Tuesday, August 31, 2010

A Coalition victory looking less likely

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I might have to eat my words. From what I have read two of the Independents dealing with the government are liberal 'progressives'. This strikes me as a contradiction in terms, particularly when you look at their track record. Firstly I applaud the ascension of independents. We do not have any effective competition in parliament, so we need more of them. The problem is that they have no resources or knowledge. They are radicalised by the fact that they are ignorant 'idealists', and as they say, nothing is as dangerous as a 'little bit of knowledge'. The problem of course is that our media favours the major parties, and this is bad for two reasons:
1. The independents are not taken seriously, not trusted, as nothing is known about them
2. The independents are unable to attract the support of wealthy Australians. i.e. They lack credibility.

This is why we are left with 3 independents who might well decide the outlook for government. It only now comes to my attention that Rob Oakshotte and Andrew Wilke want to see the Coalition take steps on emissions. Geez! Here is the problem:
1. Human induced climate change is a nonsense, and these candidates are not critical thinkers, or well-read, because they are independents with no time or resources. So who wins in a debate between parties reticent to say there is no human link, and uncritical scientists, who treat science like it was a popularity contest. We all lose.
2. The Coalition I guess is a positive for emissions by deciding to cut immigration. This is an easy policy for Labor however to match....at least for this term. Oakshotte might be happy with that as a compromise. Katter will love it.

It gets worse. Recently I was watching a presentation given by Dick Smith, who because of the scientific acumen of his 8yo daughter, has decided to take up the cause of Population Growth. Among the listeners was an independent Rob Oakshotte. I hate to think what we learned at this seminar. You can read my response to all their assertions in this blog post, but it shows where the Member for Port Macquiarie is heading on public policy....into the wilderness.

The implication is that a deal between the Independents and the two major parties is looking less likely. The reality is that these guys - particularly Rob Oakshotte and Andrew Wilke - will want to shore up their electoral support by forming allowing one team to form a government. The implication is that - taking voters to another election is not likely. They might be punished as 'obstacles to government' if they did, and no one wants that. Bad competition is better than none. For this reason, I think a deal will have to be done, and the Liberals still seem to be the most likely to lead government. I must say however that I am a little less confident, the more I read about these independents.

I really am trying to believe in the 'Independents', as we need competition between the parties. The problem I have is that they support non-issues like climate change, and I even saw Rob Oakshotte at Dick Smith's Over-Population seminar. So I guess he is anti-immigration. I think they are just trying to show us they are bipartisan. You can't take anyone at face value anymore in politics. Its not about facts, its all about perceptions. Don't expect any integrity from these people...its all 'game play'. They end up being corrupted by the process. It taints all who dare to engage. In the meantime, we all get stressed out pondering the implications. Great system!
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Author
Andrew Sheldon

Saturday, August 28, 2010

Population growth - is it a problem?

