Winner of the New Statesman SPERI Prize in Political Economy 2016


Showing posts with label government. Show all posts
Showing posts with label government. Show all posts

Monday, 4 January 2021

Why the UK’s COVID crisis should be personal for so many Tory voters

 

There are around 16 million over 60s living in the UK, nearly a quarter of the UK population. They are the most at risk from COVID: catching the virus could be a matter of life or death. To them the government’s handling, or rather mishandling, of the pandemic should be a matter of acute personal concern. It certainly is for me. Around 60% of over 60s voted Conservative in the last election.


The NHS is currently at breaking point. Tired and demoralised after almost a year of COVID, doctors and nurses find their hospitals are full and we haven’t yet seen the impact of Christmas and New Year. Whereas Johnson acted in March to save the NHS, this winter he decided to save Christmas instead, until he was forced to backtrack at the last minute. You can blame people for not following the rules, but the government should plan for how people actually behave, not how they should behave.


There are so many errors that led us to this dreadful crisis. Let me list the main mistakes, ordered by time..


  1. March itself, while Johnson dithered about whether to follow SAGE advice. That is estimated to have cost around twenty thousand lives but it also was a factor in subsequent mistakes. By allowing cases to build up he made things much harder subsequently. The government’s policy seemed far too laid back at the time, but we now know there were crucial delays between the science changing and policy changes (see also here).

  2. Because cases were so high, it took some time to get them back down. The longer it takes, the more impatient populist politicians and small-picture Chancellors become. What should have happened in April was that the government promised to get cases right down to very low levels, so that subsequent flare-ups would be more manageable. An eradication strategy would have been better, but to be fair that only became a consensus policy among experts around late summer. What Johnson and Sunak did was relax the lockdown too soon, so we ended up with a significant caseload that was not falling in the summer. They also weakened compliance as a result of a well known episode.

  3. Another way you can deal with flare-ups in cases is to have a very good test and trace system. The government promised one, but ended up doing the opposite while spending far more than they needed. It reflected their ideological obsessions: a hatred of government and a conviction that the private sector could always do better. They couldn’t, and local government health teams were left to do the tracing the government’s centralised system failed to do, but by then it was all too late. What it should have been able to do is reduce cases over the summer, but it failed. Rather than accept their error, they kept on with their failing system wasting huge amounts of money. As Chris Giles has noted, the UK spent more and achieved less than other countries.

  4. When cases stabilised in the summer, the government should have started thinking about how it would deal with the return of schools and universities. Instead they seemed to act as if the pandemic was over! They told people to stop working from home, and Sunak even devised a scheme to get people back into restaurants which research suggests significantly increased cases.Once again they ignored what was happening in other countries.

  5. This and the return of schools and universities led to a significant increase in cases. It started to become difficult or impossible for people to get tests. SAGE recommended on 21st September a two week circuit break to try and reverse the upward trend. Sunak was against it and Johnson ignored the advice of his experts. Sunak in particular seems to be in denial, insisting that the furlough scheme will be brought to an end, causing many people to lose their job.

Cases continued to increase exponentially, because the government was doing nothing. Johnson said that people had become “complacent” and “a bit blassé” about transmission, perfectly describing himself. In reality if cases were stable in summer (R=1), you would expect cases to be rising as summer ends (people spend less time outdoors) and schools and universities return. There is nothing unpredictable about the second wave the government is allowing to develop, yet even when it becomes clear the government shows no interest in doing anything to stop it besides blaming the public.


  1. Finally in mid-October the government moves, but rather than a national lockdown it introduces different levels of local control: the tier system.  Which tier you are in seems largely based on how many cases there are, rather than the speed at which they are increasing. This system formalises what many have feared, that the government is content to see cases rise up to a certain point.

As a result, the tier system becomes a kind of escalator. The lower tiers don’t do enough to stop local cases rising (in part because people move between tiers), so they become just staging posts before the inevitable move to a higher tier. The tier system slows the pace of the national increase in cases, but national R remains above one. To state the obvious, that allows hundreds to continue to die, and makes a national lockdown all but inevitable.


  1. At the end of October, the Prime Minister bows to the inevitable and announces a national lockdown, although not as strict as in March. The lockdown begins to work, and cases start falling. Yet foolishly he states an end date for the lockdown, when any sensible lockdown should end when cases have been largely eliminated, and not by some arbitrary date.

