“Not for to hide in a hedge,
Not for a train attendant,
But for the glorious privilege
Of being independent.”
As quoted in The Constitution of Liberty, FA Hayek, page 118.
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“Not for to hide in a hedge, As quoted in The Constitution of Liberty, FA Hayek, page 118. Great essay by Sean Gabb on the UK government and supposed plans to reduce public spending. The article contains a lovely line in relation to Peter Mandelson, the disgraced former Cabinet minister. Along with Sean and others, I will be at the two-day Libertarian Alliance annual conference tomorrow, held at that ancestral seat of 19th Century liberal politics, the National Liberal Club. Chris Dillow, over at his Stumbling and Mumbling blog, writes this:
The reason why they do not “recognise their undeservingness” is that they are not asking that the state, with its violence-backed power to tax, should give them something, only that they should be left alone to enjoy their wealth, whether it be undeserved or not. On the other hand, if we are going to have a state with these powers to make transfer payments, then it follows that people are more likely to support such coercive transfers if they are made to people who are considered, by some measure, to “deserve” these transfers. Seems a fairly simple argument to me. More broadly, though, the idea of “deserving” poor or “underserving” rich is, in my view, loaded with ideological significance, depending on who is using the term. Clearly, people feel a lot more relaxed about handing out money – either from a charity or from a government department – to people who are down on their luck but of good character, than they are about handing it out to the feckless. Similarly, it follows that there is more support for taxing supposedly “undeserved” wealth than “earned” wealth. The trouble with such words, of course, as has been shown by FA Hayek in his famous demolition of payment-by-merit in The Constitution of Liberty, is who gets to decide whether our circumstances came about due to “desert” or not. Such a person would have to have the foresight of a god. It is, as Hayek argued, impossible to do this without some omipotent authority being able to weigh up a person’s potential, and then being able to measure whether that person, in the face of a vast array of alternatives, made the most of that potential. Another point for redistributionists of all kinds to remember is this: if person A does not, according to some yardstick, “deserve” his or her wealth, then neither does anyone else “deserve” that wealth, either, since why should they presume to grab the benefits of such unearned luck? The logical result, surely, would be to destroy that wealth, so that no-one receives it at all. Of course, whether Nick Clegg or David Cameron would give such a comment is unlikely; I guess they’d go on about how their good fortune means they have an “obligation” to “society” in some form. That seems to be the view of a lot of those who come into the world with a lot of good advantages. It is by no means a fake or ignoble motive, at all; there is some sense, after all, that a lot of people are dealt a shitty hand by natture or Providence and that there ought to be a way that those down on their luck can get something better. But such a point of view in no ways sanctions state thieving (tax), in my view. It may be surprising to present-day readers to think that it was once thought a “soft option” to transport a convicted criminal to a colony such as Australia’s Botany Bay. But as this letter shows, that is what some influential people thought at the time:
Sydney Smith, Whig clergyman and wit, as quoted in Robert Peel, by Douglas Hurd, page 78. As an aside, Peel was involved in two issues – re-connecting bank notes to bullion, and the 1844 Bank Charter Act – that have enduring relevance to our own time. Hurd’s biography is very readable and has a nice tone to it; in my view, however, Norman Gash’s study remains the definitive one. Surfing on the blogs, I came across this item that I have not seen anywhere else. Israel has, potentially, some pretty handy oil resources. Wow, better tell Halliburton & all those nasty right-wing neocons and advise them to cook up some fake reason for invading the place… This article has more. This news story, if it turns out to be accurate, should cheer up the retailers of booze at airports. “Of course Peregrine Worsthorne is sane. He is just a typical example of the sort of châteaux bottled shit that floats at certain rarefied levels of British society exuding a miasma of highly articulate ignorance from every orifice.” – Our own Perry de Havilland, writing in response to my less-than-awestruck view of Worsthorne, an ageing Tory paternalist. Initially, when I saw the article, I wondered what on earth the editorial honchos at the Spectator Coffee House blog were doing in allowing this piece of invective to be published about the Tea Party movement in the US. But maybe those guys are actually being very smart, since the article is so bad, so unhinged, that it bears out the truth of what this Daily Telegraph columnist argues, which is that a large chunk of liberal (in the US sense) opinion is in total denial about what the Tea Party movement is about. It is just not within their mental frame of reference to comprehend ordinary voters rebelling about having to pay higher taxes for higher spending. (“But darling, how can the little people be so ungrateful?”). The Coffee House article tries to dismiss the TP movement is nothing more than a front for religious extremism. Now I don’t particularly care for religion and as regulars will know, I tend to regard the separation of church and state as being one of the good things about the US, although the idea of such separation is not explicitly called for in the US Constitution. But what the