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5 Dangerous Blind-Spots In ‘Yes’ Arguments (Part 3)

“We must face the fact that the preservation of individual freedom is incompatible with a full satisfaction of our views of distributive justice.”
F.A. Hayek

Let’s recap.

In 5 Dangerous Blind-Spots In ‘Yes’ Arguments (Part 1), I addressed Duncan’s self-described ‘indifference’ to the Voice as an issue and that the ‘Yes’ case really acquiesces to systemic racism.

This is:

  • Blind-Spot #1: Systemic Racism

In 5 Dangerous Blind-Spots In ‘Yes’ Arguments’ (Part 2), I then tackled his leading two arguments, exposing the flaws in each:

  • Blind-Spot #2: Can’t Get Much Worse
  • Blind-Spot #3: Concede or Else

This is the third and final instalment, in which I’ll conclude with two more blind-spots which, I suggest, no libertarian would accept:

  • Blind-Spot #4: Bureaucratic Expansion
  • Blind-Spot #5: Government Is Harmless.

*****

BLIND-SPOT #4: BUREAUCRATIC EXPANSION

If the former Senator had diverted us from the libertarian freeway by this point, he next drives us into a philosophical traffic-jam with “The passing of the referendum would require the indigenous bureaucracy to be reshaped, and would likely increase it in the short term.”

Not likely. Definitely. Not short-term. Long-term.

Consider the half century bureaucratic history just on this issue alone:

1967 – Council of Aboriginal Affairs

1972 – National Aboriginal Consultative Committee

1973 – Department of Aboriginal Affairs

1977 – National Aboriginal Conference

1981 – Aboriginal Development Committee

1988 – Mabo (No. 2)

1990 – ATSIC

1991 – Council for Aboriginal Reconciliation

1992 – Wik case

1993 – Native Title Act

He’d have you believe a politically-charged, constitutionally-enshrined Voice would be ignored

1995 – National Inquiry into the Separation of the Aboriginal and Torres Strait Islanders Children

1999 – Preamble Referendum

2006 – Reconciliation Action Plan

2008 – National Apology to Stolen Generation

2010 – National Congress of Australia’s First Peoples, Expert Panel on Constitutional Reconciliation

2012 – Joint Select Committee on Constitutional Recognition of Aboriginal & Torres Strait Island People

2013 – Aboriginal and Torres Strait Island People Recognition Act

2014 – Act of Recognition Review Panel

2015 – Referendum Council

2017 – Uluru Statement From The Heart calling for Voice, Treaty and Reparations

2023 – Voice Referendum

It’s a novel argument. I’ve never heard of a libertarian accepting an increase in the size of bureaucracy, short or long term.

My simple fig farmer mind is more attracted to the libertarian satirist, P.J. O’Rourke, who wrote:

Libertarian satirist, P.J. O’Rourke

“The growth of government is like the spread of a dense jungle, and the average citizen can hack through less of it every year.”

I’m still grappling with NDIS budgets growing from $4 billion in 2016 to $49 billion in 2023. I’m imagining that’s what the Voice will be, plus of course the $450 million just to run this Referendum!

Further, what the former Senator dismisses as a ‘slippery slope’ argument in the next step to Aboriginal treaties is a stated ambition in the Uluru Statement From The Heart.

I suspect he believes No campers are jumping at conspiracy shadows. You know, if our opponents write a 26-page mission statement called the Uluru Statement and conduct national roadshows talking about their plans for treaties, I listen.

“Treaty” very clearly on the agenda. However, treaties are between countries. Yes camp separatists?

And, ignoring this, if we do have a Voice, what would the logical argument from the former Senator be then: ‘They’re jumping at conspiracy shadows with reparations. Vote ‘yes’ to treaties.’

Step by methodical step, we move in the wrong direction towards an expanding bureaucracy.

*****

BLIND-SPOT #5: GOVERNMENT IS HARMLESS

Then there are the worrying one-line snippets which suggest very little by way of libertarian thinking, all downplaying the impact government has. In his language, he implies government is somehow harmless or innocuous.

In one example, the former Senator says the Voice will have “little bearing on lives of individuals”.

Then why push it? Libertarians are pro individual. Let’s not push the collective.

The former Senator blithely continues, “the passing of the referendum would do nothing to reduce the existing ability of anyone to make representations.”

I’d turn that line back on the good Senator as an argument against the Voice. If the Voice does nothing to reduce existing abilities to make representations, great. Let’s keep that benefit without yet another bureaucratic expansion.

I’ve never heard of a libertarian accepting an increase in the size of bureaucracy

He rails against “arguments against a body whose advice needs to be waited for and listened to, when no such body is being proposed”. Oh, it won’t be listened to? Why have it then?

Further, he’d have you believe a politically-charged, constitutionally-enshrined Voice would be ignored. Come on. Look at the oxygen it’s already sucking from the public square. Look at the money suck over the last 50 years.

*****

There are other points to raise, but I suggest this is enough to dispatch the Yes case.

Five blind-spots in the ‘yes’ camp arguments:

Let me know in the comments whether you agree or disagree.

