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Murray Langdon and the Role of Government

Murray Langdon of Victoria area radio and news outfit CFAX talks about municipal golf courses and tries to connect the Municipality of Saanich’s role in running a golf course with a much larger question around government, and “money”.

I’ve already been inundated with a ream of people who have stated that rec centres, garbage pick-up, landscaping, etc, has always been done by the municipality. That may be true. What I’m asking is should cities and towns be doing that. For example, we know that rec centres lose money each and every year…

via Murray Langdons Comment

The role of government, whatever level it might be, is to maximise the welfare of the people it serves, not some of its people, but most of them. So, looking at government “costs” alone in deciding the role of government is dangerously incomplete. What you actually have to do is to total up the costs for government and the people being served by the government, and judge whether there is an overall benefit to a municipality providing a service. Trying to be pragmatic about it, here are some of the things I look at:

  1. Is the good/service provided discretionary? Meaning, would I be able to live a reasonably satisfactory life without the service?
  2. If the good/service is non-discretionary ( I need it for a satisfactory life), then does it show characteristics of moral hazard (if some people don’t participate, it affects everyone), and would the provision of the service benefit from risk pooling (it works better if we’re all in it together) and mitigate issues of adverse selection (people who need services most are least able to afford them)?
  3. Is the good/service market amenable? (despite what free market fundamentalists may have you believe, Adam Smith did not think that every good/service could fit into a free market paradigm). If market worthy, is there any additional benefit to having a “public option”?
  4. What parts of a good/service are a natural monopoly, and what parts are amenable to market based competition (highways vs. cars)?
  5. When looking at costs and benefits, it’s not enough just look at direct costs like construction, salaries, etc, but also at more intangible measures like decision fatigue,(after a certain threshold, every decision you take degrades the next one) social capital (community relations, cooperation and confidence), creative capital (the ability to attract people to your community), environmental capital and so much more.

Immediately, dumping golf, recreation, and water and sewage services into the same pot makes no sense.

Let’s look at golf, it’s discretionary, and given the proliferation of golf courses in the area, a reasonably competitive good/service (disclaimer: I don’t golf). If Saanich stopped providing golf services, some people would end up paying more, but this would not affect a vast majority of people in the area. So, I wouldn’t shed a tear if Saanich’s golf course was privatised (I would be happier if it became a park, but that’s a different argument!).

Let’s look at recreation centres – Murray Langdon says this:

For example, we know that rec centres lose money each and every year. But we have examples of private recreation facilities, (in Langford for example) that are not only affordable but actually make money. For some reason, people assume that if it’s not run by a municipality, it will be expensive. Well, I have news for you. It is expensive and it may be because it’s run by a municipality.

I am confused, what Langford recreation centre is he talking about? (I don’t live in Langford, or hardly ever visit) The Westshore Parks and Rec Society runs the recreation centres, and it appears to be a joint effort by Westshore communities.

West Shore Park & Recreation is governed by the West Shore Parks & Recreation Society’s Board of Directors  Each municipalities contribution, through tax requisition, assists in the operation of the parks and recreation facilities.

Putting Langford aside, clearly, the public health benefits of increased physical activity make exercise a non-discretionary item (some may disagree!) Community based (whether run by the municipality or not) recreation centres have many benefits that are not measured just by their profit-loss statements. They are often the only option for family-centric, community centric (as opposed to individual centric) recreation. I can’t go to a private gym with my partner (real) and kids (hypothetical), and have all of us participate in  activities at the same time. My partner and I would have to schedule different workouts, then enrol the progeny in a separate swimming or soccer class, find/take turns in baby sitting, etc. So, not having community based recreation increases costs to society + government, while possibly (and not always) reducing government “costs”. The social capital of having community recreation centres, the public health benefits of encouraging exercise, I could go on, the intangible benefits are high. The YMCA, which I am a member of, is a non-profit community run recreation centre, and this model works as well.

Water and Sewer – These are non-discretionary, monopoly driven services not really market based. Construction, some maintenance, value added services, may be amenable to competition, but not the management, oversight and long-term stewardship. While the BC provincial government and various Federal governments have been trying to privatise various commons resources, third-party evidence points to no cost savings.

Here’s a test: Talk about BC Liquor!

