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Posts Tagged ‘United Kingdom’

I’ve been waiting anxiously to write about Brexit, either to celebrate a “Clean Brexit” or to castigate Theresa May and the other politicians for a “Brexit in Name Only.”

Except Members of Parliament can’t make up their collective mind. They’ve been voting against good options and also voting against bad options.

So while we’re waiting for some sort of resolution, I’m going to augment our 2016 collection of Brexit-themed humor with some new items. We’ll start with this nice meme about the Queen deciding it’s time for a royal coup de grâce.

Next we have a new word for everyone’s dictionary.

One of the options being discussed in London is having another vote, which would be very consistent with the European tradition of requiring people to vote over and over again until they give the result desired by the elites.

At which point, as shown below, there are no more votes.

 

And I’ve saved the best for last, A satirist put together a clever song about the message British voters sent to the elite back in 2016 (warning: PG-13).

I especially like the references to the establishment’s hysterical doom-and-gloom predictions about what would happen (“Project Fear”) if voters opted for independence.

P.S. The supposed Conservative government in the United Kingdom is doing a terrible job of delivering Brexit, even though they should be embracing independence so they can reduce the burden of government.

P.P.S. Here’s my 2016 pre-vote column on the economic case for Brexit, and here’s my post-vote column on the hoped-for implications of the upset victory.

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My views on Brexit haven’t changed since I wrote “The Economic Case for Brexit” back in 2016.

It’s a simple issue of what route is most likely to produce prosperity for the people of the United Kingdom. And that means escaping the dirigiste grasp of the European Union.

The European Union’s governmental manifestations (most notably, an über-powerful bureaucracy called the European Commission, a largely powerless but nonetheless expensive European Parliament, and a sovereignty-eroding European Court of Justice) are – on net – a force for statism rather than liberalization. Combined with Europe’s grim demographic outlook, a decision to remain would guarantee a slow, gradual decline….Leaving the EU would be like refinancing a mortgage when interest rates decline. In the first year or two, it might be more expensive because of one-time expenses. In the long run, though, it’s a wise decision.

But if I was rewriting that column today, I would change the title to “The Economic Case for Hard Brexit.”

That’s because Prime Minister Theresa May and other opponents are pushing for a watered-down version of Brexit. Sort of Brexit in Name Only.

Indeed, Dan Hannan, a member of the European Parliament, explains in the Washington Examiner that the deal negotiated by Theresa May is the worst possible outcome.

This is the sort of deal that a country signs when it has lost a war. Under its terms, Britain will remain subject to all the costs and obligations of EU membership, but will give up its vote, its voice and its veto. …EU exporters will enjoy privileged access to the world’s fifth-largest economy. They won’t need to worry about world competition. …In the two-and-a-half years since the referendum, civil servants, politicians, financiers and politically-connected business cartels have worked assiduously to overturn to result. …Some, including George Soros and Tony Blair, sought to overturn the result outright with a new referendum. Others, more craftily, sought instead to ensure that, while something technically called Brexit may happen, nothing actually changes. Sadly, they have achieved something far worse than no change. Their deal — Theresa May’s deal — will leave Britain in a more disadvantageous place than either leaving cleanly or staying put. It keeps the burdens of EU membership but junks the advantages.

Brian Wesbury and Bob Stein, both with First Trust Advisors, point out that Hard Brexit is the best option. Trade would continue, but based on WTO rules instead of the EU’s free trade agreement.

Some analysts and investors are concerned about a “Hard Brexit,” in which the U.K. supposedly plunges into chaos as it crashes out of the EU without an agreement. …Count us skeptical. …Any harm to the U.K.’s economy would be relatively mild… It’s not like there would be no trade between the U.K. and the EU after a Hard Brexit. Trade rules would simply shift to the ones that apply between the EU and other countries under the World Trade Organization, like those that apply to EU-U.S. trade.

While WTO rules are quite good, they’re not as good as complete free trade.

But there would be pressure to move in that direction under a Hard Brexit.

…the EU would be under enormous pressure to lower tariffs and cut a new deal with the U.K. In 2017, the rest of the European Union ran a roughly $90 billion trade surplus with the U.K. So if a Hard Brexit makes it tougher for the rest of the EU to export to the U.K., every national capital in the EU would be flooded with lobbyists asking to cut a deal. Meanwhile, leaving the EU means the U.K. would have the freedom to make free trade deals with the U.S. and Canada, and any other country it wanted, without having to wait for the EU. Yes, a Hard Brexit risks some financial jobs, but the same argument was used when the U.K. decided not to join the Euro currency bloc, after which London kept its role as Europe’s financial center.

