The Quiet Road

The boys are back in town. Sadly not them wild-eyed boys referred to by Phil and the rest of Thin Lizzy. Nope, it’s the guys from the IMF, EU and ECB that are tearing up the city. And while they may well be dressed to kill, I doubt they’ll be spending much time down at Dino’s bar and grill. Instead it’s the Department of Finance and the luxurious Merrion Hotel where these boys will be spending their time. And the destruction they’ll wreak will make the best efforts of the wildest rock band pale into insignificance. What Phil and the lads might have done to a couple of hotel rooms, our current visitors will do to the whole country.

I wouldn't be the world's biggest Thin Lizzy fan
but I know who I wish was back in town

Except it’s not fair. Not in the slightest. They’re not giving us money, they’re lending it to us. And one of the conditions we agreed to (or rather, our political classes agreed to) is that a huge chunk of those loans be used to pay off the debts run up by private financial institutions. And who are those institutions indebted to? Why, it’s the French and German banks (among others). So private corporations run up debts. The EU and IMF loans the Irish State money to pay back those debts. Leaving the Irish State in debt. What is described as an IMF/EU “bail-out” of Ireland is nothing more than a mechanism to trick the Irish public into bailing out French and German banks. It’s farcical. It’s obscene. And it’s as far from fair as you’re likely to get. How is heaping private debt on the shoulders of as-yet unborn Irish citizens even remotely fair?

The fathers have eaten bitter fruit and the children’s teeth are set on edge. The whole point of that proverb is as a metaphor for injustice!

And look, I’m not saying the Irish State didn’t run up debts of its own. I’m not saying the financial policies of our governments for the past decade haven’t been a bloody disaster. They have been. What I’m saying is that a combination of IMF and European bureaucrats along with the Irish political establishment, driven by an ideology that seeks to redistribute wealth from poor to rich, have decided to compound those disastrous years of financial irresponsibility with the worst possible response. A response that will ruin this country unless we resist it strenuously.

And the first line of resistance should be to prevent the sale of State assets. That’s the next stage in the process, you see. We’ve borrowed the money and are paying off the gambling debts of fools. Fools, incidentally, who show no remorse for their actions. Seán Quinn, David Drumm and the rest of them shouldn’t be in the bankruptcy courts, they should be in the criminal courts for the reckless behaviour that drove this country over a cliff. That they “didn’t technically break any law” is only because our law-makers were criminally incompetent. The very first article in the Irish Constitution states:

The Irish nation hereby affirms its inalienable, indefeasible, and sovereign right to choose its own form of Government, to determine its relations with other nations, and to develop its life, political, economic and cultural, in accordance with its own genius and traditions.

The Constitution of Ireland | Article 1

These men and their ilk have undermined the most basic principle of Irish nationhood. In a very real sense, their actions subverted the constitution. Haul them up for treason and throw them in Mountjoy for 20 years. No, it won’t get the money back, but it might just give pause to those in our banks and governments who even as I write are dedicated to continuing this madness.

And there’s a real urgency about this. Not only because each day that passes sees more debt piled onto the Irish people. But because we are soon to sell off our stake in our own energy infrastructure, our ports, our stake in our airline… even our forests and natural resources. All at fire-sale prices.

This massive wave of privatisations is being done at the behest of the international puppet-masters now pulling the strings of the Irish government. Not content with heaping a mountain of debt on the shoulders of future generations, they intend to take the family silver with them when they leave. I’ve said it before and I’ll say it again; the outcry about this should not be confined to these shores. Because if these thieves are allowed to get away with this in full view – as is happening – they will not stop with Ireland. You will be next, wherever you live, and they won’t be satisfied until they have laid waste to the world.

In my previous post I argued that the inequities within western society are nothing next to the inequity that exists when you compare the west to the rest. But I also made it clear that I fully support opposition to that inequity (I’m just not keen on all of the language used by those doing the opposing). We can do little about the greater problems of the world if we’re forced to our knees at home. To solve the larger problem we need the power to do so. And whatever small amount of power we may have had is being systematically stripped from us.

My solution is a radical one. And one that will be popular with nobody. So we clearly need to find a different solution.

But if it came to it… sure, sell off the assets. Then once the cheque has cleared (metaphorically) announce a huge wave of nationalisations. Just take it all back (and that includes the offshore resources we let go for a pittance). Implement a hefty wealth tax. Raise income tax for everyone above €60,000; with increasing levels as you rise above €100,000. Cut whatever public spending we can afford to without putting anyone into poverty. Essentially, balance the budget in one fell swoop. Then unilaterally default on our debt and leave the euro. Hell, leave the EU if we’re forced to. Devalue our new currency and begin large training programmes in agriculture and engineering. Get back to basics. Make sure we can feed ourselves and maintain our national infrastructure. Expand our renewable energy and public transport systems. By all means continue interacting with the global economic system, but on our own terms.

Yeah. As I say, popular with nobody. It’s a strategy that will produce hardship and require sacrifice. Crucially though, those who can afford to contribute the most will be expected to. Given Ireland’s population and resources, I don’t believe that anyone need go hungry or without shelter; but we’ll have to say goodbye to most of our luxuries for the foreseeable future. And let me just say this while you’re thinking of a better solution… such a manifesto will be a far better preparation for the future than anything being proposed by any political party, or by the IMF, the EU or any financial institution. It would offer unborn generations a sustainable society instead of an unsustainable debt.

And so 2011 slips behind us and into the pages of history. While ahead looms 2012. And it looms ominously I’m sorry to say. Not because of Mayan prophecies or the mutating neutrinos of Roland Emmerich, but because the problems of 2011 – despite seemingly endless summits and photo-ops attended by our political class – have not been solved. In fact, the problems of 2011 were often little more than the ones we failed to address in 2010. As for the problems of 2010? By and large they were unfinished business from 2009. And the problems of 2009? Well, I’m sure you can see the emerging pattern.

In South Africa the governments of the world met for a few days and cobbled together a strategy for dealing with Climate Change. In Belgium (and elsewhere) the governments of Europe met for longer periods of time and cobbled together a strategy for dealing with the debt crisis. What unites both strategies is the bizarrely transparent manner in which they fail to achieve their stated aims. I’d always heard that if a job was worth doing, it was worth doing well, but apparently that’s not a philosophy shared by those in power. Had the Durban conference concluded with a joint statement from participants to the effect that they would insist upon compulsory piano lessons for all giraffes, it would have had roughly the same chance of halting Climate Change.

