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]

Dusting off a famous AJP Taylor quotation

“Until August 1914 a sensible, law-abiding Englishman could pass through life and hardly notice the existence of the state, beyond the post office and the policeman. He could live where he liked and as he liked. He had no official number or identity card. He could travel abroad or leave his country for ever without a passport or any sort of official permission. He could exchange his money for any other currency without restriction or limit. He could buy goods from any country in the world on the same terms as he bought goods at home. For that matter, a foreigner could spend his life in this country without permit and without informing the police. Unlike the countries of the European continent, the state did not require its citizens to perform military service. An Englishman could enlist, if he chose, in the regular army, the navy, or the territorials. He could also ignore, if he chose, the demands of national defence. Substantial householders were occasionally called on for jury service. Otherwise, only those helped the state who wished to do so. The Englishman paid taxes on a modest scale: nearly £200 million in 1913-14, or rather less than 8 per cent. of the national income. The state intervened to prevent the citizen from eating adulterated food or contracting certain infectious diseases. It imposed safety rules in factories, and prevented women, and adult males in some industries, from working excessive hours. The state saw to it that children received education up to the age of 13. Since 1 January 1909, it provided a meagre pension for the needy over the age of 70. Since 1911, it helped to insure certain classes of workers against sickness and unemployment. This tendency towards more state action was increasing. Expenditure on the social services had roughly doubled since the Liberals took office in 1905. Still, broadly speaking, the state acted only to help those who could not help themselves. It left the adult citizen alone.”

AJP Taylor, historian. The funny thing is, that AJP Taylor was a lifelong socialist and therefore, supported policies and ideas that led, directly and indirectly, to the destruction of some of the liberties he wrote about in this much-cited passage, on page one, from his classic, English History, 1914-1945 (Oxford: Oxford University Press, 1970).. Like many of his generation, he was naive about the Soviet Union, to put it kindly, although he did break with communism while remaining a lifelong member of the Labour Party. But as he would respond, much of the damage to British freedoms mentioned in this passage had been done by the calamity of the First World War and its aftermath. And piecemeal changes – starting in the late 19th Century and arguably hastened by the arrival of the mass franchise, made these liberties vulnerable. But are we being starry-eyed about Victorian-era liberties? Is he describing a myth or a reality? There’s a question to stir up the commenters.

I see that Ed Driscoll of Pajamas Media liked this quote too. I imagine it resonates with American readers quite as much as with a Brit.

Has Obama had his “Gordon Brown” moment?

“Little does Barack Obama understand that he has forever branded himself as an incompetent and failure. His narcissism and lifelong history of receiving public adulation will not allow him to comprehend the damage. He does not understand that now few will listen to his speeches, no matter how well delivered; that few will believe what he is saying, as he has lied and obfuscated the facts so often. Many world leaders have already arrived at the conclusion that Barack Obama is a leader that cannot be trusted, the citizens of the United States are beginning to understand that he is a man without a core set of principles thus incapable of guiding the ship of state. The media, increasingly realizing their culpability in the nation’s current state of affairs, has begun to ask more penetrating questions and grudgingly question Obama’s fitness for office. Columnists once infatuated with his ability to deliver a speech and skin color have finally begun to admit their error. The Left has become more open in their criticism, as they now understand that the hero upon whom they vested so much hope is a hollow shell.”

Steve McCann.

Hayek vs Keynes at the London School of Economics

In front of an admittedly pro-“Austria” crowd at the LSE, it seems that academics defending the free market views of the late F.A. Hayek managed to fairly heavily beat those speaking up for JM Keynes.

This may not amount to much, but what I think these things accomplish is to remind the defenders of people such as Keynes (such as Lord Skidelsky, his biographer), that there are now hundreds, in fact thousands, of smart young economics and politics graduates and undergraduates who regard, say, Keynes and other economic interventionists, as wrong. Some of these people will become teachers and lecturers themselves, or, if they want to make serious money, work in banks and the like. Slowly but surely, all those people teaching stodgy, wrong Keynesian ideas are getting older and greyer and newer people with other ideas are taking over, however slowly at first. This LSE debate is the sort of event that makes me think that while the 2008 financial crash might be seen, in one way, as a supposed setback for “unregulated capitalism” (yeah, right), it has also pushed attention on ideas that got out of focus in the lazy, fat years of the dotcom boom and the early parts of the past decade. (And then of course there are all those tens of thousands of book sales of Atlas Shrugged, etc).

