Tuesday, 12 May 2009

Labour and the lost moral compass

There is a massive scandal engulfing British politics. It relates to the expenses system operated in the House of Commons, the British Parliament. It turns out that our elected representatives are milking the system and claiming for everything under the sun: not only mortgage interest but food, newspapers, toilet rolls, home furnishings, gardening, porn movies, swimming pool clearning, horse manure, anything and everything you can think of.

This story has been led by The Daily Telegraph, also known as The Daily Torygraph , since last Friday. When it started last week, I was a bit sceptical. I thought it was just the start to the campaign for next year’s General Election. I wrongly assumed the newspaper would only publish embarrassing revelations about the Labour party and would leave Conservatives MPs in peace. In case you are not too hot on British politics, this newspaper is a bastion of Conservatism, a proper right-wing, Euroskeptic, anti trade union, free-market newspaper. Nothing wrong with that: everybody is entitled to their own opinion. Apart from the crass Europhobia and its unrepentant Thatcherism, it is/could be a decent newspaper I would buy every now and then. But I don't.

Today however, it has been the first time in over 10 years that I have picked up a copy of The Daily Telegraph at Glasgow Airport on my way to London. Despite the flight being full exclusively of suited types, I was the only one to pick a free copy. The Daily Telegraph is not a popular read in Scotland, not least because of their Scottish Politics correspondent, a resentful, narrow-minded British Nationalist with a profound disdain for Scottish devolution.

Anyway, back to the story, I have been astounded at the lack of compunction by the shamed MPs. You see, what they did was within the rules, apparently. The rules that they themselves designed and policed. Reading these revelations made my blood boil. Had I seen any of these scumbags in the plane I would have given them a piece of my mind.

If you want to read about it, check The Daily Telegraph or BBC News.

But if that was not bad enough, just wait.

Yesterday, Tuesday 11 May, a Labour backbencher challenged the Speaker of the House about this issue. The Speaker is responsible for the office that manages the expense system. This parliamentarian raises her concerns about this mess. But this idiot, this disgraceful member of the Labour party, instead of acknowledging the scale of the problem, tries to bully the MP.






The following day, Tuesday 12 May, another parliamentarian puts it to the Speaker that he should consider the tone and the way he addressed his colleague.
The Ogre of Sprinburg declines:

http://news.bbc.co.uk/1/hi/uk_politics/8046601.stm

Right. But that is not enough.

Today as well, another of the Labour grandees, Lord Foulkes, [wiki] when challenged by a BBC journalist, instead of showing repentance, instead of apologising for the way MPs are screwing up taxpayers, furnishing their homes at our expense, tries to bully the journalist and retaliates back with a personal attack. Watch this:


The party of the people: Iraq war, backing of nuclear weapons on the Clyde (anyone remember CND?), ID cards, privatising NHS, tuitions fees, faith schools, PPP/PFI, privatising Royal Mail, infatuation with the banking industry, more tax loopholes than ever for the rich, and now this.

There is absolutely no policy difference between the Conservatives and Labour. None.

Somehow, even though I have never voted Labour whilst living in the UK, I do feel sorry for all the hardworking, if delusional, grassroots activists who can only witness in dismay how the party of the people has ended up being ruled by a spineless, warmongering, lying bunch of self-serving bullies.

The Labour party has lost its moral compass and the sooner there is an election the better.
After all, if we are going to be ruled by a bunch of self-serving arrogant twats, then I’d rather it was the genuine article. At least then we know where we all stand.


Saturday, 9 May 2009

It is much more important than that

"Football is not just a matter of life and death: it's much more important than
that" - Bill Shankly

Regular readers of this blog will know that I do not write about football very often, particularly about FC Barcelona. That is even though I am a paying member of the club and have been so for many years. The issue is that FC Barcelona is an anomaly, the freak result of a series of historical accidents and social circumstances that would have been impossible anywhere else. As much as I love the club and enjoy the recent superb performances of the football team (always on Sky Sports), the truth is that the club has a perverse influence in the relationship between Catalonia and Spain.

