In America a federal enquiry has now confirmed what we already knew. The 2008 financial crisis was an “avoidable” disaster caused by multiple failures of regulation and good old fashioned greed. If we don’t make some fundamental changes it is all going to happen again…
Under the supposed rules of capitalism, investors take a “haircut” if an investment goes bad – no reward without risk. It’s also Economics 101 that giving relief to the ‘little people’ will have a more stimulating effect on the economy than if you bail out the wealthiest interests in society. But the powers that be are breaking the rules to aid the rich.
The two significant things from the Herald interview: #1 The signalling by John Key of his willingness to step down. #2 The view […]
From the ‘I told you so’ file comes IrishBill’s first post on the Hobbit dispute after Jackson suddenly announced that a settled dispute with a small union was forcing Warner Bros to abandon a $100m investment and move overseas. We now know Jackson was lying to extort more money and a law change but Irish called it at the time, resulting in 516 comments – a record.
The Herald has used the OIA to get hold of emails Peter Jackson sent Gerry Brownlee during the Hobbit shakedown. They show that the Actors’ Equity blacklisting was not a threat to the film staying here – yet Jackson and Brownlee told us it was to justify handing Warners $34 million and rushing through an anti-worker law.
We don’t have to care so much about beneficiaries any more. Or those single parents. Or the trials and tribulations of anyone else at all really. We have to be grown up. And we are more mean and lean than we used to be. Hell, even those pesky parliamentary lefties have abandoned the beneficiaries and the single parents. Yup. Nothing to see there. Life is good. We’re getting ahead. And we sure know what’s what. Don’t we?
Annette Sykes recently delivered the annual Bruce Jesson Lecture concerning ‘The Politics of the Brown Table’. Much of her address is a harsh critique of the so called ‘iwi elite’ and their neo liberal agenda. In my opinion her assessments are true and justified. Without doubt neo liberalism undermines Maori efforts for self determination
3 under the radar stories yesterday. All linked by ideology. Kiwirail to buy 300 wagons from China because its cheaper than building them here. Not allowed to consider wider economic gains. Collins outsources her new prison to a multi-national with a history of prisoner abuse. English wants more ‘value’ from public assets. Value for whom? The likes of Serco?
OIA papers show how the Nats prostrated themselves for Warners. $6K was spent treating the movie execs like foreign dignitaries – ministerial cars, customs ‘facilitation’. Nats wanted to “present an image of an effective government that is worth working with“. All they showed was they had fallen for Warners’ hollow threats. Cost us $33 million.
Warners bludge $30 mil out of us. Kiwifruit growers get a blank cheque while other firms go under. Farmers have their hands out cause it hasn’t rained. Rich finance investors get us to cover their losses. Now, a $10K a night resort wants us to pay for some royals to stay there. Apparently, it’ll be great value for money – that’s what corporate bludgers always say.
Remember how Peter Jackson and Warner Bros pulled the old Hollywood shakedown on us? By making a hollow threat to film elsewhere they got an extra $30 million and a law passed just for them. This was supposedly necessary to save a vital economy gain for the country but the Government knew that was bollocks all along.
The other week, Lynn and I made fun of John Key’s dream that New Zealand would become the Ireland of the South Seas. Does he still believe we should emulate the Irish? The answer is yes. Key wants to abandon proper process and speed up work on an international financial centre for New Zealand, just like the one that helped get Ireland where it is today.
When they’re not polluting our rivers or fighting animal welfare laws, our farmers, the ‘guardians of the land’, are opposing having to pay for their greenhouse emissions. Now, with the Earth having just clocked up its warmest 12 months since records began, farmers are scratching their heads at the early start to the summer drought.
It seems I’m not alone in feeling outrage at attempts to bury any sensible debate on the shape and extent of New Zealand’s coal operations
It’s a special breed of people who can deny workers a cost of living pay increase while pocketing a hundred thousand dollar a week pay cheque. It’s a special breed who can take people’s livelihoods or risk their health and safety to add a few cents to the share price. Research names that breed: psychopaths. Capitalism is built by and for them.
Seems Eric Cantona wasn’t listening.
I particularly liked the response given by Valérie Ohannesian of the French Banking Federation who, seemingly devoid of any sense of irony stated that, “One of the main roles of a bank is to keep money safe. This appeal will give great pleasure to thieves, I would have thought.”
