Revolutionary Liberalism

One of the most common points of disagreement between, let's call them "state-interventionists" and "non-interventionists", is the claim that "non-interventionism" would leave the poorest in society on the scrap heap with no welfare, no support. That the much vaunted idea of "non-interventionists" that "private charity" or "voluntary co-operation" would take the place of state welfare is just an impossible pipe dream. So determinedly do "state-interventionists" believe their own claims that they frequently castigate "non-interventionists" as heartless uncaring selfish individualists who would rather see others die than pay taxes. One quote from a Lib Dem Voice "discussion" just today will give you the general idea:

"Well none of them [Libertarians] are serious, because it an incoherent philosophy....send the kids back down the mines, it’s only a lifestyle choice."

And to an extent, I used to believe that propaganda. As a geo-libertarian of course I do have an answer of sorts - the basic income derived from land user fees (which would on their own create an almost unimaginably more equitable society in any case) would cover the basics of life for everyone, and give everyone an incentive to top it up with as much or as little work as they can manage.

But a recent discussion on a "non-interventionist" mailing list I've been frequenting recently has challenged the basic assumption of this debate for me. Would people really not contribute voluntarily to the upkeep of others if you don't have a government apparatus threatening them with the confiscation of their property and ultimately the loss of their freedom unless they pay their taxes?

It is a strange proposition. Governments for at least the last sixty years have been supporters at some level or another of some form of state welfare. They may argue about how much is appropriate but the fact is, people have overwhelmingly voted for a state that takes money from you in order to give some of what's yours to someone deemed "less fortunate". We even have a cliche about the inevitability of death, and taxes.

We have tens, maybe hundreds of thousands of people who do voluntarily give up their time to care for another. Most people are someone's relative, someone's friend, someone's colleague. And whilst I recognize that some do not have such support networks and would still require some form of collective support, most people do not want to see their friends and relatives on skid row or worse.

One has to wonder whether the interventionist route actually makes things worse. And in how many ways. When we look at our pay packets do we not think often that we've given quite enough for the support of others through our taxes thank you very much. National Insurance and Income Tax between them effectively make the worker near forty per cent worse off. I know what I would do with an extra forty per cent each month. It would pay the interest bill on the piece of land we have just acquired for our first Community Land Trust for a start.

Other taxes and protectionist policies keep the prices we pay for basics artificially high and create incentives for companies to produce cash cows rather than exciting developments. I'll bet if we didn't guarantee one pharmaceutical company a contract for however many millions of doses of Metformin diabetes pills every year a dozen others would have put the effort in to find a cure, not a chronic treatment regime.

The attempt to do welfare as a "universal" system, with the same rules for everyone, means a bloated bureaucracy enforcing inflexible regulations. If welfare were, say, to be dealt with at the parish level, and the barriers to job creation caused by taxes eradicated, I'll bet you more people would be found some work, appropriate to their abilities, even if it didn't give them everything they need and then people would feel much better about helping them out with the rest - because they were trying to help themselves as best they could. We have no way of measuring that at a national level really.

We have a Professor here at Brookes, a chap called Steven King. His area is the History of Welfare mostly in the 18th and 19th centuries - probably the period which received wisdom says was the harshest environment if you were poor or hapless. But I was fascinated by a lecture he gave a couple of years ago on being elevated to the professoriate (you are elevated to that aren't you?). Apparently when parishes were responsible for pensions, those who actually got a pension - those whom their own peers and neighbours if you like knew had simply tried and been unable to support themselves (in common parlance I guess the "deserving poor") would get on average 75% of the average working wage for their area. For others there were varying levels of support down to a pretty basic safety net that was intended to be subsistence rather than comfortable for those they felt were "swinging the lead".

And then there's the problem of administrative costs. If I had an extra 40% in my pay packet and was going to give it away, I'd know that the people or organizations I was giving it to would get all of my donation. I'll bet for the 40% the state apparatus take off me in taxes, probably half actually gets to someone who needs it, to direct service delivery, if that.

So, given all those disadvantages of, and the singular advantage that people actually vote for, this tax based welfare system at some level or another, is it not just possible that by doing away with all that coercion, all that centralization, all that unproductive bureaucracy, the people who get to keep what they earn would be quite proud to "do the right thing" by their neighbours and communities? If they vote at the ballot box to have money taken off them by the state for things they obviously believe are necessary, would they suddenly feel they were not necessary or that they should not contribute towards those same things without the threats of the state?  Isn't that a totally illogical position?  You'd vote for it but not do it if the people you vote for didn't force you to do it?

