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New Topics for Today   Ed Balls, Autocrat --- Bankrupt States, Cities ---  Philips protect Philishave --- Cyprus: EU Crunch Time
Tony! Stop Spinning! ---  Don't criminalise school-children ---  Assert Public Primacy --- We should side with road-uers --- Corporate Jungle News VI





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Diary Note /0060

Saturday 22 June 2002 

Did you miss the previous DiaryNote?   Check it out 


Experiment   I am responding to your complaints about my Search function -  check out the trial alternative and let me know what you think - RWE


On the Left, we are all looking for ways of turning the Internet to better political advantage, in the promotion of intelligent political debate - another initiative this week comes from the Fabian Society, on globalisation, check out the interactive  www.fabianglobalforum.net


Take a swift look to your left  - your "hits" have now passed the 600-mark - the first 300 hits took 91 days, the second 300 took just 50 days (to 20 June 2002) - some evidence, I suppose, that you are finding the website interesting, which stimulates the ol' editorial juices - thanks for logging-in 
Roger WE


A Chilling Autocracy

Ed Balls is a very important young man  But he is clearly no democrat. Although an unelected Special Adviser to the Treasury, his speeches are carried verbatim on the Treasury website, alongside the speeches of Gordon Brown, Ruth Kelly and Paul Boateng.  And he has this week revealed just how tenuous a grasp the Treasury has, of democracy.

To be fair, he was trying to do just the opposite, addressing the Municipal Treasurers (CIPFA) on Devolution and Localism in Public Policy.  But that makes his innocent autocracy all-the-more chilling.  Take a look at the Guardian  report of his speech, or better still check the full text of the speech, at the Treasury website CIPFA.  Judge for yourself. 

Ed Balls' idea of devolution is for the Treasury to determine all long-term objectives and strategies, and to then to "devolve" to others the strictly constrained discretion to work out how they are best to be delivered.  In a chilling passage, Balls applies this to the Treasury's "devolution" of economic development powers to those unelected quangos, the English Regional Development Agencies.

What a hoot!  In Wales and Scotland, it is true, these unsatisfactory quangos are now answerable, formally at least, to elected provincial assemblies - but nothing like that applies to the English regions.  For me, the only power worth having is a discretion to make substantive decisions, and to determine objectives and strategies without being accountable to anyone but the people, the electorate.  Certainly not to the Treasury...

Do you think I am right, or misguided?
Drop me a line > < Top 


En passant - one of my regular correspondents, Des McConaghy of Liverpool, is calling for expressions of concern about the resurgence of the racist "European Right" - check out my cautious reply Correspondence


Chapter 9

Chapter 11 is better known. 

In its Chapter 11, the American Federal bankruptcy code deals with the collapse of commercial companies, and designates responsibility for clearing up the mess, when an artificial person gets into difficulties.   But Chapter 9 is of greater potential political importance, because it regulates the bankruptcy of Federal states, cities, and other governmental agencies.  Taxpayers, the voluntary sectors, and citizens generally, are given their say, in determining the outcome.  It is a great, practical, democratic process,very open, very American.

Let me come clean.  Until I read of the work by the New Economics Foundation on state bankruptcy, I had no idea that Chapter 9 existed.  The NEF is proposing that there should be an interantional Convention, along the lines of the US chapter 9.  This proposal was highlighted in a mid-week article by Larry Elliott in The Guardian.

We have no comparable code in UK law, nor does any exist internationally.  Yet there is a crying need for such a procedure, to facilitate the management of collapsed national economies, to permit the write-off of unbearable debt, and to allow a nation as a whole to make a fresh start.   We stubbornly uphold the principle that "a state cannot go bankrupt".  That means that each successor Government must pick up the tabs left by all its predecessors.  A state is not allowed, as a matter of international convention, to declare itself bankrupt.  The IMF always insists that all past borrowings are repaid, even if over a very long period.  Argentina 2002 is the latest country to suffer under the burden of this oppressive principle.  As the IMF deploys its baleful skills, the people of Argentina continue to suffer.

Sadly, I cannot hyperlink you through to the New Economics Foundation, they will not allow it - you must write in to buy the £3 booklet  New Economics Foundation.  But NEF argues for the creation of a new UN jurisdiction, a new International Insolvency Tribunal, which could administer such a regime.  Alongside the new International Criminal Court, and my suggested UN Asylum Tribunal, such a Tribunal would make good sense, countering the worst excesses of capitalist financial conventions.

