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BusinessWhy Spectrum Is Not Property: The Case for an Entirely New Regime of Wireless Communications PolicyOne Sentence Summary: "What we now know about the physics and architecture of RF communications contradicts the 'property' model of spectrum and this paper serves as a call to action to re-architect spectrum using a commons-based model." Disciplines: Business Law Technology Economics Findings:
Keywords: communication technology Published in: Internet Date: February 7, 2001 One Paragraph Summary: The current regime for allocating and coordinating the use of spectrum across multiple technology areas uses a property based scheme to subdivide and fix the capacity available to each technology area. Cooperative regimes have been proposed which have the advantage of increasing available capacity as the number of users in a wireless communications network increases. In addition, the available possible pairing and grouping options of a cooperative network would grow according to Metcalfe's and Reed's Law respectively. The author concludes that spectrum does not behave like ordinary property and requires a regime that is commons based. Since no obvious regime exists, the author calls for the development of such a regime by starting with �a regime that allows wireless networks to interoperate and communicate in the use of “spectrum” in an open and experimental way, just as the Internet did for wired digital communications. One Page Summary: Currently, spectrum in wireless networks is allocated using a property based scheme. This solves the problem of interference by providing coordinated access to capacity for users of multiple technologies at the cost of fixing the available capacity for each technology area. Recently, architectures have been proposed that use a cooperative strategy for capacity allocation. These have the advantage of increasing available capacity with the number of users. The author believes that cooperative wireless networks could be created that provide capacity that scales proportional to the number of users. In addition, a cooperative wireless network would have increased options with respect to Metcalfe's Law, the number of pairwise transactions that could occur would grow as N**2, and Reed's Law, the number of groups that could be formed would grow as 2**N. The author argues that the scaling of capacity available in wireless networks indicates that spectrum does not behave like ordinary property and requires a different commons based allocation and coordination regime one that encourages cooperation among users in order to increase available capacity. No obvious regime exists today. However, the current Internet regime for wired communication was formed from 25 years of innovation in an open and experimental environment. The resulting regime differs significantly from the previous regime that grew under the control of the telecommunications provider. The author calls for the development of a cooperative wireless network regime by starting with an open and experimental regime that encourages cooperation much the same as the starting point for the current Internet regime for wired digital communications. When Push comes To Pull: The New Economy and Culture of Networking TechnologyOne Sentence Summary: Information and communication technology innovation have begun to transform commercial business and social institutions from a "push" technology approach (hierarchical "center out"), to a "pull" technology approach (networked -based and decentralized). This poses new challenges to social, political, and educational systems that are largely designed to support "push" economies. Disciplines: Business Law History Cultural Evolution Technology Economics Political Science Sociology Findings:
Keywords: capitalism communication complexity cooperation cultural evolution group forming networks hierarchy intellectual property interdependence networks norms open source property rights reciprocity reputation social capital trust Published in: The Aspen Institute Date: 2006 One Paragraph Summary: Over the past 25+ years, change that has usually originated with technological innovation has led to new products, services, and human behavior patterns. These changes are reflected in business and industry, and the way that people entertain, govern, educate, and socialize among themselves. The change is from a centralized, command and control, bureaucratic, broadcast way of organizing, that tries to anticipate and create demand, to a decentralized and highly networked system that shares information about overall network performance and best practices among it's network, and meets local and specialized needs. One Page Summary: This paper is a summary of an Aspen Institute sponsored in-depth roundtable session, written from the perspective of one informed conference observer (Bollier). The participants are leading thinkers in the many complex areas this paper covers (economics, systems theory, human behavior, human futures, information