We are developing the social individualist meta-context for the future. From the very serious to the extremely frivolous... lets see what is on the mind of the Samizdata people.

Samizdata, derived from Samizdat /n. - a system of clandestine publication of banned literature in the USSR [Russ.,= self-publishing house]

Freedom of expression must be non-negotiable

Flemming Rose, an editor from Denmark’s largest newspaper, Jyllands-Posten, reacted to news that Danish cartoonists were too afraid of Muslim militants to illustrate a new children’s biography of the Prophet Muhammad, by doing exactly that, putting Denmark’s policies of tolerance to the test by commissioning a series of illustrations of Muhammad.

In response thousands of Muslims in Denmark marched in protest demanding the newspaper be “punished”, though interestingly an Iranian woman, Nasim Rahnama, has organised counter-protests in support of the editor, managing to secure one hundred and fifty signatures affirming freedom of expression.

As I have mentioned before, when I see more people like the commendable Nasim Rahnama taking a stand then I may conclude that things are improving and perhaps modern Islam is not a blight on any tolerant society it comes into contact with. But as it stands, clearly it is the ignorant bigots who can put the largest mobs on the streets and that is why the actions of editor Flemming Rose need to be strongly applauded. It is hard to overstate the importance of confronting intolerant Islam on a cultural as well as a political level.

So when Muslim scholars attack the newspaper for its cartoons:

Lawyer and author Shirin Ebadi, who received the Nobel peace prize in 2003 for her fight for human rights and democracy in Iran, told daily newspaper Jyllands-Posten that its decision to call for and print twelve caricatures of the Muslim prophet might have been a well-intentioned attempt to prompt a dialogue on democracy between Muslims and non-Muslims in Denmark. The effect, however, had been the opposite, and in fact risked harming democracy’s cause in Islamic countries.
‘I would like to stress that I do not personally have any problems with cartoons like these,’ said Ebadi, who is a devout Muslim. ‘The problem is the way the subject is approached. It splits more than it unites.’

But that is exactly the point: it is intended to ‘split’ rather than ‘unite’ and the importance of unity is vastly overrated. No one who values tolerant pluralistic western values should be seeking some sort of compromise with bigotry. There should be no attempt to ‘unite’ with the people who marched in Denmark demanding the government ‘punish’ Jyllands-Posten, in fact they must be confronted.

And please, the scholar is making a category error because it has nothing to do with ‘democracy’. Even if a democratic majority do not want to see cartoons of the Prophet Muhammad appear in the newspapers, it is still wrong to try and use the force of law to prevent it. Dislike the idea? Fine, do not buy the damn newspaper. The issue here is liberty and democracy is far from a synonym for that.

Jihad in Europe

I was about to make this a Samizdata quote of the day, but Scott got there first:

One way in which consensus opinion changes is when scattered individuals become aware that many others share their opinions.

That is our own Natalie Solent reflecting on some comments at the BBC.

Of which this was one, from Chadi Bou Habib of Beirut:

I lived in France for 8 years and I have never understood why the “youths” deal with “social problems” only through riots. Until one day, I was admitted in a meeting of a so-called “cultural association” subsidized by the local council. A Muslim “brother” talked for about an hour on the difference between “us” and “them”, to conclude that whatever we do to “them” is of god’s will, a kind of Jihad. Well, the French authorities should start inquiring on the kind of “culture” they are subsidizing.

Meanwhile, Mark Steyn has this to say about Prince Charles and his ill-timed efforts to get the Americans to stop being beastly to the Muslims:

Having followed the last Prince of Wales in his taste for older divorc&eacutees, His Royal Highness seems to be emulating Edward VIII on the geopolitical front, too, and carelessly aligning himself with the wrong side on the central challenge of the age.

Although, there is one thing to be said in favour of appeasement, which is that it does allow everyone to grope their way towards approximate agreement about the nature of the enemy, based on what actually is the nature of the enemy, rather than on wishful fantasies.

Nicolas Sarkozy has threatened rioters with prison sentences. But this evening a BBC TV reporter ended his report from riotous Paris by saying that the Muslim Parisians who have been chucking bricks at the gendarmerie and torching cars say that the cause of the rioting is Nicolas Sarkozy with his hostile and unfeeling attitude, and that he should say he is sorry.

Quite so. The cheek of the man. Anyone would think that those rioters were breaking the law.

I guess Chadi Bou Habib has a bit more commenting to do.

Trafalgar Day

Just to remind everyone that today is a rather special Trafalgar Day.

Nicely done, Horatio.

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A new Marshall Plan for Belgium?

