what you get here

This is not a blog which opines on current events. It rather uses incidents, books (old and new), links and papers to muse about our social endeavours.
So old posts are as good as new! And lots of useful links!

The Bucegi mountains - the range I see from the front balcony of my mountain house - are almost 120 kms from Bucharest and cannot normally be seen from the capital but some extraordinary weather conditions allowed this pic to be taken from the top of the Intercontinental Hotel in late Feb 2020

Tuesday, May 10, 2011

our cunning elites


I was skirting yesterday round Plovdiv (which has an old Roman heart – like so many Bulgarian towns) at lunchtime yesterday on the way to a workshop at Assenovograd when I passed a sign (Brestovitza) which is the name of my favourite red wine. I did an about turn, drove through some great-looking vineyards at the eastern foot of the Rhodope mountains and shocked one of guys hanging around the rather decrepit winery into opening a bottle of Sauvignon Blanc and of a Rose for me to taste! I don't think they have such requests very often - although this small village apparently has 10 wineries (including the famous Toderoff one)! I was amazed to discover they they produce the great Erigone wines - which I fell in love with 3 years ago but then couldn't find again! Now I know where! I bought 2 of the Erigone's Cabernet-merlot (4 euros); 2 Rose (3 euros); and 2 Chardonnay. Tomorrow I will pop in to one of the Plovdiv art galleries which started me on my painting collection exactly three years ago - on my way to another workshop in a small spa town which skirts the western side of the Rhodopes. What a life! I’m staying at a superb Hotel (Sani) on the outskirts of Assenovograd with a very sizeable room with a view up a valley between the foothills – and a cavernous supermarket in the basement with rows of products (including one of the best selections of wines I’’ve seen) – but no customers! Smacks of a „cathedral in the desert”. Speaking of which, I was horrified to learn at dinner that municipal elections in November here may make half of the the 120-odd trainings this project is organising abortive! Such is the politicisation that many of the officials will be replaced – and it will take a couple of months for that to work through. And, because this project was 2 years late in starting (the usual Balkan politics), it is impossible to extend its current termination date of end-March. So even more workshops may be crammed into the autumn period before the axes start to fall in the pre-Christmas period! My initial view would be to stick with the schedule – although, in such a climate, noone probably wants to be absent from the municipal office! This is where the Brit in me loses patience – Bulgaria should be booted out of the Council of Europe for having such a level of Sultanism in its municipal systems.

But there are more important things to focus our energies on – eg the banks. A couple of good articles. Many of us had thought that neo-liberalism was on the wane; that the financial crisis had exposed once and for all the inanity of the claims of the financial experts; and that the clear public consensus for root and branch reform of the banks would lead to radical reform. In fact the opposite seems to have happened. The elites have spotted the danger; have been able to put an alternative narrative in place (about government debt – and its needing to be cut back) and have audaciously and, so far, successfully, managed to take things in the opposite direction. George Irvin has a strong piece about the strengthening (rather than weakening) of the neo-liberal agenda this has allowed in Social Europe.
Few of us pretend to understand finance – and that is the achilles heel of Democracy these days. We can talk until we are blue in the face about education, migrants, law and order but all this is just a gigantic diversion compared with the activities of those who control our financial system. And, as long as we fail to try to understand what they are up to, we are doomed. That’s why this amazing paper on what’s behind the Irish financial crisis is so important. It’s also why the Real World Economics blog (written by a group of economists who expose the nonsenses of that so-called discipline and have a commitment to drag it into the real world) is so worth reading (and therefore on the list of my recommended links) – particularly the recent posts by Peter Radford which give us insights into the unreal world which has such a profound effect on our real world.
Perhaps the most devastating comment about the state of economics today came – as a short article on Social Europe recounts - at a recent conference held in Bretton Woods, New Hampshire – site of the 1945 conference that created today’s global economic architecture – came when Financial Times columnist Martin Wolf quizzed former United States Treasury Secretary Larry Summers, President Barack Obama’s ex-assistant for economic policy. “[Doesn’t] what has happened in the past few years,” Wolf asked, “simply suggest that [academic] economists did not understand what was going on?”Here is the most interesting part of Summers’ long answer: “There is a lot in [Walter] Bagehot that is about the crisis we just went through. There is more in [Hyman] Minsky, and perhaps more still in [Charles] Kindleberger.” That may sound obscure to a non-economist, but it was a devastating indictment. Bagehot (1826-1877) was a mid-nineteenth-century editor of The Economist who published a book about financial markets, Lombard Street, in 1873. Summers is certainly right: there is an awful lot in Lombard Street that is about the crisis from which we are now recovering. Minsky (1919-1996) is best approached not through his collected essays, entitled Can “It” Happen Again?, but rather through the use Kindleberger (1910-2003) made of his work in his 1978 book Manias, Panics, and Crashes: A History of Financial Crises. Asked to name where to turn to understand what was going on in 2008, Summers cited three dead men, a book written 33 years ago, and another written the century before last.
For my sins I trained as an economist – although in the Scottish tradition of political economy – and did, for some years, lecture on the subject. But I was always mystified about it and sensed its quasi-religious element.
I have a large folder on the financial crisis – but confess to have read very little of it. There are few writers who can make the subject really interesting. Susan Strange was one – but is sadly lost to us. Susan George used to be another – but does not seem to have written recently. I have always admired the writings of Ronald Dore (who helped open our eyes to the Japanese ways of doing things) and was happy to see that he had written a piece in 2008 about the financialisation of the global economy.

