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About the Author
Table of ContentsA Note for Readers xv
1 Overview 1
PART I THE SCIENCE OF TRUST 15
2 A Natural History of Security 17
3 The Evolution of Cooperation 27
4 A Social History of Trust 41
5 Societal Dilemmas 51
PART II A MODEL OF TRUST 61
6 Societal Pressures 63
7 Moral Pressures 75
8 Reputational Pressures 87
9 Institutional Pressures 103
10 Security Systems 123
PART III THE REAL WORLD 137
11 Competing Interests 139
12 Organizations 155
13 Corporations 173
14 Institutions 195
PART IV CONCLUSIONS 205
15 How Societal Pressures Fail 207
16 Technological Advances 225
17 The Future 243
What People are Saying About This
ADVANCE PRAISE FOR LIARS AND OUTLIERS
"A rich, insightfully fresh take on what security reallymeans!"—DAVID ROPEIK, Author of How Risky is it,Really?
"Schneier has accomplished a spectacular tour de force: anenthralling ride through history, economics, and psychology,searching for the meanings of trust and security. A mustread."—ALESSANDRO ACQUISTI, Associate Professor ofInformation Systems and Public Policy at the Heinz College,Carnegie Mellon University
"Liars and Outliers offers a major contribution to theunderstandability of these issues, and has the potential to helpreaders cope with the ever-increasing risks to which we are beingexposed. It is well written and delightful to read."—PETER G. NEUMANN, Principal Scientist in the SRIInternational Computer Science Laboratory
"Whether it's banks versus robbers, Hollywood versusdownloaders, or even the Iranian secret police against democracyactivists, security is often a dynamic struggle between a majoritywho want to impose their will, and a minority who want to push theboundaries. Liars and Outliers will change how you thinkabout conflict, our security, and even who we are."—ROSS ANDERSON, Professor of Security Engineering atCambridge University and author of Security Engineering
"Readers of Bruce Schneier's Liars and Outliers willbetter understand technology and its consequences and become moremature practitioners."—PABLO G. MOLINA, Professor of Technology Management,Georgetown University
"Liars & Outliers is not just a book aboutsecurity—it is the book about it. Schneier shows that thepower of humour can be harnessed to explore even a serious subjectsuch as security. A great read!"—FRANK FUREDI, author of On Tolerance: A Defence ofMoral Independence
"This fascinating book gives an insightful and convincingframework for understanding security and trust."—JEFF YAN, Founding Research Director, Center forCybercrime and Computer Security, Newcastle University
"By analyzing the moving parts and interrelationships amongsecurity, trust, and society, Schneier has identifi ed criticalpatterns, pressures, levers, and security holes within society.Clearly written, thoroughly interdisciplinary, and always smart,Liars and Outliers provides great insight into resolvingsociety's various dilemmas."—JERRY KANG, Professor of Law, UCLA
"By keeping the social dimension of trust and security in thecenter of his analysis, Schneier breaks new ground with an approachthat both theoretically grounded and practically applicable."—JONATHAN ZITTRAIN, Professor of Law and ComputerScience, Harvard University and author of The Future of theInternet—And How to Stop It
"Eye opening. Bruce Schneier provides a perspective you need tounderstand today’s world."—STEVEN A. LEBLANC, Director of Collections, HarvardUniversity and author of Constant Battles: Why We Fight
"An outstanding investigation of the importance of trust inholding society together and promoting progress. Liars andOutliers provides valuable new insights into security andeconomics."—ANDREW ODLYZKO, Professor, School of Mathematics,University of Minnesota
"What Schneier has to say about trust—andbetrayal—lays a groundwork for greater understanding of humaninstitutions. This is an essential exploration as society grows insize and complexity."—JIM HARPER, Director of Information Policy Studies,CATO Institute and author of Identity Crisis: How Identificationis Overused and Misunderstood
"Society runs on trust. Liars and Outliers explains thetrust gaps we must fill to help society run even better."—M. ERIC JOHNSON, Director, Glassmeyer/McNamee Centerfor Digital Strategies, Tuck School of Business at DartmouthCollege
"An intellectually exhilarating and compulsively readableanalysis of the subtle dialectic between cooperation and defectionin human society. Intellectually rigorous and yet written in alively, conversational style, Liars and Outliers will changethe way you see the world."—DAVID LIVINGSTONE SMITH, author of Less ThanHuman: Why We Demean, Enslave, and Exterminate Others
"Schneier tackles trust head on, bringing all his intellect anda huge amount of research to bear. The best thing about this book,though, is that it's great fun to read."—ANDREW MCAFEE, Principal Research Scientist, MITCenter for Digital Business and co-author of Race Against theMachine
"Bruce Schneier is our leading expert in security. But his bookis about much more than reducing risk. It is a fascinating,thought-provoking treatise about humanity and society and how weinteract in the game called life."—JEFF JARVIS, author of Public Parts: How Sharingin the Digital Age Improves the Way We Work and Live
