The corruption of campaign finance laws

As the SMH reported this morning, the NSW government has announced plans for the nation’s most draconian campaign finance laws, including:

• Political donations from individuals, registered political parties and other entities will be capped at $5,000 to registered political parties or groups and $2,000 to candidates or elected members annually;
• A candidate’s campaign expenditure will be capped at $100,000 per electorate during a regulated period;
• Expenditure by political parties will be capped at $100,000 per electorate and this is in addition to candidate’s expenditure cap
• Third parties may not receive more than $2,000 from each donor in a financial year;
• Third parties may not spend more than $1.05 million in a regulated period or $20,000 per electorate

And indeed if you were running the nation’s most unpopular government six months before an election why wouldn’t you back a plan to limit how much money people can spend throwing you out? Continue reading “The corruption of campaign finance laws”

Schools and status competition

Ross Gittins thinks that subsidising private schools means subsidising wasteful status competition.

A persistent line of social criticism argues that status competition is wasteful when people pay a premium for something that is not functionally superior but confers greater social status. Gittins uses the example of a a BMW versus a ‘perfectly satisfactory’ Toyota.

The public school lobby endlessly obsesses over a fairly small number of genuinely high-status schools – Sydney Grammar, MLC, Scotch, Ascham etc. Perhaps trying to get your kid into one of these is ‘status competition’ – though it could be just ensuring your kids get the same high standard of facilities at school that they get at home. Ross has a history of being over-confident in inferring motives from behaviour. Continue reading “Schools and status competition”