Again, this was explained very clearly by Victor Alexandre (cat, eng). Barça is “more than a club” because Catalonia is less of a nation that it could be.

Anyway, today I am not going to write about the social role the club plays in the conscience of the nation. Today is about Chelsea and that game.

If you are interested in football at all, you will know that Barça went through on Wednesday against Chelsea to play in this year’s Champions League final in Rome against Manchester United.

There has been a big stooshie in the English (and some Spanish) media about the alleged referee bias against Chelsea. Conspiracy theorists claim that UEFA did not want an English final and the referee obliged.

Well, I have had a lot of fund winding up Chelsea fans since the end of the game in the different English newspapers. Very amusing.

Here is a selection of comments posted:
----------------------------------------------------
+ first leg: Henry's penalty and second yellow for Ballack
+ second leg: Dubious accidental handball by Piqué (hardly a clear-cut penalty) and sending off of Abidal for nothing.
I think the referee was poor indeed .

These other penalty claims only exist in the febrile imagination of some Chelsea fans or by some blinkered English journalists. The thing is that the English media wanted an English final (revenues are down this year) and it did not happen and hence we have to put up with the most stupid and ludicrous ref bashing ever. Chelsea's classless antics are bringing down (a lot of) the English media too.

I don't remember all this outrage at Collina's a few years back... remember the special one going to the ref's dressing room at half-time? That did word, didn't it?
Chelsea is the football equivalent of fast food: cheap nasty and tasteless.

Get over it folks: Chelsea are out and most people in the football world are happy about it.
----------------------------
Brilliant: Drogba is so good at cheating that he even fooled his own manager!
Chelsea is proof that money does not buy titles, let alone class.
Against the thuggery and diving of Chelsea, the values of FC Barcelona.
----------------------------
Chelsea is the football equivalent of fast food: cheap, nasty and tasteless.
Justice was done and karma does exist.
Remember the shocking refererring of Collina?Or even the Henry penalty denied last week or the blatant second yellow card for Ballack? And what about Ballacks handling of the ball early in the game before Chelsea's goal?
Well, what goes around comes around boys. Get over it.
----------------------------

The vitriol coming back was quite remarkable. Poor souls.

But even after the debatable referering, football values and styles of the two clubs, which I admit are debatable as there is no shame in being a solid defensive unit (as long as your players do not constantly cheat and dive when they go forward); even after the different reactions over the two legs with regards to refereeing decisions, even after all that, there remains a fact:
On a moral and ethical basis, Chelsea CF are well, well below FC Barcelona.

Who are Chelsea? Chelsea is a London club, infamous for its minority of neonazi, BNP support. OK everybody has skeletons in the closet.

Chelsea is a club that should have gone down a few divisions, drowned by debt, until a Russian billionaire bought it for a token sum a few years ago.
And this man, in London to escape Putin’s attentions, has poured million and millions into this football club. And still they have players that are nothing more than thugs and cheating divers. And play shite, really shite football. And with their antics and behaviour, keep bringing the game into disrepute.

I hope UEFA takes some action against these bunch of overpaid whining, cheating, diving thugs.

Chelsea is a club whose ethos and whose modus operandi, on and off the pitch, is the antithesis of the values of FC Barcelona.

The sad thing here is that there must be, surely, some Chelsea fans out there hugely embarrassed about what has become of their club. The playground for Russian mafiosos, thuggish footballers and pathetic football. The day FC Barcelona becomes an plc or something similar and we become a “business”, I will give up my membership.

Tuesday, 28 April 2009

The Decadence of Catalonia

If you are a regular reader of this blog, you will have noticed that I have not been writing about Catalan/Spanish politics for a while. Frankly, it is quite depressing.

