CMN 170v Final

Which of the following of the traditional "three branches" of public power did we never implement globally? The branch responsible for

implementing and enforcing laws

You employ different professionals in your company. Some of them, for example the secretary, the Vice-President, or your tax accountant, get their money independent from your productivity output. Others you only employ when they are needed, like those paid by the hours (like servers in a restraurant or production personell). Are these kinds of payments an example of fixed cost or variable/maginal cost? Correct

it depends on if these payments remain unchanged or change with the production output

Which one is NOT part of our working definition of technology?

it is electronic

What are the four characteristics we have just discussed that are useful to consider when designing policy/strategy interventions for digital development? (check all four that apply) (check all that apply)

it often has unpredictable side-effects besides what we are aiming for digital networks have global reach digital tech affects the most diverse aspects of social life we face a lot of uncertainty

What is true with regard to positive- and negative network externalities:

positive network externalities mean the more people, the more benefit for everybody

What are so-called "echo chambers"?

r metaphorical description of a situation in which existing opinions are reinforced by communication Correct

Wait, so what happened there in the 1980s?

radio_button_checked A company (that had a successful game (namco)) asked another company (that had a distribution channel to people's homes (Nintendo)) to help them adopt their game in their portfolio. The latter accepted but asked for a 30% surcharge, mainly to cover the production of the plastic cartridges it had to produce. Correct

Data fusion makes use of complementary data sources to fill out missing data points, including different kinds of sources, such as images, audio and video.

true

Linear growth increases by a constant amount in each time period, forming a straight line when graphed (like the number of building blocks). Exponential growth doubles (or increases by a certain multiple) in each time period, forming a curve that becomes steeper over time when graphed (like the number of combinatorial choices).

true

We just saw some examples where even the world's most advanced countries struggled with the "digital divide" in terms of available bandwidth. r

true

You increase your production and have to ship out many more packages now. The cost of packaging and shipping physical items is an example of:

variable/marginal cost

The basic argument made here is that: radio_button_checked Correct

visualizations of computer simulations allow to communicate complex dynamics more intuitively

Consequentialism or utilitarianism is a theory of ethics that puts emphasis not on the action itself, but on the effects that the action produces. Something is unethical is the consequence is negative. In the digital age it is useful to revisit the depth and reasoning of this ancient philosophy because: radio_button_checked

we deal with a technology and every tech inevitably has positive and negative effects (is never completely "good") Correct

What is an example of a many-to-one communication in online social networks?

Liking of a post

How many combinations can you make when combining the two items (call them) A and B radio_button_unchecked Correct

(1) take none, (2) take A, (3) take B, (4) take A and B => 4 combinations

OK, wait, that's still useful general knowledge: we said that different theories of ethics put more emphasis on: (1) who you are in terms of your existing dispositions; (2) what your intentions are; (3) what the results of your actions are. So-called "deontology" puts emphasis on:

2

We talked about "exponential growth" and "doubling rates" in our previous lecture on technological progress: https://youtu.be/Lq-SAzzuJjs?t=433 Now, thinking a bit more about the (high school level) math: why does a "constant growth rate" of 3 % per year make the process "exponential"? r

Because it multiplies in each period with 1.03: it keeps what it has (times 1) & additionally, grows by 3 parts of 100 (3 per-cent) Correct So if you'd take the logarithm of base 1.03 you could identify the number of multiplications (the logarithm is the inverse operation of the exponential, remember?). For example, over three years, you'd get LOG1.03 (1.03 x 1.03 x 1.03) = LOG1.03 (1.03^3) = 3 = three multiplications with 1.03.

The difference between "de jure" and "de facto" standards is that: r Correct

De jure are agreements of formal organization. De facto are selected by market dynamics.

Exponential growth can always be represented as a "doubling logic". Doubling means you multiply what you have by 2. As you double several times (in a "doubling process"), you have several 2*2*2*2... (you double what you had previously doubled, etc), which becomes exponential (2*2*2*2 = 2^4). As such, since the logarithm is the inverse of the exponential, you can always take the logarithm of base 2 to obtain the number of times the doubling occurred. Since you can always take the logarithm of base 2 (just type it into your calculator), you can always express a process that grows exponentially in a doubling logic. If that doesn't make sense, please ask a large language model about it and play around with the examples yourself. What does it mean that something "doubles" during the next period? r During the next period, as much progress will be made as has been made since the beginning. Correct

During the next period, as much progress will be made as has been made since the beginning

Traditionally, Apple's App Store and Google's Play Store charge 30% of the purchasing price for digital goods and services. This means that for every purchase, 30% goes to the platform, and 70% goes to the app developer. This is because Apple and Google need to produce plastic cartridges to store the games, just like when this fee was first set in the 1980s. False Correct

FALSE The original cost burden of plastic cartridges has fallen away in the digital app store age, but Google and Apple argue that this 30% covers costs like cybersecurity, quality control and payment processing. This argument is challenged by some developers and lawmakers, who do not believe that these expenditures justify a 30% commission.

The impact of technology on societal evolution started with the industrial revolution. radio_button_checked False Correct

False

When your existing Amazon account gives you a recommendation on which books to read next, do they use information from other previous customers or information from your past shopping behavior?

From previous customers only radio_button_unchecked From your past shopping behavior only radio_button_checked Both Correct

Diffusion curves that track the total number of people reached have the shape of the letter: radio_button_checke

S: starting off slowly, accelerating, and then slowing down Correct

If internal transaction costs are lower than external transaction costs, what does transaction cost theory predict:

The company will become bigger Correct ...because I'd hire people in-house, who'd do it cheaper than the people I pay for outside services...

Drawing from what we've just learned, is there an economic/commercial motivation for online social networks to "connect everybody on planet Earth", or is this pure philanthropy?

To increase the positive network externalities of the social network Correct

The "digital footprint" comes for free, but there might be problems of representativeness. What might be a problem when using "Good morning" greetings on social media as an estimation when people get up? Please think about it. (check all that apply) (check all that apply)

Very early risers might not post at all: they are too stressed Correct check_box Late risers might not post at all: they are late already Correct check_box Mainly young people do such a thing: most grandparents won't post "good morning" on Twitter Correct check_box Some people might post sooner after getting up than others Correct

According to media richness theory, which of the following communication channels would be best suited when discussing essential business decisions that define the future of a company?

Video-conferencing Correct

We said that we can take four complementary perspectives on the digital divide. The following is not one of them:

When does the subject connect? Correct The "when" is actually the final question that is automatically answered when taking the "snapshot" of the diffusion process that shows the "divide". At the moment the "digital divide" is analyzed, some will be on the one side, others on the other side. The when defines the "divide", it is not a perspective to be taken.

Wait, how can the same "aircraft technology" show two different trajectories? radio_button_checked Correct

a fast aircraft satisfies a different need than a big aircraft, so, per our definition, taken it seriously, they are actually two different technologies...

Schumpeter proposes that long waves are: Correct

a higher level emergent phenomena arising from lower level shorter cycles

Economists use the term "red queen effect" to describe: Correct

a process where the goal is constantly moving ahead

What is a so-called "filter bubble"?

a state of informational isolation that can result from personalized information exposure

In only 2-3 years, policymakers in Latin America considered that only part of their policy agenda was still completely valid and didn't require any adjustments. How many did they adopt without adjustments to the new plan?

about 1 in 4 priorities

While digital distance-communication ("tele-communication") has been around for many years (in the United States, analog TV was required to switch to digital in 2009), the COVID-19 pandemic:

acted like as an accelerator in the adoption and innovation of tele-communication, given global "social distancing" policies. Correct

According to the Schumpeterian distinction between invention and innovation, why does it make sense for the private sector (as opposed to the public sector) to explore how to best come up with innovations?

adio_button_checked because the private sector is part of the market dynamic, where price-driven supply and demand dynamics help to shape what creates value for society. Correct Yes, innovations create social/economic value out of inventions. While not all inventions become innovations, market-dynamics are very helpful to detect what creates value.

The difference between tacit (implicit) and explicit knowledge is that:

adio_button_checked explicit knowledge can be expressed step-by-step, tacit knowledge is hard to transfer/communicate Correct

Think about a tailor at a high-end cloth store, that takes personal measurements. Does the store go for individualization/differentiation or for scale/cost-leadership?

adio_button_checked individualization/differentiation Correct

The example of the effect of artificial lighting on society shows that technological revolutions: Correct

affect a large variety of social-, cultural-, and economic-aspects

AI-alignment seeks to ensure that AI systems r \ Correct Yes, that is what it stands for, and we've seen that this is not as easy (see the other answer options)

align with human values

One reason for the endlessly closing and widening nature of the "digital divide" stems from something we had already had talked about at a previous lecture: radio_button_checked Correct

alternating nature between periods of technological diffusion and innovation

The general idea behind the use of RLHF is that, human evaluations are provided to the AI system:

as a reward signal to align it better with existing human values

What is the basic/fundamental notion of why things become faster and faster? radio_button_checked Correct

because new things stem from new combinations and combinatorics are exponential

The lengths of these kinds of long waves of societal evolution: becomes shorter and shorter Correct

becomes shorter and shorter

Schumpeter's definition of innovation is: Correct

carrying out new combinations

One way of AI-alignment consists in putting more thought into formulating subroutines to fine-tune "reward functions": What (exactly is) The Function?! What would be some additional subroutines we could/should use additionally to the goal than "drive directly home". (check all that apply) (check all that apply)

check_box + don't hurt any passengers Correct check_box + don't damage the car Correct check_box + don't break any laws Correct check_box + don't hurt any living beings on the road Correct check_box + drive environmentally friendly Correct check_box + don't damage any infrastructure Correct check_box + so many others... Correct

We identified four characteristics of a technology to hold the potential of becoming a technology with the potential to lead to a notable socio-economic revolution. These include: (check all that apply) (check all that apply)

check_box Unlimited supply for all practical purposes Correct We need to be able to create much of it (for everybody) check_box Clearly perceived low-and descending- relative cost Correct Breakthrough and prolonged period of continuous technological innovation check_box Potential all-pervasiveness Correct General-Purpose-Technology check_box A capacity to reduce the costs of capital, labor and products as well as to change them qualitatively Correct Modernization of society

We just discussed that the successful deployment of a technological system to revolutionize society requires the following complementary processes: (check all that apply) (check all that apply)

check_box cultural adaption of the "new common sense" Correct check_box development of surrounding services (e.g. infrastructure) Correct check_box institutional facilitators (e.g. laws, regulations) Correct

What are some digital building blocks which might be created for one purpose, but have the potential to be re-purposed in other contexts?

check_box image recognition of faces on social media Correct check_box speech recognition for smart speakers Correct check_box autonumous driving of a car Correct check_box malware detection for bank accounts Correct check_box recommendar algorithm for an online book store Correct check_box generative AI Large Language Model for a chatbot Correct

Think about the footwear industry. https://companiesmarketcap.com/footwear/largest-companies-by-market-cap/ Here Nike is clearly larger than its closest competitor, Adidas. Looking into it, we are likely to discover that it's on average cheaper for Nike to produce and sell a pair of sneakers (even if we'd imagine it'd be exactly the same pair). What are the reasons that contribute to this "economies of scale" advantage? (check all that apply) (check all that apply)

check_box rent or purchase of real estate for production facility Correct check_box payment of fixed salaries of managers and secretaries Correct check_box rent or purchase of production facilities like conveyer belts Correct check_box rent or purchase of business intelligence software, including ERP, SCM, CRM and/or AI-based machine learning packages Correct check_box cost involved in creating and maintining global contacts for distribution channels Correct

Which are the main characteristics of the contours of socio-technological we just identified? (check all that apply) (check all that apply)

check_box sometimes disruptive ("in jumps") Correct check_box overall exponential (accelerating in time) Correct check_box accumulative (creating more technological structure over time) Correct Yes: it is true that there is some "destruction" happening of structures from older paradigms, but, over history, we create more "structure" in the socio-technological system.