technology evolution, etc) and are listed on page 57. A selection of their key insights shared in the paper are listed below: A "push" economy is geared towards mass production, anticipating consumer demand, and routing resources to the right place at the right time, to create standardized and mass produced products. By contrast, a "pull" economy is based on open, flexible production platforms that are used to orchestrate a broad range of resources. Instead of producing standardized products, "pull" model companies are demand-driven, and assemble products in customized ways that serve specialized or local needs, usually using "rapid" or "on the fly" processes. Several global corporations are moving towards "pull" methods, and away from "push" models; ie., Toyota, Dell, Cisco, Li & Fung. These companies employ different variations of Value Network models, that share information about overall network performance and best practices for serving specialized needs, among hundreds or even thousands of partner companies that make up the network. This creates an intra-network knowledge commons. Some companies also work closely with Open Source Software projects, thereby expanding their "pull" network, and expanding their knowledge commons into a broader Open Commons via Open Source Software project contributions. Thus, "pull" business models also tend to be Network Value-Increasing, and Commons-based business models as well. "Pull" models can also be platforms for creating "increasing returns dynamics." This is due to "pull" models being based around loose and flexible networks that are already configured to scale as growth occurs. So, growth does not incur the huge overhead costs in administration that "push" models must contend with. Pull platform key characteristics include modular and loosely-coupled networks, open channels that better harness the passion and commitment of innovation communities. "Pull" platforms also will tend to influence public policy with regards to education and innovation, as more companies tend to gravitate towards the "pull" models. The areas where "push" models tend to succeed in business are in areas where people do not know what they want, and prefer to shop from pre-made selections (Ikea, Home Depot). However, there are even "pull" models to found here, in the form of user-driven innovation, such as mountain biking, extreme skiing, hot rodding, etc. In these pro-amateur niches, customers don't necessarily know what they want, but do want to be a participant in the "pull" network that creates the product. How do you tax a product that is made in 23 different countries? "Pull" models are going to change the way that governments create policy as more companies gravitate toward them. This will influence laws about intellectual property, education, taxation and more. "Pull" economies are not just centered around finding creative ways to "outsource/offshore jobs" away from one place and to the places where "labor" is "cheaper". Successful "pull" models have encouraged and aided "insourcing", where more jobs are created, for instance in the United States by "foreign sources (a total of 7 million cited by this paper), than are out sourced (a total of 600,000+ cited by this paper). This is because pull models seek out, not just the "cheapest" labor, but the best ways to add value to the production networks. So, they can scale to many participants around the world, regardless of local labor costs, to find the best participants needed for specific specialized productions. The social dynamics of "pull" models are highly centered around creating relationships of trust, sharing knowledge, and close cooperation among network participants. In "pull" models, non-market value creation (tacit knowledge, intangible value) is generally steered towards a commons-based model. A commons is used as a "collective governance regime for managing shared resources sustainably and equitably." Many of these commons are made possible by networked information technologies (the internet). Bollier suggests that "if online commons are going to be useful to business, companies will need to do more work to develop protocols for identity and reputation management". This is because the use of the commons is based around trust. It also due to the need for ways to measure qualitative value in intangible assets beyond money, like knowledge, individual performance and value multiplication, and network wide performance/value multiplication. Roundtable participants also noted that "pull" models will pose challenges to current education regimes that are centered around training people to participate in "push" economies. One of the participants mentions that " Computers, software tools, and Internet resources make possible some radically new styles of learning. By using pull-based systems, students can function much like businesses in the pull environment: They can access resources they don't control and put themselves into flows of activity, rather than just building inventories of static, objectified "knowledge."
