Opinionomics | 29 March 2012

Must read analysis and comment. Featuring Tim Worstall, Ezra Klein, and – yes – pasties.

1. Britain struggles to kick its addiction to consumption (Telegraph)

Jeremy Warner seems confused, arguing that reducing Britain's addiction to consumption is much needed, but that doing so is directly and substantially harming growth. He is unclear whether we should be applauding Osborne for making his decisions with an eye on the long-term, or condemning him for not putting off the "rebalancing" until the more important matter of the ongoing depression is sorted.

2. Not a tax on pasties, but a right-wing tax on heat* (LabourList)

*Not really. Conor Pope argues – perhaps tongue-in-cheek – that liberal atomic motion within cheap savoury snacks will lead directly to the eventual disintegration of the traditional nuclear family

3. Papers I need to read: Do tax cuts really help growth? (Washington Post WonkBlog)

Ezra Klein links to a paper that fairly demolishes George Osborne's argument that tax cuts lead to growth.

4. Spiked on rare earths (Tim Worstall)

Worstall applies his day-job expertise to look at the global market for rare earth metals – not as rare as their nam implies.

5. Scotland’s economy running on empty after Osborne’s Great Stagnation Budget (Left Foot Forward)

Willie Bain MP presents a (partisan, obviously, but) well-researched account of the budget's impact on Scotland

Pasties are left to cool in a shameless tax avoidance scheme. Credit: Getty

Alex Hern is a technology reporter for the Guardian. He was formerly staff writer at the New Statesman. You should follow Alex on Twitter.

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Sadiq Khan gives Jeremy Corbyn's supporters a lesson on power

The London mayor doused the Labour conference with cold electoral truths. 

There was just one message that Sadiq Khan wanted Labour to take from his conference speech: we need to be “in power”. The party’s most senior elected politician hammered this theme as relentlessly as his “son of a bus driver” line. His obsessive emphasis on “power” (used 38 times) showed how far he fears his party is from office and how misguided he believes Jeremy Corbyn’s supporters are.

Khan arrived on stage to a presidential-style video lauding his mayoral victory (a privilege normally reserved for the leader). But rather than delivering a self-congratulatory speech, he doused the conference with cold electoral truths. With the biggest personal mandate of any British politician in history, he was uniquely placed to do so.

“Labour is not in power in the place that we can have the biggest impact on our country: in parliament,” he lamented. It was a stern rebuke to those who regard the street, rather than the ballot box, as the principal vehicle of change.

Corbyn was mentioned just once, as Khan, who endorsed Owen Smith, acknowledged that “the leadership of our party has now been decided” (“I congratulate Jeremy on his clear victory”). But he was a ghostly presence for the rest of the speech, with Khan declaring “Labour out of power will never ever be good enough”. Though Corbyn joined the standing ovation at the end, he sat motionless during several of the applause lines.

If Khan’s “power” message was the stick, his policy programme was the carrot. Only in office, he said, could Labour tackle the housing crisis, air pollution, gender inequality and hate crime. He spoke hopefully of "winning the mayoral elections next year in Liverpool, Manchester and Birmingham", providing further models of campaigning success. 

Khan peroration was his most daring passage: “It’s time to put Labour back in power. It's time for a Labour government. A Labour Prime Minister in Downing Street. A Labour Cabinet. Labour values put into action.” The mayor has already stated that he does not believe Corbyn can fulfil this duty. The question left hanging was whether it would fall to Khan himself to answer the call. If, as he fears, Labour drifts ever further from power, his lustre will only grow.

George Eaton is political editor of the New Statesman.