  2. At the start of December the lockdown had brought cases down from an average of nearly 25,000 a day to something like 15,000 a day (based on specimen date data). The Prime Minister stuck to the beginning December end date for the lockdown, and the country moved back into much the same tier system that had previously failed, with London in Tier 2. As Johnson was intending to allow a Christmas break, this was an almost criminal decision.

  3. The warning signs were immediate. Cases started rising again the moment the lockdown ended, if not slightly before. We now know that this was partly due to a much more infectious strain of the virus. The more virus there is around, the more likely it is to mutate. The government, by allowing a high caseload to persist, and provided the environment that made mutation more likely.

    By 12th December the number of cases had surpassed the pre-November lockdown peak, yet the government did nothing except move London into tier 3. The government continued with its plans for a five day Christmas break, in what was obviously now a second wave to rival the first in size. It was madness, just based on the numbers alone, without any knowledge of new variants. Yet we had to wait until the 19th of December before the Prime Minister changed his Christmas plans. We were seeing a repeat of March, but this time the government’s failure to adjust its actions to the data looks like overwhelming the NHS.

  4. Tiers are pointless when you have a new highly infectious strain gradually spreading across the country. We should be in national lockdown, with the start of school postponed, because of the new virus strain, as SAGE advised on 22nd December. Yet once again the government has done too little, too late, because it ignores the science. You don’t avoid lockdowns by delaying them, you just ensure they go on for longer. All the controversy about when to get the second vaccine is only happening because the government has lost control of the virus and refuses to do what is needed to regain control.



You might say it is all very well making these criticisms in hindsight, but that is not true. I, together with many better qualified experts, made these criticisms at the time. In May in the Mirror I said that the first lockdown should aim at getting “daily number of new infections down to single figures” to save lives and the economy. In June I wrote in the Guardian that there was no health/economy trade-off beyond the very short-term. Under many of the points above you will find links to my own blogs making much the same arguments at the time mistakes were being made.


How can a government that lived through March 2020 not just repeat the same mistakes again, but make worse mistakes? There are obvious people to blame. Tory MPs with their head in the sand, following a Death Cult that says all we should do is protect the vulnerable. Much of the right wing press pushing articles advocating the same, by journalists who keep getting things wrong but carry on regardless, like all the people who said there wouldn’t be a second wave based on obvious nonsense. A broadcast media that indulges such nonsense rather than ignoring it or putting it down. But when a Prime Minister, supported by his ministers, ignores medical advice again and again, the responsibility rests entirely with him.


The evidence for other countries is now clear. As New Zealand and Australia have shown, you first drive cases down to as close to zero as you can, and then act quick and hard whenever there is a flare-up. That allows you long periods where everyone can behave normally, and the economy can return to normal. The cost of that policy is to have a quarantine system for people coming into the country, not of the ineffective kind enacted in the UK but proper quarantine as done in the countries that have successfully dealt with COVID. Devi Shridhar estimates that following this kind of policy could have saved over 80% of lives lost to COVID in the UK.


The people most at risk from this pandemic are those who predominantly voted this government in. Their lives are at risk mainly because of government failure. In contrast the Labour opposition has acted more responsibly, following the science. They should be switching their votes from Tory to Labour in their millions. But the newspapers they read are doing their best to hide the truth from them, the broadcast media with a few honorable exceptions chooses not to enlighten them, and recently it appears the government has resorted to trying to hide what is happening in hospitals. So those over 60 will continue to vote for a government that through its failures is literally killing them.




Tuesday, 29 December 2020

It is inevitable that Labour in opposition will not be a champion of social liberalism

 

Trump has been defeated, but only just. Trump, that most ludicrous and destructive of US presidents, still won 46.8% of the vote. More importantly, the number of votes between Biden and Trump in the Electoral College was very small. Voters still turned out for a Repubican party that backed Trump all the way. Perhaps worst of all, the aftermath of the election showed that the Republican party backed Trump’s attempts to overturn democracy. What Republicans do on a smaller scale with gerrymandering they are happy to do at a national level. The future of the US is still very uncertain when one of the two main parties does not respect democracy.


