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Duncan Stephen

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Books/ Current affairs/ Economics/ Politics/ Work

The value of GDP

GDP is imperfect, but beware its replacements

10 September 2009, 13:32

There was an interesting blog post over at the Telegraph by Geoffrey Lean over the weekend. He asked if GDP is “past its sell by date”, noting that “the EU is due to publish a paper which will conclude that GDP is too limited a measurement.”

I agree with the view that GDP doesn’t tell you the whole picture. I have written before about the obsession that the media and others have with what this or that will “cost the economy”. These stories normally come along with some kind of figure of the effect some trend or other will have on GDP.

GDP is quite a useful measurement in a lot of ways. As a barometer of how things are ticking along, it isn’t bad. When GDP rises steadily things are ticking along quite nicely. When it decreases people generally feel it. In truth, no-one needed to wait for the GDP figures to come round to work out that things were bad. But GDP does give us a vaguely useful way to quantify how things are going.

However, it omits a lot of useful information that might help us to measure our quality of life. Perhaps most strikingly of all, it takes very little account of leisure — surely the best part of life.

You can be fairly certain that the economy is producing more between 8am and 8pm than it is between 8pm and 8am. The economy goes into recession every night! But in which part of the day is your quality of life higher? The part where you’re slaving away in a stuffy office, or the part where you’re relaxing with a cold beer?

Enjoying yourself and relaxing, whether it’s having your nightly kip or spending an afternoon in the park, often means removing yourself from economic activity. This in turn leads to a reduction in GDP. That is “the cost to the economy”. This is despite the fact that sleeping and having a stroll in the park are both very valuable activities.

I am currently reading The Armchair Economist by Steven E. Landsburg (I’m only 15 years late to the party). This book points out that GDP is also unable to account for the value of housework. If you pay someone to do your dishes, the value is counted in GDP figures. If you do them yourself, GDP is unaffected. But in both cases you have a rack of clean dishes of equal value.

Geoffrey Lean also points out that GDP fails to take the environment into consideration. An economist would say you need to internalise the externalities. But the question is how? (Pigovian taxes are a nice idea.) Some extreme environmentalists go further and advocate zero growth, an idea rightly lambasted by Adopted Domain.

I guess it all depends on what you want an indicator to tell you. GDP has become the one everyone talks about as a proxy for our standard of living, but clearly has deficiencies in that it leaves out important elements that contribute to our standard of living.

Unemployment figures are a possible alternative. On one level, it can be said that unemployment is the main thing that worries people. Despite the often-made point that unemployment is a lagging indicator, for many it is the bottom line.

But this has many of the same problems as using GDP. We look forward to our weekends, our holidays, and ultimately our retirement. Not working is actually a good thing. Few people want to work. They only want the money they earn from working. That brings us right back to GDP.

In recent years there has been a bit of hype about happiness economics (which I have previously written about). This field likes to measure Gross National Happiness. But this too is fraught with difficulties, not least the fact that it relies on shaky survey data based on people’s varying interpretations of what “happiness” is.

Perhaps you could stop paying attention to aggregate statistics in general. On one level, what really concerns me is my own personal well-being. How much I earn, how much disposable income I have, whether I have a job and how happy I am all concern me greatly. I am less concerned about other people’s well-being.

But that’s not quite right either. Even though I, like most people, am primarily worried about myself, I do care about the general well-being of other people.

It looks like we have to make do with GDP as the main measure to be concerned with. However, it does seem that it is creaking a bit with old age. No doubt there will be plenty of criticisms of GDP to come in the future, particularly from environmentalists.

Beware of the alternatives people advocate though. They will probably all be biased one way or another. Any proposed new measurements will probably be put forward by some interest group trying to manipulate the terms of the debate in its favour. Were that scenario to arise, I would rate myself 3 out of 10 happy.

Rating: +2
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*/ Blogging/ Current affairs/ Economics/ Internet/ Media/ Newspapers/ Scotland/ Technology

How charging for online content might work

Why less could be more

14 August 2009, 13:50

Charged debate

A series of posts

  1. Are newspapers ready to charge for online content?
  2. How charging for online content might work

In my previous article, I argued that the problems that are hitting journalism are more to do with the quality of the content than with the fact that it’s difficult to charge for content these days. “Why pay to read Telegraph Digg-bait when you can read BBC churnalism for free?”, I asked.

I am sure plenty of journalists realise this if they stop to think about the situation. The fact that so many professionals blame bloggers for the industry’s ills says it all. Despite journalists’ qualifications, experience and resources, their entire business is supposedly being dismantled by a bunch of hobbyists who spend the odd hour of their spare time opining on the internet.

A few weeks ago I met a journalist at a party and I engaged him in a conversation about the future of his industry. He told me he hates bloggers (whoops! — I kept schtoom). But he told me that in his view the biggest problem was people scooping him on web forums! If the professionals see online discussion forums as not only competing with them but doing better than them, that surely must make them wonder if the product they are asking people to buy simply is not good enough.

Anyone who thinks that bloggers and the mainstream media are competing is wrong. If they are competing, the media simply isn’t doing its job properly. Let us face facts. For the most part, bloggers don’t have the contacts, the resources or the expertise to do, for instance, a big investigative story.

If the media is worried about amateur bloggers, it is a pretty bad reflection on the professionals. Perhaps to distinguish itself, the media should be focussing on those aspects of content production that bloggers cannot do.

The supply of mediocre content is too high. Too much of the same sort of content is as readily available to news junkies as sea water is to beach-goers. In effect, for the past decade or so newspapers have been driving up to the beach with a tankful of sea water, then pumping their water into the sea. Later they started stretching out their hands like beggars wondering, “why won’t these beach-goers pay us for all this seawater we’re providing them?!”

So what is the answer? In my view, less is more. What newspapers need to do is offer something distinctive and different. They should specialise more and differentiate their content from everyone else’s. They need to offer less, but better, content.

Newspapers should forget about reporting all the same hard news as every other outlet is. It is a crowded marketplace so there is no money to be made there. Instead, they should work on more exclusives, investigative reporting, analysis and features.

Actually, there is a problem with that idea, which is that it won’t save all newspapers as we know them at all. It points to a future where many daily newspapers may wither. But weeklies, monthlies and specialist publications are more likely to thrive. It wouldn’t stop the press from having a difficult period of job losses and paper closures. But it would mean those who could get it right would be able to charge for content quite comfortably.

Evidence suggests that this shift may already be happening. Speaking personally, there is not one daily newspaper that I would be happy to pay for. But up until recently I was perfectly happy to pay for the weekly Economist (and in truth, I only stopped because I didn’t have the time to read it). As for specialist publications, I still like to read the monthly F1 Racing if I get the chance.

It may be the same for other people too. Recent evidence seems to suggest that many specialist publications are doing well at the moment, even amid all the turmoil in the press and the worst recession in living memory. According to Malcolm Coles, 216,000 people are perfectly happy to pay £7.75 per month for an online subscription to Which?.

Yesterday I also read about two major news websites relaunching — with less emphasis on news. On the new LA Times website, Hamilton Nolan at Gawker wrote:

Scroll down from the top of page at the new LAT site and you find: Health, Food, Education, Technology, Sports, Blogs, Columns, Opinion, Photos & Video, Summer Hot List, and “Your Scene, Your Comments.” Did you miss the, say, ‘International news’ section? It is way up at the top in tiny tiny type. Below the top fifth or so of the page, there is no “hard news” at all.

As for the new Newsday website… well, just take a look.

Someone still has to do the worthy news stories though. Maybe that can be better left to agencies or major broadcasters. But maybe a simple reduction in the number of newspapers would suffice. Iain Hepburn recently estimated that as many as 17 major media outlets are all aiming at the same audience in Scotland. We make do without 17 major supermarket chains — five or six different ones satisfy most consumers. So do we need more than five or six major news outlets?

A merger here, a takeover there and even the odd shutdown or two might be a good thing. Fewer outlets can have a higher market share, more resources, more of the best journalists — and they’ll produce a better product as a result. Five or six excellent news sources would be much better than 17 so-so ones, which is more or less what we’ve got at the moment. Surely that is what’s needed to make news a viable business going forward.

Rating: +6
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Blogging/ Books/ Current affairs/ Economics/ Entertainment/ Internet/ Media/ Music/ Newspapers/ Technology

Are newspapers ready to charge for online content?

Content doesn't have to be free and people may be willing to pay... but

14 August 2009, 01:41

Charged debate

A series of posts

  1. Are newspapers ready to charge for online content?
  2. How charging for online content might work

Rupert Murdoch’s decision to experiment with charging for content has ruffled a few feathers. Fair play to Murdoch for being brave enough to put his head above the parapet. If anyone can take the risk, it’s Murdoch — and the rest of the media will have him to thank if the gamble pays off and it reveals the business model that other outlets can follow. Malcolm Coles certainly makes a fairly good case to suggest that Murdoch can get away with it.

Without doubt, monetising content online has been a very tough nut to crack, so much so that many appear almost to have given up. Indeed, the controversy surrounding Murdoch’s decision shows just how much some people now believe that it is impossible to charge for content.

No doubt the advent of the web has changed the game. It is much more difficult to charge for something that doesn’t physically exist, and something which can very easily be distributed for almost zero cost. This more or less means that, if you want to, you can probably get it for free.

I know of one major national newspaper that found that having a paywall was detrimental to their business because they made more money by removing the paywall and instead displaying Google ads to the extra readers. Anyone who has used Google ads will know that we are talking about pretty low amounts here. It is a real demonstration that a simple subscription model will not work for everyone.

But we know that there are plenty of people who are willing to pay for content. As Malcolm Coles points out, there are countless examples of people paying for music, audiobooks and whatever else, when they could have got it for free. That is because, contrary to what many people assume, most humans have a conscience.

For instance, the pay-what-you-like or “honesty box” model actually seems to work. There is the example popularised by Freakonomics about the bagel man. Radiohead seemed to make it work when they released In Rainbows.

Just last week I heard an interview with a taxi driver from Vermont, USA who invites all of his customers to pay what they like. “Nobody has shortchanged me yet,” he says. Even in cases where cash payment was not forthcoming, payment in the form of CDs was.

The problem is, you won’t be able to charge anyone anything if you only serve up a pile of samey crap. Your product needs to be distinctive. The bagel man wouldn’t have done so well if he was trying to sell pens. Radiohead made it work because they are the best band in the world with a loyal fanbase.

But how many media outlets can offer something so attractive? The problem as I see it is not that you cannot monetise any content. The problem is that the content newspapers are producing just now is not the sort of content they can get away with charging for.

Jeff has suggested that there needs to be a sense of duty to buy newspapers, just like there is a sense of duty to vote. But people should only really pay for something that they value, otherwise inefficiencies will result.

If people still value newspapers, they should be willing to pay — and many still are. Most people would feel guilty otherwise, as the honesty box examples suggest. But the problem is that many people just don’t like newspapers any more, as is evident in the comments on Jeff’s post.

It is not as if there is anything wrong with the physical product, despite the jibe about newspapers being “dead trees”. I can imagine a parallel universe where the newspaper was invented after the internet, where the physical paper would be seen as a luxury item. You don’t have to be connected to the internet. You can fold it up and carry it about with you. You can scribble on it if you want to. You can frame it if you love it enough.

But the problem is with the content. With the advent of new technologies, newspapers have become much less useful to consumers. Once, newspapers were almost the only way to find out about the news. Today they are the slowest of many ways to find out the news.

How many times does a major story break late in the day? That story will be all over the breakfast radio and all over the 24 hour news channels. There will be countless reports about it on the internet, and to add insult to injury the bloggers will have had their say too. But if you want to read it in the newspaper, you will have to wait until tomorrow.

Maybe a major story doesn’t break so late very often. But even in these cases, the chances are that you have had ample chance to hear analysis about the front page stories on the radio or the television the night before. In essence, newspapers now do little more than peddle what is literally yesterday’s news.

Like the music industry, the newspaper industry’s mistake was to fail to adapt. They arrogantly assumed that they could carry on with the same template and tinker round the edges, fumbling around for a business model that would work.

Of course, most newspapers have websites these days. But if anything, that has exacerbated the problem. It has led to phenomena like churnalism, with journalists producing more and more content with fewer and fewer resources. As such, much of newspaper websites’ content is watered-down crap. Worse still, much of it is Digg-bait which has been SEOed to death.

That is the crux of the matter. The media is sullied, and journalism as a profession is held in contempt by much of the general public. No wonder people won’t pay for content — it’s not any good, and there is nothing to distinguish it from free alternatives. Why pay to read Telegraph Digg-bait when you can read BBC churnalism for free?

So is there a solution? Keep an eye out for my next article where I will put forward a few suggestions.

Rating: +2
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*/ Current affairs/ Economics/ Famous Langtonians/ Fife/ General/ Media/ Newspapers/ Personal/ Politics/ Scotland/ Work

The failing economy of Kirkcaldy

Clamour for jobs in the town of Gordon Brown

5 August 2009, 20:54

It was revealed yesterday that Gordon Brown will spend part of his summer doing voluntary work in Kirkcaldy, the town where he grew up which forms the major part of his constituency of Kirkcaldy and Cowdenbeath. It is also my home town.

Some uncharitable people have suggested that his job may involve digging holes, something he has done quite enough of as Prime Minister. More cutting might be the observation that voluntary work is the only sort of work you’ll be able to find in Kirkcaldy.

A couple of weeks ago, The Times ran a piece about the economic woes which have hit Kirkcaldy which was a talking point among some of my friends. Aside from apparently inventing the demonym “Kirkcaldians” (I personally prefer “Langtonian”, named after the town’s old nickname, the Lang Toun), I think the article is largely a fair and accurate reflection of the town.

I have written before about the sorry state of the Mercat, the town’s main shopping centre which used to house my former workplace, Woolworths. Over the difficult Christmas period the Mercat went from bad to worse. But it gets just a passing mention in the Times piece, with its mere eight or more empty units.

Apparently there are thirty empty units in the High Street. There is a particularly dire section in the middle of the pedestrianised zone, where three shops in a row — which used to be the Link, Adams and Icon Clothing — now lie empty. What remains has been criticised for exhibiting the characteristics of a clone town (PDF link). Beyond that, particularly in the west end, what isn’t a chain store is most likely a pawn shop or a charity shop.

Perhaps this is not particularly unusual. The death of the High Street has been widely advertised, so this is not a problem unique to Kirkcaldy. The Times article briefly touches on the retail park. It sits on the north-western edge of the town, well away from the centre. But it is currently being expanded, a development which feels like a desperately-needed shot in the arm for Kirkcaldy.

The problem is that it just is not enough. Indeed, the clamour over the few new jobs that are available serve to bring into focus just how dire the situation is. I have lost count of the number of people that I know of applying for the same few jobs.