Libertarians and other non-socialists like to moan how our places of Higher Learning have been gradually taken over by people with bad and wrong ideas. We need, I think, to realise that that argument can cut both ways. People with good, insightful ideas can also enter these institutions, however slowly at first, and make a key difference. I think this is happening more than people realise. I know that optimism is deeply out of fashion these days. Wallowing in despair is, in my view, a cop-out.

Samizdata quote of the day

“I close this sermon with these words: Avoid anger, recrimination, and personal attack. Those with whom you are angry are probably (taken by and large) at least as filled with or as empty of virtue as you. Moreover, they are the very ones you might wish later to welcome as your allies. Avoid panic and despair; be of good cheer. If you’re working in freedom’s vineyard to the best of your ability, the rest is in the hands of a higher authority anyway. If you can see no humor in what’s going on (and even at times in your own behavior) you’ll soon lose that sense of balance so important to effective and reasoned thought and action. Finally, take comfort in the thought that the cause of freedom can never be lost, precisely because it can never be won. Given man’s nature, freedom will always be in jeopardy and the only question that need concern each of us is if and how well we took our stand in its defence during that short period of time when we were potentially a part of that struggle.”

– Can Capitalism Survive? Benjamin A. Rogge, page 300. Originally published in 1979 and republished by that splendid organisation, Liberty Fund.

Globalisation in the clouds

I have been reading this book, Aerotropolis: The Way We’ll Live Next, by Greg Lindsay and John Kasarda, and it is full of gems. We take the ability to order a book or other item online and have it delivered in days for granted, and perhaps tend to forget how much we have got used to this unless, that is, such services are disrupted by things such as security clampdowns or Icelandic volcanic eruptions.

Here’s a couple of paragraphs:

“Despite its handicaps, LAX has been the catalyst for the city’s metamorphosis into America’s premier trade entrepôt over the last 30 years. It was during those decades that the industrial fulcrum of California first shifted north – out of the hangars of Hughes Aircraft and into Silicon Valley – and then west, all the way to China. We have LAX to thank for our iPhones and iPods being `designed by Apple in California, assembled in China,’ as they advertise on their backs. Not just Apple, but every Valley company that began life combining transistors there – think Intel, Hewlett Packard, Sun, and Cisco – long ago began outsourcing work from its messy, depreciating factories to ones across the Pacific. Now they wait for airborne freighers to land in Los Angeles with the first samples of their latest holiday smash in the hold.”

(Page 29)

“Anyone lucky enough to have hitched a ride aboard a freighter or been taken under the wings of the `freight dogs’ who pilot them could tell ou enough stories to pass the eighteen hours to LA from Singapore. At any given moment, there are aloft `incomprehensible quantities of the mundane,’ in the words of one such witness: 160,000 pounds of roses leaving Amsterdam, 25,000 wiring harnesses bound for auto plants around the Detroit, or 5,000 pounds of Grand Theft Auto games inbound for LAX. Another writer babysat a stableful of horses in transit between O’Hare and Tokyo, including a dozen Appaloosas bound for a Hokkaido ranch. One pilot recounted the tale of a mysterious ice chest, insured for millions, which he later learned was the vessel for the first HIV drug cocktail.”

(page 33).

Thoughts about the Norway horror

“White extremists are rightly shunned by mainstream politicians. Muslim extremists are courted by the likes of Ken Livingstone. White fundamentalism and Muslim fundamentalism need each other. But white fundamentalism, unlike its Muslim counterpart, does not have a presence in legitimate institutions. The white Right should not be ignored by the security authorities – but it would be dangerous to divert our attention from the real threat.”

Andrew Gilligan, journalist, reflecting on the wider implications of the horror in Norway. I would add that security authorities should also not forget such threats as from remnants of the IRA in Northern Ireland, Deep Greens, and parts of the Far Left. There is, alas, plenty of fanaticism out there.

I have a few Norwegian friends and they are, thank god, safe, but in a small country, almost everyone in that fine nation has been touched by this act of mass murder. By the way, do any Samizdata commenters know about what the laws are about firearms in that country? I am appalled at how easy it was for this man to kill so many without challenge for so long. But then this bastard had clearly planned out his attacks, knowing that it would take time for the police to get to the island.

