Democracy -> loose fiscal policy -> bondage

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Janette Eldridge

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Jan 19, 2010, 3:43:33 PM1/19/10
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Janette:

Historian and Zulu War expert Peter Quantrill sent this to The Mercury today:

 

“A democracy is always temporary in nature;

it simply cannot exist as a permanent form of government.

A democracy will continue to exist up until the time that voters discover they can vote themselves generous gifts from the public treasury. From that moment on, the majority always vote for the candidates who promise the most benefits from the public treasury with the result that every democracy will finally collapse due to loose fiscal policy, which is always followed by a dictatorship.

The average age of the world’s greatest civilisations from the beginning of history has been 200 years. During those 200 years, those nations always progressed through the following sequences:

From bondage to spiritual faith;

From spiritual faith to great courage;

From great courage to liberty;

From liberty to complacency;

From complacency to apathy;

From apathy to dependence;

From dependence back into bondage.

Question: How far down the road are we?”

 

An interesting opinion. I was hoping that this time round modern technology would help us move forward from democracy and thus saving us from returning to bondage, but I am beginning to have my doubts.  

 

 

Leon Louw (gmail)

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Jan 19, 2010, 6:28:29 PM1/19/10
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This is interesting but full of fatal errors (below).

2010/1/19 Janette Eldridge <ray...@iafrica.com>

Janette:

Historian and Zulu War expert Peter Quantrill sent this to The Mercury today:

 

“A democracy is always temporary in nature;

it simply cannot exist as a permanent form of government.

A democracy will continue to exist up until the time that voters discover (All existing democracies have not only lasted well beyond that point, which is presumably early on, but out-perform other forms of government in every indexed criterion) they can vote themselves generous gifts from the public treasury. From that moment on, the majority always vote for the candidates who promise the most benefits (No, many elections give 'conservative' and 'liberal' parties majorities, especially in regional and local elections - everyone can think of examples) from the public treasury with the result that every democracy will finally collapse due to loose fiscal policy, which is always followed by a dictatorship (This is a bald assertion - what's the source/evidence?).

The average age of the world’s greatest civilisations from the beginning of history has been 200 years (No, as everyone knows the Egyprion, Inca, Roman and Greek 'civilisations' - depending on what one means by the term - lasted much longer as did others such as China, India's 'golden bird' era, the Incas, Ireland's 800 yrs of virtual anarchy etc.  Anyway, what's the supposed lifespan of 'civilisations' got to do with the supposed lifespan of 'democracies"?). During those 200 years, those nations always progressed through the following sequences:

(This is an old favourite I used to quote with zeal in my twenties but, on reflection, it's no more than elegant twaddle based on flimsy evidence long ago - without the benefit of observing modern democracies Alexander Tyler - if it was he - expected the imminent demise of democracy in 1787.  See eg Snopes on the origin of the email currently doing the rounds.  When I first encountered this supposed quote it probably referred to Harold Wilson.or Jimmy Carter.  Since then the electorate voted in Reagan, Vaclav Klaus, Thatcher and Roger Douglas.)

From bondage to spiritual faith;

From spiritual faith to great courage;

From great courage to liberty;

From liberty to complacency;

From complacency to apathy;

From apathy to dependence;

From dependence back into bondage.

Question: How far down the road are we?”

 

An interesting opinion. I was hoping that this time round modern technology would help us move forward from democracy and thus saving us from returning to bondage, but I am beginning to have my doubts.  

 ( Like Julian Simon, I note that nothwithstanding perennial predictions by doomsayers that the sky is about to fall - been so since Neanderthal I assume - most things get better most of the time for most people in most countries.)

 


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Garth Zietsman

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Jan 20, 2010, 12:28:12 AM1/20/10
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I agree with Leon.
 
Modern political research has shown that people don't in fact 'vote their narrow selfish economic interests'.  For example the ANC was voted in out of loyalty, in spite of not delivering on redistribution or welfare, and old people are less likely to vote for social security, women are more likely to oppose abortion on demand, etc.
 
Voters have also shown anger at financial mismanagement or greed by politicians and their supporters - look at the reaction to the British members of parliament misusing public funds.  
 
Garth   

Janette Eldridge

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Jan 20, 2010, 2:33:43 PM1/20/10
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Whew!  Thank you for restoring my faith in the future Leon.

Now I am back to hoping we will move on to something better than democracy.

 


On Behalf Of Leon Louw (gmail)

Janette Eldridge

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Jan 20, 2010, 3:34:58 PM1/20/10
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On Behalf Of Garth Zietsman

I agree with Leon.

