I just finished reading William Poundstone’s: How to predict the unpredictable. It turns out we are actually quite predicable. Each chapter covers one topic and finishes with tips on how to win at e.g. rock paper scissors, tennis and the stockmarket (check out the table of contents on amazon ‘look inside’).
One point is that we really have no clue what random looks like, If you map 50 coin tosses as black and white squares, the random one (middle) looks fake and the fake one (top) looks random. In the random set, each coin toss has a 50/50 chance of being different from the previous one. In the one we think of as random, there is a 75% chance the next block will be different from the previous one. We have to go up to a 90% chance of a colour change (bottom, ) before we begin to think it looks fake.
This is the law of small numbers. A pschological trick making us think the rules that govern large numbers (50/50 outcomes of 1000 coin tosses) will also govern small numbers (not really, there’s a pretty high chance of not getting a 50/50 split in 5, or 10, coin tosses).
Next up is passwords and PIN numbers, with estimates that 11% of the population uses 1234! If you found a debit card, and tried the three most likely PINs (1111 at 6% and 0000 at 2%) you’d have a hair under a 1/5 chance of getting the right number.
The tip for passwords is to find a random password generator, generate a few passwords and find one that is easy to make up a story to help you remember. Then only use it for a few important secure sites and not every time some online form asks you for a password. Personally I’m so sick of account names and numbers I’ll stop right there rather than sign up to another one. I’ve been reduced to buying theatre tickets by phone, which was actually just as easy.
Poundstone did fall down on one aspect. He describes the Target campaign where they looked at the buying habits across 25 products and found they could tell when someone was pregnant almost to the week (the list included suddenly buying certain vitamins and scent free lotion). They would then send these women flyers for baby stuff and as long as they mixed it up with lawnmowers, so the women didn’t know they had been targeted specifically, they were happy to start the new phase of their life as a Target shopper. The story includes the angry father of a sixteen year old, who then found out she really was pregnant.
Here Poundstone says the new predictions challenge not only privacy but also our illusion of free will. But I disagree, it is definitely a privacy issue. Target even agrees re adding the lawn mower ads ‘as long as the pregnant woman thinks she hasn’t been spied on‘.
It’s an interesting grey area. It is not unreasonable for the shop to have records of your buying habits, but putting them together gives them data you don’t want them to have. Maybe the moral here is pay attention to an upcoming need for new laws, get rid of your reward cards, and pay cash rather than card. I’m reluctant to do the second, but then I never do spend the points, so I’m putting it on my to-do-when-I-get-round-to-it list. Though I did just sign up to the Paperchase reward card, I’m hoping there is a limit to what they can figure out from my stationery spending. The second requires planning and effort, but is something I aim to do more often than not (I’m also going to put a big sign on my back saying ‘suitable mugging target’). The first one is on the back burner. I’m hoping someone else will set up a campaign group and start lobbying MPs to ban shops scanning our faces, recording everything we do in them, saving that data and paying attention (via algorithms) to all the data.
Finally, make sure you delete your cookies before shopping on line, you’ll probably get better prices.
Ugh, why is living in the future so tedious.