A new B&Q has opened, although the old one closed. A number of my former colleagues at Woolworths have ended up working there. PC World is another new store at the retail park. But so many people I know applied for jobs there. A friend who got an interview there was told that they had been bombarded with over 700 applications.

If you got rejected by PC World, you could always try applying for a job at the new Toys R Us. The only problem is that they apparently had 3,000 applications. Only a lucky 350 got an interview, with just 40 places going.

An Argos Extra has also opened up. They held an assessment day at the Jobcentre a couple of months ago. I saw it with my own eyes as I walked past it. There were two queues coming out of the Jobcentre, one in each direction. I have been told that the larger of the two queues stretched all the way to the police station, which sits at the opposite end of a street which is the best part of 200 yards long.

The store has been open for just over a week now. The good news on that front is that my friend, who transferred to work there from the existing High Street store, reports that sales have been very encouraging. Whether that is simply down to the excitement of something new opening in Kirkcaldy remains to be seen.

As for the Jobcentre itself, that continues to hire new people, including one of my friends. What they’ll do with the new staff when demand for the Jobecentre’s services is not so strong is unclear. But at the moment that feels like a distant possibility anyway. Whenever I went there I was often told they were short staffed.

In the Times article, there is a quote about the Jobcentre by a man called Tam Collins: “they expect you to stack shelves at Asda.” I got exactly that when I visited the Jobcentre. Going there is a fruitless task which I have now given up.

The Asda is a new store which has opened up in neighbouring Glenrothes. It is probably the most exciting thing in terms of employment to happen in Glenrothes for years. That is another place where a few of my former Woolworths colleagues have ended up. In a way they were lucky — Asda received over 7,000 applications for that one store.

Meanwhile, the town’s largest employer, a call centre called MGt, has recently shed 65 jobs as a result of the closure of Setanta. 65 looks like a small number compared to the amount that are already looking for work. But MGt has provided a lifeline to Kirkcaldy in terms of employment since it set up around a decade ago. Today it has around 1,000 people on its books. I dread to think what Kirkcaldy would be like if it wasn’t for MGt. That even MGt is downsizing is ominous.

But that sums up Kirkcaldy. It lost its way after the industrial decline of the previous fifty years. Now if you want a job in Kirkcaldy you need to either work in a call centre or in the precarious retail sector. And even then, good luck to you. After my previous experience of working in retail, I am avoiding it if at all possible.

Seven months since losing my job at Woolworths, and over a year since I graduated, I still haven’t found a full time job (although I’m lucky to have found bits and pieces of freelance work). I have well and truly hit the buffers, and I am now starting with a blank sheet of paper to decide on my next move.

One of my biggest mistakes was to focus my search too narrowly on a small geographical area. I certainly didn’t bet on finding a job in Kirkcaldy — it was bad enough before and clearly getting worse. But I planned on finding something in the eastern part of the central belt — somewhere within an area encompassing Fife, Dundee, Perth, Stirling or of course Edinburgh. No luck yet. I will have to broaden my search further and hope that something comes up, or hope that I will be able to rely on freelance work in the long term. I wouldn’t like to bet on relying on getting a job at a call centre in Kirkcaldy.

It is sad that Kirkcaldy is like this. This is the town of Adam Smith, the father of modern economics who looked out onto the bustling Firth of Forth, full of trade ships, and was thereby inspired to investigate sources of wealth. Today he would only be inspired to investigate the weed growth in the derelict former workplaces.

Sadder is the role of Gordon Brown. Surely, some people say, if there was one man who could save Kirkcaldy, it would be the Prime Minister and former Chancellor, who grew up here and depends on the residents’ votes. Some are truly furious about it.

Others, as the Times article notes, inexplicably give him and the government the benefit of the doubt. Talking to people, it is genuinely true that there are people in Kirkcaldy who believe that Gordon Brown is a competent leader who has somehow been stitched up. Even for failed leaders, the halo effect is still in evidence.

That is the irony. The people of Kirkcaldy are probably the one set of voters in the country that Gordon Brown can afford to take for granted. Could it be that having the local man as Prime Minister has exacerbated Kirkcaldy’s problems?

It would indeed be harsh to lay the blame wholly at Gordon Brown’s door. Kirkcaldy had problems before, and most of what has happened in the past year can be put down to the global recession.

But the Labour Party is supposed to look after the interests of people who live and work in towns just like Kirkcaldy — a former industrial town that slips ever-further into the mire, with one of the highest unemployment rates in the country. On the evidence I see with my own eyes, the Labour Party have failed us.

Rating: +6
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Current affairs/ Economics/ Internet/ Politics/ Scotland/ Technology

A second opinion

Computer says... Libertas?

4 June 2009, 12:35

A couple of tools have emerged in the run-up to the European elections. They aim to help people decide who they should vote for.

This is nothing new — nowadays every election comes with its own similar tools. They are the cousins of Political Compass and the like. While they may not be totally scientific, they are quite enlightening in their own way — and a bit of fun whatever. So I have taken both tests to see what they say.

EU Profiler

This test doesn’t give you results for all the parties, but the big hitters are there. This has the advantage of also comparing your views with parties right across Europe, not just in Scotland or the UK. The Europe-wide results are interesting in themselves.

But first, here are my results for parties that I can actually vote for. The top party is the Liberal Democrats, which perhaps shouldn’t be too much of a surprise. Ideologically, they are the only party I am closely aligned to, and I have always voted for them in the past. I am a 60.3% match. Not terribly high, but higher than the other parties.

Second is the Conservatives with a 58.3% match. The SNP are a 55.2% match, while Ukip edge ahead of the Greens to be my fourth-closest match. Labour slug it out with the BNP to be my least favourites.

If you exclude the importance I attach to issues, Labour actually rise up to 4th place. Perhaps this suggests that I agree with many Labour policies — just not ones that I think are important.

I have a much closer affinity with other political parties outside the UK. My strongest match, by quite a long way, is Sweden’s Pirate Party. This is a recently-formed party which rose up in protest at over-zealous copyright laws. Makes sense I guess.

One striking thing about the Europe-wide results is the fact that three Croatian parties appear in my top five matches! Is there something about Croatia’s politics that would make me swing that way ideologically? Are there just lots of similar parties in Croatia? The three are the Social Democratic Party of Croatia, the Croatian Social Liberal Party and the Croatian People’s Party — Liberal Democrats.

The other parties in the top ten are: Liberal Democracy of Slovenia, People’s Movement Against the EU (Denmark), Estonian Reform Party, Freedom Union — Democratic Union (Czech Republic), Humanist Party (Portugal), Liberal and Centre Union (Lithuania). To be fair, having had a glance at each of these parties, they seem to vary quite a lot, so I wouldn’t put too much faith in them.

Incidentally, the Liberal Democrats are only my 65th strongest match. So in theory, there are 64 other parties across Europe that I would rather vote for. Not very good, is it?

Vote Match

Vote Match gives me very different results. My strongest match is Libertas with a score of 51/54, which seems quite high. (I’ve taken the test three separate times now, and Libertas were the top result each time.) This is despite the fact that I chose Scotland as my region and Libertas aren’t standing in Scotland.

Joint second are the Greens and the SNP with 41. The Lib Dems, the Conservatives and Labour are all joint fourth with 39. Jury Team’s Alan Wallace has 33 and Ukip have 28.

The results page on Vote Match is very comprehensive, with a table of each party’s position on each of the 30 questions. Looking down the table, it does appear as though I agree with Libertas on a lot of issues, and all of the issues that I marked as important. On all the issues I marked as unimportant, I disagreed with Libertas. This has perhaps accentuated their score.

These results just don’t sit right with me though. The list seems wrong. It is especially odd to see the Greens so high up there. Perhaps this is where differences in policies for Holyrood or Westminster and Europe come into play. But I’m taking this result with a pinch of salt.

Political Compass

This isn’t related to the European Parliamentary election, but it is the granddaddy of online political tests, and I think it is a couple of years since I have taken it. So I thought I’d take another look. My result now is:

Political Compass 2009
Economic Left/Right: 1.25

Social Libertarian/Authoritarian: -6.82

So I’m — just — on the libertarian right. But I am still more of an economic centrist, though firmly a social libertarian. This is more or less what I expected. A clear trend that I have noticed is a slow drift towards the libertarian right. The last time I took this quiz, two years ago, my economic score was 0.38 — closer to the centre, but still on the right. The social score was a slightly less libertarian -6.10.

The time before my score was 1.00 and -6.21. The time before that, in 2006, it was -0.13 and -5.08.


I still haven’t decided whether or not I will vote. However, I think if I do vote, I know which party I will vote for. I’ll report this evening on my action / inaction.

Rating: 0
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*/ Books/ Current affairs/ Economics/ Make My Vote Count/ Personal/ Politics/ Sport/ University

Five disturbing things about democracy

Why voting may not be such a noble activity after all

31 May 2009, 01:06

Here it is: that post I’ve been sitting on for upwards of a year. Before I start, I am going to make a few introductory notes about what I do and don’t mean when I call democracy disturbing. I find that all too often debates about this subject are clouded by dogma, which leads to poor thinking and boilerplate arguments.

Before some cheesy person wheels out that Churchill quote about democracy being the worst system apart from all the other systems, yes of course I have heard it. And it is true. I am a democrat because I believe it brings about favourable conditions. For instance, there is the correlation between democratisation and higher GDP per capita. (Whether democracy is cause or effect does not matter. If the value of the higher GDP per capita is greater than the cost of democracy per head — as it almost certainly is — then democracy is a price worth paying.)

Furthermore, I should define more closely what I mean by democracy. Most of the flaws I will point out are actually problems with elections rather than democracy as a whole. Aspects of democracy such as civil liberties, human rights, freedom of speech, the rule of law, due process, and so on and so forth, are of course things that I am deeply supportive of. This will become clear in my first point.

I tackle the issue not from an anti-democratic perspective. Far from it. My problem is with the approach which sees democracy almost like a religion which ought not be questioned — what Bryan Caplan in his book The Myth of the Rational Voter called “democratic fundamentalists”:

Its purest expression is the cliché, attributed to failed 1928 presidential candidate Al Smith, that “All the ills of democracy can be cured by more democracy.” In other words, no matter what happens, the case for democracy remains untouched.

No case should remain untouched. That is why, for me, there is not enough scrutiny placed on democracy. There is a fear of investigating it, because the benefits of democracy are perceived to be so self-evident that anyone who stops to ask what the disadvantages are is instantly regarded as a fool. That must be dangerous. If we agree that the system is imperfect, the only way to improve the situation is to investigate it and have an awareness of what the problems are.

Just as a final point, much of my thinking in this area came about as a result of the research I did for my dissertation, which was about the “paradox of voting“. In case you want to read more about voting behaviour, I have uploaded my dissertation here.

Having got all of the caveats and explanations out of the way, it is time to move on to my five points.

1. Democracy is not guaranteed to uphold freedoms

This is more or less a rehash of The Devil’s Kitchen’s post which I referred to yesterday. Above I said that “aspects such as civil liberties, human rights, freedom of speech, the rule of law, due process” are important. Arguably, these have all taken a battering by recent democratically elected governments.

Wave goodbye to your right to peacefully protest, have a fair trial and take photographs in public. Say hello to ID cards, the database state, endless reams of CCTV footage, mass DNA collection, control orders, detention without charge and extraordinary rendition. Thanks, democracy!

2. Tyranny of the minority

Most people are familiar with the concept of the tyranny of the majority. Thanks to the system of democracy adopted in this country, it doesn’t even take a majority to construct a tyranny. In the 2005 General Election, 9,562,122 people voted for Labour candidates. Assuming a population of 60 million, this translates to around 16% of the population.

The votes of this small percentage of the UK’s citizens has given the Labour Party 55% of the seats in the House of Commons, a majority of 67 seats. What gives the government the right to rule the country with such dominance? Not the people, that’s for sure. Only 16% of the people expressed a preference for the current government. In fact it is the way the system is constructed, and nothing else, which gives Labour its “legitimacy”.

That brings me neatly on to…

3. The system can’t be fixed

Arrow’s Impossibility Theorem states that there can be no voting system which will be able to fulfil a number of desirable criteria:

  • The Pareto principle — if everyone prefers x to y then y should not be elected
  • Anonymity — every voter should be treated equally
  • Neutrality — every candidate should be treated equally
  • Independence of irrelevant alternatives — the ability of x and y to win an election should not be affected by the entrance of a candidate z
  • Transitivity — if x is preferred to y and y is preferred to z then x should be preferred to z

Independence of irrelevant alternatives is the one that riles up proponents of electoral reform the most. Just think of Ralph Nader, or the farcical events of the 2002 French Presidential election. In this case, the voting system is far more important than the voters themselves. The fifth item on the list refers to Condorcet’s paradox, whereby attempts to find a winner of the election leads you on an endless circle.

We can argue among ourselves about which voting system should be adopted. But (and I’m not saying this will necessarily come as a surprise to anyone), you will never find a system that will please everyone. It will be a matter of choosing the least worst option, as every system has a fatal flaw of some kind. For what it’s worth, my preference is Single Transferable Vote — but that’s a matter for a different post in the future.

For more along these lines, read this post about a talk I attended a couple of years ago. It was given by economist Eric Maskin en route to collecting his Nobel Memorial Prize in Economics. He had some very interesting views on electoral reform.

4. An individual vote is almost worthless

If you are concerned with affecting the course of history by having your say on major political issues, going to cast your vote in an election is more or less a complete waste of your time and energy. It is said that you are more likely to be killed on your way to the polling station than to actually cast the deciding vote.

The probability the the outcome of an election will hinge on your vote is minuscule. Even under the fanciful assumption that in a two candidate US Presidential election each other person is likely vote for either candidate with a probability of 0.5, the probability that your vote will be the deciding vote is 0.00006.

Yet the costs of voting are actually rather large. You have to spend time and possibly money learning about each of the candidates and their policies. The time and money spent travelling to the polling booth is not exactly negligible in the context of the minuscule probability of your vote actually meaning a damn thing.

Of course, this doesn’t mean that voting is wrong. People don’t vote because they believe it will affect the outcome. They vote because it makes them feel good. But the fact that you need to resort to non-instrumental incentives in order to justify the act of voting leaves wide open the possibility that people with bad motives (or motives with bad effects) are more likely to vote…

5. Many who do vote base their decision on prejudices

In his very interesting book The Myth of the Rational Voter, Bryan Caplan said that the fact that people vote can be explained by the fact that they like to hold certain political beliefs. Let’s call our voter a sheep. He may hold suboptimal opinions and support policies that would actually make him worse off. This might be due to social pressures, a sense of self-image or whatever. It is, after all, all too common to meet someone who votes Labour just because their dad did.