For what it’s worth, I’m more interested in whether we can get a really good trade deal between the US and UK following a Hard Brexit.

Regardless, any possible slippage on trade between the UK and EU would be more than offset by the likelihood of better policy in other areas.

…there’s another basic reason why a Hard Brexit would be in the long-term interests of the U.K….any organization powerful enough to overrule the democratic process in the U.K. regarding economic laws and regulations…is also powerful enough to impose anti-free market policies… And, over time, since men are not angels and power corrupts, any international body with such power would gravitate toward policies that aggrandize the international political elite… In fact, the EU has already issued rules that stifle competition, like setting a standard minimum Value-Added Tax rate.

Felix Hathaway from London’s Institute of Economic Affairs, debunks Project Fear in an article just published by Cayman Financial Review.

…the only option ahead with a clear path, and requiring no new legislation in parliament, is some form of ‘Hard Brexit.’ …By Hard Brexit I mean the U.K. leaving the EU on March 29 without a withdrawal agreement. Unlike most other options, this does not require the cooperation of the EU to proceed. In this scenario, the U.K. leaves both Single Market and Customs Union of the European Union at 11 p.m. on March 29, 2019, along with leaving the various political institutions of the EU and the jurisdiction of the Court of Justice of the EU. …many of the more alarming warnings of no cooperation at all can be dismissed as fanciful. A more believable ‘no deal’ Brexit might look as follows. …the Commission is doing all it can to publicly rule out this sort of “managed no deal,” yet in doing so has stated that it would unilaterally extend agreements in selected sectors, including for financial services, following a WTO exit. …one could reasonably expect further agreements, possibly at the 11th hour in March… These would likely cover citizens’ rights, road haulage, and facilitated customs checks for certain classes of goods, and would be negotiated with the member states with which the U.K. does the most business.

For what it’s worth, I think vindictive EU bureaucrats probably want to inflict some needless harm, even though it will hurt them as much – and maybe more – than it would hurt the UK.

But Felix is right that common sense – sooner or later – will lead to agreements to smooth over any bumps in the transition. Indeed, he just wrote another article demonstrating how this is already happening.

Here’s the most important part of his article, which I like because it echoes my arguments about the pressure for better policy in an independent United Kingdom.

Ultimately, the most significant factor will be domestic policy decisions by the U.K. government, particularly in areas of taxation and housing. This may be fairly unexciting news at the end of an article about Brexit, but if the U.K. is to succeed as a “free trading, buccaneering nation,” such success will depend in large part on the ability of companies to attract investment through low corporate taxes, and the ability of workers to move to where they will be most productive through further housebuilding in key areas. …perhaps as an unexpected consequence of the conversation surrounding Brexit,… A recent ComRes poll found that, although divided on almost every other aspect, a clear two thirds of voters agree that when Brexit is complete, “the U.K. should try to become the lowest tax, business-friendliest country in Europe, focused on building strong international trade links.”

And keep in mind that bureaucrats in Brussels are pushing to make the European Union more statist (which, sadly, is contrary to the continent’s historical tradition), so it’s becoming ever-more important to escape.

This is why what happens with Brexit is among my greatest hopes and fears for 2019.

Let’s close with a bit of humor.

The Cockburn column in the Spectator mocks the New York Times for its anti-Brexit fanaticism.

The Times usually supports democracy in backward and violent states, but it hates Brexit. No news is too fake for the Times to print when it comes to Brexit. This week, the Times hit new heights of fantasy. ‘Roads gridlocked with trucks. Empty supermarket shelves. An economy thrown into paralysis,’ a would-be novelist named Scott Reyburn wrote earlier this week. His story, ‘As Brexit Looms, the Art World Prepares for the Fallout’, was recycled as a front-page item on the Times’s international edition. …Britain is in a ‘crazed Brexit vortex’, adds Roger Cohen, holder of the Tom Friedman Chair in Applied Chin-Stroking. …Yes, the British government are useless. But nobody in London is stockpiling food. Nobody is fighting in the streets, as the French are every weekend. The markets factored in their Brexit uncertainty two years ago. The supermarkets and roads are as jammed as ever. …The economy is doing much better than the Eurozone, which is slipping into recession. Polls show the British, who the Times characterize as sliding down a neofascist vortex, to be more welcoming of immigration than any other European people.

Bad journalism from the New York Times is hardly a surprise.

I’m mostly sharing his column because this satirical paragraph got me laughing.

