In an attempt to whitewash the devastating energy tax, Media Matters recently attacked the newest American Solutions television ad highlighting the pitfalls of cap and trade. Media Matters uses the Congressional Budget Office's most recent analysis, which concluded that the average annual cost of Waxman-Markey would be about $175 per household.
The problem, though, is that CBO ignored key costs of the legislation.
The Heritage Foundation has an excellent summation of the problems with CBO's analysis. The most significant one is highlighted here:
"Most problematic is their complete omission of economic damage from restricting energy use. Footnote three on page four reads, 'The resource cost does not indicate the potential decrease in gross domestic product (GDP) that could result from the cap. The reduction in GDP would also include indirect general equilibrium effects, such as changes in the labor supply resulting from reductions in real wages and potential reductions in the productivity of capital and labor).' That's a pretty big chunk of change to ignore. In The Heritage Foundation's analysis of the Waxman-Markey climate change legislation, the GDP hit in 2020 was $161 billion (2009 dollars). For a family of four, that is $1,870 that they ignore."
CBO also indicates that the federal government would "incur additional costs of about $12 billion" to pay for low-income households' rebates and the energy tax credit. These costs would fall on households either through higher taxes or reduced government services. Yet again, "CBO did not distribute those costs across households."
On the question of job creation under Waxman-Markey, CBO concludes that some industries and certain regions of the country "would experience substantially higher rates of unemployment and job turnover as the program became increasingly stringent. That transition could be particularly difficult for individuals employed in those industries (such as the coal industry) or living in those regions (such as Appalachia)."
Heritage actually found that by 2035, Waxman-Markey would destroy 2.5 million jobs.
But energy tax supporters like Media Matters and the Center for American Progress gloss over this reality by only emphasizing job creation under Waxman-Markey.
In other words, don't worry about losing your job in West Virginia or Kentucky or the Midwest, because there will be job creation on the West Coast and in the Northeast. It's fitting that the sponsors of the bill are Henry Waxman from California and Ed Markey from Massachusetts, and that the loudest opposition is coming from Collin Peterson of Minnesota.
Media Matters also emphasizes that, according to CBO, the cost of Waxman-Markey will likely be lower because federal subsidies were not taken into account.
But a federal subsidy is real money that the government spends, which has to come from somewhere. This actually proves the point that the Waxman-Markey bill is nothing more than a redistribution of wealth through taxation.
In fact, the report concludes by suggesting that the costs could also be higher than predicted: "For example, if most of the omitted costs were to fall on lower-income households while most of the omitted benefits were to fall on higher-income households, the distributional outcomes could be significantly different" from what the CBO concluded.
Of course, the central pillar of the energy tax scam all along has been that all of the money taxed away will be returned, dollar for dollar, and that we will create millions of new "green jobs." Once we impose higher costs on everyone, we will all get our money back (and somehow end up paying less overall in the process), we will all find new jobs that can't be outsourced, and everyone will live happily ever after. It's all gain and no pain.
But as Heritage points out: "When have Americans ever seen all of a tax returned to them? It's like suggesting your tax rebate will be as large as the amount taken from your paycheck every year."
Bernie Madoff would be proud.
THIS JSUT IN: 10:00AM on the west coast;
http://www.cnbc.com/id/31526130
Warren Buffet is currently interviewing with CNBC and speaking about various topics and recovery of the economy, he mentions cap and trade here:
"Buffett repeated his criticism of "cap and trade" as a method to control pollution, saying it would be a huge, regressive tax."
Thanks for the heads up Stewart. We've now posted the video in a different blog post.
http://www.americansolutions.com/energy/2009/06/warren-buffett-opposes-the-energy-tax.php
Yesterday, I made a point to watch the beginning of each hour on Fox News. I even clicked on CNN from time to time to check their stories. I looked at all main news web sites for all television news stations. I was looking for any news regarding HR2454 - American Clean Energy and Security Act. The major stories covered by all of the main media were health care, SC Governor, and Iran. Although I am sure these stories are important, none of them are anywhere near the importance of this act. We are fighting a lost cause. This Bill is the worst thing for our country, and no-one is taking any action against this absurd Bill. I think I'll become a scalper and sell emission allowances for the friends of the administration and congress. After all, they'll be the only ones that will be given them.
