Blog Archives

Social Progress and the ‘Invisible Hand’: It’s Not All About the Economy Stupid

There seems to be a constant battle between those who think that all social progress comes from good economic management and those that think the government needs to be responsible for most if not all social progress. The truth is that the solution (and solution is probably the wrong word) lies somewhere in between a completely free market/economic response to social progress and a government response which can either be to get out of the way or to legislate for social improvements.

In all likelihood on the ‘free market/it’s all about the economy in social progress and government intervention is the best way to ensure social progress’ pendulum the best answer would likely be very close toward the ‘let the economy sort out social disadvantage’ end of the pendulum. Note that it’s only the best answer. Not one single political ideology offers a solution that will completely solve pretty much every single problem and that is both a political and electoral reality.

Now back to that pendulum. While it is self-evidently true that much social progress comes from a strong economy there is also a need for limited government intervention, be it legislating in an attempt to benefit society or stepping away from legislating in areas that might act to prevent the advancement of the people, most importantly the individual regardless of social group.

So what work does the economy do as regards social progress? Well, a strong economy provides many with the opportunity to be employed in a meaningful job. A strong economy means that more jobs are created and more people will have the opportunity to live at the very least a modest and comfortable lifestyle in what is becoming an increasingly expensive world.

More jobs too means more tax being collected by the government without having to raise taxes for any one group and that means for those who do happen to fall through the cracks, and there will always be people that do regardless of effort and exertion and economic circumstances in the nation and the world, it means that there will be assistance available for them for as long as they need it.

So having a job or a business and earning an income is certainly a big part of social progress but there are things which cannot be provided for by a strong economy or the free market.

A free market does not, will not and cannot stop forms of discrimination, particularly relating to participation in the economy, though in some small way the more people able to be given jobs then it flows that less discrimination may well exist because some ordinarily discriminated against may well be invited into employment opportunities.

Ordinarily though, discrimination will exist and will continue to exist and should at the very least be responded to by educating people about diversity and difference.

Anti-discrimination legislation is also a necessary evil though in many cases it is nigh on the impossible to determine when real discrimination, particularly in employment exists, even though the statistics on minorities show in a broad sense that it is clearly an issue. But again this kind of government intervention needs to be coupled with educating people of the capabilities that people from all works of life possess.

One thing that a free market can never bring, not at all, though I’m sure we’d like to see it happen is the very topical issue of marriage equality. Try as it may, the ‘invisible hand’ just cannot bring about people being able to take the tangible hand of their same-sex partner in marriage.

Same-sex marriage is one area in which the government can either intervene to legislate for marriage equality or completely bugger off from the whole process. Reality says that government, in an eventual move would vastly prefer to legislate for same-sex matrimony rather than to say “hey we really have no place here” and that is okay as long as it is inevitable and you’d have to say it is.

For the most part many of us would love for the government to stay out of our lives and the biggest forms of social progress can be provided for with little or no government intervention, but there will always be a place for government particularly when that means correcting ills that they have fostered or fomented, but that power cannot be unlimited.

Question Time Ahead of Time

We’re just a day away from the end of another political week in Canberra and it has been a very predictable one as so many have been for as long as can be remembered. It’s also been a fairly tense week with the political tension building as the carbon price nears commencement and both sides dig in for what has been and will be the biggest political battlefield regardless of each sides respective reasons for fighting it. The week has even seen breakouts again of visible vitriol above and beyond the normal cut and thrust of politics and that is a shame.

It’s certain that the carbon tax will continue to be the main game until it is introduced on July the 1st and will continue to be at the top of the political agenda and discourse right up until the 2013 election in one form or another.

The Coalition as they have this week will continue to focus on reports from different organisations which point to differing cost burdens which happen to be above and beyond the Treasury modelling of the carbon price. Their questions will likely again cite reports from these different groups which include peak bodies and lobby groups as well as councils.

As it has since the announcement last Friday, the planned marine reserves announced by Environment Minister Tony Burke is also likely to draw at least a little of the focus of the Opposition, with the member for Dawson in Queensland having asked questions this week on the matter, citing a long list of groups unhappy with the moves.

Immigration matters around Cocos Island after recent arrivals as well as the case of ‘Captain Emad’ have crept into the parliamentary debate again over the first three days of this parliamentary sitting week and could again in some small part during Questions Without Notice.

For the government too it is almost all about the carbon tax, but for them of course it’s all about the compensation payments to low and middle income earners which are to make up for the expected price rise impacts around the carbon tax and the government are fighting a losing battle just trying to get that message out despite the specific focus during Question Time recently.

The ALP Government have also been focusing this week on the Schoolkids Bonus handout which removes the need to keep receipts for tax time and instead provides eligible families with a lump sum payment meant to help with the costs of education. This program has just commenced rollout so likely will result in some questions during the hour and a bit of questions.

The economy in a broad sense, both domestic and comparatively against other nation worldwide has also been a broad theme of Question Time for a while now and that broad theme will continue in an overarching narrative.

As it’s the end of the parliamentary week our politicians will either be too tired to cause much of a fuss or wanting to make waves at the end of a parliamentary week by being the loudest they possibly can, my money’s on the latter and that would be pretty smart money.

Vote for Me in the Best Australian Blogs 2012 Competition- Yes I’m a Hypocrite, Kinda…

Those who follow me will know from recent comments that I think, for the most part, that writing competitions are the domain of the left, with the majority of writers falling that side of the political centre.

You would also note that I said that I didn’t go into writing for the acknowledgement that winning a literary prize brings and that remains true in a way. I write to express a point of view and would be happy, winner of a gong or not, to  continue meandering down the path that I have set for myself in the writing game.

I acknowledge that by putting myself out there as a nominee in the Best Australian Blogs 2012 Competion, that I am in some way the hypocrite I have always hoped I never would be.