After a few years in government, we can safely say that ERC has not made much of a difference. If anything, because expectations were high, because the need for change is so desperate, the disappointment has been greater. ERC, a party I have voted for many years has been a huge flop. Finally, we have what we always aspired to: a “pro-independence” party that is as incompetent and inept as the others, part of the establishment. It is no surprise that their vote is decreasing. People with a well-defined political ethos and fighting what it is an uphill battle do not like being taken for mugs. Now, those who support independence, if they can be bothered to vote at all, will have to vote ERC but without pride, averting the gaze, ignoring the mediocrity that permeates at all levels of the party machine. Some people always saw this as the panacea of the pro-independence movement: a party that is like the rest. For most of us though, it is a slap in the face.

I never thought I would ever write this but here it goes: at least with Pujol in charge there was a measure of respect, an intention to try to improve things, even if it was in cowardly small steps. At least there was a vision, a purpose. With the current lot in charge of the capital’s council and the government in Catalonia, there seems to be no higher purpose, other than self-preservation of political careers and perks (particularly for ERC and IC-V), and the pursuit of pro-Spanish policies and the consequent lowering of cultural, business, social and political clout of Catalonia (this last point is the PSC-PSOE's job, and they are having a good crack at it).

The asphyxiating control of the mass media by the PSOE in Catalonia is overwhelming: TVE, Radio 4, TV3, El Periodico, El Pais, Cadena SER, COM Radio. Other media that they do not control are overtly unionist and pro-Spanish: La Vanguardia, El Mundo, the private TV channels, COPE radio network.

The de-Catalanisation and lowering of standards inTV3 and Catalunya Radio, audience leaders a few years ago, is a well documented fact and part of PSOE’s plan to discredit what are pillar institutions in the (Catalan) national conscience. ERC is being complicit in all of this and their influence in government is nowhere to be seen or felt.

These days, I mainly read the Diàleg pages in Avui, which should be translated into English in a summary weekly edition, VilaWeb and a few isolated articles here and there. The rest is an intellectual and journalistic desert.

Sadly, what I wrote in a previous post is happening quicker than I imagined. Catalonia is a fading nation, a nation that is less so every day, overwhelmed by the power mechanisms and tactics of the Spanish state, yes; but also victim of its own cowardice, insecurity, collaborationism and self-hate. Victim of history through centuries of political and cultural repression, defeated in war several times, and subjected to a demographic reversal unparalleled in post-war Europe -except for Stalin’s madness in eastern Europe. But above all, a nation whose establishment is complicitly silent in its own subordination. A nation ruled by sepoys who will never face up to those who keep them as second-class citizens.

I thought about all this and I was trying to put it into words for this blog but, predictably as ever, more intelligent minds than mine have already done it. I share their article with you in a quick translation.

Victor Alexandre is one of the very few intellectuals who has the courage and the vision to chronicle Catalonia’s demise, but also offers ways to get out of the moral cesspit the country is immersed in these days.
Alas, there are few like him. Self-protection is the main driver of the Catalan establishment, and few dare to speak out so as not to upset their master.

Victor Alexandre uses an analogy with the opera Antigona, and equates Ismene’s silence to that of most Catalan politicians and intellectuals.

There are versions of this article in Catalan, Spanish and Basque.

For a review of Catalan theatre, read this monograph from the Anglo Catalan Society.

Antigona by Jordi Coca can be purchased here.

(any errors please let me know and I will edit the translated text)

The Decadence of Catalonia by Victor Alexandre

It is hard to admit it, but it is true: Catalonia is in decadence. Politically handcuffed, economically asphyxiated and culturally subordinated, Catalonia is a Pirandellian nation, awaiting an author who will take care of the existential shipwreck it suffers. We have come to a point where we don’t know who we are, and whoever doesn’t have conscience of their own identity does not have conscience of their rights.

We believed that there was some wisdom in our old idiom (“Qui dia passa any empeny”) but there is only individualism and abdication of responsibility. It was Batista i Roca who said that Catalans are egoists, with domestic ideals, and lacking in spirit of command. One would say that we have so little faith in ourselves, and so much fear to lose our little share of material wealth which we enjoy that the smallest gesture of affirmation on the part of one of ours seems to us a reprievable provocation. That’s why it is inadvertent to us the lethal candidness which implies constructing an axiom of the old idiom “carrying on” (“anar passant)” when we remain captive.