 

Modern political research has shown that people don't in fact 'vote their narrow selfish economic interests'

Well that should surprise politicians who are forever appealing to the voter’s self interests, economic or otherwise!

 

For example the ANC was voted in out of loyalty,

In 1994 that would have definitely been true

in spite of not delivering on redistribution or welfare,

after 1994, I presumed, it was not so much `loyalty’ but `the guilt at voting for an opposition party’

and the hope that this time they would keep their promise (the battered wife syndrome)

 

and (secure) old people are less likely to vote for social security

because they don’t want to waste their retirement funds on youngsters?

But surely insecure/poor old people would still hope to benefit from social security?,

 

women are more likely to oppose abortion on demand, etc.

Wow! I find that difficult to accept

 

Voters have also shown anger at financial mismanagement or greed by politicians and their supporters

In that case are you predicting that the ANC (the main culprits by far) are going to be out of office in the next election! ??

 

 - look at the reaction to the British members of parliament misusing public funds.  

Well the British voters are then in a dilemma as all three of the major parties and the House of Lords have been found to have misused public funds. Will this cause a lower voter turn out?

 

These are interesting points Garth – anymore where these came from?

 

Trevor Watkins

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Jan 21, 2010, 1:24:11 AM1/21/10
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2010/1/20 Leon Louw (gmail) <leon...@gmail.com>

All existing democracies have not only lasted well beyond that point, which is presumably early on, but out-perform other forms of government in every indexed criterion)
 
I assume you are invoking the Watkins exception here (when I say 100% I really mean 80%). Off the top of my head I can think of 3 democracies that became dictatorships in a short time, and performed more economically efficiently than the preceding democracy, namely, Nazi Germany, Fascist Italy and Pinochet Chile. (I am not sure if existing means currently existing (a rather narrow set), or having existed).

I don't agree with Quantrill's thesis - I think he has only half the picture. Democracies appear to oscillate between indulgence and austerity, whereas minimum government regimes like Hong Kong and New Zealand (yeh, yeh) appear to enjoy more prosperity.
Trevor Watkins

Leon Louw (gmail)

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Jan 21, 2010, 4:11:07 AM1/21/10
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----- Original Message -----

From: Janette Eldridge

To: li...@googlegroups.com

Sent: Wednesday, January 20, 2010 10:34 PM

Subject: RE: [Libsa] Democracy -> loose fiscal policy -> bondage

 

 


On Behalf Of Garth Zietsman

I agree with Leon.

 

Modern political research has shown that people don't in fact 'vote their narrow selfish economic interests'

Well that should surprise politicians who are forever appealing to the voter’s self interests, economic or otherwise!

 

I'm tempted to rewind to the quote that started this, on which I just want to add my old favourite point about the binary imperative, and the point John Hsopers used to make: that ‘it ain't so simple’. 

Democracy, like most things, is a complex mix of good, bad and random.  This was explored with sopgisticated mathematical and logic models by Gordon Tullock.  Making the points I did - mainly concerns about impirical veracity - doesn't imply I'm for whatever democracy dishes up.  I assume no one is, that everyone would like it to deliver their precise set of preferences. 

I'm mindful and scared of the mob rule, plunder andcontrol democracy (crudely defined) implies.  Yet, as Churchhill siad, it's the worst form of government except for all the others.  Jim would have agreed, and argued (I think) that we may not need any 'form of government'.

Propery defined, democracy entails elaborate checks and balances such as a bill of rights, independent courts, rule of law etc.  Remember that every provision other than the right to vote in a majority is a constraint on democracy.  One might even cal checks and balances anti-democratic (ie anti-majority rule). 

 

For example the ANC was voted in out of loyalty,

In 1994 that would have definitely been true

in spite of not delivering on redistribution or welfare,

after 1994, I presumed, it was not so much `loyalty’ but `the guilt at voting for an opposition party’

and the hope that this time they would keep their promise (the battered wife syndrome)

 

and (secure) old people are less likely to vote for social security

because they don’t want to waste their retirement funds on youngsters?

But surely insecure/poor old people would still hope to benefit from social security? 

 

One of the anomalies of majority rule is the universal favoured treatment of farmers.  They're a tiny monority in all countries and unable to secure a majority even in a small country town, yet electorates (and their representatives) always pander to their needs by voting subsidies, protection etc. The mere fact that is such a thing as a depeartment of agriculture is anomalous.  They’re simply an enterprise and should be treated like any other.