As Kurt Vonnegut pointed out, “We could have saved it but we were too damned cheap.”

Never forget that the reason the big issues facing the world are not being addressed is because the people in charge don’t believe we’re willing to put in the necessary money and effort. And never forget that we put them in charge precisely because that’s what they believe. They promise us easy solutions to problems we know are difficult, and in return we elect them.

Even our more manageable problems, such as the European debt crisis, are left to fester until they threaten to visit catastrophic social collapse upon entire nations. And why is this? Well part of it, and this is really quite depressing, is because our political leaders are completely incapable of admitting that they might be wrong about anything. I really do think it’s a psychological disorder. I’m not sure if it’s something they succumb to as a result of a proximity to power, or whether something about politics attracts those who already suffer from the condition. Either way, it is one of the greatest obstacles to progress.

The austerity policies in place around Europe are just plain wrong. We have created a society that imposes poverty and suffering on the general population unless it is experiencing economic growth. And at the same time we are implementing policies that are guaranteed to prevent growth. Personally I think we need to restructure society so that it no longer relies on growth, but until we do that, economic policies that prevent growth are nothing less than deliberate, calculated attacks on the citizenry by those in power.

The trouble is; even as this becomes clear, even as the failure of austerity slowly sinks in, those in power are pathologically incapable of admitting it. The very fact they supported a policy must mean the policy is the right one. The alternative is unthinkable… that they publicly accept they are fallible. These people should not be running countries, banks or large institutions. They should be heavily medicated, under supervision and kept away from sharp objects let alone the levers of power. They are mid-level bureaucrats of modest ability who have been accidentally elevated to positions of power by a runaway ambition-gland. And it’s broken them; made them delusional. We should not permit them to inflict their delusion on the rest of us.

Ireland, January 25th 2012

In two weeks time, assuming Europe lasts that long, that delusion will once again be inflicted upon the people of Ireland. In what is the ultimate ongoing demonstration that our government represents the interests of casino-capitalism above that of the citizenry, the next of the Anglo-Irish Bank payments will be made. On that day, the Fine Gael / Labour coalition will hand over €1.25 billion of public money to unsecured, unguaranteed bond-holders. It’s mind-blowing really. There is no legal requirement for the government to do this. It is not a condition of the IMF/EU “bail-out”. The payment is not part of the disastrous 2008 Bank Guarantee. Let me repeat; there is no legal requirement to pay this money. Indeed I would argue there is a moral imperative to not pay it.

So why are we paying this money, despite there being no requirement? Because our leaders don’t want to upset the markets. Oh, they’re happy to upset the people they were elected to represent. Happy to cut child benefit and disability benefit. Happy to slash the incomes of the already poverty-stricken. But they don’t want to upset the markets. Markets, remember, that Ireland has been effectively excluded from by crippling interest rates (hence our need for the IMF/EU “bail-out”). The markets will screw us alright, but heaven forbid we Irish upset them.

To a nation the size of Ireland, a payment of €1.25 billion is massive. It represents more than half the spending cuts made in our recent budget. As a letter to the Irish Times recently put it, “the proposed payment is equivalent to the salaries of 5,000 extra nurses for five years”. But it’s only the tip of the iceberg. By the end of this year, the Irish people will have paid roughly €2 billion of unsecured, unguaranteed bonds. On top of that, we’ll also be paying more than €3.7 billion of bonds covered by our insane Bank Guarantee. And that’s for Anglo-Irish Bank alone. Yes, that’s right, more than €5.7 billion of public money is being handed over to investors in a single (now defunct) bank in a single year. It’s beyond nonsense and into the realm of criminally insane.

We’re constantly being told that we must live within our means, while those doing the preaching are throwing our money away. It’s time we put an end to this idiocy.

Today I was reading an article (There is Another Way) on David McWilliams‘ website and I found myself mentally stumbling over a particular line. It’s about halfway through the piece… “economies grow because of the human capital of the societies”, he says.

Now, I like David McWilliams. He’s probably the most famous of Ireland’s celebrity economists, but don’t let that put you off. I certainly don’t agree with everything he has to say. And if, for example, we were to reduce things to the simplistic left/right dialectic that I generally try to avoid on this blog, then it’s safe to say that I’d be a good deal to the left of McWilliams. Beyond that, although he is one of the most vocal opponents of the current austerity orthodoxy, he still retains far too much of the dogma of mainstream free-market economic theory for my liking. Nonetheless, he was one of the very few economists to publicly warn of the financial crisis quite a while before it hit… a fact that – along with his likeable media persona – has garnered him the celebrity status he currently enjoys. He also organises the Kilkenomics Fesital which, although I’ve not been to it myself, sounds like a splendid idea (high-profile economists and well known stand-up comedians are invited to take part in performances, public interviews and conferences… a most appropriate combination of participants).

Earlier this year, at a conference called European Zeitgeist 2011, McWilliams was asked about the “bail-outs” that have been received by three (so far) EU members. His response succinctly sums up the sensible position on the subject…

However, regardless of his likeability and sensible views on the current financial crisis, David McWilliams still falls into the great trap that pretty much every economist of note succumbs to… to use the language of Systems Theory, he confuses the map with the territory. That is, he tends to see economic analysis as descriptive of the real world as opposed to merely being a model of it… and a flawed one at that. The distinction may be a subtle one, but it is massively important.

A couple of months ago, McWilliams hosted an online seminar (or “webinar” to use the parlance of our times) in which he gave a short lecture on the European crisis and then responded to questions from the disembodied audience. I put my question to him. Now, regular readers of this blog could probably guess what I asked with a fair degree of accuracy, but for the rest of you, it went something like this… “David, while acknowledging that the current financial and economic crisis is a real problem, what do you say to people who suggest it is but the tip of the iceberg; that a far more serious issue is that of resource depletion – in particular, but not limited to, peak oil – and that this will result in a near-term crisis that will make the current one look positively modest in comparison?”

To his credit (and my surprise), his response essentially acknowledged that there was a lot of truth in my suggestion and that the global economy may well experience very serious shocks as a result of resource depletion in the not too distant future. The reason for my surprise was not simply the fact that most economists fail to make that map / territory distinction and therefore completely forget that economics is no more than a conceptual model of a physical world and that economic laws and theories are only accurate insofar as they tally with the laws of physics. That they are essentially descriptions of past events and cease being at all relevant when the physical conditions of the world they describe change radically. No, I was also surprised because McWilliams makes little or no reference to the notion of resource depletion in anything he writes.