Catalonia, like Tebes under the reign of Creon a Antígona, is gripped by fear, and the fear makes her vulnerable and submissive. Here, likewise, power also buys the silence of grateful thinkers and pushes us to make us believe that conformism, meekness and resignation are genuinely Catalan values that are worth keeping. Here, like in the play, Tiresias-like people excel as the paradigm of prestigious intellectual defeated by cowardice, and there are also some Ismenes-like folk, fearful and dutiful model citizens.

The first one, who could exert his influence against oppression, ends up keeping out from it; and the second one, who could rebel against it, asks for prudence, measure and moderation.

“Beg”, suggests Ismene, “we shall look for the path that is easier for us”. Ismene, like many Catalans, believes that it is necessary to make pedagogy with the tyrant, believing that that it is necessary to explain oneself to him so that the kind words soften his attitude like syrup softens the throat. He says that he loves Anígona, indeed, but he abandons her, and through his prudence becomes a traitor. He doesn’t want to listen to his sister when she says:


“Don’t you see the fearful eyes of those who are closest to him? If you beg
in front of him, you will make him still harder, stronger, and you present to
him the chance to show to the city that he, Creont, does not stop for anything
and anybody. He wants to demonstrate his power in front of us, he wants us to be
docile like the dogs he caresses when he likes. If you and I do not speak out,
nobody will
”.

Exquisite, this Antígona of Jordi Coca who, shortly before dying, addresses herself to Tiresias reproaching:
"You have also kept silence. […] What’s up, are you also fearful?[…] Those like
you who could help us, soon become little and coward. You keep telling us
that
no change is possible because things are as they are… So many lies in
what you
say and what you don’t…!”

And finishes:

“Now he, Creont, believes he himself is the city. And you believe yourself that
you are a wise man because in front of him you measure more than necessary what you say… I am killed by his decree and by your silence”.
Alas, Catalonia is rich in Tiresias and scarce of Antígones, because dignity is a word that the managers of the day-to-day –those to whom Lluís Llach asked not to kill off the dream- have changed its meaning upside down until making it a fault.

In their hands, dignity has become an imbecile’s pathology. But Catalonia’s decadence is mostly due to their work, because it is them whom with their silence, with their fear masquerading as prudence and with their submission concealed as realism, have left this country in a cul-de-sac. Lluís Llach sang “they will tell us we need to wait” in 1978 without expecting that some of those who applauded him would make of this waiting game their profession. And it is ironic, and pretty sad, that thirty years later we still need to sing “it is not like this, friends, not like this” and lament the “commerce that is being done with our rights, rights that we have, that cannot be done and undone, new cellbars under the guise of law”.

You have to be quite insensitive not to realise the decadence of Catalonia. It is enough to witness the progressive degradation of the language in the media which with the collaboration or the acquiescence of some linguists is being transformed into a patois named “Catanyol”. Thus, almost without realising, we will have to admit that Catalan language, like energy, has not disappeared but has been transformed into a dialect of Spanish. But Catalonia’s decadence is not only linguistic. Our decadence is also political, economical and social. Catalan politics has been turned into Spanish politics, our income per capita continues to decrease spectacularly to the level of Melilla and our infrastructures are obsolete because of the fiscal robbery. And the worst of it all is the psychological impact that this state of affairs has over ourselves. There is a great feeling of frustration and people look around confused asking where are the leaders that were going to return its dignity to this old European nation. But there are no leaders.

Antígona at least faced up to Creont telling him:
“I accuse you of turning this city into a dead city, without voice or will”.

Catalonia, alas, can’t accuse anybody because the Creonts that are in charge are more canny than Sofocle’s Creont.

Nevertheless, I am an optimist and agree with Jaume Vicens i Vives when he said that Catalonia’s life is an act of continuous reaffirmation and that its motive is its wish to exist. I accept that the current confusion seems to contradict this statement, but it is necessary to understand that the country is going through a process of political growing-up and this confusion is part of it. After that, luckly, there will be no way back and our subordination to Spain will be just a sad memory. We should not then lose sight of our youth, happyly free from the pathological fear of their parents, as it will be them who will teach us that the only way to change an adverse reality is to thing about a better one.

