Showing posts with label the end of the journey. Show all posts
Showing posts with label the end of the journey. Show all posts

Tuesday, April 09, 2013

We Shall Not Look Upon Her Like Again

Ken Livingstone summed her up well, although he had a lot more negative things to say about her :

Ken Livingstone, Labour’s former London Mayor who clashed with Lady Thatcher during his time running the Greater London Council in the 1980s, said her personal “courage and drive” made her “the most admirable prime minister of modern times”.

“She didn’t worry about focus groups, she didn’t read the newspapers,” he said.

“There was real courage.”

However, Mr Livingstone said it had been “a tragedy for Britain” that her policies had been so badly flawed.


The Thatcher years were the start of the world we live in today. Her Premiership saw:

a) The start of the debt-fuelled culture which crashed in 2008 - remember "takes the waiting out of wanting" ?
b) The rise of the UK underclass, bastardy and drug use
c) The rise of the deregulated financial “economy” and decline of manufacturing
d) The rise in house prices
e) a collapse in the birth rate as
f) more women participated in the workforce (so they could afford a house!)
g) a dramatic rise in crime – linked to b)
h) the sell-off of vital infrastructure – power generation and distribution being the most important

While winning her economic wars, she was defeated in the culture wars – I’m not sure she even realised she was fighting one, let alone that she was losing. At any event, the Britain of 1990 was a lot further from Alderman Roberts’ Grantham than the Britain of 1979.

But the thing is – every government since has overseen the continuation and perhaps intensification of all the baleful trends above – with the one glorious exception of the Blessed Michael Howard’s noble reversal of the previous 50 years penal policy.

And, of course, Blair added a few more baleful trends all of his very own - including massive immigration and stopping all nuclear development in 1998.

We see in the Thatcher years yet again the contrast between the post-68 left's total dominance of the social agenda and their defeats on the economic agenda. A former girlfriend was a trainee social worker in 1980 - those girls hated Thatcher, more for her conservative social beliefs and her personal style than her economics. Such a straight !

Thatcher’s small-town conservative social values were almost redundant by the end of her reign, with rocketing rates of crime, bastardy, drug use, STIs.

The 80s were when the 60s went mainstream – I can still remember finding a bunch of lager-drinking ‘lads’ from my local picking magic mushrooms one September – their counterparts of ten or fifteen years before would have avoided such things like the plague.

So why did Mrs Thatcher’s social agenda fail so dismally while her economic agenda – at least as regards crippling union power – succeed?

Because individual capitalists – especially in the financial sector – found that none of that made much difference to their profits. Some things, like the influx of women into the labour market, and a move from manufacturing to services, were a positive boon as far as reducing militancy and strikes were concerned. The destruction of the existing cultural landscape was no problem to people who didn’t particularly identify with it – like Rupert Murdoch.

Bastardy, crime and the underclass were much more of a problem for working class people than the elite, who didn’t have to live with it or send their kids to school with it. Not much anti-social behaviour in Roy Jenkins’ Oxfordshire village – plenty in the Valleys where he was born.

Sure, taxes were quite high to pay the benefits bill – but they were coming down, and compared to the 1960s they were massively reduced. And North Sea oil paid the bills and enabled us to keep the balance of payments deficit getting too outrageous – while the City tax take climbed ever higher. You can only take one step at a time – IIRC Mrs Thatcher’s share of state spending was around the same when she left as when she arrived – remarkable when you think what the state no longer did – steel, coal, gas, water, power.

It's arguable (I tend to agnosticism) that Mrs Thatcher's curbing of the unions may have been a good thing in a relatively closed society. But when that was combined with immigration on the scale of the Blair years, it was an invitation to capitalists to fill their boots, then grind them in the faces of the poor. The toxic synergy of capitalist economic ideas (up to a point - would Adam Smith have bailed out the banks?) and post-68 left social ideas have between them created the Britain we see today - and it's not a pretty sight.    

Friday, March 29, 2013

Are We Doomed?

On this most solemn Crucifixion day, let me share some sombre stats with you :

 Let me put that in writing :

Gas up 168% in ten years
Electricity 97%
Property 66%
Water 63%
Council tax / rates 59%
Petrol 59%
Food 39%
Rents 28%
Consumer durables -5%
Average income up 38%
CPI inflation up 27%.