What do you think? Drop me a line > < Top 


Defending intellectual property

The power of the trading corporations turns on the successful accumulation and assertion of private property rights.  "Property" is what enables profits to be gathered in, and defended. Property laws are fundamental to the whole power structure of the corporate sector.

The giant Philips Corporation "owns" the successful triple-headed Philishave electric razor, and has earned enormous profits from its monopoly control of the product.  In the early-1990s, Philips faced the expiry of its patent rights (which last 20 years, in most countries).  Instead, Philips has been trying to assert trade-mark rights over the razor (TM rights are not time-limited, and last for ever).  The distinctive shape of the three circles, they have argued, constitute a trade mark, which they tried to register with all the world's authorities.

They have failed.  The commercial courts have held that trade mark law is not to be used to protect "essential functional features".  Toblerone had been allowed to protect its tooth-comb chocolate-bar, but Remington could not dress up a patentable device as a trade-mark.  There were limits to the manipulation of intellectual property rights, and this overstepped the limit.

This week the European Court of Justice at Luxembourg finally sent Philips packing, and held in favour of Remington, the challengers.  Philips had already lost in the US, Canada and Australia -  see The Guardian.  But Philips have still not given up - "We think there are still possibilities for arguments to keep our trademarks registered" said a spokeswoman.  They will fight to the last drop - of profit.

Events like this illuminate the character of contemporary capitalism, particularly in the intellectual property field.  If you spot any similar insights, will you let me know?
Drop me a line > < Top  


Impending Cyprus  Crunch

You may remember my own love affair with Cyprus.  I spent a happy National Service there in 1955/56,   
spying on the Russians, and I've retained a keen interest in Cypriot affairs ever since.  I went into the Royal Navy straight from boarding-school, in Autumn 1954. 

The 1970s partition was a tragedy for Cyprus, and the tragedy endures.  The UN Partition Line has been in position now for over 25 years.  Now, with Cyprus about to join the European Union in its own right, the cracks of partition are highlighted - who is Cyprus? What is Cyprus?  Greece threatens to obstruct the whole enlargement process, if Cyprus is excluded.  Turkey is trying to use the inclusion of North Cyprus as a lever to advance its own claims for EU membership.

If Cyprus is to join the EU as a single country by the end of this year (albeit with two near-fully autonomous "Provinces"), the negotiations between the veteran lawyers Clerides (for the Greek Cypriots) and Denktash (for the Turkish Cypriots) will have to succeed.  The United Nations, and Kofi Annan, have played an vital part in progressing this settlement.

No symbolic message here, except the transient nature of weblogging, the evanescence of our opinions. But you must admit: it is a pretty picture...

Tony! Please
stop
spinning!

When will he ever learn?  I suspect that Downing Street can no longer distinguish between what is spinning and what is not.  For example, Tony Blair's Tuesday speech , to a "London crime conference" on impending criminal law reform, was a blatant case of spinning - see   Guardian 19 June    He launched a massive preemptive strike, in support of Government proposals which will not be published until JulyHe knew what the proposals would be, but noone else did, and so they could not oppose.  He had the media space to himself.

This is an unacceptable case of spinning.  It distorts and devalues democratic debate.  It exploits the Government's dominant media position. Does Blair no longer recognise spin?  A pro-Government aura is built up, while political opposition is crippled - Ah! say Government spokesmen, you must wait until you see the real proposals - in July.

Then it happened again, on Thursday!  On the morning of Thursday 20 June there appeared an FT report, clearly written by a journalist  (Nicholas Timmins) who had before him the full text of a forthcoming Andrew Smith seech, on pensions - consider this wording -

  • "In his first speech in his new post, Mr Smith is expected to tell a TUC conference on pensions today: "I firmly believe that the overall pensions framework is the right one, and the Government will continue to build on the changes we have made."  He will say he wants to address the situation "where on Friday employees are seen as valuable members of the workforce, and on Monday they are shuffled off in to retirement".

These references can only have been taken from pre-emptive verbatim Press Releases issued on Wednesday, before the FT copy-deadline for the earliest provincial editions (I bought my FT at 6.20 am on Thursday morning, in Swansea).  This was a blatant move by the Government to seize the initiative and to upstage opponents (including me, in this case, because I am deeply ashamed at the amorality of my Government's mealy-mouthed and unprincipled position on Old Age Pensions).  The Government spinners were allowed by the Press to occupy media space before the speech was even made!  That is outrageous!  And the media were complicit, which demonstrates parallel motivation.  Is this not even recognised as impermissible spin?  Have these guys lost all sense of perspective?