And finally, I want absolutely nothing in my response to the former Senator to suggest disrespect. He is an honourable man. Rather, I began this three-part response quoting John Milton, so I’d like to conclude with what he wrote on the importance of playing the ball not the man:

“ … to dwell at large upon the arguments, and to insist upon the reasons, and not to insult or domineer”
John Milton

5 Dangerous Blind-Spots In ‘Yes’ Arguments (Part 2)

“The greatest threat to freedom is the absence of criticism.”
Wole Soyinka

My inbox was jammed and my phone was ringing all day in response to the debut article It’s Not Our Fight Vote Yes by former Senator Duncan Spender.

To see what all the controversy is about, read that article first.

Then read 5 Dangerous Blind-Spots In ‘Yes’ Arguments (Part 1). That’s my initial response to the drama in which I identified an indifference towards systemic racism as a flaw from the Yes camp.

Now, buckle-up, here’s instalment two, in which I confront:

  • Blind-Spot #2: Can’t Get Much Worse
  • Blind-Spot #3: Concede or Else

Having dealt with the former Senator’s omission regarding systemic racism, next I tackle what he calls his “two half-decent arguments”. In my view, neither pass the smell test.


BLIND-SPOT #2: CAN’T GET MUCH WORSE

“Firstly, Aboriginal affairs couldn’t get much worse”, he asserts.

Really?

Warren Mundine once said to me that the vast majority of Aborigines live in the suburbs, have a job, are repaying their mortgages, educating their children, and coaching the footy team on the weekends.

Former ALP National President, Liberal candidate, businessman and leading ‘No’ camp advocate, Warren Mundine

Who are we to disagree? Sometimes, we political types focus too much on the problems without pausing for a moment to see what’s been achieved.

Some facts might provide perspective.

In the last 235 years, Aborigines in general have courageously transitioned from semi-nomadic hunter-gather societies to the Internet Age. Who can deny the seismic advance.

In 1788, Aborigines spoke at least 250 languages across as many tribes, none of them written. Among today’s Aborigines are highly-literate doctors, barristers, senators, engineers, magistrates, authors and professors communicating in English, a Top 3 language of global penetration and advantage. You can see one shining exemplar here on Liberty Itch.

In 2005, Aboriginal life expectancy was 67 for males and 72 for females. By 2015 it had advanced to 71 for males and 75 for females.

In 1788, Aborigines couldn’t possibly comprehend a Westminster-style bi-cameral parliament, executive and judiciary. Today, there are eleven Aborigines in the Federal Parliament alone, an achievement proportionally greater than the entire Aboriginal population, Aborigines are also serving as Ministers in the Government and as judges. 

In 1788, the records show Aborigines removed fingers to facilitate fishing activities for survival. Today some Aborigines play sport at elite levels, win Olympic Gold medals, with two ranking world #1 in women’s tennis in modern times.

In 1788, Aborigines saw only the land they could physically walk. Today, they live and travel worldwide.

In 1789, Aborigines were particularly susceptible to small pox and other introduced diseases. The earliest journals and official medical records point to tragic, widespread loss of life. However, the last case of smallpox in Australia was 1938. “Couldn’t get much worse” ignores our history.

In 2005, Aboriginal life expectancy was 67 for males and 72 for females. In 2010, this improved to 69 for males and 73 for females. By 2015 it had advanced to 71 for males and 75 for females. Again, “couldn’t get much worse” is not accurate.

The former Senator contradicts himself when he simultaneously says “Aboriginal affairs couldn’t get much worse” and then this incendiary, “We should consider ourselves lucky that, in Australia, the descendants of displaced inhabitants aren’t reaching for rockets.” So things could get worse now?

Both these opposites are hyperbole and run counter to the facts I’ve listed.


BLIND-SPOT #3: CONCEDE OR ELSE

The former Senator continues with his leading arguments, “Secondly, saying no would disempower Aboriginal leaders pushing the Voice and empower militant Aboriginal leaders instead. If you say no to Martin Luther King you end up with Malcolm X.”

My agitated mind is desperately trying to follow the former Senator in shoehorning Marcia Langton’s divisive comments into the soaring rhetoric of Martin Luther King. Maybe he has her in mind for the Voice when he writes “if we instead see the election of some Aboriginal leaders who believe in the individual rather than the collective, it would be worth it.” Forgive my scepticism.

Today some Aborigines play sport at elite levels, win Olympic Gold medals, with two ranking world #1 in women’s tennis in modern times.

I just can’t help but feel the former Senator is caving-in to keep the peace like a parent hectored by a naughty child. That only leads to more complaint and grievance.

Or perhaps it’s driven by fear, like giving protection money lest the mob send in their henchmen to rough things up.

Concede Czechoslovakia and hope the next claim won’t be Poland.

No. Never buckle to fear.


So far, I’ve deal with:

In the third and final instalment, I’ll tackle two more blind-spots which, I suggest, no libertarian would have:

  • Blind-Spot #4: Bureaucratic Expansion
  • Blind-Spot #5: Government Is Harmless.

In the meantime, let me know your thoughts in the comments below.

5 Dangerous Blind-Spots In ‘Yes’ Arguments (Part 1)


Where there is much desire to learn,
there of necessity will be much arguing, much writing, many opinions;
for opinion in good men is but knowledge in the making.