This is why I get frustrated when I read statements like “economies grow because of the human capital of the societies”. McWilliams is a very smart man and appears to acknowledge the near-term possibility of a radical change in the physical conditions within which human society – and therefore economics – must exist. The depletion of oil and other petroleum products is a complete game changer. And it makes statements such as the one about human capital completely redundant. While the statement may be (indeed, is) relevant in a world where the availability of cheap energy is a given, it is nonsense in a world of diminishing energy supply. In that world, economic growth is entirely dependent upon access to that diminishing supply of energy.

This is because an economy is – in very rough terms – the amount of work occurring within a society. Some would insist that should be restated as “the amount of productive work occurring within a society”, but that’s not the case because, in practice, many people are paid for unproductive work and that money is still part of the economy. But what is “work”? Well, a definition from a Business Studies course might claim that work is “paid employment at a job or a trade, occupation, or profession”. And that’s all well and good for passing your end of term exam, but if economies are built on physical systems (which in the final analysis, they are) then it’s really the physical definition of work that’s important. And while the most mathematical of definitions is the somewhat abstract “work is the product of a force times the distance through which it acts”, we only have to wander as far as the First Law of Thermodynamics to find work equated with energy. Indeed energy is defined as “the ability to do work”. Therefore, with decreasing energy resources comes decreasing work.

This is something that cannot be avoided and something we desperately need to start facing up to. Every available piece of data seems to point towards the fact that we have already passed peak oil (2006 seems to be the agreed year for a peak in conventional crude oil). Indeed, this is playing a not insignificant role in our current economic problems, and yet we are still at the very beginning of the resource depletion crisis. Each moment we continue to wilfully ignore this issue is a moment spent making the problem worse. Which is why people like David McWilliams; intelligent people with a public platform who are apparently aware of the looming crisis; should be talking about it. They should be shouting it from the rooftops until they’re hoarse.

What they shouldn’t be doing is insisting that despite the current downturn, despite the currency problems and despite the issue of unsustainable debt, the underlying structure of the world is the same as it ever was, and that a return to growth is just around the corner if we simply make better economic and financial decisions. Because ultimately that is what “economies grow because of the human capital of the societies” translates into. It is a statement that reflects a deep economic orthodoxy and that’s something we just can’t afford right now.

I’ve been keeping a pretty close eye on the negotiations, tantrums, pratfalls and other shenanigans that go to make up European politics of late. My mind has been well and truly boggled by the cavalier fashion in which politicians from across the political spectrum (though mostly on the centre-right, for it is they who hold the balance of power in Europe these days) have relegated the interests of the people below the interests of financial institutions and other corporations.

Of course, it has become part of the standard rhetoric of the left (and I’m just as guilty of it as anyone) to suggest that our political establishment has effectively ceased representing those who elected them and now focus exclusively upon representing the rich and powerful. It’s a line that’s gotten old through constant use. But rarely has this claim been so self-evidently true as during the past few months.

Now, there are those who would argue that there’s no reason why the interests of financial institutions and other corporations should necessarily conflict with those of the population at large. And I’m more than willing to concede that. There are all manner of hypothetical scenarios (and even a few historical ones) in which the interests of the rich and powerful complement the interests of the rest of us. However it is only the irredeemably partisan or the unfortunately half-witted who would claim our current situation qualifies as such a scenario.

We have allowed ourselves to be manoeuvred into a position where the very people we elect to represent our interests are gleefully handing our collective wealth over to the already super-rich. Where hospitals and schools are being closed in order to funnel public money into banks. Where croneyism and outright corruption have become the basic modus operandus of government. And where those who are already poverty-stricken – or in danger of becoming so – are expected to tighten their belts so that the wealthy may accumulate ever more obscene fortunes.

Both politics and finance are supposed to serve the wider population. We elect politicians to represent our interests directly. The financial institutions that make up modern Market Capitalism are, theoretically at least, permitted to exist by society in order to make the distribution of wealth an efficient process. Certainly there is nothing written into the rules of the Free Market system that says the wealth much be distributed equitably, but there should be a basic fairness to the system… one that, at the very least, allows the vast majority of people to live comfortably. If the Market does not achieve this aim then it is failing society as a whole and needs to be replaced with something else. After all, it’s supposed to be The People who ultimately call the shots and decide how society is structured. Not a handful of bond traders, political insiders and bankers.

Right now, however, we have arrived at a situation where politics and finance have united against the wider population. For several decades they have been united in self-interest and marginal cranks such as myself have been decrying this and warning against the inevitable tragedy that would result. However, at the same time, this unholy cabal was careful to provide a half-decent standard of living for the wider population (yes, yes, largely at the expense of the billions of poor in the so-called “developing” world, but I’m talking specifically about the people, governments and institutions of Europe). This staved off revolution and also effectively muted much of the criticism from the marginal cranks in the anti-capitalist brigade. It’s difficult to convince someone that they’re being screwed-over by the wealthy elite when they are flush with endorphins from their purchase of a 42-inch HD LED-backlit flat screen TV. We’re all monkeys after all, and easily distracted by shiny toys (me as much as anyone… a recent gift of an iPad2 has left me cooing and swiping the touch-screen like any other monkey – and I don’t even like Apple!)

But the past couple of years have seen the beginnings of a shift… we are leaving the world of Huxley and rejoining that of Orwell. No longer are the financial and political elites willing to share even the crumbs of the great wealth they are accumulating. They have become so self-assured in their positions of power that their rapacious appetites extend now even to those crumbs. Public services are slashed to the bone, yet increased taxation on the rich cannot even be considered. In nations without jobs, welfare benefits are cut and then grudgingly distributed, yet corporate tax rates are sacrosanct. The few remaining assets of a demoralised populace are flogged to ultra-rich investors at rock-bottom prices in order to pay off debts run up by those self-same ultra-rich investors.

Last Friday this wealth-grab by the powerful played out in an odd fashion in the theatre of European politics when David Cameron (the right-wing British Prime Minister) threw a strop and stormed out of negotiations supposedly designed to solve the European debt crisis and save the euro. Well, he “used his veto”, which amounts to the same thing in Brussels. His stated reason for this break with the rest of Europe was his desire to protect the City of London… in other words, the UK’s financial sector.