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Recently there have been a number of calls by prominent Australians for curbing or ending population growth. These Australians come from Bob Carr, the former NSW Premier, who was promoting a book by Mark O'Connor called 'Overloading Australia', and also Dick Smith, the founder of the Australian electronics store and Australian Geographic Magazine. Now both of these people are environmentalists, so no surprise that they want to curb population growth. I want to however provide counter-arguments to all of their assertions....and I mean all of them.
Firstly I am not an advocate of strong population growth because I see the justification for it as self-serving government policy rather than a desirable feature for the Australia population. Governments want to expand population in order to increase economics activity. The reason that they resort to population growth (as well as 'inflationary' money illusion and debt-financed spending) is because the centralised government they entail, and the democratic foundation undermine the natural formation of capital and improvements in productivity. This issue is beyond this blog post, however my assertion is that centralised, democratic government undermines economic productivity, and population growth and ramped up consumerism/spending is intended to compensate governments for the 'control' they need over your money, lives and values.
So let me deal with the issues they draw attention to:
1. Climate change. Dick Smith argues that 75% of Australians disbelieve human-induced climate change. Firstly, I am surprised that that number display good judgement. His argument is that - we should curb population 'just in case we are wrong'. No, we should curb government powers if we are wrong, and any government intervention into economic activity could only impose unjustifiable costs in the short term, making us less able to deal with the problem in future. Also science is not a popularity contest. You bring conflicting views together to reconcile differences. The better argument wins. The climate change advocates don't want that debate because they are winning the 'popularity contest' with government.
2. Population growth. Dick Smith says we need to curb population growth because it is doubling every 30 years. True enough, but that is not going to be representative of future decades. The wealthier societies become, the fewer children they have. You cannot simply extrapolate these numbers. Those numbers also pre-date efforts to curb population growth with abortion, contraception and education.
3. Population limits. He cites arguments that Australia can only sustain a population of 26 million - when the current population is 21mil. I would argue that we can support billions in Australia. He of course wants to protect flora and fauna which I have little regard for. Life has appeared and disappeared throughout the Earth's existence. We have the power to create ecosystems which serve us. But Dick has this attraction for the 'intrinsic' natural system. Well, let him pay a premium for that. He is free to buy a piece of Kurringgai National Park in Sydney now.
4. He cites depletion of resources. This is also a nonsense. Australia is the driest continent, but it has vast amounts of water. Consider a number of issues...We hardly charge farmers to retain or utilise the stuff, so their use is very wasteful. Even our agricultural preferences (i.e. meat production) are wasteful. We have the power to recycle or process water...probably at select locations along rivers, when such processing is required. If there is a value, the money will be found...and we need food. So we will dump energy uses before we starve. It will be those 'breeding' Africans who will be incentivised to stop breeding if there are food shortages. Australia is of course a major food exporter. We could export 10x more grain if we did not export meat. I have not even made any allowance for technology, better use of land. He went to Japan. Did he notice that the Japanese use every inch of hill side for farming.
5. No need for population growth. Dick Smith throws the issue back at capitalists who argue there is 1000 years of coal in the ground, probably 50,000 years of uranium, and a constant stream of solar. He asks what is the benefit of population growth? Well I agree with him. Aside from the strategic need to keep up population numbers with a rapidly industrialising collectivising China, there is probably no great need to add to the global population, but no compelling reason not to either. So strategically, it helps us keep up with China. I would however argue that if we adopt a meritocratic government, and adopted a coherent and logical set of philosophical values, then maybe China would be more impressed by our economic model, and would be more inclined to join us, rather than beat us. But so long as we pursue democracy, we are stuck with 'low growth' inhibitors, and the need to offset these factors with stronger immigration and monetary illusion. Its a false economy, but if you like democracy, this is the hopeless policy you signed up for. If you want to reduce population growth, you ought to be repudiating democracy, and embracing a meritocracy, which would place greater emphasis on productivity rather than dubious economic activity measures of prosperity like GDP.
Finally to answer Dick Smith's question...what are the benefits of over-population...it is simply this...the right to have children. The desire to over-populate requires education. He has a platform, but really he is confronting the wrong issue. Such is the case with hopeless liberals like Dick Smith, Al Gore, Bill Gates, etc.
6. Do we want to live in a confining environment? He makes a comparison with living in a submarine. The analogy is hardly representative. Firstly society is transforming just as quickly as it is growing. Yes, the population has doubled in the last 20 years, our energy consumption per capita has greatly increased, but its now falling. Energy has got expensive, so we are cutting. The internal combustion engine is only 26% efficient. The next ones will be 50-60% efficient, and they will recover heat, so raising them to 85%. Already such fuel cells are available. These crude ones run on gas, and we have plenty of that. The next ones will run on concentrated solar, maybe uranium, and it only gets better.
7. Depopulation is ok. He does not know much about Japan. Property prices fell their because they were in a bubble, not because of depopulation. Of course there is cheap property in the rural areas because of depopulation. I guess he is against people migrating to the cities because they abandoned homes in rural areas to do that. The reality is that cities are vastly more efficient that rural village communities.
6. Cities allow the rural areas to be preserved in their natural or modified agricultural setting. They are dynamic places. He complains about population, but is very selective in his analysis. Japanese people love living in the cities. They like the space of Australia too, but most love Japanese city life. They just don't like the collectivist values which impose external standards upon them.
7. He argues that the USA was more prosperous in the 1950s, and seems to attribute its falling economic position to population growth. This is nonsense for a number of reasons. Firstly, the US wealth distribution is less equalised, 2nd the US has grown since the 1950s, just at slower rates, and that is largely because of increased size of government, and structural loss of competitiveness due to the liberalisation of oppressed Asia. The US has also been defending the world, a role it did not perform before the 1940s.
8. He offers a less than convincing reason for attacking economies of scale, in fact he seems to highlight it as a value for population growth. I will argue on his side, that economies of scale actually alienate consumers, and we will see more product differentiation in future. Why? Governments are currently favouring corporations. I think there will be more balanced perspective in future when we have a coherent concept for rights.
9. He makes the argument that its a finite world. It is essentially infinite when we watch technology transform our world. In future maybe we will alter human DNA so we are the size of dwarfs, so we need less food. Well I think dwarfs are 'hot'.
10. He makes claims that 'we are desalinating salt water - its obvious we have gone too far'. Nonsense, we didn't need to establish a desalination plant, we simply needed to charge people for water so they don't leave running taps. We could divert water into Sydney storages, or we could recycle, or we could recover water from the energy we use, and of course we can desalinate, and there is no harm in that.

