The UK and the World in 2050
In The UK and the World in 2050, Madsen Pirie looks ahead to the world in thirty years time and, based on existing scientific advances, considers how we might use technology to solve problems like climate change and world hunger.
Migration and development
Fredrik Segerfeldt argues that migration benefits not only migrants from developing countries but also the family and friends that they leave behind. The idea of 'brain drain,' that the outward flow of the best and brightest inhabitants of a developing country adversely affects that country's prospects, is not borne out in the empirical data, while remittances are shown to significantly ameliorate poverty.
The New Aristocrats - a cultural and economic analysis of the new status signaling
Ryan H. Murphy argues the case that our typical understanding of status signaling - 'conspicuous consumption' - has become outmoded. The 'new aristocrats' focus their energies instead on signaling their virtue, as internet activism and environmentalism replace the ostentatious diamond rings of old.
Sound Money: An Austrian proposal for free banking, NGDP targets, and OMO reforms
Anthony J Evans lays out the first, second and third best policies for monetary reform. He outlines reforms to quantitative easing policy that would reduce the distortions it causes; argues that inflation targeting and the Monetary Policy Committee should be replaced by an automatic nominal GDP target; and ultimately says the Bank of England should be scrapped altogether, replaced with privately-run ‘free banking’.
A Garden of One's Own
• Green Belts are unsustainable. Urban containment policies push up rents and house prices and generally increase the cost of living, force households into ever smaller homes and more cramped transport, and are harmful to the environment. This hugely depresses people’s quality of life.
• In The Green Noose we recommended a policy of “Abolish and Protect”, whereby substantial parts of the existing Green Belt would be re-designated under other land-use classifications, while the remainder would be available for development. This would allow markets to operate and so ensure that welfare-maximising solutions emerged.
• However, debates about Green Belt policy always descend into demands to know where development will take place, or claims that every hectare of declassified land would be concreted over. While the former misunderstands the role of planning policy, and the latter is disingenuous, such arguments are almost impossible to avoid.
• This paper seeks to provide examples of where development could take place. As it is location-specific, we have chosen to focus on one Green Belt – the Metropolitan Green Belt around London. In doing so we (artificially) distinguish between the Metropolitan Green Belt and “London Green Belt” (i.e. those parts of the Metropolitan Green Belt within the boundaries of Greater London).
• Our aim is not to prescribe sites for development, but to demonstrate that there is ample land within the Metropolitan Green Belt that would be suitable for development and could be built upon without undermining the overall purpose of Green Belt policy (as defined by the NPPF).
• We look at six scenarios:
1. Declassify Metropolitan Green Belt land within walking distance of a rail way station
2. Declassify Green Belt land in London within cycling distance of a railway station
3. Allow development of Green Belt golf courses
4. Infill areas of Green Belt that do not support Green Belt Policy
5. Remove agricultural land from the Green Belt
6. Declassify and re-use of already developed Green Belt land.
• Each of these would make a dramatic contribution to meeting housing need in London and the South East; in three cases, a single measure would more than meet all additional housing need until 2030.
Magna Carta: A primer
It is one of those stories that bring English kings alive to schoolchildren – like Cnut ordering the sea to retreat, Alfred burning the cakes or Harold getting an arrow in the eye – and probably just as fanciful or misleading. It is a romantic story of Bad King John on an island in the River Thames, canopy above him and quill pen in hand, being forced by the assembled barons to sign Magna Carta – the ‘Great Charter’ of rights and liberties, on which Western constitutions, the rule of law, justice, democracy and freedom still rest. The reality is different. There certainly was such a grand meeting between the despised King John (1166-1216) and his barons on the island of Runnymede in June 1215. But there was no quill pen (kings at that time would affix their seal, not their signature, to documents).
In fact, there was probably not even a physical charter to be sealed – just hurried drafts, produced by scribes, on what was being negotiated and agreed. Nor did the charter that eventually emerged, with clauses on subjects such as fish weirs, widows’ inheritances and forests, look much like a conscious design for a constitution. Applying only to the elite, it was certainly no blueprint for democracy. And within weeks, John had got the Pope, his feudal superior, to annul the whole thing anyway.
Yet despite all that, Magna Carta and what it stands for still runs deep in the Western consciousness. It has almost totemic status as the guarantee of our rights and freedoms, and of just government, restrained by the rule of law.
Power Up
As the new government considers its energy policy agenda, and in light of the Competition Markets Authority (CMA) review of electricity market competition, now is a good time to consider the effects of OFGEM’s current regulatory framework on actual market outcomes for consumers. Current regulations undervalue the effect of innovation on the benefits that consumers enjoy. The CMA’s provisional findings reflect an understanding of the beneficial potential of innovation.
Free Market Welfare: The Case for a Negative Income Tax
Britain’s welfare system is overcomplicated, wasteful and counterproductive. In Free Market Welfare, Michael Story makes the case for merging most working-age benefits into a Negative Income Tax – a single, tapered payment that tops up the wages of the working poor and guarantees that work always pays.
Utility Gains
This paper assesses the various utility sales of telecoms, gas, water and electricity companies during the 1980’s and 1990’s and looks at how government, shareholders and customers fared since the privatisation process. The paper argues that the following benefits occurred for each stakeholder:
For the government – various general benefits accrued, such as a pronounced surge in investment. It benefited financially, both from one-off sales proceeds and from ongoing sizeable Corporation Tax receipts.
