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]

Samizdata quote of the day

“How did it come to pass that so many teachers and students, in some of the freest and most scientifically accomplished nations in the world, entertained such an illiberal, illogical, and politically repressive account of the relationship between science and society? Part of the answer may be that universities generally, and humanities departments in particular, are more backward than is universally recognised. For most of their history, universities functioned primarily as repositories of tradition. It was professors, not priests, who refused to look through Galileo’s telescope, and who drove genuinely progressive students like Francis Bacon and John Locke to distraction with their endless logic-chopping and parsing of ancient texts. Similarly it was twentieth-century humanities professors who, confronted with the glories of modern science and the triumph of the liberal democracies over totalitarianism, responded by denigrating virtually every political philosophy except totalitarianism.”

– The Science of Liberty, by Timothy Ferris, pages 257-8.

This is the Timothy Ferris who writes mostly about science, not the Timothy Ferris of the “Four-hour body” and other such works.

Samizdata quote of the day

“I keep telling you fellows I don’t like to do this sort of thing.  I can think of nothing more boring, for the American public, than to have to sit in their living rooms for a whole half hour looking at my face on their television screens…  I don’t think the people want to be listening to a Roosevelt, sounding as if he were one of the Apostles, or the partisan yipping of a Truman.”

– Former President Eisenhower, via PowerLine. That whole paragraph is deadly.

It is hard to imagine a less narcissistic POTUS than “Ike”. It is often the way with those who have boasted genuine achievements. As for the current occupant of the White House…

Government minister wants British firms to be charities, apparently

This is the headline from today’s Daily Telegraph:

Training and employing British workers is more important than a firm generating profit, business minister Matthew Hancock has indicated.

In the article, the wretched individual goes on to state that his comments should not be seen in the same light as Gordon Brown’s infamous nonsense in favour of “British jobs for British workers”. Well, it certainly looks to anyone with a grasp of language that this man is stating that national origins should count for a lot in hiring, and goes to the extent of saying that choosing a Brit is more of a factor in hiring than whether that person will increase the prosperity of a firm, which is normally why people get hired in a free market.

Ah, I mentioned the term “free market”. Silly me.

Here is some background from his website:

Matthew John David Hancock grew up in Cheshire. He attended Farndon County Primary School, West Cheshire College and The King’s School, Chester. He studied Philosophy, Politics and Economics at Exeter College, Oxford, and gained a Master’s Degree in Economics from the University of Cambridge.

So he read economics, and thinks he knows better than commercial organisations as to whom they should hire.

Matthew’s first job was with his family computer software business.  Later, he worked for five years as an economist at the Bank of England and in 2005 moved to work for the then Shadow Chancellor of the Exchequer, George Osborne.

Blow me down – the man had a stint in the private sector! But that did not last long and soon enough, he was working for the Old Lady of Threadneedle Street, which is now run by a Canadian governor, so presumably he disapproves of his government’s own decision to take a chance on hiring a foreigner.

This man represents a safe-ish seat in West Suffolk, which is near where I come from originally; he loves horse racing and in many ways I am sure he is a splendid chap, a bit of a Tory “knight of the shires”, as he hopes. But the thudding ignorance of his claim that firms should hire Britons first rather than take the “easy option” of hiring foreigners ignores the reasons why firms are doing this. I assume he realises that firms hire foreigners not just because of costs, but due to issues such as behaviour, character, work-ethic, and so on.

We should of course recall that the Tory party – as it used to be called – was the more protectionist force in the past – as demonstrated by the ruckus caused when Sir Robert Peel scrapped the Corn Laws in the 1840s, triggering a split in his party, and at the early part of the 20th, the attempt to re-impose tariffs caused a similar uproar. On immigration, the position has altered over the years: during Maggie’s time in office, and after, Tories were sometimes (unevenly) quite keen to stress how welcoming the UK is to certain people from overseas, not surprisingly perhaps given that several members of the Cabinet and parliamentary party were the descendants of immigrants (Nigel Lawson and Michael Portillo). It is a shame to see zero-sum thinking return to the party under the patrician, “nudging”, government-knows-best approach of David Cameron.

