We’re all familiar with the concepts of the Love Machine and the Sex Machine, but I am trying to picture what a Happiness Machine would look like. In my head it is a huge 50’s-sci-fi-style mass of wires and gear with a few vacuum tubes stuck on for nostalgia. The interface of this machine would be a comfy armchair for the subject to sit in, a
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(Assuming that all these distributions and happiness functions really exist, which I don't; that requires rather a lot of faith in human rationality.)
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Sure, but that's envy. People wake up in the morning and read in the paper that Donald Trump made another million for reasons that have nothing to do with them at all, and they still feel unhappy. Take envy and altruism out of it and suppose nobody knows about the Happiness Machine. They just wake up are shy half a penny.
Now if the recipient is Trump, then sure, he'll be less happy than a destitute guy would be. But I don't see why it follows that the sum total of unhappiness from using the Machine is somewhere between Trump's happiness and Homeless Guy's. That would make sense if you viewed the Happiness Machine transfer as the sum of 299,999,999 seperate half-cent transfers (all to Trump, all happiness-destroying). But precisely because people aren't perfectly rational, we *can't* do that. I know I'm happier to get an $800 tax refund than I would be if I just got $30 more every payday, and so it would be with the Machine.
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I don't know what price that would be probably 20-50$ because then the net change in happiness would be measurable and the hundreds of millions of small sadness' would overwhelm the few happiness.
Of course the lottery works similar to this.... of course the track record of lottery winners does not support how long the happiness from the happiness machine would last.
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Let f(x) be the Happiness Machine function that maps an allocation x into the same allocation plus a Machine activation.
Let u(x) be a measure of the amount of happiness generated by a resource/money allocation x. If X is the allocation we have now, it seems pretty plausible to say that u(f(X)) > u(X).
But we know that f^3,000,000(X) = X, so u(f^3,000,000(X)) = u(X). If u(f(X)) > u(X), then u(f(X)) > u(f^3,000,000(X)). Thus there must exist an x such that u(f(x)) < u(x). But I have a hard time thinking of an x for which that would be true. It's much easier to think, as you are, of how u(f^5,000(x)) < u(x). But there has to be one particular activation of the machine that *by itself* decreases happiness in the world, and I can only imagine such a thing happening in the context of many other activations ( ... )
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Econ deals with the problem in two ways (and justifies the two in a plethora of ways). One is just to say that $1 is worth the same to everyone simply because we don't have another convenient yardstick to compare one person's loss to another's gain. The other is to declare peoples' utilities incomparable and only focus on Pareto Improvements (allocations that improve one person's lot without hurting anyone else).
I do feel silly for forgetting about altruism, but my point was basically to take a not-necessarily-obvious economic assumption (that 100,000 people made poorer by half a cent exactly balances one guy made richer by $500) and show a strange thing that would happen if it didn't hold. I purposely did this without telling anyone the assumption I was indirectly defending, and it's interesting to read the responses.
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