Re: [armchair] libertarian paternalism

2005-01-04 Thread Ron Baty
Lest we forget: The road to hell is paved with good intentions





I am uncomfortable with and in fact disagree with much of Thaler's arguments
in his article "Libertarian Paternalism".  However, I will try to limit my
response to your question.



It seems, to paraphrase, you are asking if it is moral to manipulate human
foibles to achieve a given end because you know what is best.  I would argue
that it is immoral to manipulate or attempt to manipulate people to do what
the planner thinks is best for them.  In the situations listed, there may
not be  a practical alternative to providing a menu that is chosen by the
planner.  As James Wells points out, it is a question of whether or not
there is a morally superior way of listing the options, I would argue there
is, simply do not try to covertly manipulate the choices.  If the planner
believes there is a best choice, list it first with the disclaimer that
based on the information available this may be, in the planner's opinion,
the best choice for most people but that individuals should decide for
themselves.  While there may still be a minor element of manipulation it is
overt and the responsibility is now back on the individual, its correct
place.



A larger question for Thaler is where did he find all those omniscient
planners who, unlike individuals, have complete information, unlimited
cognitive abilities and absolute willpower.  Are not planners actually
individuals who suffer from the same foibles we all have?  Thaler is correct
in that there are situations in which choices must be made, a menu selected,
however the alternative to paternalism is providing complete information and
the option chose none of the above or not placing individuals in a position
were they are forced make a decision.  That is, I would argue it is wrong to
automatically enroll people, as Thaler argues, in a 401(k) plan in which the
employee is forced to contribute or opt out.



Thaler is arguable wrong when he states, " the presumption that an
individual's choice should be free from interference is usually based on the
assumption that people do a good job of making choices, or at least that
they do a far better job than third parties could do."  I argue Individuals
should be free from interference in making choices because they have the
right and responsibility to do so as well as enjoy/suffer the consequences
of their good/bad decisions.  I think you will find few planners willing to
take full responsibilities for their incorrect choices, particularly in the
401(k) arena.  That is not to say that some individuals do not try to avoid
their responsibilities.  The point is the rights and responsibilities belong
to the individual, that some individuals make bad decisions by itself does
not justify paternalism of any kind.





In closing Thaler is probably right that a certain amount of paternalism is
unavoidable, but we should not justify it rather we should strive minimize
it and to provide individuals with better information and critical
thinking/decision making skills.  I generally dislike slippery slope
arguments, but does not paternalism foster more paternalism?  My concern and
fear is that once we accept the proposition that planners know best we soon
will find more and more situations in which it is "ethical and moral".  Do
we want to foster a society that always takes the default position, is the
ultimate freedom not having to make any choices?  I certainly hope not!



- Original Message -
From: "Edi Grgeta" <[EMAIL PROTECTED]>
To: 
Sent: Thursday, December 23, 2004 5:58 PM
Subject: [armchair] libertarian paternalism


Armchirees,

I am trying to decide whether it is moral for a designer to impose his
benevolent will through menu design by exploiting imperfections in how
people choose.

For example, if the designer thinks that option B is best, and people
presented with options ABC (in that order) choose A, but presented with
options BAC (in that order) choose B, then is it moral to select the
options order BAC rather than ABC or a random menu? No freedom is lost.

This differs from a benevolent dictatorship because it does not have
jailers enforcing anything, although the fact that a choice has to be made
can be a result of a larger dictatorship.

One situation where this question comes up is in designing 401k plans. The
inspiration for this was Thaler + Sunstein "Libertarian Paternalism" (AER,
May 2003, mentioned on armchair before). They claim it is moral. I have
worked with Thaler and am currently looking for quotes on the importance
of (freedom of) choice for a book on the same topic (do you have any to
share?)

