[PEN-L:7914] The situation in Norway (fwd)

1996-12-19 Thread Michael Perelman

Forwarded message:
From [EMAIL PROTECTED]  Thu Dec 19 15:25:22 1996
From: D Shniad [EMAIL PROTECTED]
Message-Id: 199612192325.PAA16663@fraser
Subject: The situation in Norway (fwd)
To: [EMAIL PROTECTED] (Sam Lanfranco),
[EMAIL PROTECTED] (Michael Perelman)
Date: Thu, 19 Dec 1996 15:25:08 -0800 (PST)
MIME-Version: 1.0
Content-Type: text/plain; charset=US-ASCII
Content-Transfer-Encoding: 7bit

Gentlemen,

I signed off Labor-l and Pen-l before receiving this forwarded
message.  You might want to forward it to your respective lists.

Happy holidays.

Sid Shniad

Forwarded
message:  From [EMAIL PROTECTED] Thu Dec 19 14:18 PST 1996
 From: D Shniad [EMAIL PROTECTED]
 Message-Id: 199612192218.OAA04515@fraser
 Subject: The situation in Norway
 To: [EMAIL PROTECTED] (D Shniad)
 Date: Thu, 19 Dec 1996 14:18:10 -0800 (PST)
 MIME-Version: 1.0
 Content-Transfer-Encoding: 7bit
 Content-Type: text/plain; charset=US-ASCII
 Content-Length: 9497
 
 THE NEW YORK TIMES INTERNATIONAL Dec. 13, 1996  Front Page
 
 WELFARE'S SNUG COAT CUTS NORWEGIAN COLD
 
   By YOUSSEF M. IBRAHIM
 
 OSLO, Dec. 9 -  Suffer from rheumatism? The Norwegian
 state will send you to the Canary Islands for a month
 of therapy, all expenses paid. Husband walked out,
 leaving children to raise?  Not to worry. As a single
 mother  under the generous Norwegian welfare system,
 you will get special subsidies for the children and
 paid leave from your job so you can stay home and rear
 them.
 
 Take Dr. Sidsel Kreyberg, 42-year-old pathologist. When
 her husband left her in 1987, leaving her with two
 young children, she was immediately embraced   by the
 state.
 
 For nearly eight years, until both children reached age
 10, the state paid her a pension. Other support systems
 helped, including free day care, subsidized housing and
 vacations, and free medical and dental care.
 
 The Government also footed the bill for Dr. Kreyberg to
 fulfill her old ambition of getting a Ph.D. in
 epidemiology at the University  Oslo.
 
 Now she is off welfare and has a better-paying job than
 before she went on. The other day, she stood in her
 living room overlooking a vista of snow-covered forests
 and the Oslo Fjord. She beamed at her daughter,
 Karoline, 12, and son, Karsten,  10,  and  proclaimed,
 "Look at the result."  The entire world, it seems, is
 dismantling the welfare state, privatizing the public
 sector, downsizing government, reducing subsidies and
 cutting social programs that were once sacrosanct.
 
 From Europe to Africa, across most of Latin America and
 even in the once fabulously wealthy Arab oil countries,
 governments plagued by soaring budget deficits are
 everywhere embracing the free-market gospel preached in
 the 1980's by President Reagan and  Prime  Minister
 Margaret Thatcher of Britain.
 
 Everywhere, that is, except Norway.
 
 Buoyed by an unending gush of oil revenue and guided by
 a national commitment to egalitarianism, Norway's 4.35
 million people are fattening the mother of all welfare
 states.
 
 Even business people -- including those who export
 pulp, paper, lumber, chemicals, fertilizers, aluminum
 and transport machinery to the globalizing world of dog-
 eat-dog capitalism -- join in their nation's adherence
 to social democracy.
 
 In Norway, where individual tax rates can climb above
 50 percent, citizens benefit from a number of
 entitlements and a shrunken Workweek.
 
 Inflation is below 2 percent. The unemployment rate is
 the lowest in Europe. Economic growth in recent years
 has ranged between 3 percent and 5 percent. Oil exports
 are running at 3 million barrels a day, second only to
 Saudi Arabia's, and the petrodollars are feeding a
 budget surplus this year of $6 billion more than the
 Government's $61 billion expenditure.
 
 The Norwegian welfare cake, surely the sweetest in the
 world today, includes these ingredients:
 
 *Annual stipends of $1,620 for every Norwegian child
 under 17, which rise slightly for every other child as
 a family grows and rise still more if the family lives
 in a remote part of the country.
 