The Success of Open SourceOne Sentence Summary: Open source software, a form of social organization that configures intellectual property around the right to distribute, not the right to include, is a political economy and production system process, enabled by the Internet, that makes possible voluntary, distributed innovation and collective creation of complex public goods with neither the bureaucratic structure of the firm as we know it or the financial incentives of the market as we know them. Disciplines: Business Law Computer Science Economics Sociology Information Findings:
Keywords: sharing economy open source peer production Published in: Harvard University Press Date: 2004 One Paragraph Summary: The Internet and a decentralized means of social organization around a production goal make possible "distributed innovation" that radically reduces both transaction and coordination costs, making possible the collective creation of public goods. Although open source software production is the most successful example of this process, it is not the only one. Self-interest combines with a norm of sharing a public good that benefits all; learning, reputation capital, and solving a problem one already needs to solve ("scratching an itch") are individual motivating factors. Self-election eliminates the cost of hierarchical management – individuals decide what to work on. Free-riders contribute to positive network effects by increasing the size of the user base, and aggregate infinitesmal contributions into significant efficiency gains by occasionally reporting a rare bug or complaining about a missing feature. The Cornucopia of the CommonsOne Sentence Summary: Dan Bricklin examines ways to induce a pool of users to contribute to a commons without extra effort, using the architecture of the commons (as in Napster's default to sharing in the way download directories are available) and leveraging user's self-interest. Disciplines: Business Economics Sociology Findings:
Keywords: sharing economy peer production open source hierarchy communication Published in: O'Reilly and Associates, Inc. Date: March 2001 One Paragraph Summary: Dan Bricklin examines ways to induce a pool of users to contribute to a commons without extra effort, using the architecture of the commons (as in Napster's default to sharing in the way download directories are available) and leveraging user's self-interest. The key to understanding the success of Napster and other file-sharing technologies resides not in their 'peer-to-peer' nature but in the fact that they provide users with access to a database of desirable things and enable people to create a public good in the process of seeking their own interests. One Page Summary: Dan Bricklin examines ways to induce a pool of users to contribute to a commons without extra effort, using the architecture of the commons (as in Napster's default to sharing in the way download directories are available) and leveraging user's self-interest. The key to understanding the success of Napster and other file-sharing technologies resides not in their 'peer-to-peer' nature but in the fact that they provide users with access to a database of desirable things and enable people to create a public good in the process of seeking their own interests. Bricklin identifies three ways to fill a database: organized manual, organized mechanical, and volunteer manual. CDDB succeeded at motivating volunteer manual data entry because it leveraged the desire for users to have their data in the database so that CDDB-aware programs could access it, for example when a user would insert a CD into their computer. Bricklin calls this "harnessing the power of individual selfishness." Napster cleverly avoided manual data entry by automatically indexing anything in the user's 'Shared Music' directory. Thus "storing the copy in the shared music directory [was] a natural by-product of the user's work with the songs." Sharing is the default. This results in users "adding to the value of the database without doing any extra work." Smart Mobs: The Next Social RevolutionOne Sentence Summary: Smart mobs emerge when communication and computing technologies amplify human talents for cooperation and collective action of both beneficial and destructive kinds. Disciplines: Business Computer Science Technology Political Science Sociology Information Findings:
Keywords: norms networks group forming networks cultural evolution cooperation civil society Published in: Perseus Books Date: 2002 One Paragraph Summary: The technologies that make smart mobs possible are mobile communication devices and pervasive computing - inexpensive microprocessors embedded in everyday objects and environments. Already, governments have fallen, youth subcultures have blossomed from Asia to Scandinavia, new industries have been born and older industries have launched counterattacks. The people who make up smart mobs cooperate in ways never before possible because they carry devices that possess both communication and computing capabilities. Just as speech, the alphabet, and other powerful media enabled humans to organize collective action in new ways, with people they weren't able to organize before, in places, scales, and paces they weren't able to organize before, the multimedia, wireless, high-speed, and computationally powerful devices that billions of people carry today are making possible new social, cultural, economic, and political forms of collective action. One Page Summary: Technology, history, and social impacts of technology are most often framed in terms of hardware, software, and finance, but communication technologies have the potential to change the way people think, communicate, and organize social groups. These impacts are sometimes framed by Moore's law (microprocessors and chips grow more powerful and less expensive over time), Metcalfe's law (the value of a technical network grows as the square of the number of nodes grows) and Reed's Law (when technical networks enable people to form social groups, the value