The scene that met Cockburn’s eyes upon exiting the terminal at Heathrow reminded him of his days as a foreign correspondent during the Lebanese civil war, or a night out in south London. A dog was eating the innards of a corpse, because supplies of Romanian dog food have broken down. A naked fat man had carved off a slice of his own buttock and was roasting it over a burning tyre, because imports of Bulgarian lamb are held up at Calais. A woman offered to prostitute herself for an avocado, and to sell both of her blank-eyed children for a packet of French butter. There were no black taxis either, because London’s notoriously pro-Brexit taxi drivers had all joined one nationalist militia or other. Finally, a black-market cheese dealer with a rocket launcher affixed to the back of his pickup agreed to take Cockburn into the city. They bribed their way through the checkpoints with wedges of brie. Or not.

Speaking of laughs, Hitler parody videos have become a thing.

Here’s a new Brexit-related installment in the series.

Not as clever as the first Hitler parody I shared as part of my collection of Brexit humor, but it has some funny moments.

And if you have time, this Brexit tapestry is quite amusing.

P.S. There are some anti-Brexit people who support free markets, which is rather baffling since I can’t imagine why they would want the U.K. to be part of a bureaucracy that tries to brainwash children in favor of higher taxes. Indeed I was only semi-joking when I wrote that Brussels was “the most statist place on the planet.”

P.P.S. Though there are many reasons to question whether U.K. politicians can be trusted to adopt good policy.

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I just spent several days in London, where I met with journalists and experts at think tanks to find out what’s happening with Brexit.

By way of background, I think voters in the UK made the right decision for the simple reason that the Brussels-based European Union is a slowly sinking ship based on centralization, harmonization, and bureaucratization.

Membership already involves onerous regulations, and remaining a member of the EU would mean – sooner or later – sending ever-larger amounts of money to Brussels, where it then would be used to prop up Europe’s failing welfare states.

Getting out may involve some short-term pain, but it will avert far greater pain in the future.

At least that was the theory.

The reality is that the Tory-led government in London has made a mess of the negotiations. The newly announced deal isn’t a real Brexit.

Writing for the Telegraph, Dan Hannan, a British member of the European Parliament, sums up why the deal is a joke.

The deal, as one Italian newspaper puts it, represents “a resounding victory for the EU over Her Majesty’s subjects”. Yet there was nothing inevitable about this climbdown. On the contrary, there is something extraordinary, awe-inspiring even, about the slow-witted cowardice that led British negotiators to this point. …there is something extraordinary, awe-inspiring even, about the slow-witted cowardice that led British negotiators to this point. …the disastrous acceptance of the EU’s sequencing, which meant that all British leverage, including the exaggerated financial contributions, would be tossed away before the EU even began to discuss trade. …Can you blame Eurocrats for gloating? They sensed right at the start that they were dealing with a defeated and dispirited British team, whose only objective was to come back with something – anything – that could be described as a technical fulfilment of the referendum mandate. …we have ended up with the sort of deal that a defeated nation signs under duress. Britain will be subject to all the costs and obligations of EU membership with no vote, no voice and no veto.

But it gets worse.

Unbelievably, Britain has given the EU a veto over whether it can leave these arrangements: unlike EU membership itself, we have no right to walk away. Brussels will run our trade policy, our economy, even elements of our taxation for as long as it likes. As the usually Euro-fanatical Bloomberg asked incredulously last week, “Once Britain has acceded to this, what reason is there for the EU to agree to any other kind of deal?” …Leavers never did “own” this process. From the start, it has been controlled by those who wished it wasn’t happening, and who defined success as salvaging as much as they could of the old dispensation.

That final sentence is key. Theresa May was not a Brexit supporter. She failed to play some very strong cards and she basically worked to come up with a fake Brexit.

It remains to be seen, though, whether Parliament will approve this humiliating package. The House of Commons will vote in about two weeks and here’s how the UK-based Times describes the possible outcomes if the plan gets rejected.

Scenario 1: a second Commons vote The prime minister fails to secure Commons support for her withdrawal agreement… Her response is to…then bring…it back for a second vote…, as happened in America after Congress initially rejected its government’s bank rescue plan in 2008. …Scenario 2: change of prime minister May fails to get the deal through and either resigns, or faces a confidence vote among Tory MPs which, if she lost, would also see her step down. …The question for Tory MPs would then be whether to back the deal mainly negotiated under May… Scenario 3: a second referendum A defeat for May could result in a second referendum but only if she or her successor supported it. Tory policy is to oppose a second referendum. …Scenario 4: no-deal Brexit Tory Brexiteers in the cabinet and in the party would respond to a defeat for the May proposals by pushing for a no-deal Brexit, or a “managed” no-deal. …Scenario 5: the Norway option Though there is no parliamentary majority at present for the May deal, or for no deal, there could be for a closer relationship with the EU. This could take the form of…the EEA (European Economic Area), the so-called Norway option.

