Money to be wasted on a road?

with the ridiculously expensive Weiti Crossing bridge for the Whangaparaoa peninsula according to the NZ Herald.

The road would cost $217 million, of which $125.6 million is sought from your fuel taxes and road user charges, when it isn't even a very good project. Yes the remainder comes from tolls and levies on properties that will see improved values, but frankly unless the project ranks well sa being a good investment for other road users, why should it be progressed?

An appropriate assessment would be to estimate the fuel tax and road user charges that would be paid by those using the road. This is called "shadow tolling", where the money collected through motoring taxes is calculated and dedicated to the project. If that revenue can't be committed to the road, and the private sector borrow to build it based on that, the tolls and the property levy, then the road is a waste of money, and is being subsidised by others.

Lockwood Smith, the local MP, says "it has to go ahead".

Rodney Mayor and former ACT MP Penny Webster said Steven Joyce "promised" it would go ahead.

So, if tolls wont be enough, along with a property levy, and "shadow tolls" wont be enough, then it proves those who want it aren't prepared to pay for it - so it shouldn't be built.

Sadly it appear more than one National and ACT politicians are unwilling to apply user pays, when it is something they like.

Child abusers need to be bribed

So is the philosophy of leftwing columnist John Minto. After bemoaning child abuse figures in his Stuff blog, he has found a magic solution for it - give them more unearned money. Yes that's right, people rape, batter, torture, abuse, belittle and ignore their kids because the state hasn't handed them more money taken from everyone else. Like some sort of sick mafia racket, that means "give us more money or we'll hurt our kids".

Of course it's nonsense. Plenty of poorer families don't abuse their kids, and there is a share of middle income families who do. However, what really is abusive is Minto's malignant view of society and capitalism.

He doesn't conceal his hardened Marxism by saying: "we need economic policies which redistribute wealth from those who haven't earned it to those who do the work"

Those who "haven't earned it". Who are they John? Farmers, doctors, lawyers, accountants, entrepreneurs and others who have spent time either managing something productive or applying their specialist skills to people willing to pay for it? (unlike Minto who has precious little to offer other than getting people like himself to chant in unison and moan how the world is unfair). Apparently if you pillage the people with ideas, who take risks and own property, all will be well - they wont flee with their money and skills and say "bye bye" will they? Or maybe John Minto wants a Berlin Wall type arrangement, to keep these people in NZ so they don't leave?

How about "those who do the work"? They don't get paid enough of course, John failing to note there always seems to be a lot of people willing to do the work for what they are paid, which suggests there is no need to pay them more. Labour shortages mean pay increases, but there is never a shortage at the bottom for people with next to no skills and experience.

Minto is in his heart of hearts a Marxist thief - he wants to steal from the rich to give to the poor, he wants the state to shove its jackboot in the face of those who get in his way.

He says "Taxes on capital gains (on all but the family home) and heavy death duties are the logical place to start. A financial transaction tax should follow and GST should be abolished"

"Tax and income policy should be based around what is needed for a breadwinner to maintain his or her family at a decent standard of living after a 40-hour working week based on sociable hours."

oh and if you actually earn less than that, don't bother trying, John Minto will make sure the state steals from the more productive so you can get a "decent" standards of living, with sociable hours. Delightful that. You wont bash up your son or rape your daughter now you don't have to work so hard for a living someone else has earnt.

THAT is how you reduce child abuse if you're a Marxist, you steal money from those who don't abuse their kids and give it to those who do - because when you're poor, you beat up and rape your kids (after all the anger's got to go somewhere doesn't it?).

Good job John Minto is far from poor then, or else his kids would be in for a hiding wouldn't they?

UPDATED: Opinionated Mummy agrees saying what Minto is promoting is damaging "The lessons you are teaching the young and impressionable people who may have (unfortunately) read your column are damaging, disrespectful, and (you won't care about this) economically unsustainable."

Auckland's railevangelists getting worried

You see the government hasn't yet robbed you to pay for trains 99% of you will never ride on, and which will likely run at a loss throughout their operating lives. The ARC wants brand new ones to move people who currently happily commute in some aging diesel trains (which still have life in them) or by bus. The government is looking at ways to minimise the cost, and Brian Rudman has heard rumours that this means reusing secondhand trains. Given all of Auckland's currently (and apparently "very successful") trains are secondhand, that isn't necessarily a bad thing - unless you worship the twin ribbons of steel and ache for a new train to get excited about.

There are 121 carriages of one form or another available to run existing Auckland passenger train services. About two thirds lie unused for most of the day, as the focus is on peak services. So if you only buy 75, it will be plenty for growth and to sustain off peak services, with the existing carriages capable of handling peaks. Bear in mind those using it aren't paying for more than one third of the operating costs so they shouldn't expect something brand new.