And so, at the very least, would it not be at least a courtesy to accept that Libertarianism is an optimistic creed; that it is positive about humanity's innate ability and even need to help each other. You may call that a naive optimism. But I'd rather be a glass half full freedom lover than the glass half empty authoritarian approach that says humanity will not help itself unless it is forced to do so by the agents of a state apparatus that may, just may, cause more problems than it actually solves. Libertarian is not a "devil may care/beggar thy neighbour" philosophy but one that places the utmost faith in people, as individuals, to know and do what is right.

And as to whether it is a "coherent philosophy" or not, I submit that "non-interventionism" is the only truly coherent philosophy in the game. For once you admit the state can do one thing better than we can through voluntary co-operation, you inevitably end up in endless arguments between factions about just how much the state can do better, and the ultimate end of that arms race is totalitarianism - that the state can do everything better than voluntary co-operation. Which is manifestly not true.

Courtesy of the Libertarian Alliance blog, I am drawn to a commentary on the Libertarian Party UK blog about an article by someone called Llewellyn H. Rockwell, Jr. at mises.org (how's all that for being damned by the company I keep, or in this case the blogs I read!) about the relationship between the "state", the politicians who try to make us believe they are "running" it and the people in whose name they are supposed to be doing so.

It introduces me at least to the idea of the "personal" and the "impersonal" state.

The personal state is where the regime in power for the time being is synonymous with the state. Most obviously this is an absolute monarchy for example. The monarch is the state. When the monarch dies the regime dies with them and another replaces it. It may be largely the same but it is still a personal fiefdom if you like of the monarch in charge.

In the impersonal state, the predominant form for the past several centuries (ironically in Britain probably traced to the "Protectorate" or at least the Restoration), the state, its bureaucracy, apparatus and most of its policy direction go rumbling on from one regime to the next. The leader is the manager not the owner, if you will.

He says the political system, of parties, elections and so on, are a chimera, making us believe we are in a personal state. That is we elect a manager who cocks up somehow we just elect another one and everything will be different. But who is really in control?

I'm sure most of us active in politics used to chuckle at "Yes, [Prime] Minister", but we all know there is more than a grain of truth in the message that the bureaucracy just rumbles on, sometimes even deliberately frustrating the will of the current elected managers, knowing that if they hold out for long enough another lot of managers will come along who may be more to their tastes.

And I don't mean that this is a personal thing - that there is some conspiracy between individuals wielding power in smokey rooms and dark corridors. It's just the way the thing works in a big state. Look at the comment the other day by a Labour minister that she thought that by the time of the next General Election the ID card system would be so far down the line that it would be impossible for any new government, even one elected purely on a platform of opposing ID cards, to stop it.

Okay, I think, I hope at least, we can take that example with a large bucket of salt - after all, unless it's been designed by Cyberdine Systems to become "self-aware" on or before 5th May 2010, there will still be an "off switch" on the mainframe! But you get the idea. And if you've been a local councillor, you see it every day in the workings of your council bureaucracy - the same old surly faces, sometimes frustrating the ideas of the politicians and so on. We have come to know some of that as the "can't do" culture.

Rockwell's conclusion is that the political "game" is futile. Ideas can move the world, but they can't shift the bureaucratic apparatus of the state at the same rate. And I have to say, since I combine my party political presence with real action on alternative structures such as Community Land Trusts and social enterprise, that bears out. Indeed, whenever we need the imprimatur of the state, such as in planning issues and so on, the byzantine apparatus seems to do its utmost to frustrate or delay us.

I tend to disagree. Obviously, I suppose, since I remain involved in party politics. But I do recognize that for all the "change" we talk about, Nick Clegg talks about, Obama talks about, whoever talks about, it does seem that most things will just grind on the way they always have. We will complain about them. We may even blame Gordon Brown or someone else for them personally. But if we continue to play that same game we will never really change them.