It is precisely because a person’s vote is so worthless that sheep are encouraged to vote. They like to go and vote because it makes them feel good, reaffirms to themselves their ideological loyalty and so on. But sheep never stop to think if the policies they support would make them worse off. They don’t have to because their vote doesn’t matter anyway. The cost of ideological loyalty is low. Indeed, the benefits of it are enough to outweigh the costs of voting.

Those who hold no strong ideological loyalties, and who may therefore be expected to enter the polling booth ready to judge fairly based on all of the information they have gathered, are actually far less likely to vote. This is because they feel no warm glow from the act of voting for their favoured party.

As such, the traits of voters are the sort of traits you would normally expect to find on a football terrace. They will trudge along to express their tribal feelings, and will keep on doing so even in the driving rain, even if their football team is rubbish and the game is low-quality.

One might say that the political party you support is rubbish and the state of politics just now is low-quality. Who wants to buy a season ticket? Is it not better to leave that sort of behaviour on the football terraces?

Rating: +7
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Current affairs/ Economics/ General/ Personal/ Politics/ Scotland

A pathetic situation

Could I be on the verge of abstaining for the first time?

29 May 2009, 01:56

It’s a funny time in politics. I have written a couple of times in the past about why I would consider abstaining, or sympathise with those that do. That provoked some interesting discussion.

My degree was in Economics and Politics, and I found that the more I learned about politics, the more jaded with the system I became. Conversations with other people have suggested that I am far from alone in experiencing this. Indeed, it has been one of the central points of the previous discussions here, with James O’Malley offering a contribution that backs the theory up:

I think your experiences of becoming more apathetic with age – essentially more apathetic as you became better informed – are pretty similar for a lot of people. I’ve just finished a degree in International Relations, and as a consequence of learning what a horrible bleak mess the world is, I think we all became cynical about almost anything political.

Events since then have only made me more likely to become apathetic. The credit crunch underlined that what goes on in politics does not matter an iota as much as what happens in the real world of business. Politicians don’t have as much power over the economy as they like to make out, and any influence they do have is probably a negative one.

Now we have the expenses scandal, which in fairness is only surprising in terms of the scale of the problem, not the fact that it existed at all — most people took that as a given. It adds to the impression that the system is inherently rigged against individual voters.

Increasingly, when people ask me how I would vote if there were an election tomorrow, I say that I wouldn’t vote. Making a conscious decision not to vote is not the same as apathy. I still have opinions on issues just as much as I have ever done. But my stance does reflect a more jaded view of party politics.

Next week we will be asked to vote in the elections which people are almost certainly the most apathetic about — European Parliament elections. This will put to the test the idea that I wouldn’t vote. If I were to abstain on Thursday, it would be the first time I have ever turned down the opportunity to vote in a major election. Mind you, I have only had the vote for five years so I haven’t had that many opportunities to turn my nose up (although voters my age are the most likely to).

In the background of recent events, the political elites are now becoming aware of how intense the distrust of political types is among the wider public. As such, there are a number of ideas for how to reform the system floating around just now. As someone who takes an interest in constitutional issues, electoral reform and the like, I think it will be worth investigating them.

I find this an interesting situation. In the wake of a barrage of apathy-inducing news, and in the face of the most stupefyingly boring elections on the face of the planet, can I bring myself to vote? Or, more to the point, can I bring myself not to vote? Will feelings of civic duty trump the temptation to rationally abstain?

Increasingly, as Question Time is broadcast, I find that the conversation on Twitter is dominated by discussions about “#bbcqt“. I have not been able to bring myself to watch that programme for a couple of years. That was another thing that has got me thinking. I wrote:

Can’t work out if I want to totally give up on politics, or if now is a good time to get stuck in again. Everyone on Twitter talking [about] #bbcqt

I got one reply, from Chris Hawes: “Get stuck back in!”

So, is it time to get stuck back in? For the next week or so I am going to go on a voyage of discovery. Okay, that’s just a grand way of saying I’m going to write some posts about politics over the next few days. I will start over the weekend by writing some thoughts on the state of democracy, and looking into some of the ideas for reform.

Later on into next week I will write about the upcoming European elections, taking a look at each of the parties standing in Scotland. There will be an election literature review, and I will be asking questions such as, “Who on earth is this Duncan Robertson fellow and why is he suspiciously invisible on Google?”

Most importantly of all, I hope to find an answer to the big question: Will I vote, and if so who for?

The plans are vague because I haven’t written the posts yet, and I genuinely don’t know what the conclusions will be. My post about the democratic system is something I’ve been meaning to get off my chest for over a year now, but I’ve never managed to bring myself to actually write it. Now seems like a good time to do it.

By way of a taster, here is another of the catalysts to this series of posts. It’s a post by The Devil’s Kitchen: Democracy is not a given good. It comes pretty close to summing up my feelings, but you will learn more about that when I publish the next post.

Rating: -1
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Current affairs/ Economics/ Politics/ Scotland

A warm feeling

I can't see the downside of the Green Party's proposal

16 January 2009, 01:26

Being of a (small ‘l’) liberal persuasion, I generally dislike the idea of governments sticking their noses into what goes on in your house. Indeed, I lean towards smaller government in general. But there is one nice proposed bit of government intervention that I’m struggling to oppose.

The Greens seem set to use their status as potential kingmakers within the Scottish Parliament in the current budget negotiations to persuade the Scottish Government to adopt their policy of providing free insulation to all of Scotland’s homes. I raised my eyebrows when I first heard about it, thinking it was bound to be expensive. But it’s not really. The scheme would cost £100 million, which is pocket money compared to the £33 billion budget that the Scottish Government has at its disposal.

As such, I’m finding it impossible to see the downside. Everyone in the country gets their homes insulated for free. This allows us all to turn the heating down, with the dual effect of saving us money in the long run and reducing energy consumption (and climate change). Then there are the health benefits involved in having a warm home. It will also provide some jobs in construction at a time when there is slack in that sector — a good bit of Keynesian medicine at just the right time.

Best of all, the scheme is based on a successful experiment that has already taken place in Kirklees, so we know it can be done. It seems like a win–win situation all round. The scheme is relatively inexpensive and the money will soon enough be recovered in the saving in energy bills. It’s difficult to see how it could go badly wrong.

I write about this because it’s a long time since I’ve been so heavily in favour of anything any political party has said. I had rather lost my faith in political parties, and had become jaded with the whole political process. What’s surprising is that it’s the Greens who have grabbed my attention with this excellent policy. Even more surprising is that it’s a policy that involves a degree of extra government intervention. I’ve got to take my hat off to the Greens for managing to get me applauding a policy like this. It gives me a warm feeling, which is quite appropriate.

The Greens have a campaign website called Warm Scotland where the policy is explained in more detail. See also this blog post at Two Doctors. I hope the scheme gets the go-ahead.

Rating: +2
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Blogging/ Commuting/ Current affairs/ Economics/ Fife/ General/ Personal/ Scotland/ Technology/ University/ Work

Spare part

I'm redundant, but are degrees even more so?

15 January 2009, 00:44

I see that the BBC’s iPM blog is asking for the human stories behind the current unemployment figures. Well, I am a human face of two recent news stories.

As readers are no doubt sick of reading by now, one of those stories was the loss of around 27,000 jobs at Woolworths. The other is the shortage of graduate-level jobs.

I graduated last summer. I didn’t have a job to walk into straight away because I wanted to take time to think about my future plans. Plus, the economy seemed bad enough at the time, and I thought maybe things would improve a bit later down the line. Now I have more or less decided what sort of work I would like to do, but of course the economy has deteriorated further and the jobs simply aren’t there.

The thing is, I’m not the only one. I can’t think of anyone who was in the same school year as me and has found a graduate-level job. I haven’t kept in touch with many people from university, but those I have heard from are either working in part-time retail jobs or more-or-less volunteering. I am still in touch with a lot of people from school, and no-one I know who was in the same year as me has found a job yet. I’m sure there are loads of people of my age who have found a decent job — I just don’t know any of them.

Many are doing five year courses anyway so are still studying. One or two have opted to go onto further study, while the rest of us are still searching for employment. And I’m not talking about people who got thirds from Shatsborough Poly by any means. I know someone who got a first at St Andrews University and is currently working in a shop.

A few months ago I still had the luxury of working in a shop. Of course, staying on at Woolies was never my long-term goal. It would have been useful as a back-up plan though. Not exactly a plan B, but maybe a plan C. As it stands, I’m still waiting for something to turn up in the realm of plan A, I need to wait and see with plan B, and plan C has totally fallen through already. For now, I’m onto plan D — D for “dole”.

So the news that there is a shortage of graduate places is not exactly news to me. I’ve experienced it myself and I’ve shared that experience with my acquaintances. What is really worrying is that a situation that was bad for the class of 2008 looks set to become even worse in 2009, with no sign of a recovery.

I had long feared that my degree wouldn’t be worth much. When I was at my lowest ebb, I thought that the whole higher education machine was a bit of a scam. When you are at school, you are pretty much told by everyone that going to university is the only option if you don’t want to spend your life being a street cleansing operative. Parents want you to go to university because of their pride. Schools want you to go to university, probably because of some kind of target, or league tables or something. And governments want you to go to university because of their peculiar obsession with having 50% of school leavers in higher education, and probably also to keep unemployment figures down as well.

Quite why I should have wanted to go to university is a bit of a mystery now. It was fairly clear early on that my degree wouldn’t be enough to set me apart, mostly because people began to tell us. There was that old joke about the university graduate who went on to become the best barman in town.

I could see why it was the case. The intellectual range of students is surprisingly large. I studied alongside many students who did not seem very bright (and spent much of their four years at university consuming alcohol), but were obviously quite good at exams. I think I am relatively smart and hard-working, but I don’t happen to perform so well at exams (my essay marks were always higher). Both types of student are likely to get a 2:1, but one of those types is surely the better for the employer. I have few ways of signalling to an employer which type I am.

The fact that employers do not value degrees very highly at all is evident in the fact that most blue chip companies will have job applicants sit their own exams, aptitude tests, diagrammatic reasoning tests and so on and so forth. Simply, there are too many degrees sloshing about in the system and the value of a degree is now so low that it tells you almost nothing about a person’s ability to do a job.

Maybe in the long run it will pay off and I will be pleased I put myself through four years of stress and horrible three hour round-trip commutes. In the meantime, I look at the people around me who have never been to university and think what I could be doing now had I taken their path. If I worked in a shop from the age of 16, I could be in management by now. If I left school at 16 and took up a trade such as plumbing, I would be perfectly comfortable and happy with my life already. I might even be running my own business. As things stand, I just feel a bit lost and I don’t know what my prospects are.

What I find notable is that the few opportunities I have had have arisen as a result of my blogging activities. No-one is interested in me because of my degree. There are plenty of people with one of them, and they’re all looking for jobs too.

The loss of my part time job last week came as a further blow to morale. Even though I was planning to leave my job at around this time anyway, there is nothing like being made redundant from a low-paid shelf-stacking job to make you feel like a spare part to the world. I need to remember that it’s not my fault.

Unemployment has affected me more than I thought it might. While I have never been unemployed in the official sense before, I have had periods of downtime before — summer breaks from university and the like. I thought it would feel like that. But it doesn’t. A whole lot of baggage comes with unemployment.

I have found myself being quite down at times. The scariest part is not the lack of income (for the time being) but the potential that I might end up isolated. You might not get along with all of your colleagues, but they are nonetheless like a second family. It’s a whole set of people who are there, prepared to listen to you and offer advice. Regular contact with people keeps you connected to society. With many of my friends either still studying or gallivanting somewhere else, I am a bit worried about becoming isolated.

Jennifer Tracey asks on the iPM blog if there is less of a stigma attached to being unemployed now that the economy is in such a bad state. I couldn’t help but feel rather self conscious as I took my first trip to the Jobcentre and I almost felt like the spotlight was on me as I walked up the steps to the entrance. I suppose that is quite silly really, because in this part of the world the Jobcentre’s steps are quite well used.

But what other people might think doesn’t bother me as much as what I think does. The prospect that I might be unable to positively contribute to society for the next while vexes me a lot.

Rating: +2
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Current affairs/ Economics/ Politics

The paradox of the paradox of voting

Going beyond the call of duty

25 October 2008, 14:19

I wrote my dissertation about the paradox of voting, which is the problem that rational choice theorists have in explaining why people vote. You are more likely to be killed on the way to the polling station than affect the result once you’re inside it — so why vote? The puzzle interested me as soon as I heard of it and I still often think about it.

The answer is that people take into account not just the instrumental benefits of voting. They also take into account a variety of factors that can be loosely gathered under the umbrella term of “civic duty”. The benefits that people get from performing their civic duty outweigh the costs of voting.

But what about people who clearly go way beyond the call of civic duty? This guy travelled 600 miles just to vote in the US Presidential election (via Bernard Salmon).

That is a puzzle to me. But it is clear that this election is enthusing people to an extent that may never have been seen before. Barack Obama in particular is said to have engaged young people and black people in the US political process like never before. Early voting numbers are reported to be high. And now a person whose family has voted Republican for three generations has driven 600 miles to vote for Barack Obama.

It’s worth remembering that it’s not just Obama that is creating this extra interest. I heard a woman on the radio a few days ago saying that she will be voting for the first time in her life — for John McCain. She doesn’t trust Obama because of his inexperience.

It looks like the USA sees itself as being at an important cross-roads, for a whole host of reasons. They want to get this decision right.

Rating: 0
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Current affairs/ Economics/ Politics/ Scotland

It’s not all about the money

What if independence made Scotland poorer but happier?

19 October 2008, 00:07

Events in the world of finance over the past few weeks have focussed that ‘national conversation’ onto matters economic. Of course, the economy always features heavily in debates surrounding independence, but events have changed the tone and moved the debate up a gear.

In particular, the trouble that Iceland finds itself in has led Scottish Secretary Jim Murphy to jibe about how Alex Salmond’s “arc of prosperity” encompassing Ireland, Iceland and Norway has become an “arc of insolvency”. I also cheekily made a reference to Iceland last week.

Of course, supporters of independence rebut the notion of the “arc of insolvency”. The various arguments surrounding these issues will continue on until the cows come home. Whether it is really wise to compare Scotland to Iceland (being a country with a population of just 300,000) at all, whether or not Ireland will potentially be in similar bother, and so on.

I wonder, though, if too much attention is paid to economic indicators when it comes to the debate on independence. Sure, things like economic growth are nice and desirable in their own way. But they surely cannot be the be-all and end-all.

I’m thinking about happiness economics. This is a slightly controversial field for various reasons. Certainly, being a relatively new sub-field fraught with all kinds of hurdles that other disciplines don’t have to negotiate, its findings are pretty patchy.