For what it’s worth, I fear “Scenario 1.” Members of the Conservative Party are like American Republicans. They occasionally spout the right rhetoric, but most of them are go-along-to-get-along hacks who happily will trade their votes for a back-room favor.

So I will be disappointed but not surprised if this deal is enacted. It’s even possible it will be approved on the first vote.

My preference is for “Scenario 4” leading to something akin to “Scenario 5.”

A report from the Adam Smith Institute offers a user-friendly description of this “Norway option.”

We cannot however be subordinate to a supranational institution… Nor should we make do with a semi-detached position inside the EU that also gives us semi-detached influence while still constraining the UK in the wider world. …we have to leave and reform the relationship in a characteristically British, outward-looking and open way. …The UK therefore requires something of a “soft” exit that maintains open trade but removes Britain from political union and from all that Britain has consistently struggled with – the Common Agricultural Policy, the Common Fisheries Policy, the hollowing out and the outsourcing of democracy, the constraints on global trade deals.

And what does that look like?

…the most optimal way to exit would be to take up a position outside the EU but inside the European Economic Area (‘EEA’), which very likely means re-joining the European Free Trade Association (‘EFTA’). As Britain is already a contracting party to the EEA Agreement there would be no serious legal obstacle and it would mean no regulatory divergence or tariffs but it would mean retaining freedom of movement for EU/EEA nationals. …Such a deal would require agreement from the EU and EFTA but both would have strong reasons for allowing it…with the UK on board, EFTA would instantly become the fourth largest trade grouping in the world. …In short, EEA countries have a market-based relationship with the EU by having full single market access. They are free of the EU’s political union ambitions, and can class themselves as self-governing nation states. …The EEA position also opens up the ability to make trade agreements with third countries (something the UK cannot do now), would provide the UK with the freedom to set its own levels of VAT, and would allow the UK to step away from its joint liability of EU debts. That would be very attractive to Britain seeking a liberal soft exit.

Here’s a table showing the difference between EU membership and EEA membership.

Sounds like the outline of a acceptable deal, right?

Not so fast. The crowd in Brussels doesn’t want a good deal, even though it would be positive for the economic well-being of EU member nations. They have an ideological desire to turn the European Union into a technocratic superstate and they deeply resent the British for choosing self-government and democracy.

As such, the goal is to either maneuver the British government into a humiliating surrender (Theresa May was happy to oblige) or to force a hard Brexit, which would probably cause some short-term economic disruption.

But there was also resistance on the British end to this option since it ostensibly (but perhaps not necessarily) requires free movement of people. In other words, it might mean unchecked migration from EU/EEA nations, which arouses some nativist concerns.

Since I mentioned that a hard Brexit could lead to potential short-term economic disruption, this is a good opportunity to cite a very key section of Mark Littlewood’s recent column in the UK-based Times.

The Treasury has suggested that GDP could fall by as much as 7.7 per cent if Britain exited the EU without a deal. However, is there any reason to treat this projection any more seriously than the Treasury’s view that the Leave vote itself would lead to a recession and a reduction in GDP by between 3 per cent and 6 per cent? Almost all official predictions relating to the economic impact of the Brexit vote have been shown to be enormously over-pessimistic. Why should one assume that present forecasts are not beset by the same flaws?

Amen. The anti-Brexit crowd (the “remainers”) tried to win by arguing that a vote for Brexit would cause an economic collapse. That “Project Fear” was exposed as a joke (and was the target of some clever humor).

And the new version of Project Fear is similarly dishonest.

In a column for CapX, Julian Jessop of the Institute of Economic Affairs has additional details.

The public is being bombarded with warnings of potentially devastating impacts on the economy, their security and their welfare if the UK becomes a “third country” at 11pm on 29th March 2019, without the Withdrawal Agreement and framework for a future relationship anticipated in Article 50. …the daftest headline…is that a “no-deal” Brexit means that the UK would run out of food by August 2019 (the 7th, to be precise). This relies on the bizarre assumption that the UK would no longer be able to import food, not just from the EU but from anywhere in the world, and that we would continue to export food even as our own people starve. …it is often assumed that the EU would ignore its other legal obligations, including WTO rules. …the EU would not be able to treat the UK any less favourably than other WTO members.. Relying on the courts to fix things is also ra.rely a good idea. But it is absolutely right that the EU can’t go out of its way to make life difficult for the UK either.