John Milton

Libertarians believe in free speech.

We do not have to agree with the arguments we hear.

I therefore defend the publication of former Senator Duncan Spender’s debut article It’s Not Our Fight Vote Yes, and I welcome him to the publication.

If you haven’t read his piece, you should before reading this response.

I’ve read and reread his article. I’ve endeavoured to be as open-minded as possible, but he hasn’t convinced me.

I am firmly in the ‘No’ camp and stand by my 14 Reasons To Vote No In The Voice To Parliament Referendum.

In this piece and two others, I’m going to do my best to expose five blind-spots in his arguments.

Today, the big one.


BLIND-SPOT #1: SYSTEMIC RACISM

One thing I’ll say in favour of the former Senator’s arguments is that, as a Yes camp advocate, at least he doesn’t slip into the ‘you’re a racist’ slander. Name-calling is never a winning formula when the burden to convince is on your shoulders.

In fact, he concludes with an undeniable ‘indifference’ – his word. We are offered a kind of reluctant accommodation for race-based activism. For precision, I’ll use his words:

“While there remains a constitutional power to make laws about race, and while we only specifically legislate about the Aboriginal race, it is reasonable for there to be an explicit constitutional provision about an Aboriginal body making representations to the Parliament and Government.”

If it has a racial-entry criteria and is being put into our system, it is systemic racism by definition.

I’m a simple fig farmer from the Adelaide Hills. But I’m left feeling empty at this meatless argument. More nourishing would have been ‘systemic racism is wrong’ and ‘race-based admission criteria to a constitutionally-empowered body is dangerous’.

Knowing my limitations, I checked with leading libertarian minds. I’m reminded of the great Thomas Sowell who wrote:

man
Leading libertarian, Thomas Sowell

Racism does not have a good track record. It’s been tried out for a long time and you’d think by now we’d want to put an end to it instead of putting it under new management.”

Is it just me or does the prospect of systemic racism under the new management of the Voice’s architects fill us with dread? At the risk of being accused again of ad hominem, these people are animated by collectivist values, whether race-based or communist. And I am no collectivist.

Racism is the lowest, most crudely primitive form of collectivism.

A properly-centred libertarian cannot simply rationalise the Voice as something to accommodate because we have a Race Power. We must say No, and fight to remove the Race Power at the very next opportunity.

The former Senator either agrees the Voice is a race-based project or not. As I see it, it self-evidently is. If it has a racial-entry criteria and is being put into our system, it is systemic racism by definition. The burden of proof sits with the Yes camp to demonstrate why systemic racism is desirable.

It is philosophically unmoored to say “this is not a libertarian issue.” Murray Rothbard, no less, wrote:

Libertarian philosopher, Murray Rothbard

“Racism is a particularly odious form of collectivism whereby an individual is presumed to possess certain characteristics and moral attributes, or defects, solely because he is a member of a particular race or ethnic group.”

Should we Australian libertarians in 2023 limply concede systemic racism because it is “prudent and gracious”. Or should we listen to Ayn Rand:

“Racism is the lowest, most crudely primitive form of collectivism. It is the notion of ascribing moral, social, or political significance to a man’s genetic lineage—the notion that a man’s intellectual and characterological traits are produced and transmitted by his internal body chemistry. Which means, in practice, that a man is to be judged, not by his own character and actions, but by the characters and actions of a collective of ancestors.”


Tomorrow, I’ll cover Duncan’s two leading arguments and their defects as I see them, being:

Until then, I’d love to see your thoughts to this piece in the comments section below.

It’s Not Our Fight. Vote Yes.

I read hundreds of bills when I was advising Senator Leyonhjelm.  

Some of the bills would significantly alter the size of government or the extent of government interference in the lives of individuals.  For these bills, my advice and the Senator’s decisions were aligned and easy to predict.

But most bills were not like this.  

We should consider ourselves lucky that, in Australia, the descendants of displaced inhabitants aren’t reaching for rockets

Most of the bills wouldn’t make Australia less libertarian or more libertarian.  They represented tinkering with the labyrinthine statute book of a bloated state.  They were fiddles while Rome burned; a re-arranging of deckchairs on the Titanic.

There were bills to change the composition of agencies that shouldn’t exist, the elements of pointless regulations, and the application process for unwarranted handouts. 

I still provided advice on these uninspiring, run-of-the-mill bills.  If such a bill might marginally improve the functioning of our dysfunctional bureaucracy, and if it was supported by a smattering of individuals who had to deal with that bureaucracy, I would advise the Senator to vote for the bill.

I feel much the same way about the Voice referendum, which is why I will be voting yes.

… if we instead see the election of some Aboriginal leaders who believe in the individual rather than the collective, it would be worth it.

The Voice referendum isn’t a particularly libertarian issue.   It has little bearing on the extent of government interference in the lives of individuals, or on the size of government.

A bureaucracy making representations is not an infringement on anyone’s freedom, and the passing of the referendum would do nothing to reduce the existing ability of anyone to make representations.  The Voice is hardly the evil of affirmative action.