There was much that was odd about this whole process. Firstly, Cameron’s veto doesn’t really protect the City of London… I could write a whole post on why this is the case (and may yet do), but in reality he may actually have exposed The City to significant harm should the other 26 EU members draw up a treaty that covers financial services. It’s also worth pointing out that while about 10% of Britain’s GDP is generated by the financial sector, a whopping 40% is generated by exports to the EU… his veto doesn’t affect Britain’s position in the Common Market, but it may well foreshadow a serious strain in the relationship between the UK and Europe; a strain that places the 40% at risk despite doing little to protect the 10%. He was effectively attempting to place the interests of his City Chums ahead of the interests of the general populace and may simply have succeeded in shafting both.

Also, by playing to the rabid euro-sceptic wing of the Tory Party, he has driven a massive wedge down the middle of his coalition government which may or may not turn out to be a political disaster. Incidentally, every time I see that over-fed jubilant Tory MP call Cameron’s strategy a triumph for Britain’s “bulldog spirit” I can’t help but think, “yeah, you waddle around shitting where it’s inappropriate, only pausing briefly to lick your own balls… truly an appropriate image for the modern Tory”.

Increasing the oddness of the Cameron sulk, though, is the fact that the draft treaty on which he has turned his back is a right-wing financial-political-elite wet dream. What’s being proposed by the Franco-German alliance and eagerly lapped up by the rest of the nations involved is a terrible betrayal of the people of Europe. It runs the risk of legally restricting future national governments from adopting left-wing economic policies. It runs the risk of setting back the power of labour unions by a hundred years. It runs the risk of permanently transferring sovereignty from national populaces towards international financial institutions. And all the while it – bizarrely – completely fails to address the current European debt crisis or do anything to stabilise the euro.

Last week’s summit can be summarised as an attempt by the European elite to use the current crisis as cover for imposing a permanent state of austerity on the wider public without even trying to solve that crisis. It’s the kind of thing that Cameron should have eagerly embraced, but was too beholden to his own marginal cranks to do so. And by being the only nation outside the proposed treaty, Britain may end up being damaged as a whole, despite the treaty being a betrayal. It’s all very odd.

What Europe needs right now is a couple of socialist revolutions followed by mass nationalisations. I can only hope that the Irish government, for one, is quietly printing new banknotes and making plans – however provisional – to exit the common currency. I have my doubts they’re smart enough for that, but we may well find out in the coming months.

Here in Ireland we have just been subjected to the latest in a line of “austerity budgets”. I thought I was beyond being astonished at how craven our government – in their willing complicity with the diktats of The Market – could be. How wrong I was. The brutal cynicism of the Fine Gael / Labour coalition has dropped even my jaw (personally I think the Labour Party should be forced to change their name under trades description legislation). It was a budget bordering on the wilfully evil.

There were savage cuts to disability benefits, child benefit, the winter fuel allowance, community employment schemes, the back-to-school allowance and much more… some of which will save a few million at most while making life unbearable for those already at breaking point. Despite the steadfast refusal to even discuss raising taxes on the wealthiest and the highest earners, we saw an enthusiastic embrace of VAT increases, a flat-tax household charge and other indirect taxes that will hit the most vulnerable hardest. And to add insult to injury, we were forced to endure the obscene spectacle of ministers earning a small fortune appearing on TV to tell us just how difficult it was for them to inflict such pain on the nation. How they’d done all they could do in order to ensure that the burden of austerity was being shared equally. Orwell’s observation that “some are more equal than others” may as well be the slogan for this government. Poor dears, in their ministerial cars, with their gilt-edged pensions, generous expense accounts and salaries of over 5 times the national average.

Vincent Browne, one of the few remaining voices of sanity in Irish public life, perfectly illustrated this rank hypocrisy when he cornered Brian Hayes – a Fine Gael minister – on his show. The politician bristled with indignation when Browne suggested he was on a salary of €150,000… it was only €130,000 he protested. That’s still a “mega-salary” insisted Browne (quite rightly) and went on to wonder… “compared with the people you have afflicted in this budget, isn’t there something grotesque about you people sitting around and commiserating with yourselves about the hard decisions you have to take when all the pain of those hard decisions is on somebody else?” The blustering arrogance as Hayes tried to wriggle out of the question was cringe-inducing. “The pain is throughout our society”, he stated (almost as though he believed it). Browne rounded on him… “No it’s not! How is it on you? You get away scot-free!” Hayes eventually resorted to plaintively pointing out that the VAT increase would affect him too. He then tried to make the issue about just how sincere Vincent Browne’s outrage was… this contempt for the public is gut-churning, and I desperately hope that the people of Dublin South West consign him to the dustbin of history at the next election.

You can see the exchange here:

Alternatively you can watch the entire programme, for a limited time here, though that may not be available outside Ireland.

The assertion that a 2% VAT increase will affect someone on 130 grand in anything like the same way it will affect someone on welfare, or even someone on the average national wage… that “the pain” is truly being felt “throughout society”… indicates one of the following; (a) that Brian Hayes is an idiot, (b) that he’s utterly out of touch with reality, or (c) that he’s a bare-faced liar of the worst kind. I won’t say which one I think it is, but I will say that all of those are terrible traits for someone in a position of power. That he then tried to change the subject and discuss the attitude of the interviewer, the day on which such a devastating budget had been announced, just made him seem even more pathetic. I know I lambaste politicians on a regular basis, but Brian Hayes managed to plumb new depths last week. Though I suspect it won’t be long before someone from Labour or Fine Gael discovers yet deeper waters of iniquity in which to swim.

A few months after the United States invaded Iraq, Dubya Bush sent Condoleeza Rice on a whistle-stop tour of US allies. Presumably her job was to gauge how much support was out there and to shore up whatever there was. I was living in the UK at the time and I recall the protests that greeted Rice’s arrival in London. A few days later she touched down in Athens and the news reported a huge demonstration that ended with petrol bombs being thrown at the US Embassy. It occurred to me that there was an important cultural difference on display there. It’s not about which response was right… whether Rice’s visit merited placards or petrol bombs. It’s that it takes far less provocation to get the Greeks to reach for the petrol bombs than it does to get the British.