I heard a meteorologist on the radio yesterday talking about carbon dioxide emissions. He said that carbon dioxide makes up 2.3% of the atmosphere, and humans contribute just .17% of the 2.3% emitted. In no way will cap and trade have any effect on changing our climate. In fact, we are cooling, not warming. I am supposed to leave this weekend on a fishing trip to Manitoba, however, the lakes up north are actually still frozen. this is the latest ice out by far that anyone can recall on record.
I heard a meteorologist on the radio yesterday talking about carbon dioxide emissions. He said that carbon dioxide makes up 2.3% of the atmosphere, and humans contribute just .17% of the 2.3% emitted. In no way will cap and trade have any effect on changing our climate. In fact, we are cooling, not warming. I am supposed to leave this weekend on a fishing trip to Manitoba, however, the lakes up north are actually still frozen. this is the latest ice out by far that anyone can recall on record.
To Jim
The meteorologist was incorrect. In actuality, our atmosphere is 78.08% Nitrogen, 20.95% Oxygen, 0%-4% water vapor, .92% Argon, and .03% Carbon Dioxide. These are the 5 main elements that make up our atmosphere. The figure that the meteorologist uses regarding the .17% contributed by humans is also incorrect. I do however agree with you that humans are not responsible. I wrote an article and it is on my web site. I don't know if you're allowed to indicate the name of your web site in this forum, but if you would like to read it, go to robtagent.com and look at articles and editorials, and read Global Warming, Report Facts.
That is the whole point regarding Global Warming and Greenhouse Gases. Most, if not all, of what you here is completely bogus.
I would just like to state once again, that the HR2454 - American Clean Energy and Security Act that Nancy Pelosi wants to be voted on tomorrow, will alter the American course for years to come, and is a sham.
Again, Thank you for allowing me to make my point.
Back in the mid 80's, being from power generation field, we installed our first In Stack Monitor that recorded our emmissions by gas/volume/weight/moles. We heard that more was coming and have gone through many newer faster more accurate spectrometers, with plants now having digital I/O fuel info and stack emmissions in real time. Here we are, a totally phony created Global Warmiing scenario, used in attempt to allow govt. to rip us all off. More stolen wealth from the citizens, used to control business and move towards the Socialist/Facist systems in a hurry. I see the Pro Cap & Tax commercials and yell at the screen because I know the public doesn't know were or how their lights or heat supplies work. These robber thieves must be stopped.
There is no room for this in America, it will and is crushing our economy even more than the things the pols have done in the past year have done. I can't believe the weakness being displayed by business against the Dems in the past few months, it is sickening, I started seeing this PC erosion and browbeating, by Govt. has taken effect, starting in mid 80's and the descent has been rapid.
I fear for my countries solvency under this regime.
Energy Solved -- Painting by the Numbers -- Democrat Style
The US House of Representatives is considering HR 2454 known optimistically as the "American Clean Energy and Security Act of 2009." Do you want to know what is inside?
Choosing a "sentence" at random near the middle of the 1092 page document (there are a total of 495 Sections to the bill) reads:
"SEC. 274. PRODUCT CARBON DISCLOSURE PROGRAM" ...
"(3) An identification of products, processes, or
sectors whose inclusion could have a substantial carbon impact (prioritizing industrial products such as iron and steel, aluminum, cement, chemicals, and paper products, and also including food, beverage, hygiene, cleaning, household cleaners, construction, metals, clothing, semiconductor, and consumer electronics. ...." [emphasis mine]
That should disabuse you of the fantasy that this bill only pertains to the carbon footprint and "saving the world", Think again, it will intrude financially into every aspect of your life.
The 1092 page bill has a "Summary" attached which is 4 pages. Within just these 4 pages there are references to 9 other prior laws which are amended in some way: Public Utility Regulatory Policies Act of 1978 ;Clean Air Act ;Energy Policy and Conservation Act ;Energy Policy Act of 2005 ;Federal Power Act; Energy Conservation and Production Act ; Safe Climate Act ;Commodity Exchange Act; Internal Revenue Code.
There are 5 charges and changes to the actions of other governmental agencies: Federal Energy Regulatory Commission ; National Oceanographic and Atmospheric Administration; Environmental Protection Agency; Secretary of State; Secretary of Health and Human Services.
