Monday, September 6, 2010

Competition in government?

Today is Labour Day (yes, with a "u" in Canada) a holiday that celebrates organized labour (that picture from a Labour Day Parade in Fort William ON, 1903). This morning The US Heritage Foundation blog suggested that today should be called Government Day. In the US this is the first time that public sector unionized government workers outnumber private sector unionized workers. Unions have become a casualty (or is it causality? both?) of the recession/depression. In Canada it's likely similar, but maybe we're not there quite yet, certainly the public sector is rife with unions and the various levels of government seem to be in cahoots with their unionized employees. That of course is the problem, the public sector unions virtually eliminate one of the key features of bargaining, that is, looking for less expensive help, union rules prohibit that. Some of you may say that is the point of unions, the workers are protected. Certainly thats true, but who protects the tax payers? Is it elected officials that represent taxpayer interest? Of course it should be, but look at the job they have done.
Public sector strikes are fairly common, but in the end government negotiators generally cave in with offers in excess of anything available in the private sector. A recent Toronto garbage strike ended with unions getting a much better deal than private contractors give their workers.
Public sector construction contracts regularly requires unionized workers to carry out any work. In the Toronto region, electricians doing public sector work get between $34 and $36 per hour. The average hourly rate for non-unionized electricians work is $26. Now multiply that percentage difference (38% more) by all the public construction projects and its easy to see why government costs continue to rise much faster than the rate of inflation and governments go into debt. The elected officials who are responsible rarely get blamed, and if they do, they don't get re-elected but the new officials aren't any different. There is no competitive other government to take over (most political party's once in power act the same as their predecessors), the business of government is monopoly with minimal change every four years or so.
So imagine if there were alternate, but competitive governments, in other places to live that actually offered a competitive price structure. Somewhere where freedom is valued and competition exists in everything. That's the idea behind the Seasteading Institute, explained in this short video for young people.
    

Saturday, September 4, 2010

A sovereign debt and currency crisis?

Maybe I've been watching too many Peter Schiff videos lately, but I'm getting more concerned about our financial future. By "our", I mean North America, we are effectively a common market. The old joke about the Americans sneezing and Canada getting the flu is well know in these parts. Everyone says Canada is in good shape compared to our neighbour, but as I have said before if your biggest and best customer has money troubles, then how good is your business?
The stock market doesn't seem phased, it's been in rally mode this week - but with lower volume. I'm not an economist but I know volume can be a sign of conviction and enthusiasm. The lack of volume says something else, or it could just be the end of summer.
I know I said I wasn't an economist but I have managed my family affairs so that we have no debt and some savings. I always thought that debt was something you wanted to reduce as quickly as possible, and there really is no such thing as good debt (contrary to what many advisors will say) even if it is a mortgage or business loan. Debt means you are not in control of your future - the debt holder is. The more debt the less control you have, so getting rid of debt is always a good idea for individual, families and governments.
So when the financial crisis of 2008-09 occurred, as a result of excessive debt it wasn't a surprise. Peter Schiff was right. The debt owed by homeowners became more expensive because interest rates rose. Many found the new rates beyond their ability to pay, sold or abandoned their homes and the rest is history. Prices for US homes fell significantly for the very first time. The resulting recession, according to several knowledgeable people (including Peter Schiff) is just the beginning. That argument is clearly explained in the following video which is about 45 minutes long but well worth your time.

Tuesday, August 31, 2010

No god?!

One of the fascinating features of the new social networking fad, is that you interact with people from all over that you would likely never run into in your real life. That new level of interaction will I have no doubt lead one day to some interesting and unexpected outcomes. As  the use of the internet evolves it is bound to become even more exciting than it already is.
Just within the last few hours (it's stunning to me) I was introduced to Edward Current via Facebook (by a friend...thanks). I'm not sure if that is his real name, but he is very clever and irreverent in a cheeky sort of way. If you look through his YouTube Channel, he claims no religious affiliation and he claims the following is a comedy, very tongue-in-cheek and done well.
  

