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Just over a decade ago, the US and the EU conspired to conduct what has proved to be a very successful war against low-tax jurisdictions and banking secrecy. Under a fig-leaf of a campaign to eradicate ‘drug-dealing’ and ‘terrorism’ (but truthfully to maintain the integrity of their various state-welfare arranagements) they employed a combination of legislation, diplomacy and outright bullying to effectively hobble (and, in some cases, shut down) the Western offshore-investment industry.
As expected, the EU went further in this war than the US where the ‘anti-money laundering’ regime metastasised into a ludicrous campaign against what they called ‘unfair tax competition’.
Well, now the chicks are coming home to roost. Or, more accurately, they are flying the nest:
The world’s major private banks are beefing up operations in Singapore, anticipating that up to a trillion US dollars worth of offshore assets in Europe may be looking for a new home in the next couple of years.
Changes in banking secrecy and tax laws due to take effect in the European Union from 2005 are expected to encourage offshore investors in traditional havens like Switzerland and Luxembourg to start moving their money to other centres.
Singapore, with its stable political system and excellent infrastructure, is seen getting a big share of this money.
“We have estimated that from Europe about a trillion plus could be highly movable without too much difficulty,” said Roman Scott, vice-president at the Boston Consulting Group (BCG). “Some of those guys are going to say; ‘I need an offshore centre that’s not going to be squeezed down’.
All the European places are being squeezed. You can’t go into the US, so you suddenly start to look at Asia as attractive,” he said.
Western political elites are rather like heroin-addicts. No amount of argument, persuasion or reason will do anything to deter them from their narcotic fix.
Lessons generally have to be learned the hard way.
[My thanks to Dr.Chris Tame who posted this article to the Libertarian Alliance Forum.]
Have you had a bad day? Got a problem? Is your life a mess? Are you sick? Lame? Poor? Lonely? Unemployed? Or are you just fed up, listless and overwhelmed with feelings of exhaustion and hopelessness?
Well, you can always vent your frustrations by blaming your troubles on George W. Bush. Why not? Everyone else does. For everything. From perished pensioners in Paris to stubbed toes in Sarajevo to nosebleeds in Nairobi there is not a misfortune or a twist of cruel fate anywhere on the face of this planet that cannot be laid squarely at the varnished door of 1600 Pennsylvania Avenue.
And this is all because that current occupant of the most important office in that august building went and ‘tore up the Kyoto Treaty’; the modern equivalent of snapping a ju-ju stick. Thus has Mr.Bush incurred the wrath of the angry spirits.
Of course, George Bush did not ‘tear up’ the Kyoto Treaty at all (which is a shame because it deserves to be torn up). But that doesn’t matter. We’re not dealing in truth here, we’re delving the murky, opaque depths of mythology and superstition. George Bush is for the modern left/green axis what the devil was for medieval peasants.
Perhaps Mr.Bush (or his advisers at any rate) is aware of this and decided to take advantage of the situation. After all, if you’ve been cast as the devil, you may as well go ahead and live up to the role:
The Bush administration plans to open a huge loophole in America’s air pollution laws, allowing an estimated 17,000 outdated power stations and factories to increase their carbon emissions with impunity.
Critics of draft regulations due to be unveiled by the US environmental protection agency next week say they amount to a death knell for the Clean Air Act, the centrepiece of US regulation.
The rules could represent the biggest defeat for American environmentalists since the Bush administration abandoned the Kyoto Treaty on global warming two years ago. But the energy industry welcomed them, saying they were essential for maintaining coal-fired power stations.
Now a word of caution here: the link is to the Guardian so the story may not be true at all. It may just be the product of their febrile imaginations (Next week: “Bush adds fresh babies to Whitehouse menu”). However, I certainly hope it is true and not just because it would mean good news for US industry and prosperity but also because it drives home the old lesson that being hated has its definite advantages. At a stroke, George Bush will have lifted a millstone from the neck of his country without doing the slightest harm to either his reputation or chances of re-election.
