Hacker Newsnew | past | comments | ask | show | jobs | submitlogin

> You don't think of your "daily plumbing success".

Initially I had to laugh at this one, but why not?

Robustness is something that seems to be very hard to measure, communicate and sell until something bad happens.

I think one of the IT fields that is struggling with this is security, because the problem is most apparent there.



> Robustness is something that seems to be very hard to measure, communicate and sell until something bad happens.

This is endemic to business and is especially widespread in contemporary American-style business, and the general case seems to be a failure in pricing all kinds of tail risk. I suspect a key challenge in this space is the unsolved principal agent problem.

I think the principal agent problem is rampant because pricing information is extremely lossy information compression; only the grossest outcomes are recorded in the market. Those who exploit the principal agent problem rely upon externalities to succeed, and those externalities are not timely or fine-grained reflected in the compressed/price information.

Reputation systems lossily add the missing information back into the market as a side-channel. But what externalities to record is a whole other can of worms.




Guidelines | FAQ | Lists | API | Security | Legal | Apply to YC | Contact

Search: