So capitalism is efficient because a billionaire always "needs" more and will scoop up any resource that becomes available.
But what we need is an effective system that provides food, shelter, healthcare, … as the need arises.
@jonm @yala @jasongorman @joe_vinegar
It's called slack, and it's vital.
That's what people don't get.
@darwinwoodka Where would you put it, resource-utilisation wise? At 50 %, 60 %, with a hard limit at 80 %?
@yala @darwinwoodka @jonm @jasongorman @joe_vinegar
In my humble opinion, we shouldn't look at it in terms of resource utilization. It's about the desired level of service. If there is a fire once a year, the fire department might be used 0.3% of the time; but if that fire destroys the whole town each time it happens, we might still want to have a fire department.
(I think that's the downside of "efficiency": it often looks at minimizing direct costs and rarely indirect costs caused by reducing the effectiveness of the system.)
@jpetazzo @yala @jonm @jasongorman @joe_vinegar
Or you realize they can do more than fight fires and then you get paramedics, emergency response for car accidents, etc.
@darwinwoodka @jpetazzo @yala @jonm @jasongorman @joe_vinegar
That's what the "Swedish model" of road safety is.
Every accident is caused by a poorly designed roadway.
@jonm @yala @jasongorman @joe_vinegar
"The Goal" by Eliyahu M. Goldratt is a business novel that delves into the notion of process optimization for the organization as a whole rather than going after individual parts that result in overall inefficiencies resulting from resource bottlenecks at critical times.
A fire department is a good example of a seemingly wasted resource, except of course when you have a fire.
The cost of having a resource idle is often far outweighed by the consequence of having it unavailable.
@jonm @yala @jasongorman @joe_vinegar a good example in the UK is gritting roads.
An effective system as salt bins on every street, people employed and ready to spread the grit when it snows and gritters on standby at every major road junction.
But...
The decision is usually made by cash strapped councils to have only a few gritters which are inevitably never enough.
But it's efficient! and they don't "waste" (spend) money on gritters running the 364 days without snow.
@jonm @yala @jasongorman @joe_vinegar that's not how I read things for efficient.
If you look at a grid, It's more like charging batteries/heating water etc when there is excess solar/wind and/or low demand, which results in stored energy that then doesn't need to be taken direct from the grid when there's higher demand or lower generation.
For example I set my home solar battery up so it charges at night when it's windy (based on 30 minute energy pricing from my supplier) and realised 99% of home solar installations don't do this. Neither efficient nor effective compared to what they could be, especially in the winter.
@catch56 @jonm @yala @jasongorman @joe_vinegar Is that not an example of *optimisation*, rather than efficiency?
Your solar battery is supposed to store energy from the solar panels (alone). The fact you've found an additional use for it - to store energy from a different source - which helps maximise its *effectiveness* beyond the initial point of failure (i.e. when it runs out of charge from the stored solar energy alone) does not speak to its efficiency at its intended purpose (storing solar energy) but rather peak *optimisation* by finding more than a single way to charge it.
@keplerniko @jonm @yala @jasongorman @joe_vinegar no because the battery is one example of the grid as a whole.
Need available when resource becomes free (electricity):
Charging idle batteries, heating water, charge underground thermal energy storage - instead of shutting down wind turbines which is what can happen when there's nothing to absorb the electric from the grid.
Resource available when need arises:
Energy stored via the above methods can be used before gas plants, diesel generators, coal stations fired up, or rationing, power cuts etc. increasing the total energy available without additional grid load.
@jasongorman The problem here is the discrepancy between what bad folks and good (or even normal) folks mean by "efficiency".
I would say an efficient system also always has resources available when a need arises, because it hasn't let the resources be squandered, but has respected their finitude and has allocated them accordingly. An inefficient system treats resources as something ok to squander because the profit will make up for the inefficiency.
@jasongorman Well this elegantly resolves my lifetime quest to properly disambiguate.
Now someone do efficacious.
@jasongorman When people think efficiency means cutting things to the bone I always consider DNA and how much redundancy is built into many biological systems. If it wasn't, we likely wouldn't have life.
Also, as a small business owner, our business coaches always tell us to build capacity (i.e. hire) before pushing for growth. And certainly, without capacity for cover, holidays and sick days grind work to a halt. However efficient one might like to be, employees are humans and are, therefore, biological systems … redundancy in those systems is essential for survival.
This is why making an ‘efficient’ health care system always leads to disappointment… people really want an effective one.
US style capitalism abhors excess capacity as a waste of capital.
In most cases there is little capacity to ramp up when resources or demand increase.
I like this. Just to rephrase this for myself: an efficient system uses all the resources, and effective system satisfies all the needs.