The devil may not have all the best tunes. He just has the freedom to whistle them.
For reasons best known to themselves the proprietors of the British tabloid newspaper the Daily Mail have elected not make the contents available on-line. As a result I cannot link to this story, so thanks are due to Dr.Chris Tame for posting it to the Libertarian Alliance Forum:
I went to a cafe in central London to meet a stranger.
I handed over £1,300 and a mere 48 hours to assume the new identity of ‘Odette Hinault’ complete with fake EU passport, driving licence and French ID card, together with a genuine National Insurance number. Within a day of becoming ‘Miss Hinault’ she had opened a bank account, registered with a GP, obtained a phone number and had claim forms for housing allowances and council tax benefits.
There was nothing to stop her plugging into an entire system of state handouts that would have more than repaid her £1,300 outlay within weeks.
So says a Daily Mail reporter called Sue Reid who went undercover (presumably) and succeeded in obtaining all manner of forged official documents.
Two of the many oft-floated (and disposable) justifications for establishing a national ID card system are that it will a) stop illegal immigration (or, at least, make it a lot harder to do) and b) stop cheats from defrauding the welfare state (or, at least, make it much harder to do).
Ms.Reid’s investigations prove pretty conclusively that both claims are manifest rubbish.
Is this a case of ‘Do as we say, don’t do as we do‘?
Microsoft has made a big deal out of asserting that Linux is not fit for the enterprise. But Microsoft itself is using Linux to help protect its servers against denial-of-service attacks.
According to a post on the Netcraft Web site, Microsoft changed its DNS settings on Friday so that requests for www.microsoft.com no longer resolve to machines on Microsoft’s own network, but instead are handled by the Akamai caching system, which runs Linux.
An Akamai spokeswoman declined to comment, except to confirm that Microsoft is a customer.
Or just a case of ‘sleeping with the enemy’?
[My thanks to Boris Kuperschmidt who posted this item to the Libertarian Alliance Forum.]
A little boy called Arran Fernandez that’s who. This lad is clever enough to have caught the attention of the UK Times [No link – you know the drill]:
A BOY of eight has become the youngest person to receive an A at GCSE.
‘A’ is the top grade and the GCSE is a national examination paper for pupils of age sixteen.
As pupils across the country received their results, Arran Fernandez, from Surrey, celebrated the grade awarded for a mathematics paper that he took when he was 7 years and 11 months. Only 32 per cent of candidates – most considerably older – reach the same standard.
So little Arran must be the brainiest kid in his school, right? Wrong. Because little Arran doesn’t go to ‘school’ at all:
Arran, who is also the youngest person to pass a GCSE at any grade – a D in the subject when he was five – is educated at home by his parents, Neil and Hilde.
Another successful product of Britain’s small, but growing, home-school movement, I’d say.
His father, Neil, a political economist who achieved a grade A at O level maths when he was 13, is evangelical about the benefits of home tutoring.
“I believe that every child could do this, given the right encouragement,” he said. “Why are children held back in their earliest years? And why are parents, who are their best educators, discouraged from realising and exercising their ability to teach?”
Because so many generations of parents assigned those abilities over to the state, doubtless believing that the state would do a better job of it. That same state is likely to respond to the increasingly successful reclamation by trying to put a stop to it.
How frightfully decent of those splendid chaps at the Foreign & Commonwealth Office to set up an online-forum to enable the riff-raff to contribute their thoughts and ideas on the proposed EU Constitution.
Registration is a pre-requisite to participation but at least it appears to be cost-free (which is a lot more than anyone can say about participation in the EU itself).
So, is this a genuine effort to solicit and publicise pro-Independence opinion or a potemkin facade calculated to provide a veneer of legitimacy to a decision that has already been made behind doors welded shut?
Another website established by the Foreign Office may hold just a few clues.
[My thanks to Emmanuel Goldstein for both links.]
