White House Task Force on Unfair Business Practices - A Department of Algorithms To Allow Enforcement Would Be Nice…
Posted Aug 03 2010 4:40pm
Let’s face it today, unfair business practices are generated by algorithms, so why not get a Department of Algorithms started to where a visual of a law or rule can be viewed by Congress, The White House or other government agency involved. Our leaders don’t write code and thus need the visuals to help them out so they can see how the formulas roll out, otherwise we end up with reports, mile high stacks of paper and so on and we are getting nowhere in a hurry. With having some algorithms on file so everyone including consumers can see how they play out, we will get somewhere.
An unfair business practice is the result of one or more algorithms. Health insurance companies make a living and huge profits off of algorithms with risk management. Our friend Wendell Potter who used to be on the other side is trying to warn us as well.
Maybe I was ahead of my time but back in August of 2009 I wrote a post about this topic and my star example was Harry Markopoulos as he explained how the SEC had no clue on what to do with the information he gave them and then later we find all these folks at the SEC reportedly reading porn so distraction entered into the picture here to maybe?
Even earlier than that post I wrote about getting some algorithmically centric laws for healthcare. If that’s what everybody is using to profit and take our money, well we need to regulate them or we have a ton load of “rogue” algorithms running everything and everybody.
I don’t have an obsession with algorithms and have written many myself and am just calling a spade a spade, it’s reality. If you read the next post you can see where health insurance companies suggest more algorithms. We all use them but we need “accurate” results and not those for “desired” results.
Some are so very precious that link financial institutes that people steal them as in Goldman’s case. It would behoove all to at least file a working copy of those that result in big financial gains. We can’t keep track of every one in use by all means, but for those that use “machine gun” technology against citizens that are using swords and daggers for battle, I think this important.
We need to listen to the likes of Harry Markopoulos and Wendell Potter as they know the drill with no decorate wrapping, just facts. It’s a bunch of algorithms that allow debt to be resold and the dollars mount, again based on “desired” results on this one. If you don’t know what you are chasing, how do you catch it?
On the bright side though. the White House did find a set of algorithms that did not produce value and are looking at more projects. This is a tricky area as the software and algorithms will do what are marketed and sold to accomplish; however without some IT expertise the transaction portions just keep building and racking in a ton of profit when a new structure combining many technologies and transactions into one would be a better decision, but may also be a longer process, but at least it can contain cost.
It’s all about “those algos”! BD
As the American economy is starting to pull out of the deep recession that greeted us when we got to the White House, there are still far too many working people struggling to pay their bills and support their families. And the last thing we need at a time like this is deceptive, abusive business practices designed to take advantage of struggling middle-class Americans.
That’s why Vice President Biden held a Middle Class Task Force meeting on Thursday to talk about stronger consumer protection to protect American households from deceptive practices. The VP was joined by Jon Leibowitz, Chairman of the Federal Trade Commission, who came to our Task Force meeting to announce new rules that will protect consumers of debt relief services .
These debt relief companies promise to get consumers out of debt, but too often it turns out that they collect excessive fees even as they fail to deliver on their too-good-to-be-true promises, leaving struggling Americans in even worse shape than before. Among other protections, the new rules Chairman Leibowitz announced last week will ban advance fees, ensuring that debt relief companies actually deliver on their promises by reducing a consumer’s debt before they can collect payment.