202
10 The Economy 4.0
10.5 In the Wake of Big Data, the Pillars of Democracies
Are Shaking
Democracies are often said to rest on four pillars: the legislative body, the executive
body, the judiciary and the media. Personally, I think that science should actually be
included as a fifth pillar of democracy. How would one otherwise want to make wellinformed decisions? If governments want to fulfill their democratic mandate well,
evidence-based decision-making is certainly essential. All of these pillars, however,
will soon undergo a fundamental transformation and the signs of change are already
there.
We have seen perhaps the most dramatic changes so far in the media. The Internet
has undermined the traditional business model of printed newspapers because news is
often provided for free in an attempt to attract more readers and online advertisers. A
similar dynamic is at play in the music and film business. However, these businesses
were the architects of their own downfall: they entered the digital arena before they
had developed a viable online business model.
In addition, people are now turning away from mass media in favor of TV on
demand and engage with personalized information sources such as tumblr. In this
field too, there is clearly a trend towards individualization and decentralization,
where people play a more active role in choosing and curating the information they
consume. In an internal report on the digital strategy of the New York Times, for
example, the paper’s readers were identified as its most “underutilized resource”.
8
By writing comments and blogs, and by sharing news stories on social media, readers
are reshaping the media landscape. They determine which stories and which news
sources reach a wide audience online. Grassroots journalism which builds upon local
expertise is another interesting development.
9
Beyond the media world, however, the executive branch of governments and the
judiciary are also quietly changing. Police, secret services and other authorities now
routinely use surveillance and Big Data to identify crime hotspots, terrorist suspects,
traffic violations, tax evaders, and corruption. To accelerate trials, plea bargaining is
becoming increasingly common. In addition, the judicial process is being shortened,
which often means that defendants have fewer opportunities to defend themselves.
The international trade agreements currently under negotiation
10 even envisage that
conflicts of interest will be settled outside of the existing court system. Again, these
changes are driven by the desire to increase efficiency by removing regulatory obstacles. Complementary, conflicts of interest may also be resolved through voluntary
settlements negotiated in a community-based mediation process.
In the area of administration, many routine jobs will be taken over by computers.
I believe it is just a matter of time until the legislative process will undergo a
fundamental transformation, too. First, the concept of centralized decision-making is
8 See http://www.scottmonty.com/2014/05/what-brands-can-learn-from-bombshell.html.
9 Williams [2]; see also https://en.wikipedia.org/wiki/Citizen_journalism and https://krautreporte
r.de/.
10 Such as TTP, CETA, TTIP, and TISA.
10 The Economy 4.0
10.5 In the Wake of Big Data, the Pillars of Democracies
Are Shaking
Democracies are often said to rest on four pillars: the legislative body, the executive
body, the judiciary and the media. Personally, I think that science should actually be
included as a fifth pillar of democracy. How would one otherwise want to make wellinformed decisions? If governments want to fulfill their democratic mandate well,
evidence-based decision-making is certainly essential. All of these pillars, however,
will soon undergo a fundamental transformation and the signs of change are already
there.
We have seen perhaps the most dramatic changes so far in the media. The Internet
has undermined the traditional business model of printed newspapers because news is
often provided for free in an attempt to attract more readers and online advertisers. A
similar dynamic is at play in the music and film business. However, these businesses
were the architects of their own downfall: they entered the digital arena before they
had developed a viable online business model.
In addition, people are now turning away from mass media in favor of TV on
demand and engage with personalized information sources such as tumblr. In this
field too, there is clearly a trend towards individualization and decentralization,
where people play a more active role in choosing and curating the information they
consume. In an internal report on the digital strategy of the New York Times, for
example, the paper’s readers were identified as its most “underutilized resource”.
8
By writing comments and blogs, and by sharing news stories on social media, readers
are reshaping the media landscape. They determine which stories and which news
sources reach a wide audience online. Grassroots journalism which builds upon local
expertise is another interesting development.
9
Beyond the media world, however, the executive branch of governments and the
judiciary are also quietly changing. Police, secret services and other authorities now
routinely use surveillance and Big Data to identify crime hotspots, terrorist suspects,
traffic violations, tax evaders, and corruption. To accelerate trials, plea bargaining is
becoming increasingly common. In addition, the judicial process is being shortened,
which often means that defendants have fewer opportunities to defend themselves.
The international trade agreements currently under negotiation
10 even envisage that
conflicts of interest will be settled outside of the existing court system. Again, these
changes are driven by the desire to increase efficiency by removing regulatory obstacles. Complementary, conflicts of interest may also be resolved through voluntary
settlements negotiated in a community-based mediation process.
In the area of administration, many routine jobs will be taken over by computers.
I believe it is just a matter of time until the legislative process will undergo a
fundamental transformation, too. First, the concept of centralized decision-making is
8 See http://www.scottmonty.com/2014/05/what-brands-can-learn-from-bombshell.html.
9 Williams [2]; see also https://en.wikipedia.org/wiki/Citizen_journalism and https://krautreporte
r.de/.
10 Such as TTP, CETA, TTIP, and TISA.