Gentrification Games Artists

Karl FitzgeraldCommentary3 Comments

What role is there for artists in a community? Long looked down upon as dole bludgers, why is life such a struggle for those who like to use image, texture and craft to express rather than words or numbers?

After yesterday’s excellent article Fitzroy Snubs Gentrification on our upcoming Anti-Gentrification festival, a poorly written piece by Marcus Westbury must be re-butted.

Artists need to exist on the edge of the system. Wages are required to pay for basic living expenses such as rent and food. Time is required to be creative.

Cheap rent gives artists more time for their passion. This sees many creative communities develop on the periphery, often in rundown ghetto-like communities that are close to the city.

Unfortunately, land speculators know this.

How many times do we have to see an artistic community moved on from the community they create?

Chapel St central to Chapel Windsor, Brunswick St moved on to Gertrude St, then to High St, Northcote – now out of the city to Castlemaine?!!!

A few years after change agents set up the sort of community we should all aspire to, the fabric of the community is undone through it’s own success. Willingly. By our government’s policies.

Higher rents acts as a large paint brush, smothering a creative community with beige.

What are the economic forces behind this?

Attend a “Tax Minimisation for Lawyers” seminar and you will hear how land speculators are given a racial cultural profile of what a hipster looks like. “It’s your job to find them on a Saturday morning and figure out what they look like and what atmosphere they look for. Then you have to try and find that look, that feel, in another suburb further out. Buy there and wait”.

Artists are pawns under the current system. Artists give the ghetto a makeover with some tactile graffiti, a few cool cafes and bars emerge and then the wanna bees start to move in.

Aha! But the speculators are already there, rubbing their hands with glee.

Why should they take all the benefits of community creation?
Is it fair to blame the land speculator for a systemic failure?

If taxes were moved off our wages, off goods and services and yes dare we even say off corporations (the average paid is closer to 3% than 30%) and placed on natural resources and licensed monopolies, then the speculative incentive is minimised.

By far the most valuable and most sustainable resource of all is land value, particularly in urban locations. Every year land goes up 4 – 6% (4 out 18 years are a downturn – see Fred Harrison’s Boom bust 2010). Land speculators know this.

They understand that with a dash of population here and a mash of social progress there (volunteers planting trees to public art, let alone a new train station) the community becomes more desirable.

A higher and flatter land tax slows the growth in land prices, removing the speculative intent. This slows the pace of gentrification as the desire to live in a community encourages us to grow upwards (more apartments or lofts), helping to meet the supply of an area.

With lower land prices there are massive spin-offs. Consider your life with a 70% lower interest bill on your mortgage (no interest on the land component now)! Wow you could now afford organics.

You could also imagine your artistically repressed sister starting to do art in her community down south. Why? Because she doesn’t have to work so many hours to pay her rent/ mortgage.

Thus the spawning of a multitude of artistic communities is possible in many suburbs. This isn’t naive whinging. Read Ken Henry’s Tax Review and you will see this thinking is bound in the most efficient form of economics possible.

Just remember – the earth will always get more valuable. Who do you want to profit from that?

Thanks to Groundswell for the link and Signal Fire for the photo

Watch a video describing how artists create the scene but speculators wipe it clean, then proposing the much needed solution:

Man in Street Says Tax Me, Not Miners

Karl FitzgeraldHot Issues1 Comment

Site near Blair, WV
Creative Commons License photo credit: iLoveMountains.org

With this weeks poll showing that many Australians were undecided on the Super Profits Resource Tax, they are effectively saying ‘please sir, tax me’. ‘No I wouldn’t think of ensuring that the privileged pay their fair share, please I emplore you – tax me!’.

With 20 leading economists coming out in favour of the tax (thxs John Quiggan), the muted response by the Australian public really does warrant an education program.

Ross Gittins is on the front foot (watch video in 2nd link above) with the call that what mining supremos like Tom Albanese are really fearing is the global trend this could trigger. They fear the Brazil’s, China’s and South Africa’s following suit. With the Henry Review targeting the pot of gold at the end of every privatisation rainbow – economic rent in land, in minerals, in taxi licenses, in pokie licenses, the business elite are throwing everything they can against this government.

Read some of our responses to this debate and FIRE up – we need you on the comments pages of the Murdoch press:
RPSTing Australians and their Mineral Resources – Bryan Kavanagh’s new piece in Online Opinion
Levelling the Playing Field

With Australia’s reputation as an economic fighting machine in having avoided the worst of the GFC (really?), Wayne Swan’s upcoming visit to the G20 will be a revealing affair.

Will the world’s leaders give support to Swan when the finances of so many countries are decrepit because of their outdated tax system in an age of tax havens and resource scarcity?

This Swan tour to China & the Korean G20 meet will be one the government is hoping will elicit support for the move to untax enterpreneurship and capture some of the naturally increasing scarcity rents that accrue to natural resources and natural monopolies.

In another piece of mining fearmongering, the head of Australia’s largest goldminer, Ian Smith of Newcrest said that the SPRT is ‘a tax on our grandchildren’ (AFR 0306, p5). This is outrageous when considering that he is proposing a lower a tax on NET PROFITS. He is effectively saying tax the working classes more so that we miners can remove these non renewable resources and profit from them at great extent. What will be left for the grandchildren Ian?

For mining to slow down a little would be a good thing, especially with China’s shaky economic outlook.

The mining elite’s hired gun – Opposition leader Tony Abbot – said recently that the SPRT will increase the price of food. The SPRT cannot be passed on because miners in other countries have different cost structures. Competitors can undercut any price that Australian based mining companies offer.

The only place this additional SPRT tax can come from is by taking some of the profits from magnates (like the 2nd richest man in Oz Andrew Twiggy Forrest) and giving them to the government.