This is something that I’ve constantly borne in mind during the Greek protests. The austerity measures being forced upon the Greek citizenry aren’t that much worse than those being forced upon us here in Ireland. But Occupy Dame Street notwithstanding, the Irish citizenry is a long long way from general strikes and petrol bombs. Which isn’t to say that we can’t be pushed to it. Our history of armed uprisings is quite emphatic about that. But we appear to be slower to be roused to such action.

Why that should be, and whether it’s for the better or the worse is beyond the brief of this short post, but it’s worthwhile to place the Greek protests in that context. Which is to say… if relatively limited austerity measures will provoke the protests we’ve seen, then the potential for a populist movement toppling the government is very real indeed when you consider the far more draconian measures coming down the line as a result of the “bail out”. Something akin to revolution has been brewing in South-eastern Europe over the past few days. And lest you think I’m guilty of hyperbole, I present two pieces of evidence. One you already know about. Another that’s just been announced and which may or may not catch the attention of the global press.

The one you know about is, obviously, the referendum announcement. I was incredulous when I first heard it on the news yesterday. Papandreou couldn’t have created more chaos if he’d started chucking live grenades around the Head of State meeting. First he agrees to the terms of the “bail-out”, then – after every other EU leader holds a press-conference in which they speak of their relief at the deal being finalised and how it would have been disaster for Europe if they’d failed – he goes on TV and retracts his pledge and instead tells Europe he’s going to consult the Greek people. The same people whose response to the current deal includes general strikes and rioting.

It seems pretty clear to me that Papandreou arrived back in Athens, fresh from agreeing to the European “bail-out”, only to be met by grim faces. And he was told… “If you do this, your government will fall. And whatever replaces it will not implement that deal anyway”. He was backed into a corner and did the only thing he could; he bought some time for Europe to come up with a way of easing Greece out of the euro as gracefully as possible.

How do we know he was backed into a corner? Well, that’ll be the other piece of evidence. A few hours ago the Greek government surprised a lot of people (including those in the military) by announcing a wholesale change of the entire military top brass. The Heads of the Army, Navy, Air Force and National Defence Force were all replaced earlier today. On a day where the Prime Minister is clinging to power by his fingertips, where his government’s majority has been whittled down even further by defections and prominent members of his own party are calling on him to resign. On a day where global markets are plunging as a result of Papandreou’s referendum announcement and European politicians are – not to put too fine a point on it – completely freaking out, does anyone think the Greek government has anything at all on its agenda that isn’t extremely urgent? And there’s not a lot of reasons why the replacement of the military high command becomes urgent.

Papandreou has played his final cards. The referendum might turn out to be a slice of political genius (opposition to the “bail out” is running at 62% according to the latest poll I saw… that’s not insurmountable) and the current government may somehow survive within the Eurozone by gaining a public mandate. But in my view, the odds of that happening are significantly worse than those poll figures suggest. With internal pressures beginning to fracture the government and something very strange going on with the military, it seems unlikely that Papandreou will be in power long enough to hold the referendum. And there’s no guarantee that his successor will feel the need to honour Papandreou’s commitment to a public vote.

One thing I am looking forward to though, is just what Vincent Browne will have to say about this all on his show tonight. I can almost hear his apoplectic spluttering as he confronts whatever lamb the government have sent to the slaughter… “But wha… wha… why are the Greeks getting a vote on this vital issue but the Irish are not? Does the government believe Irish citizens are not to be trusted? Or maybe that we’re all too stupid to understand what’s going on?”

In a couple of days time, on Thursday October 27th, the citizens of Ireland will make their way back to the polling stations. This time around, however, we won’t vote for a new government (more’s the pity) but for a new Head of State. A new president.

The presidency of Ireland lasts for a term of seven years and can only be held for two terms. Traditionally a president is unopposed should they choose to serve the second term, and historically most presidents have taken that option, remaining in office for the full 14 years. Health permitting, that is… Ireland’s first president, Douglas Hyde, was unable to serve his second term as a result of ill health and the fourth president, Erskine Childers, died a year into his first term. Childers was succeeded by Cearbhall Ó Dálaigh who resigned after two years as a result of a series of clashes with the government of the day (it was the beginning of ‘The Troubles’ in Northern Ireland and Ó Dálaigh was far more militantly republican than the government). Mary Robinson, of course, was offered the post of UN High Commissioner for Human Rights at the end of her first term and did not, as a result, take up the option of a second term. All of the others served the maximum 14 years. And our current president, Mary McAleese, has reached the end of her second term, so the post must once again be filled.

But does it really matter who holds the presidency? Despite being democratically elected, the position is more akin to that of – for example – the Queen of England than it is to that of the President of the United States. It’s a largely ceremonial role and one that offers little room for influencing national policy. Despite the strident claims of one candidate in particular, the president will not be able to prevent a further expansion of European control over Irish social and economic policy… no matter how often the candidate might appear on TV brandishing the Irish constitution like a sword. But more about the individuals in a bit.

For now, let me dig a little deeper into that phrase, “a largely ceremonial role”. Because “largely” does not mean “completely” and the president does have a tiny bit of real power as well as – potentially at least – a fair amount of cultural influence, and therefore indirectly, political influence. The “real” power comes from the fact that the president is required to sign any Bill passed by parliament before it becomes Law. And Article 26 of the Irish Constitution states that the President may – with the exception of national budgets and bills enacting the results of a referendum – refer any bill to the Supreme Court should they feel the Bill “is … repugnant to this Constitution or to any provision thereof.”

Now, while this power has been very rarely exercised, there is a school of thought which suggests that the various laws that led up to the ECB/IMF bailout (including the infamous and disastrous bank guarantee of September 2008) effectively undermined Irish sovereignty and could, therefore, have been interpreted as anti-constitutional. Whether or not the Supreme Court would have agreed with that interpretation is, of course, another thing entirely. But President McAleese could certainly have thrown a spanner in the works back in September 2008 by delaying the bank guarantee. This could have had a massive impact on our recent history (for better or for worse, we’ll obviously never know). That said, there’s another school of thought which suggests that the bank guarantee and subsequent bailout legislation were “Money bills” and were – as a result – immune from presidential referral. However, I believe there is enough room for interpretation on that question to have at least provoked a constitutional crisis should President McAleese have chosen to do so.