Other curious outcomes of democracy are government support of the arts and pandering to diverse munite interest groups.   The favoured treatment of academics is also curious.

 

women are more likely to oppose abortion on demand, etc.

Wow! I find that difficult to accept

 

I suppose it depends on who demands it.  Just joking.

 

This may not be anomalous.  Most women in most countries apparently regard abortion as murder - they aren’t so much anti-choice (with taxpayer funding) as pro-life (ditto).  They support government programs to care for voteless inigent children, and laws forcing parents to care for children.

 

Voters have also shown anger at financial mismanagement or greed by politicians and their supporters

In that case are you predicting that the ANC (the main culprits by far) are going to be out of office in the next election! ??

 

If anything is counter-intuitive about democracy, Garth, it’s the degree to which voters accept government incompetence and corruption.  For me, this is truly astounding.  It may be some deep-seated thing about leaders and rulers – ‘the king can do no wrong’ idea.

 

Take a recent conversation with educated sophisticated people where someone noted that Gautrain looks headed to costing 4 times the original price and generating half the original revenue.  That surprises no one – they expect it.  Now imagine a conversation to the effect that this was the case regarding the latest Pick n Pay branch or Anglo mine.  Everyone would be astounded, Including Vavi, Malema and Cronin.  Yet voters want monuments build for politicians, never for entrepreneurs.  They stand when heads of state enter, not when heads of corporations.  And they invest incredible amounts of time and money getting governments into power, and devoting their lives to keeping them there.  It’s weird!

 

 - look at the reaction to the British members of parliament misusing public funds.  

Well the British voters are then in a dilemma as all three of the major parties and the House of Lords have been found to have misused public funds. Will this cause a lower voter turn out?

 

These are interesting points Garth – anymore where these came from?

 

Garth   

 

On Wed, Jan 20, 2010 at 1:28 AM, Leon Louw (gmail) <leon...@gmail.com> wrote:

This is interesting but full of fatal errors (below).

2010/1/19 Janette Eldridge <ray...@iafrica.com>

Janette:

Historian and Zulu War expert Peter Quantrill sent this to The Mercury today:

“A democracy is always temporary in nature;

it simply cannot exist as a permanent form of government.

A democracy will continue to exist up until the time that voters discover (All existing democracies have not only lasted well beyond that point, which is presumably early on, but out-perform other forms of government in every indexed criterion) they can vote themselves generous gifts from the public treasury. From that moment on, the majority always vote for the candidates who promise the most benefits (No, many elections give 'conservative' and 'liberal' parties majorities, especially in regional and local elections - everyone can think of examples) from the public treasury with the result that every democracy will finally collapse due to loose fiscal policy, which is always followed by a dictatorship (This is a bald assertion - what's the source/evidence?).

The average age of the world’s greatest civilisations from the beginning of history has been 200 years (No, as everyone knows the Egyprion, Inca, Roman and Greek 'civilisations' - depending on what one means by the term - lasted much longer as did others such as China, India's 'golden bird' era, the Incas, Ireland's 800 yrs of virtual anarchy etc.  Anyway, what's the supposed lifespan of 'civilisations' got to do with the supposed lifespan of 'democracies"?). During those 200 years, those nations always progressed through the following sequences:

(This is an old favourite I used to quote with zeal in my twenties but, on reflection, it's no more than elegant twaddle based on flimsy evidence long ago - without the benefit of observing modern democracies Alexander Tyler - if it was he - expected the imminent demise of democracy in 1787.  See eg Snopes on the origin of the email currently doing the rounds.  When I first encountered this supposed quote it probably referred to Harold Wilson.or Jimmy Carter.  Since then the electorate voted in Reagan, Vaclav Klaus, Thatcher and Roger Douglas.)

From bondage to spiritual faith;

From spiritual faith to great courage;

From great courage to liberty;

From liberty to complacency;

From complacency to apathy;

From apathy to dependence;

From dependence back into bondage.

Question: How far down the road are we?”

An interesting opinion. I was hoping that this time round modern technology would help us move forward from democracy and thus saving us from returning to bondage, but I am beginning to have my doubts.  

 Like Julian Simon, I note that nothwithstanding perennial predictions by doomsayers that the sky is about to fall - been so since Neanderthal I assume - most things get better most of the time for most people in most countries.

--

 

Garth Zietsman

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Jan 21, 2010, 5:54:27 AM1/21/10
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I anticipated some critical comment because what I said questions the rationality assumption you hold dear.