Who would want to grow up to be a doctor when so many are making a killing from simply digging up the earth?

We must re-balance the playing field.

Anti-Gentrification Festival – This Sunday!

Casey JenkinsCommentary, Past Events7 Comments

Sunday June 27th Workers Club 3-9pm
DIE YUPPIE, DIE! concert & festy fashion jam ($4/$8)
Come along & create your own shabby chic clothes using bits of the original Tote carpet (gloves supplied!) while checking out hirsute pole dancer Agent Cleave & listening to some of the best bands in Melbs including Cuba Is Japan, Grizzly Jim Laurie, J. Hawke, Alex Jarvis and Zero Miles an Hour. Prizes for grossest garments crafted.

Karl Fitzgerald will be talking about the economic issues of gentrification at 7.30pm.

In recent years, the ‘hoods we grew up in have lost many of their major cultural meeting spots for those of us light on dosh: The Punters Club, Lentil as Anything, The Tote… and now they’re losing us, the artists, musos, creative types and other locals driven out by rising rents.

We don’t want to give up our homes without a fight and are banding together with Radical Craft group Craft Cartel to organise this mini-festival celebrating our communities and exploring ways of saving them.  As was shown in our latest I Wanna Live Here report, there are a large amount of vacant properties in our favourite ‘hoods, plenty of room for us all. If these were released onto the market the housing in these areas would also become more affordable.

Highlights of the festival include:

  • Free sticky Tote carpet relics for all attendees
  • A ball gown crafted from Tote carpet sourced from DIRECTLY IN FRONT OF THE DUNNIES by fashion designer Kathryn Jamieson (Berlin/Melb) and soundscaped by compser David Shea (NY/Melb)
  • Economics for Activists presentation by Earthsharing’s Karl Fitzgerald
  • Lagerphone making workshop
  • Hirsute pole dancer Agent Cleave
  • Fetid Fashion Jam
  • Survival tips from Green Renters
  • Musos Cuba is Japan, Grizzly Jim Lawrie, J Hawke, Alex Jarvis, DJ Chestwig, Zero Miles an Hour and more
  • Doormats fashioned from the original Tote carpet and branded, ciggie style, with the Tote logo. Each mat comes with a certificate of authenticity detailing where in the pub it came from (stage, mosh pit, door bitch etc). Profits to Fitzroy’s homeless, specifically St. Mary’s House of Welcome craft room.


Lady crew rip up Tote carpet. (Image Louise Francis) Ann Maher, Aubrey Rhodes, Liana Lucca-Pope, Rahne Widarsito.

Festival details are:

Sunday June 13th – Birmy, cnr Smith & Johnston 3-8pm

WORKSHOP & Gentrification reversal plotting session(by donation)

BBQ, festiness, lagerphone making workshop, FREE sticky Tote carpet relics for all attendees, DJ Chestwig, Green Renters stand, I Wanna Live Here Film Comp winner screening, unveiling of a magnificent ball gown crafted from Tote carpet sourced from DIRECTLY INFRONT OF THE DUNNIES by fashionista Kathryn Jamieson & soundscaped by composer David Shea, Economics for Activists presentation from Earthsharing’s Karl Fitzgerald.

June 13th – 27th Workers Club windows, cnr Brunnas & Gertrude
EXHIBITION:
Kathryn Jamieson’s divine Tote gown & other arty Tote artifacts

Sunday June 27th Workers Club 3-9pm
DIE YUPPIE, DIE! concert & festy fashion jam ($4/$8)
Come along & create your own shabby chic clothes using bits of the original Tote carpet (gloves supplied!) while checking out hirsute pole dancer Agent Cleave & listening to some of the best bands in Melbs including Cuba Is Japan, Grizzly Jim Laurie, J. Hawke, Alex Jarvis and Zero Miles an Hour. Prizes for grossest garments crafted.

RSVP on our facebook invite or just rock up.

Chicken or Egg?

Karl FitzgeraldCommentaryLeave a Comment

efficiency
Creative Commons License photo credit: adjustafresh

tohm

Week #7

If there is one behaviour that infuriates me no end from all my lecturers it is the ‘nudge-nudge, wink-wink’ hint dropping as to what is important for exams.

I have one clear cut competitive advantage as a mature age/return to studies student. I have had customers. As a result I’m already thinking about customers.

My contemporary students are mostly straight out of high-school (or for some of the internationals, mandatory national service) and thus are thinking about assessment.

Lectures, and tutorials at my university are optional. I like this, it acknowledges that you may not need to attend to achieve competency in a particular field. For example business-computing, where you are taught to use Microsoft Word and what the Internet is. But lecturers seem to think attendance is important.

I’m sure there is a strong positive correlation between attendance and achievement, but these demeaning ‘bribes’ are a tactic I’d rather do without. It may be that I’m looking a gift horse in the mouth, but man, these teeth are so rotted you can’t help but notice.
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Steve Keen on the Renegades

Karl FitzgeraldCommentaryLeave a Comment

Steve Keen, winner of the Revere Award, was recently interviewed on the Renegade Economists.

Listen to the interview, conducted during the midpoint of his Canberra to Kosciusko holiday. A little argy bargy makes for interesting listening.

Once you have listened, read this post on China and credit restrictions.

Apologies for the delay on getting this up, some technicalities occurred with the podcast.

Some recent podcast goodies:

Adjunct Professor Polly Cleveland in Pop-Keynesian Military Waste (Keynes, deficit hawks, neo-cons)
Bryan Kavanagh in The Earth’s Worth Secretly Supported by Economists (Henry Review and Resource Rents)
Terry Dwyer in Monopoly Marauderers (Federal budget, monopoly rights)

Subscribe to the podcast now!