Subject: Re: Tom W. Bell paper
From: <stephen@xemacs.org>
Date: Tue, 5 Sep 2006 10:39:01 +0900

Don Marti writes:
 > begin stephen@xemacs.org quotation of Mon, Sep 04, 2006 at 12:59:09PM +0900:
 > 
 > > Nobody has yet proposed a plausible scenario for the Bell proposal to
 > > get funds to flow into R&D, except for your proposal of "invent then
 > > buy claims."
 > 
 > I agree.  The connection has to be made.  Any other
 > way would be like a "stock exchange" that trades
 > predictions on company earnings instead of equity.

The connection cannot be made.  It's a zero-sum game, even Bell admits
that.

 > > But that's ethically, and under current law, fraud (insider
 > > trading).  The ethics won't change, and I doubt the law will, 
 > > either.

 > Is it unethical to accept a bounty on a bug bounty
 > system if you have a working, tested private fix that
 > you haven't submitted to the project maintainer?

Do you not understand that this is a completely different question?

In each case, check whether the trade is zero-sum, and whether one
party *knows* the true value but the other has good reason to believe
it's greatly different.  If both conditions are satisfied, trading on
the special knowledge is unethical.