Thanks

Edi Grgeta
[EMAIL PROTECTED]
773-213-9072


libertarian paternalism again

2004-12-31 Thread Edi Grgeta
Thanks for your replies on the morality of menu design. Two replies found
no morally questionable aspects of menu design, and one person thought
that the action can be immoral if "one way of listing the options is
morally superior to another" but that way is not chosen. I was hoping for
more dissenting opinions.
My thinking of the possibility of immorality hinges on the designer's
choosing the menu design to steer choice to what he thinks is best for the
people doing the choosing. If there is no best option for everyone, and
only the person choosing can say what is best for him (true in many
situtions), then what the designer thinks is best is just his preference
on what others should be doing. Having such a preference and acting on it
may be immoral. I don't know whether it is immoral, but if were made the
designer, I would not hesitate to put my best intentions to work on the
menu. The vague funny feeling would not be strong enough to stop me, I
think.
Thanks and Happy New Year!
Edi Grgeta
[EMAIL PROTECTED]
773-213-9072


Re: libertarian paternalism

2004-12-24 Thread Fred Foldvary
--- Edi Grgeta <[EMAIL PROTECTED]> wrote:
> I am trying to decide whether it is moral for a designer to impose his
> benevolent will through menu design by exploiting imperfections in how
> people choose.

It is not an imposition, because the user is not forced to choose one of
the options, since another option is to exit the menu.

> For example, if the designer thinks that option B is best, and people
> presented with options ABC (in that order) choose A, but presented with
> options BAC (in that order) choose B, then is it moral to select the
> options order BAC rather than ABC or a random menu? No freedom is lost.

It is not immoral, since there is no coercion.

> One situation where this question comes up is in designing 401k plans.

What exactly is the moral issue?

Fred Foldvary


Re: libertarian paternalism

2004-12-23 Thread James Wells
Edi,
Perhaps start with a primitive conception of what makes something
immoral.  An action can't be immoral unless (1) there is some
alternative course of action and (2) that alternative course of action
is morally superior.  Sure, there's more to morality than this, but
these two at least provide a starting point and you've already covered
the issue of use of force.
Is there an alternative way of listing the options? Sure.
Is one of the alternative listings morally superior? Maybe. If there is
a morally superior way of listing the available options, then not to use
it is, in my judgement, immoral.
What the menu maker can't be faulted for (and this seems to be where you
are thinking there is a problem) is that this influence over the menu
readers exists, because there is no alternative in which such influence
wouldn't be present.  Even a random menu will still influence the
decisions of the menu users, not to mention that providing a randomized
menu will likely cost more and the menu users will be forced to bear
those costs.  Once the menu maker is aware that such an influence is
present, this boils down to a question of whether or not one way of
listing the options is morally superior to another.
James

Edi Grgeta wrote:
Armchirees,
I am trying to decide whether it is moral for a designer to impose his
benevolent will through menu design by exploiting imperfections in how
people choose.
For example, if the designer thinks that option B is best, and people
presented with options ABC (in that order) choose A, but presented with
options BAC (in that order) choose B, then is it moral to select the
options order BAC rather than ABC or a random menu? No freedom is lost.
This differs from a benevolent dictatorship because it does not have
jailers enforcing anything, although the fact that a choice has to be
made
can be a result of a larger dictatorship.
One situation where this question comes up is in designing 401k plans.
The
inspiration for this was Thaler + Sunstein "Libertarian Paternalism"
(AER,
May 2003, mentioned on armchair before). They claim it is moral. I have
worked with Thaler and am currently looking for quotes on the importance
of (freedom of) choice for a book on the same topic (do you have any to
share?)
Thanks
Edi Grgeta
[EMAIL PROTECTED]
773-213-9072



libertarian paternalism

2004-12-23 Thread Edi Grgeta
Armchirees,
I am trying to decide whether it is moral for a designer to impose his
benevolent will through menu design by exploiting imperfections in how
people choose.
For example, if the designer thinks that option B is best, and people
presented with options ABC (in that order) choose A, but presented with
options BAC (in that order) choose B, then is it moral to select the
options order BAC rather than ABC or a random menu? No freedom is lost.
This differs from a benevolent dictatorship because it does not have
jailers enforcing anything, although the fact that a choice has to be made
can be a result of a larger dictatorship.
One situation where this question comes up is in designing 401k plans. The
inspiration for this was Thaler + Sunstein "Libertarian Paternalism" (AER,
May 2003, mentioned on armchair before). They claim it is moral. I have
worked with Thaler and am currently looking for quotes on the importance
of (freedom of) choice for a book on the same topic (do you have any to
share?)
Thanks
Edi Grgeta
[EMAIL PROTECTED]
773-213-9072