Thursday, June 25, 2009

Has Congress Actually Read The Climate Change Bill?

They admit not reading the porkfest. They admit that they didn't understand the TARP or that they were protecting bonuses for companies receiving federal funds all while feigning outrage.

So, will they read the latest mess to pass through the halls of Congress - the climate change bill? I doubt it.

In fact, they're racing to get it passed before anyone delves deeply into its provisions and realizes the mess it is about to visit upon the US and global economy.

It's long.

Real long.

It's 1,092 pages, but others have already had a chance to read it and the reviews are decidedly opposed to passing this bloated mess.

It's a tax, just as I've been warning. If you don't believe me, would you prefer that Warren Buffett said it instead (and did so yesterday on CNBC).

Even if the goal is to reduce overall pollution, which is a laudable goal, this bill will absolutely disrupt the economies of states that are already reeling from the collapse of the auto industry and which are net energy exporters for the nation - primarily because they are oil and coal producers. Importers of such energy could potentially benefit, although that too is cloudy because all the higher energy costs will be passed on to the end-user - the consumer. The gain to the environment will come not from the cap and trade, but the economic depression resulting from the shuttering of businesses and industries around the nation.

Never mind that all these businesses and industries will attempt to pass the costs on to consumers, but will find that demand will decline because people wont be able to afford the higher costs.

The Congressional Budget Office ignores the costs altogether by engaging in a selective and misleading one-year analysis while ignoring what would have happened to the economy had no law been passed.

Obama tries to point out that Spain has seen green jobs created, but ignores that the Spanish unemployment figures are nearly double our current 9%+ unemployment rate and the jobs simply haven't been made and those that were are not cost effective. It's voodoo economics and the numbers don't make any sense. The Spanish experience is one that we should avoid, and yet the Administration is trying to hype that this is where we should be headed.

What we should keep in mind is that some people will profit from this vaporware scheme, including none other than House Speaker Nancy Pelosi.

That figures.

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