The passing of the referendum would require the indigenous bureaucracy to be reshaped, and would likely increase it in the short term.  But the overall size of Australia’s indigenous bureaucracy, and the bigger issue of indigenous-specific handouts, would remain a question for Australia’s parliaments.  Reducing indigenous-specific bureaucracy and handouts will remain an important task for libertarians, whether the referendum passes or not.

Some argue against introducing race into our Constitution.  But, unfortunately, race is already in our Constitution.  While there remains a constitutional power to make laws about race, and while we only specifically legislate about the Aboriginal race, it is reasonable for there to be an explicit constitutional provision about an Aboriginal body making representations to the Parliament and Government.  Just as, if we were silly enough to have laws about Dutch Australians, it would be reasonable to be explicit that Dutch Australians can make representations to the Parliament and Government.

Some argue that the Constitution should remain limited to our major institutions.  But our Constitution already has provisions for minor institutions.  Consider Section 105A, inserted by referendum in 1928, to underpin the now moribund Loans Council.  I suspect that those who wax lyrical over our Constitution have only read bits of it.

Other arguments against the Voice referendum represent a cavalcade of fallacies.  

The passing of the referendum would require the indigenous bureaucracy to be reshaped, and would likely increase it in the short term.

There are straw-men: arguments against a body whose advice needs to be waited for and listened to, when no such body is being proposed.  

There are slippery slopes: arguments against separate things, like treaties and a different Australia Day, that will be argued for regardless of the referendum result.  

And there’s ad hominem: arguments against proposers rather than the proposal.

For me, there are two half-decent arguments in favour of the Voice referendum.  

Firstly, Aboriginal affairs couldn’t get much worse.  If the Voice delivers more of the same, we haven’t lost anything.  But if we instead see the election of some Aboriginal leaders who believe in the individual rather than the collective, it would be worth it.

The Voice is hardly the evil of affirmative action.

Secondly, saying no would disempower Aboriginal leaders pushing the Voice and empower militant Aboriginal leaders instead. If you say no to Martin Luther King you end up with Malcolm X.  We should consider ourselves lucky that, in Australia, the descendants of displaced inhabitants aren’t reaching for rockets, as occurs in other countries.  We should not be so naive to think that such violence is not possible in Australia.

Despite the popularity of tribalism, not every issue warrants a strong, certain, and unwavering response.  Some issues warrant only weak support or opposition, or even indifference.  This is one such occasion.

As our libertarian principles are not at play, we should be prudent and gracious, and vote yes – then move on to more consequential matters.

No Insults, Prime Minister

Plato said that under tyranny of the master passion, a man becomes in his waking life what he was once only occasionally in his dreams.

In his victory speech of 21 May 2022, Anthony Albanese declared to the Australian people that the government he leads “will respect every one of you every day.”

One year later the insults began to fly.

Those opposed to the upcoming referendum on the Voice have been referred to as conspiracy theorists, radicals, and racists.

Perhaps the most vexatious comments were made in a speech given at the Lowitja O’Donoghue Oration on 29 May 2023 where he referred to opponents as “Chicken Littles of the past,” a comment which he later doubled down on in a radio interview with Nova FM on 30 May 2023, declaring the need to “be straight with people.”

I confess to being confused. Was he being straight with people when he told them he would respect every single Australian on the night he won the federal election? Or is he being straight with people when he ridicules those who oppose his edicts on the Voice?

He cannot have it both ways. Or can he?

Had historians been on the Prime Minister’s staff, they could have guided him back 2000 years to review what Julius Caesar had done in his attempt to take the temperature of the people when contemplating his next big move.

Caesar was ruthless in his pursuit to become sole ruler of Rome. He aimed for kingship. But the Romans had ended monarchy in 509 BC when the last king, Tarquinius Superbus, was banished and the Republic was born.

Rome would never again be ruled by a king. Any move to usurp the authority of the Senate would be seen by the people as treachery.

At the annual festival of the Lupercalia in 44 BC, Mark Antony, Caesar’s most trusted confidante and fellow Consul, attempted to place a laurel wreath on Caesar’s head as he sat on a gold chair in front of the rostra overseeing festivities. The historian, Appian, narrates the would-be king’s handling of the situation:

Julius Caesar rejects the diadem offered by Mark Antony. The crowd roared its approval.

“When they saw this, a few people clapped but the majority booed, and Caesar threw away the diadem. Antonius replaced it, but Caesar again threw it away. While they were having this altercation with each other, the people remained quiet, nervous of which way the episode would end, but when Caesar carried his point, they roared their delight and applauded him for not accepting the diadem.”

Despite public opinion being against Mr Albanese’s proposal, and suggestions from various political quarters to withdraw, delay or compromise on the Voice referendum, he is refusing to do so.

Now, the comparison I’m about to draw will undoubtedly elicit gasps of horror from the reader. But I assure you it is merely to make the point that hubris is the common denominator of political leadership no matter the skill of the leader or millennium.

Caesar considered the Republic as insubstantial and admonished its very existence. The historian, Suetonius, wrote of Caesar’s arrogance:

“The Republic is nothing – just a name, without substance or form; Sulla was a fool when he gave up the dictatorship; men should now have more consideration in speaking with me and regard what I say as law.”

Today’s political left continually declares how progressive they are, hence, any talk of dictatorship in the modern West would be laughable – surely?