I hope businessmen give this minister a sharp kick in the shins. Better still, it would be no great loss to see his department closed down.

David Botsford, RIP

A few days ago, while I was on holiday in Santorini – one of the Greek islands – I was contacted to be told that one of my oldest friends, David Botsford, had died. He was only 49 years old.

David, a graduate of King’s College, London, is someone I first got to know back in 1988, when he was working at the time for an outfit called Outlaw Films. David was part of that libertarian circle of friends in London that I hung out with (Brian Micklethwait, Antoine Clarke, Tim Evans, Chris Tame and Kevin Macfarlane, among others) in that time. David was not the most high-profile libertarian activist, maybe, but he was certainly one of the most prolific, and insightful, in terms of the material he produced.

In the early 1990s, David decided on a change of career: he entered the field of psychology, and studied fields such as hypnotherapy, using his skills to treat people who wanted to give up smoking, beat stress or eating disorders. Shortly thereafter he went to the US – he held a dual British-US passport – and worked for a while in Los Angeles. He returned to the UK a few years later to develop his work in the UK, and spent a long time living in the Notting Hill area. I spent many happy hours in his company – David seemed to know just about every cool restaurant in the area and, given his interests, he also had a wide circle of friends. (One of them invited me – to his perhaps regret – to play in his cricket team). David was a stage performer. On one memorable night, he gave a stage hypnotism performance in deepest Soho and he also performed such acts in the US, such as Las Vegas, and gave talks to various groups and appeared on television.

His essays for libertarian publications on issues such as gun control, the arts, foreign policy and education stand the test of time. David was also a kind, generous and funny person to know and he was very dear to me and my wife. He will be greatly missed. Later this year, some of us who knew him intend to go to a restaurant and raise a glass or two in his memory.

Malinvestment in China

From the Wall Street Journal today:

A $91 billion industrial project here, mired in debt and unfulfilled promise, suggests part of the reason why China’s economy is wobbling – and why it will be hard to turn around.  The steel mill at the heart of Caofeidian, which is outside the city of Tangshan, about 225 kilometers (140 miles) southeast of Beijing, is losing money. Nearby, an office park planned to be finished in 2010 is a mass of steel frames and unfinished buildings. Work on a residential complex was halted last Christmas, after workers completed the concrete frames. There is even a Bridge to Nowhere: a six-lane span abandoned after 10 support pylons were erected.

“You only need to look around to see how things are going,” said Zhao Jianjun, a worker at a plant that hasn’t produced its steel-reinforced plastic pipes for months. “Look north, west, east,” he said, gesturing to empty buildings. Chen Gong, chairman of Beijing Anbound Information, a Chinese think tank, says Caofeidian shows the flaws of the Chinese economic-growth model, in which the government plans investment and companies are expected to follow suit, regardless of market conditions. Chinese local governments are “driven by the blind pursuit of GDP,” said Mr. Chen.

There are reasons why I have doubted much of this “China will overtake the US and dominate the world” stuff and the details referred to above are part of it, though goodness knows state-driven mal-investment is hardly the preserve of China. Far from it. But there has been enough evidence around to suggest that vast sums of money poured into Chinese projects of this type will not bear fruit. And there will be a reckoning.

Crime is falling

This article caught my eye in the Economist (Paul Marks, avert your gaze now), stating that in many nations, crime rates for offences of property, violence and the like have fallen significantly over the past few decades (but that’s no reason for complacency):

Both police records (which underestimate some types of crime) and surveys of victims (which should not, but are not as regularly available a source of data) show crime against the person and against property falling over the past ten years in most rich countries. In America the fall began around 1991; in Britain it began around 1995, though the murder rate followed only in the mid-2000s. In France, property crime rose until 2001—but it has fallen by a third since. Some crimes are all but disappearing. In 1997, some 400,000 cars were reported stolen in England and Wales: in 2012, just 86,000.

 

Cities have seen the greatest progress. The number of violent crimes has fallen by 32% since 1990 across America as a whole; in the biggest cities, it has fallen by 64%. In New York, the area around Times Square on 42nd Street, where pornographers once mingled with muggers, is now a family oriented tourist trap. On London’s housing estates, children play in concrete corridors once used by heroin addicts to shoot up. In Tallinn you can walk home from the theatre unmolested as late as you like.