Antígona dies, yes, but it is a young man who tries to save her, and his presence symbolises hope. Thus she declares to Creont when she utters:
“Man also dies when ceases to be a man and does everything because of fear.
[…] I disobeyed you, I have opposed your edict […] and I declare it here,
before this now silent man, that he will live longer than you or I, so that
what has been said lives beyond us”.

Then if we want that this process of political growing-up goes quick, we have to ensure that our media delivers a message within a Catalan-focused framework, because the message impacts the thinking, the thinking deliniates the actions, and actions define history.

Sunday, 26 April 2009

It is official: Spanish state condones Fascism

Rab is back with a scoop: the Spanish state in its present form is the legacy of Franco’s regime and it condones Fascism.

OK, if you have read this blog before, you will know it is not a scoop. I have written before about how Spain is a half-baked democracy.

- Banning of political parties: March-07, Sept-08
- Media censorship: July-07
- How to kill off a language: Jan-08
- Francoist roots of the Partido Popular: March-08, July-08
- Defective democracy: Jan-06, Feb-07, July-08, Dec-08
- Catalanophobia: Oct-05,Aug-06, Nov-08

But this time is just so blatant: the Spanish Ministry of Defence argues that it is perfectly normal to have a portrait of General Franco in one of the military residences in Barcelona.

Can anyone imagine a similar situation in Germany or Italy with Hitler or Mussolini?
Of course not, but Spain is different!

http://www.publico.es/espana/220544/defensa/alega/cuadro/franco/exalta/figura

If this had happened in Germany, the outcry would have been extraordinary. But in Spain the state is fully supportive.

Franco’s legacy indeed.

Saturday, 25 April 2009

Happy New Year 2009!

Well, Rab has been rather busy: changing jobs during the most severe financial crisis since 1929, moving home again, DIY, decorations, planning applications and Freedom of Information requests with the useless fuckers in the most incompetent local authority in Scotland, etc, etc, etc.

But Rab is back and from now on I will keep the blog up to date more regularly.

Sunday, 21 December 2008

The New Capitalism -by the BBC

Over the last year or so, there is one man that has become a source of pain for some in the financial services sector. Some journalists don’t like him either. It is Robert Peston, BBC Business Editor. [blog]

His idiosyncratic style and general slow delivery (plus mumbling and fumbling and humming) irritates many. Others are irritated by his “attacks” on the financial services sector and the markets. The right-wing blogosphere attack him for being a "leftie" and the mouthpiece of the Labour government. Or so they claim. Stockbrokers and investment managers despise him because he “brings the market down”. I thought the markets were "efficient"?
The FT journos call him Pestowire, or Peston RNS, a reference to the Regulatory News Service used for the public dissemination of financial markets announcements.

It is difficult to convey to anyone living outside the UK how pervasive Mr Peston’s presence in the BBC has become. Since his reports on the debacle of Northern Rock, and the collapse of the banking system and consequent recession, his presence is the main feature of the 6pm and 10pm news bulletins every single day. I remember one day he even broadcast from the garden in his house.

Recently, he has published a short essay with the title “The New Capitalism”. [PDF]
They are summarised in these two videos. [link]

Personally, I don’t have any issues with his reporting. And when someone’s argument is over style, or personality, you know that people are on a loser. So I haven’t got much sympathy for those who blame Peston for anything. The world, or the stock markets, would not be any different, had Robert Peston not reported on the stories we all know about now. Shooting the messenger is not the answer to this problem, and it shows how inward-looking and shamelessly self-preserving the financial services sector (I refuse to use the word ‘industry’) has become: denial has become the modus operandi in the face of an unpleasant reality.

I do have a bit of an issue with this essay though. Not much with the content than with it having the logo of the BBC as an endorsement. So is this the BBC’s vision of capitalism post-credit crunch or Peston’s? It may be trivial and I might be over-analysing, but the presentation of this essay is not clear, and as a license fee payer I object the way in which has been delivered.