Mr Albanese told 3AW’s Neil Mitchell on 14 August that if he were dictator, he would ban social media. Yes, this was a hypothetical question put to him, saying that he doesn’t support dictatorships. But two ominous points emerge:

The Prime Minister interviewed by Neil Mitchell.
  1. Perhaps he should have declined to answer such a hypothetical and sinister suggestion given that we are a democracy.

  2. The fact that he highlighted social media, the very tool used to communicate and share thoughts and deemed to be the right of free people, is authoritarian in its very uttering.

Add to that, his comments to faith groups on 22 February 2021 that individualism is a “dangerous fantasy,” and an “indulgence ill-suited to the current reality,” and it reveals a leader stuck more in the ancient past than in the progressive present.

Here ends the one mirroring example of two very different leaders in very different times. Gasping can now cease!

Caesar was a master strategist, so when it came to public admonishment, personal insults would not do for the man who would be king. A peek into his playbook would perhaps serve Mr Albanese’s cause better.

Julius Caesar met his end with a brutal slaying by 23 stab wounds in the Roman forum. Australia in 2023 exists within the boundaries of law, not violence, so time will reveal the political fate of Anthony Albanese following the outcome of the referendum.

Politicians love to tell the people how much they value their vote and respect their opinions. It would augur well if they recognised that winning respect is not achieved through coercion and insults.

That, they must earn.

4 Free Enterprise Policies Guaranteed To Make The Economy Roar!

Red tape is a productivity-sapping and innovation-destroying virus on business. Australia is feeling the effects of a generation of governments that believe any problem in the world can be solved with another little rule, constraint or compliance requirement.

Australian business is suffering death by a thousand cuts.

There are too many rules to actually know and obey.

It’s worse than a mere harmless intent though. Too many politicians and bureaucrats cannot help but paint business as the bad guy, an evil that needs to be contained.

There are enforcers of the rules in all three levels of government. Workplace regulations, tax, superannuation, industrial relations awards and so on are dictated by the Federal government with their powerful agencies, particularly the ATO. The State governments are the most interventionist, with licensing, WHS, regulation and compliance of premises and properties, payroll taxes, stamp duties. These are enforced by an army of bureaucrats from scores of agencies. Then finally our dear local councils look over us to make sure we are operating according to their codes and plans, their rangers constantly on the lookout to catch us out. Sadly, they are aided and abetted by many citizens who see it is their duty to dob-in the smallest misdemeanour

The Liberal Party are as bad as the left leaning parties, full of party careerists with little real-life experience. They talk of removing red tape, but the track record of recent Liberal governments has been to pile on more. They are incapable of addressing the problem because they do not genuinely believe it’s a problem.

The system is so complex, many small businesses do the same as mine. We do enough to get our business open and what we can grow and prosper, despite the myriad of regulations we are knowingly or accidentally breaching. But there are too many rules to actually know and obey.  Ignorance of the law may not be a legally valid excuse, but ignorance is virtually inevitable when the law regulates almost every aspect of life and business. We are all commonly breaking the law because it is impossible not to.

So, what would I do about liberating business from this byzantine morass of red tape? How do we unscramble the omelette?

First, all new laws should have a sunset date of 5 to 10 years. The law lapses automatically if it isn’t extended.

Second, we sunset all existing laws over the next 5 to 10 years. Yes, every single law would be assigned a sunset date to lapse. This can be a random date; it doesn’t matter. As long as the law is reviewed or lapses.

Thirdy, we halve all fines and penalties. We remove incentives and rewards for the government to seek out non-compliance and confrontation. We reduce the size of the government to get rid of the people imposing the rules and bleeding off our hard work.

Finally, we abolish and cut taxes. Abolish payroll tax as it taxes job creation and discourages investment. Cut company and personal income taxes to remove the disincentives. Australia’s company tax rate should be 15% to more closely align with our trading partners. Income taxes should be reduced to a top rate of 25%, so the best and brightest want to come to Australia.

Talkin’ About My Generation (Part 2)

(For Part 1, click here)

At a recent Senate Estimates hearing, Greens Treasury Spokesman Senator Nick McKim asked outgoing RBA Governor Philip Lowe, “On the supply/demand issue, are you aware of the work of economist Cameron Murray stating, at current rate of sales, there are twelve years of vacant land in Australia already zoned as residential?”

This question goes to the very heart of the problem – a total lack of understanding of how markets (in this case, housing) work.

There may well be twelve years supply of vacant land at current prices – over $400,000 per allotment.

If that is the criteria, then why not double the price and there’ll be 24 years supply!

If, however, land prices were what they should be – $100,000 per allotment – and there is no reason they should not be that price, how many years supply would there be?

I suspect it would be all sold in twelve months, not twelve years.

Recent tokenistic rezoning and land releases by some state governments – to great media fanfare – will no more make land affordable than the discovery of a new diamond mine will make diamonds more affordable.

The land development industry of course welcomes the new lode because they know how to manipulate and drip-feed finished allotments (like diamonds) to the market, keeping prices sky high.

So why does this zoned residential land cost upwards of two million dollars a hectare, when adjacent, agricultural land costs less than a tenth of that?

