Posts tagged ‘economy’


Getting Wellington out of debt—by growing the right businesses

01.07.2010

Back Jack Yan for Mayor In plain English, when a city is hundreds of millions of dollars in debt—depending on who you believe, the figure is between $200 million and $400 million—how do you get out of the hole?
   1. You can sell the family jewels, and there’s water left. We tried this in the 1980s, and now so many foreigners own New Zealand companies that the profits go offshore and we lose a source of tax revenue. Not good, doesn’t work.
   2. You can put up the rates for residents to the tune of 5·58 per cent and hope they cover some of this. (The figure was 5·5, then 5·75—so much for transparency.)
   3. You can keep praying that the Rugby World Cup will give a temporary boost and hope no one notices that the other years aren’t as prosperous.
   4. You can look at what the city has in terms of creativity and intellectual capital, and build on that, especially if the world values the innovative thinking of New Zealanders.
   Of the four, I prefer (4). This present mayor and council favour (2) and locked in that rise for us a wee while ago.
   I know in some circles my name has become associated with the free wifi for the central city promise, but it goes a bit deeper than that.
   Free wifi is like having roads in a city in the 21st century, and right now, what we have is like paying tolls on every single road we drive on.
   Compare this to Finland, who enshrined in law the right to broadband, which became effective yesterday (July 1). This means every citizen in Finland has a legal right to having broadband at a minimum speed of 1 Mbit/sec. With netbooks and cloud computing on the rise, this seems to be the logical thing to do. The old ways of having programs on your computer are disappearing.
   Get the infrastructure right—after all, Singapore and numerous US cities have done it, and Wellington has to play catch-up with Dunedin and Whanganui—and we can get other things right.
   The sectors that have the greatest potential in the 2010s, and in my mind are the biggest earners for New Zealand companies, are the tech and creative sectors. Both rely on the ’net and a more visionary direction for Wellington in a huge way.
   Clustering, mentoring and financing are the things we need to do, and they have to be driven from the top. Some are done through lobbying by a business-minded, pro-Kiwi mayor and council (rather than a pro-foreigner one). Others can be driven through council itself. But we need a shake-up in order to do this.
   They are all possible solutions, and some are happening now at an ad hoc level.
   I’d want to help those companies that are Kiwi-owned or will remain majority Kiwi-owned—this helps with job creation, with the city’s rates and with the country’s tax take. And if Wellington becomes a centre for this activity in the 2010s and demonstrates that we are an advanced economy, who knows what else we can inspire around the nation?
   It’s not an overnight solution. But I know we have businesses out there that can generate millions for the New Zealand economy. Thanks to our social consciousness, many are sustainable. We already have examples in businesses I’ve cited many times before: the Sidhes, Wetas, Silverstripes, Catalysts of this world are creating jobs for Wellington. We just need to expand on that and stimulate innovation.
   Equally important are the need for transparency and changing the culture within the Wellington City Council, topics for other posts.

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Posted in New Zealand, Wellington, business, culture, internet, leadership, politics, technology | 5 Comments »


Wellington needs free wifi and jobs, not a council that goes nuts with spending

02.03.2010

Back Jack Yan for Mayor Funny how a media article can inspire you to send out a release, especially when you’re a ratepayer and you wonder if our City Council of élites understands how hard it was for us to make that money. In today’s case, it was Lindsay Shelton’s Scoop Wellington op-ed about Wellington City Council going nuts with its spending. Lindsay highlighted not only a $350,000 sculpture for the World Cup—money which I reckon we could use to boost the central city’s wifi coverage—but Dave Burgess’s report in The Dominion Post that WCC spends six times as much as Porirua’s council on food and drink.
   I’m not sure how we can justify those sorts of numbers, but I do have an aim to balance the budget if elected.
   As I wrote today, if we can grow our creative and technological clusters in Wellington—and get free wifi up and running (initially in the centre of the city, expanding outward)—we can grow the local economy and create jobs. After that we can look at partying—but not till we earn Wellingtonians’ respect by doing a bloody good job.
   A city that supports its clusters strategically will be able to balance the budget—and so far, it seems I’m the only candidate who is even willing to talk about this issue.
   We can start improving those communities through the new jobs we’ll be creating, and deal a blow to inner-city crime.
   If we fall behind on the tech side of things, consider this: we will lose the Sevens and any other event because our visitors will be asking, ‘Why can’t I get on to Google Maps on my iPhone without paying for it?’ It’s very simple, and when a mayor and council miss out on the simplest things, then it is time for a change.
   I would have thought a divided council—a complaint of the incumbent, Kerry Prendergast—would mean that we would not be spending massive amounts on things because there would be a lack of agreement. Spending ratepayers’ money, for some reason, seems to get rapid accord in this council—which tells me that when we vote in our mayor and council later in the year, we should have a far greater change than even I would have expected when I began my campaign.
   We have a divided council that needs firm direction on how to grow the economy, and a mayor who understands what ‘world-class city’ means.
   World-class does not mean big. World-class means nimble, modern and transparent.
   In 2010, we don’t need the same old, tired voices. Or the same old élites. The direction Wellington needs is a fresh one that brings new promises.