"Both accessible and thought provoking, Liars andOutliers invites readers to move beyond fears and anxietiesabout security in modern life to understand the role of everydaypeople in creating a healthy society. This is a must-read!"—DANAH BOYD, Research Assistant Professor in Media,Culture, and Communication at New York University
"Trust is the sine qua non of the networked age and trust ispredicated on security. Bruce Schneier’s expansive andreadable work is rich with insights that can help us make ourshrinking world a better one."—DON TAPSCOTT, co-author of Macrowikinomics:Rebooting Businessand the World
"An engaging and wide-ranging rumination on what makes societyclick. Highly recommended."—JOHN MUELLER, author of Overblown: How Politiciansand the Terrorism Industry Inflate National Security Threats, andWhy We Believe Them
Liars and Outliers Q&A
Q: In your book, Liars and Outliers, you write, "Trust and cooperation are the first problems we had to solve before we could become a social speciesbut in the 21st century, they have become the most important problems we need to solve again." What do you mean by trust?
A: That's is the right question to ask, since there are many different definitions of trust floating around. The trust I am writing about isn't personal, it's societal. By my definition, when we trust a person, an institution, or a system, we trust they will behave as we expect them to. It's more consistency or predictability than intimacy.
And if you think about it, this is exactly the sort of trust our complex society runs on. I trust airline pilots, hotel clerks, ATMs, restaurant kitchens, and the company that built the computer I'm writing these answers on.
Q: What makes people trustworthy?
A: That's the key question the book tackles. Most people are naturally trustworthy, but some are not. There are hotel clerks who will steal your credit card information. There are ATMs that have been hacked by criminals. Some restaurant kitchens serve tainted food. There was even an airline pilot who deliberately crashed his Boeing 767 into the Atlantic Ocean in 1999. Given that there are people who are naturally inclined to be untrustworthy, how does society keep their damage to a minimum? We use what I call societal pressures: morals and reputation are two, laws are another, and security systems are a fourth. Basically, it's all coercion. We coerce people into behaving in a trustworthy manner because society will fall apart if they don't.
Q: But even with all of that, not everyone is trustworthy.
A: Exactly. No society is 100% trustworthy. The trick is to ensure that the minority of people who cheat, steal, or otherwise break the rules don't ruin everything for everyone. Take theft as an example. Our society requires that everyone respect the property rights of others. We need the rate of theft in society to be small enough so that we all basically trust each other. If the rate of theft gets too high, we might implement more societal pressures such as increased police protection and better locks on our doors. If the rate of theft gets very low, we might stop worrying about locking our doors. But no matter what we do, we'll never get the rate of theft down to zero.
Q: So it's a constant back and forth between the criminals and society.
A: Exactly. Criminals figure out new ways to steal things, and society has to respond with new ways of protecting property. This dynamic is especially important in periods of rapid technological change, like today. Technological advancements, particularly around the Internet, are changing the ways people can behave contrary to society's rules. Society needs to be nimble in defense, otherwise the untrustworthy will do too much damage.
Q: What makes Liars and Outliers so relevant in today's society?
A: As our systemswhether social systems like Facebook or political systems like Congressget more complex, the destructive potential of defectors becomes greater. To use another term from the book, the scope of defection increases with more technology. This means that the societal pressures we traditionally put in place to limit defections no longer work, and we need to rethink security. It's easy to see this in terms of terrorism: one of the reasons terrorists are so scary today is that they can do more damage to society than the terrorists of 20 years ago couldand future technological developments will make the terrorists of 20 years from now scarier still.
Q: What do you hope readers will take away from reading Liars and Outliers?
A: I can do no better than quote from the first chapter: "This book represents my attempt to develop a full-fledged theory of coercion and how it enables compliance and trust within groups. My goal is to rephrase some of those questions and provide a new framework for analysis. I offer new perspectives, and a broader spectrum of what's possible. Perspectives frame thinking, and sometimes asking new questions is the catalyst to greater understanding. It's my hope that this book can give people an illuminating new framework with which to help understand the world."