A famous concept in happiness economics is the Easterlin Paradox. Part of the paradox is that after reaching a certain threshold, societies as a whole do not become happier as they become richer. What matters, apparently, is your wealth relative to others. So if everyone becomes richer and you stay the same place in the pecking order, you will be no happier. However, more recent research suggests that the Easterlin Paradox doesn’t actually exist.

The Freakonomics blog ran a series of interesting posts on this more recent research earlier this year. Because there is seemingly no easy way to navigate through them all I will link to them here: parts 1, 2, 3, 4, 5, 6.

Despite contradictory findings and the various problems involved in researching people’s happiness, I think it’s important nonetheless for economists to study what makes people better off in broader terms rather than just assuming that well-being is a function of income. Certainly, even the more recent findings suggest that the relationship between happiness and income is far from simple.

A couple of interesting examples are relevant to the debate surrounding Scottish independence because they are both small countries. If you look in part 5 of the Freakonomics series, you will see nine graphs depicting the relationship between happiness and GDP. Ireland (part of the “arc of prosperity”) was very slow to become happier as GDP increased, though it did so, slightly, in the end. Meanwhile, Belgium’s happiness actually went down as GDP increased.

Whatever the pros and cons of studying happiness, it seems reasonable to suggest that there is more to life than just money. Certainly, it is an interesting thought experiment when it comes to considering the case for Scottish independence.

Cabalamat wrote recently on a comment on his blog: “I would probably support Scottish independence if the people calling for it had any coherent idea how to make Scotland richer. But they haven’t.” As you can probably guess from what I have written so far, I think this is a bit harsh.

Even though you probably won’t catch many people saying it, I am sure there are people who would happily accept a (slight) decrease in Scotland’s GDP as long as Scotland was independent. You might criticise these people, but if, as I have posited, life is not all about the money, it is a perfectly valid position to take.

For instance, I have often heard it said (and not just by nationalists) that Scottish people in general have had more confidence, more of a spring in their step, since Labour were kicked out last year. I don’t know whether that is true or not. I can’t say, personally, that I have noticed much difference in people’s behaviour since the SNP came into power. I am certainly not the sort of person who would become more confident just because the Yellow Party is in government and the Red Party isn’t. But if others do, then that is their prerogative, and who am I to judge that?

Similarly, it is often said that independence would have a host of other benefits besides any economic benefits there might be. For instance, some say that the people Scotland as a whole would become more confident, happier, prouder.

Whether or not you agree with that (and I have to say, I have my doubts), you have to admit that these are desirable goals of themselves, just as much as increased GDP is. As such, I would argue that it is reasonable to accept a trade-off in income if it gives you enough happiness to compensate for it. For this reason alone, I think the argument surrounding independence should hinge less on economic factors.

We all recognise this idea in a way. If everyone just focussed narrowly on money, we would all work 24 hour days and 7 day weeks. And while there are some people who like to work more than others, most of us like to have our leisure time which can boost our happiness. In so doing, we lose money by foregoing the wages that we would otherwise earn. And if we spend money on our leisure activities by going out or even by doing something as simple as using electricity, we lose even more money. But because it makes us happier, we do it. Indeed, if someone concluded that it was worth foregoing all of their leisure activities so that they could earn more money, you would probably think they were a bit of a dunce.

It is worth noting that Scotland has its own little Easterlin Paradox. Happiness in Scotland is lower than it is in England and Wales despite the fact that income is not substantially lower according to this paper (PDF link) by David Bell and David Blanchflower (found via Stumbling and Mumbling while searching for posts on happiness economics).

The fact that Scots are still unhappy relative to their neighbours suggests that Scotland’s problem is not just a deficient economy — it is a deficient people. Of course, independence would not let Scotland shed its “sick man” label overnight.

But if independence can contribute to an increase in the happiness alone of Scottish people, then it will have been of benefit. I’m not saying that independence would. But it’s interesting to think about.

Rating: 0
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Current affairs/ Economics/ Edinburgh/ Fife/ Internet/ Media/ Newspapers/ Politics/ Scotland/ Technology/ Television

The end of local television?

When regional news no longer feels local, is it time to give up on the concept?

1 October 2008, 01:09

Last week Ofcom gave ITV the go-ahead to cut regional output by 50%. Today ITV have duly gone and cut 1,000 jobs, almost half of which will come from regional news. ITV plc looks set to reduce the number of its regional news areas from 17 to nine.

It does make you wonder about the future of regional television, if it even exists. I have personally never been a fan of regional television, and I say that even having lived all my life in a very distinctive part of the UK. I might be the wrong person to ask though. I’m no fan of the “idiot box”. Next year, when F1 finally goes back to the BBC where it belongs, I will probably be able to say that I do not watch commercial television at all.

But regional television, it is fair to say, is not exactly pain-free viewing. More often that not, you can tell the programmes were made on a minuscule budget, and they are generally pretty naff.

Of course, back in the day, most ITV programmes were “regional” in the sense that they were made by one of the ITV franchisees. But the best programmes went out on the network and were therefore aimed at a national audience, with UK-sized aspirations and UK-sized budgets. As such, programmes that were aimed to serve a particular area were, almost by definition, sub-standard. I do wonder quite what the point of such programmes is.

It is slightly different for regional news. I can understand the appeal of having a separate bulletin dedicated to the news in a particular area. But the thing is that the regions are always too big for the bulletins to have a truly ‘local’ feel.

The ITV region I live in, STV Central, stretches from approximately where I live to Fort William while encompassing the massive populations of Edinburgh, Glasgow and Strathclyde. Watching the bulletin, you would get the impression that hardly anything ever happens outside of Glasgow apart from the politics stuff which happens in Edinburgh. Even many of the political programmes, both on STV and BBC Scotland, are made in Glasgow rather than Edinburgh. If you live anywhere else, it can feel pretty alienating.

The BBC has never even attempted to split Scotland up into regions and Reporting Scotland essentially aspires to be a national news bulletin. The problem with even this is that there either isn’t enough news to report or there isn’t enough budget. Even Scotland, with its large area and separate institutions — most importantly, the Parliament — apparently doesn’t have enough going on to properly justify taking up 30 minutes of the schedule.

Whenever I watch Reporting Scotland, they seem to spend about five minutes per programme trailing what’s coming up later in the programme. Around five minutes into the programme, they are already talking about sport. And then they are normally only talking about football. Jimmy McPhee is in the airport today ready to depart for his meaningless match. Big whoop!

Another problem with regional news — especially on ITV — is the fact that the regions do not seem to be very logical. I’ve already talked about the huge area covered by STV Central. At some arbitrary point in Glenrothes, probably depending on how far behind the hill you are, you stop receiving STV Central and start receiving STV North / the old Grampian. Why is that then? Is Glenrothes more relevant to Aberdeen than to Glasgow? That’s not clear to me. Bearing in mind the fact that much of the population of Glenrothes is or was Glasgow overspill, it doesn’t seem quite right.

Of course, that is nothing compared to the abominable “Border” region which straddles England and Scotland and takes in the Isle of Man for good measure. That is an anachronism if ever there was one. You can tell the ITV regions were originally drawn up about sixty years ago because that would never wash today. I am no nationalist, though I am a little bit of a conspiracy theorist, and one has to wonder if it was a deliberate choice to have one ITV region that took in these three political entities — a 1960s equivalent of saying “North Britain”.

It is probably wrong for me speak for residents of the ITV Border region when I don’t live there, and I can well believe that there are many people who, having grown up with Lookaround, feel very attached to it. But for me, if I lived in the south of Scotland, with legislation affecting my life being made in Edinburgh, I think I would prefer to get my news from a Scottish city rather than Carlisle.

Of course, as Cllr Fraser Macpherson points out, that situation will be even worse under ITV’s new proposals. If ITV get their way, the Border and Tyne Tees regions will be merged. So Scots living in the Borders will not be getting their news from Carlisle — they’ll be getting their news from Gateshead.

The problems of the ITV Border region are recognised, with the existence of a ‘Border Scotland’ opt-out. From what I gather, this incorporates a news segment dedicated to Scotland and editions of Scotsport. What a faff that is though. Would it not just be more sensible to go the whole hog and recognise Scotland as a distinct entity? Every so often SMG express an interest in buying the Scottish bit of the ITV Border franchise. I kind of think they ought to get on with it, particularly if it’s only going to merge with Tyne Tees otherwise.

There are two big reasons why the situation is such a mess. One is geography. I am sure there are bureaucrats somewhere or other whose dream is for the ITV regions to be transformed so that they match the government office regions of the UK. At least that would be neater, and at least that way Scotland would have its own ITV region.

The problem is, those pesky hills get in the way. There is a clever map of the ITV regions on Wikipedia, and as you can see you can’t actually draw many meaningful borders between regions. The map looks like a mess.

The big reason, though, is of course money. Maybe back in the 1960s and 1970s owning an ITV franchise was a license to print money. Today, ITV leaks money like a sieve. Richard Havers traces the change back to the introduction of satellite television. This sucked advertising revenue away from ITV and spread it thinly across hundreds of smaller channels.

Since then, the ITV companies have merged and merged and merged until they became CarltonAndGranada before becoming the ITV plc we all love to hate. Scotland was not immune either as Scottish Television swallowed up Grampian to become SMG (now STV Group) and subsequently almost merged with UTV.

It now no longer makes financial sense for ITV companies to pour money into making news programmes. Economies of scale dictate that the regions will become fewer and bigger until they cease to be regional at all (and as I argue above, perhaps that has already happened).

I think it is time to give up on the idea of regional news programmes, at least on ITV (though Scotland can probably sustain it thanks to its status as a nation, relatively large population and separate political system). But if regional news must stay on television, perhaps it would be better to think of it as a public service that the BBC alone should carry out. I know that ITV is a PSB too, but they are considering giving that up because they think it costs them too much now. The writing is on the wall.

Besides, if I want to know the local news, where do I go? I certainly don’t watch Scotland Today if I want to find out what’s going on locally. I would buy The Fife Free Press or just visit a local news website. These options are probably far more cost-effective way to get local news.

Apart from that, dare I say that local news might be one arena where people turn more and more towards citizen journalists?

Rating: +4
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Current affairs/ Economics/ Politics

Policies from Un-America

What's wrong with the rest of the world then, huh?

25 September 2008, 21:00

I don’t know whether or not the proposed bailout in the USA is a good idea. But it does amuse me that one of the more widely-quoted arguments against the bailout is Senator Jim Bunning’s view that it would be “un-American”.

It’s another aspect of American politics that I find to be a turn-off. That’s probably partly to do with my dislike of patriotism. But even the idea that some policies are inherently American and others are “un-American” is strange. And the idea that you would judge a policy on its American-ness is even weirder.

I mean, do these guys sit around the place reading policy proposals thinking things like, “Pah, that sounds like something a Canadian would support.” Or, “Only cheese-eating surrender monkeys believe that sort of thing!” I suspect that they actually do. What is wrong with, “Blimey, that doesn’t sound like a very good idea and it goes against my principles”?

This isn’t a one-off and you do hear from time to time people dismissing something-or-other for being un-American. I know the USA is a very patriotic country, and whether that is a good thing or not is a separate argument. But I doubt this kind of thing would wash in many other countries. Can you imagine some shadow cabinet spokesperson bemoaning a government’s policy for not being British enough?

The thing is that it just seems like such an arrogant thing to say. The only decent solutions come from America and no-one else in the world has a valid input to make? And they don’t understand it when some people have an iffy attitude towards the USA?

I don’t mean this as a dig towards the USA as a whole. I think it’s a wonderful country with some great people. I just find it amusing that being “un-American” is such a heinous crime according to some.

Rating: +1
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Current affairs/ Economics/ Politics/ Scotland

The perils of being “Scotland’s party”

The problem with speaking for an entire country

27 August 2008, 16:38

Last week there was a little stooshie over an interview in which Alex Salmond appeared to defend Margaret Thatcher’s economic policies. I’m not interested in discussing the merits or otherwise of Thatcher’s policies just now. What interests me about this story is that it is a perfect example of the danger the SNP is always in, having positioned themselves as primary political spokespeople for the nation of Scotland.

For a number of years in the past the SNP has used the slogan “Scotland’s Party”. You often hear them distinguish themselves from other parties by highlighting the fact that the other parties are “run from London” and so on and so forth. It is inherent in the nationalist ideology that there is a distinctively “Scottish” point of view. As the main nationalist party in Scotland, the SNP has to make sure it always represents this “Scottish” point of view.

Of course, it’s not unusual for a political party to claim to represent an entire group of people. For instance, the Labour Party would claim to represent working class people (or, in today’s language, “Hard Working British Families”). But it’s one thing to try to represent a particular sub-set of the population. It is quite another to try and represent an entire nation.

Of course, there is no “Scottish” point of view. However, the SNP often do a fairly good job of convincing people that there is. They will often tell you they are the only party standing up for Scotland’s interests, and I often think that some people south of the border really do believe that what the SNP says is an accurate reflection of Scottish opinion.

The danger for the SNP, though, is that they always have to make sure that they actually do provide an accurate reflection of Scottish opinion. This will often means that the SNP ends up doing what is popular rather than what is right (this probably explains why many of the SNP’s policies are so populist). A lot of the time, what is popular and what is right will be aligned. But what if they are not?

The thing about Alex Salmond’s interview was not that he said “I didn’t mind Thatcher’s policies so much.” The problem was that he said “Scotland didn’t mind Thatcher’s economic politics so much.”

The interview with Iain Dale in Total Politics sees Mr Salmond being his usual presumptuous self. He sees himself as speaking for Scotland. In fact, he is only qualified to speak for himself or, at the very most, for the SNP.

I suspect that if Alex Salmond simply said, “I didn’t mind Thatcher’s economic policies”, you wouldn’t have seen a fraction of the outrage. There might have been a few “Tartan Tory” jibes, but that would have been about it.

It was the fact that he was attempting to speak for Scotland — and he got it wrong. If you are going to be arrogant enough to speak for the whole country, you need to make sure your finger is right on the pulse. Make one little slip-up and you end up offending most of the country.

Rating: +3
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Current affairs/ Economics/ Entertainment/ Politics/ Scotland/ Sport

Why politics and sport shouldn’t mix

The SNP undermine their own nationalist argument

26 August 2008, 00:54

I have written before about how I struggle to understand how people feel ‘pride’ in their country at, say, sporting events. For me, being proud of your country is a bit like being proud of this week’s lottery numbers or something. I just don’t get it.

For whatever reason though, patriotism undoubtedly exists and it can be a major vote winner. Politicians know this and they take every opportunity to associate themselves with some kind of patriotic cause.

