NEW: Every year, governments use algorithms to flag people receiving welfare benefits as "high risk" of committing fraud. Today, for the first time, a joint investigation by Lighthouse Reports and WIRED can reveal how one of these algorithms works. We obtained the full algorithm code and the training data and recreated the system. What we found was discrimination based on gender and ethnicity. Part 1 is here: https://www.wired.com/story/welfare-state-algorithms/