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]

Divided by a Common Past

Whereas all other post-socialist countries had to reinvent themselves as liberal democracies without a huge influx of aid, the East Germans were reunified with their western brethren and hosed down with Deutschemarks. Out of solidarity, they were given money and West German workers could feel good as they witnessed that earmarked solidarity tax on their payslips.

Now, some East and West Germans want the wall back:

“Is the east ungrateful?” the mass tabloid Bild recently asked, citing a poll which showed that 76 per cent of east Germans thought that life under communism was not that bad after all. It listed pollution, deaths at the Berlin Wall, the 14-year wait to buy a car, in order to remind many of how miserable life had been. The animosity was shown in a survey this week in which one in five Germans – 25 per cent of westerners and 12 per cent of easterners – said they wanted the Berlin Wall to be rebuilt.

The Easterners are probably that small cohort of pensioners who still worship the bust of the Red Tsar on their bookshelf. The Westerners are just tired of tax, and who can blame them.

Whilst the rest of Eastern Europe gets richer, East Germany has faltered under the smothering embrace of a West European welfare state. They have been spoiled by generous handouts that are no longer affordable. Their kneejerk reaction has been to exercise their recently acquired freedoms and demonstrate for more spoils, demonstrating yet again how German welfare turned those imprisoned by communists into beggars.

For the past six weeks tens of thousands of east Germans have been gathering in town centres for weekly “Monday Demos”, a reference to the demonstrations that led to the fall of the Berlin Wall 15 years ago. Their complaint: even before they have benefited from capitalism, the reforms being implemented by the government of Chancellor Gerhard Schroder – particularly plans to scale back benefits for the long-term jobless – will disadvantage them still further.

If East Germany had maintained its independence and had been forced to take the harsh decisions that all post-socialist societies faced, these demonstrators would now feel that they had benefited more from capitalism. They would be busy earning money, not worrying why the state was axing their dole.

German Chancellor Gerhard Schröder reaps what he sows

Gerhard Schröder is calling companies who outsource ‘unpatriotic‘, after Ludwig Georg Braun, the president of the federation of chambers of industry and commerce, advised German businesses to seek opportunities elsewhere.

So, Gerhard Schröder, the man who has presided over yet another interventionist government whose policies have made Germany progressively more and more uncompetitive over the years, brazenly refuses to accept his personal responsibility for imposing the very policies which are driving businesses to seek to invest elsewhere.

But then I suppose as the prerequisite for any professional politician is to be able to look an entire nation in the eye and tell them black is white and up is down, and then ask to be applauded for saying that… and what is more, more often than not, that is exactly what happens.

Whatever. Reality always has its way with vainglorious politicians in the long run because people, and their capital, will eventually go where their interests are best served.

And that place will not be Gerhard Schröder’s Germany.

Tax havens are verboten!

Mark Holland has spotted a little gem in the German press

It would appear that the little village of Norderfriedrichskoog in Schleswig-Holstein, with a population of just 45 inhabitants, has 500 registered companies including subsidiaries of conglomerates like Deutsche Bank, Lufthansa and power giant e.ON

Why?

Because the town does not charge business tax, that is tax on profits. And the firms have saved €300 million in the last decade.

German Finance Minister Hans Eichel is desperate to get his mitts on this loot and wants to ‘reform’ local authority finances. According to Eichel’s plans, all local authorities must set a minimum rate for local business taxes.

And there was me thinking Germany was a federation. Wouldn’t the states have something to say about this? I guess Eichel is simply following the EU trend of ‘harmonisation’, ie raising upwards to the highest common denominator.

Mark Holland

The benefits of beer glass ownership

When the Olympic games were held in Sydney in 2000, a number of public viewing areas were set up in public spaces throughout the city. Giant video screens were erected, and large crowds gathered to watch sports events and enjoy the atmosphere.

Like in Britain, liquor licensing laws in Australia are quite strict in that if you enter a bar and buy an alcoholic drink, you must consume it on the premises of the bar. Although you have bought it, you are not permitted to walk off with it. During the games, a few portable bars were actually set up in the public spaces with the video screens. However, in order to comply with local liquor laws, certain relatively small areas of the public spaces were designated as alcohol drinking areas and barriers were erected to cordon people in these areas off from everybody else. On top of this, people in these areas were only sold drinks in cans or plastic cups. (These enclosures were quickly nicknamed “playpens”, on the basis that drinkers were being treated like small children). The dangers of broken glass were considered sufficiently great that people were not allowed to buy drinks in glasses or glass bottles. This was all very paternalistic, in the way that alcohol licensing laws in the English speaking world often are.

This past weekend, I happened to be in Germany. When I visited the Kurfürstendamm, the main shopping street of what once was West Berlin, I discovered that some kind of event was happening, declaring itself to be the “Global City 2003” festival. Now any city that is sufficiently insecure that it feels the need to declare itself to be a “global city” or a “world city” actually isn’t one. There are plenty of interesting and enjoyable things to do in Berlin (including some of the most magnificent museums of cultural treasures anywhere) but when it comes down to it the city is not London, Tokyo, or New York. And the “Global City” festival was not all that global. There was a ferris wheel and a few other rides. A catwalk had been set up in the middle of the street and there were some fashion shows. A stage had been set up and there was some live music. There were stalls selling souvenirs of various kinds.