 

On Behalf Of Garth Zietsman

I agree with Leon.

 

Modern political research has shown that people don't in fact 'vote their narrow selfish economic interests'

Well that should surprise politicians who are forever appealing to the voter’s self interests, economic or otherwise!

 
Garth: I think it would be a surprise to some politicians.  The main point I was trying to make is that people often don't vote what seems to the outsider to be their narrow selfish interests, usually defined as money or privilage for me personally, most probably because the person's intereststhings aren't as simple as they appear to the outsider - they are qualified and modified by other interests.  However it does appear that voters do consider what they think would be in the interest of the whole even if it means some self sacrifice.  Hence they sometimes vote for protectionist policies or farming subsidies (delusionally thinking these things are good for the whole) even when they know they will end up paying more for the product. 
 
Maybe it is a surprise to people who read this site but people (even libertarians) aren't completely self absorbed and are considerate toward others and this is reflected in their voting behavior.  I think some politicians aren't surprised by that and appeal to it alongside appeals to narrow self interest.  [I am aware that consideration toward others could be seen as a more sophisticated form of selfishness but that is another, rather esoteric, hairsplitting debate.]

 

I'm tempted to rewind to the quote that started this, on which I just want to add my old favourite point about the binary imperative, and the point John Hsopers used to make: that ‘it ain't so simple’.

 
Garth: Yes I agree - its partially what I meant.

 

Democracy, like most things, is a complex mix of good, bad and random.  This was explored with sopgisticated mathematical and logic models by Gordon Tullock.  Making the points I did - mainly concerns about impirical veracity - doesn't imply I'm for whatever democracy dishes up.  I assume no one is, that everyone would like it to deliver their precise set of preferences. 

I'm mindful and scared of the mob rule, plunder andcontrol democracy (crudely defined) implies.  Yet, as Churchhill siad, it's the worst form of government except for all the others.  Jim would have agreed, and argued (I think) that we may not need any 'form of government'.

Propery defined, democracy entails elaborate checks and balances such as a bill of rights, independent courts, rule of law etc.  Remember that every provision other than the right to vote in a majority is a constraint on democracy.  One might even cal checks and balances anti-democratic (ie anti-majority rule). 

 
Garth: I am in favour of democracy and I say that in spite of recognising its deficiencies and risks.  I think it has major 'Wisdom of the Crowds' advantages but whether democracy functions to produce balance and sense, or descends to mob rule, depends crucially on the checks and balances in place, and on the openness Soros (Popper) is so fond of.
 
The climate change debate is interesting in this respect.  I note that the ex-red greens and libertarian/conservatives both seem to take extreme views on the science that seem more conditioned by what they think the politics of the solution will be than the material facts and wondered how one could steer a sane path to the truth.  I looked at Lomborg's book on it and noted that his optimum path is pretty close to the compromises reached at Kyoto and Copenhagen.  Perhaps that is an example of how well proportional representative democracy could work.  Wisdom of Crowds showed that averaging diverse viewpoints produces the best outcomes e.g. acurate predictions, under certain circumstances.  However group decision-making can produce the worst possible decisions (mob rule) too - consensus decision-making, or other forms where everyone closely communicates, is especially prone to this - so the form and limitations of democracy are crucial.

 

For example the ANC was voted in out of loyalty,

In 1994 that would have definitely been true

in spite of not delivering on redistribution or welfare,

after 1994, I presumed, it was not so much `loyalty’ but `the guilt at voting for an opposition party’

and the hope that this time they would keep their promise (the battered wife syndrome)

 
Garth: Agreed - that's how I see it too.

 

and (secure) old people are less likely to vote for social security

because they don’t want to waste their retirement funds on youngsters?

But surely insecure/poor old people would still hope to benefit from social security? 

 
Garth: I don't know the subtle details.  All I know is that support for policies that will see older people being subsidised by public money is negatively correlated with age - contrary to predictions based on the presumed narrow self interest of getting free money. 

 

One of the anomalies of majority rule is the universal favoured treatment of farmers.  They're a tiny monority in all countries and unable to secure a majority even in a small country town, yet electorates (and their representatives) always pander to their needs by voting subsidies, protection etc. The mere fact that is such a thing as a depeartment of agriculture is anomalous.  They’re simply an enterprise and should be treated like any other.

Other curious outcomes of democracy are government support of the arts and pandering to diverse munite interest groups.   The favoured treatment of academics is also curious.