One way to confront the uncertainty arising from exponential technological progress is to: Correct

combine a long-term vision with flexible short-term action plans

Timeless Time refers to the fact that:

combining synchronous and asynchronous processes allows to negate temporal sequence

Gasoline-driven cars have become ever more fuel efficient over recent decades. This is an example of: continuous innovation Correct

continuous innovation

Moore's law is an example of: Correct

continuous innovation

Virtue ethics is defined as a moral philosophy emphasizing character traits and personal dispositions as the key elements of ethics. In the digital age it is useful for us to revisit the depth and reasoning of this ancient philosophy because of the importance of: radio_button_unchecked Correct

data that describes in detail who people are

Network Externalities of a product or service refer to the fact that its value to a consumer:

depends on how many other users consume it

The digital divide creates a new kind of inequality we need to learn how to live with. It consists of an inequality with regard to: radio_button_checked Correct

digital information and knowledge

According to the combinatorial logic of invention and innovation that we just discussed, why is it that basic research on groundbreaking inventions is often financed by the public sector? radio_button_checked Correct

exponential combinatorial possibilities create a large risk of failure (making it unlikely to find the right combination quickly), and public funding spreads the financial burden of this high risk among the public.

Which one is correct. The logarithm is the inverse operation to Correct

exponentiation.

The digital divide is always measured as the divide between people.

false

Prof. Perez distinguishes between two sub-periods of a "long wave", an installation period and a deployment period of the new paradigm. They are separated by a rather "destructive" process between them, which usually goes along with: Correct

financial bubbles and economic recession

Producing a product, like a car, requires an initial investment. For example, you, as an entrepreneur, need to pay a fee to register your business. This is fee is independent of your plan to start producing much or little. Is this fee an example of a "fixed cost" or a "variable/marginal cost"? (check all that apply)

fixed cost

What is correct? In digital products, most costs are related to:

fixed costs

The European Union is based on 4 fundamental freedoms. The following is not one of them: Correct

free flow of government support and food stamps

Adam Smith is seen as the pioneering theorist of free market capitalism, and his concept of the "invisible hand" is often referred to by defenders of free markets to defend the absense of government regulations. According to the original theory, existing institutional regulations like the ones around the "green card"

go against the ideal of free markets of Adam Smith Correct "green cards" and similar international labor market restrictions limit the chances that the right person is at the right place at the right time. This artificial restriction of the "free flow of (global) labor" hinders market dynamics.

The fact that digital technologies are general purpose technologies leads to the fact that the organizational budget dedicated to adopting and further developing digital technology is:

highly decentralized

The invention of penicillin, the world's first true antibiotic, by Alexander Fleming is usually hearalded as an accidential invention truley coming out of nowhere.

radio_button_checked False. Fleming was a highly specialized microbiologist who build on a large base of ongoing related research, allowing him to act quickly on the accidental growth of fungus, creating new combinations of his existing knowledge. Correct

An official report measures the "digital divide" among companies in terms of bandwidth connectivity and if the company has a webpage. It finds that both measures are precisely the same in two different cities and argues that the digital divide is closed between these two cities. After what we just said, what could be a caveat in this regard?

radio_button_checked companies in one city could use their bandwidth and webpages much more productively than in the other city Correct

The difference between data lake and data hub is that:

radio_button_checked data lake contains raw data, while data hub clean/ standardized data Correct

e just said that the "digital divide" is both:

radio_button_checked here to stay with us and something that can never be completely avoided Correct yes, it will open up with every new technological innovation & is inevitable as this new tech is diffusing through society/ies over time

The distinction between invention and innovation is: (also, see the slide!)

radio_button_checked innovation is socially embedded Correct

Wait, he said "Edward Snowden" something-something... Who is "Edward Snowden" again? What happened in 2013 which had an important effect on people's perspective of the digital age? ...if you don't know, please do a quick online search to answer this general knowledge question...

radio_button_checked someone who revealed the extend of the US government digital surveilance programs Correct Edward Joseph Snowden (born 1983) is an American whistleblower who copied and leaked highly classified information from the National Security Agency (NSA) in 2013 when he was a Central Intelligence Agency (CIA) employee and subcontractor. His disclosures revealed numerous global surveillance programs...

