February 10, 2009

Cap And Trade

Geez! I really got behind on blogging while I was skiing. So much bullshit going down and there I was having a great time on the slopes. Anyhoo, Dick sent me this article about how well cap and trade and "green jobs" are doing in California. Remember, that the Founders expected the states to be places where new social and gummint policies could be tested and what worked could be implemented on the national level. Guess what? California is failing but it doesn't matter. Jug Hussein Ears and the Dimocrats are planning to adopt California's policies nationwide.

Gov. Arnold Schwarzenegger was all smiles in 2006 when he signed into law the toughest anti-global-warming regulations of any state. Mr. Schwarzenegger and his green supporters boasted that the regulations would steer California into a prosperous era of green jobs, renewable energy, and technological leadership. Instead, since 2007 -- in anticipation of the new mandates -- California has led the nation in job losses.

Tell me again how Ah-nold SchwarzenRINO is a Republican.

The regulations created a cap-and-trade system, similar to proposed federal global-warming measures, by limiting the CO2 that utilities, trucking companies and other businesses can emit, and imposed steep new taxes on companies that exceed the caps. Since energy is an input in everything that's produced, this will raise the cost of production inside California's borders.

Yannow what happens when production costs go up? Prices go up. Sales go down. People lose their jobs. As an aside, look at the states that have the highest unemployment. Michigan and California. Both high tax states. Both states are run by Dimocrats. Cause meet effect.

Now, as the Golden State prepares to implement this regulatory scheme, employers are howling. It's become clear to nearly everyone that the plan's backers have underestimated its negative impact and exaggerated the benefits. "We've been sold a false bill of goods," is how Republican Assemblyman Roger Niello, who has been the GOP's point man on environmental issues in the legislature, put it to me.

But it's for the environment. "Save the whales!"

The environmental plan was built on the notion that imposing some $23 billion of new taxes and fees on households (through higher electricity bills) and employers will cost the economy nothing, while also reducing greenhouse gases.

Man, I want some of what these guys have been smoking. Put it in Michael Phelps bong and give it to me. I guess these bonerheads have never heard of TANSTAAFL. Oh yeah. They're Dimocrats.

Almost no one believes that anymore except for the five members of the California Air Resources Board (CARB). This is the state's air-quality regulator, which voted unanimously in December to stick with the cap-and-trade system despite the recession. CARB justified its go-ahead by issuing what almost all experts agree is a rigged study on the economic impact of the cap-and-trade system. The study concludes that the plan "will not only significantly reduce California's greenhouse gas emissions, but will also have a net positive effect on California's economic growth through 2020."

Maybe if they sold the primo weed they've been smoking it would help offset what they're doing to the California economy.

This finding elicited a chorus of hallelujahs from environmental groups. The state finally discovered a do-good policy that pays for itself. Californians can still scurry around in their cars, heat up their Jacuzzis, and help save the planet. But there was a problem. The CARB had commissioned five economists from around the country to critique this study. They panned it.

Who cares? If it feels like the right thing to do, do it. Liberalism on display.

arvard's Robert Stavins, chairman of the federal Environmental Protection Agency's economic advisory committee under Bill Clinton, told me that "None of us knew who the other reviewers were, but we all came up with almost the same conclusion. The report was severely flawed and systematically underestimated costs." Another reviewer, UCLA Prof. Matthew E. Kahn, a supporter of the new regulations, criticized the "free lunch" aspect of the report.

"free lunch"? TANSTAAFL!

"The net dollar costs of each of these regulations is likely to be much larger than is reported," he concluded. Mr. Stavins points out that if these regulations are a net boon for businesses and the economy, "why would you need to impose regulations like cap and trade?"

Why? Because it feels good. It's for the environment. It's for saving the planet. It's for the chirren.

The Sacramento Bee, which has editorialized in support of the new regulations, was aghast at CARB's twisted science. We have to "be candid about the real costs of the transition," a cautionary editorial advised. "Energy prices will rise, and major capital investment will be needed in public transit and new transmission lines. Industries that are energy intensive will move elsewhere."

It's already hapening. Businesses are leaving California.

The green lobby has lectured us for years that global warming is all about the sanctity of science. Those who question the "scientific consensus" on catastrophic atmospheric changes are belittled as "deniers." Now, in assessing the costs, the greens readily cook the books and throw good science out the window. "To most of the most strident supporters of this legislation," says Mr. Niello, "the economic costs don't really matter anyway, because we are supposedly facing an environmental apocalypse."

