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]

The taxodus

Well, continuing in my theme of talking about folk heading off to mountainous nations with more sensible tax laws than in the UK, I see that Sir Simon Jenkins thinks that Britain would be well rid of the thousands of financiers and other folk who are threatening to leave the UK because of high taxes. Jenkins is a rum fish: he is often quite astute in pointing out, for example, the damaging impact of regulations on certain industries and in some ways his instincts are quite liberal in the old, proper use of that word. But he also thinks that tax rates don’t really matter. To hell with ’em, he says: these bankers are just bluffing:

“There may be someone out there outraged at paying 10 per cent more in tax from an enormous income, and equally outraged at his firm being taxed on his enormous bonus. Of these a few may be so outraged as to uproot their families, desert their friends and go into exile — before they find that a £2 million London house costs £9 million in Geneva. If they can do their business entirely online, why be in London at all? But I doubt if there really are 9,000 such sad, migratory souls.”

Jenkins needs to get out more. There are indeed thousands of people who are not amused at the prospect of having their wallets so comprehensively lifted. In my travels and through work in the media and wealth management sector, I can tell Sir Simon that the exodus of folk is not a mirage. It is happening. Note the lazy assumption that because these evil bankers are paid so much, it will not make any difference if the state seizes another 10 per cent of their annual income. In fact, once changes to pension allowances, thresholds and National Insurance are taken into account, the top rate of income tax in the UK will be more than 60 per cent in marginal terms for anyone earning more than £150,000 a year. That tax bite is higher than will be the case on top earners in France, if my memory serves. Way to go, Mr Brown! But what is objectionable about Jenkins’ reasoning – if we can dignify his comment by such a word – is the idea that such folk have no right to be outraged at having almost two-thirds of their income above a certain level seized, at source. The assumption is that no-one really “needs” all that filthy lucre and should be jolly grateful that they do not have to surrender even more. The unconscious collectivism is all too evident.

The consider this classic:

“We used to get the same tax-dread from the British film industry, howling at being taxed like ordinary mortals. Yet the last time Britain made really good films, in the Sixties and Seventies, marginal income tax was 80 per cent. In 1986 the Big Bang transformed the City of London, leading to German, Swiss and American banks pouring into London. It ensured that the City, then languishing under competition from abroad, would flourish. At the time, marginal income tax was not 40 per cent or 50 per cent but 60 per cent.”

That is a silly argument. No-one is claiming that if taxes rise, that the economy collapses overnight – the damaging effect can take quite a while to have its effect. But have its effect it did. Many of the stars of 1970s films, such as Michael Caine, Peter Sellers, Sean Connery, Richard Burton, Roger Moore, did not live in the UK for part of the period that coincided with confiscatory tax rates. Sellers, for example, ended his days in Switzerland.

“It was not until two years later, in 1988, that the chancellor, Nigel Lawson, cut the tax to 40 per cent. By then Margaret Thatcher was so fearful of over-heating the economy that she pleaded with him that 50 per cent was enough. It was not Thatcher who cut the tax, as Johnson keeps saying, but Lawson. It led to inflation, boom and bust.”

Well, if Mrs Thatcher really did think that 50 per cent was “enough”, then all I can say is that I am glad Mr, now Lord, Lawson, prevailed. If the state takes a smaller chunk of a person’s income at source, that does not necessarily fuel inflation – since before the tax was cut, presumably the money being seized from such taxpayers was being spent on something else. In fact, I would add that one of Mrs Thatcher’s faults was her support for mortgage interest tax relief, which encouraged people to over-extend their borrowing on property and helped fuel the housing boom of the late 1980s (UK regulations restricting house building did not help either, but that is another story).

Finally, there is this:

Bankers can drift around the tax havens of the world while we are stuck in London but I don’t see why I should pay off their gambling debts with my taxes when they will not pay them too. If they storm off in a huff, good riddance. I don’t want such people investing my money.

Here he is confusing good arguments – no bailouts for failed bankers – with a sort of vengeful “fuck-you!” spite against bankers in general. If Sir Simon wants to make the case against “too big to fail” bailouts of bankers, argue for a genuine free market in banking rather than the statist, moral-hazard disaster we have now, and insist that the Keynesian madness now in vogue be challenged, I will be cheering him on. I suspect I might have to wait a while.