And I’m travelling with the paperback Basic Instincts – human nature and the new economics by Pete Lunn who writes very well and clearly.
The painting is by a different Petrov - Ivan this time! 

Sunday, May 8, 2011

The Myopic General class - time to let the troops loose


For those not aware, the heading I gave to yesterday’s post was from "that play” by Shakespeare (it’s apparently bad luck for actors to refer to the play’s name!!)
Out, out, brief candle!
Life's but a walking shadow, a poor player,
That struts and frets his hour upon the stage,
And then is heard no more. It is a tale
Told by an idiot, full of sound and fury,
Signifying nothing.
Macbeth Act 5, scene 5, 19–28

I was pleased to find out that I will not be the only one in Varna next week questioning the conventioanl wisdom. In a quieter way, another paper – by Canadian Professor Leslie Pal – sets out some of the instruments which have been used by the OECD to try to get the sort of public management reform it thinks necessary. It looks at an important report OECD published in 2009 which, unfortunately, is behind a pay wall. But his paper summarises its main themes and argues that -
the OECD report contains a direct critique of New Public Management (NPM) and three questions that governments were urged to ask themselves in the search for a new governance paradigm. The critique of NPM noted that due “to lack of data and numerous challenges in measuring outputs and outcomes, governments have a difficult time in determining whether the reforms have really resulted in efficiency gains.” But it goes further:
New Public Management has exacerbated the traditional separation between politics and administration, between policy decisions and their implementation. Dismantling organisations also sometimes led to a loss of continuity, institutional memory and long-term capacity. The focus on contracting and reporting may have come at the expense of coherence of strategy, continuity of values and connecting public interest to individual motivation.
In addition, many governments have not developed sufficient oversight capacity, increasing the threat of provider capture. Often, governments adopted reform instruments or ideas from the private sector or from other governments without regard for the country context and/or understanding the inherent limitations and weaknesses of these instruments. (OECD 2009a: 33)
In a sober tone reminiscent of (its earlier neo-liberal tomb) "Modernising Government", the report asked whether a “new paradigm” was needed: “…OECD member countries may need to reassess what has worked well in past 25 years, what has not and why, what might be discarded from those reforms, what needs to be adjusted, what might be further built upon and what are the conditions for success.”
The three questions were (1) How can countries achieve a better balance between government, markets and citizens?, (2) What governance capacities or competencies are needed for dealing with global challenges?, and (3) How can a continued focus on efficiency and effectiveness be reconciled with upholding other fundamental public service values?
The discussion in connection with the third question was telling. While governments would continue to emphasize performance in terms of efficiency and effectiveness, the concept of performance – in light of the challenges of the financial crisis – would have to be broadened to include a government’s ability to uphold “core values such as accountability, transparency and equity.”
I spent the morning reading other papers Professor Pal has written exporing the insidious role the OECD has played in creating what the French would call „La Pensee Unique” in this field of government systems - here and here

I hope to give some more of his analysis tomorrow. I was hoping his material would give me the missing inspiration for the short presentation I have to do at Varna.