I am in politics because I believe those big ideas can be introduced through the political system. So did our political forebears like Lloyd-George with his 1909 budget - he at least had the balls also to go head to head with the establishment that rejected his big ideas but still, essentially, lost. I don't advocate violent revolution, though at times it seems that little short of that will actually achieve the change necessary. But I do want us to grow the cojones to be radical, to propose the "ideals" not the "manageables", to aim high and be different. And to demolish this all powerful leviathan and start from the ground up again.

I return again to the idea that we are in an age of epochal change. Of the unprecedented ability for us individually to communicate with others all round the world. We have to begin to ask just how much of that "impersonal state" we need any longer. Cobden had it about right when he said that "peace will come to the earth when people have more to do with each other and governments less." Politicians, let humanity grow up. Realize your limits. Let go and do something productive for a change instead!

Following on the theme from my post this morning about how we could protect data about us held by agencies of the state by using a sort of a personal key and PIN like your bank's call centre has to validate with you before they can access your data, my mind wandered onto other uses for such a key.

It has been a recurring theme in this blog that the internet in particular and modern communications in general represent a great threat to the balance of power between states (and incidentally also global "intermediary" corporations) and their citizens. I say threat, but it's only a threat if you are in a position of power in a state or corporation seeking to continue to exert control over your citizens. Indeed, for the individual, it is the greatest potential opportunity, and the vehicle by which Richard Cobden's quote at the top of this blog's front page may become reality: "Peace will come to earth when the people have more to do with each other and governments less."

Many of our institutions - governments, trans-national corporations, even currency - evolved to deal with issues of trust between people who would likely never have personal contact with each other in ever more remote markets. When trading, you've got to be able to trust that you will be paid for example - one person's "IOU" is not as good a guarantee as piece of paper endorsed collectively by an entire state - a national currency.

But we have an ever increasing range of other innovations to help us trust each other; developments that are increasing quickly with the advance of the internet. We can access our credit files, we can buy digital certificates that help give others confidence to trade with us over the web because they guarantee we are who we say we are and so on. So why not shift these into the "real world".

Why do we actually need, say, a passport to travel across borders, issued by a nation state, when we could have just as secure a guarantee of who we are through some kind of personal digital certificate from an organization bearing the risk, with strong encryption embedded in it? The British government keeps trying to sweeten its totalitarian ID card scheme by telling us, amongst other things, that it will make proving our identity to others in all sorts of transactions much easier. But in fact the history of government involvement in protecting the source data of those identities is appalling, and, as the technology gets more pervasive it seems to be getting worse.

How much confidence can you have in a government issued identity mechanism when so much data has gone missing already? Those identities are, thanks to state incompetence, all but worthless. Of course that's why, partly at least, they want to take biometric data. But in computer security it is generally accepted that being able to produce "something you have" (say a credit card or internet digital certificate) and "something you know" - a password, PIN, or private digital encryption key is far better than ony one or other of these pieces of information on its own. So far as I can see the ID card system, or the passport, with or without a national identity register, does not fulfill both of these - only the former. It is inherently weaker than the commercially available alternatives.

So, why not replace the need for passports issued by a state with identity mechanisms authenticated by trusted corporate or social organizations for whom financial success or failure rests on people being able to trust the people they certify. So you could have a personal account with Thawte as the primary guarantor, for example, and that certificate could be counter-signed by a certificate from other organizations, such as governments, who want to "mark your card" as one of their citizens, granting you the protections normally written on a passport.

It's not easy to get some of these certification authorities to guarantee your bona fides. You need often as much verification as you do to get a passport with other trusted people verifying who you are and so on. But you would not need to give these data to the poroous security mechanisms of the state which has proved beyond any reasonable doubt that they cannot keep the information secure, nor does it offer the other benefit of a private contract - the ability to sue the ass off them if they damage your reputation or security by losing your data - or the corporate incentive of only being able to make a profit if you actually deliver on what people expect of you.

And you also get a choice of how strong you want the certification to be. If it's only guaranteeing small personal trades for example, you may only need to spend a few pounds and fill in a quick web form, validate your address and you're in business. If you want to travel overseas, or deal in bigger sums, or trade with distant counterparties, you may want stronger levels of guarantee and pay accordingly. It's a global standard pretty well too. So you'd have no problems using it to prove your identity in all sorts of applications - travel, trade, opening a bank account, starting a company, getting insurance, benefits, accessing what little data about you the state actually needs and so on - none of which would need to be on any single central database owned by a bunch of data-incontinents like the government is proving to be with the attendant dangers of losing all your data at once.