The Olympics is one of the worst instances of politicians engaging in this kind of blatant demagoguery. For instance, Kelly Holmes was given a gong a few years ago because it was felt that her achievements in Athens in 2004 should be “recognised”. Much the same sort of thing will happen this year — it has already been confirmed by Chief Nationalist Demagogue, Gordon Brown.

Mike Power put it best on Twitter: “Surely the achievments of the British Olympic medallists have already been ‘recognised’ ? They got f**cking medals! Jeez.”

A couple of weeks back Mike Smithson wrote about how dangerous it is for politicians to claim credit for the achievements of athletes:

But it’s dangerous stuff trying to claim credit in this way. Firstly it appears to detract from the performances of the athletes in Beijing themselves and secondly it raises the question – where did the money come from that has made this happen?

Obviously the SNP haven’t read this otherwise they wouldn’t have come out with this sort of claptrap. It is just a week or so ago that Alex Salmond was acting as though Chris Hoy was the only person ever to win a gold medal.

Chris Hoy’s dad was pretty quick off the mark, pointing out that a Scottish Olympics team would die on its arse because Scotland doesn’t have the same world-class facilities and funding that Team GB has. Want to decrease the amount of medals Scots get at the Olympics? Simple: rip them out of the GB squad.

Before any nats start jumping up and down and start accusing me of belittling Scotland or somesuch nonsense, let me just close that argument down straight away. What we are talking about here is a simple concept: economies of scale.

First of all Scotland would have to build three velodromes at £50m a time to match UK facilities. Then there’s world-class performance funding (£4m a year). And it takes eight years to get a medal. Multiply that across all sports, and Scotland would be facing a huge sports bill.

You had to have a heart of stone not to let out an almighty guffaw when Chris Hoy himself yesterday stated that a separate Scottish Olympics team would be disastrous (as noticed by Bill Cameron:

We don’t have an international facility for cycling and we don’t have the coaching structures in place. In fact, we don’t have anything in place, so the whole idea is ridiculous. I’ve not lived in Scotland for nine years because there is nowhere for me to train. I’m a Scottish athlete but I’m proud to perform in a British team.

That was added to by one of Scotland’s other most successful Olympic athletes, the canoeist David Florence:

It’s a non-starter and he should consult athletes first before he comments. Scotland would have to build a new slalom course first and they would have to build a velodrome.

I am very proud to be Scottish, to have been born in Aberdeen and have Edinburgh as my home town. But I am also very proud to represent Great Britain and everything that stands for, which is not just Scotland.

I’m as proud to wear the union jack as I am the saltire. I don’t have a problem separating my pride in being a Scot from being British at the same time.

This gets to the heart of one of the things that most irritates me about the SNP. While I am not a nationalist of any kind, it strikes me that one of Scotland’s special strengths is its ability to have a distinct identity of its own, and indeed a sense of national pride, without having to completely dissociate itself from a larger political entity, the United Kingdom.

One can say he feels equally Scottish and British without any sense of contradiction. Indeed, whenever the ‘Moreno question‘ is asked, the results show that the vast majority of Scots can feel at once part Scottish and part British. Now this approach is something that I can feel proud of. It is one that Scotland’s Olympic athletes exhibit, and it is very admirable. Unfortunately the SNP cannot be so admirable because it would undermine their very raison d’être.

Mr Eugenides has got it spot on. Using Chris Hoy for their own petty political ends was always going to be a risky game for the SNP to play. They tried to capitalise on his gold medal haul by saying that Chris Hoy’s success shows why Scotland should have its own Olympic team. Then Hoy himself bit them on the bum by pointing out that “I wouldn’t have three gold medals hanging round my neck if I wasn’t part of the British team.”

There is another aspect of the SNP’s argument that appears to be fundamentally flawed. Like I’ve said, I don’t think people should feel proud for other people’s achievements. But conceding that some people do, are people more likely to be proud of the team representing them winning 19 gold medals or 3 gold medals (all won by the same person)?

I don’t even have to be a big fan of the idea of nationalities measuring their penis sizes through the medium of sport to find it hilarious that Great Britain finished ahead of Australia in the medals table. Scotland couldn’t have achieved that. Splitting Scotland’s medals apart, they would be ranked 20th-or-so. That is admirable enough. But as Chris Hoy and David Florence pointed out, Scottish athletes relied on UK-sized facilities to get their medals.

Like Mike Smithson said, it’s dangerous for politicians to attach themselves to athletic achievements. The irony is that neither Labour nor the SNP could ever take credit for a sporting success. If anyone can take credit for Great Britain’s performance in Beijing this year, it appears to be John Major for setting up the National Lottery. The results have come through at just the right time. The first injection of lottery money will have come just at the time when most of the current batch of athletes were beginning to mature in their sporting development.

Whether you think that is a good thing that so much public money is ploughed into sport is another matter. Alex Massie says yes, Fraser Nelson says no.

I definitely lean closer to Fraser Nelson’s point of view. I don’t think public money should be spent on the arts or sport full stop. Of course you would expect schools to provide PE lessons, though having said that if one thing put me off becoming an athlete it was PE lessons. Beyond that, the athletes should be by themselves as far as I am concerned.

I just don’t see what advantage it is for a country to have lots of sporting success. If it’s a “feel good” thing, lottery and government cash would be better spent on cute bunny rabbits to be sent to every household.

Rating: +3
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Admin/ Blogging/ Current affairs/ Economics/ General/ Internet/ Politics/ Technology

My top ten political blogs

List based japes (psst — vote for me)

28 July 2008, 15:07

Well it seems as though everyone else has been doing it, especially on the Scottish blogs. It’s all in aid of the 2008-9 Guide to Political Blogging in the UK by Iain Dale. He’s asking everyone to vote you see.

Last year, quite incredibly, this blog was named as the number 2 Scottish political blog thanks to Grant Thoms of Tartan Hero fame. Some will say that this blog is indeed a load of number 2, so the position is pretty apt. But I would be amazed if I repeated the feat this year.

So vote for me now! ;)

As a few other bloggers have done, I will reveal my top ten political blogs. If nothing else, it fills a bit of space here. You might also be interested in my recent post on ten excellent blogs.

It’s not easy choosing just ten great blogs — and choosing the order of them is even harder. But you probably know that. I tend to go through love / hate (or at least ‘love / indifferent’) relationships with most blogs. No doubt this list would look very different if I compiled it next week.

  1. Stumbling and Mumbling
  2. SNP Tactical Voting
  3. UK Polling Report
  4. Political Betting
  5. Mr Eugenides
  6. J. Arthur MacNumpty
  7. Ideas of Civilisation
  8. Holyrood Chronicles
  9. Freedom and Whisky
  10. Liberal England

Rating: 0
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Current affairs/ Economics/ Politics/ University

In defence of abstention

Why refusing to vote can be perfectly legitimate

30 June 2008, 16:26

Yet again, the comments to a previous post have gone on an interesting tangent. Once again Jeff was behind it. He’s not afraid to get stuck into a debate and he always has some interesting points to share, even though I don’t always agree with him! I thought the discussion was quite good so I want to share some of it in a new post and also expand on my thinking behind abstention and why it is not a bad thing.

Before I start I should point out that I have never abstained in an election that was at local government level or above. In fact, in the local government elections last year I listed a whopping four preferences. Not bad for a cynic! (Having said that, it was admittedly for negative reasons — I wanted to vote for everyone except Labour).

Nonetheless, I struggle nowadays to understand why abstainers are so vilified, as though they are sub-human. I think sometimes people conflate abstention with apathy. In reality it is perfectly consistent to be interested in politics and yet not vote when the election comes round.

In his first comment Jeff said:

I find it incredible that someone can maintain such a thoughtful and intelligent political blog with all these numerous opinions and then, when an election comes around, he may not take part.

Compare and contrast with James O’Malley’s comment:

I think your experiences of becoming more apathetic with age – essentially more apathetic as you became better informed – are pretty similar for a lot of people. I’ve just finished a degree in International Relations, and as a consequence of learning what a horrible bleak mess the world is, I think we all became cynical about almost anything political.

I have gone through a similar process. Being interested in elections and voting behaviour, whenever there was an opportunity to study them at university I took it. I wrote my dissertation on what motivates people to vote. The whole learning experience has led me to become less likely to vote and more sympathetic towards abstainers.

(As an aside, if anyone’s interested, I have decided to upload my dissertation here since it got the best mark of anything I ever did at university so I feel quite good about it! So if you’re interested and you have a bit of spare time, have a read and you might get a bit more insight into my current thinking about voting.)

In short, Jeff asked why someone like me would not vote despite knowing so much about politics. What slipped his mind was the possibility that someone like me would not vote because they know so much about politics.

For a few months now I have been meaning to outline a few problems with elections and democracy as we know it (this post isn’t it by the way, it’s still coming). This is not because I am not a democrat, because I am. However, I am disappointed in the poor standard of analysis of democracy. Discussions about it frequently descend into a list of clichés and slogans. It leads me to think that most people are democrats because of blind faith rather than because they have actually thought about it.

That’s a dangerous situation to be in because it breeds complacency. The flaws of democracy are constantly swept under the carpet. But the only way to improve things is to put the flaws on a pedestal and debate them properly. Simply pulling out that hoary old Churchill quote doesn’t bring us any further forward.

That was the case in the comments to the post about student apathy. All I said was that I understood why some people would not vote. Before I knew it, commenters made out that I was advocating something resembling anarchy, I had no right to complain if I didn’t vote, I was doing an injustice to the people of Zimbabwe, and, yes, that bloody Churchill quote was wheeled out. A who’s who of clichéd arguments that get us no further forward.

Bellgrove Belle began proceedings by advocating compulsory voting — albeit with a ‘none of the above’ option (how gracious of you!!). I let that slip by at the time, but only because I didn’t want to go down that tangent. However, now that I have started a separate post I will outline why compulsory voting is the most outrageous idea.

Firstly — and this should hardly need pointing out — people are not the servants of politicians. Yet. Politicians are the servants of the people. Having a government frogmarching everyone to the polling station is not my idea of freedom. The point about the right to vote is that it is a right. That means that you can choose to use it or not. If you are forced to vote, it is no longer a right — it is an oppression.

A vital principle of our liberal way of life is that people know for themselves what is best in almost all instances unless their actions cause harm to others. If people do not vote, it is not because they are wrong (which is a view typically only found among political elites). It is because, for the abstainers, it is costly to go out and vote. And if it is costly for an individual, in turn it is costly to society.

Beyond the cost of sending everyone out to vote, what is wrong with just leaving people be? People should be perfectly entitled to abstain if they want. Forcing people to do things they do not want to do will only breed even more cynicism and apathy.

Having a ‘none of the above’ option is the ridiculous fig leaf to all of these criticisms. There is already a none of the above option. People know very well that they can spoil their paper when they get to the polling station. If people were screaming out for a none of the above option, we would know it by now.

I have only ever heard compulsory voting being advocated by two groups of people: politicians and aspiring politicians. It is funny that these people should select the one ’solution’ to apathy that is almost guaranteed to give them more votes. What a coincidence! Moreover, it is the lazy option for them to choose. It implies that it is the voters who have done wrong, which is a very undemocratic stance to take in actual fact. For politicians, the idea that it is they themselves who have caused apathy — and that it is their job to fix it — is too difficult for them to comprehend, so it seems.

Jeff was next up, suggesting that the logical conclusion of my defending abstention for an individual is advocating mass abstention. Nothing could be further from the truth. Indeed, it is the very fact that others vote in their millions that makes abstention as an individual a reasonable option.

If no-one else voted then I would find the voting decision very easy — I would cast the deciding vote, probably for myself. We don’t live in that world, and my stance is a pragmatic recognition of that fact.

There is that old guilt trip: “what if everyone else thought like you?” The point is that not everyone does think like me. And it would be rather egotistical of me to think that my actions would be copied en masse by the population as a whole. If it were the case that I was so influential, I would find myself sharing the same bed with six and a half billion others every night. As Stephen Dubner and Steven Levitt point out:

Imagine that you and your 8-year-old daughter are taking a walk through a botanical garden when she suddenly pulls a bright blossom off a tree.

“You shouldn’t do that,” you find yourself saying.

“Why not?” she asks.

“Well,” you reason, “because if everyone picked one, there wouldn’t be any flowers left at all.”

“Yeah, but everybody isn’t picking them,” she says with a look. “Only me.”

Then Jeff pulls out that old one — if you’re so dissatisfied with the candidates, why don’t you stand yourself? The answer, I would have thought, should be obvious. Standing for election would involve immense personal financial and other costs. I would have to give up my job to dedicate enough time to campaigning, meaning a loss of income. Then I would have to somehow fund the campaign itself.

On top of that, I would probably lose my deposit. The political system is heavily biased in favour of the large parties — partly because of the voting system, partly because of the media and whatever else. The fact is that if you want to be successful in an election you almost always need the backing of a big party machine.

Independent candidates are successful from time to time, and small parties do break through. But in reality these are all led by either someone with a lot of money or a celebrity figure like Tommy Sheridan or Martin Bell. The other successful independents are single-issue (often local-issue) candidates, and I am interested in more than one local issue.

The point I am making is that were I to stand for election tomorrow, no matter how good my policies were, I would have almost no chance of making any kind of impact whatsoever. Am I supposed to believe, as Jeff suggests, that this is the extent of my democratic powers? You can’t exactly blame someone for not doing this when the odds are so heavily stacked against them.

Get ready for another cliché now. “If you don’t vote, you don’t have the right to complain.” Aaah, *tick*.

This is one of the oldest ones in the book. Yet even though it’s a catchy slogan, what is always omitted is exactly the reason why you don’t have the right to complain. Is that because there isn’t one?

Democracy is about so much more than elections. For sure, an election is a vital cog in the democratic process, but it is just one cog among many. China has elections, but that doesn’t make it a democracy. Just this week we have witnessed a sham election in Zimbabwe.

I would think that the idea that elections are the only valid form of political participation in a democracy would come as a surprise to the many pressure groups, non-governmental organisations, media outlets, publishers, think tanks, academics, mass demonstrators, lone protesters, letter writers, bloggers even, and others — all of whom play a vital role in a democracy. Is it really more valid to enact change “from within”? Then we are to do away with all of these vital elements of civic society? Are these people all supposed to stand for election as well? Are they harassed about their voting behaviour before being permitted to speak up?

Democracy is so much more than putting an X in a box. It is about speaking out, debating and persuading. If you have next to no power in the ballot box, what is so illegitimate about using a different method of trying to improve the world? I think that suggesting that people don’t have a right to speak out because they recognise that their vote is near worthless is actually an intensely anti-democratic view to take.

Jeff’s position is apparently to say that the only valid way I have to express myself is to vote for someone, even if it is the “least worst” candidate. Am I really supposed to believe that the extent of my democratic rights is to vote Lib Dem instead of Labour?