Wednesday, August 25, 2010

Of witches and wireless

In1692 in the village of Salem Massachusetts, two young girls, the daughter and niece of Reverend Samuel Parris, began to have violent fits where they screamed strange sounds, threw things, contorted themselves into strange positions and acted as though they had been possessed. The girls complained of being poked by pins and pinched, yet the local doctor could find nothing physical that caused these symptoms. Soon other young women in the village began exhibiting similar behaviour. The cause of these "possessions" was at that time considered to be witchcraft, a capital felony crime in the colonies. The three people charged and the trial that resulted has been popularized in the cinema and on the stage. That story was only a small part of the wider hysteria in colonial Massachusetts that eventually resulted in the arrest and imprisonment of over 150 individuals and the eventual execution of 19 people.
We think things like that don't happen anymore, the results of that particular mass hysteria had catastrophic effects on human life for individuals and families who listened, often uncritically to the testimony of local experts. Mass hysteria still happens today. How many times have you heard stories of buildings being evacuated after the discovery of a mysterious white powder? The white powder eventually is identified as chalk or something equally innocuous, but the irrational fear stems back to those days after 9/11 when all white powder was assumed to be anthrax spores.
So when I read about parents in the Barrie Ontario area that want the Simcoe County School Board to remove Wi-Fi routers from their schools because of their affect on children, I though witchcraft. Parents are complaining that their children are suffering from headaches, dizziness, nausea, racing heart rates, memory loss, trouble concentrating, skin rash, hyperactivity, night sweats and insomnia. Skin rash! All of these symptoms began apparently after the 14 local schools had wireless installed.
The experts are lining up; Ontario's Chief Officer of Health, Health Canada, the Simcoe Board and an assortment of government agencies all claim there is no danger and no evidence to support the parents' claims. The parents have Prof. Magda Havas from Trent University and the NDP Health critic France Gelinas who think the matter deserves further study. Everyone has an ulterior motive here, except maybe the parents. Prof. Havas does work on the potential dangers of non-ionizing electromagnetic energy - big motive.
This type of story - cell phones cause brain tumours, high tension wires cause leukaemia and on and on have been fashionable for as long as those technologies have been around. I hate to quote the WHO, but they say no evidence for any of this.
Interestingly our nearest star, the Sun, produces a wide range of both ionizing and non-ionizing radiations - huge amounts - but of course it's natural radiation. It's the "man-made" stuff we need to be concerned about, you know like organic and chemical - chemical bad, organic good. Simple solution: I'm wearing an aluminum foil hat right now to protect me, maybe it will help those poor kids too.

Saturday, August 14, 2010

Stimulus spending US style

Need a laugh? If you are an American this isn't really that funny - its just unbelievable. If you are Canadian you should not feel smug, it's not that much different here. This video link was brought to my attention by Cato-at-Liberty, enjoy:

Wednesday, August 11, 2010

Complexity, the State and You

It was totally by accident that I discovered Freedomain Radio some years ago while "surfing-the-net". This is a libertarian site, run by a true libertarian, but not in the political sense. Stefan Molyneux is a philosopher, or more correctly a libertarian philosopher (with a degree in philosophy), a sort of male Ayn Rand who uses modern tools to publish his message. He blogs, produces podcasts, he posts to YouTube and he writes books. He has some extraordinary insights that he shares with people through all these methods of publication. Need something to think about? Just spend a few minutes watching/listening/reading his always thought provoking material.
If you are in the Toronto area he will be attending one of our libertarian "pub-night" meetings in September. If you have Facebook - check this out, if not go to the Ontario Libertarian Party site and click on the pub-night prompt. Stefan is a local, from the Greater Toronto area and I think he is getting better and better at delivering his message. Here is one of his latest YouTube postings that gets to the core of libertarianism.
 