Incidentally, we have added a Facebook widget for my campaign page on this blog. It’s been placed at a few locations on my sites. Also, as of today, backjack2010.com redirects to jackyanformayor.org—it’s important to have the consistency in the domain name and the campaign graphic (thanks to Demian Rosenblatt).

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Posted in New Zealand, Wellington, business, internet, leadership, media, politics, technology | No Comments »


How could the Chinese republic celebrate its centenary?

21.02.2010

Next year marks the centenary of the founding of the Chinese republic. We got rid of our rather hopeless Ching Dynasty, and ushered in Asia’s first democracy.
   Both the Republic of China and the People’s Republic of China see 1911 as an important year, and Dr Sun Yat-sen as the founder of the nation (here is a page from the Zhongshan government on Dr Sun which—shock—even mentions democracy). As the father of the country, his legacy one of the few things nationalists and communists agree on, even though technically the two sides remain in conflict and are in a state of Civil War. The Republic began on October 10, 1911, a date which tends to be celebrated by many, though it was formally declared on January 1, 1912.
   So, what might 2011 bring in terms of perspective?
   Idealists might point to some possibilities:

  • that closer economic ties across the Taiwan Strait mean the eventual formation of a Chinese commonwealth, with both sides maintaining the political impasse;
  • a review of the ideas of the republic as espoused by Dr Sun, and the greater acceptance of the political structure he believed in, which included cooperation between nationalists and communists;
  • that both sides of the political argument agree there are more commonalities than differences between all Chinese peoples.
  •    I doubt we’ll see political unity while Beijing is still governed by the Communist Party, which sees little point in changing its own structure to accommodate territories it considers its own. We see a similar view, officially, within the Kuomintang, interpreted in its favour. The regular triumph of ideology over practicality and the prospect of a joint future growth of ‘China’ gets in the way; the idea of an economic union or commonwealth might be the easiest way forward.
       Never mind what you call it internally, it is a solution in which both sides can claim victory, preserve face, and avoid bloodshed. The fact that no armistice has been signed by both signs is actually an advantage—because it means this difference of opinion can be solved technically as an internal matter, not one between two sovereign states.
       This is not an idea that the diehards like, so let the name-calling begin in the comments.
       But remember in whatever debate we enter, we should think of this question: since we all dislike what the Ching Dynasty did to China, what is the best way to honour the memory of the founding father of the nation in 2011?

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    Posted in China, culture, politics | No Comments »