Even when I do express a preference in the polling booth, that vote is a drop in the ocean. My reasons for voting are lost among those of thousands of other voters (or, in a national election, millions of others), each of whom voted for different reasons. The politician then cherry-picks the reasons that suit his agenda best. So what have I achieved by voting?

I can say that the time I have spent voting is a waste when I could have spent that time engaging in another democratic activity. For instance, I could have spent that time writing here. That way I can articulate my views in an infinitely more nuanced way than I would by voting. This makes my voice louder than it otherwise would have been. I believe that I can make more of a difference by doing this. What would be so illegitimate about that?

This is all without even getting into the instance where you genuinely are undecided. If a voter is guilt-tripped or compelled to haul himself into the polling station, what is he supposed to do? Toss a coin? Close his eyes and see where the pencil lands? Given that your vote is essentially a way of enforcing your views onto other people, I am amazed that anyone thinks that the decision to vote should be taken so lightly.

Finally came the guilt trip from Ideas of Civilisation. He brought up the current situation in Zimbabwe saying, “it’s a reminder of the freedoms, and responsibilities, we have here.”

The thing is, I believe that recent events in Zimbabwe support my view. Morgan Tsvangirai pulled out of the contest because the election was a “violent sham”. Was that illegitimate? Or should he have contested the election because otherwise he doesn’t have the right to criticise? Of course not. His voice is louder outside the contest and he has made the point about the current situation in Zimbabwe very forcefully. It is a perfect example of making one’s voice heard outside of official electoral channels.

Of course, the situation in Zimbabwe is very different to the situation we face in this country and other, freer, more democratic countries. I suspect the point IoC was making about Zimbabwe was that, in such countries whenever there is a free election is usually has a comparatively high turnout.

That is right, although it is a very different situation. When you are given hope in the shape of an inspiring candidate you are bound to grab it with both hands. That is the case even more so if the bandwagon theory (discussed in my dissertation) is true — people want to feel a part of making a big change so will take part in the vote.

You don’t have to live in an unfree country for such a thing to happen, so that doesn’t put this country’s politicians off the hook. Barack Obama is currently doing it in the USA by engaging certain parts of the electorate at levels that have never been achieved before. It’s just that right now there is no such candidate in this country.

Back to the unfree country though. Even in the hypothetical watershed election that brings everyone hope, turnout will not be 100%. It might be higher than the turnouts we see in this country, but it will be nowhere near 100%. In fact, if turnout was anywhere close to 100% accusations of vote rigging will be flying.

This fact demonstrates that abstention is a perfectly natural and legitimate position to take in an election. In fact, it serves a very useful function in a democracy. Any attempts to eradicate it should be viewed with as much suspicion as attempts to eradicate any other political view.

Rating: 0
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Current affairs/ Economics/ Edinburgh/ General/ Politics/ Scotland/ University

BoJo might be a bozo, but Labour is the real danger

As long as the left's shoddy political discourse lets Labour get away with it, don't be surprised if the country carries on down this path

4 May 2008, 01:30

Boris Johnson and political discourse

A series of posts

  1. BoJo might be a bozo, but Labour is the real danger
  2. BoJo might be a bozo… the concise edition

It is often said that the most despised people in the country are journalists and estate agents. And while these people sometimes are indeed prize toss pots, there are two other professions that I despise above all others. Actors and politicians. Thing is, acting and being a politician is essentially the same job. They’re not wrong when they say politics is showbusiness for ugly people. Both aspire to earn money by spending their life being insincere. You can’t admire that.

But unlike many, I cannot bring myself to hate Boris Johnson in particular. That’s not because LOL I like his funnee hair and he is a legernd. (I do find it amusing, though, that people will — without a trace of irony — cite this article and others by the (admittedly excellent) Charlie Brooker saying “LOL! CHARLIE BROOKER IS A LEGEND!” It’s all a bit Dan Ashcroft if you ask me. But never mind.)

No, the real reason I don’t hate Boris Johnson is because I can’t stand politicians full stop. To single out one person the way some single out Boris Johnson seems incredibly unfair to me. And the reaction among some people to his election as London Mayor has left me in despair about the state of political discourse right now.

So I was glad to see the balance redressed somewhat by the excellent Nosemonkey yesterday. I was beginning to think I was the only one who couldn’t understand why so many people were queuing up to pour effluent on the man.

It is slightly dangerous territory for me to be talking about London politics. Everything I wrote here applies. But I have been spurred into blogging about this for two reasons. One is that the position of London Mayor is pretty much the only major directly elected post in the country and its effects inevitably reverberate around the country. The second is that the debate itself merits comment because it reflects the shoddy standard of political discourse in the UK as a whole.

I will refrain from commenting too much on the policies of either candidate. I know too little about the policies and obviously my opinions could well be different were I actually a Londoner. But I would probably have reluctantly voted for Brian Paddick. I would probably not have allocated my second preference. Choosing between Ken Livingstone and Boris Johnson is a bit like choosing between shit and shite. Forced at gunpoint however, I would plump for Johnson.

I have, after all, voted for him before. A couple of years ago Boris Johnson stood in the election to become Rector of Edinburgh University. He was an early favourite, but then that shady coalition of Labour / Green / People and Planet / whatever in EUSA went on the offensive to produce a highly negative campaign based on Boris Johnson’s support for tuition fees.

The students, being self-interested, rational utility maximisers, decided to vote against the possibility of being seen to favour tuition fees. I voted on principle against this subsidy for the middle class.

Today we have the completely anonymous Mark Ballard as our Rector. Don’t know who Mark Ballard is? Don’t blame you. He used to be a Green MSP but was such a nonentity that he was voted out last year. As such, a genuine nobody is Rector of Edinburgh University. The guy we could have had is now Mayor of London. (Even Magnus Linklater would have been better. I actually met him while he was campaigning and he seemed rather pleasant.)

It is true that Boris Johnson is a bit of a clown. But I don’t see why this is necessarily a barrier to being in public office. People always drone on about how boring politicians are. They complain about bland inoffensive leaders — Blairs, Camerons, Cleggs and the like — who silence independent thinkers or anyone who could be seen as a loose cannon. They despise those Milliblands et al. who climb the greasy pole, toe the party line and so on. And quite rightly.

But then when someone who is charismatic, who is an independent thinker, who will not toe the party line comes along, apparently he is unfit for office. You can’t have it both ways.

Plus, the notion that over a million Londoners voted for Boris Johnson “just for a laugh” is highly patronising. I am pretty misanthropic, but even my hatred for the electorate does not stoop this low. I do not doubt that some people voted for Johnson on this basis, but to put his victory down to this phenomenon alone is surely wide of the mark. It makes you look petulant.

Also, I surely need not say that voting against Boris Johnson because he is a character is every bit as pathetic as voting for him for that reason. Yet, as far as I can tell, it is the number one reason why people have been so averse to a Johnson victory. It is also odd that people should complain about Johnson for being famous for being maverick, only to vote for Ken Livingston who… is famous for being a maverick.

To say that because Boris is a bumbler when he talks means that he will be a bumbler in control of London is pathetic. Political leaders don’t “run” anything — that’s the job of the civil service and what have you. Boris Johnson won’t be sitting in front of a real-life game of Sim City. Political leaders are public figureheads who canvass opinion, bring ideas to the table and direct policy and they are only one (albeit prominent) branch in a large tree. I see nothing in Boris Johnson’s character that will prohibit him from doing this job just fine.

And being a clown is, at least, a whole lot better than being malicious. Because that is what Livingstone is. While the character assassinations of Boris Johnson are ten a penny, people on the left tend to be an awful lot more quiet about Livingstone’s many failings. His inexplicable inability to simply apologise to Oliver Finegold for his drunken remarks; his failure to distance himself from homophobic Islamist Yusuf al-Qaradawi; his hokey-cokey in-out-in-out, I’m not running, yes I am but as an independent, then I’ll rejoin the Labour party, shake it all about. Don’t forget also that he rushed to the door like a yapping dog with its tail wagging to make excuses for the brutal shooting of Jean Charles de Menezes.

Of course, Boris Johnson is not just a clown. He is a toff. And he is a Tory. Booooo!

Well, all I can say to that is, grow up. This is just the most pathetic way to discuss politics. If you have to resort to invoking the days of Thatcher to persuade people not to vote Conservative, you must be scraping the barrel. Yet it is a staple of British political discourse.

The Labour Government could go round the country literally raping everyone. When someone calls them up on it, you can be sure the Government will turn round and splutter, “Ah yes — but the Tories brought you the POLL TAX. Booooo!” And the sheep on the left will be won over. They will hi-5 each other for what they see as an excellent sucker-punch (which is in fact a tired, over-used, irrelevant line), hiss at the Tories and let the Labour Government get back to raping everyone again.

I am in little position to comment on how bad Margaret Thatcher’s government was because I am too young to remember anything substantial of it. But it seems to me as though Thatcher is vilified mostly for ushering in some changes that were no doubt difficult to take at the time but which were necessary in the long run. Socialism is a discredited ideology — almost the entire history of the twentieth century should tell you this. Almost every other comparable country has gone through a similar process. Besides, Labour has done little to reverse this, so to turn to them while blaming Thatcher is hollow.

Even if I am wrong on this, you must realise that invoking Thatcher will not cut it much longer. For one thing, this stuff happened twenty or thirty years ago. Many voters (like myself) now do not even remember that far back, and politics and the Conservative Party are operating in very different environments now. It’s not fair on today’s Conservatives to punish them for the actions of the previous generation, and it takes the people with whom you are debating for mugs to crudely reduce everything to this. And it makes you look like a tosser as well.

The thing is, the Conservatives may have the Poll Tax (from twenty years ago). But Labour have the Iraq War (with goodness knows how many people killed) from this decade. There was their bullying approach to the media that went along with the Iraq War in this decade. They have created a climate of fear and general suspicion of anyone with “Mongolian eyes”, leading to at least one unnecessary death in this decade. They have turned this country into the most spied-upon in the world in this decade. They have begun to construct the database state, with all the security risks that entails, along with the hopelessly expensive ID cards in this decade.

They have abolished the 10p income tax rate. That would be bad enough from the Conservatives, but for a “Labour” government it shows a scandalous disregard for the concept of the progressive tax system. Labour have treated the voters with utter contempt, taking their position in power for granted.

Although I have moved on to the more general point about the standard of political discourse, this is related to the recent Mayoral contest. You could argue that all that has nothing to do with Ken Livingstone. But he helped legitimise all this by re-joining the Labour Party at the height of Tony Blair’s courtship with George Bush.

With all of this blood on their hands, with their power-grabbing, and their utter contempt for civil liberties, what is it that keeps them in power? The best response is “Maggie stole my milk… in 1970″? Get real. This approach has literally allowed the Labour Government to get away with murder. Why should I be prepared to give this Labour mob another chance?

You could argue that whatever Labour do, the Conservatives must always be worse because they are more “right wing”. But this argument does not cut it either. For one thing, it is precisely this approach that allows Labour to get away with all of this. The left just shrug their shoulders and mumble, “could be worse”. The Conservatives, on the other hand, are scrutinised for slightest bawhair of a possibility that they might infringe on people’s liberties. I am certain that the Conservatives would never have been allowed to get away with the Iraq War, the creeping privatisation of the NHS, ID cards and you name it in the way that Labour have been. This alone is reason enough to vote Labour out.

Furthermore, to expect the Labour Party to take a liberal approach is asking too much of them. Their traditional ideology is not liberalism, contrary to what some might tell you. It is socialism. Say what you like about the Conservatives, but at least they have a liberal wing in their party. With Labour you just get one kind of authoritarianism or another.

As for the argument that Boris Johnson will not be a good leader because he is a toff, that is just nonsensical bigotry of the highest order. Being of a certain social class should be not a barrier to holding office. After all, Boris Johnson did not choose his father.

Anyone who knows me will know that I am not rich in the slightest. But if I happened to have been born with a silver spoon in my mouth, I would like to think that I would not be subjected to this kind of bigotry. Justin in the comments at Nosemonkey’s says,

I tell you what, I will [get over the class prejudice] if they will. You obviously haven’t been swimming in some of the Tory cesspits I have in the last few months.

I am not a “party identifier” — at least not between Labour and the Conservatives. I was brought up by SNP-supporting parents. As I grew up I drifted towards the Liberal Democrats. From this position, I see a great deal more “snide remarks, personal attacks and class prejudice” from Labour supporters than I do from Conservative supporters. In fact, it is one of the things that has ultimately turned me completely off the Labour Party over the past few years.

I obviously haven’t been swimming in Justin’s Tory cesspits either. But if anyone can find me an example of someone saying that you should not vote for someone because they are too working class to do their job properly, I would happily accept defeat on this point. But I have never heard it said. But to complain that someone is too posh is par for the course.

Besides, to attack the Conservatives for being full of toffs misses the fact that plenty of Labour members are also toffs. Tony Blair isn’t exactly a miner. And the stuff about Gordon Brown being from a working class area only tells half the story. I have lived almost all my life in that same working class area, and people round here know that he was a privileged son of the manse who got special treatment during his education. So it’s vote Tory, get a toff; vote Labour, get a toff. Not that this should matter in the slightest of course.

To bring all of this back to where I started, remember that I am not a supporter of Boris Johnson. My point is that Boris Johnson as Mayor of London is not remotely as offensive as some people are making out.

This is a personal view, but I would never vote for someone seeking a third term unless they were exceptionally appealing. But the third term is when the rot sets in, if it didn’t during the second term. That’s when power gets to their heads. That’s when they lose touch of reality. In this light, a change is not all that bad.

Believe it or not, Labour do not have a divine right to power. Even Scotland, with all of its Labour rotten boroughs in the west, realised this last year. Just like in London, “the enemy” got in instead. While you may argue that the SNP are not Tories, they are nonetheless loathsome. But guess what. Scotland didn’t implode one year ago when they were elected. In fact, the SNP administration is a breath of fresh air, and it’s certainly a lot better than the prospect of a third Labour-dominated Executive. I don’t see why Boris Johnson should be different.

Of course, he could very well be a disaster. But the point is that candidates shouldn’t be judged on their background, their hairstyle or the colour of their rosette. They should be judged on their policies and their record. I’ve skim-read Boris Johnson’s manifesto and I have not seen anything particularly offensive and I see nothing that disqualifies him in my mind. Even if people do disagree with Johnson’s policies, this is fair enough — but I didn’t hear any of it. I just heard about his posh accent.

I am greatly saddened by the nature of the debate and the sheer hypocrisy that so many people are showing. Too many people are making terrible excuses for a disastrous Labour government. I blame these people for the road this country is headed down.

