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]
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“Precisely how and where `free-market fundamentalism’ has run amuck remains a mystery. After all, we live in a world in which most governments in developed nations routinely control 40 per cent or more of their nation’s GDP.”
– Samuel Gregg, Spectator (maybe behind paywall). Gregg is the author of The Next American Economy: Nation, State, and Markets In An Uncertain World (2022) and is Distinguished Fellow in Political Economy at the American Institute for Economic Research.
Full disclosure: As a young newswire journalist in the 1990s, I went to the WEF in Davos three times (in one of them, I met Nelson Mandela, as one does). The whole event, held in a Swiss mountain resort once made famous by Thomas Mann while he underwent treatment for turberculosis, rather resembles the lair of Ernst Blofeld in Ian Fleming’s On Her Majesty’s Secret Service. In fact, Schwab is very, er, Spectre-like, although I did not see a white cat.
There is, of course, the pro-free market Mont Pelerin Society, so even the good guys cannot resist the allure of the mountains.
I am not being sarcastic when I say that I admire the way that Nick Young, writing for Greenpeace Aotearoa (the country formerly known as New Zealand), at least has the guts to admit that Sri Lanka’s ban on chemical fertiliser was a disaster. In a piece called “Sri Lanka’s fertiliser ban and why New Zealand can phase out synthetic nitrogen fertiliser”, he gives his reasons for supposing that despite Sri Lanka’s experience, it will work next time. He is enthusiastic, for instance, about the prospects for the Indian state of Sikkim which has also prohibited chemical fertilisers. He writes,
The key thing to note is that it wasn’t something that happened overnight. And it didn’t happen because Sikkim’s shoppers suddenly decided to buy organic food or because its farmers woke up one day and decided to switch to organic with no support. It happened because the Sikkim Government used policies, public investment and a transition plan to make it happen.
It is strange to me to see someone delight in the fact that the choices of shoppers or farmers, the ordinary people whose lives would be affected most, played no part in this change.
This Guardian article is five years old now, but I would bet that the problems it describes have not gone away: “Sikkim’s organic revolution at risk as local consumers fail to buy into project.” More recently, Pawan Chamling, who as the then Chief Minister of Sikkim did much to put the policy in place, said that the current Sikkim government “has put Sikkim’s organic mission on the back burner”. He writes,
The organic mission has been totally wiped out of the government’s vocabulary and State budget. Not a single penny has been allocated towards organic farming. Even more alarming is that chemical fertilisers are being brought into the state and are freely sold in the market.
Freely sold and freely bought. Farmers making their own decisions. How awful.
Despite everything, I have nothing against organic farming. But the way that Sikkim being “100% organic”, a source of pride and a key part of Sikkim’s identity according to Mr Chamling, withered as soon the government subsidies dried up suggests that the change was never, if you will forgive the metaphor, organic in the first place. It was imposed from the top down. It had no roots.
“The evangelists for WFH and flexi-working keep telling us that it will create a happier, more productive workforce. But if that were true, then output per person should have soared over the last two years. Of course, it hasn’t. Instead, it has stagnated – and in many cases gone down. The UK’s miserable record on productivity is a long and complex story, but one certainty is that flexi-working won’t fix it.”
– Matthew Lynn, taking aim at the whole “working from home” demands from certain quarters. (In many cases, the WFH phenomenon is a preoccupation of those in white-collar areas. One suspects that industrial welders, lorry drivers, supermarket inventory managers, farmers, lab technicians, car mechanics and power station maintenance workers don’t work from home. Mind you, my father, a farmer, likes to joke that he worked “from home”. It was a field.)
“Shoplifting isn’t the real crime, poverty is”, tweets Owen Jones.
The tweet links to this video excerpt from the Jeremy Vine Show, in which the host tries several times to get Mr Jones and the other panellists to give straight answers on whether it is wrong for shops to put anti-theft tags on commonly stolen goods. He doesn’t get any. The responses he does get are variations on two themes, firstly, the non-sequitur “Yes, it is wrong for shops to try and stop their goods being stolen because poverty is the bigger crime”, and secondly, “I don’t condone shoplifting, but here’s why I condone shoplifting.”
At 2:25 Mr Jones says, “The way to abolish shoplifting is to abolish the underlying cause, which is poverty and the cost of living crisis”.
So the answer was in front of our silly noses the whole time!
In future videos Mr Jones will tackle the shocking prevalence of “food deserts” and “health care deserts” in poor areas because so many supermarkets, corner shops and pharmacies have closed down.
“Almost unbelievably, nearly a quarter of our working age population is reported to have some form of long-term illness or disability that in most cases prevents them from working. The numbers are more alarming still among younger cohorts, which theoretically should be the healthiest and most able to work. Among 16 to 24-year-olds, one in eight are being signed off with long term health conditions.”
