“Evolution As Backstop for Reinforcement Learning”, Gwern2018-12-06 (, , , , , , , , , , ; backlinks; similar)⁠:

Markets/evolution as backstops/ground truths for reinforcement learning/optimization: on some connections between Coase’s theory of the firm/linear optimization/DRL/evolution/multicellular life/pain/Internet communities as multi-level optimization problems.

One defense of free markets notes the inability of non-market mechanisms to solve planning & optimization problems. This has difficulty with Coase’s paradox of the firm, and I note that the difficulty is increased by the fact that with improvements in computers, algorithms, and data, ever larger planning problems are solved.

Expanding on some Cosma Shalizi comments, I suggest interpreting phenomena as multi-level nested optimization paradigm: many systems can be usefully described as having two (or more) levels where a slow sample-inefficient but ground-truth ‘outer’ loss such as death, bankruptcy, or reproductive fitness, trains & constrains a fast sample-efficient but possibly misguided ‘inner’ loss which is used by learned mechanisms such as neural networks or linear programming. (The higher levels are different ‘groups’ in group selection.)

So, one reason for free-market or evolutionary or Bayesian methods in general is that while poorer at planning/optimization in the short run, they have the advantage of simplicity and operating on ground-truth values, and serve as a constraint on the more sophisticated non-market mechanisms.

I illustrate by discussing corporations, multicellular life, reinforcement learning & meta-learning in AI, and pain in humans.

This view suggests that are inherent balances between market/non-market mechanisms which reflect the relative advantages between a slow unbiased method and faster but potentially arbitrarily biased methods.