Drieu Godefridi, the Director of the Institut Hayek, looks at plans for a “new Marshall Plan” for a region of Belgium with incredulity

Politicians in Wallonia, the southern part of Belgium, think their region needs “a new Marshall Plan”. Excuse me? The Marshall Plan was designed to help Europe rise from the ashes of World War II. Surely there has not been any war in Belgium since then. So what is the point?

This plan would benefit the socialists who govern Wallonia by helping their lagging economy to recover. But to recover from what? Basically, from sixty years of socialist governance.

Truth be told, Wallonia does need an urgent boost to its economy. With an unemployment rate of 18% and almost nil growth for years, Wallonia is now on the verge of being outclassed by Poland and Slovakia, countries that started from zero in terms of their economies just 15 years ago.

This “Marshall Plan” consists of massive public investments in some parts of the Walloon economy duly selected by the government. But it will not work any better than other plans the socialists have come up with over the last three decades. (Some years ago, the same socialists said that one of their plans at that time would turn Wallonia into a “Wallifornia”).

What is comforting to learn is that the main goal of the Walloon government is now to encourage the creation of new businesses and to help to develop existing ones.

But these socialists need to understand that the creation and growth of companies are not only a question of political will. For businesses to be created and to grow, some basic conditions have to be put in place.

Probably the most important two conditions sine qua non for economic vitality currently do not exist in Wallonia: reasonable taxes and a reasonable level of regulation.

Belgian taxes are among the highest in the world, second only to France. Not every tax can be lowered by the Walloon government, but many of them could be. Unfortunately, Walloon politicians do not seem to understand the link between low taxes and economic prosperity. The Cour d’arbitrage, Belgium’s Supreme Court, recently struck down a Wallon law raising the rate of the inheritance tax at 90%.

The amount of regulation in Wallonia is ridiculously high. In every jurisdiction that it has inherited from the Belgian federal state, be it urbanism or environment, the Walloon Parliament and government have enacted several new regulations to restrict business, often developing new controls in new areas. The idea that the burden of such regulations should be measured, and compared with their merits, is foreign to the socialist elites.

That the politicians of French-speaking Belgium understand the need to create new businesses for their economy to thrive is good news. But to expect that anything like would happen without a plan that entails the drastic lowering of taxes and the abrogation of complete areas of nonsensical environmental and city planning regulations? That is just another Belgian joke.

“Murdered by such a loser, such an incoherent person”

Peak Talk has the perfect summation of the tragic affair of the murder of Dutch film maker Theo Van Gogh by a Muslim fanatic.

Austrian horror stories

To kill one baby may be accounted carelessness, but to kill four . . .

Here is a classic gruesome shock horror well-I-never what’s-the-world-coming-to? story from timesonline. The headline says it all:

Mother hid dead babies in the freezer

Who says they don’t write headlines like that any more? They wrote that one today. No wonder Europe has a demographic crisis on its hands. These people really do not like to have children, do they?

To be more geographically selective, what is Austria coming to? To me Austria has long been a rather sinister place. It is one of the two national bits at the heart of Nazism, but unlike the other bit, Germany, it has never properly apologised. (Germany has never stopped apologising.) Very pretty waltzes, I agree. Nevertheless, Austria is, you might say, Japan on the Danube. Hitler, remember, was Austrian, and he incubated a lot of his worst ideas when living in Vienna. If only he had been frozen at birth. More recently we have had to share our planet with the creepy Kurt Waldheim.

On the other hand, I have only occasionally been to Austria, and have little first hand experience of its people. No doubt many of them are quite nice, and I do not just mean the Austrian economists.

This frozen baby thing happened in Graz.

Graz, a picturesque city of 250,000 lies 120 miles south of Vienna and is the birthplace of film actor turned California governor Arnold Schwarzenegger.

They do not spell it out, but the implication is clear. The baby freezing was Arnold’s fault! Along with most of the other Samizdatistas, I think Arnold is a good Austrian. However, according to this, Arnold invited Waldheim to his wedding, which I did not know until now. (Waldheim did not attend.) Nor do I know whether this means that Arnold is worse than I thought, or Waldheim better. Maybe it just shows that you get all sorts at weddings.

Delusional Europe and Authoritarian Britain

The fact that large numbers of French people are going to vote against the ghastly EU Constitution because it favours too much free trade and does not isolate Europe from competition even more than it already does is almost beyond parody. That most British people will (if given the chance) vote against it because it does quite the opposite just shows that the notion of having both nations as part of the same political structure is truly unsustainable.

Similarly the idea that some doctors could call for sharp pointed kitchen knives to be banned without being widely ridiculed in the press for being evil totalitarians indicates that Britain too has some grave social and intellectual deficiencies amongst the media classes. For all their bizarre political notions regarding that big-statist’s charter called the EU Constitution, it is hard to see the French trying to ban pointed kitchen knives from people’s homes.

