January 2013 Archive

This is another shitty inroad by the politburo into the rights of parents :

Fired NZ nanny to be paid compo:

A mum of five hires a home help. The home help isn’t awesome and is unable to assuage the mom’s fears about her swearing and speeding with the kids in the car. The Mum fires the home help who then takes the mum to the Sucking up to the Employees Relations Authority. The ERA fines the mum $6,000

Not so long ago, you were allowed to decide who was around your kids and people would have laughed at the thought that a bunch of public servants could have decided otherwise.
I actually still believe wholeheartedly in this. I’d move countries to avoid a bunch of tits telling me how to engage with caregivers.
 I have had a long line of awesome nannies and sitters in New Zealand and now in America. Awesome girls and universally young and full of energy. I handed my newborns over to them and was grateful for their help. In a lot of cases they became members of family. They are facebook friends and I hope to catch up with them in the future.

But there has been two or three occasions where I’d get someone and couldn’t be bothered with their arseholery so I’d fire them. One girl five years ago was a drunk. Another stupid tart left a four year old unattended by a river. The most recent was lazy. They all got the DCM (Don’t Come Monday) I fired the first and last of them by text. The other left my house screaming at me. Good riddance to bad rubbish. If anyone endangers my kids they get nothing from me. I don’t owe them an explanation or a settlement.

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Brian Edwards is not a fan of Shearer:


But we knew that.

From BE’s An open letter to David Shearer:


“It will come as no surprise to you that it was my view when you were first elected that, though you were a considerable asset to the Labour Party, you were the wrong person to be its leader. That is still my view and I have expressed it in numerous posts on this site.”

Background: Edwards was a long time confidant  of Clark.Pretenders to the throne will naturally face a good drubbling if they lack in the oratory skills and charisma that Clark possessed in abundance:

 Edwards is very experienced in the political beltway. But he hasn’t got the ear of the current leader or even the ear of the former leader regarding the veracity of Shearer’s leadership.Clark is no doubt fond of Edwards, but just as blood is thicker than water, politics is thicker than blood.
And Clark has Shearer’s back. As I accurately predicted in November 2012, Shearer is still ensconced firmly on the throne, in no small part due to Clark’s influence:


Now: What really is wrong with Shearer?
It would be easy to overlook if Shearer weren’t  leader of the opposition.It’s obvious to anyone in management. Shearer just hasn’t found his voice.
He hasn’t spoken to an audience for 10,000 hours.
It takes at least 10,000 hours to master any field of knowledge, including parenthood. Public speaking is no different.
It’s hard for anybody to find their voice. Humans are naturally adverse to standing in front of a crowd and only gifted speakers are comfortable with oral delivery without practice. 
Like a forth former standing before his class for the first time, Shearer finds it hard to express  the true clear articulation of his own ideals. This doesn’t mean he isn’t authentic but does handicap his efforts and open him to criticism.

The muppets and backfill that frequent The Standard and other blogs have seen this as weakness and have attacked prematurely.

Certain agents of doom are acting to hobble the Labour movement based on Shearer’s lack of experience.
Key is gunning for four terms as PM. Only Sharer and Cunliffe or a combination thereof can stop him. Personally I’m wondering if Cunliffe has the wherewithal to win a leadership bid and install Shearer in foreign affairs.

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From the Herald Article: More New Zealand wines, cheaper overseas:


“Yesterday, the Herald revealed a bottle of Oyster Bay Sauvignon Blanc could be bought in Maryland in the United States for $14.30 – nearly half what it cost at one Countdown supermarket here.”

Poor suckers in Maryland. In Northern Clalifornia, Oyster Bay can be purchased for NZD $11.85 ,or a dollar cheaper if bought in bulk:


The usual suspects are all here:

  Nobilo = $10.67 and again a dollar cheaper if bought in bulk. Villa Maria = $15.41, bulk price is $13.88

And the high flyers:
Babich = $17.79; Starborough, $15.41

There are interesting implications in the Wine Index debate. The Herald implies that supermarkets are rorting customers.

“Consumer NZ chief executive Sue Chetwin said wine prices had fallen over recent years due to a market glut, “but nevertheless, you are still paying quite a lot for some wine”. She suspected supermarkets had far bigger profit margins than most shoppers thought.
But a Countdown spokesman told the Herald the shelf price reflected what it paid for the product and the costs of running the business.
New Zealand Winegrowers chief Philip Gregan said there was a “huge variation” between countries when it came to tax and distribution costs. Often retailers, not wineries, were to blame for higher prices.”