Reflections from an airport lounge in Switzerland

My blogging activities have been a bit patchy of late – possibly my enthusiasm or ability to come up with topics to write about has run a bit dry after doing this gig for almost nine years. But one reason for my lack of output has been my business travels, since after a busy day heading around from place to place, it takes a bit of effort to crank up another posting. Anyhow, in one nation I visited in the past few days on business – Switzerland – I could not fail to be struck at how folk in that nation feel a sense of being under seige. Under siege, that is, from various financially ruined nations such as the US and UK who are becoming increasingly aggressive in chasing after taxpayers. And although Switzerland is far from perfect – they have their own bureaucratic foibles and petty rules – I generally like the cantonal system, which means that if the canton of say, Zurich, decides to impose some dipshit rule, another one might take a more liberal view. And on the issue mentioned by Perry de Havilland of the totalitarian tendencies of certain medical lobbyists, I’d argue that Switzerland falls pretty well near the liberal, if not libertarian, end of the spectrum. Take the issue of smoking in privately-owned places. Yes, there are bans in some places, but I noted, for instance, that at Zurich airport, there was a rather smart-looking cigar bar. (Smokers are treated fairly well on the whole). In the hotel I stayed in, folk were smoking in one part of it without provoking any kind of anguish from anyone else.

I occasionally write about this nation because it is useful to have an example out there of a nation that has managed to resist the siren songs of being a “good European” and joining the EU behemoth, and because its people seem to still have a sort of cussed independence of mind that is a pleasing contrast to what I come across elsewhere. No doubt the Eyeores in the comment thread will tell me otherwise.

As an aside, I find the Swiss accent of German as hard to understand as ever, and I thought my German was quite good.

The totalitarian mindset… total body ownership by the state pre- and post- mortem

The Royal Society for Public Health no doubt sees itself as a worthy collection of people who are axiomatically on the side of the angels. I mean, who could be against public health?

In truth they are a terrifying and truly totalitarian outfit who operate with a presumption that the state has super-ownership of the physical bodies of everyone in Britain. Now I am of the view that defence against infectious plagues is a legitimate role of the state because it is a collective threat… a plague, like a fire or an invading army, does not respect property lines and so this is the whole reason to have a ‘nightwatchman state’.

But that is not the view of people like the Royal Society for Public Health. No, they take the view that ‘public health’ follows on naturally from state run medical care and gives the state the right to decide pretty much anything that can impact on an person’s health, regardless of that individual’s preferred choices, even if those choices are personal ones that do not place other people at risk.

They have issues a manifesto for nothing less than the nationalisation of your body and the intrusion of the state, on grounds of protecting your health from yourself and others who agree to be around you.

  1. A minimum price of 50p per unit of alcohol sold
  2. No junk food advertising in pre-watershed television
  3. Ban smoking in cars with children
  4. Chlamydia screening for university and college freshers
  5. 20 mph limit in built up areas
  6. A dedicated school nurse for every secondary school
  7. 25% increase in cycle lanes and cycle racks by 2015
  8. Compulsory and standardised front-of-pack labelling for all pre-packaged food
  9. Olympic legacy to include commitment to expand and upgrade school sports facilities and playing fields across the UK
  10. Introduce presumed consent for organ donation
  11. Free school meals for all children under 16
  12. Stop the use of transfats

Of all these statist policies, number 1 is particularly invidious, with our technocratic masters seeking a sumptuary law on alcohol (i,.e. a tax to stop poor people drinking), number 12 seeks to regulate our choice of what we eat.

But by far the worst of all is number 10, this is the one which tells you everything you need to know about these people and the profoundly, unabashedly thugish nature of their world view… the state can help itself to your body parts by default. Post mortem conscription. Frankly I am all for organ donation, but at the moment, I carry a card expressly forbidding my organs to be harvested post mortem as the very notion these people are presumptive owners of any of my mortal remains is simply intolerable.

But then as they demand the right to regulate everything about your physical existence prior to death, I suppose it is no surprise they think nothing of helping themselves to your carcass after you die.

These people are the very worst kind of self-righteous technocratic curtain twitchers, the true spiritual heirs to the folks who in the first half of the twentieth century had people with birth defects sterilised or has troublesome people lobotomised, on ‘scientific grounds’ of course ‘for the public good’. Naturally such Guardian reading caring sharing folks would see drawing such analogues as a grotesque calumny, but in truth they exhibit the same intrusiveness and obsession with controlling the lives of others, it really is the same psychopathology, just repackaged for the 21st century with the current notions of ‘best practice’.