 *Retirement pay, equivalent to industrial workers'
 pensions, for all home-
 makers, even those who have worked outside the home.
 
  -
 ONE COUNTRY EATS CAKE WHILE
 THE REST OF THE WORLD DOWNSIZES
  -
 
 *Forty-two weeks of fully paid maternity leave.
 
 *Reimbursement for all medical costs exceeding $187 a
 year per individual.
 
 These benefits may be financed by oil, but they are
 undergirded by the national character.
 
 Norwegians, with their profoundly egalitarian
 persuasion, frown on wide disparity in income. This
 permits one of the highest personal-tax rates in the
 world and provides the Government with vast latitude
 for social engineering.
 
 "It is a sense of solidarity," a Western diplomat said.
 "High taxes   enjoy a great national consensus because
 in a way it's like they see them as a way to be saved
 from themselves."
 
 

[PEN-L:7907] Norway's welfare state [fwd]

1996-12-19 Thread D Shniad

 From: THE NEW YORK TIMES INTERNATIONAL, Friday December 13, 1996
 
 Front Page (bottom)
 
 
 
 
 WELFARE'S SNUG COAT CUTS NORWEGIAN COLD
 
  By YOUSSEF M. IBRAHIM
 
OSLO, Dec. 9 -  Suffer from rheu-
 matism?   The   Norwegian state will
 send you to the Canary Islands for a
 month of therapy, all expenses paid.
 Husband walked out, leaving children to
 raise?  Not to worry. As a single mother 
 under the generous Norwegian welfare
 system, you will get special subsidies
 for the children and paid leave from your
 job so you can stay home and rear them.
   Take Dr. Sidsel Kreyberg, 42-year-old
 pathologist. When her husband left her
 in 1987, leaving her with two young
 children, she was immediately embraced  
 by the state.
For nearly eight years, until both
 children reached age 10, the state paid
 her a pension. Other support systems
 helped, including free day care, subsid-
 ized housing and vacations, and free
 medical and dental care.
The Government also footed the bill
 for Dr. Kreyberg to fulfill her old
 ambition of getting a Ph.D. in epidem-
 ology at the University  Oslo.
Now she is off welfare and has a
 better-paying job than before she went
 on. The other day, she stood in her
 living room overlooking a vista of
 snow-covered forests and the Oslo Fjord.
 She beamed at her daughter, Karoline, 12,
 and son, Karsten,  10,  and  proclaimed,
 "Look at the result."
  The entire world, it seems, is dis-
 mantling the welfare state, privatizing
 the public sector, downsizing govern-
 ment, reducing subsi-
 
 
 [Picture #1. Poolside reading at Norway's
 health center in the Canary Islands.]
 
 dies and cutting social programs that
 were once sacrosanct.
From Europe to Africa, across most of
 Latin America and even in the once
 fabulously wealthy Arab oil countries,   
 governments plagued by soaring budget
 deficits are everywhere embracing the
 free-market gospel preached in the 1980's
 by President Reagan and  Prime  Minister
 Margaret Thatcher of Britain.
 
Everywhere, that is, except Norway.
 
Buoyed by an unending gush of oil
 revenue and guided by a national commit-
 ment to egalitarianism, Norway's 4.35
 million people are fattening the mother
 of all welfare states.
Even business people -- including
 those who export pulp, paper, lumber,
 chemicals, fertilizers, aluminum and
 transport machinery to the globalizing
 world of dog-eat-dog capitalism -- join
 in their nation's adherence to social
 democracy.
In Norway, where individual tax rates
 can climb above 50 percent, citizens
 benefit from a number of entitlements and
 a shrunken Workweek.
Inflation is below 2 percent. The
 
  Continued on Page A8, Column 1
 
 
 IN WELFARE'S SNUG COAT, FEW FEEL NORWAY'S
 COLD
 
   Continued From Page Al
 
 
 unemployment rate is the lowest in
 Europe. Economic growth in recent years
 has ranged between 3 percent and 5
 percent. Oil exports are running at 3
 million barrels a day, second only to
 Saudi Arabia's, and the petrodollars are
 feeding a budget surplus this year of $6
 billion more than the Government's $61
 billion expenditure.
The Norwegian welfare cake, surely
 the sweetest in the world today, includes
 these ingredients:
*Annual stipends of $1,620 for every
 Norwegian child under 17, which rise
 slightly for every other child as a
 family grows and rise still more if the
 family lives in a remote part of the
 country.
*Retirement pay, equivalent to in-
  -
 
  ONE COUNTRY EATS CAKE
  WHILE THE REST OF THE
  WORLD DOWNSIZES.
 
