Showing posts with label economics. Show all posts
Showing posts with label economics. Show all posts

Friday, September 24, 2010

Saving the nation




Yesterday I went to get a sandwich in the middle of the newsroom rush. One of the annoying things about working in an industrial estate (lovely and all as Northpoint is) is that you have to drive practically everywhere, so I hopped into my car and zipped up to our local garage.
On the way, I listened to Minister for Education Mary Coughlan and the seemingly decontaminated Richard Bruton fighting about bank bonds, the state of the country (that old chestnut) and importing third-level students for the fees.
I had just finished reading an exceptionally depressing article by David McWilliams, suggesting that the country is turning into an economic wasteland, followed by another, by Dan O’Brien, saying that we are now exporting people at a rate of nine in 1,000.
Queueing to pay for my sandwich in the garage, I felt a stab of panic – then guilt – at handing over €3.99 (not including the accompanying packet of crisps, which probably cost about 50 cent). That’s €3.99 you should be saving! You’re lucky to even have a job!
Then, in a mental swerve that astonished even me, a well-known vacillator, I gave myself an invisible pat on the back for doing as we’ve been told and unselfishly spending my hard-earned cash.
I eyeballed the guy behind the counter, and telepathically communicated to him just how glad he should be that I didn’t have any bread in the house this morning, and my €3.99 was now, almost, in his pocket. Keeping people in jobs, now, I was. What a trooper.
But the bit that really got me thinking was my own reaction to an exchange between the guy behind the counter, and someone I must presume was an American tourist who was paying for petrol.
Hank – for we will call him Hank – was having some difficulty paying for his gas. A little confusion over the Chip & Pin machine and some awkward misunderstandings between Hank and the guy on the till eventually led to smiles all round and a successful transaction.
Commercial affairs concluded, Hank turned to the queue – me, Breakfast Roll Man in front of me, and a few more, all patiently waiting – and smiled widely at us.
“Now, just to remember to stay on the left hand side, haha!”
“Haha”, I trilled back, grinning like… well, grinning like something out of a Bord Fáilte ad. And doing my best to look friendly, and, er, Irish.
Breakfast Roll man was too intent on the two Mars Bars, two cans of Coke he was clutching (both 2 for €2 at the moment, special offer) to say anything. An elderly man behind me looked blank.
Now, I’m naturally friendly, something that has landed me in trouble many, many times.
But it wasn’t my natural charm and politeness coming to the fore.
Oh no. It was his money I was after.
Following the nanoseconds of conscience-wrestling in which I decided I needed to buy that sandwich for the good of the nation, my eyes had alighted on Hank (and my ears on his mellifluous twang), and I’d decided that, heck, my money wasn’t enough.
Hank was going to be the one to save us.
So I simpered and grinned like Darby O’Gill. I’m not happy about it. But I didn’t say anything beginning with ‘begorrah’.
And Hank, if you’re reading this? I hope you had a lovely drive. Begorrah. 


Monday, August 23, 2010

De-energising

This is my editorial from last week's paper. I've noticed similar pieces a couple of places,in yesterday's Agenda magazine and elsewhere, but this was written last Tuesday.




There are a lot of euphemisms about these days, masking unpleasant news. We’re all familiar with downsizing, resizing and – the most recent word from the world of human resources – ‘rightsizing’. De-energising is the latest one. Coined, seemingly, by the ESB, it refers to what the rest of us call ‘disconnecting’.
Last month, the state-owned energy company ‘de-energised’ 900 households for failing to pay their electricity bills. That’s up from 500 last August.
The news also comes in the same week that the Government floated plans to bump up electricity prices by 5 per cent, adding an estimated €30 per year to household bills as part of a new levy.
€30 doesn’t sound like a lot.
But it is when you remember that this is on top of already well-inflated prices. A 17.5 per cent jump in late 2008, just before the start of the coldest winter most of us can remember, and consistent, small, increases both before and after that.
And it is when you remember that many households have taken substantial pay cuts. Pay cuts have been well documented at this stage, and while some in the private sector – usually those who are still working in their pre-bust jobs – have seen their salaries return to ‘normal’ levels, there are still plenty who haven’t. Public sector workers are still at about 85 per cent of their previous salaries. 13.7 per cent of us are unemployed.
The new levy will come on top of an increase in mortgage rates – the increase varies, but for some customers the hike is as much as €40 per month.
It also comes on top of a 9.2 per cent increase in the costs of education (according to the latest Consumer Price Index figures from the CSO, for July), and an increase in transport costs (2.7 per cent).
In her book The Shock Doctrine, sociologist Naomi Klein discusses how private interests so often triumph over public ones in the wake of disasters. ‘The shock doctrine’ is defined as using the public’s disorientation following massive collective shocks – wars, terrorist attacks, or natural disasters -- to achieve control by imposing economic shock therapy.
And what greater shock has this country had since its foundation than the economic crisis? While the Government discusses selling off essential services like Cork Airport and Bord Gáis, we have taken on the liabilities of some of the country’s most reckless private interests.
While economic theory may not seem relevant to your pocket or mine, take a minute to think about it. Why, with no consultation and no opportunity to protest, will we all soon be paying 5 per cent more for electricity, supplied by a company that we own? Why, when we own the banks, will we be paying one or two per cent more interest on our mortgages, while bank staff play golf at our expense? Why, if we can’t manage our bills as it is, and that five per cent makes paying a bill on time every time unachievable, will we be cut off from a service supposedly run by the Government for our benefit?
Naomi Klein has one term for it – the shock doctrine – but we can thank the marketing department at the ESB for coming up with a new and better one. De-energised is a much better term to describe the state of the nation. We’ve lost the energy to fight back.