 The price disparity between the cost of the same wine between the states of California is easy to explain. I happen to live ten miles away from the distribution center of the Safeway supermarket chain in Pleasanton California. I took these photos in our local Safeway. Some of the US $2.45 price disparity is presumably due to transport costs from California to Maryland. Then there is excise tax to consider

Sin Tax:
Excise Tax, otherwise known as “Sin Tax is an inland tax on the production of certain goods, usually luxuries like  tobacco and alcohol. It’s a blunt lever to control the negative effects of over-consumption. The producer pays the tax directly to the government, then tries to recoup it from the customer. However the producer can’t rachet up prices too much because it is a competitive market (many producers and drinkers don’t stop drinking they just switch to cheaper grog. It’s slightly reminiscent of prohibition and indeed when initially first introduced in the U.S. it was repealed immediately. It was re-introduced and is now such an addictive sources of revenue for government that it is firmly entrenched in most states. 

From Stuff in 2012: http://www.stuff.co.nz/business/farming/7133878/Excise-tax-call-ignored

“The tax currently sits at $2.72 per litre, which combined with GST and fuel costs, has hard hit the wine industry which is a $1.1 billion annual export earner.”

So here is part of the explanation. Wine produced for export is not subject to excise tax. It is subject to a tax on entry into the states. vis U.S. customs and border protection. I suspect this is less prohibitive than Nz’s on excise tax but am still researching this.

And the simple answer may be the most accurate. New Zealand’s market for wine is just a lot smaller than in the U.S.  We pay higher prices for basics such as milk and wine because our domestic market is tiny and taxes impact on the retail price of the local shelf.

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I enjoy a good political debate. I ‘m  left wing on some issues and “right wing” on others. Unlike Whale Oil who views being in the middle as being a target for both sides,  I view the middle as the perfect hunting ground for a discussion. Preferably without invective and threats of violence. This evening, I posted my opinion on left wing blogsite, The Standard. Straight away, I get this:


Such lovely caring people the unionists at The Standard.

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When the leader of the opposition wages war on the industry that bought New Zealand unfettered wealth in the 1950’s and has since gone on to produce a world leader in it’s field, (Fonterra), questions must be asked about the motives behind such an attack.

Shearer’s anti New Zealand speech can be found here:

 I take issue with the following piece in particular:

“I’ve spoken of a clean, green, clever economy many times.
We need our environment to drive our economic success and our economy to keep our environment clean.”

That is a rubbish statement first off. China has not needed their environmental record to drive their economic success. 

“The reality is we will not create more better paying jobs by simply exporting more milk powder.”

WTF? New Zealand rose to first world status by exporting more milk powder and other successful primary industry (agricultural) products

“We’ve been talking about it since Mike Moore invented lamb burgers.”

Yes you daft UN flunkey. Mike Moore is one of the key figures to promote a free trade approach right from the get-go to increase NZ prosperity and educational outcomes.  After witnessing him speak often and knowing what a high regard he is held in in diplomatic circles, I am of the opinion you are light years behind when it comes to trade and foreign affairs.

“Our future prosperity will be carved out by backing the talent of businesses working in high tech, or the innovations of those adding value to our natural resources.
It will be built by those that see the promise and opportunity of a clean, green future.”

Bull. Wages are far too high in NZ compared to the rest of the world for there to be any meaningful labour backed tech workforce. 
There is a future in headquartering successful agricultural business like Fonterra and pitching New Zealand as a luxury product in both the US and Asia pacific markets.The key driver behind individual wealth is agriculture:

Check out the following table.

New Zealanders must ask themselves what lies behind attacks on the country’s primary industry. Without farming, New Zealand would be nothing so Shearer’s speech has an anti-patriotic flavour to say the least.

PS. The above won’t go down well with many of my left wing mates. However I’ve learned over the years that words mean nothing. You can sugar coat the most evil of agenda’s. The Labour party seems to be regarded as the most “caaring”, because they talk about inequality and opportunity.
 But these are merely the words of recruiters. Word mean nothing but actions and outcomes mean everything.

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I love election time in America. You get constant coverage of the whereabouts of Air Force One. The president and opponent cover a lot of ground talking to the public at large whereas MP’s are invisible at election time in NZ. They’re remarkably accessible. If you have cash.

I had the chance to meet and greet Paul Ryan who was holding a Republican fundraiser just streets away.  Tickets started at $1000. I went and argued politics with Republicans and Democrats alike at our country club the next day. 

The election is given wall to wall tv coverage. There are American flags in every garden and glass crayon on car windows. And it all culminates in a lavish ceremony of pomp and backslapping at the
presidential inaugural ball:

Beyonce sings at the Presidential inuguration.