There are the following 16 programs and funds established de novo by this bill alone: Carbon Storage Research Corporation; State Energy and Environment Development Account; Clean Energy Innovation Centers; Best-in-Class Appliances Deployment Program; SmartWay Transport Program; SmartWay Transport Partnership; Offsets Integrity Advisory Board; Climate Change Dividend Fund; Consumer Climate Change Rebate Fund; Stratospheric Ozone and Climate Protection Fund; Energy Refund Program; International Clean Technology Account; National Climate Change Adaptation Program; National Climate Service; Natural Resources Climate Change Adaptation Strategy; International Climate Change Adaptation Program.
The above are in just the "Summary." I have yet to complete the analysis of the entire 1092 pages. This may be where no Congressman (or woman) has (or will ever) dare go.
A word frequency analysis can help decipher what HB 2454 is really about." It is easy to see what is important for the writers. Some of my favorite words are repeated like raindrops on a tin roof:
Greenhouse 407 times; "assessment" 110 times; "penalty" 20 times and fortunately "imprison" only twice.
"Rebate" 74 times; "low income" 16 times; "middle income" 0 times; "Climate Change Consumer Refund" 5 times;
Finally "Climate Change" 230 times. "Global warming" 46 times; "SmartGrid" 53 times; "renewable" 143 times:
and the winner is "Regulation", "Regulate" or "Regulating" 466 times;.
What does it all mean? It means that Obama and his friends, the leaders of the Democratic party, large corporations and a long list of Non Governmental Organization accomplices are making a stark frontal assault on the life blood and the very sinews of our country. Within this bill are the blueprints for grabbing control, via huge sums of new taxes from all energy users, to transfer to low-income energy users, to large corporations, and to foreign countries of the "third world." There will be salaries, expenses, and retirement funds and consultancies for an army of new bureaucratic administrators and inspectors.
In our Declaration of Independence, which we still celebrate, our brave founders cited a list of offenses of the British King. Among them were " He has erected a multitude of New Offices, and sent hither swarms of Officers to harass our people and eat out their substance."
We must save our Independence and make our voices heard in Washington. All of our children are being taught false science in school,. Perhaps the goal is to allow them to accept the slavery laid upon them by we the people (if we do not fight back). All of the government controlled media are repeating the myth, All the while Mother Nature has given us a sign -- there has been no warming in the past 10 years. And while hundreds upon hundreds of scientists voice their skepticism or outright opposition to the theories of Global warming and Climate/Change.
But Obama, et alia, are racing to use the Climate Change cacophony of false claims to take control of our economy. Stopping them will take a grass-roots movement -- and soon. Estimates are that every family (whatever that unit is) will experience a $2000 increase in expenses due to this bill. Estimates are usually wrong on the light side. This bill is touted as preventing Climate Change Catastrophe in the future. The real Catastrophe is for our economic freedom and prosperity right now.
I used to think of Democrats as miseducated idiots who knew little or nothing about economics and behavioral science. I now believe the New Democrats actually do know about economics and behavioral science. These Democrats have created a crises out of thin air and used scare tactics along with a miseducated and complicit media to scare the bejabbers out of the American public. These New Democrats are deliberately destroying the American economy with the hope that by destroying the American economy they can drive more and more Americans into poverty and thereby create more and more dependence on Government programs at the expense of all Americans who work for a living trying to make a better life for themselves and their children and grandchildren. Until these New Democrats prove me wrong I have to believe that these Democrats want us all living in huts or caves for that matter, using sticks for cooking and heating, all the while they will be trying to find a way to tax the sticks. Next Saturday for Tea anyone?
What can we do to get the Dems out of office (especially in Texas where I'm from)?
....I am so upset that Dems like Green and Doggett voted for this.
Suggestions appreciated.
Lynd, I think we, all of us here, must educate the miseducated. Whenever the topics we describe here on a daily basis come up we MUST comment to those around us about them.
