This post presents thoughts on the Singularity Institute from Holden Karnofsky, Co-Executive Director of GiveWell. Note: Luke Muehlhauser, the Executive Director of the Singularity Institute, reviewed a draft of this post, and commented: "I do generally agree that your complaints are either correct (especially re: past organizational competence) or incorrect but not addressed by SI in clear argumentative writing (this includes the part on 'tool' AI). I am working to address both categories of issues." I take Luke's comment to be a significant mark in SI's favor, because it indicates an explicit recognition of the problems I raise, and thus increases my estimate of the likelihood that SI will work to address them.
September 2012 update: responses have been posted by Luke and Eliezer (and I have responded in the comments of their posts). I have also added acknowledgements.
The Singularity Institute (SI) is a charity that GiveWell has been repeatedly asked to evaluate. In the past, SI has been outside our scope (as we were focused on specific areas such as international aid). With GiveWell Labs we are open to any giving opportunity, no matter what form and what sector, but we still do not currently plan to recommend SI; given the amount of interest some of our audience has expressed, I feel it is important to explain why. Our views, of course, remain open to change. (Note: I am posting this only to Less Wrong, not to the GiveWell Blog, because I believe that everyone who would be interested in this post will see it here.)
I am currently the GiveWell staff member who has put the most time and effort into engaging with and evaluating SI. Other GiveWell staff currently agree with my bottom-line view that we should not recommend SI, but this does not mean they have engaged with each of my specific arguments. Therefore, while the lack of recommendation of SI is something that GiveWell stands behind, the specific arguments in this post should be attributed only to me, not to GiveWell.
Summary of my views
- The argument advanced by SI for why the work it's doing is beneficial and important seems both wrong and poorly argued to me. My sense at the moment is that the arguments SI is making would, if accepted, increase rather than decrease the risk of an AI-related catastrophe. More
- SI has, or has had, multiple properties that I associate with ineffective organizations, and I do not see any specific evidence that its personnel/organization are well-suited to the tasks it has set for itself. More
- A common argument for giving to SI is that "even an infinitesimal chance that it is right" would be sufficient given the stakes. I have written previously about why I reject this reasoning; in addition, prominent SI representatives seem to reject this particular argument as well (i.e., they believe that one should support SI only if one believes it is a strong organization making strong arguments). More
- My sense is that at this point, given SI's current financial state, withholding funds from SI is likely better for its mission than donating to it. (I would not take this view to the furthest extreme; the argument that SI should have some funding seems stronger to me than the argument that it should have as much as it currently has.)
- I find existential risk reduction to be a fairly promising area for philanthropy, and plan to investigate it further. More
- There are many things that could happen that would cause me to revise my view on SI. However, I do not plan to respond to all comment responses to this post. (Given the volume of responses we may receive, I may not be able to even read all the comments on this post.) I do not believe these two statements are inconsistent, and I lay out paths for getting me to change my mind that are likely to work better than posting comments. (Of course I encourage people to post comments; I'm just noting in advance that this action, alone, doesn't guarantee that I will consider your argument.) More
Intent of this post
I did not write this post with the purpose of "hurting" SI. Rather, I wrote it in the hopes that one of these three things (or some combination) will happen:
- New arguments are raised that cause me to change my mind and recognize SI as an outstanding giving opportunity. If this happens I will likely attempt to raise more money for SI (most likely by discussing it with other GiveWell staff and collectively considering a GiveWell Labs recommendation).
- SI concedes that my objections are valid and increases its determination to address them. A few years from now, SI is a better organization and more effective in its mission.
- SI can't or won't make changes, and SI's supporters feel my objections are valid, so SI loses some support, freeing up resources for other approaches to doing good.
Which one of these occurs will hopefully be driven primarily by the merits of the different arguments raised. Because of this, I think that whatever happens as a result of my post will be positive for SI's mission, whether or not it is positive for SI as an organization. I believe that most of SI's supporters and advocates care more about the former than about the latter, and that this attitude is far too rare in the nonprofit world.
Holden, thanks for responding. I apologize again if I'm missing something obvious or straying too far outside my field.
I think the two things I would have to understand in order to accept your reply is that (a) my entire objection does indeed consist of "positing an offsetting harm in the form of inflation" - which isn't how it feels to me - and that (b) we should expect the "series of trades" visualization to mean that no inflation occurs in goods of the form that are being purchased by the low-income Kenyans.
Let me think about this.
Okay, I agree there's a sense in which (a) has to be true. If you could magically print shillings and have them purchase goods with no other prices changing and hence no change in other velocities of trade, this would have to be a good thing. The goods purchased would have to come from somewhere, but you can't possibly have something go wrong with the GD model without inflation somewhere else in Kenya. It's not how I think in my native model - I think about 'Who has money?' as a distribution-of-goods question, not a nominal pricing question - but point (a) has to be correct from the relevant point of view.