So, you see, we no longer even need governments to help us prove who we are. And in fact they appear to be singularly bad at doing so. The threat inherent in this is that the currently all powerful state needs to be able to do this, or it loses control of its citizens. And they are shit scared of that. If we are not mindful, in their lust to maintain that power they will get immensely more authoritarian and intrusive. The time is coming when we will no longer need them. We must do all we can to hasten that day before they get their claws in too deep into these emerging trust mechanisms.

There's been a bit of a giggle going round the blogs over Johann Hari's three point plan for revitalizing our democracy. The Centre Forum's Free Think blog described them, I hope with tongue firmly in cheek, as "radical"; they do not even trim the overgrown leaves of our democracy, let alone get at the root of the problem. Tom Papworth offers a characteristically more critical appraisal and says much that I would have said about Hari's ideas themselves ('boneheaded' and 'rent seeking').

But as his suggestion about compelling students to take a newspaper rather shows, Hari is one of the current establishment and it is that centralized establishment that is at the heart of the problem. Our politicians are so remote that we are being told we must rely on people like him, who few of us will ever know personally well enough to tell whether they're honest or not, in the pockets of the trough feeders, or even at the trough with them, to interpret accurately what's going on it the Westmonster village. This is not democracy in anything other than name.

If we want to make politics the topic of discussion around kitchen tables, in the pub or at coffee after Mass, democracy needs to come down to that level. Street level democracy. Most of the parties witter on a lot about "localism" (I notice "localism" seems to have replaced "devolution" largely in their lexicons), perhaps especially the Lib Dems, for whom devolution of power to the lowest practical level is part of the pre-amble to our constitution, the touchstone of our supposed beliefs. Yet even we don't really explore really radical alternatives.

And that's what we need. Our system of democracy was designed in an era in which central government didn't actually do a lot compared with today. Our "representatives" (of curse really only the representatives of the landed population) got themselves elected by a few sheep and packed off to Westmonster for whole sessions at a time - you could hardly hold surgeries in Edinburgh one evening and be back at Westmonster the next.

The civic movement grew up as a more local parallel system often in response to industrialization and urbanization and, at the height of its power was responsible for most welfare, health and education provision, policing and most local infrastructure like sewage, water supply and later still energy supply, whilst private interests built inter-city infrastructure such as toll roads and later railways. And even that was a centralization of power in cities from the previous parish system - you can still go round and see "Parish School" above the doors of those Edwardian school buildings - Glasgow has some particularly good examples. Until as recently as, I think, 1938, Oxford, for example, had at least three pretty well autonomous local authorities responsible for different parts of the city. A few years before that it still had separate public boards to deal with public health issues and so on.

Now, whilst we live in a fast moving globalized world, I question whether we actually need to rely on one representative for sixty odd thousand of us each packing off to Westmonster and fighting for our local hospitals, say, with a bloke from Hull, or having our policing priorities set by a woman from Redditch. I don't much care how they see such things in Redditch or Hull, it's Oxford I'm interested in and all these decisions ought to be more, much more, accessible to me made by much more locally accountable people. Even many of Westmonster's international negotiating functions are much less needed today. We trade for ourselves with people and businesses all over the planet. The sense that we need a national level broker wheeling and dealing in what is almost always rent-seeking and protectionist ways is diminishing rapidly.

Now there are two approaches to devolution and subsidiarity I'd suggest. The one, it seems the preferred one at Westmonster, amongst all the parties, is for we, the people, to wait for the crumbs to fall from the top table. Look at the department for Communities for example. It is this part of centralized government who announces initiatives, looks for councils to fight amongst themselves for a share of the resources to pilot them and ties them up in knots reporting back on outcomes so that "Communities" can decide whether to make those initiative compulsory on the rest of the local authorities, continue funding them and so on. I suggest that this gradualism is an excuse for the centre holding on to power. Each successful initiative dictated from above is a reason to keep these trough feeders where they are. Any ubnsuccessful ones of course are the fault of local authorities themselves or even ourselves, showing us not ready for such freedoms in their eyes.