I don't know what it tells you, but it tells me that the ONS measures of inflation, as far as the poor are concerned, are woefully inadequate. There's no doubt that 24" monitors (made in the Far East) are a fraction of their 2001 price - but how many of those do you buy a year, compared with the number of trips to the garage or supermarket you make?

With pensioners' savings bringing near-zero incomes, and benefits being restricted to 1% increases for the next three years, in tandem with more talk of energy price rises, people will freeze to death with costs like these.  

The graph is from Tim Morgan's The Perfect Storm (pdf). He's head of research at the broker Tullett Prebon, and his thesis is that

a) barring a nuclear miracle* (fusion or thorium), the era of cheap energy is over
b) the end of cheap energy = end of growth
 
c) the West is particularly poorly situated to deal with this because

d) we've outsourced most of our production to the Far East
e) but we've continued our high consumption, which has left us

f) massively indebted, both at the personal and State level - debt which can only be repaid by heroic and unattainable future growth assumptions. In other words, we're doomed.

I'm particularly taken  with Dr Morgan's work because his short term forecasting record is pretty good. In one of this earlier Strategy Reports, Thinking The Unthinkable, he said the government's deficit reduction strategy was doomed to fail :

"We believe that the British economy simply is not capable of growing at anything like the rates which are predicted by the OBR and are critical to the government’s deficit reduction calculus."

His arguments were based on the idea that previous growth had mainly been the result of private borrowing and public spending, both of which had braked sharply, if not gone into reverse. The sectors of the economy which had provided most recent growth were precisely those which the crisis had hit hardest. Another sobering graph :

  
To be fair, this may well have been the story of 1986-2007, or even from 1979. Doing things - up, producing things (except houses, schools, PFI hospitals and office blocks) - down.

I digress. The point is, he was right in his prediction, and his explanation of why Osborne's targets wouldn't be hit was persuasive. So I was naturally receptive to his gloom and doom.

Trouble is, I'm an Eeyore, a sucker for predictions of Armageddon. Laban was a Green before the word was invented, back in the days of Paul Ehrlich's Population Bomb and the Club of Rome's Limits To Growth. (I still believe in their basic theses - though Ehrlich failed to predict the Green Revolution which prevented mass starvation, so his forecasts of hundreds of millions of famine deaths in the 70s and 80s happily failed to materialise - and he looked ridiculous. But .. "the trees do not grow up to the sky".)

So I'm a long term believer in doom and gloom, but we have to live in the present, in the long run we're all dead etc. What's exercising Tim Morgan is not that we'll run out of energy, but that it won't be cheap any more, because of something called EROEI - Energy Returned On Energy Invested.

Eighty years back you could drill in Arabia and for every barrel's worth of energy used to make, transport and power the equipment and the oil produced, you'd get a hundred barrels back - EROEI was 100-1. Forward to the North Sea now, and Dr Morgan believes the ratio may be as low as 5-1 - that the cost of five new barrels of oil is burning an existing one. Lower still for the tar sands of Canada and shale gas (although at that point I have to ask - why is shale gas so cheap in the States? Are the producers losing money on it?).

Now Tim Worstall thinks that EROEI is "nonsense", but I must say I don't find his argument as presented in Forbes very persuasive :

"while the math and physics of ERoEI is just fine, indisputable even, it’s just not a very useful conceit except in certain very limited situations. Basically, what is being said is that as oil gets deeper, more difficult to pump up, perhaps with tar sands we’ve got to use more energy to purify the stuff, then at some point we hit a boundary, a system boundary. We’ll be using more energy to get the oil out than we’ll get energy from the oil we get out."

Dr Morgan just says that energy's going to be very expensive, and that world economic growth has almost exactly paralleled increased energy use. Increased EROEIs will, he says mean that an ever greater proportion of world energy use will be devoted to ... energy extraction, with a consequent decrease in the amount devoted to other activities, like driving to Swansea or turning on the electric fire. 

"It takes 1,000 tonnes of water to grow a tonne of wheat. That water must be fresh water. Producing fresh water requires huge amounts of energy. The Sun does this very nicely for us, evaporating it from the oceans and sending it back down as rain again. Now, think of the energy that is required to evaporate 1,000 tonnes of water…..that’s 1 million kilos at 419 kJ per kilo. 419 million kJ. There’s around 3,000 calories in a kg of wheat. So our tonne of wheat provides us with 3 million calories. 3 million kcal (nutritional calories that is) is 12560400 kJ. A little over 12 million kJ. So, in producing that staff of life, those grains which keep the entire world turning, we use 35 times as much energy as an input as we get as an output. And we’re quite happy with this. We don’t think it odd at all. And we most certainly don’t say that it’s unsustainable because it doesn’t pass the ERoEI calculation.