These people must be opposed… but not just politically, they need to be seen socially for what they are and abominated for their desires to regulate the lives of everyone around them. They presume to occupy the moral high ground but they do not and the more people who openly and publicly reject their axiomatic presumption of state controls over the very bodies of people, the sooner we can start to reclaim the culture of people who belong on a psychiatrist’s couch to help them deal with their abhorrent desires to use force against those who wish to live their lives without interference and according to their own judgements, with the positive and negative consequences of that accruing to themselves alone, like real adults.

The people behind this manifesto are detestable and they need to be told that to their faces.

Epitome

Today’s Guardian leader, purportedly on social class, is worth reading. It is utter rubbish. But it is worth reading because it is utter rubbish.

It is an informative compression of the muddled thinking of the reflex left: non sequitur piled on fallacy, piled on miscomprehension of both theory and real people, piled on all-or-nothing thinking, piled on misprision of fact, bonded together only with a sticky, sighing outrage. Read it out loud and you may find yourself using that furious-sobbing-child tone and plonking emphasis affected by professional radical activists—especially women—to convey how strongly they feel about the world. As is universally acknowledged, strength of feeling is the same as strength of argument.

I say ‘the reflex left’ because the alternative, ‘the conventional left’, though it offers the pleasure of mocking the unoriginality of the radical, suggests a developed coherence in what is usually just attitudinal stamp-collecting reinforced by mutual approval (libertarians beware). Considering that the reflex left is obsessed with economics and sociology, and professes to derive its policy from them, the arrant ignorance of either, even as they are invoked, is an unending wonder. (Libertarians beware, bis.) That is on fabulous display here in a jazz hands incursion into social mobility, offering numbers that are not numbers (“But a child born 20 years later who is a successful professional now would probably come from the top quarter…“) and that lead to no detectable conclusions, which can only have been included for emotional colour. Impersonal social forces are held to dominate, but paradoxically regarded as tools of the wicked if they do not do what is wanted.

There is another way that ‘reflex’ is appropriate: this is reflexive discourse. It preaches to the converted. It says, “Look! We were right all along.” And assumes therefore that nothing need be said to engage the unconvinced (and again, beware). It is offered within code.

The best non sequitur in the piece is an epitome of an epitome. I considered offering it as a quote of the day. It has everything: it erupts into the discussion from nowhere, is complete nonsense, is nowhere meaningfully followed up, involves an appeal to shared attitudes and beliefs in the reader as reinforcement, and contains an implied accusation of wicked motives in others:

Politicians want us to believe that it is possible to make better-off people richer without making poor people poorer.

The Guardian leader-writer thinks we already do believe that it is impossible. Not even unlikely. Impossible. If we object that sometimes people have got rich by enslaving and impoverishing others, but that mostly both rich people and poor people have got richer together, though at different rates, then we must be wrong. The rich are richer ergo the poor are everywhere poorer. If the Prince of Wales is running his Aston Martin on spare wine and skiing every winter, it can only be at the direct expense of the Duchy of Cornwall’s serfs – who are now starving in greater numbers than in 1337. The politicians stand accused of denying such an inconvenient truth

No wonder the people think they are out of touch.

Asking such strange questions

“Can Barack Obama turn things around?” asks Harold Evans in the Telegraph.

The most galling thing for Obama is that his campaign vision of a less polarised America has turned out to be a daydream. The fright-wing of the Republican party has become more virulent than ever. Instead of joining with him in essential reforms, he has been demonised as a Hitler, an enemy of the American Constitution, and the Wingnut “birther movement” screamed that he is not even an American citizen. It is a tribute to Obama’s resilience that he has kept his cool in the face of this hysteria. He remains personally likeable to most Americans (something that could not have been said for the moralising Carter or the abrasive Bush), but the fervour of the movement that elected the first black president has abated.

Oh those mean old wingnuts! Clearly Bush never had to put up with anything like that!

But if the current economic mess in the USA sprang from a Big State Republican’s policies operating with a congress full of his enemies, why even ask the question if an even Bigger State Democrat can ‘turn things around’ by digging the same holes deeper?

As for Obama being “the smartest guy in the room”… really? He took the failed policies of his predecessor and doubled up the bet… is that really the sign of intelligence or original thinking?

And whilst I may have thought Bush was dismal, I do not recall him publicly stamping his feet at all the Hitler analogies being made about him and I also never got the impression he was ‘abrasive’… just habitually wrong. Rather like Obama actually. Only a bit whiter.

Samizdata quote of the day

The most successful media companies out there are just digging their graves more slowly than the rest

Greg Hadfield

(hat tip to Kristine Lowe)

Climategate – Who are the environment correspondents?