I have no issue with Peston’s book “Who rules Britain”. It may read more like a series of articles and it lacks a cohesive argument, a central thesis that it is presented to the reader. But overall, it provides a few examples of how the City and big businesses work, and how tax avoidance, sorry tax efficiency, has been encouraged by the Labour government.

But reading his essay on the new capitalism taking shape, I could not help but wondering about some of the statements and claims made:


“Arguably the global economic crisis will turn out to be more significant for us
and other developed economies than the collapse of communism.”
Well, I disagree completely. The collapse of communism left millions of people in the world, including Europe, ideologically orphan. Suddenly, there was no alternative to capitalism in its various forms. Communism, the egalitarian, collectivist alternative had failed. We went from two competing systems to one. Now we are going from an imperfect system to another one.

I agree 100% on the debt binge ('credit expansion' to be technical about it) as the key cause of the present crisis.

Some of the language is quite emotive:
“To put it in crude terms, for much of the past decade, millions of Chinese
slaved away on near subsistence wages and still managed to save, both as a
nation (China swanks £1,400bn in foreign exchange reserves) and as individuals.
And to a large extent they were working to improve our living standards, because
they made more and more of the stuff we wanted at cheaper and cheaper prices.”

It is naive to say the Chinese slaved away on near subsistence wages. Living standards in industrialized areas of China have risen in a way that was unthinkable a few years ago. If they were “slave” wages, then they could not save as much as they do. Agreed, the wages are low compared to Western standards, but wage differentials should not be measured in absolute terms, otherwise workers everywhere except western Europe are too slaving away. I could even concede that most factory workers in China are on relatively low wages, a byproduct of the excess supply of labour, but average Chinese wages are by no means “slave”. Also, and more importantly, the Chinese were not working to improve our standards or toiling for our prosperity: they were working to improve theirs, like any sensible nation does.
It would be more appropriate to say that we were outsourcing work to China so that we could buy goods at cheaper prices and keep inflation down.

I agree that the savings imbalances and the current account deficits in the UK and US (and also Spain) are unsustainable and that our low inflation in the last few years is the result of excess savings from emerging economies being recycled into UK, US and Euro-area debt.

And I also agree with the culpability. All of us to a certain extent for being addicted to compsumption, but mainly our financial institutions for having failed to protect the interests of their shareholders, creditors and customers, and our governments and regulators for having failed to take the appropriate regulatory (disclosure, capital requirements) and political (current account deficits, allowing outsourcing to countries with unacceptable working conditions, supporting asset inflation) decisions to prevent this crisis from happening.

But Mr Peston forgets to mention the issue of taxation and the use of low-tax jurisdictions by companies and business leaders, and how this Labour government has done nothing to stop it.
He also forgets to mention the use of off-balance sheet vehicles by banks. The Labour government and the FSA did nothing to prevent it. And he does not mention that this goverment has overseen tax changes that favour the megarich and private equity at the expense of middle class earners.

But Peston also forgets to mention the concessions China, India and others will extract from keeping buying our public debt. Just now China, if they wanted to, could bring Western economies to its knees simply by refusing to buy our low-interest, low yield government debt. But the Chinese will not do that. They will keep buying US and UK debt and will extract political concessions from the West.

What these concessions will be is difficult to predict. But I am going to venture a couple of possible scenarios:

Institutional reform: the Chinese and India will demand that international institutions are reformed and the US veto is abolished at the IMF and the World Bank.

Taiwan: Slowly, Tibet has become off-limits for the West. And next it will be Taiwan. If I were Taiwanese I would be crapping myself. Over the next few years we will see how China, slowly but surely, will gain gradual sovereignty over Taiwan as a condition for keeping Western capitalism ticking over. And this way, Mao’s dream of a unified China under one leader and one party will be accomplished.

But will the US accept that they no longer have the monopoly of power in world finance? Will they (we) accept to be humiliated once again over Tibet and Taiwan? Maybe not, since Western governments will be unable to control the press and public opinion as efficiently as the Chinese. So we are heading for a political and economic stalemate of unpredictable consequences.