  -
 
 dustrial workers' pensions, for all home-
 makers, even those who have worked out-
 side the home.
*Forty-two weeks of fully paid matern-
 ity leave.
*Reimbursement for all medical costs
 exceeding $187 a year per individual.
These benefits may be financed by oil,
 but they are undergirded by the national
 character.
Norwegians, with their profoundly
 egalitarian persuasion, frown on wide
 disparity in income. This permits one of
 the highest personal-tax rates in the
 world and provides the Government with
 vast latitude for social engineering.
"It is a sense of solidarity," a
 Western diplomat said. "High taxes  
 enjoy a great national consensus because
 in a way it's like they see them as a
 way to be saved from themselves."
 
Norwegians have a word for their
 anti-elitist views, Jantelaw, which means
 nobody should start thinking he or she is
 better than anybody else. Politicians
 have lost their jobs for forgetting
 this.
The disdain for the trappings of
 wealth and power, which among other
 things restricts executive pay and
 mandates extensive workplace rules, meets
 surprisingly little opposition from
 business.
Henning Holstad, owner and president
 of the Tiny Transport Company, says his
 after-tax annual pay is about double the
 $38,500 his workers average, compared
 with 

[PEN-L:7905] deja vu: a trip in the (over)time machine

1996-12-19 Thread Tom Walker

At a little past noon on October 7, 1978, Frank Schiff of the Committee for
Economic Development addressed a conference on Work Time and Employment
convened by the U.S. National Commission for Manpower Policy. Assembled at
the Capitol Hill Quality Inn in Washington, D.C., the conference attendees
were indeed a quality collection of noted academics, high level civil
servants, and influential spokespersons for business and labor. Schiff was
responding to a paper on "Policies to Reduce Fixed Costs of Employment" that
had just been presented by Robert Eisner.

Speaking of the goal of accomodating individual preferences for worktime and
leisure, Schiff remarked, "To achieve this goal, Professor Eisner places
major stress on employment subsidies and tax credits, essentially to offset
the effect of public policy and institutional work arrangements that create
a bias against flexible work arrangements. This is clearly one possible
approach, but it should be emphasized that it is by no means the only way to
deal with the problem. Other possible options include direct efforts to
reduce the existing institutional biases against flexible work time patterns
-- for example, by relating the cost of particular fringes more to hours
worked than to the number or employees, or by relevant changes in the
computation of experience ratings."

Schiff's remarks were, admittedly, not delivered in scintillating prose and
the topic may seem somewhat obscure and technical. One slight amendment
would clarify what Schiff was saying: instead of referring to the "biases
against flexible work time patterns", Schiff could have better identified
the problem as "public policy and institutional biases *in favour of*
overtime and unemployment."  In spite of that small point of obfuscation,
Schiff's comment stands out from the 445 page conference report as such
profound good sense that it no doubt was quickly and profoundly forgotten by
all and sundry in attendence. Perhaps even by Schiff.

In the 18 years since that prestigious Washington, D.C. conference, much has
changed but the institutional bias in favour of overtime has remained.
Perhaps the best known effort to redress the imbalance was a bill to
increase the overtime penalty of the FLSA from time and a half to double
time, introduced by Democratic congressman John Conyers in the late 1970s.
The logic against Conyers bill, however, was impeccable: it was countered
that the measure would increase labour costs and therefore wouldn't achieve
its intended job creation effects. Conyers' bill went nowhere.

But to give a bit more context on the timing of the Work Time and Employment
conference, it should be remembered that in July 1978, the Bonn Summit of
the G-7 had taken place at which President Jimmy Carter affirmed the U.S
government's top priority of fighting inflation. The next year, 1979, Paul
Volcker was appointed chairman of the Federal Reserve Board of Governors.
The fight against inflation uber alles had begun in earnest. Because
unemployment was seen as an indispensible tool for fighting inflation
(NAIRU), the idea of removing institutional biases in favour of unemployment
never caught on.