Dick Smith argues that 'our system is addicted to growth'. Its not addicted, it just serves politicians who want to control us. Interestingly he adopted this campaign after talking to his daughter. He is trying to educate the world by offering $1mil to the best response from an under 30yo. Why? Does he value childish ignorance or wistful idealism more?
He calls himself a capitalist...no way...he's a liberal. How does a capitalist influence? He can't buy votes. He has to manipulate policy with coercion to do that.

Bob Carr has also jumped onto this issue. His arguments are even less compelling. He argues that we are not as 'agriculturally endowed' as the well-watered USA. Actually that is not true if you reflect on our wasteful water utilisation, the fact that we are a 'food basket for the world', that we waste water growing grain for cattle, when we are diet-wise better off eating more carbs. All the arid interior needs is water, and we can even induce that by using artificial structures to create rain. Consider the possibility of inducing orographic rain effects in Western Australia, not with mountains but artificial structures made from high-strength alloy steels. Australia has vast deposits of titanium and iron ore....and its mostly in WA. Perfectly located for 'mountain'building'. A dream? Maybe...as I'm sure there are more than a dozen ideas which will come to mind before this is an issue. The most likely is the normal course of recycling materials, efficiency drives as costs rise, less consumerism, fewer children, resulting in population topping out in about 30 years....yes 7 billion people later...and you will not even notice them, as they will be crowded into better designed cities....maybe in just 20m2 of ergonomically designed space, eating a low-carb diet. We won't even need the topsoil blowing into the Pacific Ocean. That will be fertiliser for the sea.
Really much of this thinking is about preserving a certain way of life. Australians seem to have this 'dreamy' view that that have a great life. Yet, if this is true, why are so many Australians and NZ'ers living abroad....in crowded cities like London, Tokyo. Are these not simply the rantings of proud, collectivist individuals?
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Author
Andrew Sheldon

Monday, August 23, 2010

Coalition to win the election

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It appears that the Coalition is going to win Australia's 2010 election despite a hung parliament. The result is clearly a Coalition win because the Coalition has 71 votes, Labor has 70 (plus Greens 1), there are 3 rural independent seats, and there are still 4 seats undecided.
The three rural independents all have a coalition background, and they appear to be voting as an 'independent bloc'. We might wonder whether these three MPs are the basis for a new political party. We might wonder what the Coalition can offer these 3 MPs. More than likely it will be better telecommunication services for these 3 rural electorates. Clearly rural communities will dislike Labor's emissions trading regime, and they will also dislike the tax proposed by tax on coal and iron ore miners. So it is also good news for miners.

The three independents are:
1. Rob Oakeshott in Port Macquarie, NSW. He is a likely Conservative supporter given his pragmatism.
2. Tony Windsor, New England NSW is a former National (Conservative), so he is likely batting with that team.
3. Bob Katter, Cape York, Nth Qld is another former Conservative (National Party)

All 3 independents have said they will back the party with the best chance of forming a stable government. That is destined to be the Liberal-National Coalition, as the Gillard leadership was in question prior to the election. Windsor and Katter are likely to want concessions by the Liberals on rural services like telecommunications.

