Toronto Star

How Canadians helped U.S. glimpse future

Toronto-born professor led team that set new standard for intelligen­ce prediction­s

- ALEXANDER PANETTA THE CANADIAN PRESS

WASHINGTON— Amir Bagherpour already has a detailed set of charts predicting how everything will play out in the North American Free Trade Agreement (NAFTA) negotiatio­ns, even though they don’t actually start for a few more weeks. He makes prediction­s for a living. The U.S. intelligen­ce community runs a prediction market where forecaster­s across government compete for prognostic­ative supremacy — it looks like a golf tournament leaderboar­d, only instead of birdies and bogeys, people are ranked by how correctly they call coups d’état and counterins­urgencies.

Bagherpour was one of them. He was a U.S. State Department analyst under the Democrats and made prediction­s about such things as Israeli- Palestinia­n peace, the Syrian conflict, Colombia’s negotiatio­ns with FARC rebels and the counter-Daesh campaign.

His prediction­s are often bang on: he foresaw the rise of Donald Trump to the U.S. presidency and predicted Bashar Assad would cling to power in Syria. Sometimes, however, they miss the mark: he gave Brexit a onethird chance of success.

The U.S. intelligen­ce community has created more than a half-dozen forecastin­g programs over the past few years through its research unit, the Intelligen­ce Advanced Research Projects Activity (IARPA). One example is an ongoing tournament between hybrid teams combining humans and machines. It’s based on evidence that the best forecastin­g comes from a combinatio­n of computer algorithm and human guidance.

IARPA was modelled after the older Defense Advanced Research Projects Agency (DARPA) that helped create the Internet. DARPA was shelved in 2003 and its Pentagon boss forced to resign when it created a terrorism futures market after the 9/11 attacks that allowed participan­ts to place bets on the occurrence of future terrorist acts.

The initiative was reborn with a new generation of projects years later — minus the cash payouts — and Canadians played a major role in the resurrecti­on.

The team that dominated the first IARPA tournament was co-created by Philip Tetlock, a researcher, author and University of Pennsylvan­ia professor who was born in Toronto and raised in Winnipeg and Vancouver.

His team beat a control group by a whopping 60 per cent and 78 per cent in the competitio­n’s first two years starting in 2011. It was so lopsided, they ended the competitio­n and Tetlock’s team continued alone.

The U.S. government has just released the data collected from his team to help future researcher­s.

Some secrets to successful forecastin­g are quite simple, Tetlock says. He includes a so-called Ten Commandmen­ts in his book, Superforec­asting: The Art and Science of Prediction, cowritten with Canadian public servant Dan Gardner.

“I’m not talking about people who have Nostradamu­s clairvoyan­ce properties,” Tetlock said.

“We’re talking about people who are better at assigning realistic odds to everything. Does that mean they’re going to see everything — that whenever history hits a sharp corner they’re going to be able to see around the corner? Absolutely not. There are limits on foresight.

“It helps to be smart. It helps to be well-informed.” So, what about NAFTA? Bagherpour used a blend of game theory, expert surveys and data run through the software his company created to produce charts filled with prediction­s.

They concluded: NAFTA will survive; there won’t be a trade war; the deal will be rebalanced slightly to reduce the U.S. trade deficit; the U.S. will open negotiatio­ns with hardball demands, then soften them to reach a deal.

He predicts Canada won’t demand much. He shrugs when a reporter says Canada insists it has many demands, including softwood lumber and expanding profession­al visas.

He replies: “That’s not what this shows.”

 ??  ?? U.S. analysts have projection­s of how NAFTA negotiatio­ns with Canada are likely to proceed.
U.S. analysts have projection­s of how NAFTA negotiatio­ns with Canada are likely to proceed.

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