The other day David Cameron said Jimmy Carr's tax arrangements, though legal, were morally wrong. Then yesterday the courts said the same about HBOS's actions towards Farepak savers.
Let's leave aside for a moment the fact that, for money earned (and unpaid), Carr pales into insignificance alongside many sly businesspeople whom Cameron obviously doesn't want to upset.
The puzzling thing is to find a committed free-market capitalist suddenly discovering morality. Milton Friedman (Thatcher's monetarist guru) famously said that the only "social responsibility" of business is to make maximum profits for its shareholders. You do what is profitable for you, I do what is profitable for me. In this world-view, the only "immoral" thing is to go against the dictates of greed. The market knows best: the market is the only wisdom, the only morality.
Let's leave aside for a moment the fact that, for money earned (and unpaid), Carr pales into insignificance alongside many sly businesspeople whom Cameron obviously doesn't want to upset.
The puzzling thing is to find a committed free-market capitalist suddenly discovering morality. Milton Friedman (Thatcher's monetarist guru) famously said that the only "social responsibility" of business is to make maximum profits for its shareholders. You do what is profitable for you, I do what is profitable for me. In this world-view, the only "immoral" thing is to go against the dictates of greed. The market knows best: the market is the only wisdom, the only morality.
It's not a new philosophy. Friedman just pushed an old one to a new extreme. "Life, liberty and the pursuit of happiness" means my happiness, not my neighbour's happiness. He should pursue his own happiness. That is why the talk is always of a Bill of Rights - not a Bill of Responsibilities. That is why there is no such thing as society: and I am certainly not my brother's keeper.
Ed Miliband said: "I'm not in favour of tax avoidance obviously, but I don't think it is for politicians to lecture people about morality." Nor for the courts, perhaps. But it is for politicians to legislate against wrongdoing, and it is for the courts to interpret legislation accordingly (by the spirit, not the letter, one might say).
To challenge Carr, or even HBOS, is to miss the point. We might rather question the whole ultra-captialist experiment and the (often unstated) assumptions on which it is founded. Perhaps, to reverse the flow of Ed Miliband's comment, it is for people to lecture politicians about morality
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