The reason we’re not worried about it is because we’ve got vast amounts of energy coming to us as sunlight. Huge, massive, great big gobs of it. And we’re entirely happy to use it copiously, waste huge amounts of it, because there is so much. We want that energy in a form that can be used by our bodies and we’re just delighted to waste 97% of the energy in order to get a bit in the form we can use.

ERoEI just isn’t a binding constraint on our system, not at any human scale."

Tim's just describing the Agricultural Revolution of 6,000 years or so ago. But we no longer just want "energy in a form that can be used by our bodies" (and even that energy is now dependent on large secondary fossil fuel inputs - via the fertiliser, the tractor, the harvester, the grain dryer, the bakery, the supermarket). We want lumpy, if not liquid, energy - energy we can cart around as fuel for our cars and aircraft, energy to create electricity to power everything from tablet computers to ski lifts, energy to warm our homes - transportable energy. Apart from nuclear and (in some parts of the world) hydro electricity, our main sources are fossil fuels - a finite resource, that once was cheap to extract, but no longer. The low-hanging energy fruit has gone.



* of course the thorium cavalry may gallop over the hill, but we still can't go on increasing energy use indefinitely. How would we get rid of all the extra heat? I guess the fate of the Martian atmosphere is ever in my mind.       





Thursday, March 21, 2013

Plan B - "Reinflate The Housing Bubble !"

George Osborne is the Son Of Brown :
"George Osborne is going into the mortgage business. What could possibly go wrong?

...(the taxpayer) is to underwrite £130bn of mortgage loans. They, or we, will pick up the tab if the borrower defaults. This will give banks the confidence to accept smaller deposits of, say, 5 per cent, meaning the borrower can borrow more. It is not hard to see how this will encourage struggling banks to get a racier appetite for risk. Imagine the discussion between the buyer and the mortgage adviser: "Oh yeah, it's underwritten by the government, borrow a bit more!" This is supposed to be the way out of a private and public debt crisis.

Remind me, how did the country get into its current mess in the first place? In America both political parties connived to loosen the lending criteria until anyone who wanted it could get a dodgy loan to buy a house. In the UK too, a private sector debt bubble was facilitated by a cheap money policy encouraged by the government. Combined with financial engineering by the banks, and the financialisation of the economy, the UK economy was made very vulnerable to an international shock. Once again, a big gamble is to be made based on pumping up the housing market."

There's no doubt that this will do wonders for buy-to-let landlords, who'll be able to buy new places to live in while renting out their existing residence (the loans are ostensibly not for buy-to-let) - and that's just what the British economy needs, after all. One wouldn't want the average house price to be affordable by the average earner, would one? As the BBC said this morning, it'll aid "recovery in the housing market" - and recovery is a good thing, isn't it?

In other news "Recovery in the fuel market", "Recovery in the food market", and "Recovery in the energy market"!

Oh, and along with handing over 20% of the price to housebuyers, the taxpayer will be on the hook for a chunk of any losses on the loans (losses to the lenders, of course - who else?) in the event of a US-style price meltdown. Altogether now :

"Privatise the profits -  socialise the losses !"

Obviously we'll need a bit of extra demand to keep rents up, too - so don't expect immigration to come down any time soon - or any time at all. Oh, and that inflation "target" that they don't take any notice of ? Well, they're going to take even less notice of it in future !

I guess this is all of a piece with previous policy, and will continue to drive the remorseless widening of the gap between the elite and the rest of us.







Sunday, January 06, 2013

The Beginning Of The End (Of The Journey)

Well, tomorrow sees the end of Child Benefit for those bloated plutocrats with a household income of £50,000 and a stay at home mother .

Thank heavens it's been preserved for those struggling families on £98,000 a year and a working mother, not to mention the 37,900 children living in Poland who receive it. The Tories are the party of the Polish family, after all.

I call on the commenters - is this the first removal of a universal benefit since the NHS introduced prescription charges, and a young minister, a left-wing firebrand called Harold Wilson, resigned in protest in 1951 ? Wilson, as Prime Minister, removed the charges in 1965, a rare example of political consistency, then reintroduced them in 1968. They've been there ever since.