Outgoing ARC chairman Mike Lee is apoplectic with the lack of enthusiasm by the government to spend other people's money as much as he likes "We're fed up with second-best for Auckland. We've had it since the 1950s, and this is going to be the end of it. We're not going to meekly bow down and accept it". We? Mike, Aucklanders buy the cars and houses they want with the money they have, they have not bought a train set, they never voted for anyone to make them pay for a train set, so why should New Zealanders across the country pay for one for Auckland?

Take the waste of money involved in revitalising the Onehunga branch line, closed to passenger service in 1973. Railways are high density pieces of infrastructure, only superior to roads when very high volumes of people or good are being moved point to point. However, the ARC is spending your money on the Onehunga branch for a half hourly service - at peak times!! Find a road in Auckland that has NO traffic for half an hour at peak times. At best the trains might be 4 carriages long, so we are talking about buses every 7 or 8 minutes being replaced by a train. Getting 100 people excited in a meeting does not a railway make. A reasonable rule of thumb is a passenger train ought to carry, on average, three busloads to make it marginally more efficient than a bus - assuming the line itself has its fixed costs spread over many freight trains. NZ$15 million, plus ongoing subsidies, and money for new trains, to run a half hourly service, wont make any real difference to congestion on roads.

Auckland doesn't need an electric trainset. Given the huge amount of money spent (and written off, you wont get the money back if you sell it) in upgrading the Auckland rail network, it would be a waste to close it down - but the existing trains should be run into the ground with fares charged to recover operating costs and maintenance at least. Aucklanders should be given a chance to buy shares in a new private Auckland rail system, and see if they are willing to put their money where Rudman's mouth is. Of course if it means that the whole system winds down when trains need replacing, then some intelligent questions can be asked about how much of Auckland's rail network is worth saving

In other words, if you support Auckland's existing trainset, maybe it's about time you coughed up some money yourself.

Rodney stopped something bad getting worse

No race based seats in the Auckland supercity so says the NZ Herald.

The reasons given?

- Inconsistent with National Party policy on the parliamentary Maori seats (remember that? Remember when National believed the state should be colourblind?)
- It would be wrong to have such seats "just in Auckland" (slightly concerning point, but he hasn't announced spreading them nationwide);
- 2 Maori seats wouldn't give Maori an effective voice (one could argue it discourages Maori from standing in general seats and would only attract those of a certain political persuasion).

So a board will be set up to consult. Apparently the consultation processes that already exist for everyone else aren't enough, and of course the fact Maori can vote for everyone else on the council means they are no more shut out of it than anyone else.

However, nevertheless, it is a minor victory for commonsense. Yet don't get too excited Rodney. You stopped something being worse than what it is. The supercity still remains a bad idea. The only point to a supercity for me is if it has drastically reduced powers and responsibilities. What's the odds of that then?

Explaining the US healthcare system

and not defending it, is Lawrence Lindsay in the Sunday Times.

He was a former advisor to George W. Bush, so many on the left will shut their eyes anyway. However, he makes many valuable points about the US system. Does it ration by price? No...

"Medicare is an entitlement. This means it isn’t subject to an appropriation by Congress — the spending is automatic and unconstrained. Whatever bills Medicare’s beneficiaries run up, the government will pay without so much as a by-your-leave by Congress."

"So the real issue in America is not that we ration by price — by and large we do not. Our bigger long-term problem is that we effectively do not ration at all"

what do you get?

"First, there is much less queueing. Any insured American can get an appointment with his or her physician at a mutually agreed time with almost no waiting.
Americans have much better cancer survival rates. A study of cancer survival rates in 31 countries published last year in The Lancet bears this out. America was consistently in the top three for both men and women in the four different kinds of cancer studied. Britain tended to rank about 20th. First, Americans are more likely to get tested, thanks to the lack of rationing, and therefore the cancers are likely to be diagnosed sooner. This naturally makes them more curable. Second, unrationed American healthcare throws a ton of money at cancer, relative to Britain.
The third main service obtained from the higher cost of the American system is “extra spending at the end of life”.

He doesn't say this is all necessarily good, but it is what Americans might lose from an NHS based system, which rations more by regulation.

Have a read, it is one of the most balanced articles I have seen yet about the two systems. It should destroy the myth that the US system is about the free market, but also explains some of the reasons why it is more expensive as a proportion of GDP compared to the NHS.

Sadly, the debate on health care in both countries has been driven by largescale support of systems that are both fundamentally flawed.