However, the most important thing was clearly eating and drinking, and this was done in a very German way. → Continue reading: The benefits of beer glass ownership

Did they compare notes?

Q: What is the difference between a social democrat and a socialist?

A: A social democrat is a socialist who has realised the socialism doesn’t actually work.

A perfect illustration is provided by German Chancellor Gerhard Schroder, the very model of a modern social democrat, who has announced that things must change:

If we want to generate growth and jobs, we must lower those costs that eat into take-home pay.

Financial constraints are not the only driving force behind our reform programme. The reform of the welfare state is also a precondition for the success of future generations. In the past, the main topic of welfare politics was the redistribution of wealth. First, we must remember that wealth can only be redistributed once it has been generated. Second, we should note that redistribution has limits, beyond which mere monetary transfers encourage dependence. Third, elaborate systems of redistribution tend to produce “side-effects” in opposition to the desired results.

Do my eyes deceive me or is this doyen of the ‘Third Way’ demanding tax cuts and warning of the dangers of a dependence culture and unintended consequences? No, I think I am reading it right and if Herr Schroder keeps this up he might find himself being invited to write for the Samizdata one of these days.

And neither is this manful attempt to grapple with common sense a breaking of the ranks or a solo frolic in the fields of sanity because I could not help but notice that it follows hot on the heels of this rather more nebulous and ill-defined attempt from Peter Mandelson to say something along similar lines.

Coincidence? No, I don’t think so. Nor is it due to mere fickle fate that both of these portentious editorials appear in the pages of the Daily Social Worker where messages like this are about as common as gay bars in Riyadh. Now, I’m taking a calculated guess here but I’d say this is all part of a cunning plan to prepare the ground ahead of a big summit on ‘Progressive Governance’ (subtitled: ‘Oh Christ, we’ve been rumbled. What do we do now?) to be held here in London this coming weekend.

Could all these ominous warnings and pleas for an open-mind from the likes of Herr Schroder and Mr.Mandelson be a means of softening the ground for heavy blows ahead? Because to the extent that anything at all emerges from this gathering of professional pick-pockets and incurable busybodies, it is bound to be triumphal, shiny ‘reform’ and ‘new deal’ initiatives of the kind that pretty much herald an end to the welfare-state settlement.

If I am right (and that remains to be seen) then it is obvious that some of the brighter stars in the left-wing firmament have seen the writing on the wall and they know only too well that carrying the 20th Century state-socialist models into the 21st Century is a guaranteed one-way ticket to palookaville.

Wouldn’t it be fun to watch them emerge from their smoke-free rooms next week and jointly announce to their tax-consuming constituents that the booze has all run out, the snacks have all been eaten, the guests are all tapped out and that the party is definitely over.

Thank you, Mr. Bush

Anti-American hatred may be sweeping round the ‘European Street’ more quickly than the Black Death, but the political elites may be secretly grateful to the Great Satan for handing them an opportunity to wriggle off the hook:

German Chancellor Gerhard Schroeder has blamed the Iraq war for crushing global economic growth, as the European Commission prepares to cut its growth forecasts on Tuesday.

“It can already be seen that the war in Iraq has increased the economic uncertainties worldwide, and some of the hopes for economic growth have been impaired, if not entirely destroyed,” Mr Schroeder said in a speech on Sunday night.

And, with a single bound, Gerhard Schroeder was free!! See it isn’t exsanguinating taxes, rigid labour laws, a bloated public sector and a monstrously over-regulated economy that is causing all the problems, it’s those perfidious Yankees and their imperialist war for oil.

Do not underestimate the number of people who will fall for this because they want to fall for it. Remember that Schroeder is the leader who only got re-elected by shamelessly exploiting anti-American sentiment in Germany and I will not at all surprised to see him successfully spin this out until at least the next election.

Meanwhile, our own Chancellor Gordon Brown is due to announce his annual budget on Wednesday following a year of massive tax increases and looming redundancies. He is under pressure for sure but now he has a golden bridge. I can see it now, Gordon will shrug his meaty shoulders, sigh and assure the public that ‘if it had not been for the war…..’.

No fun please, we’re German

Christmas will soon be upon us, and along with television adverts advising us not to drink and drive, hangovers from office parties and late-night shopping, another regular feature rears its reliable head – the condemnation of commercial Christmas.

This time, the nags against Christmas free-market fun come from Germany, which in its current over-taxed and economically sclerotic state, could use all the commercial fizz going, I would have thought. But no, a German priest wants his patch to be declared a “Santa-free zone”.

Like the late Ayn Rand, a devout atheist, I always think that one of the very great things about Christmas – which after all started off as a midwinter pagan festival to give us all a good excuse to eat and drink excessively – is its commercial character. The glitz and colour of this time of the year provides much of its “point”.