The point of universal benefits, like a universal postal system, is social cohesion. They showed that the Welfare State was for everyone, that we were indeed all in it together. The more benefits are means-tested (an expensive and bureaucratic procedure), the more the welfare state is purely for "the poor" and not for "everyone", the less support it'll have from what Churchill called "the broad masses of the well-to-do" and the more uncertain its future.

 For some in or around the Tory party, for the millionaire venture capitalists advising on employment legislation while themselves paying only 10% tax, or the billionaire retailers advising the government on efficiency, while ensuring their company dividends go offshore, that may be considered a feature rather than a bug. 

 On Tuesday there's the vote on the 1% benefits freeze - for 3 years, at a time when the new BoE Governor, Mark Carney, has already suggested that his predecessor Mervyn "Money Printing" King is a tad hawkish on inflation targets, and that some loosening may be required in the fiscal straitjacket that has seen inflation continually above the 2% target.

I have no problem with someone putting forward the argument that benefits are too high, that they afford more than a minimum standard - but no one in the Tory party is doing that. Instead, it's proposed that they should be cut because of 'fairness'. Yet they're meant to afford people a minimum standard of living. When food and electricity prices rise by 10%, and benefits by 1%, what's going to happen to those people ? And that's just one year.            

I must say, the next few years are going to be interesting, in the Chinese sense.

The suicide rate fell dramatically at the start of both World Wars, as those otherwise tired of life decided that, like Vince and Muskie, they just wanted to stay around just to see what happens next.

I feel the same. The next few years are going to be awful but fascinating.
     

Saturday, January 05, 2013

Benefits Rise By 1%, Food Prices Rise By 5% ?

Laban, last week at CiF:

"It was a bad wheat harvest in the West (although I'm told East Anglia did better then usual - they reckon they don't normally get enough rain there) but it'll be worse in 2013. None of the fields have been sown round my way - can't get tractors on the fields. Usually by now wheat would be sprouting.

Dairy and beef farmers have had to keep their beasts indoors since October and it's costing them a fortune in feed.

Food's going to be more expensive."

Telegraph, yesterday :


"The price of basic food items could rise by as much as five per cent this year because of miserable weather last autumn, the managing director of Waitrose has warned. Mark Price said food price inflation is already hovering at three to three and a half per cent, but this is just "the tip of the iceberg" and prices could increase even more dramatically over the coming months.

Produce such as bread and vegetables will become up to five per cent more expensive because of poor crop yields leading to a shortage of supply, he warned.

Many farmers are reporting that they still have not planted crops for 2013 because of the torrential rainfall which caused flooding across parts of Britain late last year. "



"Open borders make the eventual abolition of the welfare state imaginable"

Thanks to blogger BenSix in the comments for this, from libertarian economist Bryan Caplan.
























(Graphs from Alesina, Glaeser, and Sacerdote's "Why Doesn't the United States Have a European-Style Welfare State?")

























Caplan thinks that the end of the journey is not only possible, but desirable. Key paragraphs :


"Diversity undermines solidarity. People don't mind paying high taxes to support people "like them." But free money for "the other" leads to resentment and political pushback.

That's exactly what we're seeing in the UK, and why Osborne and Shapps may get away politically with a real-terms benefits cut. They noted the outrage among working people in 2011 when benefits rose by 5% at a time of static wages.


If you're a social democrat, this implies a tragic trade-off between social justice for natives and social justice for potential immigrants. But if you're a libertarian, the opposite is true. The welfare state doesn't make open borders impossible. It's open borders that makes the eventual abolition of the welfare state imaginable."


Caveat - the first graph is based on 1990-1998 figures, the second on 1998 figures. Ireland and the UK, for example, are considerably more diverse than they were then. And the US is a lot more Hispanic than it was in 1998.

UPDATE - another academic blogger takes issue with Prof. Caplan  - no comfort here, I fear:

" In particular, let me stress once again that even if open borders makes the majority population more anti-government, after a while their preferences will not matter, since they will inevitably become a minority of voters. "
 But at some stage the money runs out, no matter what the voters want.

Prof Caplan responds - no comfort again :

"The claim isn't that open borders will "destroy" solidarity or the welfare state, but merely that open borders will undermine both.  And while free-marketers may well agree that some degree of solidarity is good, it's also hard for free-marketers to deny that current levels of solidarity are excessive.  Solidarity stands in the way of free-market reforms in pensions, education, health care, taxation, agricultural policy, and much more."
 Can't say we've not been warned.




