How the River Flows

The observation

A thought has been sitting with me for a while.

It started with a podcast where an investigator was talking about investigation agencies. He made a rather simple observation: never doubt the capability of an investigation agency; the issue is often not capability, but pressure.

I don’t remember the exact context in which he said it, but the distinction stayed with me. An organisation can have capable people, technology, information, money, experience and institutional knowledge, and still behave very differently depending on the pressures acting on it.

Capability and outcome are not the same thing.

At first, I thought this was simply an observation about investigation agencies. Then I started wondering whether it was actually an observation about systems. A system has capabilities. It also has pressures, incentives, constraints, information, people and history. These things interact. The interaction produces behaviour. Behaviour produces outcomes, and outcomes become feedback for what happens next.

The system learns. But learning does not necessarily mean improvement. A system can learn to respond better to the problems it faces. It can also learn behaviours that make the underlying problem worse. It can become better at surviving one kind of pressure while becoming less capable of dealing with another.

Nothing in the word “learning” tells us which direction the system is moving.

When the system is society

That made me wonder what happens when the system is society.

A society has a large pool of human capability available to it: intelligence, creativity, courage, ambition, curiosity, cooperation and craftsmanship. These capabilities exist in people long before any particular institution decides how to use them.

Yet societies can produce remarkably different outcomes from broadly similar human capabilities. A kingdom had capable people. A modern government has capable people. A company has capable people. The question, then, isn’t simply how capable the people are.

What does the system do with the capability it has?

A system can activate some capabilities and suppress others. It can reward certain behaviours and make other behaviours costly. It can direct ambition toward creation, competition, status, security, exploration or consumption. It can make cooperation valuable in one context and individual competition valuable in another.

The capability remains, but what changes is how it gets expressed.

Pressure matters. Incentives matter. Constraints matter. Information matters. Character matters. History matters. And so does the feedback produced by everything the system has already done.

The people inside the system

But there is another complication.

The people inside a system don’t necessarily understand the system they are part of. A king understands some part of his kingdom. A bureaucrat understands some part of the government. A business leader understands some part of the market. A consumer understands some part of the economy. Each operates with a model of reality, and that model may be right, wrong, or right for a while and then become wrong.

Yet the action taken from that model becomes another input into the system.

The actor is simultaneously observing the system and changing it.

We therefore get a smaller loop inside the larger one:

reality → perception → belief → action → changed reality

A person doesn’t need to understand the whole system for their actions to affect it. A consumer doesn’t need to understand monetary policy for credit to change consumption. A business doesn’t need to understand culture for its incentives to influence behaviour. A government doesn’t need to understand every individual for a policy to change the conditions under which millions of people act.

Each actor responds to what is immediately visible. The aggregate of those responses becomes something much larger.

How behaviour becomes culture

And this is where culture starts becoming interesting.

A response that works gets repeated. What gets repeated becomes familiar. What becomes familiar becomes expected. What becomes expected starts becoming normal. And what becomes normal begins shaping institutions. Those institutions then become part of the environment in which the next generation operates.

People create the system. The system shapes people.

Culture, then, may be less like something a society simply possesses and more like something it continuously produces. What a society says it values matters. But what its system repeatedly rewards may matter just as much. What does it make easy? What does it make difficult? What behaviour allows someone to rise? What behaviour gets ignored? What behaviour gets copied?

Over time, the answers become part of the character of the system. Not through one decision, but through repetition.

The system responds to itself

I can see this mechanism particularly clearly in the modern consumption economy.

A person wants something. Demand creates an opportunity. A business responds. Financial mechanisms make the purchase easier. Advertising creates new associations and desires. Social signalling gives the object another meaning. The consumer responds again. The business learns. The financial system adapts. Other businesses follow. Expectations change. What was once unusual becomes normal.

Eventually, the product is no longer just a product. It can become identity. Possession can become achievement. Consumption can become a way of communicating status, belonging or aspiration.

None of this requires someone to have designed the entire system. Each participant can simply be responding to the incentives immediately in front of them. Yet the aggregate of those responses creates a much larger pattern.

The system is learning from itself.

And once that happens, something interesting occurs. The system begins producing some of the conditions that shape its own future behaviour. The consumer changes the business. The business changes the consumer. The financial system changes both. Culture changes the meaning of consumption, while consumption changes culture.

There is no obvious beginning anymore.

It is a loop.

Which force is moving the system?

This also made me think about the variables inside a system. We often look for the things that are present: capabilities, incentives, institutions, pressures, people, technology, information. But a variable being present doesn’t tell us how much influence it has at a particular point in time.

The same system can contain the same variables for years and still behave very differently. One force can gradually become more powerful. Another can become weaker. Something that was previously marginal can become important. Something that once dominated can lose its ability to move the system.

The variables don’t necessarily disappear. Their relative influence changes.

What is increasingly able to move the system?