- What, basically, am I beefing about? What am I asking for?

A skype discussion with Daryoush helped me on my way.
My plea seems to be for a dialogue about better governance with new actors.
At the moment the dialogue is set by academics and top civil servants (OECD). What we might call the “brain”.

Completely missing is the "backbone" – middle-level officials, politicians, citizens and… consultants like me. In the EC system consultants (“experts”) are the foot soldiers – above us are battalions (companies and Delegations); Generals who are swapping stories and drinking wine – and academics writing about the battles – and noone talks with the troops!! Academics and officials have their (subsidised) Conferences and fora – but not the troopers!

The recent report of the OECD’s Network on Governance’s Anti-corruption Task Team on Integrity and State Building makes part of the point for me
As a result of interviews with senior members of ten donor agencies, it became apparent that those engaged in anti-corruption activities and those involved in the issues of statebuilding and fragile states had little knowledge of each other’s approaches and strategies
.Departmental silos are one of the recurring themes in the literature of public administration and reform – but it is often academia which lies behind this problem with its overspecialisation. „Fragile states” and „Statebuilding” are two new phrases which have grown up only in the last few years – and „capacity development” has now become a more high-profile activity. There are too many specialised groups working on building effective institutions in the difficult contexts my paper focusses on - and too few actually sharing their experiences. We need a road map – and more dialogue!

On a different note, I’ve raged before about management. But this post is a real eye-opener about trends in hgher educartion
As faculty jobs have become increasingly contingent and precarious, administration has become anything but. Formerly, administrators were more or less teachers with added responsibilities; nowadays, they function more like standard corporate managers — and they’re paid like them too.
Once a few institutes made this switch, market pressures compelled the rest to follow the high-revenue model, which leads directly to high salaries for administrators. Even at nonprofit schools, top-level administrators and financial managers pull down six- and seven-figure salaries, more on par with their industry counterparts than with their fellow faculty members.
And while the proportion of tenure-track teaching faculty has dwindled, the number of managers has skyrocketed in both relative and absolute terms. If current trends continue, the Department of Education estimates that by 2014 there will be more administrators than instructors at American four-year nonprofit colleges.

Saturday, May 7, 2011

Sound and fury – signifying nothing?


I’m now at the stage of creating the slides for the 10 minute presentation of my paper at the Varna Conference on 20 May. It’s a deeply depressing (but salutory) experience to have spent several months crafting a 25 page paper (with almost 100 footnotes!) and then find – when you look for the basic message - that it seems to say so little! What does this say about me? Or about the nature of administrative reform? Perhaps that should be the focus of my presentation??

The basic points in the paper are that –
• The EC programme of technical assistance is a multi-billion euros industry and policy field
• The European Court of Auditors published a fairly strong critique in 2007 – which was about its procurement procedures rather than the effectiveness of the tools used
• The EC’s 2008 response – its „Backbone strategy” - basically said that the overstretched staff of its 80 European delegations should try harder to achieve 4 things – demand-driven solutions; better project design; better selection of experts; and more project flexibility (already possible during the inception period). This is a cop out!
• Serious gaps in the analysis were failures to analyse the companies and individual consultants who are the real „backbone” of the TA
• There are too many cowboy companies winning projects by dubious means – and using experts they don’t know; who have arrived in the business by accident; and who receive no training (A paper I had presented to the 2006 NISPAcee Conference had questioned the „accidental” nature of the comeptitive procurement system used by the EC TA)
• The project basis of the EC TA is questionable – it lacks sustainability
• Perhaps there is another model - which strikes a better balance between competition, flexibility and sustainability?
• The second part of the paper looks at the difficult contexts of the EC Neigbourhood countries and suggests that few of the (overly rationalistic) tools in the reform toolbox of the EC will work there
• Change is a mysterious process for which the logframe (a tool for the construction industry) is totally unsuitable. This is recognised in the development industry
• Experts in adminsitrative reform lack insights into these wider development processes – and are stuck at stage one of a four-stage process which has been mapped by development experts
• EC TA is a deeply paternalistic model of change

It's been a useful exercise to list these points. Between now and Monday I have to elaborate them and decide what the slides should actually say for a 10 minute presentation - bearing in mind what the other presentations will be saying!!!