For shareholders, like pension funds, have generally done very well, with many privatizations – particularly the 12 RECs – heavily outperforming the FTSE 100. Privatized water stocks, too, have powered ahead. There are a few notable exceptions to this, such as Railtrack, British Energy and British Telecom.
For utility customers the financial benefits have been less tangible – in a period of massively rising wholesale prices there has been little to pass on. But investment has been much higher and much-needed improvements in customer service have been developed. Telecoms prices have actually fallen materially, while domestic gas, water and electricity prices have all risen sharply in real terms. However, domestic energy prices have risen mainly due to much higher wholesale gas costs – not because of private sector ownership.
The paper finds investment in utilities is now much higher than before privatization, especially in the electricity distribution and water sectors. It also argues that the privatisation of utilities also created an innovation spike, specifically in the telecoms sector.
Time for Time Limits
- The UK’s welfare system is in a parlous state, beset by ineffective policies, a culture of dependency, and an ever-increasing price tag. While well-intentioned, recent reforms such as Universal Credit have done little to change this. We must seek more radical reforms to shore up the UK’s welfare system and boost employment.
- This in mind, the UK should adopt a 5 year time limit on all out-of-work benefits, with payments withdrawn incrementally to avoid a ‘cliff at the end of the period’.
- We can look to President Clinton’s reforms of the 1990s for evidence of time limits’ effectiveness. Clinton’s Personal Responsibility and Work Opportunity Reconciliation Act (PRWORA) saw a 6–7% fall in unemployment counts, a decrease in benefits caseloads by 96%, an unprecedented increase in female employment, and a reduction in government spending by an estimated $54.2 billion between 1996 and 2002.
- While they are no panacea, combined with investment in re-training and up-skilling, time limits on welfare would be a significant step towards fixing the UK’s distortional welfare system and breaking the cycle of learned victimhood.
Archive
- September 2024
- August 2024
- July 2024
- June 2024
- May 2024
- April 2024
- March 2024
- February 2024
- January 2024
- November 2023
- October 2023
- September 2023
- August 2023
- July 2023
- May 2023
- April 2023
- March 2023
- February 2023
- December 2022
- November 2022
- October 2022
- September 2022
- August 2022
- July 2022
- June 2022
- May 2022
- April 2022
- March 2022
- February 2022
- January 2022
- December 2021
- November 2021
- October 2021
- September 2021
- June 2021
- May 2021
- April 2021
- January 2021
- November 2020
- October 2020
- September 2020
- August 2020
- July 2020
- June 2020
- May 2020
- April 2020
- February 2020
- January 2020
- October 2019
- September 2019
- August 2019
- July 2019
- June 2019
- May 2019
- April 2019
- March 2019
- February 2019
- January 2019
- October 2018
- September 2018
- August 2018
- July 2018
- June 2018
- May 2018
- April 2018
- March 2018
- February 2018
- January 2018
- November 2017
- October 2017
- September 2017
- August 2017
- July 2017
- June 2017
- May 2017
- April 2017
- March 2017
- February 2017
- November 2016
- October 2016
- September 2016
- August 2016
- July 2016
- May 2016
- April 2016
- February 2016
- January 2016
- December 2015
- November 2015
- October 2015
- September 2015
- July 2015
- June 2015
- April 2015
- February 2015
- January 2015
- November 2014
- October 2014
- August 2014
- July 2014
- May 2014
- April 2014
- March 2014
- December 2013
- November 2013
- October 2013
- September 2013
- April 2013
- March 2013
- February 2013
- January 2013
- November 2012
- October 2012
- September 2012
- August 2012
- July 2012
- June 2012
- May 2012
- March 2012
- February 2012
- January 2012
- December 2011
- November 2011
- October 2011
- September 2011
- August 2011
- July 2011
- May 2011
- April 2011
- March 2011
- November 2010
- October 2010
- August 2010
- July 2010
- June 2010
- May 2010
- April 2010
- March 2010
- February 2010
- December 2009
- November 2009
- October 2009
- September 2009
- August 2009
- July 2009
- June 2009
- April 2009
- March 2009
- February 2009
- November 2008
- April 2008
- February 2008
- November 2007
- November 2006
- September 2006
- August 2006
- January 2006
- November 2005
- July 2005
- November 2004
- December 2003
- November 2003
- December 2002
- November 2002
- November 2001
- October 2001
- December 2000
- November 2000
- November 1999
- December 1998
- November 1998
- January 1998
- November 1997
- November 1996
- December 1995
- November 1995
- November 1994
- August 1994
- January 1994
- December 1993
- November 1993
- August 1993
- November 1992
- June 1992
- December 1991
- November 1991
- August 1991
- December 1990
- November 1990
- September 1990
- August 1990
- January 1990
- December 1989
- November 1989
- October 1989
- August 1989
- May 1989
- March 1989
- January 1989
- December 1988
- November 1988
- August 1988
- July 1988
- March 1988
- January 1988
- October 1987
- August 1987
- April 1987
- January 1987
- December 1986
- November 1986
- October 1986
- September 1986
- January 1986
- December 1985
- November 1985
- October 1985
- June 1985
- December 1984
- November 1984
- January 1984
- November 1983
- January 1983
- January 1982
- December 1981
- November 1980
- November 1979