Let us return for a moment to that October day in 1978 and indulge in a bit
of economic science fiction. Imagine that Frank Schiff's comment about
*removing the institutional biases* had seized the imagination of the
conferees. Imagine that reporters from the major news media were in
attendance at the conference and Schiff's offhand suggestion became the
subject of front page feature stories and soul-searching editorials. Imagine
that a national debate broke out in the United States about the nature of
work and the illegitimacy of government regulations that prolonged work
beyond the desires of individuals. Imagine the emergence of a mass
labor/civil rights movement demanding the freedom to work for as many or few
hours as one desired and insisting on the repeal of all legislation that
enforced excessive work. Imagine the victory of this labor/civil rights
movement.

What would our social, economic and political landscape be like today -- 18
years later -- if Frank Schiff's spark of common sense had fallen on the dry
tinder of citizenship rather than on the damp soil of econometocracy?
Regards, 

Tom Walker
^^
knoW Ware Communications  |
Vancouver, B.C., CANADA   |  "Only in mediocre art
[EMAIL PROTECTED]   |does life unfold as fate."
(604) 669-3286|
^^
 The TimeWork Web: http://mindlink.net/knowware/worksite.htm 





[PEN-L:7913] An insult to Burns?

1996-12-19 Thread Louis N Proyect

This is a public response to private mail sent to me.

Ordinarily, I would agree with you, but what in the hell does Peter Burns
think that he is trying to accomplish by asking me these sorts of
questions. Do you think the average person is going to have the sort of
grasp of pricing theory minutiae that a professional economist has? One of
the reasons I get steamed by these sorts of questions from Burns, Rosser,
Mitchell, etc. is that they smack of academic insider knowledge. This is
what these people do for a living. 

I could throw around computer programming concepts with a bunch of people
who haven't been doing it for 28 years like me and they would say, "Wow,
how does he know all that".

Simple. I know all that computer stuff because I am paid to do so. If I
was paid to read literature on pricing theory in particular and economics
in general for the last 28 years, I would sound as smart as the people on
this list. But less academic insider knowledge would make this a more
relevant site. I don't need to remind you of that, do I? Well, I guess
maybe I do.

Mitchel Cohen, the author of the Z Magazine post, is somebody I know quite
well and who I've argued with in the past about the same exact issues. I
couldn't resist the opportunity to challenge his ideas about Che Guevara.
He is an amateur like me. He makes his living selling poems on the subway.
Can you dig that?

But to butt heads with a professional economist about pricing theory.
Forget about it.


 clip don't be so unfair 
 to Peter Burns. He's not an economist as much as a activist 
 socialist Jesuit who's interested in such issues of how 
 capitalism can be replaced by a planned economy that _actually_ 
 works and in responding to critics of planning such as Hayek.
 
 In any event, personal insults should not appear on this list. 
 





[PEN-L:7916] Re: Che and Cuba

1996-12-19 Thread PBurns

  So, in other words (or pedantically if you like), you 
  still haven't got the foggiest?  So much for "rigorous 
  accounting and control methods".  Oh well, let us know if 
  you're any further ahead in 2 and a half years' time.
  
  Peter


__ Reply Separator _
Subject: [PEN-L:7910] Re: Che and Cuba
Author:  Louis Proyect [EMAIL PROTECTED] at SMTPLINK-LMU
Date:12/19/96 1:17 PM


Louis: This is one of the reasons I delete most PEN-L messages unread from 
my incoming mail. I resubscribed because I am always interested in what Sid 
Schniad, Doug Henwood, Patrick Bond and Jim Devine have to say. What I have 
zero interest in is the sort of abstract textbook questions that people like 
Burns, Rosser and all the other contributors to academic journals specialize 
in. Unless you re-phrase the question in terms of "How did the Cubans manage 
their economy during the 1960s through the 1980s given the existence of 
Soviet aid..." In other words, you need to flesh the matter out by reference 
to history and politics. (That of course is the Marxist approach.)
  
This sort of question smacks of the sort of sterile chit-chat that Burns
would have with the guy who sits down the hall and teaches Microeconomics 103.
  
It doesn't interest me whatsoever. I feel stupid now even opening up Burns' 
email and expecting something interesting with a heading like "Che and 
Cuba." He might as well have put a heading on it like "Gomulka and Poland" 
or "Hoxha and Albania". What a pedantic bore he is.
  
  
At 12:40 PM 12/19/96 -0800, you wrote: 
  Question for Louis Proyect:
  
  How do the central planners know which relative prices to 
  set for all the goods and services in the economy?  
  