So come on Santa. Sprinkle a bit of Christmas happiness over our a glum Teuton neighbours. Right now, they need it.

Tax is no laughing matter in Germany

Germany’s hapless Chancellor Gerhard Schroeder has dished out insults at the musician who penned a chart-topping song that Adriana wrote about last week, taking a crack at Germany’s onerous taxes.

Well, tough luck, Gerhard. It seems the Chancellor doesn’t like the fact that the crippling confiscation of German citizen’s money is provoking satire as well as anger. When a politician starts bashing the comics and music makers, it is a clear sign he or she is in trouble – big trouble.

This bespeaks a political elite on the Continent of Europe that is increasingly aloof and out of touch with ordinary citizens. On one level, this is encouraging, because such arrogance usually comes before a fall from grace. However, it also suggests that if the situation is not tackled soon, the anger boiling up in Germany and elsewhere could turn ugly.

Sure, Gerhard. As logical as
assaulting someone’s fist with your face

Schroeder takes the shirt off the backs of German taxpayers

Paul Staines reports on the latest rather splendid twist in the ongoing German anti-tax protests about which Adriana first reported last month on Samizdata.net

There is a brilliant story at wired news about a tax protest with a difference. It started as a wacky idea in an Internet chat-room but now thousands of Germans have sent Chancellor Schroeder their shirts. Schroeder has donated the thousands of shirts his office has received to charity. Shame he does not show some charity towards taxpayers…

The political campaign is being promoted with this rather fetching picture of Katja Kassin in the process of losing her shirt! Who says the Germans do not have a sense of humour?

Paul Staines

Hair Schroeder

The German Chancellor is clearly feeling just a wee bit insecure these days. Why else would would he actually go to Court to sue a news agency because they claimed that he used dye in his hair:

“With affidavits from his barber, Schroeder insisted that the article was false and that it had created a wave of stories that were hurting his image.”

Would that be his image as an incompetent, plundering, unreconstructed tax-and-spend socialist who is wrecking his country’s economy? Oh right, that image.

Anyway, in order to avoid any legal complications here at Samizdata, I hereby categorically refute any suggestions that the German Chancellor has ever dyed his hair. After all, why would he need to? It is a wig.

Germany better than Britain?

Paul Marks laments attitudes in Britain to anti-tax protests.

Those people who know me will know that I like family owned enterprises (more common in Germany than in Britain these days) and that I like the people who are at the top of manufacturing companies to be trained in such things as engineering rather than such things as law (I sometimes feel that many British managers think a “machine tool” is something to do with kinky sex). But, have no fear, I will say no more about my personal prejudices – and I fully accept that Germany has higher government spending and (in some ways) more government regulations than Britain.

However, something has caught my attention recently. In Germany a pop song denouncing the German government’s tax increases has reached the top of the charts.

In Britain taxes are increasing much faster than in Germany (government spending and regulations are increasing at a faster rate also) and, sure enough, a pop song has been written that attacks this increase in taxation – and the song was mentioned on B.B.C. Radio 4’s “Today Programme”.

But in Britain the anti tax protest song is not being treated seriously even, it appears, by the man who wrote it. Nobody expects this song to get to the top of anything – even though the British government have also told lies about tax and are increasing taxes more than the German government is.

Is the basic culture of Britain so collectivist that a protest against statism is automatically a joke?

Paul Marks

German tax parody

Germans are fighting back with humour! The country’s number one hit is called Der Steuersong (The Tax Song), and has found fertile ground in the hearts of a nation fed up with broken election promises and increasing taxes.

The song that shot to the top of Germany’s pop charts with more than 350,000 copies sold within a week is a spoof sung by Schroeder’s impersonator, Elmar Brandt, who has captured the mood of the country in the lyrics:

“Promises that were made yesterday can be broken today….”

“I’ll raise your taxes, I’ll empty your pockets, every one of you nerds stashes some cash away, but I’ll find it no matter where it is…”

“I’ll raise taxes now because the election is over and you can’t fire me now…”

“We could raise a ‘bad weather tax’, or an ‘earth-surface usage tax’, a levy for breathing, air’s going to become more expensive, and I’m only getting started..”
“A tooth tax for chewing, bio tax for digestion – nothing’s free anymore…”

Schroeder’s government of Social Democrat-Greens has slumped dramatically in voter surveys since the September 22 polls after breaking election promises not to raise taxes. On Monday Schroeder announced another new tax on equities and property sales – which the conservative opposition called the 49th new tax since he was first elected in 1998.

“I’ll rip you nerds off, you’ll be overpowered, I’m always in for a surprise…”

“There is no tax that I can’t collect. I want your bank notes, your sweaters, your cash and your piggy banks…”

“Dog tax, tobacco tax, car tax, ecological tax – did you really think that was the end of the line? Like a pirate hunting for income, I’ll raise all your taxes and if you’re broke, you can buy your food at a discount store or go hungry…”

I am not sure it sounds better in German (here is the full English translation) but the spirit of the song is sound. Ordinary Germans say that “it sums up what we’re all thinking.” Fed up with taxes? Well, what are you going to do about it?