Let me stress; all of that is hypothetical. President McAleese has been a fine president and I’m not criticising her here. The social, political and economic landscape was radically different when she was elected 14 years ago and she was certainly not elected to be a political firebrand. Her ambassadorial / ceremonial role was implicit in her presidency and this almost certainly aided her quietly effective social campaigning on issues such as gender equality and sectarianism. As much as I personally would have liked her to do so; had she suddenly decided to attack government economic policy 12 years into her presidency, it would have been with a questionable mandate.

This time around, however, there is at least one candidate openly campaigning with a view to testing just how far a president can go to obstruct government policy. And while I do not – for reasons I will get on to soon – endorse that particular candidate, there’s little doubt that people have the option to cast their vote for a much more “active” president this time round (or not… there are several “won’t rock the boat” candidates in the running too). The Irish Presidency is an office with limited power, yes, but will the people vote for someone who promises to push those limits?

There is another sort of power inherent in the presidency. The power of symbolism. To anyone sceptical of the power of symbols, I suggest you walk into a packed synagogue wearing a swastika armband and see how quickly a symbol can inspire robust action. The effective use of symbols can bring about social change just as quickly as any law. In 1990 Mary Robinson was elected as Ireland’s first female president. Robinson was a woman with the backing of Irish socialists, a woman who as a campaigner had previously spearheaded the law that saw contraception legalised in Ireland and the law that saw women sitting on juries for the first time. It would be naive to suggest that modern Ireland is gender neutral; that women enjoy an equal status within the institutions of power. However, let’s not belittle the progress that has been made, and Mary Robinson’s election as president was a powerful message of just how far the equality agenda had come by 1990. Furthermore, it helped consolidate that agenda and there are two candidates in this coming election whose election could send an equally powerful message on other issues.

The candidates

The first of the two candidates whose election would be powerfully symbolic is independent Senator, David Norris. Norris is openly gay. Now, it’s possible for public figures to be openly gay without that fact playing any part in their public statements or – if a politician – their policy decisions. Norris, however, has championed gay rights in Ireland for most of his life. He was the first openly gay person elected to public office in the country. He founded the Campaign for Homosexual Law Reform, and his 14 year campaign to overthrow the Irish anti-homosexuality law was finally successful in 1988. The election of David Norris to the presidency would be – whatever else it might be – a triumph for gay rights on this island. Just as the election of Mary Robinson in 1990 didn’t make Ireland gender neutral overnight, so the election of Norris wouldn’t signal the end of homophobia. However, it would be a massive symbolic act by the citizenry of this country. And while there is far more to Norris than just his sexual orientation, we should not underestimate the importance of that symbolic act.

Symbols matter. They’re not all that matters. But they do matter.

But of course Norris is far more than just a gay rights campaigner. He’s an academic and Joycean scholar (very much a point in his favour in my eyes). As an independent senator, he was one of the few politicians to vote against the bank guarantee and has steadfastly and consistently criticised the economic policies of the current and last governments. Within the ranks of the political establishment he’s been a lone voice in the wilderness on a whole bunch of issues. He is outspoken, and he’s erudite and humorous with it. At the same time, his ebullient manner and rarified accent does paint him as a bit of an eccentric in the eyes of some.

Norris started the campaign way out in front in the polls. A couple of months ago the media were almost painting him as a sure thing. Since then, however, he’s been hit by a succession of scandals and – if we’re to believe the polls – his support has plummeted. It’s hard to escape the feeling that the negative stories were – in large part – a tabloid campaign to undermine him. Maybe it was just the inherent anti-intellectualism of the tabloid press rather than homophobia. Or maybe it was a bit of both.

That said, he really dug himself into a hole with the “letters for clemency” scandal. It filled the newspapers for a week, yet the sum-total of the factual information that the average Irish person knows about the issue could fit into a single paragraph. It was outright character assassination, and yet another in a long line of new lows for the mainstream media. But it’s also true that Norris handled it far worse than he might have done and managed to spectacularly shoot himself in the foot on the Vincent Browne debate. I’m not going to rake over those old coals, but my take on it is simple enough… just because some members of the public might well be interested in reading the letters, does not make their publication “in The Public Interest”.

Anyway, Norris will be getting my first preference vote. Yes I think he handled the “letters” scandal badly, but it won’t stop me voting for him. He’s the best person for the job.

My second preference vote will go to Michael D. Higgins. Up until the last few days that wasn’t the case, but recent polls have made up my mind. If Norris isn’t going to be President, then I want my support to transfer to the person most likely to beat Seán Gallagher (about whom, more later).

Higgins is the official candidate of the Irish Labour Party and I’m desperately trying not to hold that against him. Like Norris, he’s also a scholar and an intellectual. A poet on the left fringe of his (rightward-marching) party… kind of like Tony Benn in the years following the establishment of “New” Labour. Higgins voted against the bank guarantee and has, I suspect, been nominated by the Labour Party partly in the hope that he won’t be a thorn in their side as they implement public sector cuts over the next few years. A president who spoke publicly against government policy would be pushing the limits of their office.

And one thing that Michael D. Higgins won’t be, you see, is a president who pushes the limits of the office. He has called for an overhaul of the Irish constitution and has made it very clear that he does not believe the current government (in which his party is a coalition partner) is a force for social justice. He has decried the values of the Celtic Tiger and lambasted the rampant capitalism it brought to Ireland. But he has a very conservative view of the role of the president and seeks to use the office to initiate a “national conversation” on our social and economic values rather than to directly challenge or obstruct the government in any way. A part of him might secretly daydream of using the position of president to overtly forward a socialist agenda, but it’s not something he’d actually do. A Michael D. Higgins presidency will not be remembered as a revolutionary one. Whether or not any president could effectively act upon a revolutionary agenda is highly questionable of course, but Michael D. Higgins won’t be asking that question. And I worry that he may well be an easy man for the government to ignore once they’ve got him safely ensconced in the big house in Phoenix Park.

Still, by and large he’s a man of honour and integrity and if we are to have a “national conversation” about our values, I can’t think of many better men to chair it. Also, if the polls are to be believed, Higgins is currently the only candidate with any chance of beating Seán Gallagher, automatically earning him my transfer.

