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Additional considerations on Brexit and its strategic value

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Brexit has been the largest European strategic transformation since the end of the Cold War. Those who cannot read the primary geopolitical data between the digits of a long economic calculation are bound not to even understand the economic and monetary effects of Brexit. However, it is useful to analyze what Brexit means, also from the strictly economic viewpoint.

The cultural, anthropological and identity values have had a decisive impact on Brexit. These are the values which we usually attribute to “populism”, but which are part and parcel of each electoral behavior, currently as in the past.

Those who believe only in the “rational voter” of neo-positivist theories, or in the voters who scientifically analyze all the options available to them – by also believing they will come true – are always bound to be disappointed.

However, let us analyze data and statistics, even though we have already focused on them in other articles. Net migration has almost doubled in the UK, up to over 183,000 new arrivals in 2016. Furthermore migrants account for a 0.5% yearly increase in the total number of British workers.

With specific reference to international trade, the EU is the recipient of approximately 50% of UK exports. It is also worth recalling that the European rates for manufactured goods to be exported have more than halved since 1991. It is not a matter of “entry barriers”. The European red tape for the 100 types of most costly regulations developed by the EU, costs Great Britain approximately 33 billion pounds a year.

It is also worth recalling that as many as 52,000 new rules were enacted by the European Parliament between 2000 and 2013. National markets cannot be protected with odd and irrational laws and by-laws, but with precise foreign exchange operations and with tough negotiations with the potential EU trade partners. According to the latest data available, the financial services exported from London to the EU are worth 14.4 billion pounds a year. Finally, the European Union alone accounts for 46% of foreign investment in Great Britain.

In all likelihood, said investment will be replaced by the Chinese, US and probably Middle East Foreign Direct Investment (FDI), possibly with a predictable new Israeli presence. It is worth recalling, however, that the UK annual cost for its EU membership amounts to 10.4 billion pounds per year. It is interesting to note that the migrants coming from the EU provide a 20 billion pound contribution to the British public budget.

As a result of Brexit, the real estate and property value is bound to fall by at least 15%. Furthermore, in some London areas, the value of houses has already decreased by at least 30%. As already stated in previous articles, the solutions to Brexit are the UK adhesion to the European Economic Area (EEA) or to EFTA, as is the case with Norway, Iceland, Liechtenstein and Switzerland. Switzerland is not a EEA full member, but it is an EFTA member and it long negotiated autonomous bilateral agreements with the EU.

I do not think that Great Britain has ultimately much to gain from entering a bilateral system of European trade, as was the case with the above mentioned countries. Hence the best solution is the Swiss one, but it requires tough and long-lasting negotiations.

The British productive sectors not exporting to the EU account for 85% of the British GDP. For them Brexit is not a problem, but probably one of the solutions. As can be easily understood, the strictly economic – and hence political – issue determined by Brexit is not as simple as we may assume. A solution for the UK could be opening to non-EU markets, especially for the British financial products.

For the time being, the exports of these products to China account for a mere 2% of all UK financial exports, but nothing prevents the size of bilateral trade from increasing substantially and quickly.

In 2014 also Switzerland reached an agreement which significantly reduced non-tariff barriers to China for its banks and financial holdings. Nevertheless we must be careful of competitors. With regard to the export of these products, Germany has recently grown more than the United States and Switzerland itself, at least since the 2000s. Hence only China is left to Great Britain for a useful financial trading treaty. Nevertheless, at strategic level – which is what interests us most – the Brexit impact on the UK nuclear system must be analyzed.

The leaders of the EU nuclear power companies and EDF, in particular, maintain that Brexit will have no impact on the Hinkley Point C project, namely the first nuclear power station built in Great Britain after at least 20 years of nuclear freeze. This plant, which should be operational as from 2025, will supply 7% of British electricity. China will acquire a 33.5% shareholding of this plant (equivalent to 28 billion dollars), but it wants to build two new nuclear power plants, again with EDF, at Sizewell, Suffolk and at Bradwell, Essex.

The power plant in Essex will use only Chinese technology. EDF has a 66.5% stake in all these new projects, but China is not alone in this sector: NuGen, the joint venture between Toshiba and the French Engie, is planning a new plant in West Cumbria.