 

What is behind this spectacular and widespread improvement? Demographic trends are an obvious factor. The baby-boom in the decades after the second world war created a bubble in the 16- to 24-year-old population a couple of decades later, and most crimes are committed by men of that age. That bubble is now long deflated. In most Western countries, the population is ageing, often quite fast.

The magazine looks at a range of others issues, ranging from drugs, policing methods, fewer opportunities, stronger protections on things like cars and houses, and so on. (Of course, modern burglar alarms and all the rest cost money, and there are the potential civil libertarian issues arising from developments in modern policing, arguably). Even so, with all the ifs, buts and niggles about statistics, etc, it seems there has been a genuine improvement, and in quite a short – relatively – period of time.

Maybe we are seeing, in accelerated form, the sort of decline in misbehaviour that Steven Pinker has written about in his book, The Better Angels of Our Nature.

And perhaps because certain forms of crime are in decline, that might also explain how this creates a vacuum for the worriers out there, as they focus on issues such as health, drinking, smoking, paedophiles, and the rest. I am not trivialising such concerns – especially the latter – but it might explain part of what it is going on. It is almost as if we humans need to have stuff to get anxious and worry over and there are plenty of people, with good and less positive motives, who are only to keen to pander to that need.

Samizdata quote of the day

By the time Detroit declared bankruptcy, Americans were so inured to the throbbing dirge of Motown’s Greatest Hits — 40 percent of its streetlamps don’t work; 210 of its 317 public parks have been permanently closed; it takes an hour for police to respond to a 9-1-1 call; only a third of its ambulances are driveable; one-third of the city has been abandoned; the local realtor offers houses on sale for a buck and still finds no takers; etc., etc. — Americans were so inured that the formal confirmation of a great city’s downfall was greeted with little more than a fatalistic shrug. But it shouldn’t be. To achieve this level of devastation, you usually have to be invaded by a foreign power.

Mark Steyn.

The sun has got its hat on – so let’s forget about football (soccer) for a while yet

Allan Massie has it absolutely right:

The national obsession with football will be back in the autumn. This is as certain as the fading of summer. If only our footballers could capture something of Joe Root’s delight in what he is doing. Football long ago styled itself “the beautiful game”, but too often it is mean and ugly. I have always hoped that the famous Liverpool manager Bill Shankly had his tongue in his cheek when he observed that “some people think football is a matter of life and death. I don’t like that attitude. I can assure them it’s much more serious than that”; but too many people speak and act as if it were true. It’s nonsense, of course. The truth about sport is that it’s deadly serious, and ultimately not serious at all. I don’t suppose Joe Root would put it quite like that. Cricket is his business, after all, not an agreeable hobby. Yet he plays as if unconsciously he recognises this truth, and this is one reason he offers such delight. It will be a sad day if that happy smile, which also displays his relish for battle, fades from his face.

Like the author and professional cricketer Ed Smith, I think that sport is a part of life and therefore a worthy subject in what it tells us about the state of our culture. It is perhaps a shame that it takes a smiling, cheerful chap such as Root to remind us that playing games should be fun. Fun? How frightfully old-fashioned.

I am a football fan, but even I am quite happy to stop tormenting myself on Saturday afternoons when Ipswich Town is playing. There is a long autumn/winter/spring to come when that can happen. In the meantime, the Ashes cricket season continues.

On the militarisation of the US police

For as long as I have been reading blogs, one regular blogger I followed has been Radley Balko. And Balko has developed a strong reputation for targeting threats to civil liberties in the US and the militarisation of the the US police forces. He has a strong article over at the Wall Street Journal, and here are a couple of paragraphs:

The new century brought the war on terror and, with it, new rationales and new resources for militarizing police forces. According to the Center for Investigative Reporting, the Department of Homeland Security has handed out $35 billion in grants since its creation in 2002, with much of the money going to purchase military gear such as armored personnel carriers. In 2011 alone, a Pentagon program for bolstering the capabilities of local law enforcement gave away $500 million of equipment, an all-time high.