Let me think about point (b). Hm. So far it's not clear to me yet that point (b) is necessarily true when I try to translate my original model into those terms. Suppose - you'll probably think this sounds very perverse, but bear with me - suppose that GD's operation causes inflation in the price of basic foods and deflation in the price of fancy speedboats. Even if inflation at point A is offset by deflation at point B, this net-no-inflation repricing can be harmfully redistributive.
My visualization of you replies, "Why on Earth should I believe that?" But before answering that, why would I believe that? Either my original worry was incoherent, or I must have already believed this somehow. By argument (a), if inflation in Kenyan goods purchased primarily by low-income Kenyans is offset by a similar amount of deflation in similar goods, then net benefit is fine and there's no problem.
On further reflection I think that my original concern does translate into those terms. I don't know if the following is true, but it is my major concern: First suppose Kenya does not currently have an aggregate demand deficit and cannot directly benefit from printing money. Then suppose goods purchased by low-income Kenyans are denominated primarily in shillings, and goods purchased from the U.S. using U.S. dollars are going primarily to high-income Kenyans (fancy speedboats). Then it seems to me that the series of trades should end up creating inflation in the price of basic goods produced in Kenya, and offsetting deflation within Kenya at the point where U.S. dollars are finally spent on a larger market.
Note that even if this worry is structurally possible, one could very quickly answer it by showing that most foreign goods imported in Kenya are in fact consumed by the same class of Kenyans who are the targets of aid, in which case GD is mostly equivalent to giving low-income Kenyans USD and letting them make foreign purchases directly. (In which case, it correspondingly seems plausible to me that you might do most of the same good by buying shillings and burning them. Though this would lose positive redistributive effects and possibly slow down Kenyan trades by destroying money if they're not in a state of excess aggregate demand - delete the term for the good accomplished by printing money.)
It may also be that my concern is incorrect and that even if most Kenyan goods purchased in USD are not consumed by, or inputs to goods consumed by, the targeted recipients, you still don't get inflation in bread and offsetting deflation in speedboats. For example, I think you said something at the EA summit which I had forgotten up until this point about a series of trades being mutually beneficial. I.e., maybe you could show that the state of the world resulting in Kenya can be reached by starting with giving the target Kenyans USD and letting them buy foreign goods, which I agree is good, and then a series of trades occurring which benefit both sides of each trade and don't disadvantage any other low-income Kenyans or cause trade gains to be redistributed toward wealthier Kenyans. Though it seems to me that this line of argument would also have to show that my concern about inflation in bread offset by deflation in speedboats was misguided to begin with.
I don't suppose there's any relevant economic literature on direct aid which addresses this? Someone said something similar in the Givewell comments thread on your GD post, so it may not be such a non-obvious concern.
Sorry for forcing you to choose between spending time on this and leaving an unanswered question, I will understand if you choose to do the latter. I hope that the many argumentative people who are deluded into believing that they understand money, possibly including myself, do not put you off direct aid charities.
Eliezer, I think inflation caused via cash transfers results (under some fairly basic assumptions) in unchanged - not negative - total real wealth for the aggregate set of people experiencing the inflation, because this aggregate set of people includes the same set of people that causes the inflation as a result of having more currency. There may be situations in which "N people receive X units of currency, but the supply of goods they purchase remains fixed, so they experience inflation and do not end up with more real wealth", but not situations in which "N people receive X units of currency and as a result have less real wealth, or cause inflation for others that lowers the others' real wealth more than their own has risen."
If you believe that GiveDirectly's transfers cause negligible inflation for the people receiving them (as implied by the studies we've reviewed), this implies that those people become materially wealthier by (almost) the amount of the transfer. There may be other people along the chain who experience inflation, but these people at worst have unchanged real wealth in aggregate (according to the previous paragraph). (BTW, I've focused in on the implications of your scenario for inflation because we have data regarding inflation.)
It's theoretically possible that the distributive effects within this group are regressive (e.g., perhaps the people who sell to the GiveDirectly recipients then purchase goods that are needed by other lower-income people in another location, raising the price of those goods), but in order to believe this one has to make a seemingly large number of unjustified assumptions (including the assumption of an inelastic supply of the goods demanded by low-income Kenyans, which seems particularly unrealistic), and those distributive effects could just as easily be progressive.
It also seems worth noting that your concern would seem to apply equally to any case in which a donor purchases foreign currency and uses it to fund local services (e.g., from nonprofits), which would seem to include ~all cases of direct aid overseas.
If I'm still not fully addressing your point, it might be worth your trying a "toy economy" construction to elucidate your concern - something along the lines of "Imagine that there are a total of 10 people in Kenya; that 8 are poor, have wealth equal to X, and consume goods A and B at prices Pa and Pb; that 2 are wealthy, have wealthy equal to Y, and consume goods C and D at prices Pc and Pd. When the transfer is made, dollars are traded for T shillings, which are then distributed as follows, which has the following impact on prices and real consumption ..." I often find these constructions useful in these sorts of discussions to elucidate exactly the potential scenario one has in mind.