Run out of food? Good grief, I thought the global-warming Cassandras were the world’s worst when it comes to exaggeration, but they’re amateurs compared to the anti-Brexit crowd.

Anyhow, this column is already too long, but here are links to four other CapX columns for interested parties.

I especially like the last column. One of the behind-the-scenes aspects of the Brexit debate is that the eurocrats in Brussels are scared that the UK will become more market-oriented once it has escaped the EU’s regulatory clutches.

And just as the EU has gone after Ireland and Switzerland for supposedly insufficient taxation, it also now is trying to hamstring the United Kingdom. All the more reason to escape and become the Singapore of Europe.

P.S. Donald Trump could help the United Kingdom by negotiating a quick and clean free-trade agreement. Sadly, that violates his protectionist instincts.

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When President Trump proposed zero trade barriers among major economies, I applauded. Government-imposed barriers to commerce hurt prosperity, whether those restrictions hinder voluntary exchange inside a country or across national borders.

There’s a debate over Trump’s sincerity, and I’m definitely with the skeptics (look at his supposed deal with Mexico, for instance), but let’s set that issue aside and investigate the merits of free trade.

But let’s go one step farther. Instead of looking at whether multiple nations should simultaneously eliminate trade barriers, let’s consider the case for unilateral free trade.

In other words, should the government abolish all tariffs, quotas, and other restrictions so that buying products from Rome, Italy, is as simple as buying products from Rome, Georgia.

The global evidence says yes, regardless of whether other countries do the same thing.

Consider the examples of Singapore, Macau, and Hong Kong. According to the World Trade Organization, trade barriers are virtually nonexistent in these jurisdictions.

Have they suffered?

Hardly. According to the World Bank, all three jurisdictions are among the most prosperous places on the planet. Indeed, if you removed oil sheikdoms and tax havens from the list, they would win the gold, silver, and bronze medals for prosperity.

To be sure, there are many reasons that Singapore, Macau, and Hong Kong are rich. They have low taxes and small government, as well as comparatively little red tape and intervention.

But free trade definitely helps to explain why these jurisdictions have become so rich at such a rapid pace.

Let’s also look at the example of New Zealand. It doesn’t have absolute free trade, but average tariffs are 2.02 percent, which means it is the world’s fifth-most pro-trade nation.

Have the Kiwis suffered from free trade?

Nope. I shared a remarkable video last year that explains the nation’s remarkable turnaround coincided with a period of unilateral trade liberalization.

Today, let’s look at a column on the same topic by Patrick Tyrrell.

New Zealand…is one of the champions of economic freedom around the world. But it wasn’t always so. In the mid-1980s, New Zealand was facing an economic crisis, with its domestic market and international trade both heavily regulated. Unemployment had reached 11 percent… In response, the government of New Zealand began implementing revolutionary economic reforms, most significantly related to trade policy. It announced in 1987 a program that would reduce the tax on imports to under 20 percent by the year 1992. By 1996, that tax was reduced further to under 10 percent, and by the end of 1999, about 95 percent of New Zealand’s tariffs were set at zero.

Was that a successful policy?

Extremely beneficial.

New Zealand’s adoption of less restrictive trade policies has corresponded to its climb up the trade-freedom scale…and with a huge boost in per capita gross domestic product. The United States could take a page out of New Zealand’s trade-policy book and implement the same type of reductions in tariffs… That would enhance innovation and economic freedom—and grow our economy.

Here’s the chart from Patrick’s column.

Once again, the obvious caveat applies. New Zealand has adopted many pro-market policies in recent decades, so trade is just one of the reasons the country has moved in the right direction.

Now let’s go back in history and peruse Professor Peter Cain’s analysis of what happened when the U.K. adopted unilateral free trade in the mid-nineteenth century.

The trend to freer trade began in the late eighteenth century. …it was the 1840s that saw the beginning of a true revolution in policy. Earlier moves towards freer trade had been conditioned by an insistence on reciprocity (i.e. agreements with other states on mutual tariff reductions), but from the 1840s policy was determined unilaterally. The most dramatic instance of this was the Repeal of the Corn Laws in 1846. …It also reflected a growing belief that cheap imports were the key to prosperity because they would benefit the consumer as well as reduce business costs… Free trade certainly became a hugely popular cause in Britain… It was attractive not only because it guaranteed cheap food, but also because it supported the belief, widespread amongst both the business class and their workforce, that the state should be kept out of economic life.

What was the impact of this shift to unilateral free trade?