  Peter


  



[PEN-L:7906] [Fwd: Re: Article in the Guardian Weekly] (fwd)

1996-12-19 Thread D Shniad

 Comments: Authenticated sender is [EMAIL PROTECTED]
 From: [EMAIL PROTECTED]
 To: Sid Shniad [EMAIL PROTECTED]
 Date: Wed, 18 Dec 1996 10:19:19 +
 Subject: Re: Article in the Guardian Weekly
 Reply-to: [EMAIL PROTECTED]
 
 Dear Sid,
 
 First of all, I would like to thank you for your interest in our 
 publication The World Credit Tables 1996; creditors' claims on 
 debtors exposed. You can order a copy for  25,-. If you would like 
 to do this, please let us know (by e-mail for example). 
 
 If you would like to have more information on the Credit Tables or
 Eurodad, I suggest you visit our internet homepage: 
 http://www.oneworld.org/eurodad/index.html
 I hope this information is usefull for you.
 
 Hope to hear from you soon.
 
 Kind regards,
 
 Michiel van Voorst
 Project assistant
 
  
 Date:  Fri, 13 Dec 1996 12:53:52 -0800
 From:  Sid Shniad [EMAIL PROTECTED]
 Organization:  TWU
 To:[EMAIL PROTECTED]
 Subject:   Article in the Guardian Weekly
 
 Hello.  My name is Sid Shniad.  I'm the research director for the 
 Telecommunications Workers Union in Vancouver, British Columbia.
 
 This morning I saw reference to a Eurodad study, quoted in a back 
 issue of The Guardian Weekly.  According to the article, Eurodad has 
 published a study of the net gains that Britain and other countries have 
 made as a result of extending foreign aid.
 
 I would dearly love to get a copy of this study.  Can you please let me 
 know how I would go about getting it?
 
 Thanks for the help.
 
 
 
 




[PEN-L:7920] Cuba-Algeria Firestorm

1996-12-19 Thread ZAHNISER STEVEN SCOTT


Dear PEN-Lers:

I am saddened that Louis Proyect left PEN-L, because his comments 
regarding Cuba and Algeria were rather illuminating.  I am not familiar 
with the Algerian case, but Proyect's contrasting of the Cuban and
Algerian experiences made me think of various leftist movements in Latin
America (see endnote) and what actions either were taken or could have been
taken to placate international capital and the U.S. government in 
particular.

Still, I was taken aback by Proyect's strongly negative reaction to Peter
Burns, as I thought that his question was within the bounds of friendly
discussion.  It is, in my opinion, also within the bounds of friendly
discussion to answer "I don't know" or "I'd rather not answer that
question because I don't want to engage in a debate about market
socialism."

It's too bad that this particular discussion came to a halt as it did.
Over the past several months, there have been a number of really good
discussions on PEN-L, all featured with collegial respect and some real
substance to boot.

Best wishes,

Steven Zahniser
 

ENDNOTE:  In addition to Cuba, one could consider Chile under Allende,
Nicaragua under the Sandinistas, Guatemala during its 10 "golden" years
[hopefully more are coming soon, given the country's new peace accords],
and Bolivia immediately following its revolution.






[PEN-L:7910] Re: Che and Cuba

1996-12-19 Thread Louis Proyect

Louis: This is one of the reasons I delete most PEN-L messages unread from
my incoming mail. I resubscribed because I am always interested in what Sid
Schniad, Doug Henwood, Patrick Bond and Jim Devine have to say. What I have
zero interest in is the sort of abstract textbook questions that people like
Burns, Rosser and all the other contributors to academic journals specialize
in. Unless you re-phrase the question in terms of "How did the Cubans manage
their economy during the 1960s through the 1980s given the existence of
Soviet aid..." In other words, you need to flesh the matter out by reference
to history and politics. (That of course is the Marxist approach.)

This sort of question smacks of the sort of sterile chit-chat that Burns
would have with the guy who sits down the hall and teaches Microeconomics 103.

It doesn't interest me whatsoever. I feel stupid now even opening up Burns'
email and expecting something interesting with a heading like "Che and
Cuba." He might as well have put a heading on it like "Gomulka and Poland"
or "Hoxha and Albania". What a pedantic bore he is.


At 12:40 PM 12/19/96 -0800, you wrote:
  Question for Louis Proyect:
  
  How do the central planners know which relative prices to 
  set for all the goods and services in the economy?  
  
  Peter






[PEN-L:7902] Russia To Repay Tsarist Debt -Reply

1996-12-19 Thread Patrick Bond

This and the previous post on Southern Africa are interesting. Thanks.