Saturday, December 22, 2012

"What's Wrong With The Left?" Part 296

Andy Newman at Socialist Unity is worried :

"I think there is another underlying problem, in writing about what the left is doing,  because the left really isn’t doing much at the moment which engages with the political mainstream. I will write a longer and more considered article on this, but I am interested in what our readers think. Has the left lost its way?"
Well there's a surprise. What could the matter be, I wonder ? In a week when the statutory consultation period for large-scale redundancy has been reduced from 90 days to 45, and the Agricultural Wages Board ('which permits the fixing of minimum wage rates and terms and conditions for agricultural workers') has been abolished, all with hardly a ripple of opposition, what could a left-winger in the UK possibly find to worry about except US gun control and gay marriage ?

But if Andy doesn't understand what's going on, his commenters can fill him in :

Alan Gibbons : 

"The Tories have been relatively successful at slicing away at public services. There has been no ‘big bang’ provoking a generalised fightback... anti-welfare rhetoric has struck a nerve with some sections of the population. The second national anti-cuts march, while substantial, was smaller than the first...what worries me more, from the perspective of somebody involved as an independent activist in the fight against the cuts and particularly the campaign to save the public library service, is that the Left looks much older, greyer, divided and less confident ..."

You're telling me ... I think this post needs a link.

"The time of salami-slicing in public services seems to be coming to a close and whole areas of public spending may be axed, as shown by Newcastle’s withdrawal from the Arts. The assault on redundancy, the privatisation of the NHS, the proposed onslaught on the teaching unions and accelerating attacks on benefits show a weak government with a fragile mandate going ahead regardless with an offensive strategy."

A slight diversion here - I think some areas of public spending OUGHT to be axed. The dynamic of the last sixty years in local government is

a) central government puts statutory obligation on local government
b) gives them some money to fund it.

Until a local authority gets far more of its money from central government than from local taxation, and this is cancerous to local democracy, because you don't really get what you vote for. As a school governor, for example, I saw our Conservative local authority zealously implementing Labour's hideous "Every Child Matters" agenda, and wondered what the point of a Tory vote was. If central government want something done, they should do it themselves.

So anyway, I wouldn't mind if some of the legislative nagombi (how many diversity consultants) was dropped. Alas, this isn't going to happen any time soon. What's more likely is that the local authority (LA) staff will end up being outsourced to whichever company promises the LA that they can do the same stuff as the council did, with the staff having the same terms and conditions (except pensions - a not inconsiderable point, as LA pensions are index-linked final salary i.e. what you don't see in the private sector any more) - and all at 10-15% less cost ! I invite the reader to imagine at whose expense these savings will come.

I digress.

Nadia Chem - fine old English name, but she talks sense (though should that be "overestimated"?) :

"What has been missed is the reality that the working class might not have the confidence to resist such an offensive. The atrophy of working class organization at workplace and community level cannot be underestimated... the locus of the offensive has been as much in a general attack on living standards as in cuts. This has generated an enormous well of bitterness but little active resistance... the fact that this attack on living standards started under the Labour government from 2006 weakens Labour’s ability to grasp the bitterness."

Mr Newman himself :

"My experience of knocking doors for Labour, is that people are open to a traditional Labour message, but not with any real conviction that labour would be even different, let alone better."       


Trust the people, Andy.

"I fear that much of the left – including the so-called revolutionaries – have actually given up on social change"

I wouldn't say that. We've seen unprecedented social change, and will see more.

BrokenWindow :

"the Left is as atomised as the workers collectively are atrophied. Underpinning this is an absence or failure to theoretically engage in wider debates about globalisation and nation states... most of all it must re-engage with the people it hates the most,the young working class white men and women who have gone to the right."

So there are plenty of people who can see that there's a problem. But in 175-odd comments, no one seems to really know why they're up the Swanee.


"the best thing we could do for the cause is to recruit more people to unions/help install a sense of discipline/participate in community campaigns and start working where people are rather than where we want them to be." 

Of course ! Like good old  Boxer in Animal Farm, "I must work harder" ! If only we were better socialists...

Laban dropped into the comments a quote from the anthropologist Peter Frost (of 'Fair Women, Dark Men') :

"In late capitalism, the elites are no longer restrained by ties of national identity and are thus freer to enrich themselves at the expense of their host society. This clash of interests lies at the heart of the globalist project: on the one hand, jobs are outsourced to low-wage countries; on the other, low-wage labor is insourced for jobs that cannot be relocated, such as in the construction and service industries.

