Milton Friedman a hero

November 22, 2006

Dear Sir,

Last weekend a talented and funny man died in San Francisco aged 94. This hero did more for poor people than all the politicians and union leaders that have ever lived as the people in India and China are belatedly finding out.

Many of our elected officials and union leaders have little understanding of economics, yet they wield tremendous power over our economy through taxes, regulations, immigration, giving government contracts, and countless other costs associated with government.

They spend taxpayers? money with little or no thought given to the economic consequences of their actions. Milton Friedman with unusual eloquence took great delight at puncturing the pomposity, and publicly exposing the ignorance and stupidity of politicians and bureaucrats.

He wrote extensively on the nonsense of such things as rent control and the minimum wage ? two sacred cows of the PLP ? seeking to illustrate that those in power cannot suspend the laws of economics any more than they can suspend the laws of physics.

He transformed public debate on economics away from the suicidal path of central planning and toward economies based on individual choice, free markets, rule of law, freedom and personal responsibility.

In his last decade, he devoted considerable efforts to promoting school choice ? something that is badly needed in Bermuda especially for those who are poor and disadvantaged.

He fervently wanted to provide all parents of primary and secondary school children with vouchers to be spent at the school of their choice. Government?s only role in education would be to provide the vouchers; competition for clients, or students, would assure quality and innovation in the educational system. In this quest he had some success, but not to the extent that he would have wished.

He understood that in American (and British) public schools poor people were repeatedly shafted by the bureaucrats and politicians, and had he known of the conditions in Bermuda schools he would have reached the same conclusion about us. Columnist Larry Burchall constantly writes about the sad state of Bermuda education especially for the black population but, alas, stops short at recommending vouchers and school choice.

Professor Friedman is often referred to as a monetarist, but his basic belief was not about money. It was about the inherent right of poor people, like rich people, to have the power to choose how they wanted to live.

The Bermuda Government could do nothing better for those who are disadvantaged than to acquaint itself with the ideas of Milton Friedman.

This is unlikely for that means killing off foolish ideas like rent control, minimum wages, affordable housing, the Department of Education, and the latest idiocy sustainable development.

Cops, mould, traffic, etc

November 29, 2006

Dear Sir,

Another part of the agenda to focus on:

1. Revving:Actually regarding this, you shouldn?t need to rev any more than three or four times (basically you shouldn?t need to overdo it since over-revving wastes time as well as gas) after starting it in the morning since at night while the temperature is extremely cold, it will require a little bit more than simply turning the key and assuming the car will warm itself up without doing so (this would also apply if you leave your car, sitting out for more than probably 30 minutes, depending on how old it is). Idling shouldn?t last a long time either.

2. In today?s paper, Renee Webb speaks again about that stupid gay issue. The way I look at it is this, if you don?t like how the Island is now, leave!

3. Cops/Cell phones: Even though cell phone driving isn?t against the law so to speak (as mentioned in Part I) if cops are driving this way as well, are they setting a good example for others? Not really.It?s okay if they use their CB to contact other cops but a cell phone while they?re driving ...? Here?s a suggestion,pull to the side where it?s convenient and you?re not in the way of any vehicle,then make your phone call.

That way you?re not only being able to have a conversation in peace but,you?re making it safe for whoever?s behind you or worse,in front of you.

4. With the old Berkeley being used as a regular school for the CedarBridge students,will the regular CedarBridge be demolished or not? If the mould problem can?t be resolved then shouldn?t that be an issue?

Also, will you still keep the same odd CedarBridge uniforms, or change them again like when you tore down Devonshire Academy and,felt it was necessary to eliminate the blue/grey uniform as well as the tie and add,this cranberry pullover look you have now?

5. The amount of traffic in town: Noticed how many cars entering Hamilton at once per day? Since most businesses start work at 9 a.m. what else do you expect? And since strangely most finish at 5 p.m. wouldn?t it make sense if some businesses started later and other businesses finished either earlier or later? That way it isn?t a traffic jam every single morning,every single afternoon.

Also,Washington Mall should close up around 7:00 p.m. (yes that?s late but,doesn?t MarketPlace finish later? So,what?s the big deal?). English Sports Shop, Pirate?s Port and Gibbons Co. could probably close later to since, they?re clothing stores for school children as well as adults.

6.Sports: Is the BFA still up to par. How about the cricket team? Will basketball become another path for Bermuda?s youths? If not,why not?

Perils of minimum wages

November 29, 2006

Dear Sir,

The increased push for minimum wages will no doubt be a very popular strategy with the voters, but it has its perils. Advocates of higher minimum wages argue that it makes good economic sense to help the poorest segment of society.

Detractors argue that by raising the cost of employing the lowest skilled workers, employers will employ fewer of them.

Recent studies have shown that employers spend less on training their workers as their labour costs rise; that more students drop out of school, lured by larger pay cheques, and that workers in their 20s earn less if they were exposed to high minimum wages as teenagers.

A recent Economist magazine article stated that most economists agree that a higher minimum wage does not do much to relieve poverty, because many poor people would not gain (since the very poor do not work); partly because some of the costs of higher minimum wages are shifted onto poor consumers, and also because minimum wage workers are not poor.

Statistics show that in the US 30 percent of the minimum wage work force are teenagers. Arguments have been put forward that minimum wages actually increase slightly the number of people in poverty as older workers disproportionately lose their jobs to teenagers who get higher wages.

One consideration is that there exists a better tool to fight poverty: tax relief. This could be targeted at families with children with the most need ? by reducing their tax burden, either in the form of the payroll tax, or other tax concessions.

There are serious implications to meddling with the economic framework of society, and I would hope that the Government would not shoot head first into a poorly thought out proposal to introduce minimum wages in an effort to obtain what could only be short term gains, with long term implications.

Whose flag do you mean?

November 23, 2006

Dear Sir,

This letter is in response to Musing?s letter about waving ?our? flag high. The interesting thing about ?our? flag is that not many people really know what the Union Jack is or how it came about.

Going independent does not mean that we will be breaking our relationship with Britain; it only means that we will no longer be a British colony.

The statement mentioned in your letter, ?all those who built and developed this island? has everything to do with an ?Afrocentric ideology? as it was the African slaves, the same driving force behind our economy, which built and developed this island.

The first people to step foot on the island as we already know were African slaves; they were always the first sent to swim ashore to new land.

You see, for some of us, becoming independent would mean ?breaking? a strong family heritage that has perpetuated colonial tradition. While for many others it will help break the shackles of a history that remains.

Thanksgiving holiday

November 23, 2006

Dear Sir,

As we watch our friends in the US take the time to celebrate all there is to be thankful for, I wonder why we don?t consider doing the same in Bermuda.

We are so lucky to live on such a beautiful island; we are so lucky not to have to live with wars and wonder if our young soldiers will make it home alive; we are so lucky to have enough food for our families, shelter from the weather, schools for our children.

If we only took the time to appreciate what we have, rather than what we have not, we would realise that, as Bermudians, we are one and we are blessed.

I would ask our Government to consider Thanksgiving Day a national holiday in Bermuda also.