Brexit: Thatcherism 2.0

Andrew Marr made an interesting speech at a business conference in Dublin the other day. His argument: the prevailing liberal view of the philosophy underpinning enthusiasm for Brexit as imperial nostalgia is wrong. There is, he maintained, an “underlying logic” to wanting to leave the EU in order to pursue an alternative economic model – something Brexiteers referred to as Thatcherism 2.0 – which is under-appreciated in the liberal media and in Ireland. And it was not much discussed in public because of the (accurate) perception that it would “frighten the horses”.

Marr’s summary of this neo-Thatcherite ideology didn’t seem particularly original: it’s the Singapore-on-Thames fantasy — deep cuts to corporation tax and a wholesale jettisoning of regulations to attract inward investment. etc. etc. “You slash corporation tax right down, way below where it is right now, you slash regulations, you tear up your environmental and worker protections and you go for broke, you go for bust.” This is a transcript of Liam Fox talking in his sleep. It may be what some of these crazies believe, but a rational plan for the future it ain’t. And that’s apart altogether from the fact that Singapore is a tiny statelet, not a nation of 60m+ people.

Still, there is one thing that Marr’s conjecture might explain: the volume of dark overseas money that flooded in to fund the Leave campaign. If there’s one thing that the Mercers, the Koch brothers and others are unlikely to finance it’s imperial delusions.

Quote of the day

“When it’s impossible to distinguish facts from fraud, actual facts lose their power. Dissidents can end up putting their lives on the line to post a picture documenting wrongdoing only to be faced with an endless stream of deliberately misleading claims: that the picture was taken 10 years ago, that it’s from somewhere else, that it’s been doctored.

As we shift from an era when realistic fakes were expensive and hard to create to one where they’re cheap and easy, we will inevitably adjust our norms. In the past, it often made sense to believe something until it was debunked; in the future, for certain information or claims, it will start making sense to assume they are fake. Unless they are verified.”

Zeynep Tufecki

Why is Absher available on the UK App store?

NPR headline: “Apple, Google Criticized For Carrying App That Lets Saudi Men Track Their Wives”.

An app that allows Saudi men to track the whereabouts of their wives and daughters is available in the Apple and Google app stores in Saudi Arabia.

But the U.S. tech giants are getting blowback from human rights activists and lawmakers for carrying the app.

The app, called Absher, was created by the National Information Center, which according to a Saudi government website is a project of the Saudi Ministry of Interior.

The description of the app in both stores says that with Absher, “you can safely browse your profile or your family members, or [laborers] working for you, and perform a wide range of eServices online.”

In Saudi Arabia, women’s lives are highly restricted. For example, according to Human Rights Watch, women have always needed permission from a male guardian, usually a father or husband, to leave the country. In the past, paper forms were required prior to travel.

So why is this noxious app freely available on the Apple App store in the UK? (This morning I checked to see if it was — and it is.)

What Trump really wants

Nice NYT column by Paul Krugman, largely about why autocrats can deal with Trump but countries with an old-fashioned attachment to the rule of law cannot:

Trade conflict is essentially Trump’s personal vendetta — one that he is able to pursue because U.S. international trade law gives the president enormous discretion to impose tariffs on a variety of grounds. Predicting trade policy is therefore about figuring out what’s going on in one man’s mind.

Now, there are real reasons for the U.S. to be angry at China, and demand policy changes. Above all, China notoriously violates the spirit of international trade rules, de facto restricting foreign companies’ access to its market unless they hand over valuable technology. So you could make a case for U.S. pressure on China — coordinated with other advanced economies! — to stop that practice.

But there has been little evidence that Trump is interested in dealing with the real China problem. I was at a trade policy conference over the weekend where experts were asked what Trump really wants; the most popular answer was “tweetable deliveries.”

Lovely phrase that: tweetable deliveries.

Facebook: the regulatory noose tightens

This is a big day. The DCMS Select Committee has published its scarifying report into Facebook’s sociopathic exploitation of its users’ data and its cavalier attitude towards both legislators and the law. As I write, it is reportedly negotiating with the Federal Trade Commission (FTC) — the US regulator — on the multi-billion-dollar fine the agency is likely to levy on the company for breaking its 2011 Consent Decree.

Couldn’t happen to nastier people.

In the meantime, for those who don’t have the time to read the 110-page DCMS report, Techcrunch has a rather impressive and helpful summary — provided you don’t mind the rather oppressive GDPR spiel that accompanies it.

Trump’s ‘shrunken presidency’

Tonight, apparently, Trump will finally get to make his State of the Union speech. John Cassidy has some interesting reflections on the shrunken state of his presidency:

The Harvard political scientist Richard Neustadt famously remarked that the Oval Office “is no place for amateurs.” This is because, as Neustadt pointed out in his book “Presidential Power and the Modern Presidents,” which was originally published in 1960, the Presidency is, structurally, a weak office. Its occupant has to deal with Congress and the courts as co-equal branches of government. Even inside the sprawling executive branch, it isn’t easy to direct Cabinet secretaries, agency heads, and career public officials, many of whom have their own expertise and agendas. Given this challenging environment, Neustadt concluded, “Presidential power is the power to persuade.” If a President loses the ability to bring other players along with him, he is lost.

More than a year ago, in a piece published at Vox, Matthew Glassman, a senior fellow at Georgetown University’s Government Affairs Institute, argued that Donald Trump was “a weak president” in the Neustadt sense of the term. Glassman pointed to Trump’s low approval ratings, early setbacks that the Administration had suffered, such as court rulings against his travel ban, and the failure to repeal Obamacare. The White House’s victories, such as the passage of a tax-reform bill, “usually involve Trump having adopted the position of the congressional Republicans, not the other way around,” Glassman noted.

