The 3+1 Structure of Goodhart's Law: From Metric Collapse to Invisible Value Destruction

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Authors: Franny Philos Sophia
Cited by: 0

Abstract

Goodhart's Law—"When a measure becomes a target, it ceases to be a good measure"—describes apervasive failure of proxy-based optimization across economics, public policy, and AI alignment.Existing formalizations either classify failure modes qualitatively (Manheim & Garrabrant, 2018) oranalyze tail distributions in static settings (El-Mhamdi & Hoang, 2024). This paper introduces adynamical formalization using the Landau-Stuart equation, treating the amplitude of proxy-goaldivergence as an order parameter undergoing a phase transition driven by optimization pressure. Thelinear growth rate σ(α) captures the onset of metric collapse: when optimization pressure α exceedsa critical threshold αc, the zero-divergence equilibrium becomes unstable and proxy-goal divergencegrows to a finite amplitude. We show that three of the four Manheim-Garrabrantcategories—Regressional, Extremal, and Adversarial Goodhart—correspond to distinct mechanismsdriving σ positive, while Causal Goodhart is structurally distinct, requiring Pearl's do-calculus ratherthan dynamical analysis. This 3+1 decomposition reflects two fundamentally different failuremodes: distributional failure under selection (amenable to Landau-Stuart dynamics) versusstructural failure under intervention (requiring causal inference). The framework yields acomputable Goodhart Number, connects to the theory of Invisible Value Destruction (Sophia,2026a), and provides concrete diagnostic criteria for AI alignment and institutional design.

Fields of Study & Subjects

Complex Systems and Decision Making Economic Theory and Institutions Public Policy and Administration Research

Publication details

Journal / source
Zenodo (CERN European Organization for Nuclear Research)
Publication date
8 March 2026
Language
EN
Document type
Preprint