RANDOM MUSINGS FROM THE TOP OF THE HILL

9/24/2011

ALGORITHM

I've heard talk about algorithms in the news twice this week and thought I should throw my two cents worth in.  Here goes.

It is pronounced like Al-Gore-rhythm.  Those of you who thought it had to do with the ex-vice president's dancing style go to the back of the line.  An algorithm is a set of rules.  It can get very complicated with many, many rules involved in one algorithm.  Basically, the algorithm says "if this is done, then do this."

Congress has the Google Corporation on the witness stand in conjunction with a probe into whether they have violated anti-trust laws.  Google, you see, has about 75% of the Internet search engine business.  They make a lot of money because of that.  Google says it is because the are smart; not because they use predatory business practices.  Google doesn't want to tell anyone how they do it because divulging their algorithms would give away their trade secrets.  You see, every time you search for something on the Internet, the search engine decides which answers you should see first, second and so forth and also which ads might accompany the answers.  This is all based on their algorithms.  The search engine takes into account what it knows about you or your computer and matches it up to whatever you requested in the search box.  What comes up could be different for someone else who put in the same information request from a different location with a different history at a different time of the day.

The other time you might hear the word is in relation to the stock market.  Big market players load algorithms into their computer to tell it when to buy and sell stocks.  If you hear that the market went down or up because of computerized or electronic programs, think of algorithms.  Financial people want to make things happen quickly to get a jump on their competitors.  During business hours, the market is in a state of constant fluctuation so they load algorithms into their computers to signal when to make a move or to actually make the move for them. 

Your brain works by means of algorithms all the time.  It solves little problems and makes decisions based on algorithms you have planted there.  And now, you have a new subject to talk about at the dinner table or the next cocktail party.  Algorithms are controlling the world!
:-)

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