Tuesday, August 10, 2010

The best a government education system can provide

As a former public high school teacher I often feel pangs of guilt because I was part of a system in Ontario that did not have the best interests of its students as its ultimate purpose (although I did try to ignore the system). What was its ultimate purpose? Not an easy answer, but the system was primarily geared to other things like, staffing, timetabling, government "edu-babble" and maybe then to students. Of course this view was not shared by most teachers but I'm certain it was shared by many students.
Thanks to the wonders of social networking, email etc., I present to you a courageous valedictorian, Erica Goldson, of an American public high school who feels much the same as I do. If you want read along the full text of the speech is here. Erica is an anomaly, and her speech is obviously not typical but as you will hear, deeply felt.

Tuesday, August 3, 2010

A census I can support

That lovely photo (dragonfish) is just one of many taken over the last 10 years in a worldwide Census of Marine Life that will be formally presented in early October 2010.
This type of cataloguing and describing of species represents one of the lowest and oldest "levels" of scientific enterprise (although this study required the most up-to-date technology).  Cataloguing and describing species pre-dates the 18th Century's Carl Linnaeus (the father of Taxonomy) who invented the binomial naming system still in use today. It is worthwhile work and not surprisingly it reveals that there is an awful lot we have yet to discover about planet Earth.
The number of "new" creatures revealed in this study should be humbling to the scientists and for me indicates just how little is known about how things work on Earth.

The reason I bring this up aside from my love of science and nature, is the spin being applied to this story. Sure human actions are endangering ocean life, we are all aware of what "over-fishing" has done to the East Coast Canadian Maritime fisheries, but to me that is an issue of ownership. When no one owns an area, whether on the ocean or the land, when that area is designated as "public property" or "government-owned" who is responsible for the area? Of course the simple answer is that government bureaucracy "manages" the area. Well, in Canada the Department of Fisheries and Oceans "managed" the East Coast Cod Fishery, how did that work out? The Minerals Management Service in the USA was responsible for "regulating" safe oil drilling in the Gulf of Mexico, how did that work out? If these areas were privately owned, the owners would probably be more careful preserving them. I'll bet they would harvest whatever resource wealth was in their territory in as sustainable a fashion as possible to protect their own interests. Governments, bureaucrats, typically have other motives like pandering to special interest lobby groups for political favours.
The worst thing that could happen to some of these marvellously diverse and productive ecosystems discovered in the Census of Marine Life is that they are "managed" by various government agencies around the world.  

Monday, August 2, 2010

Blackberry Ban

The boys at RIM in Waterloo must be a little concerned about this. It seems the very reason business people, and politicians use the Blackberry service, that is, security, is troubling to the bureaucrats in the United Arab Emirates. They, along with India and the Saudi Arabia can't monitor traffic in the Blackberry Network. Of course that is kind of the point, but I won't quibble.
The UAE will ban Blackberry service as of Oct. 11, 2010. If that happens there is already talk about a black market in SIM cards to circumvent the Telecom Regulatory Authority (TRA) in the UAE (too many initialisms!). That's the power of the free (even if it is black) market!

Let the CRA support You

"We are from the government, and we are here to help you."
According to this below the Black Market is bad, and you should not support it. Rather, you should be happy that the government will support you. How can you argue with that kind of logic?

We're in trouble folks......

Saturday, July 31, 2010

The Black Market Bailout 2

Just to follow up my last post that mentioned illicit food places, the West coast also has its share of these. I was listening to the People's Radio network (CBC Radio 1) last evening, to a program called The Main Ingredient. They highlighted a "floating restaurant" called The Wandering Spoon  in Vancouver BC. Three regular daytime chefs cooking whatever they like to discerning and willing patrons without government oversight, regulation or constraint (and for a lower price too). What a concept!
Just to the South in Seattle there was a chef that prepares black market buntings in the French way. The pictured Ortolan bunting is apparently delicious eaten plucked and whole, but must be smuggled into the US from Europe where it is endangered. Naughty boys!    

