Free Markets, Free People


To The Left – Don’t Get Too Giddy

A lot of high-fives on the left concerning a portion of the budget dealing with energy.  The Center For American Progress, in a post entitled “Energy Budget Is Sunlight After Eight Years of Darkness” says:

The most significant energy proposal in this budget is the inclusion of revenue in 2012 from the auction of all greenhouse gas emission allowances to major polluters under a cap-and-trade system. The budget assumes that this program will raise $646 billion between 2012 and 2019. Some of these funds would create jobs via a $120 billion investment in clean energy technologies over the same period. The auction revenue would pay for a “global warming tax cut” for working families with $526 billion. It would fund Making Work Pay, which provides a refundable income-tax credit for low-income working families. Any remaining funds would go to other families and businesses to offset higher energy prices.

In other words, CAP believes that adding huge additional costs onto the already high cost of producing goods, services and energy will “create jobs” to offset those lost apparently. And the money collected will be redistributed to make things fair.

As so-called members of the “reality based community”, you have to wonder if they’ve ever bothered taking off the rose colored glasses and glanced around the real world.

Alan Wood in Australia asks:

CAN the Senate save Kevin Rudd and Penny Wong from their global warming folly? It can, and it might, if it rejects the Government’s attempts to prematurely lock Australia into a flawed carbon trading scheme. Ask yourself, do you believe that the worst global recession since the Depression, with job losses accelerating, is the time for Australia to introduce a carbon trading scheme that will squeeze growth, jobs and investment? Business certainly doesn’t.

Is there anyone in the Congress who can do the same for Barack Obama? Probably not.  Do they understand that the carbon trading schemes in place around the world are literally melting down?  Again, probably not.

And jobs?  Well right here at home we can learn from the impact of the draconian regulations and resultant costs imposed on industry by such schemes  and what that means.  California, as usual, provides the case study:

California regulators Thursday adopted the world’s first mandatory measures to control highly potent greenhouse gases emitted by the computer manufacturing industry. “The financial impact is going to be severe,” Gus Ballis, a spokesman for chip maker NEC Electronics America Inc., a subsidiary of NEC Electronics Corp. in Japan, told the board. Ballis warned, “We’re potentially on the chopping block — whether they are going to keep us or pull our production back to Japan.” 

And elsewhere:

The painful loss of 1850 jobs at Pacific Brands in NSW, Victoria and Queensland is more than a byproduct of the global recession. The main reason for shifting to China, chief executive Sue Morphet said on Wednesday, is that manufacturing in Australia “is no longer a competitive advantage” to the company. The Prime Minister owes it to businesses large and small, as well as to Labor’s core constituency, workers, to re-evaluate the impact on employment of his emissions trading scheme, especially in mining, where Australia has such a strong comparative advantage.

Biofuels? Fail:

The German biofuels industry is facing bankruptcy according to their industry association, despite millions of state-sponsored subsidies in recent years. “It is five to twelve, but few politicians understand,” said the chairman of the Association of German Biofuel Industry (VDB), Kurt Stoffel. “The biodiesel market for trucks has come to a complete halt,” said Stoffel.

Reality? Dawning:

Britain said on Thursday it backed the building of new coal plants and would make a decision soon on whether these must have expensive, climate-friendly technologies fitted called carbon capture and storage (CCS). “We will need new fossil fuel plants including coal if we are going to maintain diversity in energy mix and energy security….”,

Yet here we are getting ready to implement a scheme that is already seen to be worsening the economic conditions around the world (and being abandoned by those realing the losses).  Unsurprisingly our implementation would most likely occur just as we are beginning to see an end to the recession.

The administration certainly seems to be aware of the cost of such legislation but still plans on pursuing it:

Steven Chu, President Barack Obama’s new Secretary of Energy, told The New York Times earlier this month that reaching agreement on emissions trading legislation would be difficult in the present recession because any scheme to regulate greenhouse gas emissions would probably cause energy prices to rise and drive manufacturing jobs to countries where energy was cheaper.

