Ten principles for a Black Swan-proof world
via: http://www.ft.com/cms/s/0/5d5aa24e-23a4-11de-996a-00144feabdc0.html?nclick_check=1
What is fragile should break early while it is still small. Nothing should ever become too big to fail.
No socialisation of losses and privatisation of gains.
People who were driving a school bus blindfolded (and crashed it) should never be given a new bus.
Do not let someone making an “incentive” bonus manage a nuclear plant – or your financial risks.
Counter-balance complexity with simplicity.
Do not give children sticks of dynamite, even if they come with a warning.
Only Ponzi schemes should depend on confidence.
Do not give an addict more drugs if he has withdrawal pains.
Citizens should not depend on financial assets or fallible “expert” advice for their retirement.
Make an omelette with the broken eggs.
see also: black swan (and in more detail taleb's rules)
Antifragility
System design principles
Stick to simple rules
Decentralize
Develop layered systems
Build in redundancy and overcompensation
Resist the urge to suppress randomness
Ensure everyone has “skin in the game”
Give higher status to practitioners rather than theoreticians
Strategies for antifragility
Pursue barbell approaches
Focus on options
Be curious
Get out of your comfort zone
Focus on the edge
Conduct lots of experiments and tinker
Don’t get consumed by data
Focus on building/accessing tacit knowledge rather than rationality and explicit knowledge
Focus on subtractive knowledge
Collaborate and trade
Respect the old
Beware of wealth, debt and reputation
The Chaos Monkey Loving Hydra
“The Chaos Monkey is here to help you practice switching gears, help you build antifragile responses, help you get stronger and smarter about your life, so that you survive even bigger monkeys in the future.”
https://medium.com/better-humans/c02337782a89