That said, “nice to most people but terrible to a few” is an archetype that exists.
Honestly, this is close to my default expectation. I don’t expect everyone to be terrible to a few people, but I do expect there to be some class of people I’d be nice to that they’d be pretty nasty towards.
EDIT 2: Did you mean that there are advantages to having both courage and caution, so you can’t have a machine that has maximal courage and maximal caution? That’s true, but you can probably still make pareto improvements over humans in terms of courage and caution.
Would changing “increase” to “optimize” fix your objection? Also, I don’t see how your first paragraph contradicts the first quoted sentence.
I don’t know how the second sentence leads to the first. Why should a decrease in -X lead to less success? Moreover, claims of mathematical impossibility are often over-stated.
As for the paragraph after, it seems like it assumes current traits being on some sort of pareto frontier of economic-fitness. (And, perhaps, an assumption of adequate equilibria). But I don’t see why that’d be true. Like, I know of people who are more diligent than me, more intelligent, have lower discount rates etc. And they are indeed successful. EDIT: AFAICT, there’s a tonne of frictions and barriers, which weaken the force of the economic argument I think you’re making here.