Yet, with blinders fully in place, and giddy at the prospect of sticking it to evil corporations while redistributing their ill-gotten gains, the left applauds a plan which will cripple our economy for decades to come.

If ever there were budget proposals poised to send us into darkness, it is this plan put forward by the Obama administration.

~McQ

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13 Responses to To The Left – Don’t Get Too Giddy

  • The left is full ideological idiots. Who knew ;)

  • “Yet, with blinders fully in place, and giddy at the prospect of sticking it to evil corporations while redistributing their ill-gotten gains, the left applauds a plan which will cripple our economy for decades to come.”

    What can you say against such utter insanity?  It boggles the mind.

  • Um, the utter insanity was about the democrats, not the quote.  I thought the quote was brilliant.  (Just in case someone might  not understand.)

  • It’s Bush’s fault!

    Honestly, I don’t know what else to say.  Certain elements won’t be happy until the US looks as dark and cold as the famous satellite image of NoKO at night

  • So much sunlight in this budget, it done gone and shriveled up my job at a EPC firm.  I was as an attorney to do the procurement negotiations for three new coal plants and one potential nuclear. Clients, who had their funding all in hand, took one look at the new regulatory enviroment  and either canceled or delayed these projects.  One was notified that their previously approved air quality permit was going to be re-reviewed, that client deicded that they would have an additional two years tacked on to the project and decided to hold off on starting.  Now think about the people downstream from me, pipefitters, welders, electricians…those projects not moving foward means a loss of a potential jobs that would last two to five years.  Not to mention the loss to the pipe manufactuerers, valve manufactuers, coal conveyors, I suspect the loss to the domestic turbine, boiler and AQCS guys will not be as severe, but the loss of three (from my firm alone) $800M projects wil be felt. By the time the Administration reverses itself, if it does, those plants are not going to be online for a minimum of five years.  But hey, I hear Chu has a plan to generate power from rainbows and unicorn spit.

  • The shorter Obama, budget edition:

    No, like really my friend Timmy and I we’re going to make this like totally wicked cool clubhouse and it’ll be worth like a million zillion billion dollars and then we’re going to sell it to our friend Joey and then we can buy a rocket ship and we won’t have to go to school again EVER!!1!

  • Two options, neither of which are pleasant to consider:

    1.  The dems (spit) are going to destroy our economy out of a stupid, ideologically-driven belief in junk science, or;

    2.  The dems (spit) consciously intend to destroy our economy due to their malicious, anti-American ideology and are using “global warming” to cover their tracks

    What say you?

    • You hit the nail on the head.  Although there are Democrats that fall into each of those categories, I think our illustrious president falls into number 2. Dick Morris is right.  Obama has been exacerbating the recession to take full advantage of this opportunity to expand government.  It reminds me of Charlie Gibson interviewing then candidate Obama and asking him about his proposal to raise the capital gains tax rate.  Gibson pointed out that Clinton lowered the rate and capital gains tax receipts went through the roof.  Obama didn’t care.  He kept talking about “fairness”.   The writing is on the wall.  Obama really deserves his ranking as the most liberal member of the Senate. 

  • When you cripple the corporations, there are no longer ill-gotten gains to be taxed.    When the people are unemployed, they will have plenty of time to march on Washington.    After all, it will beat staying in the Northeast and freezing to death when there is no longer energy to be had. 

    Maybe they’ll decorate the lampposts of DC with the bodies of the politicians who vote for this fiasco.  They’ll need something to do while they wait for the government checks that won’t buy anything, because China and Saudi Arabia decide the promises of a deadbeat are worthless.

    Few horror stories have happy endings.

  • Atlas Shrugged: The Reality Series…….

  • Here’s a wonderful story on protein wisdom where Intel is building $7 billion in new plants and deliberately avoiding CA because of the regulations…..

  • Who is Scott Jacobs?