I implore Tony Blair and his Government, before it is irretrievably too late, to implement straight away my Eight Desists - if he had taken my advice, none of this week's blatant spinning would have occurred.  My fear is that the Labour Cabinet is whirring around so fast that they no longer know what is spin, and what is not.

What examples of Government spin have you spotted today?
Drop me a line > < Top 


School Police

It gets worse.  "Truancy sweep catches 12,000", screams the liberal and sober  Guardian.  This criminalisation of our school system is tragic, and profoundly misguided.  No good will come of it, and Estelle Morris is wrong to cultivate it. Police are to be sent into playgrounds, in London.  And these announcements were all made, to the waiting media, by none other than a Government Minister, Stephen Twigg.

During the month of May (as you will see from the Guardian report) there were 900 separate "Police sweeps" in 34 different education authority areas - such a concerted one-month campaign can only have been orchestrated by Government.  How many real crimes went undetected, while our children were pursued by police officers?  Have we taken leave of our senses?

I am ashamed of the insensitivity displayed by my own Government.  We should be caring for our children, not arresting them.

Let me know what you think
Drop me a line > < Top


Public Primacy

I recently re-visited my own political credo (see New Socialist Settlement) I found that the principle of public primacy simply elbowed its way to the top.  Alongside equality, fraternity, liberty and democracy, there appeared their inexorable consequence, namely Public Primacy

This principle asserts, quite simply, that truly public functions should be discharged by dedicated public servants, not by private firms employing their own staff according to their own profit-oriented principles.  Of course, that in turn begs the question What is a truly public function?  And that is eminently amenable to socialist debate.

For me, this is the missing particle of modern socialist theory, the importance of which has only emerged since the Thatcher years, and with greater understanding of the failures of privatisation.  Two new questions have hit the headlines this week, both posing the same question.  For me, they suggest diametrically opposed answers.

They are (1) the European air traffic controllers' strike, and (2) the alarming evidence of our collapsing old peoples' homes, both in the headlines this week.  In the case of Air Traffic Control, it must be clear that the function is a vital public service, which should never be entrusted to a private corporation.  The system clearly needs to be managed as a coherent public-service whole, and should be animated throughout by an unambiguous commitment to the public good, to public service.  There are no countervailing arguments.  Private-profit corporations should have been banned from the outset, as with the London Underground.  The European controllers went on strike, just to make that single point.  It is tragic that Labour should have found itself on the wrong side of this key line of principle, with both ATC and the Underground.  

On the other hand, with geriatric care, I see no need whatsoever for many thousands of private old peoples homes to be taken into public ownership and run by public servants.  The principle of public primacy does not require that the nurses and care attendants should all be employed by the State. The problem is merely one of finding a stable system of long-term Government financial support, coupled with an effective system of inspection and quality assurance.   That is a managerial challenge, and I see no essential engagement of socialist principle.

I contend that each new situation should be analysed in this way, and the force of public primacy assessed, from case to case.   

Do you find that idea helpful?
Drop me a line > < Top 


Settling with
road-users

This week has furnished new evidence of the Government's incoherent relationship with the motorists.  Gwynneth Dunwoody and her Transport Committee sensibly criticised the Government for their pro-motorist stance on the painting of roadside speed-trap cameras, and their failure to reduce speed-limits generally.  Again, the Government was caught flat-footed, caught without a coherent position.

Labour must align itself unambiguously with road users.  All road users.  Not just with private car-owners, but with the bus/coach industry and their customers, pedestrians, cyclists, the commercial freight-lobby and taxi-drivers.  This is a huge and complex constituency, democratically far more extensive than the middle-class rail-lobby.  It includes the majority of the voting population.  The Tories must not be allowed to capture this territory - as they well might, if Labour continues to sleep on the job.  And the very breadth of the interest groups offers a broad political canvas for Alistair Darling to paint on, using imaginative combinations of combinations of good news and bad news.  After all, politics is an art, not a science...   He has just one chance, to come up with a global transportation policy package, to deflect current discontents.

I pray each day for a decisive pro-highway move from Labour.  It cannot come too soon for me - it is already getting a bit late, if we are to win the 2005 Election.  Get a move on, Darling! 

Are you, like me, a covert highway enthusiast?  Would you join a Go for Roads lobby? Or what about a covert Highways Anonymous group, where we could admit our weaknesses in private?
Drop me a line > <   Top  


News from the
Corporate Jungle VI

I could publish a weekly Weblog devoted solely to the tumultuous developments in the corporate sector. This is where the world's most important news is currently being made, in my view.  I have previously published my Jungle News on an item-by-item basis.
Today, I give you a complete - and separate - Special Edition.

Let me know what you think
Drop me a line > < Top 


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