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"And lo, Network 1 exhibits this behavior even though there's no explicit node that says whether the object is a blegg or not. The judgment is implicit in the whole network!! Bleggness is an attractor!! which arises as the result of emergent behavior!! from the distributed!! learning rule."

The judgement is implicit on the network, which has a certain number of nodes, denoting certain characteristics.

This is EXACTLY the same principle as looking things up in a dictionary. You look up the definition (the characteristics that are taken into account for forming that group), and then once you have the defining criteria, it is an emergent property.

Bleggness is not an inherent quality of the object itself. Bleggness is an inherent quality of the characteristics that were pre-defined into the network.

Just like the network on the right: The characteristics of a human are predefined, entered into the network, and then the network calculates whether you are a human or not, in accordance with the given definition.