Moreover, HorizonNuclearPower is building a nuclear reactor in two sites, namely WylfaNewydd, on the island of Anglesey, and Oldbury-on-Severn, Gloucestershire. Hence Great Britain will become the European autonomous energy hub and there is nothing to prevent us from imagining substantial exports of electricity between Great Britain and the EU Member States which are most haunted by the antinuclear fashion. Finally, from the strategic viewpoint, the Russian Federation is not totally dissatisfied with Brexit.

After the British vote, the anti-EU front certainly includes Poland – which has not adhered to the single currency – as well as Sweden, Latvia, Lithuania and Estonia, which are part and parcel of the anti-Russian front but, by leaving the EU system, would inevitably limit their geopolitical scope of action. Russia is betting – certainly not in the short term – on a fragmentation and disruption of the European Union, which is harmful for NATO itself, namely the Russian primary enemy, but then the link between Western Europe and Eastern Europe would be weakened. This is a primary goal for Russia.

Hence Russia would incur fewer difficulties in rebuilding its traditional area of influence in the Eurasian peninsula. At economic level, for Russia the Brexit impact is less beneficial than we may assume. The wealthy Russians have invested over 5 billion pounds in the UK real estate market. Furthermore, volatility on international financial markets increases and this is a situation not favoring the economies which are experiencing difficulties such as Russia’s.

Moreover – on the assumption of an EU disruption – if the euro fell, oil would come under pressure, with great and severe damage for the Russian Federation. Therefore, for President Putin this would be a strategic victory, but it would mean a future characterized by economic uncertainty.

Finally Israel sees the decreasing weight of a country which is now alien and almost an enemy from the ideological viewpoint. Nevertheless it is managing a new strategy of opening to some countries, including Russia, and it is also pursuing its project for being no longer militarily dependent both on the United States and on some EU friendly countries.

Hence, also in this case, the Brexit impact will be limited.

Advisory Board Co-chair Honoris Causa Professor Giancarlo Elia Valori is an eminent Italian economist and businessman. He holds prestigious academic distinctions and national orders. Mr. Valori has lectured on international affairs and economics at the world’s leading universities such as Peking University, the Hebrew University of Jerusalem and the Yeshiva University in New York. He currently chairs “International World Group”, he is also the honorary president of Huawei Italy, economic adviser to the Chinese giant HNA Group. In 1992 he was appointed Officier de la Légion d’Honneur de la République Francaise, with this motivation: “A man who can see across borders to understand the world” and in 2002 he received the title “Honorable” of the Académie des Sciences de l’Institut de France. “

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Disconnecting From SWIFT? No, We Did Not Hear About It

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Photo: Markus Spiske/Unsplash

The European Parliament has adopted another resolution on Russia. It reflects the key political claims against Moscow which have recently been on the Union’s official agenda. These include the aggravation of the situation in Ukraine, the “Navalny case”, the diplomatic scandal between Russia and the Czech Republic concerning the explosion of a military warehouse in 2014. The resolution contained radical proposals. Disconnect Russia from SWIFT and stop imports of energy resources in the event of an aggravation of the conflict in Donbass, reconsider relations between Russia and the EU, develop new sanctions regimes, etc. These proposals generated headlines in the media. However, the stock markets ignored them. The resolution did not cause any fluctuations of the ruble or Russian blue chips. Why did this happen and should the resolution be taken seriously?

At first glance, the resolution confirms that high consensus of one of the key (along with the EU Council) legislative bodies of the EU. It was adopted by 569 votes in favour, 67 against, and with 46 abstentions. Kiev and Prague welcome the resolution. Their political positions are uncompromisingly reflected in the document, although, for example, in the case of the explosion at a Czech military depot, there is no consensus, even in the Czech Republic itself. Not to mention the situation around Donbass, where the military build-up was carried out on both sides. According to an already established tradition, Russia is declared guilty of all obvious and perceived problems. Naturally, the document also reflects the “Navalny case”. Earlier, the European Parliament had already issued two resolutions. One in connection with the alleged poisoning, and the other after the arrest of the Russian opposition YouTuber Navalny. Tough measures against Moscow were proposed in previous resolutions as well. In some ways, their intention is consistent with American bills on “draconian sanctions”, such as DASKA: to designate a “lowest denominator” and possible measures that the European Union could potentially take. The threat of disconnection from SWIFT was the “icing on the cake”, which, as expected, was popular in the media success.