I defy anybody to refer to this guy as a chickenhawk:
A Danish pizzeria owner who refused to sell pizzas to Germans or Frenchmen because of their governments’ stance on the war in Iraq is to go to prison.
An appeal court upheld the conviction yesterday of Niels-Aage Bjerre for discrimination and his fine of £500. He said he would refuse to pay and will instead spend eight days in jail.
“I will not pay the fine but I’ll do the time instead,” said Bjerre. “It is a matter of principle.”
Now, speaking personally, I regard the boycotting of individuals as rather unfair and petty. Having said that, Mr.Bjerre should not be prosecuted for doing so.
Mind you, I bet if look the word ‘defiant’ up in the dictionary you’ll find this guy’s photograph underneath.
He said yesterday that both the courts and those who had reported him to the authorities were “traitors”.
“The judges have chosen to support those who do not support the official Danish position on the war against Iraq.”
His boycott would end only “if the governments of France and Germany change their attitude toward the United States and support Washington wholeheartedly,” he added.
He’s not just a restaurateur, he’s a neo-restaurateur.
I have just cast my beady eyes over this Stratfor article which, alas, I cannot link to (hefty subscription fee required) but here is the opening paragraph:
France is threatening to veto the consensus that the United Nations Security Council finally should lift sanctions on Libya. In the end, the French position is bluster. France cannot afford the heavy price a veto would levy. While Paris’ anti-American policies are wildly popular at home, they are affecting France in meaningful ways that will continue to impact French prestige, power and the country’s bottom line for years to come.
What follows is a detailed analysis in the impeccably objective Stratfor tradition but I reckon the above is enough to fuel a good-sized helping of thoroughly malicious glee on the other side of the Atlantic.
There is probably a drop-dead serious point to be made here about the gradual ‘feminisation’ of boys but, for now at least, I am content just to publicly guffaw at this latest forlorn attempt to make the world a safer place:
Children in Melbourne have been banned from dressing up as Batman, Superman and the Incredible Hulk because schools say the action hero costumes encourage aggressive behaviour.
At least 10 childcare centres have declared themselves “superhero-free zones”, claiming that youngsters who don capes and masks are more likely to end up wrestling, punching and karate-kicking unsuspecting classmates.
Lex Luther take note: all their childcare centres are belong to you!
The head of one childcare centre, Madeleine Kellaway, told the Sun Herald newspaper: “There is a lot of violence involved, where you get wham-bam aggressive behaviour.”
Perhaps the kids just don’t like her very much.
She said banning the superhero costumes had encouraged more creative play.
‘Okay children, today we’re all going to dress up as Outreach Co-ordinators and play a game of who can get most money from the government in order to implement a policy framework for achieving diversity in local authority management structure. Hooray!’
I love this story. Not just because it sounds the like perfect scenario on which to base 1930’s-style Ealing comedy but because it has given me a glimpse into a world the very existance of which I had, hitherto, not even begun to suspect.
I don’t think many people realise it, but there is a contraband war going on in this country. It is a war which has spawned a clandestine ring of illicit and secretive dealers and buyers operating their own black economy and doing their best to steer clear of the agents of the state.
And just what are these shadowy merchants trading in? Is it narcotics? Is it guns? Is it prostitution? Gambling dens? No, it’s tomato seeds:
The dealer wishes to remain anonymous. Not that he’s ashamed of his seeds: on the contrary, he’s doubts you’ll find better in England. Once you’ve tried their crop, he believes, you’ll be hooked. But if he told you how to buy them, he could be prosecuted – and a small businessman like him can ill-afford a £5,000 fine.
The crop in question goes by the exotic name of ‘White Princess’. But it is not, as you might suspect, a variety of cannabis. Rather, it is a tomato – a “meltingly, sumptuously tasty” variety, according to the pusher, but a mere tomato none the less. And if that strikes you as surprising, you’ll be even more surprised to discover that ‘White Princess’ are just the tip of the iceberg.
