computing, is an eschaton—another ‘end of 
history’ moment. And it’s just preposterous.”

In truth, Mr. Gilder says, Google is at the end of its “paradigm,” which he 
defines as “avoiding the challenge of security across the internet by giving 
away most of its products for free, and financing itself with an ingenious 
advertising strategy.” Mr. Gilder also contends that Google believes capitalism 
is at an end—that “this is the winner-take-all universe,” as he puts it, “and 
the existing generation of capitalists are the final capitalists. That’s their 
vision.” And if you believe that “machines can re-create new machines in a 
steady cascade of greater capabilities that are beyond human comprehension and 
control, you really believe that’s the end of the human race.”

Mr. Gilder rejects the premise. “Machines can’t be minds,” he says. 
“Information theory shows that.” Citing Claude Shannon, the American 
mathematician acknowledged as the father of information theory, Mr. Gilder says 
that “information is surprise. Creativity always comes as a surprise to us. If 
it wasn’t surprising, we wouldn’t need it.” However useful they may be, 
“machines are not capable of creativity.” Human minds can generate 
counterfactuals, imaginative flights, dreams. By contrast, “a surprise in a 
machine is a breakdown. You don’t want your machines to have surprising 
outcomes!”

The narrative of human obsolescence, Mr. Gilder says, is giving rise to a 
belief that the only way forward is to provide redundant citizens with some 
sort of “guaranteed annual income,” which would mean the end of the market 
economy: “If everyone gets supported without any kind of growing up and facing 
the challenges of life, then our capitalist culture would collapse.”

Mr. Gilder worries deeply about the state of capitalism in America, and 
President Trump’s adamant focus on the trade gap irks him. “To the extent that 
the U.S. is the world’s leading capitalist power and welcomes foreign 
investment, it can’t possibly run a trade surplus.” Mr. Trump “is a politician, 
and his chief goal is to communicate to the unions in the Midwest that he’s on 
their side. Besides, it’s a lot easier to blame China than it is to really 
explain the widespread campaign in the colleges of this country to suppress 
manufacturing and industry in the United States.”

As we talk of capitalism and America’s universities, Mr. Gilder sits upright, 
unable to mask his indignation. “The point is that we didn’t want manufacturing 
in this country, and we suppressed it. All of our colleges are devoted to 
stopping things rather than starting them.” The “whole focus” of science in 
American higher education, he says, is on “the dangers and perils of technology 
rather than its promise.”

America’s university system, says Mr. Gilder, is “incredibly corrupt and 
ideological.” How did it come to be like that? Surely, I observe, it wasn’t 
that way when he graduated from Harvard in 1962. “It was beginning to get that 
way,” he says, as he revs his engines for a fresh sortie. “The rise of 
affluence through the 1960s created this kind of amazing irresponsibility that 
resulted in a whole generation losing track of reality.”

The pithy aperçu is Mr. Gilder’s forte. He tells me here that “human beings 
have a propensity to believe in leftism”—in the idea that government can 
“answer all of their problems, guarantee their future, and relieve them of the 
challenges of life.” The idea of a “completely providential government” arose 
in America, and a “whole generation of young people were given college loans in 
a fabulous national mistake, in which the Republicans participated.” These 
loans were used by the university system to “increase perks and tenured 
luxuries and ideological distractions”—all of which led to the “diversity 
campaigns and CO2 panics” that currently dominate university faculties.

The only way to undo this “vast blunder,” says Mr. Gilder, is to forgive 
student loans across the board and “extract the money from all the college 
endowments and funds that were used to just create useless departments and 
political campaigns.” More than $1.5 trillion in student-loan money is 
outstanding, according to the Federal Reserve. That money, Mr. Gilder says, 
“wasn’t deployed to improve education. Not a scintilla of evidence has been 
adduced that learning has been improved. It was used entirely to lavish on 
bureaucracies that, in turn, paid tribute to government and leftist nihilism.”

The impact of these loans, and of the academic ecosystem they engendered, has 
been catastrophic, in Mr. Gilder’s view. “The result was to destroy the 
entrepreneurial optimism of a whole generation of young people, to drive them 
toward socialism, which they now tend to favor, and to even dissuade them from 
marriage.” The last is a consequence of debt, “which cripples them for the 
future.” Any benefit that education might confer on the young is, in Mr. 
Gilder’s dark view, nullified by the economic burden inflicted on them, which 
“leaves these kids impotent in the world.”

We turn to national politics, and Mr. Gilder reaffirms his view—which he’s 
expressed often—that Reagan set the gold standard for the modern American 
presidency. “I hope Trump emulates him,” Mr. Gilder says. “I don’t know Trump, 
but he beat all my candidates, and he’s got something going for him. He’s a man 
of action, and I think too much stress is placed on his verbiage.” He credits 
the president with having “rolled back the climate-change cult in government to 
some degree. He’s appointing good justices, who can actually see through 
leftist claims, and he’s dismantling the reach of the administrative state.”

Although Mr. Gilder is a critic of Google, he disapproves of Mr. Trump’s talk 
of regulating the search engine—a prospect the president raised in a tweet 
describing its results as “rigged” against him and possibly “illegal.” This is 
no time, Mr. Gilder says, “for American conservatives to advocate an expansion 
of the administrative state into social networks and search engines.” If 
right-leaning content ranks low on Google, that shows that “conservatives still 
have a long way to go if they are to prevail in the opinion wars on social 
media. They cannot expect the government to do it for them.”

For all the gloom about Silicon Valley that appears to suffuse his new book, 
Mr. Gilder insists that he’s not a tech-pessimist. “I think technology has 
fabulous promise,” he says, as he describes blockchain and cryptocurrency as “a 
new technological revolution that is rising up as we speak.” He says it has 
generated “a huge efflorescence of peer-to-peer technology and creativity, and 
new companies.” The decline of initial public offerings in the U.S., he adds, 
has been “redressed already by the rise of the ICO, the ‘initial coin 
offering,’ which has raised some $12 billion for several thousand companies in 
the last year.”

It is clear that Mr. Gilder is smitten with what he calls “this cryptographic 
revolution,” and believes that it will heal some of the damage to humanity that 
has been inflicted by the “machine obsessed” denizens of Silicon Valley. 
Blockchain “endows individuals with control of their data, their identity, the 
truths that they want to assert, their transactions, their visions, their 
content and their security.” Here Mr. Gilder sounds less like a tech guru than 
a poet, and his words tumble out in a romantic cascade.

With the cryptographic revolution, he says, “we’re now in charge of our own 
information. For the first time in history, really, you don’t have to prove who 
you are, or what you are, before a transaction.” A blockchain allows users “to 
be anonymous if they wish, while also letting them keep a time-stamped record 
of all their previous transactions. It allows us to establish unimpeachable 
facts on the internet.”

That evokes trust in the internet, “without having to trust or rely on Sergey 
Brin, Larry Page, Mark Zuckerberg, or whoever the paladins of the new economy 
may be.” In the age of the almighty machine, Mr. Gilder believes, this is a 
notable victory for mankind.

Mr. Varadarajan is a fellow at Stanford University’s Hoover Institution.





Paul Cameron, Ph.D.
Chairman, Family Research Institute
POB 62640
Colorado Springs, CO 80962
303 681 3113
www.familyresearchinst.org


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