However, the markets ignored the resolution of the European Parliament. There are several reasons for this.

First, the period of aggravation of the situation in Donbass is clearly over. Yes, the problem itself has not been resolved. The conflict will smoulder for a long time, and new rounds of escalation will be still felt. There are no prospects for the implementation of the Minsk agreements. However, the prospect of an open military clash, which loomed on the horizon a month ago, has receded into the background. Ukrainian diplomacy was unable to achieve progress towards the revision of the Minsk agreements, although it temporarily returned the topic of Donbass to the political and media mainstream. Russia has shown that it is ready to balance the military build-up in Donbass without hesitation and to respond to a possible attempted military solution. The next round of exacerbation has so far fizzled out without leading to qualitative changes in the sanctions regime against Russia, or in the political positions of the parties.

Second, the radical proposals of the European Parliament are unlikely to find a response in the European Commission and the EU Council. The head of EU diplomacy, Josep Borrell, has already noted that decisions on restrictions on SWIFT and Nord Stream 2 are not within the competence of the European Union. It is obvious that disconnecting Russia from SWIFT will lead to colossal losses for both Russian business and EU companies doing business with Russia. The refusal to purchase Russian energy resources will also lead to significant costs. The Nord Stream 2 project remains in the interests of the European Union and Germany. Moreover, the disconnection from SWIFT, taking into account its consequences for the Russian economy, can simply be perceived by Moscow as an act of aggression with all the ensuing political consequences. The EU is losing the opportunity to strengthen and promote the role of the euro as a more desirable instrument for international payments. In particular, the share of the euro is likely to grow in trade between Russia and the PRC, ousting the US dollar. Manipulation with SWIFT will hurt Brussels’ plans to promote the euro globally.

Finally, thirdly, the real magnitude of the political contradictions between Moscow and Brussels is clearly not up to such radical steps. Yes, relations between Russia and the EU are in a deplorable state. The political dialogue periodically breaks down amid mutual accusations. There are no ways to resolve the most serious contradictions so far. However, the “level of support” of the existing, albeit bad, relations is still strong and its “breakdown to the bottom” has not yet taken place, even despite a number of recent local shocks. The “warehouse case” in the Czech Republic has not generated a pan-European chain reaction and has mostly damaged bilateral relations between Moscow and Prague. Most of the EU members are not eager to get involved in this scandal. The Navalny case will remain a toxic asset for a long time to come. But it, too, has not yet led to fundamental shifts. As for Ukraine, Moscow is clearly not eager to get involved in a military conflict, although it has demonstrated its force. To a certain extent, such demonstrations even reduce the likelihood of a violent scenario in the resolution of the conflict. At the same time, they do not bring political solutions closer. In general, the existing problems are large-scale. Their cumulative effect will increase. But its weight for the measures proposed in the European Parliament resolution is clearly not enough.

The only innovation that currently has a political perspective is the proposal for a new sanctions mechanism on corruption. A similar mechanism has recently been established in the UK. It involves freezing the assets of persons suspected having ties to corruption. The European Commission may well develop proposals for such a mechanism and submit it to the EU Council for consideration. The chances of its approval are very high. However, even if it is used against Russian individuals, its impact on economic ties between the EU and Russia will be extremely low. This may be the reason for the possible success of such an idea. The European Commission and the EU Council will show that they are loyal to at least some of the requirements of the European Parliament. At the same time, the use of the mechanism will remain in their hands, and the risks for the business will be minimal.

Moscow will also draw its conclusions from the rhetorical exercises of the European Parliament. Despite the fact that the risks of it implementing the recommendations of parliamentarians are negligible, this is another incentive for the Russian authorities to continue working on an alternative financial infrastructure in partnership with their foreign partners, who are also the target of unilateral restrictive measures.

From our partner RIAC

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When diplomacy cannot get the best of geopolitics: Cyprus’s lack of a way forward

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The United Nations Peacekeeping Force in Cyprus (UNFICYP) controls the buffer zone between the opposing sides. UN Photo/Eskinder Debebe

On April 24, people from both sides gather in proximity of the demarcation line splitting the capital, Nicosia, in two. Near this highly-contest frontier, Turk and Greek Cypriots alike demanded their leaders achieved the hoary aim of a united Cyprus. The most common motto protestors had written on their placards was a call for peace and unity across ethnic divides: We are Cypriots. This hopeful, determined appeal was addressed to the then-upcoming UN-sponsored meeting between the leaders of the two communities in Geneve. Three international guarantors partook also in the meeting: the UK as the former coloniser and, obviously enough, Greece and Turkey.