Slowbalisation

From this week’s Economist:

The golden age of globalisation, in 1990-2010, was something to behold. Commerce soared as the cost of shifting goods in ships and planes fell, phone calls got cheaper, tariffs were cut and finance liberalised. Business went gangbusters, as firms set up around the world, investors roamed and consumers shopped in supermarkets with enough choice to impress Phileas Fogg.

Globalisation has slowed from light speed to a snail’s pace in the past decade for several reasons. The cost of moving goods has stopped falling. Multinational firms have found that global sprawl burns money and that local rivals often eat them alive. Activity is shifting towards services, which are harder to sell across borders: scissors can be exported in 20ft-containers, but hair stylists cannot. And Chinese manufacturing has become more self-reliant, so needs to import fewer parts.

This is the fragile backdrop to Mr Trump’s trade war. Tariffs tend to get the most attention. If America ratchets up duties on China in March, as threatened, the average tariff rate on American imports will rise to 3.4%, its highest for 40 years. (Most firms plan to pass the cost on to customers.) Less glaring, but just as pernicious, is that rules of commerce are being rewritten around the world. The principle that investors and firms should be treated equally regardless of their nationality is being ditched.

Welcome to the world after Brexit! And note the kicker at the end of the Economist piece:

Globalisation made the world a better place for almost everyone. But too little was done to mitigate its costs. The integrated world’s neglected problems have now grown in the eyes of the public to the point where the benefits of the global order are easily forgotten. Yet the solution on offer is not really a fix at all. Slowbalisation will be meaner and less stable than its predecessor. In the end it will only feed the discontent.

The truth about the Brexit endgame

Very perceptive commentary by Rafael Behr about the magical thinking embodied in yesterday’s voting in the House of Commons:

There are two possible reasons for pursuing that strategy. One is stupidity: failure to grasp what the negotiations so far have actually been about and how May’s deal was their logical outcome. The second is cynical vandalism: knowing that the plan will fail and hoping, when it does, to pin blame for a chaotic no-deal Brexit on Brussels intransigence. In truth it would be the fruition of Eurosceptic zealotry.

It is sad to see self-styled Tory “moderates” taken in by such a con and alarming to hear May indulge it in the Commons as a “serious proposal”. Her next move is to Brussels, in a quest for something that two years of negotiation have already failed to uncover. But it seems the way to unite Tories these days is to expunge the period 2017 to 2018 from memory. May still acts as if Brexit is something that must be settled to the satisfaction of the Conservative party first, and only then shared with the rest of Europe. The British public is at the very back of the queue.

Such obtuseness infuriates continental leaders more than the intent to quit their club…

And so it should. They thought that Theresa May was some kind of pragmatist. What they didn’t see was that when she took the referendum result as her personal mission

she also anointed herself with sacred oils of Brexiteer mythology. Her inscrutable demeanour and robotic speeches conceal a fervour that would be instantly identifiable as demagogy in a more expressive politician. At first, the prime minister’s rigid mask tricked Europeans into thinking she was a reasonable and capable person. It had a similar effect on the domestic audience. May’s bland style flattered a collective belief in the innate moderation of our politics. Her parochial mediocrity has nurtured the complacent assumption that the worst cannot happen here, that we are, at heart, a pragmatic nation not given to fanatical lurches. MPs imagine parliament as a political equivalent to the Greenwich meridian – the zero line from which other countries’ deviations are measured. We are slow to notice when the whole enterprise drifts wildly off course.

So, when you boil it down to its core, the strategy is — as Behr says — to have a chaotic no-deal exit for which the British can blame the EU.

Surprise, surprise

From Recode:

We seem to have accepted that the robots will someday take our jobs — but it’s the men, for once, who will be getting the short end of the economic stick. Automation and artificial intelligence will affect Americans unevenly, according to data from McKinsey and the 2016 US Census. Meanwhile, many executives have been wringing their hands in public over the negative consequences that AI and automation could have for workers. But many of the suits at the World Economic Forum’s annual meeting in Davos privately admit to racing to automate their workforces to stay ahead of the competition, with little regard for the impact on workers.

Usual story: corporations are full of nice, decent human beings (well, some companies are anyway). But the organisations for which they work are still sociopathic artificial intelligences. There are exceptions, but they’re rare. That’s why, among other things, we have to rethink the nature of the corporation — as thinkers like John Kay and Colin Meyer have been arguing.

Tony Blair echoes Edmund Burke

Speaking at the launch of the Edelman Trust barometer this morning:

As the Press Association reports, Blair recalled an encounter with a member of the public in which he tried to explain details of the working of the EU’s single market and customs union which made him oppose Brexit, only to receive the reply: “You’re just trying to say to me that you know far more about this than I do.” Blair went on:

I was prime minister for 10 years.

I want to say to people, I follow Newcastle United, if a game is on the TV I will watch it, but I know that Rafa Benitez has forgotten more about football in one day than I will ever know.

It’s not because he is smarter than me – though he probably is smarter than me – it’s because that’s what he spends his life doing.

You send people to parliament and that’s their day job. It’s not your day job. So if they study the detail and say this is a bad idea, they are not squabbling children, they are doing what you sent them to parliament to do.

If you explain that to people they regard this as the elite fighting back. It’s absurd. We have got to have politicians who stand up and say ‘No, that is not a sensible way of looking at this’.

Yep. In a way, it’s Edmund Burke’s Letter to the Electors of Bristol all over again.