13 October 2009

Kim Jong Il to Barack Obama

Dear Great Leader President Barack Obama of the United States of America (hope I have all your titles right).

Well done on winning the Nobel Peace Prize.

I wanted it, but the Nobel Committee keeps ignoring the nomination every year. I mean I've never attacked any countries, not since my dad died, and besides he IS still the President, so any rescuing I undertake of civilians oppressed in other countries is not entirely up to me.

You'll find the international peace movement recognises that your country not mine has been a grave threat to international peace and security for years. I come from a land of peace, nobody fears crime or war walking our streets, except for the nuclear threat from your country.

Still, I am grateful you haven't threatened the Democratic People's Republic of Korea, haven't interfered with our peaceful possession of nuclear weapons and desire to reunify the country by expelling the South Korean puppet clique, destroying the abomination of Seoul and peacefully negotiating a surrender peace treaty with the United States. All of the people in Korea excluding the traitors and their children and grandchildren in the gulags and the expendable south Korean lackeys of imperialism seek swift reunification and friendship with peace loving peoples of the world.

So in that spirit of peace, I hope you will immediately withdraw US troops from South Korea, just as previous President Jimmy Carter once indicated, but then abdicated on.

To show our glee at your win, my country has celebrated in the traditional way.

In solidarity, Kim Jong Il, Chairman of the National Defense Commission, Supreme Commander of the Korean People's Army, and General Secretary of the Workers' Party of Korea.

12 October 2009

Gordon can do it, but John?

Pause for a moment, I am going to praise Gordon Brown.

You see he's about to announce a privatisation programme. Yes you read right. Privatisation, eight months out from an election. It is worth around £3 billion of assets in the first phase, but up to £16 billion overall.

What sort of assets? Well it isn't just surplus pockets of land. It include the sort of assets juveniles would call "strategic":
- Channel Tunnel Rail Link (Folkestone to St Pancras);
- Dartford Crossing (the eight lanes of highway crossing the Thames that completes the M25 ring);
- its stake in Urenco (nuclear fuel enrichment company);
- a third of the debt in student loans;
- The Tote (government owned bookmaker).

So yes, you can privatise a road, a major one at that, which has no serious alternative routes for many miles.

The reaction of the other parties? Would that play this against Brown? Well no:
- The Guardian reported a Conservative Party spokesman saying "Given the state the country is in is probably necessary but it is no substitute for a long-term plan to get the country to live within its means";
- Liberal Democrat Treasury Spokesman Vince Cable said "Given the state of the public finances, asset sales, at least in principle, make sense" but he expressed concern about selling land in a depressed market and how badly the government was in getting value from its privatisations.

So in other words all three main political parties support privatisation.

However in New Zealand it can't be so. National ruled it out to get elected, Labour was the nationaliser extraordinaire, and only ACT of the parties in Parliament warms to privatisation (and even then not too loudly).

Now the UK government could sell much more than that list, but the nature of what is on the list is what is positive. Particularly, given my interests, the Dartford Crossing. It's a tolled crossing comprising two 2-lane tunnels for northbound traffic, and a 4-lane bridge southbound, and it is heavily congested (with plans proposed for an additional crossing). Selling it and letting the private sector choose the best way to expand it will demonstrate to the naysayers who think roads can't be privatised.

Imagine, for example, Auckland's Harbour Bridge and approaches privatised (and tolled) so that another crossing could be financed and built.

However we know it wont happen, for now, but it would be nice if the debate could be had without ghosts of Winston Peters and Jim Anderton taking things to the level of the banal ("but it's strategic, what happens if they want to sell it for scrap").

The New Zealand Government has a whole portfolio of SOEs that could and should be sold, easily, without even going near roads, schools, hospitals or dare I say Kiwirail. There is no good reason why Genesis, Meridian and Mighty River Power are in state hands, when Contact and Trustpower are private sector competitors, and most people don't know whether their power company is private or state owned.

It's time to talk about privatisation - if it isn't controversial in the UK, with its plethora of nanny state quangoes and laws, why so in New Zealand?

ACC deficit shows monopoly failings

ACC has a statutory monopoly. Labour claimed this is the most "efficient" way of insuring personal injury by accident, yet it has proven incapable of managing its own finances in a way that doesn't mean taxpayers and levy payers have to bail it out.

No other country has the socialist style no-fault statutory monopoly state insurance scheme New Zealand has. The claims by its advocates that it is "lauded" the world over seem very empty when no others follow, and this sort of news comes to light.