This is a story of the bizarre, seldom-seen subculture of unlicensed vegetable-growing. Its wares include rogue tomatoes, “bad” apples and “hot” potatoes; tomatoes are as good an illustration as any of how the market works.
‘Seldom-seen’ is surely an understatement. Who knew such a thing was even going on? Though, reading on, it becomes clear why it is going on:
The Plant Varieties and Seeds Act (1964) makes these tomatoes forbidden fruit – well, at least the seeds from which they are grown.
NEVER EVEN HEARD OF IT!!
According to the act, anyone wanting to sell the seeds of a fruit or vegetable must first register the variety on a National List. Before registration, it must be tested to ensure it is “distinct, uniform and stable”, and a fee must be paid. Sadly for amateur growers, these fees add up to nearly £1,000, in the case of tomatoes, plus an annual renewal fee of £185. There are no exceptions, no grants for amateur growers, and it is illegal for anyone to sell the seeds of unregistered fruit or, by implication, the fruit itself.
Choice-killing legislation at its finest. Still, what the state denies the market provides so no wonder it gives rise to such a lively, profitable and enthusiastic ‘guerilla’ trade.
It’s fair to say Defra doesn’t police the law with much conviction, but the multinationals are always watching. In 1998 a company that illegally marketed grass seed was successfully prosecuted under the Plant Varieties and Seeds Act 1964. It was fined a total of £7,500 and ordered to pay costs of £7,964.
An instructive tale. For non-UK readers, ‘Defra’ is the Department of Farming and Rural Affairs and it is clealy not above moving to protect the interest of the market-hogging corporations. We should never overlook that fact that some large business concerns are not interested in the market they are interested in controlling the market and they use the apparatus of state to do so. Regulatory regimes often result from the connivance between big business and the state.
The linked article is lengthy but well worth reading in my view. It is not just enjoyable for its delightfully, eccentrically British flavour but also because it proves, yet again, that all legislation has precisely the opposite of its intended effect. The aim of the state was to prop up a cartel but instead they have breathed life into a thriving, committed and obviously very well-informed ‘black’ market.
May their tomatoes continue to grow and prosper.
There appear to be no good days in the Middle East, just varying degrees of bad day. How does today rate on the scale, I wonder?
In Baghdad, a bomber in a truck blows up the UN Headquarters: death toll 16 and rising.
In Jerusalem, a bomber blows up another bus: death toll 20 and rising.
It is conceivable (though by no means inevitable) that the attacks were co-ordinated in some way.
I often wonder about the future of that region and, every time I do, the vista just grows darker and darker. Some might say that that prognosis is simply a product of my pessimistic tendencies.
Is it?
The tabloid newspaper, The Sun is both the best-selling daily newspaper in Britain and (perhaps because of this fact) the most despised among that class of people commonly referred to as the ‘liberal elite’.
The Sun’s peculiar brand of kitchen-table, down-to-earth, working-class, mercifully unnuanced tub-thumping has earned it the nickname of the ‘Daily Red Neck’. To be fair, it is an image that the proprietors of The Sun have never sought to discourage.
But, while its more cerebral counterparts devote acres of print to torturous hand-wringing about the effects of globalisation on the native tribal peoples of the Amazon basin (or something) The Sun is prepared to get its boots dirty and go out and actually perform a public service:
LYING crook Brendon Fearon has been seen by The Sun effortlessly riding a mountain bike — even though he claims he was crippled by freed farmer Tony Martin.
The superfit burglar, who insists he cannot work because of leg injuries caused when Martin shot him, pedalled through streets at high speed.
And that’s not all.
STRIDING along the street with no sign of a limp; DARTING up the three stone steps to his home; STEPPING off pavements with confidence and WALKING his dog without a hint of difficulty.
Yes they actually sent in a surveillance team to follow this urchin around and record the results. I wonder how Mr.Fearon intends to explain this to the Judge (assuming he gets that far).
Once again, The Sun tells it like it is.
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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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