 
Garth: Yes that is curious.  Considering the obvious and extreme benefits science confers I find it curious that science financing (or R&D financing) isn't much larger than it is.

 

women are more likely to oppose abortion on demand, etc.

Wow! I find that difficult to accept

 

I suppose it depends on who demands it.  Just joking.

 
Garth: Well I will test this on the GSS but I expect to confirm it.  I must say I expected you not to tackle the finding but rather the assumption that abortion on demand is in the narrow selfish interest of women.  As you illustrate below women have other interests which opposing abortion would satisfy.

 

This may not be anomalous.  Most women in most countries apparently regard abortion as murder - they aren’t so much anti-choice (with taxpayer funding) as pro-life (ditto).  They support government programs to care for voteless inigent children, and laws forcing parents to care for children.

 

Voters have also shown anger at financial mismanagement or greed by politicians and their supporters

In that case are you predicting that the ANC (the main culprits by far) are going to be out of office in the next election! ??

 
Garth: No I don't think so because there are too many other factors at play - the main one being the loyalty (or what you call guilt).

 

If anything is counter-intuitive about democracy, Garth, it’s the degree to which voters accept government incompetence and corruption.  For me, this is truly astounding.  It may be some deep-seated thing about leaders and rulers – ‘the king can do no wrong’ idea.

 

Take a recent conversation with educated sophisticated people where someone noted that Gautrain looks headed to costing 4 times the original price and generating half the original revenue.  That surprises no one – they expect it.  Now imagine a conversation to the effect that this was the case regarding the latest Pick n Pay branch or Anglo mine.  Everyone would be astounded, Including Vavi, Malema and Cronin.  Yet voters want monuments build for politicians, never for entrepreneurs.  They stand when heads of state enter, not when heads of corporations.  And they invest incredible amounts of time and money getting governments into power, and devoting their lives to keeping them there.  It’s weird!

 
Garth: Yes this troubles me too.  On the other hand if we could understand this ully it may provide a means to change the political landscape.

 

 - look at the reaction to the British members of parliament misusing public funds.  

Well the British voters are then in a dilemma as all three of the major parties and the House of Lords have been found to have misused public funds. Will this cause a lower voter turn out?

 
Garth: It did cause lower turnout quite radically initially.  Although all parties were seen as guilty they weren't percieved as equally guilty and there was a strong swing toward less guilty and innocent small parties too.

 

These are interesting points Garth – anymore where these came from?

 
Garth: I am sure there are - I am looking.  On a conservative web site they religiously track polls on Obama's health reform.  I seem to remember that the elderly were less supportive of it than the young.

 

Janette Eldridge

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Jan 24, 2010, 5:43:52 PM1/24/10
to li...@googlegroups.com, Frances

 

Garth: . . .  Hence they sometimes vote for protectionist policies or farming subsidies (delusionally thinking these things are good for the whole) even when they know? they will end up paying more for the product.

Janette: I don’t think they do know this. Why should they – when were they ever taught this – when was this ever explained to them? Certainly not in schools, and very like not even in economic classes in most universities.

The FMF can only do so much. It is up to us “we few, we happy few, we band of brothers” (who make up probably .005% of the population) to explain. But how.  If we could, if we would, I think they (the general public) would be receptive.  J

 

 Leon . . .  Making the points I did - mainly concerns about impirical veracity - doesn't imply I'm for whatever democracy dishes up.  I assume no one is, that everyone would like it to deliver their precise set of preferences. 

I'm mindful and scared of the mob rule, plunder and control democracy (crudely defined) implies.  Yet, as Churchhill said, it's the worst form of government except for all the others. 

Janette: Wasn’t Churchill talking about democracy in a generic form.

Certain forms of democracy are more likely to lead to dictatorship – `Wisdom of the Crowds’, mob rule, 51%-gets-all, and even proportional representative.

Other forms of democracy such as a canton/referendum mix (as Frances so valiantly tried to explain for 1994) are a much better species of democracy.

There are just too many forms of democracy. People are muddled. They see all species as one and the same thing. I think if we had completely different names for these different species whole new movements would gravitate to their preferred choice (for better or for worse). The situation would become understandable. A separation of the different named forms of democracy would encourage clearer thinking.

 

Garth: I am in favour of democracy and I say that in spite of recognising its deficiencies and risks.  I think it has major 'Wisdom of the Crowds' advantages but whether democracy functions to produce balance and sense, or descends to mob rule, depends crucially on the checks and balances in place, and on the openness Soros (Popper) is so fond of.

 

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