The painting is one of several Emilia Radusheva ones which have suddenly appeared. She has been in the Netherlands and her paintings seem to have dried up. But no longer. She has a very distinctive style and is, with Juliana Sotirova and Michko Constandinov, one of my favourite contemporary Bulgarian artists.

Friday, May 6, 2011

Hungarian ambitions and Bulgarian gentility


The Hungarian Spectrum blog continues its amazingly penetrating analysis of political developments in Hungary by a piece on the background to an event which I (and, I supsect, all non-Hungarians) had missed in all the comment about the recent Constitutional changes there – the renaming of the country from „Hungarian Republic” to „Hungary”.
From such promising beginnings in 1989, this small country is turning out to be a real pain in the arse. I was struck with the arrogance of its people in 1993-95 when I worked there – and, looking at the size of their houses (and this was in North-East Hungary, their poorest part hard up against the Slovak, Ukrainian and Romanian borders), I wondered why on earth they needed European money then. Even then, all sorts of municipal developments were in evidence – something which you don’t even see here in the capital of Bulgaria 15 years later!
I have never seen such a poor state of pavements as here in Sofia. I wonder what the statistics of broken ankles are here. Unfortunately the internet offers no real treatment of Bulgaria – there was a rather inconsequential piece recently on an Economist blog about the corrupt state of the media here but, as one of the discussants rightly said, they have been set a very good example by the anglo-saxon world!
I have always seen Sofia as have an old-fashioned gentility – mainly from the tiny shop and gallery units you fiind in its centre with both young and old eking out a fragile existence but at least one whose rhythm they control. Since hearing the buskers in the nearby park playing early 1960s jazz and rock, I realise that Sofia, in many ways, could market itself as the retro-capital of Europe. You still see Trabis (although generally vegetating on the sidewalks); and, at leats round my area, the old folk are always out in strength and not marginalised as in so many other capitals. Of course, this is a stark reflection of the poverty of the economy – indeed I just don’t know how the economy here manages even to tick over.
Romania has at least one good news outlet in English which I came across recently

Today I came across this very evocative clip of poet John Betjeman celebrating Philip Larkin's poetry.

Apparently today is both St George's Day AND the Day of the Bulgarian Army. So I'm using one of Ilia Petrov's pictures.

Thursday, May 5, 2011

St George's Day - and Vernissaj


Am I the only person finding the Yahoo site increasingly aggressive and unacceptable? So many huge ads and so much flashing – and delays in getting access to my mail as they divert you to proselytise their latest version of one thing or another. I am seriuous thinking of switching – but is google any better? And not easy to switch when you have been with one address for 8 years!
The weather here in southern europe (Sofia) continues to be…well…Scottish! Cold, dreich and drisle – not calculated to get you running for your swimming gear. So I missed this morning’s walk and swim. And the constant problems anyway with access to the large pool in the Sparta Complex makes swimming totally uninviting….
Tomorrow is (another) holiday here in Bulgaria celebrates I was told that it was Soldiers' Day but became a bit puzzled - the soldiers' day I celebrated (with Russians!) in Riga a decade or so back was 23 February. And Victory day for Russia is 9 May so I don't know what 6 May is all about (Now I learn it's St George"s Day - a soldier!!) Regardless, the roads in town were clogged as people tried to get out for a 3 day weekend. If this is indeed a celebration of the Russian soldier it is utterly deserved. A couple of days after the US assassination in Pakistan, I'm not sure if we should be celebrating soldiers generally. It appears that, for once, they got the right guy - but so easily it could have been an innocent. And what sort of people go dancing in the streets to mark such a macabre strike? Only the sort who danced in the streets after September 11 2001!

Last evening, as I was returning from the Konus Gallery, I alighted on a Vernissaj (free wine at the opening of a gallery viewing) on Rakovski st – interesting landscapes from one Milko Voshkov and I struck a very professional figure as I manoeuvred the four paintings which Yassen had had framed for me into the gallery! The wine was bitter so I didn’t linger. This evening I had an invitation to another opening – at a new gallery only 4 minutes' walk from the flat. I was soon home – the paintings were a modernist disgrace (supposedly on the 7 deadly sins) and the place full of empty English chattering glitterati

Jeffrey Sachs is a figure we all love to hate. A neo-liberal in liberal disguise. I was amazed to fiind him today talking about the corrupt elite (about which, I concede, he knows a great deal!)