The reality is that for all these independents, there is little prospect of them forming an agreement with Gillard. They will dislike her climate change policy, and at least Katter will be against the mining tax. The other two are likely to be more pragmatic, and the Liberals can argue that even if they do not offer the 'full telco' investment of Labor, they are not killing mining investment either. It will make it harder for the government however if these voters require nationwide telco coverage. I expect they will accept a compromise rather than test the electorate on another election.

Andrew Wilkie, is likely to win his seat, and is probably supportive of Labor, but he might be split, since he might force Gillard to move away from core policies. The Liberals for the Perth seat of Hasluck, Ken Wyatt, is close to victory. Whilst newly-elected Greens member Bandt, will support Gillard.

With three seats too close to call, it will be a week before we have a result and can know the government. Under Australian constitutional convention, Ms. Gillard, the standing prime minister, cannot form a minority government until the Australian Electoral Commission has officially declared the election result. The last time an Australian government had to rely on the support of independent lawmakers to form government was in 1943.
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Author
Andrew Sheldon

Thursday, August 19, 2010

Comedy - Your voting choices

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A few thoughts about politicians for a bit of self-reflection. Its not the politicians, its the system. Do what it takes to change the system. It starts with education!

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Author
Andrew Sheldon
Resource Rent Tax
Applied Critical Thinking | www.SheldonThinks.com

A false political dichotomy - Left vs Right

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Today I received an anonymous email citing a UK newspaper article saying all types of things about Julia Gillard. First of all, I could care less about Gillard, and I certainly don't like her politics, but neither do I like Christian 'lesbian hating', religious nutters on the Conservative side, and I include Tony Abbot among them. What he did to another idiot 'Pauline Hanson' highlights the vacuous ideological foundation from which he has ascended. The Liberal Party really has reached new lows to appoint him their leader. Did they not learn anything from Bush?
Herein lies the problem....Too many of you people are uninformed Christians. I have said enough about your idiocy on my religion blog, so here I want to deal with the issues in this email, because contrary to the source being a "UK newspaper", a Google search of the contents showed that it came from idiots in Australia. I will not repeat the email, I will merely list a similar source of it online. These things can go viral, so I just want to make sure it does not with appropriate corrections & clarifications:
1. Gillard is a lesbian - News to me. Does not surprise me...but who cares! Religious nutters will not vote for her anyway, they will vote for the other collectivist candidate. Tony Abbot. If she is a lesbian, why does she hide it? Probably because she would be a target for idiots. Dishonesty is justified if its to protect a value, and not to defraud one.
2. Gillard is a socialist - former president of a student union. No kidding? That one I knew. But why is that surprising given that she works for a collectivist party like the ALP.
3. Gillard is pro-abortion - How surprisingly intelligent of her. The evidence is on her side.
4. Gillard the moderate - Ok, this is the only fair assertion, and its really not controversial. Yes, Gillard played a part in the ALP's hopeless policies, and from her you can expect more hopeless policies. Is she trying to be a moderate? Yes, if you mean pragmatic, she is to be sure. What about Abbot though? Does he tell us that he prays 3 times a day, and gets guidance from God? No.
5. Gillard is a foreign debt builder - Frankly I think it makes little difference whether one borrows in Australia or abroad, governments should not have the power to extort wealth or income from private citizens unconditionally. There is no prospect of accountability. An unconditional relationship is slavery. The constitution provides some weak 'conditionality', but such 'abstract' provisions are weak in the face of 'explicit' statutory, arbitrary provisions for government to do as it pleases.
6. Gillard liked boat people - Maybe but it might be another thing for her to sell it to the electorate given she is already allowing 300,000 immigrants into the country.
7. Emissions Trading Scheme - Yes, correct. The EMS is a tax collection scheme. Global warming is overwhelmingly a natural phenomenon, and human population and emissions will have peaked before we need to worry about an 'anthropogenic' factor.