…free trade, in combination with heavy foreign investment, certainly helped to change the shape of the British economy in the late nineteenth century. …the long run effect of unilateral free trade had been to increase competition for British agriculture and industry, lower profits and stimulate capital exports. …this regime had yielded great benefits. British capital, pouring into foreign railways and other industries overseas, had helped to reduce agricultural commodity prices, shifting the terms of trade in Britain’s favour and raising national income. Dividends and interest payments on foreign investments had also increased greatly and these returns were realised by importing cheap foreign produce freely. Furthermore, …this unilateral free trade-foreign investment system had provided a strong boost to Britain’s commercial and financial sector.

Here’s the Maddison data on per-capita GDP in the United Kingdom between 1800-1914.

Looking at this chart, I’m wondering how anyone can possibly argue that unilateral free trade hurts an economy.

Once again, many caveats apply. Most important, many other policies play a role in determining national prosperity. It’s also worth noting that a handful of tariffs on products like wine and tobacco were maintained. Most troubling, the era of unilateral free trade coincided with the imposition of the income tax (though it didn’t become a money machine for bigger government until the 1900s).

The bottom line is that every example of unilateral free trade (or sweeping unilateral reductions in trade barriers) tells a positive story. Trade liberalization isn’t everything, but it’s definitely a huge plus for growth.

Yes, the best of all worlds is for trade liberalization to happen simultaneously in all countries, and negotiations have produced considerable progress since the end of World War II, so I’m somewhat agnostic about the best strategy.

But there’s no ambiguity about the ultimate goal of ending protectionism.

P.S. Sometimes bad things happen for good reasons. The income tax in the United States also was adopted in part to offset the foregone revenue from lower trade taxes.

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A couple of days ago, citing bizarre government policies in India, Belgium, Malaysia, Romania, and Spain, I wrote about some “great moments in foreign government.”

Today, we’re going to give special attention to the United Kingdom.

I’m not claiming there’s an above-average level of government stupidity in the United Kingdom (though that’s distinctly possible). Instead, I suspect I simply get exposed to more stories from the U.K.

Whatever the reason, let’s start with this report from the Times.

Plastic stirrers and cotton buds are to be banned alongside straws… The move, expected to come into force as early as next year, is designed to curb “society’s addiction” to throwaway products, the environment secretary writes… The UK uses 13.2 billion cotton buds a year, more than any other member of the EU, as well as 44.1 billion stirrers and 42 billion straws, according to the World Wide Fund for Nature. …Mr Gove initiated plans last month to require retailers to impose a deposit on plastic bottles and has extended the 5p tax on plastic bags to smaller shops. Moves for an industry levy aimed at reducing the use of products such as takeaway food cartons are also underway in the Treasury.

Apparently, the supposedly conservative government in the United Kingdom thinks this type of green virtue signalling is a way of wooing the tiny collection of misguided Tories who oppose Brexit.

Mr Gove is said to believe that the issue helps reconnect the Conservatives with former supporters angry over Brexit.

Switching topics, here’s a bizarre story from the BBC.

Chelsea Russell, 19, from Liverpool posted the lyric from Snap Dogg’s I’m Trippin’ to pay tribute to a boy who died in a road crash, a court heard. Russell argued it was not offensive… Prosecutors said her sentence was increased from a fine to a community order “as it was a hate crime.” She was charged after Merseyside Police were anonymously sent a screenshot of her update. …The words Russell used on her account contained a racial label which some people find extremely offensive. …Prosecutor Angela Conlan said Russell’s defence also argued her profile “wasn’t public, but it had been proved in court that anyone could access it and “see the offensive language”. Russell was found guilty… She was given an eight-week community order, place on an eight-week curfew and told to pay costs of £500 and an £85 victim surcharge.

Given my utter lack of cultural awareness, I’ve never heard of Snap Dogg. I’m guessing he’s black, but I could be wrong.

In any event, this absurd story raises a couple of points.

  • First, people should have the right to say offensive things.
  • Second, it appears that there was no offensive intent.
  • Third, this shouldn’t be an issue for government.

I’m sure that there’s still real racism in British society. I hope there is widespread scorn for people who practice that odious version of collectivism. I also support boycotts of private measures to punish unambiguous racists (the ideal goal is to have their minds changed by kindness).

Government should only step in when there’s a threat to life, liberty, or property.

Sadly, the British government is policing speech, perhaps even speech that should be considered totally benign.

Which is a good excuse to post this funny-yet-sad item from Libertarian Reddit.