Bill English and brother Conner, CEO of Federated Farmers, share a vision for the world. It’s one where the environment and workers are exploited to the hilt in the name of ‘growth’ and the fruits of that ‘growth’ flow to a privileged elite (like the Englishes). Yesterday rich-boy Conner chided the rest of us with a speech titled “There is no free lunch”
Climate change and a shoals of dirty little red herrings would seem to go together like salt and pepper or cheese and pickle.
The US Government has begun creating new money out of thin air, to inflate away the value of its debt and lower its currency to make its industries more competitive. It’s not the only country. Nearly all the major currencies are engaged in the ‘Currency Wars’, trying to force down their exchanger rates. We’re in the cross-fire doing nothing.
I’ve never really understood the logic of paying CEOs multi-million dollar salaries. Can Telecom’s $7m man, Paul Reynolds, for example, really be worth 100 skilled technicians? Is there no-one who is basically as good who would work for a million or two less? Now, research shows high pay gaps for CEOs actually makes them worse bosses.
We’ve had numerous prescriptions claiming to tackle ever growing numbers of social ills, but the elephant in the room; the underlying cause for our problems as a society is always, assiduously ignored. And that means that many of our resources are being wasted (perhaps deliberately) on illusory problems.
According to some, the very definition of madness is doing the same thing over and over and expecting a different result. In economic terms the world, and NZ, have been doing the same neoliberal economic agenda over and over for the last 30 years. It hasn’t worked. It’s time for a change…
In a highly-charged debate like the Hobbit fiasco, it’s easy to lose sight of the real issue amongst the claims and counter-claims over petty details. In a second post that strips things back to what matters, Blue asks the big question: ‘how exactly did NZ taxpayers end up handing over tens of millions of dollars to Warner Brothers?’
The UK entered the financial crisis over-committed and under-prepared. They spent billions of taxpayers’ money bailing out the bankers. Now the bills need to be paid, and the new government is embarking on a vicious austerity regime. As usual, the burden falls on the poor…
From 1999 t0 2009, the economy grew by $8 billion a year. It’s so bad now the Prime Minister hands over $33 million and our sovereignty as soon as foreign capital says ‘boo’. Which international corporate will shake us down next? Maybe if the Nats had a plan for the economy. Then we could stand on our own feet. But they’re asleep at the wheel.
After the Hobbit debacle, no-one can fail to understand the power that those who control capital exercise in a capitalist economy. The system is set up for them, hence the name, and their power is never stronger than during recessions. While capital is unaccountable, we cannot have true democracy and freedom. How can we democratise capital?
28% of the population raised out of poverty.
50% growth over a five and a half year period
8.2% growth per annum
Unemployment down from 21.5% to 8.5%
Inflation adjusted wages up by more than 40%
The government is currently rushing through changes to employment law.
But the change won’t make any difference to the kind of action Actors Equity took.
So what’s the point?
There was some expenditure that didn’t qualify under the old scheme…We’ve looked to broaden that out. John Key on Warner Brothers, 27 […]
The Government will give the Hobbit producers an extra $33 million to stay in New Zealand and it’s going to use this ‘crisis’ as an excuse to slam through more anti-worker laws. New Zealand has been played like naive hicks. The Hobbit was never leaving. We let Jackson and his Hollywood mates whip us into a frenzy of fear – now we’re paying the cost.
Wallace Chapman has a thoughtful Open Letter to the visiting Warner Brothers executives on his blog, inviting them to front up to the […]
The Hobbit ‘crisis’ is just the latest in a series of capital flight threats from Jackson and Hollywood. We’ll end up paying more to stave off the threat of capital flight because the wider economic benefit makes it worthwhile. Key is trying to talk down how much we can pay but he bears responsibility for talking up the ‘crisis’ to put the boot into unions.
From Stuff: A meeting between Warner Brothers and senior government ministers has ended, with studio executives asking for larger incentives to keep The Hobbit movies in NZ. The two-hour meeting, which included New Line Cinema boss Toby Emmerich, ended with no resolution to the Hobbit standoff…
Otago Law Professor Paul Roth says possible law changes by the Key Government to provide more tax-payer funded charity to corporate giants Warner […]
The Hobbit ‘crisis’ is all about money. It’s about the producers of this long-troubled production, who are in financial difficulty, wanting to minimise their up-front costs. The mark in the con is the only one with cash to offer on the scale they need – the Prime Minister. He’s the one with the most to lose and the most ability to pay.
