The Electorate Has Spoken: “Democracy is Important”

The winner of political arguments in democracies is decided not by those who argue but the voters. The electorate has spoken and has definitively decided which side won the argument.

Despite this, journalists continue their mindless and boring speculation on what will happen next. In fact the predictions of the various BBC “political editors” have been a bit like the horoscope in a popular rag – all things to all people and anything could happen. The journalists will now (for a while anyway) embark upon sucking up to the politicians that they in the course of the election treated rudely and called liars.

The journalists fail to understand that the electorate is not stupid but really extremely perceptive – more perceptive than the political commentators and politicians give credit for. It perceived by the majority of the electorate great damage by not “getting Brexit done” was being inflicted on our democracy and according the majority voted to get Brexit done because the majority deemed democracy more important than prosperity.

The majority were right. I think that the important thing about democracy is that in the world today the majority of people in any nation can never be prosperous if the nation is not democratic, because democracy does create conditions for prosperity. Tyrants, dictators and democratically installed rulers of whatever political persuasion always end up impoverishing the majority of the people in the nation they rule.

The case for Brexit is simple: the European Union is not genuinely democratic; the real decisions are made by un-elected bureaucrats and the people of the EU have no real say in the direction that the EU is to travel and the policies it should adopt. In the United Kingdom the majority of the people perceived this and voted for Brexit. They understood that in the short term there will be loss of jobs, perhaps a loss of some prosperity, but in the long term democracy will bring prosperity and if it cannot be found in the EU then the UK is better off outside the EU. Staying in a nation (the EU is attempting to be a nation) that does not have real democracy will inevitably result in prosperity moving from those less well off to the large corporations and to the politicians.

Clever, this electorate.

It is worth sacrificing some money and prosperity for an improvement in things that cannot be measured in money

As China struggles to overcome levels of air pollution that compare with the worst pea souper fogs and smogs of former industrial Britain, I conclude that there is no free lunch and that economic growth has its pitfalls and problems as well as its advantages.   Continue reading

Is the tide turning?

In the United Kingdom house prices fell last year by half of one percent but general inflation is falling. Goldman Sachs managed to lose money on its Asian operations. The US dollar is slightly weaker against many currencies. Oil is getting more expensive and there are fears that natural gas will also get more expensive. Gold rallied and then declined a little. Greece, it seems, has been saved although there is a strong possibility that the medicine being administered will harm the patient rather than cure the disease. What are we to make of these economic signals? Continue reading