Samizdata quote of the day

“The early aircraft business resembled that of the shade-tree mechanics who, in building hot rods, gave rise, then as now, to true advances in automobile design. See also the chopper shops of California and their influence on the world of motorcycling. A list of these shade-tree mechanics includes the Wrights, Cyris McCormick, Henry Ford, Tesla, Tom Edison, Meg Whitman, Bill Gates, Burt Rutan, and Steve Jobs. How would they and American industry have fared had government gotten its hands upon them at the outset – if it had taxed away the capital necessary to provide a market for their wares; if it had taxed away the wealth, which, existing as gambling money, had taken a chance on these various visionaries? One need not wonder, but merely look around at the various businesses that government has aided. And now it has taken over health care.”

David Mamet, The Secret Knowledge, page 79.

Let’s not forget a media organisation funded via a tax

I imagine that even we hardened watchers of public affairs are getting a tad bored by the Murdoch/phone-hacking/police corruption affair, but an angle that is starting to gain some ground in the last few days or so is just how biased the BBC has been in its coverage. There is, of course, a website, Biased BBC, that tracks the failings of the BBC. As a state-licensed broadcaster in receipt of a licence fee collected on pain of imprisonment, the network has a status, and a presence in the media world, almost unlike any other. (I often have to explain to my American friends how the BBC is funded: they are frequently shocked when they find out).

Stephen Glover at the Daily Mail has a particularly good item on just how biased the BBC’s coverage of the Murdoch business has been. And here is a good item by Charlie Cooke at the National Review’s “Corner” blog.

When all is said and done, News International and its sister businesses do not send me a letter demanding that I pay for its services and products with a threat of fine or worse for non-payment. That fact needs to be pointed out more than it has been. The BBC needs to be broken up more urgently than any other media business.

Savings

There is an interesting discussion at the Cafe Hayek blog about how much it matters that Americans don’t currently save very much. Well, given that real interest rates (taking into account inflation) are negative, and that holding cash means real wealth declines, it is not surprising that real savings have been steadily eroded. The blog’s author is certainly right about this point, however:

“If saving is good for Americans, the nationality or place of residence of the savers whose saved resources are invested in the American economy is irrelevant. If saving is good for Americans, then given Americans’ saving rate, savings invested in the American economy by non-Americans are a blessing – a blessing that is bigger the greater is the amount of this foreign savings and investment in the American economy.”

“Yes, we Americans would be even wealthier materially if we Americans saved even more – wealthier materially both as a product of many or all of us having larger financial portfolios, and as a product of the economy of which we are a part having an even greater volume of total output. But for this very reason we Americans are made wealthier also when foreigners save more and invest their savings here, regardless of how much or how little Americans save and invest.”

Of course if I can nit-pick, I would make the point that when, say, Chinese investors bought oodles of US government bonds in the years leading up to the credit crunch of 2008, it helped drive US long-term interest rates even lower, hence encouraging even more US domestic consumer spending and borrowing, a process we know went horribly wrong. (The main culprit in all this was the Federal Reserve, not China, I should point out). Of course, if non-domestic savers are channeling those savings into investments that yield a positive future return, such as investments in technological innovations, new products and services, then that’s all to the good.

If we were to move away from fiat money to a commodity-based monetary system and 100 per cent reserve banking for demand deposits, then a savings culture would be encouraged considerably. At present, persuading people to save is understandably hard because people, even if they are not hard-money zealots like me, smell that there is something rotten with our money.

In some ways, I see parallels between the loss of faith in paper money and the declining credibility of the AGW crowd. I think it was Brian Micklethwait of this blog who said something along the lines that we have had junk science, and now junk money. There is only so much junk that human civilization can stand.

Pots, kettles

Given the prominent – and arguably, admirable – role that the Guardian newspaper has played in exposing some of the naughty, even allegedly criminal behaviours of certain Murdoch journalists in recent years, it is perhaps worth noting that the Guardian itself was not above obtaining sources of information that were obtained by breaking a few laws. Consider this article in Vanity Fair about the awkward, but also perhaps beneficial, relationship that developed between the Guardian and Julian Assange, the founder of WikiLeaks.

Remember, as the Samizdata comment thread regular “Llamas” pointed out the other day, that the sort of people who are condemning Murdoch journalists, and rightly so, are the sort who thought what a great thing it was that so much confidential information had been splashed all over the media due to WikiLeaks and its media users.