Government zoning anomoly. Adjacent agricultural land is normally valued less than 10% residential land.

The reason is that whenever there is money to be made, opportunities to do business with governments present themselves – particularly in tightly controlled markets like land. Relationships between businesspeople and governments is as old as regulation itself.

What gives these relationships real potency is called the ‘Baptists and Bootleggers’ phenomenon.

The term ‘Baptists & Bootleggers’ was coined during the 1920s Prohibition era in America. Makers of illegal liquor – ‘Bootleggers’ – made donations to elected officials (and to the ‘Baptists’ campaign to have alcohol banned) in order to maintain the ban. That led to sky high prices for their product. Members of Congress justified prohibition by publicly supporting the moral cause of the Baptists.

These days we call those Bootleggers ‘rent-seekers’.

Over the past 100 years, rent-seekers have perfected their dark art of extracting money from taxpayers and consumers.

They are everywhere – energy, superannuation, higher education, land development, indigenous groups, public transport, manufacturing – you name it. They are a scourge. They tarnish the political process, distort the market and in the case of so-called ‘renewable energy’, distort the entire economy.

Renewable energy rent-seekers have leapt onto the climate change bandwagon and are raking in billions of dollars gaming the system, raising energy prices, impoverishing consumers, destroying jobs, and fleecing taxpayers.

Along with unions and superfunds, pharmaceuticals and health, universities and higher education, these Australian oligarchs have limitless amounts of money to both shore up their own positions and resist anyone who might try to challenge them.

Previously, entrepreneurs went to the marketplace to make their fortunes. Today the public purse is the mother lode.

When the NDIS was announced in 2012, it was forecast to cost $14bn a year. In April 2022, actuary firm Taylor Fry estimated that by 2030 the cost will blow out to $64bn a year– a $50bn a year increase.

How did this happen in such a short period of time? Simple – professionalised politics and sophisticated rent-seeking.

So, back to land development. MPs receive donations from rent-seeking property developers. MPs then publicly support urban planners who rail against the so-called evils of urban sprawl. That leads to restrictions on urban growth which force people into high density housing developments in the inner suburbs – a classic example of the Baptists and the Bootleggers phenomenon at work.

It is also well-known that MPs themselves hop onto the property-owning bandwagon with numerous ‘investment properties’ of their own. Keen to maintain their wealth, they publicly support urban planning laws.  Let’s call it ‘the monetisation of urban planning’.

The problem is, of course, that the younger generation of home buyers end up paying for all this. They are forced into overpriced apartments and prevented from achieving their primary ambition – a free-standing family home of their own.

Bootleggers have stolen both their wealth and their future.

For land to become affordable, the government should – as was the case with older suburbs – allow the development of basic serviced allotments – water, sewerage, electricity, stormwater, bitumen roads, street lighting and street signage. Additional services and amenities – lakes, entrance walls, palm trees, bike trails, etc – can be optional extras if the developer wishes to provide them and home buyers are willing to pay for them.

The government should also abolish up-front infrastructure charges and so-called ‘developer contributions’ imposed by local and state government departments. All infrastructure services should be paid for through the rates system – pay ‘as’ you use, not ‘before’ you use.

Trial The Voice At The ALP National Conference

Here’s a great idea. The Albanese government could trial the ‘Voice to Parliament’ by enlisting Aboriginal representatives to attend the national ALP Conference commencing in Brisbane on 17 August. The Prime Minister already has a posse ready to go, the members of his referendum working group, most of whom would be very familiar with ALP National conferences. Indeed, I observed a young Marcia Langton at the 1982 conference in Canberra having a very robust debate with delegates.

The Aboriginal delegates could have a right to advise on all motions of concern put to the conference. This may extend the conference by several weeks, but it would be an excellent opportunity for Labor to demonstrate how the Voice would work should Australia vote yes in the forthcoming referendum.

With the Conference dominated by left delegates, they would be falling over themselves to agree with whatever proposals the Aboriginal delegates would put to the floor. After day one, the Aboriginal delegates, emboldened, would put increasingly contentious proposals to the conference – what fun.

The 49th Australian Labor Party National Conference is the first National Conference in Queensland since the 1970s. Labor was then in the grips of the ‘old guard’, union officials in brown cardigans, intent on controlling all conversations, to the extent there were any. It was a dark and antidemocratic time for Labor.

Australian Labor Party National Conference

Much of the party’s electoral and policy history since has been far more open and enlivened, which is good. Its recent obsession with identity politics which will see it destroy its otherwise firm grip on reality, is bad.

This is most evident in Aboriginal policy.

The 2023 draft platform contains the oft repeated statement by the Prime Minister, “Labor supports the implementation of the Uluru Statement from the Heart in full, beginning with enshrining an Aboriginal and Torres Strait Islander Voice in the Australian Constitution.

To nail the lid on the coffin, the draft platform also reads, “Labor supports all elements of the Uluru Statement from the Heart, including a constitutionally enshrined Voice to Parliament, a Makarrata Commission for agreement-making and a national process of truth-telling. Labor will take steps to implement all three elements of the Uluru Statement from the Heart in this term of government.”

