I know this isn’t the point, but I object to the quote at the beginning of your post. Maybe it’s just because I’m one of “those who don’t live in that place,” but what about people who are optimizing for something other than their career? Is that really such a big “exception?” Or am I taking the quote out of context, or does he think those people are optimizing for the wrong things, or what?
Some examples of alternative things one may be optimizing for when selecting where to live:
A significant other’s career (or an area compatible with both people’s careers)
Being near family or friends
Convenient access to specific hobbies
The weather
What I think Hastings is getting at is that if we observe someone doing things that seem evil, we generally assume that inside their own world view they think what they’re doing is actually good. This assumption is because we have a “strong prior” that nobody is just willingly evil on purpose.
But if that assumption is too stong (a “locked prior”) it makes us vulnerable if we ever do encounter someone who’s just evil on purpose and knows it.
Personally I think Soryu is probably a case where he believes what he’s doing is good, but I think Hastings is cautioning against making that assumption too strongly in all cases.