The Conservative party in the UK is only beginning down that particular route, with its plans for voter ID. Yet do they need to rig elections, having ruled for more than twice as many years as Labour since 1979? (To put it very simply, while in the UK the opposition to the right had just one election winner in Blair, in the US they had Clinton and Obama and now Biden.) More particularly, UK Conservatives by following the US strategy of right wing populism based on social conservatism seem to have a winning formula under the FPTP system.


Labour has two structural disadvantages in General Elections. First, it is one of three socially liberal UK wide parties and two socially liberal parties in Wales and Scotland. Second, social conservatives benefit significantly from the FPTP system, because social liberals are concentrated in the cities. The 2019 election was a clear demonstration of that structural disadvantage: when an election is fought on social issues Labour loses badly.


Many on the left dismiss this social conservatism, reflected particularly in dislike of immigration, as reflecting racism or xenophobia. However social conservatism is more general than that. It is in large part a reaction to the tremendous success social liberalism has enjoyed since the 1960s. I discussed this at length in this post from a year ago, and a recent tweet from @cakeylaura gives a personal illustration of what I mean. But my post had a title that was weakly justified by its contents. Is it really true that in all cases Labour should argue for social liberalism?


Socially conservative views reflect the left behind in the sense that they are out of tune with both the law and the broadcast media. Conservative MPs are far more socially liberal than their supporters, which is why we have socially liberal laws. The media is populated by younger university educated people who reflect today’s social liberal attitudes. This combination, over the last 60 years or so, has meant that social conservatives have been overwhelmed. As that earlier post pointed out aggregate attitudes have become more liberal. (Demographics help as well, of course.)


If that was the end of the story, then the resistance to socially liberal views expressed at the ballot box would be weak. However most of our newspapers reflect a different world, geared to the more socially conservative views of most of their readership. This socially conservative media both reinforces and organises social conservatives. Brexit is the exemplar of this, and is why views on Brexit were impervious to economic realities.


The left talked a lot about the left behind after the Brexit vote, but typically they meant the economically left behind. While undoubtedly there was an element of that, research suggests the left behind were more those who hadn’t kept pace with society’s social liberalism. Outside the cities, the south voted for Brexit as much as the North.


The key role played by the Brexit press in reinforcing and organising social conservatism makes it very hard for Labour to change minds. Perhaps for this reason the strategy that Labour has followed since Blair has involved appeasement rather than persuasion. The way to win elections, so this argument goes, is to make any election about economic (or more recently competence) issues, rather than social issues. The best thing Labour can therefore do is dodge alienating the Red Wall voter, and that seems to be Starmer’s strategy. On its own that is not enough, as Miliband’s defeat showed, so you need something positive to put to the electorate. Corbyn did that in 2017, but still lost. Can Starmer do better?


The alternative suggested by the title of my earlier post is for Labour to argue for social liberalism. The point I made in that post is that attitudes have changed over time, so it is possible to persuade on social liberal issues, particularly where they intersect with economics. More favourable public attitudes to immigration in the last few years is a clear example. Obviously social liberals would like to believe the main social liberal party can stand up for their beliefs, but how much of that is wishful thinking?


Again the role of the right wing press is crucial. The recent trend to more positive views on immigration will reflect in part the absence since 2016 of negative stories about immigrants in the press. The power of the right wing press to mobilise on particular issues when their government is in power should never be underestimated. Compared to articles in newspapers that are read every day, how can Labour politicians persuade on social issues when they get at best a soundbite on the main news?


I think it is important to distinguish between Labour in government and Labour in opposition. Governments get considerable exposure in the broadcast media, and so it is possible to believe that they can provide a counter-argument to the right wing press on social issues. In opposition it is much harder. While Labour should argue for social liberalism while in government, to do so in opposition would seem to be a recipe for worthy failure.


There is a third argument, in between persuasion and appeasement, which has been recently put by Timothy Garton Ash in a recent Prospect article. He writes

“What follows from this analysis is that, where possible, we need to slow down the rate of change to one that most human natures can bear, while preserving the overall liberal direction of travel…..This means, for example, limiting immigration, securing frontiers, and strengthening a sense of community, trust and reciprocity inside them.”