Finally, here in Jo'burg, there appears to be some movement from the
NGO sector -- 3 000 organisations in a national coalition -- combined with
earlier pronouncements by a few left trade unionists and small political
parties, to attack the repayment of the $20 billion apartheid foreign debt.
This isn't enough of a critical mass yet to put it on any kind of public
agenda, but it is nevertheless promising that the progressive petty
bourgeoisie are waking up to the balance of payments constraint which
remains the main excuse for our usurious interest rates (the highest in
SA history still).

Was in a little provincial town last week, near the Zimbabwe border,
where the local NGOs invited my institute to give a rap on the World
Bank. Extremely encouraging, that even without any Bank lending to date
and an obscure Bank role in policy formulation, local activists have a
sense of the upcoming mugging and are getting organised to confront it.

A few weeks ago I posted some material on the "Campaign Against
Neoliberalism in South Africa" (when Camdessus paid a visit); the
campaign is now seeking funding ($20k for a small secretariat) so if
anyone has any ideas we'd be grateful to hear from you privately.

Ciao, comrades!



[PEN-L:7917] Goodbye

1996-12-19 Thread Louis N Proyect

I'm out of here. It only took two days to remind me why I got off the
first time. Burns et al wanting to have another debate about market
socialism. Good grief. Talk about being in a rut. What's next? Another
thread on the LTV? Jim Devine sending me private mail telling me to be
collegial. I'm collegial over on the Marxism list where professors are
kept in line. Did I tell you that we have a candidacy program for
Professors over there? You can only join in the discussions there if you
promise not to refer to articles or books you've written. The first
time you refer to something that you wrote for some obscure
academic journal, you're shown the door.

Have a happy 1997 everybody,

Louis Proyect




[PEN-L:7908] Norway and oil

1996-12-19 Thread Michael Perelman

Oil seems to have brought nothing but tragedy to most people in countries
where it was recently discovered.  Norway is an exception.

How much have the ordinary Nigerians or Mexicans benefitted from oil?

The Wall Street Journal recently had an article decrying the squandering
of oil resources in Norway.  I sent Trond the reference. I no longer have
it, but in fact, Norway seems to be the only country where the windfall
has been used well.
 -- 
Michael Perelman
Economics Department
California State University
Chico, CA 95929

Tel. 916-898-5321
E-Mail [EMAIL PROTECTED]



[PEN-L:7903] suspending pen-l

1996-12-19 Thread Paul B. Cheney


I know it's impolite to write to this address for this, but can somebody
tell me how to suspend my pen-l list over the holiday so that my mailbox
doesn't jam up?

Many thanks,

Paul Cheney




Re: [PEN-L:7919] Re[2]: Re: Che and Cuba

1996-12-19 Thread Dennis Grammenos

On Thu, 19 Dec 1996 [EMAIL PROTECTED] wrote:

   The fact of the matter, though, is that despite many great 
   achievements, which I laud and support, the Cuban economy 
   is in considerable trouble.  All countries which have 
   tried to institute a centrally planned economy have 1) 
   generally not produced a very high standard of living for 
   their own work forces, and 2) not succeeded in building a 
   type of society that is generally attractive to workers, 
   or a (net) credit to the cause of socialism, in other 
   countries.  


Perhaps, we should stress --foremost-- that Cuba has been burdened by an 
American blocade all these years.  Also, Cuba has had to redirect 
resource patterns that had been established over the centuries of 
colonial rule and the decades of crass exploitation that followed 
independence.  Furthermore, the island nation has had to invest 
substantial resources into the development of military defense 
capabilities --such as they might be-- burdened as Cuba has been by the 
spectre of Yankee (or Yankee-directed) invasion.  

At least, this should be the point of departure for any honest discussion 
about the merits of "socialist development."

In the spirit of such considerations I can excuse Louis Proyect for 
being... short-tempered.  But, then, I'm a generous guy:-)

Regards,
___
| Dennis Grammenos[EMAIL PROTECTED] |
| Departments of Geography|
|  Russian and East European Studies |
| University of IllinoisPhone:(217) 333-1880  |
| Urbana, Il 61801  Fax:  (217) 244-1785  |
---




[PEN-L:7909] Che and Cuba

1996-12-19 Thread PBurns

  Question for Louis Proyect:
  
  How do the central planners know which relative prices to 
  set for all the goods and services in the economy?  
  