Perhaps I shouldn’t be surprised. Maybe I am asking too much. But any notion I had before that political ideologies are formed, debated and voted for on the basis of rational, intelligent thought have been shattered this week. What Geoffrey Brennan and Loren Lomasky said was true after all. Voting for a political party is just like supporting a football team for some people, with accident of birth and plain old prejudice at the basis of their support. I’d prefer it if these people could leave their childish desire to be part of a tribe in the football ground rather than in the ballot box where they are controlling my life.

The cheesy line goes, “if you don’t vote, you get the politicians you deserve.” Well, it’s not true. Politicians can’t do anything without votes. But if you vote for someone because they are the “least worst” or because “at least they’re not the Tories”, then you do get the politicians you deserve. My anger stems from the fact that I do not deserve these politicians.

Update: I’ve written a second post on this topic. I hope this concisely clarifies my intentions with this post. I also respond to the feedback.

Rating: +2
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Books/ Current affairs/ Economics/ Entertainment/ Fife/ General/ Personal/ Scotland/ University

In lieu of proper blogging, a meme

Is it 'meme' or is it 'me me me'?

27 April 2008, 00:29

In case you were wondering, this is an even more quiet place than usual just now because I have exams at the moment. Sorry I’ve not been more active at replying to comments in recent weeks. I found the first exam more stressful than I should have, so I decided to take today off to relax. So it’s a good opportunity to stick a lazy post up here.

I’ve been tagged by a meme twice in recent weeks. One of them will be more exciting for you readers, and I have been meaning to write a post like that for about a year anyway. But I will do this one first because the other one will take a bit of preparation. Because I need to preserve all that brain power for the exams.

This is from Angry Steve. I can’t actually see what the common theme that runs through this is. Still, if you have been tagged in a meme and you don’t take part the punishment is fifty lashes in the blogospheric dungeon. So here goes.

1. The rules of the game get posted on the beginning.
2. Each player answers the rules about himself [or indeed herself].
3. At the end of the post, the player tags five people and posts their names, then goes to their blogs and leaves them a comment, letting them know that they’ve been tagged and asking them to read his [or her] blog.

What I was doing ten years ago:

According to my excellent maths skills, I was 12 years old. So I was probably being exceptionally annoying at primary school. I was probably preparing myself mentally for arriving at the big school with all the big bullies.

Five things on my To-Do list today:

Well, I am posting this last thing on Saturday. So here is my to-do list for Sunday.

  1. Watch the GP2 race
  2. Go for a walk round the park
  3. Watch the Spanish Grand Prix
  4. Begin revising for my next exam
  5. Uh, go to bed

Things I would do if I were a billionaire:

Given that I would be financially secure, I would ditch all of my formal commitments and get round to all of those leisure activities that have been building up. The pile of CDs that I bought way back in October and still haven’t had the time to listen to. The DVDs. The books I bought for my summer reading in 2006 and the books that have been added to that pile since. The issues of The Economist which I unwisely purchased a three year subscription to before realising that I didn’t have the time to read a single bloody issue.

Three of my bad habits:

  1. Weighing up the possibilities for so long that the opportunity completely passes by
  2. Eating too quickly
  3. Fingernail biting

Five places I’ve lived:

  1. Glenrothes
  2. Kirkcaldy

Uhh… and that’s it.

Five jobs I’ve had:

  1. Lifting furniture about for an antiques shop run by a family friend
  2. Sales assistant at Woolworths

Uhh… and that’s it.

Five books I’ve recently read:

Hmm difficult one. I don’t often get a chance to read a full book (I think my pace is about two per year). But I have read most of a few books at university so I’ll put the details here.

  1. The Economic Development of Modern Scotland, 1950-1980, Richard Saville (ed.) — Skim-read many chapters for my exam on the Scottish Economy. It’s not very “modern” any more though — it was published in 1985 (no modern perspective on oil, little if anything about electronics, poll tax what poll tax?). Good chapters on the Highlands and Islands Development Agency and the Scottish Development Agency though. Shame they never came up in the exam!
  2. The Myth of the Rational Voter, Bryan Caplan — Food for thought for proponents of “more democracy”. I thought it would be really useful for my dissertation. It was kind of, but I enjoyed the read more for the bits that weren’t much to do with my dissertation.
  3. A Logic of Expressive Choice, Alexander A. Schuessler — A theory on voting behaviour and things like that (cases which should be collective action problems but aren’t). It gets a bit technical towards the end, but the early chapters are fascinating to read. If you want to know why the US President is just like a can of Dr Pepper, this is the book for you!
  4. Freakonomics, Steven D. Levitt & Stephen J. Dubner — Finally something I read in my spare time. Quite fun to read.
  5. The Worldly Philosophers, Robert L. Heilbroner — I found this book very boring; it took me over a year to read. It’s okay when it’s talking about people you’ve heard of. But in the chapters about people I’ve never heard of, it was a real struggle to read.

Five people or communities I’m going to tag:

Well first of all, bollocks to leaving a comment as per rule 3 at the top. It’s bad enough tagging someone as it is. I will tag five people here and if they notice it they can carry on the meme if they wish.

  1. Colin
  2. Jeff
  3. Mat
  4. Rhys
  5. Sarah

Rating: 0
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Current affairs/ Economics/ Internet/ Technology

Dinosaur companies adapt to the Facebook era in the worst way possible

How to piss off the people you're trying to appeal to

8 April 2008, 23:22

Ever since Facebook Applications exploded onto the scene, there has been a problem. Well, I say it’s a problem, but in reality it is actually an amazing thing. It is only perceived to be a problem by old fashioned companies that just Don’t Get It.

For several months now the old Scrabulous saga has been playing out. Some smart guys thought it would be a great idea to be able to play Scrabble with your friends on Facebook. They were right. It became Facebook’s most popular application, and could even count Mark Zuckerberg among its users.

Unfortunately, the creators of Scrabulous didn’t own the intellectual property to the game. The people who do own the IP, Hasbro and Mattel, have gone on the assault. They are suing Scrabulous’s creators Rajat Agarwall and Jayant Agarwall. This is despite the fact that the brothers have undoubtedly done more than anyone else in recent years to raise the profile of Scrabble.

Do you think if Hasbro and / or Mattel had created a Facebook Application for Scrabble it would have been as successful as Scrabulous? I, for one, highly doubt it. Their reaction alone has demonstrated that they simply don’t “get” the internet. Just like the recorded music industry before them, board game companies, it seems, have woken up to find that the internet has eaten away at their old fashioned business model. They don’t know how to capitalise on the internet. It needn’t necessarily be a threat. But their head-in-the-sand behaviour ensures that it will be.

My personal pet theory is that old companies got far too cosy in the 20th century ways. With the intellectual property rights wrapped up, they have seen no need to innovate. They have rested on their laurels. As such, their products have stagnated. Remember, the optimal length of copyright is around 15 years. A similar length will apply to intellectual property. Scrabble can trace its history back to four times that length.

As was pointed out on the Freakonomics blog earlier this year, Mattel’s and Hasbro’s plans for the future of Scrabble are pretty lame to say the least.

The plans include adding anniversary labels to Scrabble packaging and introducing a folding edition of the deluxe Scrabble board.

In the meantime, the best thing to happen to Scrabble in generations is being targeted by Hasbro and Mattel simply because they were not smart enough to come up with the idea in the first place. They should have applauded and endorsed Scrabulous. That way, they would have ended up with a hell of a lot more respect and almost certainly more sales than under the current strategy of the companies.

In the latest stage of their assault, Mattel have finally launched their own ‘official’ Scrabble Facebook Application. But The Guardian reports that all is not well. And yet again, the problem can be laid at the door of intellectual property rights.

Seemingly, the new ‘official’ application is only endorsed by Mattel — not Hasbro. This means that you can not play Scrabble in the USA or Canada, where Hasbro own the rights. For this reason alone, the trust of Facebook’s users has been lost. If you can’t even play against your friends just because they happen to live in North America, why would you bother defecting from Scrabulous which currently has approximately 700,000 “daily active users”?

Today another Facebook Application has been hit by a similar corporate strangling. This time it is from a company that you would think would be able to cope with new technologies better.

Tetris Tournament was an early Facebook hit, and one of my favourite Facebook apps. It didn’t take long for its name to change to BlockStar, but it was still clearly derived from Tetris. The game itself was a bit clunky, but it did the job and was good fun.

Today it has become “Tetris Friends (formerly Block Star)“. Yes, it is now an official Tetris app. So, is this simply BlockStar with a shiny Tetris logo over the top? Far from it. The new game is utter, utter shit. Amazing when you consider that it is actually the official Tetris game. The original is a classic. This is a big pile of flaming hairy balls.

For one thing, the game now only lasts a maximum of two minutes. That’s right. No new levels. No game over as you reach the top. Just a high score after two minutes. It is ready to finish just when you get into the groove. Meanwhile, the graphics are cluttered and confusing. This game is intensely unsatisfying.

The reviews agree. The application’s wall has become a stream of obscenities while the reviews section has turned into a mere succession of one-star ratings.

In this respect, the users of Scrabulous have got off very lightly indeed. The best Tetris app on Facebook has been mauled out of all recognition.

Rating: +11
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Current affairs/ Economics/ Politics

A brief thought on income tax

Is focussing on income tax barking up the wrong tree for the left?

9 March 2008, 01:15

A mini debate was launched in the blogosphere earlier this week when the fledgling (Devil’s Kitchen-guided) Libertarian Party’s first policy was unveiled: abolish income tax.

Mr Eugenides modestly claims that he inspired the policy. He also notes Iain Dale’s hostile, seemingly hypocritical, reaction.

Iain Dale is right that the probability of doing away with income tax is roughly on a par with that of hell freezing over, and other similar clichés. But it is still interesting to think about. If it is true that you could do away with income tax while still leaving enough money to fund the Government’s 2001/02 budget, it is very interesting.

It is obvious why those who favour low taxes in general would be in favour of doing away with income tax. But I have wondered if it would really be in the interests of the left to abolish income tax as well. When I say left, I am talking about redistribution — good old fashioned soak the rich stuff. Those on the left typically believe that this should be done via a progressive income tax.

I might be missing something really obvious. I am not an expert when it comes to finance. But I’ll throw it out there anyway.

Surely an income tax is the easiest tax for rich people to avoid. I’m not just talking about the possibility that rich people will move abroad when tax increases, although that is probably true.

But if I was rich, I doubt that earning income would be among my top priorities. Maybe I would spend all day playing Xbox. Perhaps my whole life would be spent hopping from one skiing holiday to the next. If I got really bored, I would start sorting out my many fivers in order of tattiness.

I would be doing anything but working.

Rich people don’t earn income (except interest on their savings, which I wouldn’t have thought amounts to that much in the grand scheme of things). For this reason, I think the argument about making income tax more progressive in order to soak the rich and redistribute wealth is a bit of a red herring.

Rating: 0
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Commuting/ Current affairs/ Economics/ Edinburgh/ Fife/ General/ Personal/ Politics/ Scotland/ University

Reasons to favour road tolls

And one reason to be against them

2 March 2008, 09:33

You know, I really don’t mind the SNP all that much. I mean, in the sense that they are better than Labour then I am pleased they won the election. And I think that, on the whole, they have done a very competent job in charge.

But what have they done since gaining power? ASwaS notes:

The first Act of the SNP Government was to abolish tolls in and out of Fife. The second Act has been to remove university fees. As a St Andrews graduate I feel like I am in a privileged subset of the population.

So there have been two acts, both of which I oppose. This is a bit paradoxical because I am a student living in Fife. Received wisdom has it that I’m supposed to be in favour of these policies. But only the myopic think this. People see the headlines — “free this” and “free that” — without thinking about the full consequences. The policies are unashamedly populist, but unsustainable. This makes the SNP demagogues in my book.

Both of these policies are completely counter productive to a Fife-based student. I have already covered free university education before, so I won’t bore you again. But I have been meaning to write about road tolls for a long while now. So here is why road tolls should not be scrapped.

Roads are a scarce resource. There are only so many roads that can be built with the resources we have (not least space). And it is well known that no matter how many roads you build, drivers will literally be queuing up to use them.

Roads are a particularly scarce resource if you are trying to leave Fife (and who would blame you?). Geographically isolated, Fife is a peninsula. The River Tay lies to the north, the North Sea to the east, and the Firth of Forth is on the south. On the west, the Ochil Hills act as fourth barrier to entering Fife. It is almost as though the Flying Spaghetti Monster was trying to tell us something about Fife.

Anyway, the point is that if you want to travel to Edinburgh from Fife by road you don’t have many options. Basically you can cross the ageing Forth Road Bridge and deal with some horrendous traffic jams. Or you can spend even more time (and use up more petrol) going via Kincardine.

So roads out of Fife are a very scarce resource. When a resource is scarce it has to be rationed somehow. Clearly, no everyone who would like to use the Forth Road Bridge, or indeed any road, would be able to use it because there simply isn’t enough of it to go around. There needs to be some way of finding out who needs to use the road the most.

There are two ways to do it. One way is to make people spend time. This is the way most roads work, and of course the Forth Road Bridge has recently become one of those roads. The other way is to make people spend money. Evil, evil money. Yes? No.

Evan Davis has explained why queuing does a really bad job at rationing a scarce resource. When you make people queue, you are making everyone spend a lot of time. Time is the scarcest resource of them all. You can’t bring back the past, and you can’t transfer your spare time to someone else who doesn’t have enough time. Once time is spent, it’s gone forever.

If, on the other hand, you use money, it might still be costly to you as a person. But at least the money doesn’t just disappear. It has simply changed hands. The money can be re-spent again. Now, society is better off than it would have been had everyone been made to queue.

So to use the Forth Road Bridge as an example, the government could choose to whack up the price of crossing. This money could then be used to build more hospitals, or even — shock horror — a second Forth road bridge or tunnel. Or they could use it to reduce taxes.

Instead, the SNP have chosen to make not only drivers crossing the bridge, but also society as a whole, pay through the nose just so that they can say that they have removed road tolls. It’s a pretty pyrrhic victory if you ask me.

A couple of months back Calum Cashley was sceptical that the removal of the tolls would lead to greater congestion. His argument was that as the charge was only £1, removing it would not make crossing the bridge much cheaper in the eyes of many. But if anything, this is an argument that the charge was not high enough in the first place!

Instead, the SNP have taken it in the opposite direction. Common sense dictates that it would increase congestion. And evidence suggests that it has — by half an hour every morning. The rush hour is now a rush hour and a half.

The situation starts to look even worse when you consider the environmental impact of this situation. If road tolls were in use then think of the carbon emissions that would be cut. Instead, the SNP have removed the one toll road left, meaning that even more drivers are just standing still on the road with their engines running and emitting carbon dioxide. And the SNP are supposed to be a green party!