Mr. Schwarzenegger fits into that camp. He recently declared: "I recommend very strongly that we move forward . . . . You will always have people saying this will lose jobs."

And guess what? California is losing jobs.

Meanwhile, the state is losing jobs, a lot of them. California's unemployment rate hit 9.3% in December, up from 4.9% in December 2006. There are now 1.5 million Californians out of work. The state has the fourth-highest housing foreclosure rate in the nation, has lost more businesses than any state in recent years, and is facing a $40 billion deficit. With cap and trade firmly in place, the economic situation is only likely to get worse.

Remember, this is what Jug Hussein Ears wants to do to the rest of the country. Coming to a state near you: Massive unemployment in the name of saving the environment. Those "5 million green jobs" he's promised? In your dreams.

Other states are plundering the Golden State's industries by convincing businesses to pick up stakes and move out before the cap-and-trade earthquake hits. Governors and Washington politicians who want to reduce their "carbon footprint," but are worried about the more immediate crises of cascading unemployment, unbalanced budgets, and the housing-market collapse, would be wise not to follow California's lead. Green policies have a tendency to push states into the red.

What the Dims have done to California they want to do to the rest of the country. You think the economy is bad now? Wait until cap and trade gets implemented.

Posted by denny at February 10, 2009 01:58 PM  
Comments

And if we all drove around in horse and buggy carriages the liberals would find a way to cap how much shit comes out the back. How can people be so stupid?

Posted by: phthalo on February 10, 2009 04:34 PM

Reno has really boomed on all of the California businesses that have relocated there.

Posted by: Alan on February 10, 2009 04:58 PM

I work in the trucking industry. CA is proposing that any truck entering the state must meet the latest emissions requirements, which are very strict. That proposal would require some very, very expensive retrofits, possibly a new engine for many of the trucks on the road now. The independent truckers are just going to write CA off their list. The large freight hauling companies have already calculated the large surcharge they will need to tack on to any shipments. How can these people on the CARB board be such idiots?

Posted by: Schmidty on February 10, 2009 06:13 PM

Its all part of an evil plan. Once the sane people leave, they can walk around in their Birkenstock sandals and swill Starbucks coffee and brag about how wonderful Mexifornia is.
Maybe the goal is to make it so bad the wetbacks go back to Messyco on their own.

Posted by: Jeremy on February 10, 2009 09:48 PM

Somehow I got put on the Sierra Club's e-mail list and I got this today....http://www.sierraclub.org/howgreen/lovelife/
It's a test to see "How Green Your Love Life Is". I took the test..........got a zero.

These people would be funny if they weren't so dangerous. Thank God I live in Texas where this shit isn't gonna be tolerated.

Pana

Posted by: pana on February 10, 2009 10:36 PM

so the dems want CA's cap and trade and MA's healthcare.

can't wait for 2010. i hope we can start undoing some of this then.

Posted by: Pip on February 10, 2009 11:01 PM

And I thought liberals were supposed to be so smart...The middle class squeeze is on the way. You see, capital flees to where it is most productive. There are 1.5 billion Chinese and Indian workers who want a middle class lifesyle, and they will work for pennies on the dollar compared to American workers. So, middle class jobs and compensation packages will remain under siege for decades from foreign competition. Enter green fanatics who will increase the costs of well, everything. In true trial lawyer fashion, Al Gore and company are ramming hidden carbon taxes into every part of our lives making them more expensive by a large measure just like hidden liability costs make everything more expensive. So, lets go ahead and make our lives more expensive as jobs and wages trend in reverse. Not too smart. And, don't you think that if wind and solar worked it would be here by now. I mean, Jimmy Carter started the subsidies for so-called renewables back in the 70s...The green revolution is a joke. Change our lives and add billions of charges to the taxpayers trying to tilt against the theoretical global warming windmill by trying to capture a naturally produced substance, carbon dioxide. Which, oh by the way, plants need to survive... More top-down planning like the communists with their five year plans...Go for it California. Saner states will welcome your productive citizens and businesses that you drive out as you impoverish yourselves.

Posted by: Scott Wiggins on February 15, 2009 04:11 AM
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