I've written before on how to change this, individualise the whole system so everyone buys ACC cover for non-work accidents, open it up to competition, so the risk is spread among multiple insurers (coverage for past accidents would either remain with a legacy ACC or tendered among competitors), and then return the right to sue between insurers and let people choose not to be insured. Care would need to be taken to ensure tort law was based on objectively reasonable criteria, but if it came about after a culture of personal insurance, the risks of aggressive tort claims could be minimised. Besides, if you insure yourself against what others do to you, then you have little to complain about.

Of course at the same time, road owners could demand drivers be insured before using their roads, as could others when you use their property, but overall the risk would be spread and shared. Those who undertake risky behaviour would pay, those who don't, wouldn't.

The monopoly has failed, miserably, once again. The measures National are announcing are trying to patch up a system that is breaking. It's time to move fast to open the employment and motor vehicle accounts to competition as a first stage, then individualise the whole system. Then those paying to cover the liabilities of past poor decisions end up being those the system carries the most risk for.

11 October 2009

Obama gets unwelcome supporter

Fidel Castro said of Obama winning the Nobel Peace Prize "I must admit that in this case, in my opinion, it was a positive step" according to the Daily Telegraph.

The best sentiments I've noticed on this, is that Morgan Tsvangirai, who had been mooted for the prize, has been imprisoned, tortured, beaten up repeatedly, lost his wife in an accident, and STILL decided for peace in Zimbabwe, to form a joint government with the murdering gangsters of Zanu-PF.

Apparently that wasn't good enough. Not good enough for an African man in Africa at the front line of essentially civil war and insurrection, in a truly bankrupt economy, to risk himself so much to bring peace and justice to Zimbabwe. He may have been able to do much for Zimbabwe with the US$1 million prize.

Instead, a group of Norwegians worshipped words not deeds. Obama did not need encouragement to pursue he soft approach to international relations, and did not need the money to give to charity.

It is enough now that the Nobel Peace Prize has been discredited umpteen times in the past, next year I can't wait for the latest joke to come from the Nobel committee. Maybe Oscar Wrigley can win the prize for science, because no doubt he has great potential.

Prince Charles frustrated using Youtube

Well I'm guessing that's whats going on.

Imagine being Prince Charles. Never a worry about where to live or how to afford to do anything really, never a concern about being unable to generate publicity, and then not actually having a coherent philosophy about anything at all. More recently, this man with many a car to his name, called on Britons to drive less and walk more - the height of elitist hypocrisy if ever it could be.

Now he wants to make Britons pay so that rural folk can have broadband, presumably because he sits on one of his estates unable to watch funny videos on Youtube because of a lack of broadband access at prices he is willing to pay.

He is fighting for rural Britain, which he could well do with his own ample resources and fundraising. Good luck to him doing that. However he's more concerned about farms going to the wall when subsidies drop in 2012:

"Quite frankly, the fear that many of us hold is that after 2012, when support from the E.U. will alter so dramatically, it may be simply impossible for our family farmers to continue – particularly in the remote uplands, where farming is at its toughest. If they are to stay on the land they will need all the help they can get, and denying them broadband, and effectively cutting them off from the Internet, will only be more likely to drive them off the hills and into the towns and cities taking with them generations of inherited knowledge. "

Yes Charles, where farming is uneconomic, where the environment should be left to be as it was. Nobody denies them broadband, they just aren't willing to pay for it. It could be available via satellite and other means, but people in cities, who pay much much more for living space, face chronic congestion and overcrowding on roads and public transport, don't expect a subsidy for their high costs.

A better approach would be to encourage farms to consolidate, become more efficient and to attack the one tax that hits rural areas unfairly - fuel tax. Fuel tax recovers four times what is spent on roads in the UK, and given rural areas disproportionately face relatively low road costs (getting little capital investment), it should drop or be replaced with road pricing.

Charles, farmers are struggling in many countries. Farmers in Europe are among the most feather bedded in the world, and if they were so efficient they'd have nothing to fear from reduced subsidies, as their European compatriots would face even tougher conditions.

Of course, given you're own status as one of the bigger receivers of EU subsidies for your own properties, you can excuse someone for claiming that this is a hint of vested interest in this.

To say "the stakes could not be higher" shows how incredibly out of touch he is, peculiarly so. Farmers in Australia and New Zealand were weaned off of many and all subsidies respectively a couple of decades ago. It's time to grow up, and to find stakes that are higher. I'd have thought the living conditions of children growing up in homes of violence, neglect and poverty would be more important a charitable cause than subsidised farmers who find it hard to use the BBC iPlayer or video porn.