– Jeremy Warner, talking about the state of the UK economy. Let’s be blunt: a large chunk of the population in the UK are lazy, stupid and with all the ambition and zest for life of a lump of concrete. In the 21st Century, it seems frankly absurd that a quarter of the work-age population are ill or incapable of doing anything. It is a disgrace.
As Madeleine Grant in the Daily Telegraph (£) notes today, it is a bit rich for people who dislike the fiscal austerity measures of the UK government to focus on the “mini-budget” tax cuts (now mostly reversed) of the recent Liz Truss administration, or Russia’s attempted conquest of Ukraine. To ignore the costs of lockdowns and mass furlough schemes seems particularly convenient for those, like the Labour opposition as well as many in government, that seemed to be positively enthusiastic not just about lockdowns, but about the idea of shuttering society. (And of course the current Net Zero insanity sort of plays to this authortarian mindset that seems to have arisen lately.)
Thus:
During lockdown, the electorate was led to believe that we could borrow endlessly without consequence; that money-printing was nothing to worry about and someone else would foot the bill if necessary. The whole period didn’t just cross a Rubicon in what the state believed it would get away with, it irrevocably transformed how people viewed the state. There remains an odd amnesia about the the whole period; a reluctance to deal with the lockdown hangover. It’s as if nobody wants to hear that their lengthy furlough now has to be paid for, or that you can’t repeatedly switch a sophisticated 21st-century society on and off like a computer without disastrous, unpredictable consequences.”
And…”I can’t help noticing that many of those now railing against spending cuts are precisely the same people who shouted down anyone who warned of the economic consequences of lockdowns or questioned the severity of the measures at the time. Similarly, many MPs and pundits, having vociferously opposed “irresponsible” un-costed tax cuts, now condemn planned
spending cuts with equal vigour.”
It is absolutely vital that this point is hammered home. Classical liberals simply cannot let the narrative of “Ukraine/Truss caused our pain” BS to flourish, in the same way that “capitalism caused the 2008 financial crash” nonsense. Narratives matter. They must be countered, vigorously, and mocked at every opportunity. And it is also important to remind people that we have had 20 years of central bank money printing (remember, this stuff was going on way before the 2008 crash) to have created part of the condition for our plight today.
Update: Here is a link to Rudyard Kipling’s work of the title used on this posting.
“I ended up as an activist in a very different place from where I started. I thought that if we just redistributed resources, then we could solve every problem. I now know that’s not true. There’s a funny moment when you realize that as an activist: The off-ramp out of extreme poverty is, ugh, commerce, it’s entrepreneurial capitalism. I spend a lot of time in countries all over Africa, and they’re like, Eh, we wouldn’t mind a little more globalization actually.”
– Bono, the rock musician from U2. It would be quite amusing to see him say all this on stage the next time he is in front of the crowds at Glastonbury. Watch their heads explode. (I should add that he is far from going full classical liberal, but that’s not a bad start.) He is quoted at the Marginal Revolution blog, that took the quote from a paywalled New York Times page.
It is easy to understand why those who are not fully down with the whole Green alarmist agenda are annoyed at the fracking ban under Rishi Sunak’s new administration. (In reality, local authorities could and would still try and stop it, even if it was legal at the national level.)
A problem with the ban, though, is that it says something about the approach of the Sunak administration: it is in thrall to the Precautionary Principle. Don’t do anything if there is the slightest risk of harm to the environment or if it upsets some local people. And that means that on issues such as house building, new nuclear power plants, roads, Heathrow third runway or a “Boris island” in East London, or anything else, the risk is that nothing much gets done.
Lest anyone think this is a purely Tory issue, it isn’t. A Labour government is unlikely to be like the Attlee/Wilson ones where there was at least a sort of working class affinity with industry. Trade unionists used to be proud of how they worked in mines, factories and shipyards. They got dirt under their fingernails, and they wore this as a badge of pride. Today’s post-modernist Left bemoans developments such as the demise of steel production, but fails to join the dots between this and the deliberate raising of energy prices through “Green transition” policies. Also, much of the modern Left does not reside in the industrial sector, but is more about the public sector. So the problem is one of a wider cultural/philosophical aversion to making things or doing things that are in any way “dirty”.
Meanwhile, countries such as India and China, or Indonesia, suffer no such inhibitions. And we will import energy and other products from nations that are likely to enforce less stringent controls on pollution. And yet the likes of Starmer, and various commentators, will bemoan the demise of UK manufacturing. But if we refuse to build reliable, cheap energy (wind and solar don’t count, being weather-reliant), then our demise as an industrial power will continue. (Fossil Future, by Alex Epstein, is a must-read and corrective to current alarmist nonsense, not least because it addresses the philosophy of the Greens, and provides an alternative. Too few debunkers of Greens do this.)