Wednesday, July 28, 2010

The Black Market Bailout

There is an interesting article in the Financial Post today asking the question "Did Washington avert a depression"? Of course the answer is a resounding yes, not just because it's the Financial Post, but because the guy that wrote the report was a former vice-chairman of the Federal Reserve. What the hell do you think he would say? Naturally they don't go into the fact this "intervention" into the economy is going to be reconciled at some point down the road, but by that time the unwashed masses will have forgotten what caused the reconciliation. Of course those same unwashed masses will be forced to pay for the consequences without hope of any bailout. But there is one way for them to get that bailout and hints of it, are occasionally visible.
In Michigan, one of the hardest hit of all the States economically speaking, some businesses are accepting payment for goods or services with alternative forms of currency. Imagine a restauranteur accepting copper (and I don't mean pennies) as a payment for meals. Of course Ontario and BC have increased taxes on many more items this month with the new HST. Does that mean an all cash underground economy will grow? Do bears crap in the woods? "You betcha" as whats her name would say.
Yessiree the unwashed masses may be unwashed but they are not stupid. They want their bailout too. Which brings me to the story of the illegal "grilled cheese factory" in Manhattan. Apparently there is a talented grilled cheese maker in NYC who eschews the local government regulations and the prohibitive cost (not to mention risk) for setting up a legit business. This fellow has created a business making and delivering grilled cheese sandwiches for $5 in a brown paper bag to customers on local street corners. He even has a FaceBook page and a "company" name: Bread.Butter.Cheese. This could be the way of the future, the black market bailout!  
    

Tuesday, July 27, 2010

Why the mandatory long form of the census is so vitally important

It's not going away; the latest Tory taunt is still all the rage for the bureaucrats of Bytown. And why not, the Census delivers vital information if you are a bureaucrat, and vital information if you are a Canadian that thinks the greater good of the country is best served by a well informed government at the helm. It makes perfect sense, not just for government, but for businesses that are too lazy or too cheap to do a proper analysis of their own market.
The Census is essential so government can implement new policies and programs, so it can best spend the taxes and tariffs it coerces collects from Canadians. With this information the politicians and portfolio mandarins in Ottawa are obviously best equipped to accommodate the needs of all Canadians. They will be behind the proverbial curtain, tweaking the dials and adjusting things just so, in order to make certain the economy hums along with no surprises, no bumps so clear will be their view. Trust in them, trust in StatsCanada and we will be a just and happy society. Sure.

All the statists were lining up in front of the Parliamentary committee "to study the long form" these past two days, all of it available for your viewing pleasure on CPAC. Rumours are flying that a compromise is in the works - so Canadian, it's sickening. I still don't understand why the conservatives decided to do this now, it really is not what you would call a "conservative" idea. But it's a diversion, more interesting than leaky oil wells and oppressive humidity. It is also a great opportunity to examine the role of government in our lives, the problem of course is that it shows just how comfortable we are with big government doing big things.
Neil Reynolds has some interesting comments on that very topic this week with reference to the Census. Interestingly he writes for the Globe and Mail which has been leading the statist charge to preserve the coercive mandatory long form of the census. I suspect whoever is pushing that agenda at the Globe might have political aspirations in the Liberal Party.     

Thursday, July 22, 2010

Census Shmensus

Looks like the Harper Conservatives have created another issue where none existed before. Harper has a knack for this. While they have not yet backed down (yet) on returning the long form of the Census for 2011, the pressure among the statists must be getting unbearable (there is now a FaceBook page!). Seems that all of the things Harper proposes that I like, he reverses course on. Remember the $1.95 per voter party funding cut fiasco? I liked that, and it was gone.
I think people are thinking about the Census issue from the wrong perspective. Suppose there was no long form of the Census, suppose the government suddenly announces that there will be a series of personal intrusive questions about race, ethnicity, income, plumbing, education etc. in 2011. I'll bet some of the same people who are now up in arms about the long form being removed will argue the reverse. How about this guy?

Don't you think he would object to the intrusiveness of the long form? Sure he would and he would probably use many of the same words, he would wonder why the government needs to know all this information and he would cry out that this shows how ideological these Conservatives are - snooping where they don't need to be.