The past decade also has seen an alarming degree of mission creep for U.S. SWAT teams. When the craze for poker kicked into high gear, a number of police departments responded by deploying SWAT teams to raid games in garages, basements and VFW halls where illegal gambling was suspected. According to news reports and conversations with poker organizations, there have been dozens of these raids, in cities such as Baltimore, Charleston, S.C., and Dallas.

Here is another good article at the Atlantic Monthly on the same issue.

Back here in Britain, there are echoes of this. In the Huffington Post over a year ago this point was made, although Samizdata regulars might want to adopt a skeptical stance about HP material, but in this case the argument seems sound enough.

 

On the nonsense of corporate “duties” from a Tory MP

Great minds think alike: I had been meaning to fisk Jesse Norman’s recent defence of the idea that companies have wide social and other “duties” – not just to that nasty stuff about doing what the owners want – but Tim Worstall, at his Adam Smith Institute perch, beat me to the punch. (As readers might have noticed, my Samizdata productivity has been hit by my being very busy at work, and, er, lots of trips abroad lately.) Here’s Tim:

Well yes Jesse: but you’re a Tory MP, not a Labour one. You’re not there to defend the idiocies of the past Labour Government you’re there to try to correct them. This part of the Companies Act was deliberately brought in to try and appease the more drippingly social democratic parts of the Labour Party. Rather than now stating that this is the aim and purpose of a company you’re supposed to be shouting from the rooftops that they got this wrong. The point and aim of a company is the enrichment of its shareholders, nothing else. You should be agitating to get the law changed to reflect reality, not accepting the fantasies of your predecessors: otherwise what’s a Tory for if not to be a reactionary? Alternatively, if we’re to have Tory MPs being so drippingly wet what’s the reason for the existence of the Labour Party any more? Who would need them?

Here is Norman’s original article – in the Daily Telegraph – so readers can judge for themselves whether Tim Worstall has him accurately pegged. He has, in my view.

Companies have no broad “duties” if you believe in private sector, and in a civil society based on voluntary relationships. That means if I set up a firm, with capital of mine or entrusted to me by others with their consent, then apart from not breaking rules about force, fraud, etc, there is nothing else one is required to do. Professor Milton Friedman has this all understood years ago. The proper response to calls for “corporate social responsibility” is “fuck off”.

When Norman talks of a “corporate duty” in some broader sense, he makes no attempt, from what I can see, to validate that by reference any fundamental principles. He is, I see, the author of a new book about Edmund Burke, and he uses Burke quite clearly to push against all this terrible “individualism” (ie, belief in personal freedom) and suchlike that he sees as causing all our problems. Never mind that libertarians/classical liberals have plenty to say about the benefits of a community based on voluntary interaction, not coercion. (How many more times does this have to be explained to the dullards who keep banging on about how we are “atomists”?). It is also well worth remembering that Burke was not a “Conservative” in the sense people today understand it; he was “Old Whig” and friend of the likes of Adam Smith and David Hume, and had little time for economic intervention.

To get back on the nub of the tax/company issue, as Tim Worstall says, if big firms are able to use their accountants and advisors to get around onerous local tax laws, then perhaps Norman and his fellow MPs should consider whether to make local tax laws as simple, and as low, as possible. Another point he ought to consider is something that Worstall again writes about on a regular basis: tax incidence. Companies are not people: if you tax a firm’s profits, then those taxes are paid by people in some way. The taxes are passed on in the form of lower dividends, lower capital gains, crappier products, lower wages paid to staff, shoddier products and services, etc. Norman should consider the sensible ideas of the 2020 Tax Commission.

Norman is a member of a political party that, however dimly, ought to be aware of such basic facts. Yes, I know that many of the Cameroons are utterly useless, but there surely are enough bright Tory MPs who can take Norman aside and explain the basic facts of economics to him. I can think of several MPs well suited to the role. Does Norman have Steve Baker’s contact details?

Addendum: I suppose some on the libertarian camp might argue that calls for corporate duties are what you get when firms receive subsidies, privileges from the state of various kinds, soft loans from central banks, etc. But the solution is not to grant these things in the first place. Simple.