So road tolls make sense from an economic and environmental point of view. Does that mean we should dive head first into a full-on road charging scheme? Possibly not.

I seem to remember that when Evan Davis wrote that post, it was on the back of a debate about the possibility of people being charged to use roads by the mile (or something similar). This involves having a little box in your car that enables you to be tracked wherever you go. It might be economically efficient, but there is a serious problem with civil liberties there.

Also, it is perhaps worth pointing out that queuing is probably not always the worse option. Even though people grumble about NHS waiting lists, it seems preferable to a charge-based system where doctors could make up your illnesses in order to extract more money from you.

Nevertheless, the principle of road charging (if not the method as it currently stands) is perfectly sound. The tollbooth system on the Forth Road Bridge did not suffer from this civil liberties issue, so there was no good reason to abolish them. It was all the more farcical when the Scottish Government decided to pull them down at a cost of £2m, when they had only just been erected at a cost of £4m!

Rating: 0
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Current affairs/ Economics/ Entertainment/ Internet/ Music/ Technology

The future of music: pretty boxes

This is the answer my wallet fears

19 January 2008, 22:57

There are only two things in the world that give us absolute total happiness. One is seeing other people fail. The other is unwrapping a newly-bought CD.

–Armando Iannucci

In the wake of all the upheaval that the recorded music industry is facing, a lot of people have been predicting the death of the CD. After all, the very reason why music is cheap or free these days is because they don’t need to be put on a physical object which then has to be transported around the world. Surely digital downloads are the only conceivable future for music distribution.

I don’t like the idea of this. If I was five years younger it would probably make perfect sense to me. Last week’s edition of The Economist tells the story of a focus group that EMI held. It was aimed at understanding yoofs better. At the end of the meeting, the teenagers were invited to take as many free CDs from a pile on a table as they wanted. Not a single person took a CD.

It’s just the latest example of a recorded music industry that has always found it difficult to adapt to new technology. Historically, consumers have gone for the most convenient and cheapest format rather than the technically excellent one. So says Fredric Dannen if you scroll a long way down.

When the long-playing record (LP) format was introduced by Columbia Records back in the late 1940s, the industry as a whole resisted it, and many predicted it would never take off because 78s sounded better. Without question, early LPs did not sound nearly as good as 78s. But given the choice of listening to all of Beethoven’s Ninth Symphony on two sides of one record versus sixteen sides of eight records, the consumer opted for convenience and simplicity (not to mention less shelf space).

…You can always count on the record industry to cling to the past, and to fight innovation.

So does the arrival of MP3 mean the death of the CD? I personally hope not. I love CDs. I am of that generation, probably a small five–ten year window of people who wouldn’t consider vinyl but had no access to file sharing as they grew up. Napster came onto the scene in 2000, when I was 14 — well into my music-consuming life.

I have been collecting CDs since I was nine years old. I haven’t counted, but I must have around 600 CDs. I only bought my first vinyl records a few years ago. I bought them grudgingly, only because they were not available on CD. I reckon today I have 30 vinyl records.

I have only ever bought around a dozen MP3s — again, because they were not readily available on CD or vinyl. (I have downloaded a few dozen more because they weren’t commercially available at all — mainly live bootlegs and demos.) I would consider buying more. But although MP3 is the format du jour, there is a big block in my mind preventing me from buying something that I will never be able to see or touch.

I suppose this makes me a collector. (Yes, my collection is in alphabetical order — or it was until I ran out of space.) Collectors tend to be fans of vinyl though, which makes me an anomaly.

It would be nice to think that the CD will limp on and eventually survive another day in the MP3 era just as vinyl has done in the CD era. I have grown up with CDs and I love them. I’m not an audiophile, so the sound quality issue doesn’t worry me too much. And to be honest, I can’t be bothered with the faff of vinyl.

Whether it is CD or vinyl, there will always be people like me who treasure the physical presence of an album. It’s not just about a collection of notes. It about an event, a happening. It’s the artwork, the packaging. The sleevenotes, the lyrics. The smell of the booklet. It has an aura. When you hold a copy of a good album, you are transported to its space without even having to put it on. Could all of this really die because of the internet?

When Radiohead released In Rainbows, the pricing structure grabbed all of the headlines. But that wasn’t the interesting thing for me. The pay-what-you-want method is just a belated recognition of the fact that people could choose to pay nothing anyway.

The other aspect of the release of In Rainbows interested me much more. I didn’t pay anything for the MP3s. I downloaded them for free when they were released on 10 October. That’s because I got them as part of the £40 “discbox” set.

The discbox is a premium edition of In Rainbows. It comprises a CD of the album, an second CD with eight extra tracks and enhanced content, a 2× vinyl edition of the album, and generally all-round badass packaging.

In Rainbows discbox packaging

£40 is the most I have ever paid for an album. I hesitated before I ordered it — but not much. Although I am sort of a collector, I have never been a completist. I am usually happy to have the CD version on its own. But I couldn’t resist the awesomeness of the discbox — despite the fact that I hadn’t even heard the album.

This was largely ignored in the media coverage of the album, but to me it was the most notable aspect of the unconventional release of In Rainbows. When I first posted about In Rainbows, I neglected to even mention the fact that the MP3s were free. I didn’t find it that interesting.

People like me, who love the physical formats, will be continue to be catered for. It is easy to make money out of us. Slap a sticker saying ‘limited edition’ on a record and suddenly demand for it will become price inelastic. Suckers like me will buy premium versions of albums at higher prices than we would otherwise consider. And this will become ever more important for the record companies as physical sales continue to get eaten into by the internet, where profit seeking is impossible.

In Rainbows wasn’t the start of this. Limited edition versions of albums have been around for a very long time. But in an age where it is becoming increasingly difficult to make money out of recorded music, it is becoming more and more prevalent.

When I went shopping for Sigur Rós’s Heima DVD I thought £17 was a bit steep. Then I saw the limited edition version for £25 and bought it.

The deluxe multi-format edition seems to be becoming more common as well. Björk’s latest single, ‘Declare Independence’, is available as a deluxe edition, yours for only £19.99.

Formatted in the same extravagant packaging as the Volta double LP, this contains all conceivable formats of the single: double vinyl, CD and DVD.

Something else that is becoming more and more common is for people to automatically get the MP3 version for free when they order a physical version. For instance, Nonesuch has started doing this. You can choose between standard 128kbps MP3s or maximum quality 320kpbs at no extra cost.

It makes sense to me. Being able to have your entire music collection on a portable device is becoming an expectation these days. Since vinyl is a bit more tricky to get onto your iPod, it would be good to get the MP3s of music that you have already bought automatically for free. Hopefully more record companies will adopt this approach.

A lot of people have wondered aloud if the fact that we can now get music for free from the internet is devaluing music. But it seems to me as though the internet is not only driving the price of music down — it’s also driving the price of CDs and records up.

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Current affairs/ Economics/ Entertainment/ Internet/ Music/ Technology

The future of music: gigs and t-shirts

It's still possible to make money from music

13 January 2008, 02:38

Copyshite

A series of posts

  1. Copyshite
  2. The entertainment industry’s wrong turns
  3. The future of music: gigs and t-shirts
  4. The future of music: pretty boxes

Apologies for taking so long to get round to writing this post. That pesky life business getting in the way as usual.

In the previous posts in this series I have been waxing lyrical about copyright law and the mistakes the entertainment industry has made in adapting to a world with the internet. Over the past couple of years, people in the music industry have — belatedly — begun to tackle the issue properly.

Radiohead made big news last year with their latest album, In Rainbows. What hit the headlines was their novel pricing structure. You could choose the price you wanted to pay for it, between zero and £100.

This idea wasn’t all so novel though. Radiohead are by no means the first band to release their music for free, or to take the ‘honesty box’ approach to pricing. They certainly won’t be the last.

Prince did a similar thing this year as well when he gave away his latest album free with copies of the Mail on Sunday. This led to the odd sight of branches of HMV installing a dumpbin of the paper for one day only.

It’s worth thinking about exactly what Radiohead did by implementing a choose-your-own-price method. The record industry often likes to talk about how much it has “lost” as a result of piracy. But the numbers they use are misleading.

As Tim Worstall pointed out on his (now tabloid) blog many months ago, demand curves slope downwards. So the record industry don’t lose anything like as much as (number of illegal downloads) × (RRP of a CD) as a result of the download revolution.

The old model meant that people could basically either choose to buy a CD at its RRP or pass on it completely. So if you were only willing to pay £11.98 for a CD that was priced £11.99, you wouldn’t buy it. That is fine — that is how the market works.

But when filesharing became more common, people could choose to buy a CD at its RRP or download it for free. Those were the only options available. So if you were still willing to pay £11.98 for that CD, you would not pay £11.99 — you’d just download it for free. From £11.98 and lower, record companies were losing profits. They didn’t know how to deal with this, so used the ham-fisted techniques I described in the previous post instead of coming up with a new business model like they should have done.

The In Rainbows method tackled the problem head-on. Under Radiohead’s system, if you were willing to pay £11.98, you could choose to pay £11.98. What’s more, if people were willing to pay, say, £80 for the album, they could choose to pay that as well.

Chances are that most wouldn’t. You could legally download it for free, so lots of people will have done this without feeling any sense of guilt. Radiohead aren’t releasing any figures, so we can’t tell. But reading between the lines of the interviews Radiohead have given, they seem quite happy with how the experiment has worked out and most estimates suggest that Radiohead have made more money using the honesty box approach than they would have done with the old way — mostly because all of the middlemen have gone.

The middlemen are a big problem. They seem to be particularly so at EMI. Recently EMI was taken over by a private equity firm, Terra Firma. They appear to be particularly clueless. In the space of a few months they have managed to piss off three of the biggest acts on their roster — Radiohead, Paul McCartney and now Robbie Williams.

Here is some insight from Paul McCartney:

“I’d started saying to them: ‘Look, we could write a thing and have it released the next week.’ And they would say: ‘You can’t do that these days.’ So I would say: ‘Well, how much time do you need?’ And they’d say six months. I said: ‘Why do you need that long?’ And do you know what they said? ‘To figure out how to market it.’ I said: ‘Wait a minute, are you sure you need six months for that? Couldn’t some bright people do that in two days?’ Jesus Christ. I said: ‘Look boys, I’m sorry, I’m digging a new furrow.”

EMI seem to be making the mistake of treating artists like widgets. They have mistaken creativity for something that can be switched on and off like a tap.

And they seem to be amazingly inefficient. Fans know all-to-well about the six month gap between the announcement of a new album and its actual release date. It surely don’t have to be that way. Indeed, one of the most refreshing things about In Rainbows was that it was announced a mere ten days before its release.

So if the middlemen are no longer needed and are actively hurting the artists and the fans, does it mean labels are doomed?

Well, Radiohead took a risk, and it paid off. A lot of people say they were in a lucky position. And they were. Radiohead are the best band in the world and probably the most popular contemporary band. They were always going to do well regardless.

But what about the smaller bands? Surely the chances are that they won’t do as well as Radiohead by adopting such an honour system.

But honour systems work. Paul Feldman the bagel salesman knows that. LibraryThing has been using such a model for a while, and found that their takings increased once they adopted the system.

A lot of music fans are extremely loyal to their favourite bands. They are just the type of people who won’t take advantage of the fact that you can get music for free. They get such a warm glow from knowing that they are rewarding their idols.

Labels and bands may still be wary. If honour systems don’t convince, the common answer to the problem is to release music for free and use it as a way of generating publicity so that more money can be made from touring. Alan McGee, manager of The Charlatans, who are also now giving away their music for free, reckons that it could even triple the size of the crowds at gigs.

Merchandise is also becoming increasingly important. There is a theory that the reason concert promoters don’t charge the market value for gig tickets is because keeping the price low attracts a younger audience. These youngsters will go on to buy loads of t-shirts from the merchandise stall, so in the end everyone involved makes more money. Some bands are even stopping selling CDs at gigs for fear of cannibalising t-shirt sales.

So the future of music is gigs and t-shirts. This is great for my wallet. I rarely attend concerts, and I am more and more reluctant to buy t-shirts.

But I think the music industry could still potentially make lots of money from selling physical copies of the music. And my wallet won’t be so happy about that. That will be the subject of my next (and, at last, final) post in the series.

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Current affairs/ Economics/ Politics/ Technology

More on environmentalists

(Say it quickly)

11 January 2008, 00:15

Since I wrote about the overblown approach some environmentalists have been taking, I may as well post about it again because two stories have caught my eye today.

Firstly the nuclear thing. Today’s announcement from the government is probably the best news for the environment for years.

Nuclear power is, after all, carbon-free (well, carbon-low anyway, as Tim Worstall points out). Increased nuclear power will reduce the high carbon emissions that arise as a result of coal and gas. Meanwhile, the technology needed to make renewable energy cost-effective is not there yet.

As such, for the medium term at least, nuclear power is the only viable, vaguely environmentally-friendly solution to the current energy conundrum. Greens ought to be cock-a-hoop. Of course, environmentalists are never happy, and they are complaining about the government’s announcement.

I’m with Niall at Mushkush here:

I am nominally a Green voter (I think my membership may even still be valid) but I’m also pro nuclear. Not necessarily because it’s a cure all – it’s not – but because it’s a necessary evil… Simply put it’s not possible to do what appears to be necessary without some nuclear in the interim.

The only reason environmentalists could be opposed to nuclear power as a medium-term solution is if they actually wanted there to be either:

  1. More carbon emissions
  2. No electricity

Sometimes I think some environmentalists really would prefer it if people had a standard of living that was more akin to that of the middle ages. Which brings me on to the other story that caught my eye.

Tata Motors have unveiled the world’s cheapest car, on sale for 100,000 rupees — £1,277 to you and me. It’s a breakthrough that is sure to transform the lives of people in developing countries for the better. But environmentalists are calling it a disaster.

It is not an environmental disaster. The Tata Nano must be one of the most efficient, resource-saving methods of travelling that has ever been accessible to people in a developing country like India (it wouldn’t be so cheap if it wasn’t). It will surely have a part to play in improving the standards of living of many Indians.

So what is the message environmentalists are trying to tell people in developing countries? “Sorry, but only we westerners are allowed to have cars”?

If environmentalists are really concerned about the earth’s resources, they ought to be applauding Tata’s breakthroughs in the realm of resource-efficiency.

This isn’t to say that compromises have to be made in order to tackle climate change. The solution to the problem of carbon emissions is simple and well-known: a Pigovian tax. Simply make people pay for emitting carbon.

That way there is no need for outbreaks of bansturbation or inefficient regulation (which only results in people meeting their quotas, not actively aiming to reduce emissions). A simple tax would incentivise people to reduce emissions themselves with the minimum of fuss.

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