But there is more. Labor commits to “a standalone piece of cultural heritage legislation.” Having leaned on the West Australian Labor government to withdraw its cultural heritage legislation, at least for the course of the referendum campaign, Federal Labor has vowed to step in to fill the gap. West Australian voters’ anger at the heritage legislation will become Australia’s anger. This is not a smart move. It is the opposite of Bob Hawke’s retreat from national land rights legislation under pressure from West Australian Premier Brian Burke in the 1980s. This time Federal Labor wants to double down on the foolishness.

The Uluru Statement From The Heart

A further disquieting step is “co-design” of “legislative reform, policy transformation, administrative improvement and governance”. It should be clear by now that the last 25 years in Aboriginal affairs has been an exercise in co-design. That is why there is a gap that needs closing. Aboriginal ownership and voice has ensured the livelihoods of university graduates of Aboriginal descent. It has locked poorly educated, non-integrated, Aborigines out of the market economy and the open society.

For example, Labor believes that “First Nations people have a right to live on their traditional lands. Labor also believes that it is crucial that “remote communities have essential services and are empowered to participate in the design and provision of those services as genuine partners”. All very well, but who pays for this ‘right’?  

Labor also asserts that “Strong cultural identity is essential to the health, social and emotional well-being of First Nations people.” Sorry, the evidence does not exist. Aboriginal-controlled services assert such things, they never prove it.

On one point we can agree. Labor believes what constitutes an ‘indigenous business’ should be re-defined to protect against ‘black cladding’ and ensure meaningful employment for workers. Who is game to ask who is an Aborigine?

I would be proud of the Labor party if they announced at the conference, ‘No race based policies by 2030’. Delegates of any background could have their vote and voice. Such egalitarian claims used to be the stuff of the old Labor party. Alas, it is no longer.

Gary Johns is the author of The Burden of Culture (Quadrant books) and a former Minister in the Keating government.

Liberty and National Borders

Libertarianism is all about the freedom of individuals from coercion. Libertarians believe the proper role of government is defined by JS Mill’s harm principle: ‘The only purpose for which power can be rightfully exercised over any member of a civilised community, against his will, is to prevent harm to others.’

Within a country this is relatively straightforward – reductions in tax and increases in liberty are supported, increases in tax and reductions in liberty are opposed.

But things can get complicated when it involves matters outside the country. How is libertarianism affected by national borders? Can it apply to relationships between sovereign states?

To what extent should Australian libertarians seek to oppose coercion in other countries?

In his 1801 inaugural address, US President Thomas Jefferson declared that the US should consider its external military alliances to be temporary arrangements of convenience to be abandoned or reversed according to the national interest. Citing the Farewell Address of George Washington as his inspiration, Jefferson described the doctrine as “peace, commerce, and honest friendship with all nations—entangling alliances with none.”

Thomas Jefferson. 2nd President of the United States. Author of the Washington Doctrine of Unstable Alliances.

Known as the Washington Doctrine of Unstable Alliances, this thinking dominated US foreign policy right up to the Second World War. And although America now has longstanding alliances with many countries, including Australia, the doctrine remains influential in some political circles.

In particular, many libertarians support it. In their view, a country should not invest blood and treasure in squabbles beyond the country’s borders unless there is a clear threat to the country and its ability to engage in trade and commerce. It should certainly not maintain military capabilities in excess of what is needed to defend the country.

This is rationalised in terms of libertarian values. History has repeatedly shown that a standing army is a threat to liberty. Moreover, maintaining a military force capable of more than simply defending the country is expensive, necessitating higher taxes than if the Washington Doctrine applied.

They point to wars such as Vietnam, Iraq and Afghanistan, where it is difficult to show any enduring benefits from military involvement by America or Australia. They also criticise current support for Ukraine’s fight against Russia’s invasion.

Ukraine’s ambassador to Australia, Vasyl Myroshnychenko, inspects an Australian Bushmaster armoured vehicle

There is a problem with this thinking though: nationalism and national sovereignty are actually collectivist concepts. They are not libertarian and, Jefferson’s other qualities notwithstanding, neither is the Washington doctrine.

What that means is there is no libertarian justification for doing nothing about coercion merely because it is occurring in another country.

Coercion should always be our concern, wherever it occurs.

That does not necessarily mean rushing military aid to those subject to coercion in other countries. There are many reasons why that might not be possible, practical or advisable. But it is perfectly legitimate for libertarians to consider whether there is anything they can do, militarily or otherwise.

Some interventions have made a major difference. But for America’s entry into the Second World War, for example, Germany and Japan would have imposed their dreadful dictatorships on most of the world. But for America’s intervention in Korea, the people in the south would now be suffering the same miserable fate as those in the north. And but for Australia’s intervention in East Timor, the country would be suffering under Indonesia’s heavy-handed military rule, now obvious in West Papua.

Australian Peacekeeping Handover of East Timor

There are also some current examples to consider. One of the consequences of the climate change panic, for example, is that around 40,000 children in the Democratic Republic of Congo work in appallingly inhumane, slave-like conditions in cobalt mines. The cobalt is used in lithium-ion batteries required by electric vehicles.

In China, the government has imprisoned more than a million Uyghurs since 2017 and subjected those not detained to intense surveillance, religious restrictions, forced labour, and forced sterilisations. Forced labour is used to produce solar products.