author of the Spectator Coffee House piece does not ask is this: if some of the Tea Partiers are playing fast and loose with American history, then are not the supporters of Mr Obama, and the bailouts, and the money printing of the Fed, also taking liberties with the intentions of the Founders? And that, surely, is what this is all about. The anger that is felt across the US among ordinary people is that their country is being bent out of shape by a group of people who hold them in contempt. Well that was not very clever of me, was it? I got the wrong de Soto in the original posting here, which I have taken down to avoid confusion. My apologies for the first poster who told me it was wrong. Ugh. Grovel-grovel. Here is the event, anyway. I strongly recommend people to go if they get the chance. I will be. There have, as I might expect, been a flurry of reviews about a recent biography of Harold Macmillan, who – to those non-Brit readers who might not have heard of him – was prime minister in the late 1950s through to 1963, and who was involved in controversies that hung over his head until his very old age, such as the issue of his alleged involvement in sending Cossack forces back to the tender mercies of Stalin at the end of WW2. He was a complex and interesting character in many ways; my mother remembers his nickname of “Supermac” and the extraordinary period in the early 1960s when the Profumo Scandal broke, as well as Macmillan’s own resignation through ill health and the subsequent emergence of Alec Douglas Home as leader. Home, let it not be forgotten considering how he was mercilessly lampooned by parts of the leftist press, almost won the 1964 general election. One review here by Simon Heffer more or less sums up my own views of the man. Heffer recognises that for all Macmillan’s undoubted merits – he was, for example, an extremely brave army officer wounded several times in the First World War – that he was a decidedly flawed politician in certain respects, particularly on the crucial issue of economic policy and industrial relations. The 1950s and 60s saw the rise of what was to be dubbed the “British disease” – a time of rising industrial strife, inflation, low productivity, endless “stop-go” cycles of Keynesian-inspired reflation followed by subsequent slamming on of the monetary brakes. And while it would be grossly unfair to pin too much blame on one prime minister for the sort of problems that eventually came to a head in the 1970s, he must take some share of the responsibility for the mess that was eventually addressed – after a fashion – by Mrs Thatcher’s administration in the 1980s. And yet the impression I get from Heffer’s review, and particularly, this one by Peregrine Worsthorne, is that the biography more or less absolves Macmillan of any blame whatever. Worsthorne’s review in the Spectator – behind a subscription firewall – carries this, for instance:
Oh dear. Fell asleep during the 1970s, did we? He also says that Macmillan was right to have played down the danger of the Soviet Union during the Cold War. I am not sure that is really true, but if it was true, is that to his credit? With the benefit of hindsight, the Soviet Union was a rotten house that looked imposing with all its mass Red Square parades and all the rest but eventually crumbled very fast, but at the time, it did not seem that way, and some very supposedly clever people, such as that Keynes fan (!) JK Galbraith, were arguing as late as the early 80s that there was no real difference economically between the West and the Soviet Empire. And the sheer size of the Soviet armed forces, and the way that the Hungarian and Czech revolts were harshly suppressed, hardly squares with the idea that that Empire could be treated with a sort of shrug of the shoulders. By the way, for a dose of good sense on the Cold War years, I recommend this by Norman Stone. But perhaps the most ludicrous aspect of Worsthorne’s review is this part, in which he writes mournfully of what might had been had Sir Alec Douglas Home won in 1964:
I am going to do Worsthorne the respect of assuming he is sane, and serious, when he wrote that somehow, Mrs Thatcher’s time in office was some sort of ghastly “interlude” when the rightful aristocratic rulers of us unwashed were horribly pushed aside by a bunch of grammar school educated City slickers and Jewish intellectuals. Macmillan once infamously said that he regretted there were more Estonians than Etonians in the Tory Cabinet of the time, a particularly nasty little line. Sure, the attack on the Blair and Brown bunch is perhaps more deserved, but let’s not forget that Blair was a Fettes public schoolboy, and a good many of Mrs Thatcher’s ministers came from smart backgrounds. In fact, when all is said and done, what Worsthorne rates as Macmillan’s greatest achievement, is contained in the opening paragraph of his review. I leave readers with this to ponder:
In other words, whatever Macmillan may or may not have done to stem the UK’s post-war economic decline, at least he kept the toffs on top. Words fail me. This article by one of the Home Depot founders has been out for a few days, but I thought it would be good to put it up as it communicates, with a sort of barely suppressed rage, how businessfolk in the US feel patronised and insulted by the sort of policymakers in Washington, obviously starting with Obama. And I would happily wager that there are a lot of business people who feel pretty much the same way about the UK, as well. I just wish we would have more entrepreneurs making these kind of comments. Probably the most devastating take-down yet of the economist and leftist news columnist I have ever read. The man’s credibility is in total ruins. The stuff at the end about the housing bubble is the killer. Read the whole thing. |
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