In statistics:

radio_button_checked the small n usually stands for a small sample of the larger universe of all subjects N Correct

According to the definition of horizontal ownership concentration (that a company acquires a direct competitor), what is a prominent example of that in the digital industry?

radio_button_checked when in 2012, the social media site Facebook acquired the social media site Instagram for approx. US$ 1 billion. Correct

The term "death of distance", as used here, seems a bit exaggerated because, even nowadays, there are delays when communicating over space. The basic argument here is:

radio_button_checked with bits traveling close to the speed of light (in fiberoptics and radiowaves) we have approached the limit of the physically possible

We have 4 items: ABCD and choose 3 of them. Which are the correct possibilities to create groups with 3 members?

radio_button_unchecked ABC & ABD & ACD & BCD Correct

Taking this wide-ranging definition of "transaction costs", what increasing the cost of executing a transaction in the retail music business? Just think about it: are the following aspects adding to the total cost of transacting music? https://en.wikipedia.org/wiki/Transaction_cost

radio_button_unchecked Costs associated with searching for music (incl. the time spent to walk into a store and/or setting up stores, and/or the computational cost of online searches). radio_button_unchecked Costs associated with settling for a price (incl. time it needs to set and compare prices). radio_button_unchecked Distribution costs of music (incl. sales-personal or an internet connection). radio_button_unchecked Enforcement costs (incl. supervision of the seller and buyer). radio_button_checked All of the above Correct

This seems to be very creative! Why is it also destructive?

radio_button_unchecked It destroys the way things were done (customs, institutions, habits...) radio_button_unchecked It destroys some employment that becomes obsolete radio_button_unchecked It makes some existing laws obsolete radio_button_checked all of the above Correct

While the living conditions of slaves in the 1600s-1800s might not be exactly comparable, human rights activists argue that nowadays there are many people living in "slave-like" conditions and that obtaining power over them is: radio_button_checked Correct

roughly 100 times cheaper today than 150 years ago when "slavery" was formally abolished

This research team gave the AI (called Cicero) an intention. The intention was:

to become a good player while being honest and helpful

Sometimes personal morals, based on individual believes or convictions, can contrast with externally given ethical norms. The basic take-away of the story just told was that: radio_button_checked Correct

simple settings of social networks with wide and far reach can (and effectively are) inducing cultural/societal ethical norms to affect personal convictions

While we previously argued that it's important to gather broad input from a large number of people in order to deal with the "general purpose" nature of digital tech, here we argue that it is also important to get: radio_button_checked Correct

specialized input from experts with domain knowledge

Wait, before that: which of the following is the correct order of the various phases of progress during industrialization as per the theory of long waves as presented here? radio_button_unchecked steam-power => electric power => combustion power Correct

steam-power => electric power => combustion power

At the end of 2022, the company OpenAI introduced the world to ChatGPT, using GPT-3.5. The combination of GPT-3.5 technology and a bot-interface became the fastest diffusing technology in history at the time. Based on what we just said: what might have happened with previous versions of GPT, and didn't they diffuse notably? radio_button_unchecked Correct

technological progress might have been too fast during these generations

Two complementary processes are unfolding over time. Both take time, and while they unfold, they have a dynamic effect on society, which is what we are looking into radio_button_checked Correct

technology becomes better & it diffuses through societies

What does a "machine learning algorithm" compute? radio_button_checked Correct

the best algorithm (way of doing things) of how to get to the given goal (where we want to go), based on the given data (where we are right now)

The concept of the "space of flows" refers to a reconceptualization of space due to (among other things):

the importance of the particular structure of the underlying network Correct

If a social network is more densly connected (with more links), how can this affect the diffusion of an innovation through this social network? radio_button_checked Correct

the innovation can diffuse faster

Deontology is a theory of ethics that judges the morality of an action based on the intention behind the action. In the digital age it is useful to revisit the depth and reasoning of this ancient philosophy because: radio_button_checked Correct

the reward/loss function is one of the main inputs provided to machine learning and defines the intention behind the produced algorithm

The example of gas-stations shows that the true establishment of a new socio-technological paradigm also requires: Correct

the roll-out of a large supporting infrastructure

Just checking in: ...we just said that Correct

there are many indicators of social progress we can look at, which will give us complementary ways of understanding societal evolution