Source: “It’s Not A Game When It’s Real-Life” – China’s Social Credit System | Zero Hedge
In an attempt to imbue trust,Ā China has announced a plan to implement a national ranking system for its citizens and companies. Currently in pilot mode,Ā the new system will be rolled out in 2020,Ā and go through numerous iterations before becoming official.
While the system may be a useful tool for China to manage its growingĀ 1.4 billionĀ population,Ā Visual Capitalist’s Katie Jones notesĀ that it hasĀ triggered global concerns around the ethics of big data, and whether the system is a breach of fundamental human rights.
Todayās infographic looks at how Chinaās proposed social credit system could work, and what the implications might be.
The Government is Always Watching
Currently, the pilot system varies from place to place, whereas the new system is envisioned as a unified system. Although the pilot program may be more of an experiment than a precursor, it gives a good indication of what to expect.
In the pilot system, each citizen is assignedĀ 1,000 pointsĀ and is consistently monitored and rated on how they behave. Points are earned through good deeds, and lost for bad behavior.Ā Users increase points by donating blood or money, praising the government on social media, and helping the poor. Rewards for such behavior can range from getting a promotion at work fast-tracked, to receiving priority status for childrenās school admissions.
In contrast, not visiting oneās aging parents regularly, spreading rumors on the internet, and cheating in online games are considered antisocial behaviors. Punishments include public shaming, exclusion from booking flights or train tickets, and restricted access to public services.
Big Data Goes Right to the Source
The perpetual surveillance that comes with the new system is expected to draw on huge amounts of data from a variety of traditional and digital sources.
Police officers have usedĀ AI-powered smart glassesĀ andĀ dronesĀ to effectively monitor citizens. Footage from these devices showing antisocial behavior can be broadcast to the public to shame the offenders, and deter others from behaving similarly.
For more serious offenders, some cities in China force people to repay debts by switching the personāsĀ ringtoneĀ without their permission. The ringtone begins with the sound of a police siren, followed by a message such as:
āThe person you are calling has been listed as a discredited person by the local court. Please urge this person to fulfill his or her legal obligations.ā
Two of the largest companies in China,Ā TencentĀ andĀ Alibaba, were enlisted by the Peopleās Bank of China to play an important role in the credit system, raising the issue of third-party data security.Ā WeChatāChinaās largest social media platform, owned by Tencentātracked behavior and ranked users accordingly, while displaying their location in real-time.
Following data concerns, these tech companiesāand six othersāwereĀ not awardedĀ any licenses by the government. However, social media giants are still involved in orchestrating the public shaming of citizens who misbehave.
The Digital Dangāan
The social credit system may not be an entirely new initiative in China. TheĀ dangāanĀ (English:Ā record) is a paper file containing an individualās school reports, information on physical characteristics, employment records, and photographs.
These dossiers, which were first used in the Maoist years, helped the government in maintaining control of its citizens.Ā This gathering of citizenās data for Chinaās social credit system may in fact be seen as a revival of the principle of dangāan in the digital era, with the system providing a powerful tool to monitor citizens whose data is more difficult to capture.
Is the System Working?
In 2018, people with a low score were prohibited from buying plane tickets almostĀ 18 millionĀ times, while high-speed train ticket transactions were blockedĀ 5.5 million times. A furtherĀ 128 peopleĀ were prohibited from leaving China, due to unpaid taxes.
The system could have major implications for foreign business practicesāas preference could be given to companies already ranked in the system. Companies with higher scores will be rewarded with incentives which includeĀ lower tax ratesĀ andĀ better credit conditions, with their behavior being judged in areas such as:
- Paid taxes
- Customs regulation
- Environmental protection
Despite the complexities of gathering vast amounts of data, the system is certainly making an impact. While there are benefits to having a standardized scoring system, and encouraging positive behaviorāwill it be worth the social cost of gamifying human life?
