Jun 26 2009
Well, we seem to be assured that the end of liberalism will be a spectacular failure. Between the failed liberal economic stimulus package – which is not stimulating any new jobs – and the energy tax & trade bill being voted on in the house, we could see an economic depression coming our way.
The American Farm Bureau warns that cap and trade would cost the average farmer $175 on every dairy cow and $80 for beef cattle. So farm-state politics trumped climate change.
We all know about farmers paid not to grow food. But now, American taxpayers apparently will be paying companies not to chop down trees. The Washington Times reports that as part of the legislation, the House will also be voting Friday on a plan to pay domestic and international companies around the world not to cut down trees.
As we’ve said before, capping emissions is capping economic growth. An analysis of Waxman-Markey by the Heritage Foundation projects that by 2035 it would reduce aggregate gross domestic product by $7.4 trillion. In an average year, 844,000 jobs would be destroyed, with peak years seeing unemployment rise by almost 2 million (see charts below).
Consumers would pay through the nose as electricity rates would necessarily skyrocket, as President Obama once put it, by 90% adjusted for inflation. Inflation-adjusted gasoline prices would rise 74%, residential natural gas prices by 55% and the average family’s annual energy bill by $1,500.
Hit hardest by all this would be the “95% of working families” Obama keeps mentioning as being protected from increased taxation.Â
The article points out the incredible spike in unemployment these useless reduction in CO2 emissions will cost (for the last decade CO2 levels have risen sharply, and global temperatures have been falling – more here):
I mean, how many job destroying policies have to be enacted to kill finally our economy? We shall soon find out it seems. The stimulus bill is piling up the national debt and annual deficit, both of which pull investment money out of the economy for expansion and new jobs. The energy taxes will further pull more money out of the economy, money that would be spent by consumers. The health care policy will shutter much of the only industry not in recession – the health industry. Insurance companies will close, small private doctors’ practices will close, local private practices will close.
We are heading into a disaster of epic proportions economically – all thanks to foolish liberal policy experiments.