I have strong doubts about this. It might make sense with immigration, but is it tolerable when it comes to enforcing rights and tackling discrimination? Even with immigration, I continue to argue it was newspaper coverage of immigration rather than its scale that raised concerns about immigration.


So it seems inevitable that without a progressive alliance and with a FPTP system biased towards social conservatism, it is bound to be the case that Labour will be forced to appease the Red Wall voter. That is why the leadership will vote for the Brexit deal, and why it will dodge all the socially conservative traps that the Conservative government puts in its path. When the marginal voter is socially conservative, that is what you have to do.


While this strategy avoids an almost certain loss at the next election, it is fraught with danger. If Labour seems to be adopting Blue Labour ideas, that risks alienating its own supporters sufficiently for them to abstain or vote for other social liberal parties. Even if the leadership manages this difficult balancing act, the right wing press can still suggest that at its heart Labour is now the party of social liberals, which of course is true. Labour’s positive message on competence or the economy may fail to attract voters sufficiently to counteract voters socially conservative inclinations.


Just because the path is fraught with danger does not mean a better one exists. It may be the case that, with FPTP biased towards social conservative voters and competition for the social liberal vote, it is just highly unlikely that over the next decade or more that the Conservatives can be defeated. In the long run demographics are on Labour’s side, but that is not going to ride to the rescue anytime soon.
















Monday, 23 November 2020

Politicians and experts: austerity, Brexit and the pandemic

 

I’ll be talking about fiscal policy during and after the pandemic at a Resolution Foundation/MMF event in a week’s time: https://www.mmf.ac.uk/resolution-foundation/


I have written quite a few posts on the relationship between policy and expertise, and between expertise and the media. The better ones are in my book, but they were all written before the COVID pandemic. How does the relationship between experts on the one hand and politicians and the media on the other that we saw with economists over austerity and Brexit play out with medics and the pandemic?


All three cases are different from each other. Although the evidence set out in my book suggests that the majority of academic economists opposed austerity (a majority that got larger as time went on), this plurality had no impact on either the media or the politicians pushing austerity. A few well known academics who supported austerity got a lot of publicity, but this was because they supported a policy pushed by politicians and the media, and not because they were influential in driving the policy. An obvious example in the UK was Ken Rogoff, who supported protecting public investment from any cuts while the government did much economic harm by cutting public investment.


The most notable feature of austerity was the almost total disregard by the media of the views of the majority of academics. As Alan Winters in his analysis of experts and Brexit points out, it was David Henderson who said in his Reith Lectures of 1985 “There is no doubt that the policies of governments … are influenced by economic ideas. But … these have not necessarily been the ideas of economists”. This applies with equal force to the media. The media appeared to apply the logic of the household to governments, so that the necessity of paying back debt as soon as possible became common sense, even though saying this would be a fail for any first year economics undergraduate. For that reason I called it mediamacro.


The power of media narratives should never be underestimated, as the Labour party has experienced many times to its cost. Austerity was just another example. It was a particularly devastating example, because in this case the media’s common sense did terrible harm to the economy, and the media was ignoring what it should have regarded as a key source of knowledge, academic macroeconomics. Needless to say, media organisations have never examined their own mistakes in this regard.


Brexit was different in two respects. First, what was a plurality over austerity was an almost total consensus on Brexit. Making trade more difficult, which almost any form of Brexit did, would cause considerable harm to the economy. The second difference compared to austerity was that the broadcast media had less of any common sense to appeal to, and so they played the ‘two sides’ game. On the one hand was the overwhelming consensus of academics, together with all the major economics institutions, and on the other was a handful of pro-Brexit economists the most noticeable of whom was Patrick Minford. (A few media outlets, and particularly the Financial Times, did follow the academic consensus.)


In defence of the broadcast media, this ‘two sided debate’ format is their default on most issues, and it doesn’t normally matter what the expert consensus is (which is typically not mentioned). However as we saw with austerity, there are exceptions. Whereas the exceptions should be based on the expert consensus, they instead seem to be based on common sense narratives. As with austerity, the media has never examined its own mistakes in relation to Brexit. As the referendum was very tight, the actions of the broadcast media in treating the overwhelming consensus of academic economists as just one opinion could well have influenced the result.