There is one way out of this problem without the Chinese becoming the new superpower and gaining power over Taiwan: inflation. If the West is unwilling to make so many concessions, China, India, Gulf states and others will demand that US and UK government debt pays a higher rate of interest than it does now. That is something our governemtns can do very well, and technically is called "an increase of the money supply", or as my dad says, "printing more money". This however will fuel inflation in the US and UK and Euro-area which could have a devastating effect on employment and business investment -unless proteccionist measures are adopted to protect "national" industries. But then, protectionism itself keeps inflation high; there is no easy solution.

So over the next few years our political leaders will have to make very “tough” (don’t they love to use the word?) choices.

Do they accept that a new world order is emerging and that there are political prices to pay? Or will they postpone or delay this restructuring of world finance and political power by implementing inflationary policies that will reduce the nominal amounts of national debt but fuel domestic inflation?

In crude terms, the question is: will our (Western) politicians give up the world power mechanisms they have built up over the last few decades?

I know what my answer is. What is yours?

Monday, 15 December 2008

Slightly above Turkey



Someone asked me the other day how Spanish democracy compares to other European states given its troubled history. I have a reply ready for these situations: “slightly above Turkey”.

We had another couple of examples this week.

First, there is one person who is going to be judged on a political charge: refusing to participate in the Spanish electoral process.

Marc Belzunces refused to participate in the administrative process of crossing people off a voters’ roll and spend a full working day in an electoral polling station. He objected on the grounds of conscience: he does not believe he is obliged to participate in a Spanish electoral process performing administrative functions. He refused to attend on election day.
Fair enough, you might think, can they find somebody else?
Not so simple. He is now being prosecuted by the Spanish Prosecution Service (Fiscalía).
They are pressing charges against him. A political crime in the European Union.
Oh, it just happens that the person in question is a pro-independence Catalan. Does this change anything? Yes, it does. Every election, dozens of people across Spain refuse to participate for whatever reason in the administrative process of setting up the ballot papers, counting the votes, updating the voters’ list, etc. I have not heard of any high-profile prosecution. Yet, we can expect the Spanish judiciary to ensure this (Catalan) man is fined and punished accordingly. And a wee reminder to others who may be thinking about doing the same. [Avui, VilaWeb, El Periódico, La Vanguardia, Racó Català]

Another example of the Spanish state dogmatic approach to its own brand of nationalism is in the banning of a TV advert. Yes, you are reading this correctly: a TV advert in favour of official recognition of the Catalan football teams has been banned by a Spanish court. [Avui, VilaWeb, La Vanguardia, TVC]

Why? I heard you ask.
Because of the following slogan: “Una nació, una selecció” (One nation, one team).
Oh yes, the judge also said that children were used, but I have not seen any of the political adverts from either the PSOE or PP being banned because they featured children. Since when it is banned to use children for TV adverts?

I link the video below so everybody can watch what the Spanish judiciary have banned. I don’t see anything in this TV advert that warrants a banning order, but then I am not a Spanish judge:







This is just another example of how Spanish nationalism pursues its objectives by using the law, Spanish law, to ban, prohibit, punish anything and anybody that might question their proto-Francoist idea of national sovereignity and integrity. Sure, nobody gets killed these days, beatings in prision cells are rare, but the same policy objective is implemented under the façade of democracy. Spanish democracy, just above Turkey and its infamous Article 301.




Sunday, 14 December 2008

The Best of the Rest: The Black Swan

If you are a regular of this blog, you will have noticed that nowadays I don’t write about Catalan/Spanish politics very often. It is too depressing and there is plenty to write about with the worst financial crisis since The Great Crash happening before us. Anyway, there are plenty of good sources out there (check out the links section) out there that explain what the problems are and how to move forward. I find the Diàleg section of the Avui newspaper a breadth of fresh air and practically the only mainstream media which offers a platform to the pro-independence movement. For example, this article on Sunday’s Avui. If you require a translation to English or another language, use this online translation tool.