So what does this anonymous email tell us. It tells us two things:
1. We have a F***Ked choice in a two party election, where we are given two collectivist parties - so called 'left' and 'right' wings, but these terms are poorly conceived, so I don't like to use them.
2. That the writer of this article does not have a solid intellectual grasp of political philosophy, otherwise they would see that they are part of the problem. Wrong strategy. The problem is bigger than Gillard. But everyone is so short term, concrete-bound thinking.
So you choice is clear.....you have no choice. Idiot or idiot. That is freedom under democracy. Anyway thanks for the deluded information just prior to my non-participation in the election.
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Author
Andrew Sheldon

Wednesday, August 18, 2010

Privacy - need we worry?

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The CEO of Google has come out stating that we ought to give more thought to the data we place on the internet. This might on the face of it appear a surprising statement from a Google CEO, given that they are in the business of online information provision. I take it from these statements that the company is concerned with its vulnerability in the data security stakes, given the following issues:
1. Security issues at Facebook
2. Public liability of BP in the Gulf of Mexico

Government is increasingly going after governments for failures to protect people, the environment from all those nasty externalities. Google wants to I guess throw some responsibility back towards the user.

The reality is that people do post a lot of material on the internet, but far from causing the 'loss of jobs' which is the concern, might it actually change the way we view people. Might we actually come to realise that we all have skeletons in the closet, and the best way to learn about people is not to make snap judgements, but rather to learn something about their fundamental character values, their suitability for the job, etc. Perhaps far from simply shifting the burden to the discloser, a greater burden might fall upon the reader of the data to actually analyse the data rather than making snap ill-informed judgements. We will watch social trends with interest.
Cynical observers might disagree, but in some respects we live in a far more reflective society than just a decade ago. Perhaps that is partly because there is more information, but also because there is more reflection, whether its an Oprah or Dr Phil exclusive, or a reality TV show like CSI. TV characters have more depth these days, though it would be a stretch to say that are any more realistic depictions of how people really are, or any improvement in terms of insights as to why they are the way they are. More empathy? No yet, but maybe its coming.
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Author
Andrew Sheldon

An election statement from Fortescue Metals

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Here is a statement made by Fortescue Metals in the last week of the election. Since I support their efforts I will post the message here:
As the Federal Election draws closer, Australians remain deeply concerned about the impact the Mark 2 Super Tax (Minerals Resources Rent Tax – MRRT) will have on the Australian economy and our communities.
Unfortunately for all except the big three multinational miners, the construction of the Mark 2 Super Tax has been shrouded in secrecy.
The Mark 2 Super Tax is as equally unfair as the Mark 1 version, and the ability to model its affects, and in turn finance projects, remains debilitated by the lack of detail and transparency of the new arrangements. We estimate that the marginal rate of tax has fallen from around 57% (Mark 1 Super Tax – RSPT) to around 50% (Mark 2 Super Tax - MRRT) but this remains substantially above the 40% rate that is the next highest rate to be found anywhere else in the world, so will render the Australian mining industry uncompetitive in the global industry.
The changes in the new tax are biased against infrastructure providers like Fortescue, which provides third party access to other smaller miners, so imposes an additional handicap on companies’ ability to fund and construct their own infrastructure. We’ll become a nation that can’t survive without the Government teat. Also, Mark 2’s debt finance benchmark advantages large, multinational, companies with large balance sheets, as opposed to Australian mine development companies like Fortescue that rely on commercial finance to fund project and infrastructure development.
Government and the three multi-national, multi-commodity resource companies hatched a secret agreement that benefited them only. Those companies, and their associated industry representative bodies, were forced to sign secrecy agreements that prohibited them from discussing the Mark 2 Super Tax until after the election. Commentary with the media was banned. What could be so bad in that agreement with our Government that the Australian people are not allowed to judge it - until after they cast their votes?
I urge you to contact the editors of local, state and national newspapers in your state immediately to ensure our voices are heard during this important week for our nation. The following is an example of a letter you could send to your relevant media organisation.
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Author
Andrew Sheldon

ConvinceMe.Net - Anyone up for a debate?