This trivialising of expert opinion is not inevitable. Strong pressure from academic bodies can yield results. The obvious example is climate change. When broadcasters began to increasingly ‘two-side’ the climate change issue, academics and others protested, and the BBC trust acknowledged that on this issue the expert consensus had to be followed. Not all BBC programmes have subsequently respected the Trust’s findings, but nevertheless you will generally see broadcasters treating the need to reduce man made climate change as a fact, and not as a controversial opinion.


The obvious difference between austerity or Brexit and climate change is that the former involves economists and the latter involves scientists. Actually the difference in methodology between climate change scientists and economists is not that great: both attempt to predict in a highly stochastic environment, and neither can easily conduct experiments. There are differences in public perception, of course. Besides the insight of Henderson noted above, there are various myths about economics that are part of the public debate. But the most relevant difference in my view is the absence of institutional pressure on the media from economists that matched the pressure over climate change.


Another academic discipline that has similarities to economics is medicine, and more specifically public health and epidemiology. The story of COVID-19 initially appeared to be more optimistic than austerity and Brexit. In many European countries, including the UK, governments took scientific advice, although in the UK with a short delay that probably cost tens of thousands of lives. But as Alan Winters notes, that optimism has been short lived. In most countries in Europe, including the UK, the second wave has been far worse because politicians ignored the expert advice.


The rationale they have given for ignoring the medical experts has been to balance health with the economy. The irony is that once again most economists I have seen who have studied this issue have agreed with me that there is no meaningful trade-off between the economy and health beyond the very short term. Once again academic economists are ignored, this time where lives are directly at stake.


The media have faithfully echoed the excuses for ignoring the expert advice, seemingly ignorant of the fact that they have little basis. From what I have seen they have given air time to experts and particularly politicians pushing the ‘lockdowns do not work’ nonsense, as if this is just another opinion. I suspect once again this is because it is ‘common sense’ that there is a health/economy trade-off, because most people do not think in dynamic terms. I have not seen government politicians questioned in interviews for not following expert advice in a similar manner to the way Labour politicians were questioned for doubting Osborne’s austerity.


Why did politicians initially say they were following the science of how to deal with the pandemic, while the same politicians ignored economists on Brexit? It is not because medicine is a science and economics is not. As I have argued elsewhere, the two disciplines have many structural similarities. Henderson’s point about prior beliefs is undoubtedly one reason: not many non-medics thought about pandemics before there was one. For politicians another reason is ideology. With austerity and Brexit it was ideologically convenient, and perhaps even necessary, for its proponents to discount expertise. Initially there appeared to be little ideology involved with controlling a pandemic, beyond libertarian instincts.


One reason attitudes to medical experts changed among government politicians between the first and second wave was the emergence of ideology dressed up as science: the Barrington Declaration and all that, and the influence that has had on many Conservative MPs. Once again, it became in the interests of those politicians to ignore expertise, just as they did with Brexit. The correlation with pro-Brexit and anti-lockdown views is no accident. The lesson is simply not to elect politicians who can so easily cast aside expertise.


Unfortunately that is less likely to happen as long as the media fails to tell viewers what the consensus among experts is. I have made this point before, but I think the lesson of climate change is instructive. The media are not going to change what they do, particularly when some feel their existence may depend on keeping certain politicians happy. What changed the media’s approach to climate change, at least in principle, was pressure from science itself. The reason academic economics gets ignored is that academic economists don’t organise to apply pressure.


I have seen so many accounts of why economics was ignored over Brexit that blame themselves: things should have been presented more clearly, economists should have been more open about uncertainties, and so on. All have some truth, but none will make any difference as long as the media treats the consensus among academic economists as just another opinion. For the media to do otherwise requires the strongest pressure from groups who represent academic economists. At the very least, we need institutions representing economists telling the media what the consensus view (if any) is on particular economic issues. [1]


I suspect that some medics will be beginning to ask similar questions about the pandemic: why did politicians ignore consensus advice, why did anti-lockdown politicians get so much airtime and so on. The answers I suspect are similar to those I have just given for economics. Medics have one big advantage over economists: the bodies that represent them are used to applying public pressure. They should apply that pressure on the media if they want to avoid expert views about the safety of COVID-19 vaccines to be treated as just one opinion to set beside the opinion of anti-vaxxers.