Speaking of things that are funny and sad, here’s a Reason column on the latest development in the battle to leave Brits totally vulnerable to crime.

It turns out that when you pass laws disarming people in an attempt to prevent violence, criminals who habitually disregard all laws don’t make exceptions for the new rules. In London, crime still thrives despite the U.K.’s tight gun controls and the British political class is now desperately turning its attention to restricting knives. …Firearms are strictly restricted in the U.K., including a near-total ban on handguns. Nevertheless, “[i]n the 12 months to October 2017, there were 2,500 offences involving guns: a 16 per cent increase on the previous year and a 44 per cent increase on 2014,”… Criminals, it seems, are not averse to committing crimes—including the illegal acquisition of tools that help them commit more crimes. Besides illegal guns, British criminals also use edged weapons… Having failed to disarm criminals with gun controls that they defy, British politicians are now turning their attention to implementing something new and different: knife control. Because criminals will be much more respectful of knife laws than of those targeted at firearms, I guess. …Poundland (the British equivalent of a dollar store) announced last week that it will no longer sell kitchen knives in any of its 850 stores. Similar stores are being slapped with fines for selling knives to minors. British politicians propose banning home delivery of knives and police promote street-corner bins for the surrender of knives.

If you outlaw knives, only outlaws will have knives (in America, we apply that lesson to tanks).

And they’ll also have acid, as noted on Libertarian Reddit.

The cops don’t have the time and energy to concentrate on these real crimes.

Instead, they bust a girl for benignly quoting a bad word. Or they bust homeowners for harming robbers. Or harass employers who commit discrimination by advertising for “reliable” workers.

And apparently Brits also are on guard against the scourge of eggs in the hands of kids. And flour.

How embarrassing.

Today’s collection is even worse than the ones I shared in February and April.

P.S. And let’s not forget the U.K.’s creepy statism and ghoulish government-run healthcare.

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According to research from the Bank for International Settlements, the long-term fiscal outlook for the United Kingdom is very grim. The data generated by the International Monetary Fund and the Organization for Economic Cooperation and Development isn’t quite as dour, but those bureaucracies also show very significant long-run fiscal challenges.

The problem in the U.K. is the same as the problem in the United States. And France. And Germany. And Japan. Simply stated, the welfare state is becoming an ever-larger burden in large part because the elderly population is expanding in developed nations compared to the number of potential taxpayers.

The good news, as noted in this BBC story, is that some folks in the United Kingdom realize this is bad news for young people.

Lord Willetts…said the contract between young and old had “broken down”. Without action, young people would become “increasingly angry”.

The bad news is that these folks apparently think you solve the problem of young-to-old redistribution by adding a layer of old-to-young redistribution.

I’m not joking.

A £10,000 payment should be given to the young and pensioners taxed more, a new report into inter-generational fairness in the UK suggests. The research and policy organisation, the Resolution Foundation, says these radical moves are needed to better fund the NHS and maintain social cohesion. …The foundation’s Intergenerational Commission report calls for an NHS “levy” of £2.3bn paid for by increased national insurance contributions by those over the age of 65. It says that all young people should receive a £10,000 windfall at the age of 25 to help pay for a deposit on a home, start a business or improve their education or skills.

To be fair, proponents of this idea are correct about young people getting a bad deal from the current system. And they are right about older people getting more from government than they pay to government.

“There’s no avoiding the pressures for more spending on healthcare and social care, the question is how we meet those pressures,” he replied. “Extra borrowing is unfair on the younger generation. “Extra taxes on the working population – when especially younger workers have not really seen any increase in their pay – will be very unfair. “It so happens that the older people who will benefit most from extra spending on health care have got some resources, so at low rates, it’s reasonable to expect them to contribute.

But I fundamentally disagree with their conclusion that bigger government is the answer.

“It is better than any of the alternatives.”

For what it’s worth, what’s happening in the U.K. is an example of Mitchell’s Law. Young people are getting a bad deal because of programs created by government.

But rather than proposing to unwind the programs that caused the problem, the folks at the Resolution Foundation have decided that creating additional programs financed by additional taxes is the way to go.

By the way, you won’t be surprised to learn that the group also has other bad ideas.

The report calls for the scrapping of the council tax system, replacing it with a new property tax which would raise more money from wealthier homeowners. The proceeds would be used to halve stamp duty for first-time buyers.

Let’s close by looking at some interesting data about the attitudes of the young.

…a poll undertaken for the Intergenerational Commission also suggested people were more pessimistic in Britain about the chances of the next generation having “better lives” than the one before it – compared with almost any other country.

Here’s the chart showing data for the U.K. and several other nations.