    I do not stand for John Key’s defeatist talk

    09.02.2010

    I’ve heard it all before. In the 1980s, the New Zealand Government promised that, with the introduction of Goods and Services’ Tax (GST), people would be better off, because it would mean more money in our pockets.
       With the proposal to hike GST to 15 per cent under the current government, Prime Minister John Key is singing a similar tune: that somehow, this will be better for us, offset by a reduction in income tax.
       It’s the same tune that was sung 25 years ago by another technocratic government, clueless on actually how to grow the economy without stealing from the general public.
       Economies are grown through innovation and creating circumstances that allow that to happen, which was what the National Party promised with its broadband strategy. We’ve since heard less about that and more about putting some cycle tracks through the country for tourists—all short-term projects from people who have never had to start a long-term business in their lives.
       Unemployment is now up to 7·3 per cent. Before you say it’s not that bad compared with overseas, it’s still pretty terrible. It’s why this has been the core of a lot of my mayoral campaign messages: we need to get unemployment down. How? By creating the environment through which innovation can be fostered.
       In Wellington, that means building on the creative and technological clusters people have been creating. What this city should have in the next three years is a mayor and council that support this—because it is in the national interest.
       When Dr Alan Bollard, Governor of the Reserve Bank, said we should not bother trying to match Australia’s standard of living by 2025 because we lacked the natural resources, I was shocked at what I would call a defeatist attitude—one that the PM seems to share with trying to take from everyday New Zealanders.
       I hope that Dr Bollard can inform me of the context, as I was out of the country when he made his statement on television.
       But I will say that we already are among the most innovative people in the world, both out of our natural creativity and out of necessity.
       We also know that economies are built on industry clusters—something that already exists in Wellington and needs just enough encouragement from a supportive mayor and council.
       We also know that in the 21st century, trying to grow an economy based around primary products and natural resources is an outmoded idea. They are important, of course, and New Zealand will always need a vibrant primary sector, but the real growth is in intellectual capital—something which people in national politics seem to lack.
       What we don’t have are enough people seeking public office who can see this. People who want to grow the economy. People who believe enough in the intelligence and innovation of New Zealanders.
       Well, I believe in us, and I believe in our potential. I also don’t believe in robbing everyday New Zealanders of their hard-earned cash.
       While some rates’ increases are already planned by this current administration, let us try to minimize future increases by creating real businesses for Wellington, and for this city.
       Let’s also show the defeatists that they are yesterday’s men. We know better, and we can do better.

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    Posted in New Zealand, Wellington, business, internet, leadership, politics, technology | 6 Comments »


    Google’s rethink on Red China: you can’t stop the Chinese people

    13.01.2010

    If I were Google, would I have entered Red China with the censored version of Google.cn, hiding things from the Chinese people for the sake of money? In February 2006, I blogged about this very issue and concluded, ‘No.’
       Obeying the law is one thing. Providing the people with slanted views to prop up governmental propaganda is another.
       It seems Google has gained a conscience, to the point where it is talking about shutting its office inside the Middle Kingdom, after lifting the self-imposed censorship it instituted in the mid-2000s when it entered. It also cites various international hacking attempts in an effort to gain the contents of Gmail accounts of people who have been talking about Chinese human rights. These have, the company claims, originated from Red China.
       Global Voices Online has a great piece summarizing the reactions inside the People’s Republic, which are supportive of Google and critical of the Politburo.
       I’ve always believed that the Chinese people cannot be silenced. Nor are we stupid. With such strong economic growth (albeit with fudged figures) and a natural entrepreneurial spirit, what does Beijing have to be afraid of?
       It’s not as though the occidental technocratic experiment has worked particularly well for productivity and personal wealth over the last 30 years, and the Chinese people aren’t going to see western culture in as bright a light as it once had.
       The days of walking out of an impoverished Red China on to the streets of the west are long gone, given how quickly the nation has caught up (and in some cases overtaken) the rest of the world. There’s not as huge a gap between the two. Economically, Beijing has nothing to lose face over any more.
       The only question left these days is human rights, one which Beijing gets squirmy about.
       There is an easy way to fix this: become idealistic, then live it. Red China is big and powerful enough to see this through, and the backbone of deontological, Confucian ideals surely have shown how such a large country can be governed without dissent getting out of hand.
       The expense of monitoring and censorship might be better used on raising the more difficult areas of the country out of poverty.
       It’s with these principles that a united Chinese Commonwealth might be a reality, one where freedoms are enjoyed by all. But let’s not get ahead of ourselves just yet.
       Take even the minutest step toward permitting freedoms, and I guarantee the opposition to Red Chinese trade and diplomatic relations will begin to fall. The fact this blog remains accessible inside the Bamboo Curtain is actually a positive sign: it means that some free thinking is allowed. Deals like Geely–Volvo might well become easier for the west to contemplate, once Beijing looks more like it wishes to be part of the international community.
       Such a community is not biased toward the west—and westerners themselves will argue that it is not. China’s influence—and I mean all of China and in countries where the Chinese diaspora is strong—is greater than Beijing will ever acknowledge.
       Until that attitude changes, Red Chinese industrial deals won’t have as easy a ride (relatively) as Ratan Tata and his acquisition of Jaguar and Land Rover.

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    Posted in China, India, business, cars, culture, internet, politics | 9 Comments »