It may be possible to rescue the word "signal", but it's going to take an equally evocative word that covers what people think they mean by "signal".
The biological term is "mimicry", and it fits quite well. A mimic is a "false signaler" that relies on the fact that most signalers in its environment aren't false or that signal verification is costly, and therefore signal receivers are statistically better off trusting a signal than they are attempting to verify it. Mimicry only works within an environment where there is an honest signaller (which is called the mimic's "model"), since the strategy causes the signal to become more noisy.
Note that biologists still consider mimicry to be a form of signaling, so they don't seem to share the idea that a signal has to be honest.
But if we want to continue to use the term "signaling" and be specific about what kind of signaling we're talking about, the biological metaphor seems particularly fertile. Accurate phrasing would look something like:
Managers will take actions that actively harm the continued progress of the project if that action makes them look "decisive" and "in charge". I've seen this on many projects I've been on, and it took me a while to realize that my managers weren't stupid or ignorant. It's just that the organization I was working in put a higher priority on process than on results. My managers, therefore quite rationally did things that maximized their apparent value in the eyes of their bosses, even if it meant that the project (and, as a result) the entire organization was hurt.
"Managers who are unnecessarily hostile to their subordinates are attempting to mimic a recognized signal (dominance) of good leadership."
Ultimately, what we seem to be talking about is what happens when a signal gets de-coupled from what it signifies, and an optimization process begins to exploit that decoupling. If your current priors have come to associate signal "a" with fact A, and I want you to believe A about me, it's in my interest to send signal "a" whether or not A happens to be true about me.
[edited for clarity]
"Managers who are unnecessarily hostile to their subordinates are attempting to mimic a recognized dominance signal."
That isn't true (or at least doesn't follow). It isn't mimicry to actually dominate when that domination hurts oneself (or a particular goal). It's just a signalling behavior that happens to be counterproductive to some goal.
The word 'signalling' is often used in Less Wrong, and often used wrongly. This post is intended to call out our community on its wrongful use, as well as serve as an introduction to the correct concept of signalling as contrast.
Why do peacocks grow such large, conspicuous tails? Why do people take degrees in subjects like Philosophy or Classics, despite these subjects having no obvious practical value? Why do people take pains to avoid splitting infinitives, even though everyone can understand split infinitives perfectly well?
These activities seem completely pointless, costly and difficult. Paradoxically, it is probably this very difficulty that serves to explain why they are done at all. Take the peacock’s tail. A peacock that has to struggle to survive while dragging around a conspicuous tail is clearly at a disadvantage. But if he can continue to survive, then clearly he must be pretty strong! So the peahens may choose to mate with him rather than the peacocks with less conspicuous tails, whose survival is thus a less impressive feat.
As for classics, getting a degree in classics may be pointless, but it’s also difficult. It requires one to read and memorize vast chunks of text, and to translate these texts between Greek, Latin and English precisely. So a person who has a degree in classics and got a good mark must be a person with a good memory who is able to execute tasks precisely. Qualities extremely useful in a civil servant, the occupation where many budding classicists find themselves. The rule that you mustn't split infinitives derives from Latin where splitting infinitives was impossible. So a person who doesn’t split infinitives is more likely to be a Latin scholar, with the qualities of class and intelligence that such a thing implies.
Even the decision to go to the moon might be explained in this way. Carl Sagan made the point that a rocket capable of going to the moon is certainly capable of reaching Moscow. And it’s clear why Kennedy in the middle of a Cold War would want to demonstrate such a thing.
When we explain a behaviour in this way, we say that the behaviour is signalling. The agent does not perform a task for its own sake, but to show others that they possess some important quality such as strength, a good memory, or military supremacy. The key features that a behaviour must possess for signalling to be a good explanation are as follows.
Unfortunately, not all proposed explanations involving the word "signalling" take care to establish these four properties. Our community seems especially guilty of this. The main misunderstanding is that it uses ‘signalling’ merely to denote behaviours that trick rubes in to thinking you’re good. This raises the question of why there are rubes to trick in the first place. Why haven’t more savvy competitors eaten their lunch? Here is an example of someone thinking that you can signal to rubes:
Here the rube is the managers bosses, why are they so stupid as to think that mismanagement is evidence of superior management qualities? Why haven’t these idiots been sacked? (This probably does occur in real life, but I don’t think "signalling" is the right term to describe it. I would describe it as "pandering to the prejudices of idiots".)
Another comment which falls in to the same trap:
The trouble here is that it postulates stupid customers, just like the previous comment postulated stupid bosses. A much better test of butcher quality than flashiness is how good the meat tastes and how much is produced. An intelligent customer can probably test this fairly easily, and would not buy meat from the flashy butcher.
These uses of "signalling" at least have the advantage that they’re explanations along economic lines. The difference between signalling and pandering is the intelligence of your audience. What’s worse is that some people in our community use the word "signal" to mean "show" or "pretend".
An example:
A low status person that knows what they’re talking about? I suppose such things are possible... Seriously though, "signalling" is being used to mean "tricking people in to thinking that you are". Either you know what you’re talking about or you don’t. At least one of the two options given in the quote will result in you trying to trick someone. We’re signalling to rubes again.
Worst of all, some people use "signalling" as a version of ad hominem. "You just say that to signal." A comment to Overcoming Bias’s controversial post "Gentle, Silent Rape" reads:
Let’s go through the criteria again:
This clearly doesn’t apply. The behaviour is easily explicable. Comments might be made out of genuine disagreement, or (more cynically) to intimidate Hanson and others away from making arguments like these in the future.
The quality proposed was "status", but outrage is cheap. Any fool can be outraged at a blog post mentioning rape. It doesn’t require exceptional intelligence, charisma, wealth, or feminist credentials. You could be homeless and leave an outraged comment just by going to a public library. You don’t even have to read the post.
Well this seemingly applies. People do want to be thought of as being against rape, and high status. The only trouble is that many of the comments are left anonymously.
This does not apply at all. Even a convicted rapist could leave an outraged comment.
Clear thinking requires making distinctions. Using the word "signalling" to mean "pandering", "tricking people", "showing", or "toeing the party line" does nothing but lead to confusion and muddle. If you’re going to use jargon, use it in its precise sense. That’s what is jargon is for, communicating precisely. Next time you feel like using the word "signalling", ask yourself whether the four criteria apply. Remember: You can’t signal to rubes.