of the network grows as two raised to the power of the number of nodes - much faster than just the rate of growth of technical networks). The group-formation enabled by the Internet makes it possible for people who don't know each other and who are located in different parts of the world to connect with each other in regard to shared interests - economic, social, cultural, and political. When communication technology enables people to organize collective action in these spheres, civilizations change. Now that the power of computing and communication has untethered from the desktop and leaped into billions of pockets, the forms of collective action are erupting in places and spheres of life where computation and communication had never reached before. At the point where billions of people have access to personal communications and the instant information that the Internet provides, the aspects of cooperation and collective action discussed by Axelrod, Ostrom, and others comes into play - the capabilities of the emerging mobile mediasphere enable forms of collective action that were not possible before. Moore's law means that the quantitative capabilities of chip-based devices grow so quickly that they translate into qualitative changes over periods of decades; today, billions of people carry devices that are thousands of times more powerful than the first personal computers, and cost a fraction of the price. At the same time, the users of these devices discover and exploit communication capabilities, social potential, political leverage, economic opportunities that were not dreamed of by those who designed, manufactured and sold the technologies. The technologies that make smart mobs possible are in the earliest stages of development, similar to the state of the personal computer in 1980 and the Internet in 1990. Yet the political demonstrations and electoral leverage that manifested in the Philippines, Korea, Spain, the USA and elsewhere - deposing governments and electing others - show the potentially disruptive power of smart mobs, even in their earliest stages. At the same time, primitive ad-hoc computation collectives such as SETI@home and folding@home indicate new forms of computing emerging from the collective, voluntary efforts of millions of computer users. And GPS chips add the power of location-based services to the mix: people are mobilizing social networks and information in the immediate time and space. Economically, the ability to gain profit by sharing with others, rather than only by competing - as manifested by Amazon, Google, eBay, open source software and other enterprises - is making a new kind of economic enterprise possible. Commerce is ancient, markets are as old as the crossroads, but capitalism is only about 500 years old, enabled by technologies such as joint stock ownership companies, shared liability insurance organizations, double entry bookkeeping. Now, the peer production methods exhibited by open source communities and other enterprises hint that humans have not stopped inventing new forms of economic collective action. Six-Degrees: The Science of a Connected AgeOne Sentence Summary: Healthy social, technical, biological and professional networks are built on cooperative frameworks that enable them to quickly spread information and phenomena regardless of beneficial or malicious intent; this appears to be a deep structural characteristic of "small-world" or "scale-free" networks that have a relatively small number of hubs that enable extensive interconnectivity across large numbers of nodes. Disciplines: Biology Business Anthropology History Cultural Evolution Computer Science Technology Physics Economics Political Science Sociology Psychology Information Mathematics Findings:
Keywords: networks interdependence hierarchy group forming networks game theory evolution equilibrium cultural evolution cooperation communication Published in: Norton Press Date: 2003 One Paragraph Summary: Author Duncan Watts helped found the science of network theory. In Six Degrees he describes the evolution of the science. This narrative covers each step in the philosophical evolution to provide the reader with the context as well as the numbers behind the findings. Starting with Milgram's six-degrees studies from the 1950s as a base, they investigate the small-world problem and identify the mechanisms by which networks operate. They conclude that the solution to the small world problem reveals a series of balancing acts. Depending on context, people are either extremely connected or perceptually fragmented; networks are robust or fragile; and ambiguity can create opportunity or be a harbinger of a network's demise. One Page Summary: Six Degrees begins in the beginning. Stanley Milgram's initial small world studies are analyzed. His findings in seeing if a group of people in Nebraska can get a letter to someone in Massachusetts are scrutinized. Milgram left a puzzle. Mathematically, six degrees of separation can be shown and intuitively it is appealing. But do social networks actually work that way? Initially, Watts steps into the world of pure mathematic theory. Graph theory and random graphs are employed to build potential worlds in which connections can be made. These tools are detailed and their histories explained. Watts and his colleagues then take the science to new levels, by introducing sociology, epidemiology, economics, and business models into this new multi-disciplinary science. Immediately, each new field of study brings with it new insights into network dynamics. This convergence of disciplines reveals the social, transportation and technological networks that make up our world. These networks are, ultimately, made up of individuals. Individuals in turn relate back to the networks and define how they operate. Socially, people relate to their network by clustering. Clusters are logical organizations of network elements. In a social context, we might cluster in terms of a religion, a favorite author, a school we are attending or an affinity