Someone called Andrew K is using the excellent Bishop Hill’s blog to help him to compile a database of environment correspondents, complete with educational qualifications or lack of them. Says Andrew K of this project:

This is as much as anything an appeal for information: to do a little crowdsourcing.

Commenter MikeE is not sure he likes the tone of this post:

… I am not sure I like the tone of this post.

Yes, interesting. One of the biggest frauds in the whole history of our species is still being attempted, but don’t let’s be too nasty to the newspaper cheerleaders still trying to promote it. Let’s not get the tone wrong. I say that Andrew K’s tone is spot on.

Bishop Hill himself defends his guest-blogger:

One of the most interesting aspects to the history of AGW is the sheer unquestioning awfulness of the media coverage. This is an attempt to explain that phenomenon, and is not unreasonable.

Well, I think it goes beyond that. This is indeed quite nasty, as MikeE says, but only in the same sort of way that a prison sentence is nasty for a criminal. It is nasty but thoroughly deserved. Nasty but still the exact right thing to do. Just as I am in favour of prison sentences for criminals, I am also thoroughly in favour of the spotlight being shone on these (mostly) ridiculously unquestioning environmental correspondents. I said when Climategate first broke that once the “science” had been given a good seeing to, then next in line would be people like the idiot journalists who had been passing this “science” on with such enthusiastic credulity, them being a big part of the story itself. Excellent. What a difference an internet makes, eh?

So, if you can help with relevant information, please go to the Bishop’s blog and provide it. Comments about the general goodness or badness of compiling lists of bad people can go wherever that makes sense to commenters. Personally, as I say, I am all for it.

A Kurdish-Swedish perspective

I would like my first post on Samizdata to be something of lasting utility, and a link to a fact-packed post on a new blog might be just the thing. Super-Economy (wonderfully subtitled ‘Kurdish-Swedish perspectives on the American Economy’) kicked off with a broadside against the egregious Paul Krugman. Krugman had said in his New York Times column that the US has lessons to learn from the EU because the latter’s growth has been as good – well, almost – as that of the US recently.

He demonstrated this by comparing US GDP levels with – incredible but true – three European cities: London, Paris and Frankfurt. Tino, the blogger, comes back not just with the obvious rebuttal of a comparison between a country and three of the world’s wealthiest cities but with tables comparing the US, its individual states and the countries of the EU. You can find, for example, that the UK ranks below Missouri in terms of GDP per head – but at least we are above Alabama, which beats France. In fact the UK has a GDP per head of $35,669 as compared with $45,489 for the US. The average for the EU15 is $33,452.

Tino also tabulates GDP per head of various ethnic groups in Europe and their transplanted kin in the US. The average Brit is two-thirds as productive as the average ‘British-American’. The ethnic angle is what would have interested Steve Sailer, where I saw Tino’s blog linked (Sailer is indispensable – one of the few bloggers whom I read every day).

The differences Tino lists are huge enough to overwhelm any cavilling about definitions or methods. File the tables and use them as intellectual ammunition against anyone who argues that left-leaning Europe is better at capitalism than the US is.

Samizdata quote of the day

“It says something about our prospective future prime minister that when he decided to respond to accusations of being a lightweight, he did so by granting privileged access to the “most fashionable man in Britain”, and that the subsequent book that was produced (for which he was paid £20,000) and the subsequent articles that continue to be produced (Jones recently wrote a 3,288 word piece on Cameron for The Mail on Sunday), have resulted in revelations such as the fact that Cameron doesn’t really like Pot Noodle, that he needs six or seven hours’ sleep a night, that he has “small flecks of grey in his thatch” and that his karaoke song of choice is A Hard Day’s Night by the Beatles, because “even I couldn’t muck up a song like that”.

Sathnam Sanghera

The Haiti earthquake

The news out of Haiti today has been uniformly grim. As I watched the TV footage of people trying to find survivors from underneath the rubble, it was natural to wonder whether we haven’t been rather pathetic here in Britain to carp about the harsh winter, since, although the winter snows have not been a ton of laughs, it has not meant the kind of devastating loss of life and wreckage of homes that happens in an earthquake event.

Rand Simberg makes the point that while there is never complete protection for any kind of country against natural disasters, it tends to be a pretty useful rule of thumb that richer countries, with superior building standards and better means of rescuing those in danger, tend to fare better when nature strikes. Maybe he is right – I think the Japanese, for instance, with their almost constant experience of earthquakes, are in a better position, due to the wealth and technical prowess of that country, to deal with such events than a miserably poor, conflict-riven nation such as Haiti.