Introduction

Four years have passed since the UN hosted in Geneve peace talks on the future of Cyprus — and their collapse. Failed mediations are also due, in part, to the great power imbalance between the two sides. The so-called Turkish Republic of Northern Cyprus’s only ally and supporter is Turkey, on which it is “almost completely dependent”. On the other hand, the Greek-Cypriot government is internationally recognised and a member of the European Union since 2003. Yet, Secretary General Antonio Guterres is putting renewed energies in the long-standing issue that thorns the region. But, according to many commentators there were little to no hopes that anything concrete would be achieved. Actually, the positions at the negotiating table seem more divergent they have ever been and peaceful unification farthest than ever.

The Cypriot question is highly internationalised, which makes its resolution easier and harder at the same time. History can reveal why this is the case. and, hopefully, shed a light on the way forward.

A long-standing issue

Commentators and diplomats began talking compulsively about the island of Cyprus as a hotspot in the Eastern Mediterranean in 1974. Yet, any solution must account for the fact that Cyprus’s problematic history goes back well before that year.

The way to independence (1960)

In the modern and early-contemporary period (16th–19th century), the Ottoman Empire’s wider frame of ethnic coexistence guaranteed Cyprus’s stability. Turks and Greek were actually just Rum Christians and Muslims, and the Sultan vied for their diversified rights and obligations. The Porte experienced a deep crisis in the runup to the Great War, accepting to cede many peripheral territories. Thus, the British Empire administered the island of Cyprus from 1878 to the island’s formal annexation during in the 1910s. Nevertheless, the two communities still cohabited peacefully for several decades. If anything, Greek Cypriots started fighting against the Brits using terroristic methods.

Cohabitation started to be a problem when Cyprus became independent in 1960. In order to ensure that the region would not descend into utter chaos, there was the need for an agreement. Hence, Britain sat down with Greece and Turkey to establish the framework within which to establish the Republic of Cyprus. Athens had to backtrack on many of its requests on behalf the Greek Cypriot majority. Eventually, principles of bi-national independence, political equality and administrative partnership the two communities prevailed and became part of the constitution.

More importantly, the three signed a controversial Treaty of Guarantee reminiscent of colonial mandates. According to this agreement, each of the signatories could intervene militarily to defend Cyprus’s status from any sort of threats.

Ethnic conflicts (1963–1974)

Tensions escalated immediately after, with Greek Cypriot leaders making pressing attempts to erode their neighbour’s representation and rights. Finally, in 1963’s Bloody Christmas, Greek elites staged the expulsion of Turkish Cypriot representatives from all levels of government. As a result, about 25% of all Turkish Cypriots had to leave their villages for safer Turkish “enclaves”. That year inaugurated a season of inter-ethnic strife and conflict on the Mediterranean island. The situation was so dire that the UN stationed its blue helmets on a peace-keeping mission in December 1963.

The turning point of Cyprus’s recent history is 1974, when the Greek government organised and carried out an artless golpe. Back then, the colonels who animated the military junta sitting in Athens felt that power was slipping away from them. Clearly, the economy was in ruinous conditions and people started to grow unresponsive to the colonels’ efforts to repress discontent. Thus, they thought Greek nationalist fractions’ victorious insurrection in Cyprus and the island’s annexation would have raised morale.

But the situation evolved for the worse as Athens’s actions violated of 1960 agreement with Ankara and London. In a swift counter-manoeuvre, the Turkish army occupied the island invoking its right of interference under the Treaty of Guarantee. For determined it could be, the Greek junta could not afford the risk of a full-scale confrontation with Turkey. Not least, because they are both formally member of NATO, a cornerstone of the Cold War’s bipolar system of alliances. Therefore, the Turkish-majority northern half of the island was able to seceded from the Greek-dominated south thanks to Ankara’s support.