  Peter



[PEN-L:7904] Re: suspending pen-l

1996-12-19 Thread Gerald Levy

 I know it's impolite to write to this address for this, but can somebody
 tell me how to suspend my pen-l list over the holiday so that my mailbox
 doesn't jam up?
 Many thanks,
 Paul Cheney

Since others may have the same question, I will respond to all:

To suspend your mail send a message to
[EMAIL PROTECTED] which says:

SET PEN-L MAIL POSTPONE

To receive your mail again, send another message to listproc which says:

SET PEN-L MAIL ACK

--
Jerry




[PEN-L:7918] Re: An insult to Burns?

1996-12-19 Thread bill mitchell

Louie, still dishing up the "i'm just an ordinary guy who knows
better than anyone what is radical and just goes about being one
in an unassuming ordinary way" talk, i note.

the list is called pen-l. progressive ECONOMISTS net list. got it.
it is not unreasonable that economists might talk about things that relate
to their ambit. the real debate i suppose is whether they are progressive.

so talking about computer programming (although it would interest me) would
seem a bit odd on pen-l. 


Ordinarily, I would agree with you, but what in the hell does Peter Burns
think that he is trying to accomplish by asking me these sorts of
questions. Do you think the average person is going to have the sort of
grasp of pricing theory minutiae that a professional economist has? One of
the reasons I get steamed by these sorts of questions from Burns, Rosser,
Mitchell, etc. is that they smack of academic insider knowledge. This is
what these people do for a living. 


I could throw around computer programming concepts with a bunch of people
who haven't been doing it for 28 years like me and they would say, "Wow,
how does he know all that".

kind regards
bill

--

 ##   William F. Mitchell
   ###    Head of Economics Department
 #University of Newcastle
      New South Wales, Australia
   ###*   E-mail: [EMAIL PROTECTED]
   ###Phone: +61 49 215065
#  ## ###+61 49 215027
  Fax:   +61 49 216919  
  ##  http://econ-www.newcastle.edu.au/~bill/billyhp.html   



[PEN-L:7912] Toilet Seats

1996-12-19 Thread Jim Westrich

The front page of the (U.S.) Wall St. Journal today had a glowing report on
how wonderful it is for U. S. companies when they can make money in export
markets.  Specifically, the article was about American Standard capturing
40% of the sit-down toilet seat market in China (where there is apparently
increasing demand for Western Style toilets) and its winning over Chinese
production (because there is no "protectionist" legislation) and its main
Japanese competitor, Toto.

While the article was mainly a pedesterian "free markets are won by the 
'brave, strong and free'" piece and slanted against protectionist
legislation in Asia, I could not help but vaguely recall a major collusion
case involving American Standard, Olsonite, and some other U. S. firms in
the 80's.  I don't remember the details or even if the government won its
case but I do remember something.  The WSJ did note that the manufacturing
for the "U. S." firm was done in Malaysia but missed out on the collusion
irony (isn't collusion a form of infant industry protection).

There is another possible irony as well.  I have never seen "traditional
Chinese squat toilets" so it is quite possible that the sit down variety is
a "step up"; but isn't the western sit down toilet one of the more
inefficient of possible designs.  I seem to recall that the seat should be
slanted one way or the other to aid alimentary efficiency.

Peace,

Jim Westrich
Institute on Disability and Human Development 
University of Illinois at Chicago


(Interviewer:) Your comments bring up a lot of class issues.  Are you a
Marxist?
(Stephen J. Raphael:)  Well I suppose I am a bit of a Karl Marxist.  I am
also a bit of a Groucho Marxist.  But mostly I'm a Bernard Marxist.



[PEN-L:7919] Re[2]: Re: Che and Cuba

1996-12-19 Thread PBurns

Louis writes:
  
Peter, your problem is that you are not really interested discussing real 
countries in the real world. It is much more convenient to discuss 
abstract models.
  
  Louis, a few points.  I am not an economist, professional 
  or otherwise.  I am someone with an interest in socialist 
  political economy, and in particular how it could be 
  viably implemented with beneficial results for the mass of 
  ordinary people in real countries around the real world.  
  I spoke in front of TV cameras not so long ago in support 
  of the delivery of computer supplies to Cuba, sponsored by 
  Pastors for Peace after some of their number went on a 
  fast to pressure the US government, etc.  I went to Cuba 
  for a couple of weeks 2 summers ago, and am very 
  interested in the economic realities on the ground there 
  and elsewhere.  
  