But frankly, even the richest, most technically savvy nation on earth is going to be clobbered hard by a high-category quake. Let’s hope help can get to those who need it most. Here is a site that seems to be offering shrewd advice and links to those involved in the relief efforts.

An overdue approach to China

Yesterday Google remembered its Don’t be Evil maxim and announced A New Approach to China:

We launched Google.cn in January 2006 in the belief that the benefits of increased access to information for people in China and a more open Internet outweighed our discomfort in agreeing to censor some results. […]

These attacks and the surveillance they have uncovered–combined with the attempts over the past year to further limit free speech on the web–have led us to conclude that we should review the feasibility of our business operations in China. We have decided we are no longer willing to continue censoring our results on Google.cn, and so over the next few weeks we will be discussing with the Chinese government the basis on which we could operate an unfiltered search engine within the law, if at all. We recognize that this may well mean having to shut down Google.cn, and potentially our offices in China.

This has been long time coming – and by long I mean a few months as apparently Google has recalled most of their engineers from China leaving behind skeleton staff in September last year – and yet vastly overdue. The move is surprising as the world got accustomed to ‘business’ justifications for dealing with totalitarian states – size of the market, encouragement of progress, which in turn breeds freedom, benefits to the oppressed, er, markets. Blah, blah, blah.

In as much as progress is encouraged by competition and customer sophistication, this argument is valid. In as much as these need to evolve in a framework based on the rule of law, lack of corruption, some respect for property rights and notions of individual rights and freedom, it clearly doesn’t apply to countries like China. During the Cold War, the detente of the 70s and its aftermath have shown that trading with the communist countries does not have marked impact on their political ruling class. Actually, it does as they are the ones who benefit from any foreign investment and trade. Both Coca-cola and Pepsi were widely available and I do not recall any tangible improvement to dissidents’ existence. Fair enough, Google is in business of information distribution and filtering, which is far more relevant to any regime opposition, however, what with compromise and censorship, it has ruled itself out that ‘game’ some time ago. As for technology transfer and indigenous competition they certainly had a constructive role – Baidu, the local search engine has most of the search market, having learnt much from the likes of Google.

A cynic might say Google has not much to lose by exiting China, the revenue from that market was ‘immaterial’ by their own account. Let the cynics have their moment. There are enough people and companies who worship Google as the ultimate modern corporation, or simply as a success story, and the signals this move would send can only be good. And long overdue.

I am not holding my breath for other companies to follow. There is no comment from Yahoo or Microsoft as yet but I suspect this quote by Tang Jun, former President of Microsoft China sums up a lot of thinking in the business world right now.

For Chinese netizens, it does not matter whether Google quits from China or not. But this was the most stupid decision they had ever made since giving up China was giving up half of the future world.

Mr Tang Jun is right, of course. The Chinese government and its business champions are hardly going to notice and bother even less. They have been hoovering up some of the best software engineers the Western businesses have made redundant in the last couple of years and growing their own breed too. All of the search engines in China have helped the Chinese government to censor speech, some of which we covered here before. Other companies, namely Cisco’s Panopticon Chinoiserie, have assisted in more active ways, though last year, the government tried, but failed, to force computer manufacturers to install a censorship program on their new PCs called Green Dam. Perhaps there is hope but, for now, count me among the cynics.

Samizdata quote of the day

This development may horrify the old guard, but peer-to-peer review was just what forced the release of the Climategate files – and as a consequence revealed the uncertainty of the science and the co-opting of the process that legitimizes global warming research. It was a collective of climate blogs, centered on the work of Stephen McIntyre and Ross McKitrick, which applied the pressure. With moderators and blog commenters that include engineers, PhDs, statistics whizzes, mathematics experts, software developers, and weather specialists – the label flat-earthers, as many of their opponents have attempted to brand them, seems as fitting as tagging Lady Gaga with the label demure.

– Patrick Courrielche, discussing the circumstances by which the Climategate e-mails came to light and were analysed by independent parties. Parts two and three of his article are unnecessarily on separate pages. I confess that I do like the phrase “Peer to peer review”. I am struck by how much of the progress here has been made by the so called “lukewarmers” – people who are (or at least were) open to the idea that global warming was real and human caused, who often had relevant expertise, and wanted to look at the data for themselves. After all, many interpretations are always possible.

(First link via Bishop Hill).