I first found out about the Best Australian Blogs 2012 Competition when a follower of mine on Twitter suggested that I and another writer of the same political hue enter the competition just a little while back. At first I thought twice about it, given my recent thoughts on such matters, but then I thought, “why not?”, put yourself out there as an alternative to the usual writers who hail from the opposite side of the political spectrum.

I fully expect not to win the award, my writing has a way to go and my ideological predisposition is a stumbling block, but if you think that I should win the Best Australian Blogs 2012 People’s Choice Award, then you are more than welcome to vote for me if you enjoy reading what I have to say as an alternative to the majority of prose out there.

To vote, go to https://www.surveymonkey.com/s/BAB2012 and find my blog, AussiePollies on the first page with the URL  www.aussiepollies.com next to it.

Costello Gets a Gong That Will Make Him Feel at Home Even Though it’s in Queensland

In politics, not many come any bigger than Peter Costello, long-service Treasurer in the Howard Government and despite their personal relationship, one of his strongest political lieutenants. His political stature above all else is what he is known for. He and Howard were confronted with a budget in deficit in 1996 and $96 billion in government debt accrued by the Labor Government before them. He did that and did that well delivering surplus after surplus in the decade-plus of the Howard Government. He was a big-hitter with a big ego that was matched by big performances in his portfolio, in the parliament with his stinging attacks on the long-term Opposition, and also outside of it against the same team, his humour often dry and biting when in full flight.

But yes, aside from his personality it was his performance as Treasurer that won him and the government he represented the most support from the Australian people. Just recently against advice he was knocked back as the next chairperson of the Future Fund that he created in the later years of the Howard-Costello partnership to fund future costs of the public sector superannuation.

Costello missed that gong just a short period of time ago and with an incoming LNP Government under Premier Campbell Newman and Treasurer Tim Nicholls in Queensland, which was swept to power in such a dramatic fashion on Saturday night, has found himself in a position to do what he does best. The former Australian Treasurer will chair a Commission of Audit to recommend a path or paths forward for a new LNP Government looking to take the Queensland economy forward after 20 of the last 22 years under the Australian Labor Party.

At the end of the year it is projected that Queensland will find itself in $62 billion dollars of debt as reported by the new Queensland Treasurer, Tim Nicholls in his statement today while announcing the appointment of Mr Costello as commission chair. Looking at the state of the books and how to reduce this  debt so LNP promises can be delivered will be part of the task ahead for the audit committee where he will be joined by Dr Doug McTaggart of QIC and Professor Sandra Harding, former Under Treasurer of Queensland and now Vice Chancellor of James Cook University.

The former economic manager in the Howard Government will also, through charting possible ways of cutting down debt and inefficiencies in the government spending, hopefully plot a course back to a AAA credit rating with Queensland, despite its mineral resources and the wealth they create, being the only mainland state without the full credit rating.

The cuts look like being deep and hard, with some programs already being dismantled by the newly sworn Premier Newman and his Deputy Premier Jeff Seeney and Treasurer Tim Nicholls. Tomorrow the other ministers responsible for government departments will be named and will get to work after being sworn in by the Queensland Governor early next week, doing the same to already identified programs in their respective gambits of responsibility.

One thing is for certain, Mr Costello will be at home examining the Queensland economy and government spending and the budget priorities of the current and past governments and just where they fit in terms of efficiency and priority and helping to navigate Queensland to a better fiscal position along with the rest of his team and with the LNP Government who will make the final important decisions after being provided with the learned advice.

Society Has Factions Too, But Their Fluidity and the Need to Appeal to Many Leads to Ideological Impurity of Political Parties

We’ve all heard about the prevalence and strength of factions in politics, particularly the power that factions can hold when determining the policy of a party or even the people in it- think of the now infamous New South Wales right faction which, by virtue of its own actions has been dragged through the mud in recent years in Australian politics. It is equally true too that society is made up of factions, even if they do differ to the relatively unmoving in ideology groupings within political parties in the Australian political landscape.

These “political factions” that exist outside of the political sphere, in broader society, unlike their intra party equivalent are not stagnant and people within society often straddle different factional groupings or move in and out of these different and border-less sects depending on individual policy leanings where a person can support the party overall, but may strongly disagree with one or some of their particular policies.

This phenomenon too, does occur in political parties, but of course democracy rules and when policies are voted on by the party and carried by a majority, those in the minority as is fair will lose out.

The difference between these like-minded sections in political parties and in broader society is that these numbers in the latter are open to decrease over particular issues and increase over others whereas within these men and women of similar mind in our political system tend to stick together on many

As a result of societal faction instability and fluidity, ideological purity of political parties in the Australian political environment is non-existent. While a party may not completely stray away from their respective political beliefs, there will often be occasions where political reality deems it necessary to nudge or even overstep the boundaries of their political faith.

Political parties have to appeal to all the different factions that exist within the broader electorate, which political parties have to represent in order to hold a majority in the parliament. It is an electoral reality that parties at some stage in the electoral cycle will have to resort to populism in order to appeal to the vastly different stakeholders that exist in any municipality, state or c0untry.

The trick for political parties is to strive for relative ideological cleanliness, to not give in too much to populism and not go too far down the path of walking away from the ideology their respective party was created to pursue and to uphold to the perceived benefit of the people. For if our parties were to venture too far from their political and ideological origins, then that can be no good for the party and would lead to the breaking away of the “true believers”, those who firmly believe in the ideology of the party and would get disenfranchised were it to forget where its roots were forged.

Either way, both society and politics has factions, albeit of a different nature and strength and if the latter ignores the former, then it does so at the downfall of its wider representation, the political party. It’s a delicate balancing act for political parties to respond to this kind of movement within society.