But far better to my mind is actually reinventing our democratic structures fit for the modern era. Hari, I think, is wrong to say that nobody talks about government and politics. I hear people all the time complaining about politicians. It is, perhaps, comforting even for people to moan about government and politicians - we are able to assign responsibility for cock-ups to someone else. Someone far away in Westmonster and usually, since only about one in six hundred of us actually gets to vote for the individual who will become Prime Monster, someone we didn't put in power. Even local government does it, though often this is with half an eye on political gain at that higher level - persuading your Tory borough's population that something is Labour's doing at Westmonster is part of the "game" of getting a Tory MP elected next time, or vice versa. It is no wonder people are cynical and disengaged, if that's what they are.

And so I'd like to introduce you, if you haven't already heard about it, to the idea of "cellular democracy". Some commentators in the US (where they already have substantially more local freedoms than we do to innovate and compete with other localities of course), in what I see really as a modern development of Hume's "Perfect Commonwealth", suggest that democracy is no longer at a "human scale". Because we elect to remote bodies people we are likely never to meet (at least for more than their allotted ninety seconds on your doorstep when they want your vote) the system itself inflates the cost of democracy. Parties have to spend lots of money getting a nationwide message out. We rely on people like Hari, whom we don't know, to provide commentary and interpretation. Most importantly, perhaps, parties form their policies not around what is good for particular communities but around what is acceptable to the floating voters in a small number of marginal constituencies.

The idea is that we turn our system on its head. We say, as so many politicians like to claim to believe, even if their actions speak to the contrary, that government literally comes from the people, that we cede only so much of our individual sovereignty to some collective body as is necessary to meet those needs we are incapable, for reasons of economic efficiency usually, to provide for ourselves. You have the principal tier of government at a local level. A very local level. A street or small neighbourhood. Usually of no more than a few hundred residents. Candidates are likely to be known, approachable - you bump into them walking the dog or standing at the bus stop. They get their message across to you through real local contact - not some party worker umming and erring for a few seconds on your doorstep or increasingly over the phone, facelessly. Some even suggest that, like a party caucus in the US, these elections could be by show of hands once a year at a local meeting. In a sense, to the successful candidate, knowing who didn't vote for you gives you an incentive to find out why and work with those neighbours, for they will all be neighbours on whatever issues put them off voting for you.

And that's the only vote you get - except for the right of each five hundred strong neighbourhood to recall their representative. By default it is in the remit of those very local authorities - perhaps twenty members each elected by five hundred residents to meet all the needs of that community that must be delivered through collective action, voluntary co-operation. When they find that they cannot possibly meet some need for their 10,000 strong community - they couldn't, for example, justify building a large general hospital just for their small community - but they could decide to join up with other communities to form a second tier of government, to whom a representative will be delegated by the first level authority and a by-election held, or the runner up, or an alternate, would take their place on the first tier authority. These higher tiers need not even be geographically linked. They may decide to join up with others on particular functional issues. Take the hospital again, here in Oxford the John Radcliffe hospitals serve folk from Buckinghamshire, Northamptonshire, Berkshire and so on so even ceding more control to a body based on the boundaries of Oxford or Oxfordshire does not serve all its users.

If a higher tier wants to raise some money, that request is passed down through the various levels and discussed in these local caucuses. People can really decide whether these higher tiers are offering them value for money, or whether they could meet those needs for themselves better. Each higher level authority, however, is only ministering to the needs of its member authorities in turn so it should be easier to follow the money trail and identify whether something is in fact good value for you, the individual, or your small neighbourhood.

Some will say this gives rise to all sorts of problems about "free loading" - communities that decide not to participate in higher level authorities but gain the benefits of their collective efforts. In such a case, perhaps the authorities that have collaborated could decide to charge more for people from the community that didn't collaborate on a particular facility or policy to access that facility - they will, I am sure, soon find it would be better to join to get the "members rate". But ultimately, one has to ask whether "free-loading" is any worse a problem than the egregious rent seeking and bloated costs of our existing system.

Wouldn't Barrie's Palace of Westminster make an interesting "novelty hotel" - just like Oxford's former prison has here. Or perhaps just a prison. That would be quite fitting, considering everything its occupants have stolen from us for decades. David Hume said that we ought to be ready with new ideas of government for the day when, perhaps, by common consent the existing system is seen as broken. I suggest that the epochal changes in communications and trade that have been made in the past twenty or thirty years is just such a moment, and if we are not to lose our democracy through lack of interest on the part of the electorate, it is more urgent than ever.