Congratulations to France for having the most pessimistic young people (maybe this is why so many of them would move to the U.S. if they had the chance).

And I think the South Koreans are too glum and the Chinese are too optimistic. The Italians also are too upbeat. But otherwise these numbers generally make sense.

P.S. I was very pessimistic about the U.K. in 2012, but had a more upbeat assessment last summer. Now the pendulum has now swung back in the other direction.

P.P.S. If the Brits screw up Brexit, I’ll be even more downbeat about the nation’s outlook.

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While much of my analysis focuses on the mess created by Washington, I periodically show my ecumenical nature by sharing “Great Moments in State Government” and “Great Moments in Local Government.”

And in keeping with the title of this page, I even occasionally share “Great Moments in Foreign Government.”

Today, though we’re going to get very specific and look at Great Moments in British Government. I did the same thing back in February and there’s so much new material that it’s time for an encore.

We’ll start with this story from the Daily Mail about an elderly man who was arrested for defending his home.

A 78-year-old homeowner has been arrested by murder detectives after a suspected burglar he fought with in his own kitchen died of a stab wound. …The homeowner was initially detained on suspicion of causing grievous bodily harm but was later arrested on suspicion of murder. The case has been compared to that of Tony Martin, who was jailed for killing an intruder at his home in 1999. The break-in comes amid a surge in violence in the capital, with 49 people already having died in crimes in London in 2018. …The homeowner suffered bruising to his arms but police said his injuries are not life threatening.  He remains in custody at a south London police station.

Wow, this might be even more outrageous than the story about the woman who got arrested for merely brandishing a knife in her own home.

But Americans shouldn’t laugh too much about these stories since cops on this side of the Atlantic have arrested citizens for injuring burglars.

Next is a story from the Evening Standard about so-called political correctness run amok.

Mansfield College was forced to cancel a “420 themed” bop scheduled for this Friday – April 4 – after students complained. In an email sent to students…, organisers explained that the party would be a celebration of the “internationally recognised day of protest for the legalisation of Marijuana” on April 20. It invited undergraduates to “dress up as their favourite stoner.” …It also warned: “If you’re white, don’t try to go as Snoop Dogg or Bob Marley. Blackface isn’t cool.” …The invite sparked backlash from some students who said they felt the event encouraged “cultural appropriation.” One undergraduate said the college’s elected welfare representatives were worried that the event could be exclusionary. “Anyone who might have negative experiences of drugs or addiction might be affected by it,”… Within hours the entertainment team sent round an email cancelling the event and apologising for anyone they offended. They said: “We understand that this was met with offence and we want to apologise dearly to those who were offended,” they said.

I don’t know what’s more depressing, the fact that people complained or the fact that organizers cravenly apologized.

But maybe I’m not thinking about this the right way. I had a “negative experience” that “affected” me when Alabama beat Georgia for the national championship back in January. Maybe I should demand to remove the Yellowhammer State from all maps so I don’t get “triggered”.

Our final story might belong in a column about “Great Moments in Government-Run Healthcare“, but it seems to fit well with today’s collection.

A humanist will lead a team of priests as the first atheist head chaplain in the history of the NHS. …Lindsay van Dijk is one of the youngest chaplains in the NHS and will lead three priests from the Church of England, Baptist and evangelical denominations… As a humanist, Ms van Dijk believes life is giving meaning by seeking happiness and helping others find happiness too. Humanists do not believe in God or an afterlife. …Ms van Dijk told the Times at Stoke Mandeville Hospital: ‘Anyone within the chaplaincy team goes to patients to lend a listening ear, to provide spiritual and emotional support, and doesn’t specifically say “I’m from this faith” as it’s not important. …She added that in her new role she has experienced ‘mostly curiousity’ rather than objections. …The chief executive of Christian Concern Andrea Williams said: …’Putting a humanist in charge of the chaplaincy team shows how far we have come from the Christian roots of the NHS.’

I never realized that there were “Christian roots” to government-run healthcare (if so, God must like needless death and terrible suffering).

But let’s set that aside and focus on the main story. I assume that NHS chaplains are actually government bureaucrats rather than local volunteers, so part of me is thinking this is a waste of money.

But I also am a bit perplexed by the notion of having an atheist chaplain. Isn’t that a contradiction in terms? Why not hire the woman as “head grief counselor” or something like that?

Maybe it’s time to resuscitate my “U.S. vs U.K. inane-government-policy contest“.

P.S. The U.K. might have the lead in that contest because it actually has proven that a government can be so incompetent that it can’t even give away money.

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