# Signaling

- Signaling is [a method of conveying information among not-necessarily-trustworthy parties by performing an action which is more likely or less costly if the information is true than if it is not true](https://www.lesswrong.com/posts/KheBaeW8Pi7LwewoF/what-is-signaling-really). Because signals are often costly, they can sometimes lead to a depressing waste of resources, but in other cases they may be the only way to believably convey important information.
- Most of our everyday actions can be traced back to some form of signaling or status seeking.
  - A classic example of this would be a luxury watch: A Rolex isn't better at telling the time than a cheap Casio – but a Rolex signals something about its owner's economic power and thus their social standing.
  - When signaling, the more expensive and useless the item is, the more effective it is as a signal. Although eyeglasses are expensive, they're a poor way to signal wealth because they're very useful; a person might get them not because they are very rich but because they really need glasses. On the other hand, a large diamond is an excellent signal; no one needs a large diamond, so anybody who gets one anyway must have money to burn.
- Our brains deliberately hide this fact from us and others (self deception). Be [[Mindfulness|mindful]] of your actions.
- [Signaling can be broken down into different components](https://julian.digital/2020/03/28/signaling-as-a-service/):
  - Signal Message: This is whatever (hidden) subtext you are trying to convey.
  - Signal Distribution: The method of distributing the signal message.
  - Signal Amplification: How do you make sure your message stand out?
- Software perfectly complements physical goods by distributing their signal messages at scale. Maximizing scale, however, prevents it from monetizing said distribution. This is why [[Social Media Issues|social media]]  services are free to use. The added signaling value is solely captured by the physical products that are being shared.