That question feels more useful to me than simply asking what forces exist. A snapshot tells us what the system is. A trajectory may tell us what it is becoming.

And perhaps this is where systems become difficult to predict. We are not only dealing with a collection of variables. We are dealing with variables whose influence on one another is itself changing.

A pressure can strengthen an incentive. An incentive can change behaviour. Behaviour can change institutions. Institutions can change the pressure. The result can strengthen the original incentive, weaken it, or create an entirely new force that wasn’t particularly important before.

The system keeps changing while we are trying to understand it.

When the system reaches an edge

This made me think about what happens when one of these forces becomes too influential.

A system can push one variable for a long time without anything obvious happening. But the consequences accumulate. At some point, those consequences begin changing the balance of the system itself. The dominant force starts creating pressure against itself. Something that was suppressed becomes more valuable. An incentive that once worked starts producing undesirable behaviour. Institutions that once absorbed pressure begin amplifying it.

The system starts responding to the consequences of its own behaviour. The dominant force weakens, something else becomes stronger, and the system reconfigures.

And then it continues.

It can look like a pendulum.

But the system doesn’t necessarily know where the ends of the pendulum are. It may discover them by reaching them.

Perhaps a system doesn’t need to know its boundaries in order to remain within them. It only needs feedback strong enough to respond when it approaches them. And even then, the boundary may not be fixed.

Technology can change it. Institutions can change it. Demography can change it. The environment can change it. Human behaviour can change it. The system itself can change it.

So perhaps what we call a boundary is not a line that someone has drawn around the system. It is a region within which the system can continue to operate, reproduce and adapt.

The system can spend a very long time moving around inside that region. It can approach an edge, cross it, absorb the consequences, reorganise and continue in another configuration.

The boundary may be real even when nobody knows where it is.

This also means that a system can appear stable without actually being still. It may be constantly moving, constantly adapting, constantly shifting the relative influence of its own variables. Yet from a distance, it can look remarkably stable because the changes remain within a range that the system can absorb.

Until they don’t.

At some point, the system may encounter a pressure it cannot absorb in its current configuration. Something gives way. The system doesn’t necessarily disappear. It may simply become something else.

Sometimes failure is simply the end of the current configuration.

When the system is sensitive

This also gives me a different way of thinking about the butterfly effect.

A small event isn’t inherently powerful. Its effect depends on the state of the system into which it enters. The same disturbance can disappear, be absorbed, be amplified, or push the system across a threshold.

The difference is not necessarily in the size of the event, but in the condition of the system receiving it.

The butterfly is not necessarily powerful. The system is sensitive.

And that sensitivity can change. A system that absorbs a disturbance today may amplify the same disturbance tomorrow because its internal configuration has changed. A pressure that was once harmless can become destabilising when the system has accumulated enough other pressures around it.

This makes the butterfly effect less about tiny causes somehow becoming enormous and more about the relationship between a disturbance and the state of the system at that particular moment.

History as accumulated pressure

Perhaps this is also why history is so difficult to explain through a single cause.

A major event can appear to change everything, but the event may simply be the point at which accumulated pressure found an outlet. The pressure may have been building for years, decades or centuries. The event mattered, but perhaps it mattered because of the state of the system when it arrived.

A different system might have absorbed the same event. Another might have amplified it. Another might have reorganised around it.

The event may be the trigger, not the whole story.

This changes the question we ask about historical turning points. Instead of asking only what caused the change, perhaps we should also ask what had been happening in the system before the change became possible.

What pressures had been accumulating?

Which variables had been gaining influence?

Which ones had been losing it?

What behaviours had become normal?

What feedback loops had been strengthening?

Because by the time the visible event arrives, the system may already have travelled a very long way.

Back to capability and pressure

And this brings me back to where the thought started.

Don’t doubt the capability.

Look at the pressure.

Capabilities matter, but capabilities alone don’t determine outcomes. The people inside a system operate through incomplete models. Their beliefs influence their actions. Their actions alter the system. The altered system changes their future incentives, perceptions and pressures. Repeated behaviours become norms. Norms become institutions. Institutions shape the environment. The environment shapes the next generation.

The loop continues.

Over a long enough period, these interacting loops produce things we give names to: culture, society, institutions, civilization and history.

None of them necessarily requires a central intelligence. The system can learn without anyone knowing exactly what it has learned. It can adapt without knowing what it is adapting toward. It can remain within some broad boundaries without knowing where those boundaries are. It can overshoot, correct, reorganise and continue.

And perhaps sometimes it can no longer continue in its existing form.

I am not sure where this thought ultimately leads. Maybe it is simply a useful way of looking at systems. But it has changed the question I find myself asking.

Instead of asking only what a system is capable of doing, I find myself asking what the system is continuously being pushed to do.

And which of those pressures are becoming stronger over time?

Because perhaps that tells us less about what a system is today, and more about what it is becoming.