So what will it take to snap people back to reality? Or is it just too damn late for that and the only thing left is to get the hell out and leave the lunatics in change of the asylum?

Maybe that is exactly what the US needs too, an influx of liberty seeking (or at least sanity seeking) folks from Europe who have seen the reality of what happened to a culture when it allows all the things the Democrats (and quite a few big-state Republicans) want to do in the USA. Who knows, if enough of them get citizenship they might be around in time to help make sure that Hillary only gets one term in office. Shudder.

The locust gambit failed

German Chancellor Gerhard Schroeder’s social democratic (SPD) party has been hit hard in regional elections over the weekend, with voter anger at his party over the crummy state of the economy overwhelming an attempt by some of his own party members to whip up a storm of anti-capitalist sentiment in order to cling to power. Good. I honestly don’t know whether we are seeing a transition phase in Germany towards sanity and liberal economics. What is clear is that a country that has suffered double-digit unemployment for more than half a decade cannot go on like this without dreadful strains on its social fabric. Maybe some of the more intelligent parts of the German political class might get this point. We need the once-mighty German economic machine, brought to such a pitch by the late great Konrad Adenauer and Ludwig Ehrhard (friend of Hayek) brought to a purring level of growth again. It is in no-body’s interests, least of all ours in Britain, to see that nation permanently in the doldrums.

There is a related article here about what has gone wrong in Germany here in the latest edition of the Spectator. As Glenn Reynolds likes to say, read the whole thing.

Feeling a little flat

On first viewing, my instinctive reaction would be to punch the air with triumphal joy:

Flat taxes, once a fantasy of free-market ideologues, are sweeping across the European Union and could be introduced in more than 10 of the bloc’s 25 member states.

The European commissioner for taxation, Laszlo Kovacs, described flat taxes, – one rate for all income and corporate taxation – as “absolutely legitimate” and said Western European nations may be tempted to adopt them. His comments will fuel debate that low-tax, low-cost economies of the East are undercutting Europe’s industrial heartland.

However, and in my experience, this needs a second viewing and even a third viewing.

First off, what they are sloppily referring to here is not ‘flat tax’ but actually ‘flat-rate tax’. The prospect of a flat tax (however remote) would most certainly have me breaking out the bubbly.

Secondly, let us assume that Mr. Kovacs and his posse somehow manage to persuade Western Europe’s nabobs to swallow this idea and go with the flow. I would not put it beyond them to agree to a flat-rate tax and then set the rate at 60%. The fate of politicians in Western Europe is decided almost entirely by their bloc-vote public-sector clients and they are not going to kick them in the teeth any time soon or at all.

Thirdly, there is no mention at all of what happens to the various extant reliefs and allowable deductions. A great deal of the complexity in the tax system results not from calculating the rates but negotiating the brain-fryingly difficult issues of the applicability of reliefs and the legitimacy of deductions. Hence, simply establishing a ‘flat-rate’ will not simplify the system to any material degree. Furthermore, it is only those reliefs and deductions which save many businesses and self-employed people from being bled white.

This could all turn into a lamentably hollow ‘victory’. I can easily see HMG apparently agreeing to a ‘flat-rate tax’ and even agreeing to set it at a reasonable level and, while we are all celebrating, promptly announce the abolition of all reliefs and deductions which would result in a great many people paying a lot more tax and not less.

No, I am not happy. Not yet anyway. There are far too many devils lurking in the detail.

Dead weight

One of the fables that socialists like to tell is how wonderful life is in their peoples’ paradises. From risible stories about how the Cuban people have world-class health care freely available to all and are 100% literate, to more plausible, but equally erroneous, tales about how our Scandinavian brethren manage to have a high standard of living, short work weeks, a benevolent welfare state, etc., these tales are inevitably spun by statists seeking to cast dust in the eyes of their more plebeian subjects the better to hide the failure of their grand schemes.

The received wisdom about economic life in the Nordic countries is easily summed up: people here are incomparably affluent, with all their needs met by an efficient welfare state.

Not so fast. Even in the notoriously socialist-freindly confines of the New York Times, hard economic truths have a way of making themselves felt eventually. What the Times has belatedly discovered about its beloved third way socialist-lite economies is that they are falling behind, shackled to the dead weight of the welfare state, the enervation it breeds, and the taxes it imposes.

All this was illuminated last year in a study by a Swedish research organization, Timbro, which compared the gross domestic products of the 15 European Union members (before the 2004 expansion) with those of the 50 American states and the District of Columbia. (Norway, not being a member of the union, was not included.)

After adjusting the figures for the different purchasing powers of the dollar and euro, the only European country whose economic output per person was greater than the United States average was the tiny tax haven of Luxembourg, which ranked third, just behind Delaware and slightly ahead of Connecticut.