State of the art

The brief war of 1974 marked the pike in Greek-Turkish tensions and determined the current status quo on the island. Fortunately, both sides have been taking steps towards the normalisation of South-North relations. For instance, since 2003 it is possible to cross the frontier roughly established almost half a century ago. Moreover, the situation has stabilised and the number of inter-ethnic clashes diminished in the last 50 years. Thus, the international contingent in the ‘buffer zone’ dividing the capital Nicosia in two is now thinner than ever before.

Nevertheless, Cyprus is still divided into two parts which find it difficult to talk to one another. Thus, there are not a lot of reasons to be optimistic for those who aspire to the Cyprus’s reunification. In 2004, on the eve of Greek Cyprus’s accession to the EU, two contemporaneous referendums took place on the island. The question voters had to answer regarded the so-called Annan Plan, named after then UN Secretary General Kofi Annan. The Plan foresaw joining the two current entities in a State federal in name, but de facto confederal.  Cypriots went to the polls en masse: 87.83% of registered voters went to the polls across the island. Of them, about 65% of Turkish Cypriots voted in favour of the Plan, which they approved. Yet, over 75% of Greek Cypriots who voted were against the proposal, which both communities had to approve.

In the last few years, the North has also retrenched in its positions, possibly in response to the Greeks’ ‘No’. Last in order of time, Northern Cypriot elected as head of State Ersin Tatar, a protégé of Erdogan, Turkey’s President.

Conclusion — Peace talks won’t solve the issue

Against this background, Greek and Turkish Cypriot authorities’ approach to these renewed peace talks is unexpected. The Greek Cypriot foreign minister, Nicos Christoduidis, declared that the negotiations’ aimed at “Cyprus’ reunification as a bizonal bicommunal federation.” At the same time, Greek Cypriot President, Nicos Anastasiades, has started to acknowledge the need for a “decentralised federation”. That is, the sort of surreptitious confederal project laid out in the Annan Plan.

On the other hand, Northern Cyprus’s foreign minister Tachsin Ertugruloglu, argued that the “solution is: one island, two states.” President Tatar echoed these remarks arguing that there are two “separate regions and peoples in Cyprus.”Symbolically, Tatar stopped in Ankara to meet President Erdogan before reaching Geneve for the UN’s three-day talks.

Figure 5 Turkey’s planned pipelines in the Eastern Mediterranean cross Greek and Cypriot waters. © Steven Bernard via Financial Times

After several days of fruitless negotiations, Guterres declared that despite “all our efforts, we have not yet found enough points of contact to allow the resumption of formal negotiations.” But he has also proposed a new meeting in the same format “probably in two or three months.”  Yet, these endeavours will fail again unless the situation on the ground changes drastically in or around Cyrus. As a matter of fact, the real power broker in this game in now Turkey’s Erdogan. When he first became Prime Minister, Erdogan looked for a peaceful resolution to the Cypriot issue and accession to the EU. However, since 2011 he has undergone a change of heart turning more illiberal at home and reckless abroad. Most recently, Erdogan’s Turkey has irresponsibly reignited the tensions in the Eastern Mediterranean, by claiming gas fields located in Cyprus’s and Greece’s economic areas.

Thus, Cyprus may have ceased to be a piece of the larger puzzle called ‘Cold War’. But the island’s division has found a new raison d’être in this complex, quasi-multipolar 21st century. A new geo-political and geo-economic confrontation has started and Turkish Cypriot authorities are playing their part.

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Covid-19-Policy Contest Between Libertarianism v. Socialism: The Latest Results

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Early in the “coronavirus-19” — subsequently called “Covid-19” — pandemic, Denmark and Sweden were often being compared with one-another because both are Scandinavian countries, but on 13 March 2020, Denmark had started a lockdown and imposed strict recommendations for businesses and personal behavior, whereas Sweden did nothing of the sort, and so the two countries were considered to be especially suitable to serve as being an almost controlled experiment in what the results would be of socialism versus libertarianism in social policy (regulations) regarding a communicable disease.