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Available now on Kindle. A short essay by infamous author Stepehn King who asks: “How many will have to die before we give up these dangerous toys”. From the man that bought you clowns down drains; a personal plea not to let clowns own guns:


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Poor wee petals who can’t get a toehold in the inflated Auckland property market have been bleating on to Herald editor Simon Collins about the unfairness of it all:


“When looking for a first home, it’s hard enough having to contend with all the other young families wanting their first step on the property ladder.
But it’s all that much tougher bidding over a property an investor has bought, done up and wants to flick on for a profit.
That’s the experience of Georgia Wilkinson and Dylan Ewing, a young couple looking for their first home in Auckland.”

God give me strength. Journalism in New Zealand these days seems to be all about who is doing it the hardest. And it is almost always more ‘spin’, than reality.
What this achieves is unfathomable. It’s gotta be the buzz of a mass moonie type Kumbaya fest.
But sitting on the pity pot is, and has always been, good for stuff all.Working your arse off to save a deposit or tapping your family for a loan is far more productive.

At certain points of the property cycle, owning property is the domain of the “well off”. The rest of us have to sit and suffer until Mom and Pops’ generation frees up a meaningful amount of stock. A property bubble often happens. The nature of politics means the oldest in society are the strongest voting bloc and their property rights are well protected. No voting bloc is ever going to elect a government that will impact on their built up wealth that is stored in their house. If they’re lucky, they’ll have at least one other property as an investment and some extra toys. It’s the four B’s. Boat Bach, Beamer and Brick & Tiles.And we all get our turn. In about five years there is going to be more stock available to the younger generation as the X’s kick their kids out of home and downsize.
And despite the intellectual hand wringing from the left on how we should all share and care with our taxes, it is wasted ideals given the fragility of life.

But that won’t stop them from ruining our capitalistic fun:

The Greens have today released their housing policy in order to buy votes in the next election:

“The Green Party has released a bold set of housing initiatives that will put home ownership within reach for tens of thousands of Kiwi families, and modernise tenancy law to ensure renters have the right to higher quality housing and more stable tenancy.
The package, entitled Home for Life, contains three new policy planks:


Big Big Big mistake. Yes, plenty of other countries have a blanket CGT. But they’ve got something else that New Zealand doesn’t have – a shite load of desirable land that isn’t better used in primary industry.
A property investor facing a CGT is a property investor who will hold onto his property until the value of money changes or he can recoup  the tax from the sale.
As a property investor, you are well aware of the capital costs you’ve put in to the property over the years and the tax consequences of the sale. If you don’t have to sell then you won’t.
This will decrease supply and increase demand. Prices will rise. Home ownership will become less attainable and renters will suffer:
From Coleman. Victoria University:


1. The Long Term Effects of Capital Gains Tax

The welfare implications of capital gains taxes
The above analysis suggests that capital gains taxes raise rents, increase home-ownership rates, cause a substitution towards smaller houses, and improve the net foreign asset position because they reduce the distortions caused by the interaction of inflation with the tax system. Whether capital gains taxes raise welfare, however, will depend on two things: the extent to which inflation reduces welfare, because of its negative effects on credit-constrained owner-occupiers; and/or the extent to which inflation enhances welfare because of its positive effects on credit- constrained renters. In the parameterisations of the model studied in this paper, the welfare losses to the renters exceed the benefits to the owners, for there are more young renters than young owners. In this case, a capital gains tax will tend to have negative welfare effects as it raises rents, although this need not be the case. 

So CGT sucks for renters and home owner wannabees alike. But that won’t stop the left from trying to tax the rich wankers. A policy that worked so well in 1999 it shrunk the tax base and incentivised the Trust formation industry. 

Make targeted property subject to capital gains tax if sold within ten years of acquisition. Any property bubble is generally caused by people wanting to move to a more desirable location. Money might more readily go into existing stock if there was an impediment to sell on and upscale.

Policy plank #2:

The people going into the ‘wrapped’ (rent to own) properties should be legally protected. What happens if they pull out after putting $20,000 of their own money. They then forfeit this equity. 
 And what about the 3 D’s that affect the outcome of home ownership and the value and desirability of properties? Death, Divorce and De Paedophiles.
Fucking paedophiles are more common than one might think. As a property investor, if it’s not paeds that I’m dealing with it’s under-aged prostitutes.
Say you get a paedo buying a house alongside a family with young children. All of a sudden they wanna get the hell out of the house they’ve lived and built up equity in. Where is their protection?

