Tag Archives: socialism

Subsidized holidays for Europeans

Okay, the headline is pure sensationalism and the anti-EU slant is blatant since this is an article from the Murdoch-owned The Times, but even after filtering out the propaganda, I think it’s still a pretty dire example of EU socialism. It’s a scheme to subsidize holiday travel for under-privileged citizens of the EU. From the article:

The scheme, which could cost hundreds of millions of pounds a year, is intended to promote a sense of pride in European culture, bridge the north-south divide in the continent and prop up resorts in their off-season.

Tajani, who unveiled his plan last week at a ministerial conference in Madrid, believes the days when holidays were a luxury have gone. “Travelling for tourism today is a right. The way we spend our holidays is a formidable indicator of our quality of life,” he said.

Now, this might not sound so bad if you think of it as just another form of economic stimulus though you’d think that they’d come up with better ideas to stimulate the economy than funding subsidies. How about throwing more money into education and job retraining programs instead? But what is really annoying is that the EU still wants to increase its expenses when the budgets of many of its member countries aren’t in such hot shape. Greece recently had one of its worst bond sales ever and there’s now a real chance that it could get ejected from the Euro.

The talk of traveling for tourism being a right also makes it a good case for making a distinction between positive and negative rights. I don’t really want to go into this debate again but it’s just one more example of how adding more and more “rights” just dilutes the really fundamental ones that actually deserve the moniker.

Idiotic economics

A couple of examples of dodgy economics thinking in the effort of protect jobs via Marginal Revolution:

In Allentown, Pennsylvania in the US, the local Service Employees International Union (SEIU) made complaining noises about the free work done by a teenager in pursuit of an Eagle Scout badge. The teen, Kevin Anderson, worked for over 200 hours to clear a path in a local park after noticing that there were missing connections. The SEIU was sore however as the city had laid off union members due to the recession and had demanded that no volunteers be allowed to do any work for the city. They particularly insisted that no one except union members may pick up a hoe or shovel, plant a flower or clear a walking path.

Since the issue blew up in their faces, they’d since been forced to concede that they won’t take any official action but it still makes for a rather ridiculous stance to take. It’s a classic textbook example of the lump of labour fallacy.

Meanwhile in Italy, a bank trying to persuade its workers to retire early struck a novel deal with its unionized employees. If they accept the bank’s offer and retire, they will get to choose from either one of two benefits: the traditional one-time payoff or the bank’s promise that their jobs will be given to their children. If they choose the latter, the bank still reserves the right to interview the relatives put forward by the retirees and to verify their qualifications, but ultimately it amounts to a hereditary jobs programme. Unsurprisingly, this has drawn a great deal of criticism, even from the national union bodies.

According to the article, as odd as it seems, this practice isn’t exactly rare even in modern day Italy. It cites the example of the hereditary nature of the post of  painters allowed sketch tourists outside the Uffizi gallery in Florence, which as the article notes, is doubly ridiculous when you realize that a talent for painting isn’t exactly heritable.

Counterproductive socialist demands by JERIT

By way of Jed Yoong’s blog, I’ve learned of the Bicycle Campaign by Jerit, short for the Malay name of the group, Jaringan Rakyat Tertindas. The campaign which starts today involves cyclists setting out from both Kedah and Johor towards Kuala Lumpur. They plan to stop at every town and city along the way to raise awareness of their demands. When they reach the capital on the 18th December, they plan to hand over the full list of their demands to the Prime Minister Abdullah Badawi.

Continue reading Counterproductive socialist demands by JERIT

How far should socialism go?

Check out this story about a family in the United Kingdom with three generations of people who do not work, live in a government-owned house and live only on government benefits. Apparently, between the lot of them they manage to collect benefits worth 32,000 pounds a year, which is a very tidy sum by Malaysian standards. The worst part of all of it that they’re perfectly content to live like this for the rest of their lives and more disgustingly, believe that it is their right to live like this and it is the government’s responsibility to provide for them. And, by the way, they’d like the government to give them a 10-bedroom house too, because they think their current 3-bedroom house isn’t big enough.

Granted, this story was published in the Daily Mail, which isn’t exactly a paragon of journalism, but if the facts stated in it are broadly accurate, it’s a good example of why socialism is a bad idea. I’ve railed a bit here and there over the populist electoral promises made by the DAP. All too many people, it seems, believes that the proper role of government is to distribute largesse to the people who voted it in, but where does government revenue come from if not from the people themselves?