It is estimated that China has 98 percent of the world’s manufacturing capacity for photovoltaic ingots; 97 percent for photovoltaic wafers; 81 percent for solar cells; and 77 percent for solar modules. Many of the largest global producers of photovoltaic ingots and wafers, solar cells, and solar modules directly source polysilicon from entities believed to use forced labour in its production.

Even a boycott of products associated with such coercion would be more consistent with libertarian values than doing nothing based on the “no entangling alliances” idea.  

JS Mill was also an advocate of utilitarianism in addition to classical liberalism. This philosophy, generally attributed to Jeremy Bentham, is often summarised as seeking the greatest good for the greatest number.  For libertarians, it should mean the greatest liberty for the greatest number.

BRICS+ of Gold

Jim Rickards, an esteemed American investment banker and author with expertise in finance and precious metals, recently brought to light an intriguing prediction regarding the BRICS+ countries:

“I recently revealed that the so-called “BRICS+” countries will announce the creation of a new currency at its annual leaders’ summit conference on August 22–24. This will be the biggest upheaval in international finance since 1971 … the world is unprepared for this geopolitical shock wave. It appears likely that the new BRICS+ currency will be linked to a weight of gold. This plays to the strengths of BRICS+ members Russia and China. These countries are the two largest gold producers in the world, and are ranked sixth and seventh respectively among the 100 nations with gold reserves.”

Understanding BRICS+

BRICS+ is a group of states consisting of Brazil, Russia, India, China, and South Africa. “BRIC” was coined in 2001 for fast-growing, potentially dominant forces in the global economy by 2050. South Africa’s later inclusion expanded it to BRICS+.

Over 17 years, BRICS+ has endeavoured to become a counterbalance to western hegemony. Its institutions like the New Development Bank (NDB) and Contingent Reserve Arrangement are alternatives to the World Bank and the IMF.

This alliance boasts:

  • Combined economic influence and abundant resources
  • Seven countries in the membership queue, with 13-14 awaiting consideration

Come August, Saudi Arabia’s inclusion will mark:

  • 50% of the global population within BRICS+
  • 30% of global landmass
  • 54% of global GDP
  • Two top oil producers: Russia and Saudi Arabia
  • 15%-20% of global gold reserves.

Moreover, an amalgamation involving the Eurasian Economic Union and Shanghai Cooperation Organisation seems on the horizon.

After their first formal meeting in 2009, BRICS+ asserted the necessity for “a stable, predictable, and diversified international monetary system.” Rickards postulates that BRICS+ is gearing up to unveil its currency.

BRICS+ Currency

Recently, Rickards gave a fascinating interview on the YouTube channel Wealthion. In this interview, he was adamant that the BRICS+ currency, (which he termed a BRIC, for convenience), “is not a gold standard”. 

“The value of the BRIC is not determined with reference to any other currency. It is determined with reference to gold, by weight of gold”.

The implication of the BRICS+ currency being tied to a weight of gold means that, regardless of anything else going on financially and economically in the world:

1 unit of BRICS+ currency = specified weight in gold

Trade between 50% of the world’s population will transition to BRICS+ currency, which will be defined in gold, so half the world’s trade will be transacted in BRICS+ currency.

Gold’s Unwavering Stature

Warren Buffet, an investment giant, once opined on gold: “Gold…has two significant shortcomings, being neither of much use nor procreative.”

Despite Buffet’s scepticism, gold’s reputation as a store of value has persisted for 5,000 years. He is missing the point of gold. Gold is not an investment, it is real money, unlike the 600 odd fiat currencies in the history of the world that have gone to zero.

Gold fulfills money’s 6 characteristics:

  • Durability
  • Portability
  • Divisibility
  • Uniformity
  • Limited Supply
  • Acceptability.

BRICS+’ gold linkage suggests, in the medium to long term, a potential for spikes in gold demand and the nominal currency price of gold.

A Waning USD?

Let’s take a look at the world’s current world currency, the U.S. dollar. The USD does not fulfill the attributes of money.

The U.S. dollar’s decline is palpable. In 1913, when the US Federal Reserve was established, the fixed price of gold was US$20.67. President Nixon infamously broke the gold peg that was US$35 in 1971. Today, gold hovers around $1,914 per ounce. The dollar’s worth is now 1.8% of what it was in 1971, a staggering 98% fall over 52 years.

Rickards’ analysis paints a bleak dollar future, in contrast to the BRICS+: “This is a bet that the dollar is going to collapse against you over time. I think that’s a very good bet … this is not a three-month forecast … you want to launch this new currency and you say hey long term the dollar is going to collapse in terms of gold. I’ll hook my horse to this wagon called gold by weight, and I’ll just reap the benefits.”

Libertarian Lens

The essential question for libertarians is “What can we do, so that we and our families survive and thrive?”

As Murray Rothbard insightfully shared, “I see a great future for gold and silver coins as the currency people may increasingly turn to when paper currencies begin to disintegrate.”

Allowing for one year’s living costs in cash, keep spare gold in hand (not as ETFs or in banks, which carry counterparty risks).  Then, you have a store of value that has well and truly proven itself over millennia. 

Gold never takes its promises lightly.

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