For instance someone says, "Bush caused the economic collapse!" We say, " NO, that all started with Jimmy Carter and the Democrats forcing banks to loan money to people who the banks knew couldn't afford to pay the money back (Community Reinvestment Act). Then Clinton and the Democrat Congress passed more laws requiring banks to make more even worse (for the banks) loans given to people who couldn't afford to pay them back. Then Obama as a Community Organizer defended Acorn that was going after banks for more of these loans. George Bush in 2002 actually warned Congress that the financial system was headed for trouble. John McCain warned of the same on the Senate floor in 2005. Republican warnings fell on the deaf ears of Democrats and here we are with all that money tied up in houses that people can't afford to pay for all because of Democrats. That is why people can't by GM-Chrysler-Fords, not because they are or were bad cars but because the money for cars was loaned to people who were foreclosed on their house"
I know it is a long story but we must come up with the facts whenever we are given the chance. Not just of the Loan story but bailouts, Global Warming, Health Insurance, all the issues that the Democrats are killing us with today and yesterday. We have to get the correct story out there, our story, because we are correct about all of this. The Democrats are just plain wrong. We must tell our story or the Democrats will make up theirs for us.
I am furious, frustrated and frightened about what is hapening to our country. I have copied the list of those who voted in Bezerk Obama's outrageous Energy Bill.
I intend to vote against all those who dug America's grave a bit deeper. That's the furious part.
Other than voting them out of office, how can the voices of the silent majority be heard? A march on Washington, perhaps? We must DEMAND term limits and clean house. Keep the message going. That's the frustrated part.
I fear that our country has already gone way beyond socialism. I believe that we have approximately 16 Czars now. Did I miss something? We have never had a Czar, for heavens sake. That's the frightened part.
Virginia Kelley
We must defeat this in the Senate or the USA will change forever
We must defeat this in the Senate or the USA will change forever
Dear God, deliver us form evil!!!!
Look if you want to make the republican party stronger then people like Ron Paul have to be made into the fold . I myself think he is the most upstanding republican leader we have its really to bad people would rather hear what they like to hear rather then what needs to be told! The truth is this party treated him like sh%^& and got what they deserved I left the party 9 years ago and became independent As many others have. I will have a hard time ever to go back.I think it's time for a conservative party we need a real leader that will work for the people and NOT the republican party! This is what has brought the republican party down.
Look if you want to make the republican party stronger then people like Ron Paul have to be made into the fold . I myself think he is the most upstanding republican leader we have its really to bad people would rather hear what they like to hear rather then what needs to be told! The truth is this party treated him like sh%^& and got what they deserved I left the party 9 years ago and became independent As many others have. I will have a hard time ever to go back.I think it's time for a conservative party we need a real leader that will work for the people and NOT the republican party! This is what has brought the republican party down.
Are there any REAL americans working in congress?? If there is I wish they would stand up so we know who they are.
There is a lot more behind this. . and Al Gore stands to make billions on this Cap and Trade. . with his phony bolony. . .Global Warming. .
And their are a lot more groups who will make billions also. . .don't ever think this administration is transparent. .and don't ever think that the Democrates will be honest. .and read the bill in the House at 3am. . now that's another joke. ..This Administration seems to forget they are suppose to work for the American People. . .unfortuntely they are working for big interest groups. .and lobbiest who will line their wallets with campaign funds. .This is tyranny. . .and this is not OF THE PEOPLE BY THE PEOPLE AND FOR THE PEOPLE . . ...IT IS FOR THEIR SELECT GROUP. .
AND WE MUST CONTINUE TO EMAIL OUR REPRESENTATIVES AND BASH THEM FOR WHAT THEY ARE DOING TO US. .AND THIS ECONOMY. . .OBAMA IS RUNNING THIS COUNTRY ON DEMAND AND FEAR. . NOT LOVE FOR THIS NATION. .
There is a lot more behind this. . and Al Gore stands to make billions on this Cap and Trade. . with his phony bolony. . .Global Warming. .
And their are a lot more groups who will make billions also. . .don't ever think this administration is transparent. .and don't ever think that the Democrates will be honest. .and read the bill in the House at 3am. . now that's another joke. ..This Administration seems to forget they are suppose to work for the American People. . .unfortuntely they are working for big interest groups. .and lobbiest who will line their wallets with campaign funds. .This is tyranny. . .and this is not OF THE PEOPLE BY THE PEOPLE AND FOR THE PEOPLE . . ...IT IS FOR THEIR SELECT GROUP. .
AND WE MUST CONTINUE TO EMAIL OUR REPRESENTATIVES AND BASH THEM FOR WHAT THEY ARE DOING TO US. .AND THIS ECONOMY. . .OBAMA IS RUNNING THIS COUNTRY ON DEMAND AND FEAR. . NOT LOVE FOR THIS NATION. .