And a good discussion thread on the UK health reforms

Angela Minkova is a very creative and versatile Bulgarian artist - who paints and sculpts (in unusual materials - including bone). I'm very tempted by this piece which my friend Yassen has in his Konus Gallery - for 100 euros (the small guy at the bottom is dangling a key).

Tuesday, May 3, 2011

How do we know what we think?


I notice that I have recently started to use the phrase „corporate interests” – as in "politics in deep thrawl to corporate interests”. I generally don’t like politically-loaded words since, as Orwell memorably expressed it, they so quickly lead to the death of thinking and the tyranny of words and slogans. It also means that we alienate others and end up talking only to those who agree with us. So why have I started to use the phrase – and what exactly do I mean by it?
It started, I suppose, when I first realised the extent to which both the media and political parties have been penetrated by multi-national business money and its perspectives.
It was obvious from the beginning that New Labour policies were shaped to keep the party safe from the attacks of the Rupert Murdoch media empire – but the infamous Bernie Ecclestone scandal at the very start of New Labour rule in 1997/8 was a shock to many (demonstrating so vividly how business people could purchase policy and access to legislative power – on the American model). But I suppose I thought this was just a bit of anglo-saxon distinctiveness.
As, however, other governments followed the path of neo-liberalism - and money and greed became more respectable, scandal after scandal followed (eg Enron). The global financial meltdown opened everyone’ s eyes – not only to the immorality of the big players but their utter shamelessness. And the growing centralisation of the media – and its unreliability – has also hit me hard recently. When I developed my type of gentle socialism (under the influence of Tony Crosland’s writings of the late 1950s and 1960s) we really did have a "mixed economy”. Power was reasonably balanced then in the UK (and the rest of Western Europe) between the various forces of labour and capital – and capital was not so monolithic. The word "„corporate” is another word for multinational (or big) business – and my use of the phrase "corporate interests” was shorthand for my disgust for the extent to which such corporate power is now, literally, out of control.
And its grip of the media means that the onus is on those of us object to the imbalance to demonstrate how little competition actually exists now in huge swaithes of the "market” at whose alter we are all supposed to worship. I’ve mentioned already on the blog a couple of recent publications which have exposed the extent of big business influence on the EU - Bursting the Bubble (Alter EU 2010); and Backstage Europe; comitology, accountability and democracy (2010) by Gijs Jan Brandsma.
Today I came across a summary of an academic treatment of the subject – Quiet Politics and Business Power – corporate power in Europe and Japan.
This is on Daniel Little’s excellent blog – and the article led me on to a previous post of his which is very important in answering the basic question of „how we actually know that things work the way in society that we think?”

The Guardian has an interesting piece about a new European left initiative. But I'm not holding my breath!

And, at last, we have one of the female Bulgarian painters represented! This is one of my favourites - Alexandra Mechkuevska who painted mainly in the 1930s and 1940s(I have two of hers). Not one of her best - but too few of the paintings I show have figures!

Sunday, May 1, 2011

are we any better than the Chinese one party state?


