I would have also liked to have seen more on the excesses of inequality as an erosion of economic democracy but this essay is worth the several pages of reading. http://www.economist.com/news/essays/21596796-democracy-was-most-successful-political-idea-20th-century-why-has-it-run-trouble-and-what-can-be-do?frsc=dg%7Ca&fsrc=scn%2Ftw_app_ipad
The Global Financial Crisis and its aftermath has breathed new life into long moribund extremist parties on the fringes of many European nations. For example, in Greece the Golden Dawn party gained 21 seats in the 300 seat Parliament during the May 2012 election. According to the Greek Political Review :
“One of the two pillars of the contemporary party system (Pasok – centre left)) has imploded while the other (New Democracy centre-right) is struggling to cope with pressures from above and below.”
“A party of the radical left (Syriza) got its highest share in history and came close to winning an election. Extremism is here to stay with the neo-Nazi Golden Dawn maintaining its share of the vote despite being implicated in highly visible incidents of violence. And while Greece is struggling to balance its commitments to its lenders with soaring unemployment, crime and social malaise, political leaders are facing the need for a shift to a new political culture of coalition governments and power-sharing.”
In Germany a well-organised NPD is gathering support on a platform of withdraw from the EU, replacement of the Euro with the Deutschmark, and repatriation of foreign criminals. The NPD party gained 7% of votes.
In Austria the nationalist Freedom Party in 1994 won 33 percent of the vote in Carinthia region and 22 percent in Vienna, showing that it had become a force capable of reversing the old pattern of Austrian politics. In the 1994 Austrian election, the FPÖ won 22 percent of the vote. With the death, through a traffic accident, of its leader (Hader) in the early 2000s the Freedom Party lost its momentum. But many other smaller neo Nazi groups continue to operate either legally or underground.
The failure of social democratic (or conservative) parties to respond to the fears and concerns of lower-middle class and working class communities – especially in provincial and rural areas leaves the door open to far right groups to develop. One of the lessons of history is that in the midst of an economic crisis if the major parties lose the confidence of large segments of the population then extremist groups tend to emerge.
Recent figures for short term GDP growth caused one analyst to tag NZ as a “rock star” economy – at least compared to the lower growth statistics chalked up by other OECD economies. However, such statistics are simply a snapshot in time. The figures of 4% growth will look good in 2014. But with no changes in policies what will the economy (and the environment and society) look like in 2020? The recent growth figures do not delve into the fundamental character of the NZ economy. For example if the figures related to one–off events, such as the Christchurch earthquake rebuild and the record high dairy prices, were backed out of the results our economy would more likely resemble a bloated, aging “has been” heavily reliant on old crowd favourites like dairy exports and showing only the occasional glimpse of innovation around hi-tech manufacturing or creative content.
That’s not to say that some of the current policy-settings have not been helpful. The commitment to balancing the government’s books and paying down government debt is helpful. Some of the welfare and labour market reforms have arguably been helpful – although it is important to get union buy-in if labour market reforms are to stick. Even the cheerleaders among the financial analyst community point out the risks with New Zealand’s worrying high level of overseas (public + private) debt as a percentage of GDP and our seemingly permanent Current Account deficit. This is not a healthy condition for New Zealand’s long term economic development.
If the NZ economy is to build a credible “rock star” brand then it must move on from being a one hit wonder and diversify both its product base and its export markets.
Our reliance on agricultural products makes us vulnerable to global commodity price changes and to external threats such as disruption of trade routes and foot and mouth disease. Durable change to the balance of our economy will take substantial political will and a commitment to a coherent longer term strategic plan. But we can’t go on as we are. Short term responses such as selling public assets is not the pathway to sustainable prosperity or rewarding employment opportunities. Neither, by the way, is renationalisation of businesses operating in genuinely competitive markets.
Mining and oil exploration are at best short term “growth jump starts” rather than part of a long term plan for economic (or environmental) success. In the short term they might help buy us some time and to diversify export earnings. However, if such projects proceed then the government should use it’s powers to ensure that a fair share of the benefits remain in NZ, that local workers are trained and employed, are paid fairly and have safe working conditions before the projects begin. Such energy exploration projects are not the solution in themselves – but they could contribute export earnings while we move towards other hi-value product lines. A levied contribution from successful energy projects to a Kiwi Development Fund could, for example, provide longer term local capital for kiwi-owned, more sustainable, employment-generating business initiatives.