Anyhow, back to the topic. I have been reading a few books recently. Even if you are not interested in financial markets and economics, I suggest you read these three books. It is probably one of the best investment decisions you will make in 2008.

First, I read the latest book from George Soros. [Wiki]



This is the second book I have read from Soros, I first read The Alchemy of Finance in 2003 and that was the first time I heard of his concept of “reflexivity”. I had only been in financial market for over a year, doing a crappy back office job, but this book made a lot of sense to me. This was a successful market participant, reviled by the British press for his involvement in Black Wednesday, that was telling us that the system is not as good as everyone think it is.

In his latest book, he delves further in the concept of reflexivity and how it induces vicious and virtuous cycles. One thing that strikes me about this man is how despite all his wealth and success, he still has massive hang-ups about not being accepted by the academic community and not being taken seriously as a philosopher. At a different level, it reminds me of the hang-ups I have about my own education and not having attended a proper university in Barcelona when I should have done all those years ago. If even one of the most successful people in the world has a hang-up about academic achievement, then how am I supposed not to have one about my own mediocre academic background?

So reading Soros again was good. The book is easy, there are no technicalities, and his own admission of fallibility makes him quite endearing. A book that anybody can read and understand.

Then, after years of delay and making up excuses, I found the courage and time to read ‘Fooled by Randomness’, by Nassim Nicholas Taleb. [Wiki]
















And just now I am reading ‘The Black Swan’, his latest book.
Sometimes I wish I had read these two books many years ago, before working in financial markets. Now it is rather late to seek a new career…

These two books contain a bit more of mathematics and certainly more philosophy than Soros’ digestible book.

Before you go and read the reader reviews in Amazon, I would advise you not to do that until you have read the books yourself. When the main criticism of a book is that its style is “irritating” and that the author is “full of himself”, you know there is something going on. I don’t know of any published author that is not full of himself!

The books can be summarised as follows:
+ Trying to apply the Gaussian curve to social sciences (say economics) as if it were a natural science (say physics) is a huge mistake. The use of the Gaussian curve in economics and financial markets is an intellectual fraud.

+ The use of statistical methods in economics is killing off any arguments about logic.

+ Economists, fund managers and consultants that appear in Bloomberg TV, etc, forecasting or giving their “expert” advice are not more than entertainers.

+ The narrative fallacy, how we retrofit explanations to events we never predicted.

+ Because of the above, globalisation of finance, and many other small things, the complexity of our world is ignored in favour of simplification and this leaves us more exposed to risk than we realise. We should learn to live with uncertainty, and accept that not everything can be optimised, rationalised and modelled. Sometimes, it is just down to luck.

Taleb knows his stuff and he is probably the most well read person ever to walk in a trading floor. You don’t need to be an expert on the mathematics of finance or even philosophical movements to read this book, but it helps if you are interested in the basics. Ignore his personal anecdotes, the punctuation, his style, and just focus on the concepts.


These books are demanding but not impossible. As someone who has ended up in this industry (financial markets) by accident, I find his views appealing. Having heard and watched so many charlatans, having read so many “research reports” on economics and markets, having seen how the industry is driven by nothing but self-interest and unimaginable greed, I am hugely sceptical about how the financial markets operate. I have been for a long time but could explain how or why. From a personal point of view, these books have been a great injection of intellectual self-esteem. I knew the dogmas of finance are bogus (equilibrium, rational expectations, Gaussian curve, Value at Risk, historical volatility, retrofit explanations by 'experts', etc), but I did not know how to back up my own views with some intellectual rigour. I always knew it was not right but could not explain it properly or confidently. Now I can. If you read these books, so will you.

Sometimes, I wish I had read his books many years ago, before entering the industry. I should now be something else: a teacher, a bus driver, a tiler, or even a sound engineer. It is hard to read these books and still go to the office everyday knowing full well, as I always did but now with the theoretical back up of Taleb and others, that it is all a big con.

If you are thinking about starting a career in financial markets you should read his books as soon as possible.