On 26 March 2020, EuroNews headlined “Neighbours Denmark and Sweden miles apart on coronavirus confinement”. Whereas both countries had socialized healthcare, and were also otherwise generally considered to be similar, Sweden was pursuing Europe’s most libertarian policies on coronavirus or Covid-19, and yet Denmark had a 15% higher percentage of its population who had come down with that disease. On 29 June 2020, I headlined “‘Herd Immunity’ Is a Failed Response to Coronavirus: Comparing Denmark versus Sweden on Coronavirus,” and reported that in early April Sweden’s population-percentage who had the disease had switched (increased so fast as) to become 14% higher there than Denmark’s population-percentage who had Covid-19, and that Sweden’s percentage was also increasing much more quickly than Denmark’s. And, so, at that time, as of 28 June 2020, Sweden had 2.5 times as high a percentage of its population who had contracted the disease, as compared with Denmark’s percentage. There were 131 reader-comments to that news-report, at Reddit, and they were overwhelmingly in denial, and pro-libertarian, anti-socialist, though each comment had a different excuse for their reality-denial.

CNN headlined on 28 May 2020 “Sweden says its coronavirus approach has worked. The numbers suggest a different story” and made clear that, at least up till that moment in time, Sweden’s approach was a failure, not only in competition as compared to Denmark’s, but globally.

Then, on 12 May 2020, Foreign Affairs, the prestigious journal of America’s Council on Foreign Relations, bannered “Sweden’s Coronavirus Strategy Will Soon Be the World’s: Herd Immunity Is the Only Realistic Option—the Question Is How to Get There Safely”, and presented the standard libertarian argument: “There are good reasons for countries to begin easing their restrictions. It will take several years to tally the total number of deaths, bankruptcies, layoffs, suicides, mental health problems, losses to GDP and investments, and other costs attributable not just to the virus but to the measures used to fight it. It should already be obvious, however, that the economic and social costs of lockdowns are enormous.” In other words: the best “regulation” is to let nature rule, not to impose any human-imposed regulations, but just “the free market” should reign.

On 7 January 2021, the Scandinavian Journal of Public health headlined “A comparison of COVID-19 epidemiological indicators in Sweden, Norway, Denmark, and Finland” and reported that:

Compared with its Nordic peers, Sweden had a higher incidence rate across all ages, a higher COVID-19-related death rate only partially explained by population demographics, a higher death rate in seniors’ care, and higher all-cause mortality. Sweden had approximately half as much mobility change as its Nordic neighbours until April and followed similar rates as its neighbours from April to July. Denmark led its Nordic peers in testing rates, while Sweden had the highest cumulative test-positivity rate continuously from mid-March. …

Looser government restrictions at the beginning of the outbreak are likely to have played a role in the impact of COVID-19 in Sweden. In an effort to improve epidemic control, Sweden has increased testing rates, implemented more restrictive prevention measures, and increased their intensive care unit bed capacity.

Here are the figures as-of 30 April 2021:

Denmark cases per million = 43,282

Sweden cases per million = 95,909

Denmark deaths per million = 428

Sweden deaths per million = 1,384

Denmark March unemployment rate = 4.5%

Sweden unemployment rate = 10.0%

But Denmark versus Sweden aren’t, by any means, the only indicators that libertarianism was failing on Covid-19.

On 1 August 2020, I headlined “India and Brazil Are Now the Global Worst Coronavirus Nations”, and that statement was forward-looking, predictive, and not referring only to the numbers at that time but to where the various nations were heading, and it was referring only to medium-sized and large nations (for example, not to the worst performer of all, Andorra, which currently has 171,029 cases per million and a population of only 77,367 people). (Andorra has had a total of 13,232 cases, which is 17.1% of its entire population. The only country that has a population of over 10 million and which is among the 9 worst — and America scores as being absolutely the world’s 10th-worst — is Czechia, the Czech Republic, which has 152,046 cases per million. At the end of this article, Czechia will be discussed.)

As-of 30 April 2021, the following are the world’s only nations that have had more than 6,000,000,000 Covid-19 cases:

USA = 33,044,872

India = 18,881,587

Brazil = 14,592,886.

Those are now the Covid-19 giants (the worst-performing major countries), which, back on August 1st, is what I was expecting them to be, by the present time. Ultimately, I expect Brazil and India to be scoring even worse than the United States. All three countries have been exceedingly lax in their anti-Covid-19 policies, extraordinarily libertarian regarding this.

On 20 September 2020, I headlined “All 8 of America’s Worst-Hit Coronavirus States Are Now in the South.” That reported “the worst 11 states … are: Louisiana, Florida, Mississippi, Alabama, Arizona, Georgia, Tennessee, South Carolina, Iowa, Arkansas, and Texas” — and all 11 of them had voted for Donald Trump, the more-libertarian (and losing) candidate, in 2020. The United States therefore provides overwhelming evidence of the failure of libertarianism regarding coronavirus-policies.

