Chasing the Norm

Australian academic and blogger on politics, international relations, and culture

Doubting the citizens intelligence

I really like living in the ACT. It’s generally hassle free, safe, and cosmopolitan. Likewise the local government is smart, left wing and generally competent. But sometimes, (spurred on by the Greens) they pass legislation that seems to question the intelligence of local citizens, and cause hassles for retailers, for no good reason. If there’s a problem, governments all too often sees extra regulation as the solution. Two recent examples stand out.

As of January 1, free-range and cage eggs must be physically separated in stores, with clear markings, a change no supermarkets have yet to get around to making. As if like cigarettes many people were still unaware of the harm caused. Personally I always buy free range. It’s an easy moral choice, and the packs are generally easily labeled. Even if a particular brand isn’t too clear, I can easily choose another. Where free range eggs were pretty rare a decade ago, today it seems most egg brands are free range. If the government has a problem with battery hens, then it need to outlaw their sale. If not, adding burdens onto supermarkets to make the abundantly clear even more so helps no one.

[Turns out this next example is by the Federal Labor Government, my mistake] A second example (no online copy available) is the insistence that all cafes/resturant’s have a second menu for sundays/public holidays displaying the full price, rather than simply saying “10% surcharge on public holidays”.
This is part of legislation that tackles the often grossly misleading prices on cars and airline tickets, however it seems Cafes/Resturants are being caught up as well.
Again, few retailers have bothered following the legislation, with those doing so using ugly photocopies of their menus, and finding their staff are getting confused along with customers. While there’s a definite principle that everything you buy should be the labled price, a 10% charge notice for cafes at the bottom is not exactly duplicitous, or hard to figure out. Legislation of this type while honourable, also seems to be built on the presumption that consumers are unable to read the notice, calculate additional taxes or charges from the small print into their costs, or factor this in when they make purchases.

I don’t get Libertarians consuming worry about these issues. The link to ‘freedom’ is, despite their claims, so tangential as to be invisible. Most of the time this is pretty minor stuff, and if you only focus on the negatives you can lose sight of the critical importance of sensible regulations to an efficient, prosperous capital economy. But sometimes governments introduce regulations which seem to have no discernible benefit, hassle business and treat citizens like children unable to make decisions for themselves.

2 ResponsesLeave one →

  1. Matt C

     /  January 12, 2010

    I agree but it’s the same policies beloved by our first federal premier. Fuelwatch, grocerywatch and unit pricing man are all examples.

  2. Grocery watch if it worked wouldn’t have been a regulation burden, and efficient markets are dependent on consumers knowledge of prices.

    Though turns out you’re right, as my second example of the menu pricing was introduced by the federal ALP in 2009. My error.