  Normal families are very mobile and won’t want to hang around for the thirty years it takes to get title. 
Average ownership of New Zealand properties is seven years.
 Most people don’t have kids till they’re over thirty these days. That means Bill and Mary are approaching retirement when they’ve paid it off and are no longer restricted in their movement. What happens if they end up with a disabled child or want to move for any of the reasons that cause families to want to sell and move on. 
The cost implications of a scheme like this are profound. 
1. Cost of legal advice: enormous
2. Cost of property management for thirty years to ensure the governments asset is protected. Astronomical. 8% of monies into coffers.
3. Cost of repairing the house to a resalable asset when the dodgy skinhead has punched holes in the wall and unreliable purchasers have shot town. Priceless

 policy plank #3
This is the most bizarre. 
1. Most landlords will get a building inspector through to make sure the property isn’t a complete lemon. Every property transaction requires legal advice which should flush out environmental LIM issues.
And in any case, no-one is forcing a tenant to stay. If it sucks, move on. If your kids are unwell and you think the property is to blame, WHY THE HELL ARE YOU STILL IN IT? That’s bad parenting more than bad landlording.
A lot of properties are partially lemons. After buying a property you have to wait a while to recapitalize to add value. One of mine just emptied. Has real issues. Part of it wasn’t consented  initially and it’s damp as, in the bedrooms. But the young family with kids the same age as mine enjoyed their time (seven years there.) They coped with dehumidifiers and the house was dryer than my own. They got a two bedroom house for $158 weekly at the rental maximum because I couldn’t justify market rates.I put in a fireplace.Great relationship. 
If  I’m forced to get a WOF, more than likely it’s getting bulldozed and I’m waiting for the land cost to rise. 
This means supply decreases, demand increases and rental rates rise
2. It’s price fixing if anybody or anything other than the market tells me how much I can charge for my product. The rules are already weighted towards the rights of the tenant.
There’s a lot of ways around that price fixing scenario. And anyone who is smart enough to buy a rental property then they’re smart enough to work around this one. 

The main reason why I think the Greens Housing Policy is tits:

It tells us we are weak females who couldn’t possbly get into the housing market without the help from the government. 
Stuff that. Funky Cold Metiria and housing Holly should know better.

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This is so Californian:

“Firefighters also gave oxygen to a cat and looked for a missing Chihuahua.”

Dogs roam freely in department stores and  restaurants and cays are accorded first aid treatment in emergencies. So take that Gareth Morgan with your moggy hating ways:


Cats. Possibly the next big thing in the field of evolution. In the classc BBC series, Red Dwarf, Lister’s cat gave rise to a species that evolved and expanded into a humanoid form who would have eaten inter-species hating pussies like Morgan for breakfast.

Seriously. There are too many over zealous agencies in New Zealand like D.O.C who are obsessed with winding back the clock to before the introduction of exotic species.
 And we don’t  need Morgan spearheading a similar message that only appeals to nut jobs.

If we get rid of all the deer, thar and trout then all we are with with is a boring landscape and yet another reason for young people to piss off overseas for a bit of excitement.
New Zealand. 100% drenched in poisons.

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Ethnic minorities around the world are being subjected to constant attacks. I follow a blog where the beleaguered Shiite Hazara are subject daily to persecution in Afghnistan and Pakistan:


by Muhammad Younas
It was around 9pm in Pakistan, almost a freezing night on Thursday 10th of January 2013 and I was talking to my cousin on Skype. While talking, he told me that he heard of an explosion and asked to ring me back after a while. After nearly an hour, when he didn’t ring me back, I rang to my in-laws on Viber in Pakistan to get some information about the blast. On my enquiry, my sister-in-law told me that twin-blast took place on Alamdar Road, Quetta and loads of Hazaras are believed to have been killed. The shocking news took the grip of the ground under my feet and I felt a chilled shiver in my spine.
 After a while, I tried my best to recollect myself, went downstairs, straight to the kitchen, where my wife was busy in cooking something. I told her the shocking news; she got upset and rang to her father in Pakistan. While talking to her father she got shocked when her father told her that he had seen the dead body of Irfan Ali, 19 years old my cousin who I was talking few hours before. On hearing the news, I immediately rang to another cousin, who confirmed the news and told me that Irfan rushed to the blast scene to help the victims but he himself fell victim. I was shattered and the tears were rolling down of my cheeks for being so helpless to help my family members and community who are facing the worst kind of terror in so-called civilized world”

A world that is too preoccupied with it’s own insular infighting and where the “Good for Fuck All” United Nations is more a mouthpiece for socialism as opposed to an agency for change.

The Hazara people have been persecuted by fundamentalists from the Sunni Muslim majority  with an escalation in  attacks on the Hazara over the last five years. Previously safe regions secured such as Bamiyan province in Afghanistan and the city of Quetta in Pakistan are powerless against the esculation in violence against the Hazara. 

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