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chron comments on Risk Contracts: A Crackpot Idea to Save the World - Less Wrong
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And how does this system determine the probability that the experiment might destroy the world? You do realize that's the hard part.
Yes. as I mentioned in other comments, in practice you build safeguards and they give you some reduction of the upper bound on risk. So you use your risk budget to calculate how many safeguards you need to build.