The job of a public policy analyst is to consider the costs/benefits of the society as a whole. One does not read government balance sheets the same way one would read a corporation’s balance sheet.

Photo from GibsonGolfer Flickr photostream used under a Creative Commons License.

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    via The Hindu : Front Page : Zardari calls J&K militants terrorists.

    Apparently, “our terrorists” ≠ “your freedom fighters” any more. I am not sure it changes the equation much in Kashmir, which, last I checked, was still burning.

    Predictably, Mr. Zardari is getting a lot of guff about his statements and his foreign minister has already walked them back. He is more used to being a monarch maker who works in the background, put a microphone on him and his gaffes are McCainesque.

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    Obama interview in Indian magazine

    In an exclusive interview, the US presidential hopeful speaks on a range of subjects: the nuclear deal, Mahatma Gandhi, his ability to reconcile Islam with modernity, and how he wouldn’t have put all eggs in the Musharraf basket

    ‘I Am Reluctant To Seek Changes In The N-Deal’ : outlookindia.com

    Interesting interview. Obama says the right things most of the time, so no surprises here. The interviewer also helpfully provides a summary at the top of the interview where he tells us what Obama said and what it means, a little bit of contextualization that goes a long way in helping the reader get perspective on the issues. Western journalists should try this sometime…

    On the nuclear deal

    “I continue to hope this process can be concluded before the end of the year…. I am reluctant to seek changes.”

    His remarks suggest he is opposed to renegotiating the deal, as the BJP has demanded. Should the deal not be sealed this year, Obama as president isn’t likely to impose new conditions, a fear the UPA has constantly stoked to compel its critics to fall in line.

    Now that’s an interesting observation because the proposed India-US nuclear deal will formalize India’s standing as a nuclear weapons power while providing the country with access to reactor fuel and technology. The deal will also mean that India will have to come under the purview of the International Atomic Energy Agency (IAEA) to ensure that certain nuclear safeguards can be agreed upon and met. The so called communist parties of India are protesting this as an affront to the sovreignity of the Indian State and have withdrawn support to the Indian government, who faces a very delicately balanced vote of confidence next week.

    Both the US and Indian governments are currently in agreement that the deal needs to be done before Bush leaves or else… Obama’s thrown a little bit of cold water over this idea, which will weaken the ruling party’s hand a little. The deal has been ratified by the US, so the only thing standing in the way is the continued stability of the current Indian government.

    What do I think? Nothing much other than it appears that India is getting most of what it wants from this deal, a formalization of its nuclear weapons status, access to more civilian technology and legitimization of its nuclear programme in return for some safeguards (which are good for safety and non-proliferation anyway). It’s just that the opposition BJP cannot possibly support the deal because they are the opposition and recent election results in various states have them reasonably confident of getting back in power in New Delhi if the government were to fall and elections were to be called. The left is trying to remain relevant and is usually reflexively anti-US. So dealing with the US government is like dealing with Satan for the “communist” parties (right, call yourselves communists, insult to the word).

    In other, more personal parts, we find out that Obama was in Pakistan for a few weeks when he was 19, which I did not know, but is apparently common news knowledge.

    Interesting times, he’s not even president yet and still has great influence on happenings far away.

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    05CEBA38-309B-4086-9DEA-58D522C052BE.jpg

    Turns out that the Emperor did not want anyone to know what the possible health effects of climate change were going to be.

    White House edits CDC climate testimony – Yahoo! News:

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    So, is there any point in blogging about this story about the Emperor and his politburo wielding the censor pen on yet another government report? No, because like million other stories like the one above, nothing comes of it. Nobody loses anything, the press does not understand that this behavior is unprecedented and more representative of 1960s USSR than the so called leader of the free world. The people who read about it could not care less. This is small fry compared to the “enhanced interrogation techniques” (call it torture), “private military contractors” (call them mercenaries), “extraordinary rendition” (state sanctioned kidnapping, disappearing, whatever you call it), etc. This country has apparently been outraged to boredom. Where does the “editing” (censoring) of a government report even register on this list of outrages?

