ooli3@sopuli.xyz to Science@beehaw.org · 1 month agoGame Theory Explains How Algorithms Can Drive Up Priceswww.wired.comexternal-linkmessage-square5fedilinkarrow-up132
arrow-up132external-linkGame Theory Explains How Algorithms Can Drive Up Priceswww.wired.comooli3@sopuli.xyz to Science@beehaw.org · 1 month agomessage-square5fedilink
minus-squareManjushri@piefed.sociallinkfedilinkEnglisharrow-up17·1 month ago They proved that even seemingly benign algorithms that optimize for their own profit can sometimes yield bad outcomes for buyers. Well, no shit. If it’s optimized for its own profit then of course it will yield bad outcomes for buyers. That’s two sides of the same coin.
minus-squareB0rax@feddit.orglinkfedilinkarrow-up2·1 month agoWhat? Profit does not come from thin air?
minus-squareManjushri@piefed.sociallinkfedilinkEnglisharrow-up2·1 month agoRight. Profit comes out of the pockets of the buyers. Any system that is optimized to maximize profit is by definition optimized for bad outcomes for the buyers.
Well, no shit. If it’s optimized for its own profit then of course it will yield bad outcomes for buyers. That’s two sides of the same coin.
What? Profit does not come from thin air?
Right. Profit comes out of the pockets of the buyers. Any system that is optimized to maximize profit is by definition optimized for bad outcomes for the buyers.