for a type of food. Some of these have very close physical distance, while others have a social distance with members spread out over a large area. Networks of this type are, to various extents, “scale-free” networks. If graphed these networks roughly follow a classic power law trend where the level of connectivity between two nodes in a network increases dramatically as more nodes are connected. Real-world scale-free networks tend to have highly connected hubs which rapidly, purposely, and efficiently transmit pertinent or pervasive content from one location to another. In social circles, these are networkers. In the airline network these are hub airports. In traffic they would be freeway interchanges. Due to this architecture, the Internet and modern air transport have combined to greatly decrease the role of proximity in our social networks. This has had great impacts on commerce, tourism, cultural sensitivity and other social factors. However, it has also led to great risks in the transmission of diseases, sensitivity to distant economic fluctuations, and rapid spread of misinformation. These dynamics create a type of network that Duncan calls simultaneously robust and vulnerable. Their strength and weakness is that, with rapid transmission from cluster to cluster, anything can move quickly from one location or group to another. He uses the example of Toyota, whose network of suppliers was organized in such a way as to quickly compensate for and recover from a potential economic catastrophe. Stable scale-free networks do not rely on a rigid hierarchy to provide direction in times of crisis. Rather, the structure of the network itself can rapidly respond to an unforeseen situation. Their network was arranged in such a way as to foster and reward communication. This communication helped cope with ambiguous or unplanned situations. Rather than paralyzing Toyota while people waited for a decision from a rigid hierarchy, the contractors in the network were able to analyze the calamity and provide a rapid response to it. As mentioned above, this robustness also rapidly transmits malicious content as well. The Melissa Virus, SARS and Ebola are analyzed to show why the network did or did not transmit them and, when it did, how they eventually died out. Watts ends this book by summarizing that the multidimensional nature of social distance is sometimes counterintuitive and subjective. People can feel close in a network sense to people they are physically distant from and, conversely, socially distant from people physically nearby. He continues by warning that social and physical distances have shrunk. People can quickly travel from place to place and economies are highly interdependent. The sheer number of dependencies in the modern world may yield surprising results from seemingly insignificant actions. He finishes by showing the stability of our networks with the example of how New York adapted to the 9-11 attacks. The City bounced back to semi-normal operations within a week. During the disaster, the best laid plans of emergency operations staff were scuttled by the utter unavailability of facilities and services designed to copy with disasters. The network will provide.
Silent Theft: the Private Plunder of our Common WealthOne Sentence Summary: Without a concerted effort against it, the trend of privatization and enclosure threatens to sacrifice the environmental, political, cultural, and information commons that communities rely on for their long-term health and prosperity. Disciplines: Business Law Economics Political Science Sociology Findings:
Keywords: public goods property rights privatization intellectual property hierarchy cooperation capitalism Published in: New York: Routledge Date: 2004 One Paragraph Summary: Enclosure limits social investment and environmental protection, encouraging short-term profits for the largest companies. Privatization only delivers a fraction of the benefit that commons provide for the public. The resources at stake include public lands, natural systems, government research, cultural traditions, historical knowledge, and the gift economies that can be found in academia, open-source movements, Internet groups or local communities. Enclosure supports monopolistic control of resources by large firms, working against consumer rights. Economic evaluations of the situation often ignore the sacrifices of enclosure because the time scale is too short or there is a moral impact that defies quantification. The imposition of market values in all spheres of public life threatens the public-minded ethic of gift economies by directing the attention of all parties towards money and property rights. Moves towards enclosure, like allowing firms to buy exclusive rights to portions of genetic codes or a water supply, undermine the intrinsic value of these resources to communities and stifles the competitive diversity that would ensure more efficient use. Neither Market Nor Hierarchy: Network Forms of OrganizationOne Sentence Summary: Network forms of organization, with reciprocal patterns of communication and exchange, are alternatives to hierarchically or market based governance structures; they are more suited to describing companies involved in an intricate latticework of collaborative ventures with other firms over extended periods of time. Disciplines: Business Anthropology Findings:
Keywords: hierarchy networks Published in: Research In Organizational Behavior, Vol. 12, pages 295-336 Date: 1990 One Paragraph Summary: Hierarchies are suited to transactions that involve uncertainty, recur frequently, and require substantial “transaction-specific investments”. Markets are suited to exchanges that are straightforward, non-repetitive, and require no transaction specific investments. Networks are best at describing companies involved in an intricate latticework of collaborative ventures with other firms over extended periods of time. One Page Summary: Network forms of organization, with reciprocal patterns of communication and exchange, are alternatives to hierarchically or market based governance structures; they are more suited to describing companies involved in an intricate latticework of collaborative ventures with other firms over extended periods of time. Hierarchies are suited to transactions that involve uncertainty, recur frequently, and require substantial “transaction-specific investments”. Markets are suited to exchanges that are straightforward, non-repetitive, and require no transaction specific investments. These “alliances” aim at creating indebtedness and reliance over the long haul: your current collaborator will be your competitor in other domains (or in the same domain) over time. In markets, the strategy is to drive the hardest possible bargain in the immediate exchange. Commitment is low. Network organizations are more social than markets and hierarchies, they are dependent on relationships, mutual interests, and reputation. They are less guided by a formal structure of authority. Successful networks involve complementarity and accommodation. Reputation, friendship, interdependence, and altruism are integral. The most useful information comes from people you have dealt with in the past rather than from the formal chain of command. Conflicts are resolved by haggling in markets; administrative fiats in hierarchies; norms of reciprocity and reputational concerns in networks. Markets offer choice, flexibility, and opportunity. Prices determine production and exchange. Hierarchies are well-suited for mass production and distribution. Networks are more flexible than hierarchies. Transactions occur through networks of individuals engages in reciprocal, preferential, mutually supportive actions. Reduction of uncertainty, fast access to information, reliability, and responsiveness are paramount concerns that motivate participants in network organizations. Know-how, the demand for speed, and trust are critical components of successful network organizations. Examples of network forms:
Know-how, the demand for speed, and trust are critical components of successful network organizations.
Bandwidth and Echo: Trust, Information, And Gossip in Social NetworksOne Sentence Summary: Network closure produces echo, gossip that reinforces dispositions rather than increasing information flow or the kind of trust that increases social capital. Disciplines: Business Sociology Information Findings:
Keywords: trust group forming networks social capital networks complexity communication agent-based model Source: Edited by Alessandra Casella and James E. Rauch, Russell Sage Foundation Published in: Pre-print for a chapter in Networks and Markets: Contributions from Economics and Sociology Date: 2001 One Paragraph Summary: The competitive advantage that social networks create is called social capital. Empirical evidence shows that brokerage between interdependent groups that specialize on different things creates more social capital than simply a high number of relationships among individuals (i.e. network closure). However, brokers depend on trust, and trust is frequently viewed to require network closure. The problem with this view is that with increased network closure the value of brokers diminishes which in turn creates less social capital. Part of solving this problem is to figure out whether network closure really does produce the kind of trust that increases social capital. Burt shows that trust created by network closure might be ill-founded. One Page Summary: The competitive advantage that social networks create is called social capital. Empirical evidence shows that brokerage between interdependent groups that specialize on different things creates more social capital than simply a high number of relationships among individuals (i.e. network closure). However, brokers depend on trust, and trust is frequently viewed to require network closure. The problem with this view is that with increased network closure the value of brokers diminishes which in turn creates less social capital. Part of solving this problem is to figure out whether network closure really does produce the kind of trust that increases social capital. Burt shows that trust created by network closure might be ill-founded. The relationship strength between ego and alter correlates with the amount of trust between ego and alter. In a social context ego also receives gossip about alter, i.e. information about alter via third parties. The bandwidth hypothesis states that gossip nework closure increases information flow reinforcing and fine-tuning trust relationships beneficial to social capital. The echo hypothesis states that gossip network closure does not so much increase information flow but reinforces dispositions. This is due to a commonly observed etiquette in informal conversations where third parties only reveal information about alter to ego that concur with ego's opinion of alter. The motivation for this etiquette are civility, efficiency, and the important role gossip plays in creating and maintaining relationships. Analysis of survey network data of three study populations consisting of senior managers in a leading manufacturer of electronic components and computer equipment, of staff officers in two financial companies, and a bankers in the investment banking division of a large financial company shows that trust can develop within negative third-party ties ("an enemy of my friend is my enemy" or "a friend of my enemy is my enemy"), and distrust can develop within positive third-party ties ("a friend of my friend is my friend" or "an enemy of my enemy is my enemy") which is consistent with the echo hypothesis but not with the bandwidth hypothesis. "Strong connection through third parties increases the probability of social reinforcement such that network closure creates echo, not accuracy. [...] Therefore, network closure does not facilitate trust so much as it amplifies dispositions, people cannot learn of what they do not already know" which negatively impacts social capital. |
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