    Seriously, the Democratic party has been the most undistinguished of opposition parties. Yes, they supposedly control the Senate and Congress, but they don’t. In this weird undemocratic and archaic presidential system, you can only succeed if you have 60% of the Senate, 67% of the Congress or the president on your side. So, functionally, the Democrats are still the opposition party and do not seem to understand that as the opposition party, they need to oppose, manufacture outrage (in this case, no manufacturing necessary), and keep yelling continuously. Some shrillness is indicated here. Yes, they have some power that comes from the majorities, but the power needs to be used. They have to keep sending bills that the president will veto, they have to keep subpoenaing the politburo members so they can refuse to testify, and they have to keep repeating that they’re outraged, I tell you, outraged!!

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    Picture Courtesy Ristocrats

  • Best way to pick legislators? At random.

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    The Abstract

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    Need to move those people from the bottom left to the top right

    Good policy is supposed to maximize social gain. It is difficult for legislators to make good policy in the absence of personal gain, so everyone needs to be in the upper-right quadrant of the figure. The simulation works by denying any party a majority unless they can appeal to a number of independent, random actors. Since these legislators can’t be re-elected and have little to gain personally, they will make decisions based more on social gain than personal gain, and move things upward and right. The simulation also found that having no parties and complete independence conferred little advantage. The optimum was a little more than half of the legislature to be “independent” and “random”.

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    So, a senate that is part “elected” and part random would presumably provide the best outcome. A completely lottery senate would be a great, great improvement to the Canadian senate as it exists today. I am glad there’s some research to back my pet proposal.

    via Washington Post – Study Says Pick some Legislators Randomly

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  • Help Cleanup Invasive Plants in Victoria This Saturday


    View Larger Map

    Are you interested in helping the Lekwungen and WSANEC Nation remove invasive plants? Here’s a press release about the event.

    You and your family are welcome to join us for an orientation to removing invasive plants in Chekonein family territories, facilitated by Cheryl Bryce, this Saturday January 22nd. We’re meeting at 1pm at Camas Point (Cattle Point — at the higher side, on Scenic Drive where there’s a few parking spots by the entrance, just in from Beach Drive).

    Please bring a water bottle and wear sturdy shoes and weather-appropriate clothing.

    If you have some extra tools handy (like clippers, gloves, shovels), please bring them with some sort of label so you get the correct ones back. Many thanks!

    Bus tickets available; the 2A bus goes fairly close:

    For the past 150 years Lekwungen and WSANEC families have been responding to the impacts of colonization in their homelands. This project creates more spaces for local and visiting peoples to collaborate on long-term decolonizing of the land. Through the community tool shed project, local Indigenous families are providing guidance on priorities and the where, when, and how for visitors to join in this work collectively and respectfully.

    The Community Tool Shed & Mapping Project is associated with the Xaxe Tenew Sacred Land Society. Currently we are fundraising so that we can buy tools for invasive species removal and reinstating native plants, including GPS equipment for mapping invasive plants in local “parks” to help plan removal and track effectiveness of different methods over time.

    To get involved, or to donate tools or funds to the tool shed, please contact Cheryl <chers_canoe@shaw.ca> or Joanne <joanne.cuffe@gmail.com>.

    Thank-you!

    Invasive plants are a big problem in BC, and one that requires labours of love to remove, no carpet bombing with herbicides, no industrial solution here, just lots of hands needed!

2 Comments

  1. Absolutely! Too often pundits of privatisation point only to costs, not benefits, and who benefits. In most cases when I see someone heralding privatisation it’s because they have a great deal of discretionary income, and see lower taxes as benefitting them more than increased costs through user fees. Those who constantly cry for smaller government typically don’t need many services and would prefer to hoard their resources rather than submit some for the benefit of society at large. This kind of thinking is exactly what has led to increased inequality over the last number of decades, and it erodes civil society.

  2. Interesting reflections! The rich and narrow demographic that lobbies for “less” government are too often simply selfish. And this also makes me curious about how the costs of public services are sometimes more that private services, because: a) the services are better, b) the services are delivered in a more sustainable way, c) the jobs created by public services are better career jobs with better pay, professional development and benefits. I’ve seen so many jobs in the last two decades get privatized and it’s a total race to the bottom.

    Of course, as you point out, it’s often not true that there are savings in privatization. But in the few cases where there is a savings, I wonder what the cost is to our community.

    I’m curious to know more about the politics of CFAX and Murray Langdon.

Comments are closed.