On 14 March 2021, I headlined “Republican States Have Higher Covid Rates than Democratic States” and — ranking all from the best (#1) to the worst (#51) — reported that the average state which had voted for Trump scored 33.3 or two-thirds of the way down the list of the 51 states + DC, and that the average state which had voted for Biden scored 19.5 out of the 51.

The more corrupt a country is, the more libertarian it is, and on 5 May 2020, I headlined “America’s Design Causes It to Fail the COVID-19 Challenge” and reported that because America is an extraordinarily corrupt country (very libertarian, as compared to other nations), “America is designed so as to fail the coronavirus-19 challenge. The power of big-money (concentrated wealth) is destroying this country. It controls both Parties and their respective media, so the public don’t know (and certainly cannot understand) the types of realities that are being reported (and linked-to) here.”

India and Brazil are nipping at America’s heels on this, but, still, the record up till the present moment shows America as still retaining its title as being the worst of all major nations on coronavirus-performance.

Finally, here, will be considered what might be the strongest exception to the general principle that libertarian policies are inferior to socialistic policies in order to control and limit a pandemic: Czechia. Wikipedia’s article “COVID-19 pandemic in the Czech Republic” says:

The Czech Republic was the first[11] European country to make the wearing of face masks mandatory from 19 March onwards.[12]COVID-19 testing was made widely available with drive-through locations from 14 March,[13] and from 27 March anyone with a fever, dry cough or shortness of breath was eligible for a free test.[14] From 13 April onwards, COVID-19 testing capacity significantly surpassed demand.[15] Contact tracing in the country also included voluntary disclosure of mobile phone position and debit card payments data for previous days and the quarantining of identified contacts.[16] By 1 May 2020, altogether 257 COVID-19-related deaths were identified in the Czech Republic compared to 2,719 in similarly populous Sweden, which did not impose a full lockdown. However, Belgium, also with a similar population, had suffered 7,866 deaths at that time, despite having implemented an early and strict lockdown. …

By April 2021, the Czech Republic has recorded the highest confirmed death rate in the world after Hungary. There are some root causes speculated.

None of those proposed explanations of this is any sort of scientific explanation for it. A great deal remains that is important to know but that is currently unknown about Covid-19. Obviously, Czechia is the most challenging case, not because it is the worst, but because it has been a leader in adherence to international guidelines but has nonetheless disastrously failed on this virus. If that’s not a warning for the world to do lots more research on the Covid-19 problem, then nothing is.

NOTICE TO LIBERTARIANS: Libertarian ‘news’-media often try to obfuscate the importance of the Covid-19 results in the various countries by pretending that a Covid-19 “case” means merely someone who has tested positive for having become infected by the virus, but that is very definitely NOT TRUE. Like virtually all libertarian beliefs, that belieff is based upon wishful thinking in order to dismiss and discredit scientific findings which are inconsistent with those beliefs. In fact, the “2020 Interim Case Definition, Approved April 5, 2020” (and still in force as-of 2 May 2020) makes crystal clear that the definition of a Covid-19 “case” is VERY DIFFERENT FROM AND FAR MORE RESTRICTIVE THAN merely having the infection. Libertarians want to be deceived, because they want to continue believing the myths that they cling to, but news-media try to exploit those ‘free market’ myths in order to build their own following (and to please the ‘free market’ winners — the billionaires — who benefit by having as large a percentage of the public as possible be deceived into believing the ‘free market’ myth (that they became so wealthy by virtue of their virtue and genius, instead of by their cunning and psychopathy). Justice in this world is the opposite of natural: it is un-natural and can be imposed only by careful skepticism and scientific human planning, not by any ‘invisible hand’ of anyone, or any group of people, who constitute an actual Deep State. They own and control the mainstream ‘news’-media and many of the non-mainstream ‘news’-media, and also the vast majority of members of Congress and other key government officials, but that’s the opposite of justice; it is, instead, institutionalized injustice. Libertarianism and corruption go hand-in-hand, and always will. (Outside the United States, libertarianism is more commonly called “neoliberalism”, but it’s the same thing.)

Author’s note: first posted at Strategic Culture

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