The next European country on the list was Ireland, down at 41st place out of 66; Sweden was 14th from the bottom (after Alabama), followed by Oklahoma, and then Britain, France, Finland, Germany and Italy. The bottom three spots on the list went to Spain, Portugal and Greece.

Alternatively, the study found, if the E.U. was treated as a single American state, it would rank fifth from the bottom, topping only Arkansas, Montana, West Virginia and Mississippi.

While the private-consumption figure for the United States was $32,900 per person, the countries of Western Europe (again excepting Luxembourg, at $29,450) ranged between $13,850 and $23,500, with Norway at $18,350.

Faced with the undeniable economic reality that they have almost eaten their way through the economic seed corn laid up by their frugal ancestors, what do the current panjandrums of the welfare state do? Why, they lie, of course.

Meanwhile, the references to Norway as “the world’s richest country” keep on coming. An April 2 article in Dagsavisen, a major Oslo daily, asked: How is it that “in the world’s richest country we’re tearing down social services that were built up when Norway was much poorer?

Be a prostitute or have your benefit cut

Being a casual and undisciplined surfer of the net means that I often get guided towards stories right in front of me, and very late, by somewhat circuitous routes. For instance, I only got to this as a result of Harry Hutton linking to a James Lileks piece in the Washington Times. But never mind, I got there:

A 25-year-old waitress who turned down a job providing “sexual services” at a brothel in Berlin faces possible cuts to her unemployment benefit under laws introduced this year.

Prostitution was legalised in Germany just over two years ago and brothel owners – who must pay tax and employee health insurance – were granted access to official databases of jobseekers.

The waitress, an unemployed information technology professional, had said that she was willing to work in a bar at night and had worked in a cafe.

She received a letter from the job centre telling her that an employer was interested in her “profile” and that she should ring them. Only on doing so did the woman, who has not been identified for legal reasons, realise that she was calling a brothel.

Under Germany’s welfare reforms, any woman under 55 who has been out of work for more than a year can be forced to take an available job – including in the sex industry – or lose her unemployment benefit. Last month German unemployment rose for the 11th consecutive month to 4.5 million, taking the number out of work to its highest since reunification in 1990.

This is as classic a case of an ( I presume) unintended consequences as I have ever encountered, and it is an unintended consequence of two opinions both of which I hold myself. First, I do think that prostitution should indeed not be illegal, and second, in the absence of the abolition of state welfare, I do think that persistent welfare claimants should be obliged to lower their sights about what work they are willing to accept. Very unemployed information technology professionals should not lounge around watching day time television for year after year until such time as someone finally offers them a job in the information technology profession.

So, add to all of the above a tiny pepper shake of that Germanic manic logic of the sort that we all know about from our history books, and you get: be a prostitute, or lose your benefits. Amy Alkon, commenting on this post, explained why being a prostitute can be a fine and noble thing and can have very good consequences for society, but she surely did not mean this

That is the trouble with micro-managerially interventionist welfare (or attempted welfare) states. Arguments have a tendency to degenerate into whether any and every imaginable sort of human behaviour or employment or enjoyment should be either (a) illegal or (b) compulsory. (c) Take it or leave it/your choice/we do not care/enjoy it – shun it – it makes no difference to us/you decide . . . has a way of getting squeezed out.

Germany’s model is not working

With all the understandable attention being focused on the dreadful situation in the lands skirting the Indian Ocean, there is always a danger that disasters of a different, more Man-made kind, get overlooked. Well this week the German statistics office reported a dreadful set of unemployment figures, showing the number of jobless in Europe’s biggest economy to be at the highest level for seven years

A Bloomberg report on the story contains the following passage:

New measures cutting benefits for the long-term unemployed took effect on Jan. 1. Those without a job, including people previously registered as social-welfare recipients rather than as jobless, will also face increased pressure to accept job offers or risk losing benefits. The changes will add an as yet undetermined number of people to the January jobless total.

But it is clear that the German authorities are still tinkering with the issue. That 10.8 percent of the working age population of such an important country should be out of a job is a disgrace. What I find odd though is how little outraged commentary in the economics part of the press there is about this. It is almost as if the European chattering classes have come regard this problem in Germany, and also France, with an air of sullen resignation. Of course, dealing with it will involve lots of vulgar, Reaganite actions such as deregulation, tax cuts to spur business formation and the like, which of course goes against the grain of Germany’s ‘managed’ form of business so beloved of leftist commentators like Britain’s own Will Hutton.

Germany needs to get its act together. Some 15 years since reunification with the eastern part of the country, Germany has failed to live up its early promise. With so many young people, including those from immigrant backgrounds, on the dole, no wonder commentators wonder about the social fabric of that country. They should.