  The fact of the matter, though, is that despite many great 
  achievements, which I laud and support, the Cuban economy 
  is in considerable trouble.  All countries which have 
  tried to institute a centrally planned economy have 1) 
  generally not produced a very high standard of living for 
  their own work forces, and 2) not succeeded in building a 
  type of society that is generally attractive to workers, 
  or a (net) credit to the cause of socialism, in other 
  countries.  Unless you can persuade working class people 
  how a socialist economy would succeed for them better than 
  capitalism, socialism has no hope of political success.  
  So my question was prompted not in the least by a taste 
  for academic pedantry, but by a strong personal interest 
  in how successfully to win people over to socialism.  One 
  question which even only mildly informed people are going 
  to ask is, "Hasn't central planning of the economy been a 
  disaster everywhere it's been tried?"  You're going to 
  say, the USSR didn't really have a planned economy, etc.  
  OK.  But the question then becomes, "How come *attempts* 
  to centrally plan an economy keep ending up in a mess?"
  
  As a socialist, I accept the need for planning in some 
  aspects of economic life--education, health, social 
  services, macroeconomic policy (particularly with respect 
  to aggregate investment and its broad composition).  But 
  it is my understanding, based on the *concrete realities* 
  of *actual historical attempts* to institute widespread 
  economic planning by nominally socialist governments--NOT 
  on the Hayekian or other academic critiques--that these 
  experiments have on the whole not been successful.  
  Certainly not successful enough to convert the masses to 
  fervent support for socialism.
  
  Peter
  [EMAIL PROTECTED]



[PEN-L:7915] Re: Che and Cuba

1996-12-19 Thread Louis N Proyect

On Thu, 19 Dec 1996 [EMAIL PROTECTED] wrote:

   So, in other words (or pedantically if you like), you 
   still haven't got the foggiest?  So much for "rigorous 
   accounting and control methods".  Oh well, let us know if 
   you're any further ahead in 2 and a half years' time.
   
   Peter
 

Louis:

Peter, your problem is that you are not really interested discussing real
countries in the real world. It is much more convenient to discuss
abstract models.

Countries like Cuba and Nicaragua during the Sandinista era have had to
grapple with a whole set of problems that are much more urgent than
whether or not a loaf of bread is optimally priced or not.

Moreover, one could argue that a market-free economy did very nicely in
Cuba given the following set of figures:

Availability of Basic Goods and Services per Capita 1958-1978 (1958 = 100)

Food 
  Beverages   Clothing   Housing   Education   Health

1958 100 100100   100100
1962  99  52107   173105
1968 102  52107   173105
1972 110  90103   224120
1974 120  95103   275151
1976 123 100103   363175
1978 125 100104   446202

(from Claes Brundenius, "Growth With Equity: The Cuban 
Experience (1959-1980)", World Development Vol. 9, No. 
11/12(1981) pp. 1083-96

Comments:

1. Decline in clothing figures can be explained by the fact that a lot of 
raw material for the textile industry was imported from the US and 
needed to be replaced by local inputs, a structural transformation that 
was long and difficult.

2. Lack of growth in housing is because priority for the construction 
industry was given to building infrastructure, schools and industrial 
plants.

3. Gains in health took place despite the fact that 1 out of 3 doctors left 
Cuba in the first 3 years of the revolution. The infant mortality rate in 
Cuba, up until the recent economic crisis, was one of the lowest in the 
developing world.

4. The illiteracy rate in Cuba went from 23.6 percent to 3.9 percent in 
less than one year. This was corroborated by UNESCO and described 
as a feat unequaled in the history of education. In 1979 compulsory 
schooling embraced 92 percent of all children between 6-16 years old, 
and more than 1/3 of the total population was attending some form of 
school.

--

Why are you so preoccupied with the problem of pricing? Do you think that
Cuban socialism was falling apart from the inner contradictions of state
planning boards not knowing how to place a price-tag on a pair of shoes or
a bottle of aspirin? Is this Cuba's problem?

No, Cuba could have handled planning quite well. Right now I am contact
with people involved with the Infomed project. They are getting computers
to Cuba for use by the Ministry of Health. Cubans are very
computer-literate. I trust that if it wasn't for the US blockade and the
collapse of the Soviet Union, they would be doing quite nicely, central
planning and all.

You are not interested in talking about the living, concrete reality of
Cuba. You would much prefer to chatter over the Hayekian critique, the
transformation problem, etc. Yawn. Excuse me if I decide to join in. There
are other economists on this list who would be thrilled to discuss these
issues for the very first time on the history of PEN-L.