I considered giving my second preference to the other “highly symbolic” candidate I mentioned. Martin McGuinness. Let me pause to allow some of you a moment to seethe. Even more divisive than the scandal-hit Norris, Martin McGuinness (yes, that Martin McGuinness) is by far and away the most controversial candidate in this presidential campaign. He has come under fire from many in the media, and the entire campaign by the official Fine Gael candidate seems based around McGuinness-bashing. In fact, the reaction he provoked from many quarters in the establishment was – almost as much as any personal or symbolic qualities of the man – partly the reason I considered voting for him. I don’t subscribe to the maxim that the enemy of my enemy is my friend, but for me it’s definitely an endorsement to have the voices of conservativism raised so stridently against you.

Just as the election of Norris would not eliminate homophobia, the election of McGuinness as President of Ireland would not draw a line under ‘The Troubles’. However, it would be another step away from that dark period of history. There’s no question that the peace process in Northern Ireland was the work of many parties and individuals. It was probably Tony Blair’s finest hour. The same can be said for Bertie Ahern. And the unionists in the north also played a huge part. But I genuinely believe that nobody took a bigger risk (both politically and in a very real “bullet in the head if this doesn’t work” sense) than Martin McGuinness and Gerry Adams. It was they who convinced the IRA to put down their weapons. They who walked into darkened rooms filled with men carrying guns and told them they were going to make compromises on their behalf. Blair didn’t have to do that. Ahern didn’t have to do that. I seriously doubt any prominent unionist politician had to do that.

So despite the attempts of Fine Gael to belittle his role in making a success of the Good Friday Agreement, I believe that Martin McGuinness is a peace-maker. That he was a man of violence before that…? Yes he was. Peace-makers sometimes are. I abhor what the IRA did and I abhor the actions of McGuinness so far as they were a part of that. The IRA took a legitimate social grievance and turned it into a campaign of violence that lasted a quarter century. I am not someone who claims that violence can never be justified. But bombs in shopping precincts? Fighting tyranny with those tactics is just another form of tyranny.

However, when a man of violence renounces violence. When he goes further and risks his own life to compel others to renounce it. When he goes further still and sits at a table with his sworn enemy and negotiates a truce to bring peace after more than 25 years of shootings and bombings. Then he is no longer a man of violence. And let’s not forget that the mainstream political parties that now attack McGuinness for his IRA membership are themselves a legacy of organisations that today would be defined as terrorists. Éamon de Valera, president between 1959 and 1973, was himself a “man of violence” once. And compared with Martin McGuinness, de Valera did a damn sight less renunciation and peace-making.

Not that McGuinness is the ideal candidate of course. I understand that political campaigns are all about self-promotion, but if I hear him dropping Nelson Mandela’s name once more I think I’ll scream. And while he has every right to campaign on his track record as a peace-maker, he needs to come up with some different sound-bites. Everyone in Ireland has heard McGuinness say “I was able to build a relationship with loyalist leaders Ian Paisley and Peter Robinson” at least 15 times in the past few weeks. It’s an impressive achievement Martin, and it might have secured a vote from me if it wasn’t for Gallagher, but at least vary the wording now and then.

At no stage did I consider voting for any of the other four candidates In fact, I’d happily write a negative number alongside a couple of their names if such a thing were possible. And at the top of that negative list is the official Fine Gael candidate, Gay Mitchell. Thankfully he’s nowhere in the polls so I don’t have to worry about having Mr. Narky as Head of State.

Let me start by saying that Gay Mitchell really rubs me up the wrong way. On television he comes across as smug, patronising and frankly unlikeable… he may be nothing like that in the flesh, but most of us are only ever going to encounter him in the media. If he had some good ideas or a positive agenda, I could probably overlook his abrasive media personality. But he doesn’t, so I can’t. His outburst at the end of the Pat Kenny debate was bewildering though strangely appropriate.

Not only could the country not expect any substantial action from a Mitchell presidency, I doubt he’d even carry out the ceremonial aspect of the role very well. In parliamentary campaigns where policy issues can create friction between candidates, negative campaigning is generally unedifying but tolerated. But to have such a relentlessly negative campaign for an office like the Irish presidency suggests that Gay Mitchell and Fine Gael have seriously misjudged the mood of the Irish people. At times during the TV debates it honestly felt like Mitchell was in the campaign for no other reason than to attack Martin McGuinness. It was embarrassing.

Mitchell represents the forces of Irish conservatism more than perhaps anyone else in the race. He is the official candidate of the centre-right government currently pandering to the demands of The Market in such a spineless fashion. A government whose robust promises during the general election campaign have evaporated with remarkable speed… and who have dedicated themselves to continuing the disastrous job of the previous administration. A job that involves asset-stripping this nation for the benefit of an international financial system that’s completely out of control. A job that, when complete, will have plunged future generations into a debt they never asked for and from which they have derived little or no benefit.

On top of that though, Mitchell is an Old School Catholic of a kind this country no longer needs. Of course, realising that hardcore Catholicism isn’t a vote-winner any more, he’s played down his links with Rome. In a radio interview he denied he had any connection with the fundamentalist Catholic, anti-abortion organisation, “Dignitatis Humanae Institute”. Yet a spokesman for the organisation appears to contradict this, suggesting that Mitchell co-authored the Institute’s manifesto (the “Universal Declaration of Human Dignity”). Mitchell’s stance on issues like abortion and homosexuality (including gay marriage) are straight out of The Vatican and are not, in my view, worthy of the Head of State of a modern nation.

Another candidate to whom I’d give a negative vote if such a thing were possible, is independent candidate Seán Gallagher. Unlike Gay Mitchell, who represents Ireland as it was a few decades ago – caught in the terrible grip of a Church that had long since lost its soul – Gallagher represents the Ireland of the Celtic Tiger. And I’m genuinely not sure which is worse. Certainly neither would gain my vote.

Gallagher is that ultimate symbol of modern consumer capitalism, the “celebrity entrepreneur”. Young, over-confident to the point of arrogance, and constantly insisting that his track-record of financial success somehow automatically translates to success as a president, Gallagher is a product of an unholy union between Fianna Fáil and The Dragon’s Den. Until a few months ago Gallagher was a member of a political party that spectacularly misused their decade of power and left this country stricken for generations to come. He wisely severed all official ties with that party before announcing his candidacy, so that he could run as an independent. But frankly I’ve yet to hear a single thing from Gallagher that suggests independence of thought.