This two-way movement redistributes wealth from owners of labor to owners of capital. Business people benefit from access to lower-paid workers and weaker labor and environmental standards. Working people are meanwhile thrown into competition with these other workers. As a result, the top 10% of society is pulling farther and farther ahead of everyone else, and this trend is taking place throughout the developed world. The rich are getting richer … not by making a better product but by making the same product with cheaper and less troublesome inputs of labor."
 

I think Mr Frost describes it pretty well. The UK business elite in 1940, as noted in Harold Nicolson's diaries, were prepared to go down in flames rather than see Hitler triumph. But now ... even "conservatives" like Boris Johnson and Michael Heseltine* "are no longer restrained by ties of national identity", let alone businessmen who've seen their incomes soar, both absolutely and relatively. This is why the end of the journey will soon be in sight.
    
Anyway, Andy (or his gofer, I know not) deleted the post in about minutes one. They don't want to know, and that's why they'll continue to get shafted - along with the rest of us.

Andy is at this moment involved in  an industrial dispute between Carillion, an outsourcer, and their many Asian employees - mostly Goan Catholics and I'm sure good people (the details of the dispute make depressing reading - looks like third-world petty corruption is already here).

But you do have to wonder why people from half way round the world are needed to clean Swindon's hospital - especially as Swindon is a place where there are 30 applications for every vacancy in Next.

The answer to Andy's questions are literally staring him in the face - but there's none so blind as those who will not see.

    


* Heseltine gave a famous Spectator interview where, asked if he was worried about Britain being merged into a Greater Europe, replied "who now remembers the Heptarchy (the seven kingdoms of Saxon England)?" 

Wednesday, September 19, 2012

More Thoughts On The End Of The Journey

From todays news :

"UK Border Agency working on plans for priority passport lanes for rich travellers at Heathrow and other British airports"

"Heh heh heh ... I told you those Zil lanes would be useful"


"Ms Miller, who is also the Culture Secretary, argues that extending marriage to same-sex couples will ensure that the institution retains its importance and relevance in modern Britain, and that its introduction is a milestone in Britain’s heritage “of freedom and fairness”."

"The new definition of domestic violence and abuse now states:
Any incident or pattern of incidents of controlling, coercive or threatening behaviour, violence or abuse between those aged 16 or over who are or have been intimate partners or family members regardless of gender or sexuality. This can encompass but is not limited to the following types of abuse:
* psychological
* physical
* sexual
* financial
* emotional **"

"George Osborne wants two-year freeze in state benefits"


"Heh heh heh ... you get gay marriage, and we get a "flexible labour market" .. heh heh heh .." 

So the journey continues - there's been for quite a while now an acceleration of the "left" social agenda in tandem with the "right" (read "rich") economic one - and did I mention that the pressing problem of racism in football's still not solved?

John Whittingdale MP, chair of the inquiry, said: "Recent incidents of racist abuse in the UK highlight that there remain significant problems." MPs also said homophobia may now be the most prevalent form of discrimination.

Steve Rotheram MP, a member of the Culture, Media and Sport committee, said a lack of ethnic diversity in management and boardroom positions at many English clubs was holding back the fight against racism.


A couple of points. While the plan may indeed be working, there's no need to invoke a conscious conspiracy. I had a couple of long debates (and a monologue) on this subject a few years back, before the economic poo hit the fan. Capitalists will just take advantage, if the culture lets them. It's what they do. Mass immigration may be a necessary condition for the impoverishment of the UK working class, but not a sufficient one.

While it's not a cheerful thought (especially in finding yourself alongside, for example, George Galloway), I have to surmise that the collapse of Soviet Communism may also have played its part in what we see now. While there was an alternative model, no matter how evil and corrupt (as it was in many respects) it may have been, Western capitalists couldn't take the **** too much. Now anything is possible.

It's true that in a rational economic world, a high-earning working class might be considered a good thing for a nation - and that therefore it's not in our rulers' interest to take us back a hundred years - but that would also have applied for the several hundred years prior to, say, 1860-1960. The post-1945 settlement is not the natural order of things. Before that it was the plebs and the rest* - and the will to power, even constrained by Christianity, was strong. Unconstrained, what limits are there?    