There are some double standards going on around here. And let’s not forget that governments, including such supposedly law abiding ones such as Germany, are not above using taxpayers’ money to obtain stolen information about private individuals’ bank accounts; or that governments have, allegedly, used harsh interrogation techniques (ie, torture) to obtain information, or snooped on private communications without a judge’s warrant, etc, etc. Now, such governments may argue, perhaps rightly, that they are acting in the public interest, and that News of the World hacks chasing after celebrity tittle-tattle are not. But who gets to decide here?

And here’s another thing: with police officers in the UK being accused of flogging valuable information on persons to journalists, it surely reminds us how dangerous it is to have created the Database State. By aggregating vast amounts of data in the way they do, the governments of Britain and other countries create an enormous temptation for bent public officials to sell that data. It’s going to happen, human nature being what it is. This is an angle that I hope pressure groups such as No2ID take up in the months ahead. We cannot trust governments, including liberal democratic ones, with our private information. That is a meme that deserves to gain traction from the Murdoch scandal, however it eventually plays out.

The end of manned fighter jets?

This article at the Economist (Paul Marks, please switch channels now! Ed) is getting a lot of attention. It argues that the F-35 fighter of the US is likely to be the last manned fighter to be developed, even though manned fighter jets will probably remain in use for a quite a long while yet. The future is about drones, due to reasons of cost, rising sophistication and efficiency.

Here are some paragraphs:

“What horrified the senators most was not the cost of buying F-35s but the cost of operating and supporting them: $1 trillion over the plane’s lifetime. Mr McCain described that estimate as “jaw-dropping”. The Pentagon guesses that it will cost a third more to run the F-35 than the aircraft it is replacing. Ashton Carter, the defence-acquisition chief, calls this “unacceptable and unaffordable”, and vows to trim it. A sceptical Mr McCain says he wants the Pentagon to examine alternatives to the F-35, should Mr Carter not succeed.”

“How worried should Lockheed Martin be? The F-35 is the biggest biscuit in its barrel, by far. And it is not only Mr McCain who is seeking to knock a few chocolate chips out of it. The bipartisan fiscal responsibility and reform commission appointed by Mr Obama last year said that not all military aircraft need to be stealthy. It suggested cancelling the STOVL version of the F-35 and cutting the rest of its order by half, while buying cheaper F-16s and F-18s to keep numbers up. If America decided it could live with such a “high-low” mix, foreign customers might follow suit.”

“The danger for Lockheed Martin is that if orders start to tumble, the F-35 could go into a death spiral. The fewer planes governments order, the more each one will cost and the less attractive the F-35 will be. This happened to the even more sophisticated and expensive F-22. By cutting its order from 750 to 183, the Pentagon helped to drive the programme cost per aircraft of the F-22 up from $149m to $342m.”

Oh well, it appears that all those young men and even women hoping to be the next Chuck Yeager will be disappointed. The era of the “fighter ace” may be drawing to an end. Somehow, telling a girl in a bar that you fly a drone remotely from a shed in Nevada does not sound quite so cool as saying that you fly Lightnings or F-16s. But then again, as our own Dale Amon might point out, if you want serious aviation action and adventure, then commercial space flight is where the fun is.

As I have referenced before, this book by PW Singer is essential reading for how technological developments in the current age are shaping military spending and warfare. From a libertarian point of view, it might be nice to hope that this would lead to a dramatic reduction in costs. The figures produced in the Economist’s report are, indeed, shocking.

Samizdata quote of the day

“It is worth asking in both the British and American contexts why people who regard themselves as believers in free speech and liberal democracy can be so openly eager to close off – silence, kill, extinguish – different political views from their own. This is the question that is at the heart of the matter and which will remain long after every News International executive who may possibly be incriminated in the current scandal has been purged. There is scarcely any outfit on the Right – be it political party, or media outlet – which demands the outright abolition of a Left-wing voice, as opposed to simply recommending restraint on its dominance (as I am with the BBC). That is because those of us on the Right are inclined to believe that our antagonists on the Left are simply wrong-headed – sometimes well-intentioned, sometimes malevolent but basically just mistaken. Whereas the Left believes that we are evil incarnate. Their demonic view of people who express even mildly Right-of-centre opinions (that lower taxes or less state control might be desirable, for example) would be risible if it were not so pernicious.”

Janet Daley.

Someone I know quite well said she hoped the problems at Murdoch’s media empire will lead to Fox News being shut down. Not changed in ownership, you understand, but closed. This person is, you will not be surprised to learn, very “liberal”.