Small and innovative countries can prosper in the global marketplace but they need to take stock of their strengths today and build innovation and resilience if they are to compete successfully in the global economy. We cannot rely on a 1950s economic base in the 21st century. Let’s not hinder agricultural export growth – I wish them every success. But also let’s move beyond a rather myopic view that there is nothing else – and never will be. Like an aging rock star relying on past successes and short term thinking – we will go into a long slow decline if we do that.
Israel and Denmark can teach us some useful lessons about how small countries succeed in the 21st century. We also need to give much greater consideration to the development of new NZ-based industries around hi-tech: hi-value manufacturing focussed on export markets; IT software development head-quartered, and at least partially-owned here; high-quality NZ education training services based here but sold at a premium in offshore markets; and of course hi-value NZ creative content. These may involve strategic partnerships with offshore companies; they may involve some tax breaks and Research and Development support (which should be transparent) but if it contributes towards a durably prosperous, fair and more balanced economy then so be it. We should at least try innovative ideas and evaluate them after a sufficient time. If some of them succeed then perhaps we can finally begin to pay down some of our high overseas debt and chalk up our first Current Account surplus in 40 years.
Thursday, Waitangi Day, seems set to be marked by the usual round of protests and political distractions. Political commentator, Colin James, has just published a very thoughtful article on New Zealand as an advanced small country and the development of national self-identity – of which a flag is a symbol. http://www.colinjames.co.nz/national-day-for-a-leading-small-advanced-country/
We do need to change the flag. Not because of some thinly veiled Anglophobia – but because we owe it to ourselves as a young, increasingly vibrant and confident small country to use our voice independently on the global stage. A flag symbolises such independence of thinking. We no longer need to be an echo of a larger power – whether that be Britain, the US or any of our new larger trading partners.
My personal preference is for something indigenous, something distinctly New Zealand. A koru would be a good simple image. It would also be reflective of our nation’s bi-cultural roots. As Colin James points out we have been working through our own “Truth & Reconciliation” process. That work needs to be concluded fairly. Perhaps then we can increasingly see Waitangi Day as a day of celebration of real independence – rather than as a day of protest over failures to honour the Treaty.
Gaining national consensus around a new flag won’t be done in a short 6 month timeframe – but it can be done. Why not set down a two-stage, run off referendum with the first round to be run in October 2016 in conjunction with local authority elections – with the two highest polling options being run off in conjunction with the late 2017 General Election? While allowing plenty of time for discussions and campaigning it would also have the benefit of various options having two full years to be promoted and debated. Importantly it would also provide a point in time for a decision to be made.
*Acknowledgements to students Joyita Maka and Nick Wood who designed the two examples above as part of the NZ Flag competition.
Seems like a logical progression (or is that regression) to cut costs and maximise passenger numbers per flight. I guess the alternative is to pay more for more room or switch to another form of transport.
Originally posted on National Post | News:
Flying coach can be a bruising experience these days.
Rory Rowland said he was rudely rebuffed after he asked the person in front of him not to recline his seat on a red-eye flight. When he later got up to use the bathroom, and the other passenger had fallen asleep, “I hip-checked his seat like you wouldn’t believe,” Rowland, a speaker and consultant, said, then feigned innocence when the enraged passenger complained to a flight attendant.
With air travellers increasingly feeling like packed sardines, flying has become a contact sport, nowhere more than over the reclined seat.
Nelson Mandela was no saint. He participated in violence and he had his own personal failings. However, his great achievement came in helping bring about a peaceful transition to majority rule. I remember briefly visiting South Africa in the 1970s. I remember the whites only signs outside public restrooms and the poverty in the urban housing areas. It was an offensive society where privilege was based on skin colour. Church leaders – black and white, liberal white political leaders and other progressive leaders all made their contribution to change. Mandela was in prison then but he emerged to become a powerful symbol of national unity in a divided country. Internationally he won respect as someone who set aside the right to be bitter and filled with hate. Instead he pointed towards peace and reconciliation. For that he deserves the many accolades he has received worldwide since his passing. ” Long Walk To Freedom” is a celebration of his life.