* read a couple of Jane Austens over the last week. Ordinary people just do not feature. Reminds me of "Friends" or "Four Weddings And A Funeral", where making a living is the least of any of the characters concerns and everyone, while always appreciating more, has enough money. Still, Lizzie Bennet's dad is a hoot, although while Lizzie's wonderfully witty and self-assured, I prefer an Ethelberta - or still more, her sister.


** financial abuse can apparently consist of not giving someone enough of the family income - by which measure EVERYONE in my family, myself included, is a self-declared victim. If that's the case, do you think sexual abuse might consist of not giving someone enough sex? I look forward to some brave lawyer arguing that in court...

Monday, September 17, 2012

The End Of The Journey Will Soon Be In Sight...

Mass immigration doesn't "just" depress wages and reduce the power of working people vis a vis employers.

I haven't blogged much over the last year due to long hours, but still sniped over at CiF - and this comment sums my emerging view :

The greatest prize for the very rich would be the total dismantling of the welfare state and the removal of its consequent tax burden (although venture capitalists, on 10% tax - "entrepreneurs relief", do pretty well already).

It's a lot easier to justify a welfare state when the recipients are "people like us" and therefore easier to identify with and to think "there but for the grace of God". Social solidarity among working people, whether it be support for a welfare state or a trades union, will always be stronger in the absence of cultural, religious or racial divisions. Social scientists like Robert Putnam have noted how diversity weakens a sense of community.

So were I an evil capitalist billionaire looking to reduce the power of trades unions and destroy the welfare state, I'd start by funding Left groups supporting mass immigration.

I'd encourage such groups, and left-wing lawyers too, to support the most outrageous abuses of the welfare system, knowing that it would discredit welfare in the eyes of ordinary working people - and I'd chuckle to see Telegraph and Mail readers - and BBC commenters, too - getting angry when benefits rise, as they should do, with inflation.

"The plan is working ... heh heh heh ..."

I'd suggest, with all its faults, that the Welfare State is the most outstanding instance of UK social solidarity - started in Edwardian times by Lloyd George and nailed down in the aftermath of WW2 by a strong people, annealed in the fire of two world wars and quenched in the depression years of the 1930s.

I'd also suggest that the plan is continuing to work :

Despite the tough economic climate, the study by independent social research agency NatCen reveals attitudes towards welfare and welfare claimants have toughened. Only 28% of those asked wanted to see more spending on welfare - down from 35% at the beginning of the recession in 2008, and from 58% in 1991.

Report author and NatCen chief executive, Penny Young, said the study showed the public's view on welfare was "in tune... with the coalition's policies".She said: "The recession doesn't seem to be changing things; attitudes continue to harden. One thing that we've seen is that even where groups are seen as perhaps more deserving - so retired people, disabled people - again for the first time since 2008 we've seen that the number of people who are prepared to see more money go on disability benefits has actually fallen."
 "Heh heh heh ...." - the BBC Today programme this morning couldn't get over it - in the early 90s recession 58% thought we should increase welfare spending, now it's down to 28%. What could possibly have changed since the early 90s? They just couldn't understand such a dramatic shift in attitude.

"You beat your pate, and fancy wit will come,
Knock as you please, there's nobody at home"

In various posts over the last year, I've aired the fancy that in ten, fifteen years, the Guardian will be simultaneously

a) bemoaning the end of the welfare state and the new poverty of the working class
b) celebrating our ever-greater diversity

and I've pointed out that

Western welfare states carry a high tax burden, which makes life uncomfortable for the mega-rich. It would be a lot easier for them if social solidarity was destroyed to the extent that the welfare state no longer existed and their taxes could come down. A good way to do that is to create atomised societies of competing ethnicities.

Mass immigration will IMHO mean the end of the Welfare State, probably in the next thirty years. A pity. It was a good concept - for 1948 Brits and their descendants. And as an ageing boomer, I don't want the NHS to turn into any more of a death factory for the old than it currently is.

But at least we'll all be equal in our barrios, looking up at the gated communities on the hills.







UPDATE - "The government is considering ending the automatic annual increase in benefits in line with inflation, sources have told BBC Newsnight.

The whole point of benefits is that they're meant to be a liveable minimum amount.So if inflation rises, so should that amount. But there'll be little sympathy for that view from those whose expenses are rising but whose wages are static - and that means most of us. 

"Heh heh heh ..."

UPDATE2 - "To promote prudence and responsibility, rather than the dependency and waste of the welfare system, we should return to mutual aid societies

"Heh heh heh ..."