This year marks the centenary of the publication by Robert Michels of his great book Political Parties - which set out "the iron law of oligarchy" ie that all forms of organisation, regardless of how democratic they may be at the start, will eventually and inevitably develop into oligarchies (ie rule of the few). The reasons behind the oligarchization process are: the indispensability of leadership; natural self-interest and survival instincts (it’s a good life); and the passivity of the led individuals, more often than not taking the form of actual gratitude towards the leaders. These days we would add the media need for a hierarchical figure to focus on. I haven’t seen any recognition of the centenary yet. But I mentioned in my last post a paper written by a Frans Becker and Rene Cuperus a Dutch political scientist in 2004 - Party Paradox - which is the best analysis of the failings of the modern European political parties (and also the possible reasons for the various deficiencies; and possible ways for dealing with the crisis) which I’ve ever read. It might, with a bit of updating and some more international examples, make a suitable new version of the Michels classic – one hundred years on.
There have been innumerable articles and books bemoaning the state of democracy – but few to my knowledge which have identified the role of the political party in creating this parlous state. I had a long post in November bemoaning this lack of analysis.
So it’s great at last to find a good, solid paper – which I can recommend to others. Here are some excerpts -
Social-democratic politicians – even the local ones – come from a limited circle. Most are well-educated and are professionals in the collective sector. They closely resemble their counterparts in other parties as far as their education is concerned but differ from them in terms of their professional backgrounds.25 They are often well-suited for civil service and the policy-based, bureaucratically-oriented decisionmaking process and are at ease in the small inner circle of politics. The sociologist Van Doorn has described the contrast between the old and new politicians as follows. The old political elites were selected “because they had social standing, and they derived their standing from their leadership of certain social groups and core institutions: employers’ federations and employee organizations, leagues of farmers and small businessmen, dailies, broadcasting associations, and universities. In the 1960s these double offices became suspect and gradually disappeared. The “regents” were replaced by political professionals, who often had more ambition than experience. They became significant thanks to their election. A self-perpetuating cycle began: the inflow of professional politicians eroded the standing of being a member of parliament, and this diminished standing compromised the quality of the MP’s. They were selected from the crowd and lacked any competence beyond that of a low-prestige board. They almost exclusively represented their party and consequently became isolated from a society that is rapidly becoming disaffected with party politics.” Admittedly, some exceptions occur, and the good ones among them deserve their due.
Parties and politicians have come to focus increasingly on policy making. Politicians are like mechanics, tinkering at the engine of society by means of policy, without ever getting away from under the hood, as Anton Hemerijck put it at a conference of the Institute for Public Policy Research in London in 2000. Parties, having lost their social footing, do not appear to have replaced it with new alliances with civil society organizations.33 The isolation of the political parties is the predominant theme in the analysis of the Dutch Labour Party’s defeat in the 2002 elections. In the successful election campaign in 2003, Wouter Bos overcame this isolation and restored the electoral position of the Dutch Labour Party. Both a drastic change of the party culture and more structural ties with social organizations have been suggested as remedies to achieve sustained reinforcement of the party’s position.
The paper finished by suggesting that
three strategies are available to these parties in their quest to retain or reclaim their role in democracy. First, to focus far more on their procedural functions. As political parties become less adept at their representative function, they will need to take on a new role as keepers of transparent and democratic public administration, where access to political and administrative decision-making remains open; private and public interests are clearly distinct, the foundations of the constitutional state are taken into account, and diversity and freedom of expression and information provision are guaranteed. Entrepreneur-politician Berlusconi’s skill in using politics and state to further his interest demonstrates that his party fails as the countervailing power required for democracy
The other two strategies were:
(a) a shift toward more direct democracy; and (b) party innovation with a capital P, which means improving professional quality and fostering a more open party style. In the case of the Netherlands a reallocation of the party landscape into a loose two-party system would be desirable
In effect citizens are no longer presented with real options by political parties at the national levels – neither in the USA nor Europe where parties have, to one degree or another, succumbed to what some people call the pressures of globalisation and others call „corporate interests”. What it boils down to is a quasi one-party State. In China (from which I recently returned), the Party has recognised that the recruitment of elected politicians has to be strictly conducted – with party members receiving strict training as well as their elected cadres. Of course any electoral system has to give scope for (if not encourage) mavericks (populists) to keep the representative part of the system operating. If necessary the Party makes the suitable policy adjustment to keep the public happy.
But I would dare to suggest that the role of political parties at a local government might be reduced – and I say this as someone who for 25 years operated as the Secretary of ruling Labour groups at both municipal and Regional levels. Frankly I saw too much of my colleagues representing either party interests or the interests of professional departments (like Education and Police) – and not enough of their representing public concerns. And local elections contests when parties are dominant means that there is no serious debate – and that voters vote on national political grounds. This is probably one of the strongest arguments for the principle of elected mayors to which the Establishment seems at last to have come round to in England (since it brings in the issue of personality) – but I don’t see the argument for it being conducted in these terms. And elected mayors are not enough – a system needs to exist which allows the ordinary citizen to believe that it is possible for her that (s)he could if she wished have a reasonable chance of getting on to the council and being listened to.