A few days ago I went to Battersea Power Station, now fully refurbished and turned into a shopping mall and apartment block, with various offices and things like art galleries. I can admire the architecture, the lovely industrial-style touches and the gantries and machinery. But what strikes me as symbolic of modern Britain is that we have turned a power station into a shop, and when the wind doesn’t blow and sun doesn’t shine, and we haven’t enough baseload power, the building will go dark. That’s where decades of evasion and Green ideology have taken us.
We are turning into a theme park.
Update: Germany is keen to be a theme park too. Major chemicals manufacturers, unable to withstand surging energy costs, are moving out, according to this Reuters report
“The Tory vision of the country is, or should be, one where people are busy – working, thinking, travelling, prospering, bettering their lives. It involves building things and going places. It involves houses and factories, roads and cars, ports and airports, as well as parks, countryside and gardens.”
– David Frost, a former member of the Boris Johnson administration, who resigned in part over things like tax hikes. I get the impression that his views are falling on deaf ears among many Conservative MPs, for whom building things, travelling, entrepreneurship, or of how life should be about a sense of adventure, are all terrible things to be banned or viewed with suspicion. Maybe we will get a political realignment at some point, where the Tories revert to their 19th Century default of being the party that largely resisted, or was snooty about, industry and an upwardly mobile class, with a different party championing such things. It may not happen, but I get the sense that there is a lot of change in the political culture at the moment. If you are a young, ambitious person, what on earth does much of the UK political order have to offer if you detest politics and want to just get on with life? The answer, for many, will be to leave.
“The revived fortunes of fossil fuels, especially coal, may explain some of the weakened resolve for decarbonization. Global bank lending to fossil fuel companies is up 15 per cent, to over $300 billion, in the first nine months of this year, from the same period in 2021, according to data compiled by Bloomberg. This is Wall Street just doing its job: making money. Banks earned more than $1 billion in revenue from fossil lending during the first three quarters, in line with 2021. Why quit business with a booming sector over a distant climate goal?”
– Alistair Marsh, Bloomberg. ($) The US news service has been pushing the whole “Green transition” agenda in recent years in its coverage, at the behest of founder Michael Bloomberg, so there is something darkly amusing watching the organisation concede that decarbonisation has been a big loser for investors in recent months. If you are JP Morgan, BlackRock, Bank of America Merrill Lynch or a small investment house in Massachusetts, you have to explain to clients why you hugely lagged the stock market because of your “Green” decisions.
As the late Richard Feynman once said apropos the Space Shuttle, nature cannot be fooled. That applies to economics as well.
A couple of months ago John McGuirk asked that question:
Landlords have fled the market. They are selling up at an unprecedented rate, or finding other uses for their accommodation. There has been an explosion, meanwhile, in institutional landlords: Big companies and pension funds buying up properties, because unlike the small landlord, they have their own legal offices and in house accountants and the funds to constantly refurbish properties to bring them up to regulatory standard. Ireland’s left wing approach to rental regulation has been – again, predictably – an absolute bonanza for this biggest capitalist institutions.
Government must take the blame for this. It is Government, after all, which passed all these obscene and stupid laws. But the opposition – mainly the noisy left – are the ones who campaigned on it, and for it, and who want to go ever further down the road to disaster. As of today, there are about 700 homes left available for rent in the entire country. About 22 in every single county.
Emphasis added. 700? In a nation of five million people? Could that really be true? It seems so. This video from Sky News says the same.
I hate to say it, but the answer to Mr Guirk’s question is that the misery of would-be renters in Ireland will probably go on for decades, like it has in Stockholm. Rent control is the Japanese knotweed of bad policy: the horrendous difficulty of removing it once it is established becomes an incentive for people to close their eyes to the damage it is doing. The failure of rent controls in Ireland was already several years old when I wrote a post in 2018 called “And why might that be?” It was about how one of the Guardian‘s better journalists could not understand why landlords in Dublin had vacated the long term rental market en masse in favour of Airbnb.
One might think that this clear demonstration of how rent controls work in practice would at least deter us from repeating the folly on the other side of the Irish Sea… I jest, of course. Seen on Guido Fawkes the other day: “New Scottish rent controls crush hopes for 11,000 affordable homes”.
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Who Are We? The Samizdata people are a bunch of sinister and heavily armed globalist illuminati who seek to infect the entire world with the values of personal liberty and several property. Amongst our many crimes is a sense of humour and the intermittent use of British spelling.
We are also a varied group made up of social individualists, classical liberals, whigs, libertarians, extropians, futurists, ‘Porcupines’, Karl Popper fetishists, recovering neo-conservatives, crazed Ayn Rand worshipers, over-caffeinated Virginia Postrel devotees, witty Frédéric Bastiat wannabes, cypherpunks, minarchists, kritarchists and wild-eyed anarcho-capitalists from Britain, North America, Australia and Europe.
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