[1] When I make this point I often get comments along the lines that I’m trying to impose conformity, and the public should be told about mavericks opinions because (very occasionally) they turn out to be right. I’m doing neither of those things. What is missing from the media is any sense of what the expert consensus is, and for politicians who depart from the consensus being interrogated on why they think they know better than the expert consensus.




Tuesday, 30 June 2020

Why does this government get away with murder?


In the government’s final press conference Chris Whitty, the Government's chief medical officer, said ““I would be surprised and delighted if we weren’t in this current situation through the winter and into next spring.” The significance of that statement cannot be overstated. Deaths in the UK from the virus are currently running 100 every day. (The true total may be higher.) The chief medical officer is saying don’t expect to see deaths running at an order of magnitude lower before the Spring of next year.

I fear we have become desensitized over coronavirus deaths. We keep being told by the government that they are at a much lower level than they used to be, every graph shows deaths are much lower than they were at the peak, resulting in a danger that we regard daily deaths around a hundred as somehow inevitable. But they are not inevitable. They are an order of magnitude higher than deaths in other European countries. Here is a chart of a three day moving average of deaths per day in the UK and some of our nearest neighbours over the past month.


With the possible exception of Sweden, which chose not to lockdown, daily deaths in the UK are an order of magnitude higher compared to our neighbours. If you think this has anything to do with the UK’s population size, there is the same chart per capita.


The only change is that Sweden now leapfrogs over us. From all those who write for The Telegraph and other right wing outlets saying we shouldn’t have locked down I look forward to their profuse apologies.

This comparison shows there is nothing inevitable about a hundred or more people dying from coronavirus every day. Other countries have got numbers much lower, so why can’t we? The answer is that our government has chosen not to cut numbers further. Our numbers are higher because our lockdown was less severe than in other countries, and we started reducing an already weaker lockdown while deaths were still high. The government didn’t protect care homes, and it didn’t protect medical staff. And the government decided to farm out test, trace and isolate (TTI) to their private sector friends rather than expand experienced local authorities. In other words there are a host of government failures that have led to deaths going down more slowly than our neighbours.

What is equally scandalous, but largely unnoticed by the media, is the government intends to do little to rectify the situation. That was the gist of Chris Whitty’s remarks. Let’s put 100 deaths a day in context. On average 5 people die a day from road traffic accidents. Far fewer die on average from deaths as a result of terrorism. But just think of the media publicity each terrorist incident gets in the UK. Coronavirus deaths can be just as accidental, perhaps being in the wrong place at the wrong time and being infected by a complete stranger.

One reason the government gets away with it is by playing off the majority against a minority. People are desperate to get back to normal. Businesses fear for their existence if lockdown continues. It seems churlish to spoil the day by saying we need to wait for numbers to come down further. Another reason is that the media seems obsessed about a ‘second wave’, and fails to notice the first wave is still killing more than a hundred a day. But there is no getting away from the fact that the government by its actions appear rather indifferent to people dying.

Their excuse is that they are saving the economy. This is nonsense. If daily infection numbers remain high, people will be reluctant to resume social consumption. This in turn will threaten the viability of some businesses, and lead to a lot of unemployment as other firms slim down. The government, by ending lockdown too early, is creating an economic crisis that will hit the UK in the second half of this year.

The root causes of this failure are two basic flaws in the government’s thinking. The first is penny-pinching by the Chancellor and the Treasury. I hate the word, but the fiscal space is there to save around 500 lives a week by giving support to individuals and businesses. It was the Chancellor who initiated the first relaxation of lockdown by insisting those who couldn’t work from home went back to work. The second is the Prime Minister’s dislike of lockdown which allowed the UK to flirt with herd immunity at the beginning of the pandemic and is now ending the lockdown with too many people dying.

Yet the government remains ahead in the polls. They have allowed tens of thousands of excess deaths, and continue to allow people to die who needn’t have done so, yet more people would still vote for them than the only alternative, an alternative government that does not suffer from the same flaws as this one. Incredibly 44% approve of the government’s handling of the pandemic. Trump famously boasted that if he shot someone in Times Square his popularity would be undented. This government through their incompetence and ideological blinkers have killed tens of thousands and still voters would put them back into government. If tens of thousands of unnecessary deaths cannot do it, just what will it take to diminish the popularity of this government?