Instead he regularly trots out the clichés of the modern capitalist. As a “dragon” on the Irish version of Dragon’s Den, Gallagher has sat, week after week, and dangled his piles of cash in front of desperate people before cruelly yanking it away in the name of televisual entertainment. He talks about business and entrepreneurship in the same way a priest talks about God. It’s the reason for living. It’s the salvation of the nation. It is unquestionably a good thing. It will save us all.

It was the mantra of modern capitalism that got Ireland into the mess it’s currently in, and Gallagher hopes to carry that mantra with him as Head of this damaged State. The man marries reality television with a grasping free-market ideology. He pays lip-service to social justice while revelling in the inequities of market capitalism. Were he to become our next president, it would be almost as depressing a decision by the Irish electorate as their selection of Enda Kenny as Taoiseach. More than that, I honestly feel it would haunt us over the next 7 years. The Celtic Tiger is dead. It was never more than a sick joke in the first place. But now the corpse is starting to stink. The Celtic Tiger is never coming back and although people may agree with you when you say that to them, I’m not sure it has really sunk in yet. But it will do. And when it does, having a Tiger Cub like Gallagher as president could end up being a national embarrassment.

Yet he’s way out in front in the polls. Perhaps the implosion on the Pat Kenny debate a couple of nights ago will affect his turnout… are people really already prepared to forgive Fianna Fáil? More than that, to once again embrace the brown envelope culture that pervaded them? Dear God, I hope not.

Also running as an independent candidate is Mary Davis. I don’t have much to say about her. Mostly because she’s kept rigidly to a rather limited script during the campaign, and relatively speaking the tabloids haven’t had a massive go at her. Despite being an “independent”, Mary Davis is almost as much an establishment insider as Mitchell, Gallagher or Michael D. Her main claim to fame is the fact that she headed the Special Olympics committee during what’s been acknowledged as a very successful Special Olympics held in Ireland a few years back. She insists – perhaps with some justification – that this experience would be invaluable for an international ambassadorial role like the presidency.

However I was mystified by her apparent eagerness early in the campaign to constantly remind the media about the various “boards” she has been appointed to over the past few years; earning large amounts of money for a handful of meetings. Over the past 6 years she earned €150,000 sitting on the board of a bank and a building society. Given the disastrous track-record of Irish banks and building societies during that period, her only defence seems to be that the position she occupied involved no actual power or responsibility. Either she was part of the banking establishment during the run up to the crash, or else she was drawing a handsome salary from the banks for doing very little. This was bound to alienate a hell of a lot of people, and I don’t think her campaign ever recovered.

During that same period of time she earned over €85k for sitting on the board of the Dublin Airport Authority (but presumably bears no responsibility for the various screw-ups during the design and construction of Terminal 2). She earned over €35k for sitting on the board of the Broadcast Commission of Ireland (BCI), and while her working relationship with Irish media-magnate Denis O’Brien has generated a few column inches in the papers, it’s never erupted into a full-blown scandal. O’Brien is chairman of the Special Olympics Ireland Council of Patrons and worked with Davis on the Special Olympics in 2004. He is a contributor to her campaign. And whenever the BCI was voting on whether or not it was appropriate for O’Brien to expand his ownership of Irish media, Mary Davis always voted in his favour. Another case of the mutual back-scratching of the establishment. Nobody seems surprised, let alone outraged.

Though of course, her position in the polls has never been good and it’ll be a small miracle if she gets 10% of first preference votes. So while Ireland does look willing to elect one business-as-usual insider claiming to be independent; it’s not this one.

And last but by no means least is Dana Rosemary Scallon. While I shan’t be voting for Dana, unlike either Gallagher or Davis, she at least merits the label of “independent” candidate. Well, in a political sense anyway; her ties to the Catholic Church rob her of total independence. But as far as party politics go, Dana is equally dismissive of the lot of them, and while she has been an independent MEP, there’s no way she could be described as an establishment insider.

Originally coming to prominence when she won the Eurovision Song Contest in 1970 (with the massive worldwide hit, All Kinds of Everything) Dana subsequently went on to have a relatively – if mystifyingly – successful career in music. In the early 80s she broke into the American Christian Music market in a big way, which as it turns out, is a big market.

She ran for president 14 years ago and has also served as an MEP so is not a complete novice to campaigning, though there were times she gave that impression. She had a meltdown on the Prime Time debate and her early campaign appearances in which she constantly brandished a copy of the Constitution made her easy to caricature. Like Mitchell, her ties to the Church make her a somewhat “unfashionable” candidate in a country that is not quite done with its anti-Catholic backlash.

Her TV meltdown related to yet another tabloid scandal (a story about someone in her family) which again revealed the Stygian depths to which the media will stoop to package and sell sensation. The case is something that should be handled by the family and by the legal system; the glare of the media helps absolutely nobody and risks making the situation even worse for everyone. And there is absolutely no public interest served by running the story unless Dana was implicated in any wrong-doing (which she wasn’t). But hey, if it helps sell copies of The Irish Sun who cares if it’s poisoning our culture? Right?

Anyway, Dana is polling in last place and has been for some time. The tabloids didn’t rob her of support as she never really seemed to have much… but they did make it more difficult for her gain any. Still, she didn’t do herself many favours either. Her strident claims that she would single-handedly wrest our sovereignty back from Europe – at least that was the message she appeared to be conveying – mostly had the effect of demonstrating that she didn’t actually understand the role of the President. McGuinness and Norris might be willing to test the limits of the office, but Dana gave the impression that she didn’t know there were any. On top of that, her calm insistence that the Seal of the Confessional trumps national law and is enshrined by the freedom of religion clauses in the constitution, made her sound like a religious extremist in the Vincent Browne debate.

And there you have it

So those are the seven choices we’re faced with on Thursday. Norris would be by far the best president in my view, but seems unlikely to win. Gallagher looks like he’s heading for a victory, which would surely demonstrate – in the words of David Norris – that the Irish people “haven’t learnt much” from the recent economic disaster. We can only hope that Michael D. Higgins will gain enough second preference votes to pip Gallagher to the post.

Also on Thursday we have a couple of referenda (I’ll be voting ‘No’ on each*) and a by-election, though not in my constituency. There’s definitely a strangeness about the fact that at a time when momentous choices need to be made about the path our society takes into the future, we’re being offered a vote on a largely ceremonial position. Then again, we recently had a general election and the public voted for the current government…

… maybe it’s not such a good idea for us to be making important decisions.