On Murray Rothbard

 

By the time he gets to foreign policy, Rothbard has been on such a jihad against the state, and the U.S. government in particular, that he goes berserk and accuses the United States of being the bad guys in the (then ongoing) Cold War. In the First Edition (1973) he went so far as to attribute to Stalin a libertarian foreign policy, alleging the USSR practiced non-interventionism. When it was pointed out to him that the USSR invaded Finland, Rothbard added to his Second Edition a defense of Stalin’s attack, arguing that Stalin only wanted to reclaim traditionally Russian Karelia and liberate all the Russians supposedly living there. All of that is a-historical nonsense and Rothbard simply invented it. The Soviets planned to capture all of Finland and had even assembled a new Marxist government they hoped to install in Helsinki. The areas Stalin invaded are not “traditionally Russian.”  But even if Rothbard’s interpretation were true, how can Rothbard justify on libertarian grounds the bloodiest dictatorship in history attacking a free country in an effort to get “its” land and people back? It makes no sense, but Rothbard’s only concern is to defend his indefensible claim that the United States surpasses the rest of the world in doing evil. Unfortunately for Rothbard, long before the First Edition came out there was ample evidence that the Stalin and other Soviet leaders engaged in interventionism all around the world, often quite bloodily (Katyn Forest anyone?) Rothbard’s “libertarian” defense of Stalin is despicable and intellectually dishonest — and that’s the real problem with this book. Rothbard pretends that he’s doing careful analysis and finds the state wanting while showing that his own anarcho-capitalist system shines. But in fact, no argument is so bad, no intellectual sleight-of-hand too dishonest, if it will get Rothbard to his pre-chosen conclusion.

Charles Steele.

How often do we see the “enemy of my enemy is my friend” error among even pretty smart people – and Rothbard was not a stupid man. I have come across some libertarians who, out of an entirely rational desire to be wary of state adventurism, moral panics and so on, bend over backwards to play down threats and problems that statists talk about even when those threats and problems might actually be real. (This can be seen sometimes on issues such as Islamic terrorism or, for that matter, on environmental issues.) This can undermine the credibility of the argument. Far better for the libertarian to say: “Yes, I agree that X or Y is serious and cannot be ignored but a free society such as the one I favour is a far better position to deal with it than your Big Government-model one.”

Rothbard, it also should be said, was also an enthusiastic stirrer and practical joker: I think he enjoyed being outrageous for the sake of being outrageous; his pranksterism sometimes became an end in itself. (Sometimes those on the receiving end deserved it.) But this sort of behaviour carries its costs. It also leaves one with a sneaking sense that the joker might use the “but I was only joking!” defence as a ploy in case he or she was actually serious.

As Charles Steele writes in the same piece, this is all a great shame given that Rothbard could also be right on a lot of issues. I can recommend Brian Doherty’s Radicals For Capitalism, which gives Rothbard a lot of detailed treatment.

I think it was Rothbard who once came out with the crackerjack line: Say what you like about Marx, but at least he wasn’t a Keynesian.

Nice item on Kenneth Minogue

There have been extended periods, from the early 1960s onwards, when it has taken moral courage to stand up and be counted as a British conservative. Almost all of the institutions that enable public debate and engagement – universities, the BBC, the wider education establishment and the relevant parts of the Civil Service – have fallen under the control of the liberal Left. No matter what government was elected, a tough-minded and highly disciplined progressive elite has been in charge. This elite has been ruthless in imposing its doctrines and making sure that the relevant placemen were appointed to key positions. The fundamental assumption of this new ruling class is that government is benign. It does not like or understand freedom. It has extended its control far beyond the classical liberal functions of the state (which did not reach much beyond defence of the realm and maintenance of law and order).

Peter Oborne

Oborne can be wrong-headed at times on certain things – his veneration of the old BBC is something I just don’t agree with – but this is a nice tribute. I met Professor Minogue a few times but did not really know him all that well. He ranks alongside Roger Scruton and Professor Anthony Flew as one of those academics whom I have met that I regard very highly indeed. Alas, of that trio, only the fox-hunting Prof. Scruton is with us (and hopefully still around for a long time to come).