They’re not very green. All they do is move the emissions to a different location.
The electric car might be great in a couple of decades but as a way to tackle global warming now it does virtually nothing. The real challenge is to get green energy that is cheaper than fossil fuels. That requires heavy investment in green research and development. Spending instead on subsidizing electric cars is putting the cart before the horse, and an inconvenient and expensive cart at that.
It’s not about the economics. It’s about feelings, which are of course the highest value.
For decades, Democrats have straddled a divide: they sought to represent both the producers of government services and the low and middle income citizens who depend on those services. Democrats want the votes and the contributions of teacher unions, and they want the votes of the parents whose kids attend public schools. As long as the blue model worked, the contradictions could be managed.
Increasingly, however, the contradictions have come to the fore. Teacher unions want life employment for incompetent teachers; their representatives negotiate farcically unsound pension arrangements with complaisant politicians and want taxpayers to pony up when the huge bills come due. Other producers of government services also have their sweetheart deals.
The result is that the consumers of government services, many of whom of course are Democrats, are getting a raw deal. They are paying too much money in taxes to support a system of government that, however outstanding and dedicated some people in it may be, simply cannot deliver acceptable services at a reasonable cost. The Democratic claim to represent both sides fairly is getting harder to sustain.
Barack Obama has been trying to stimulate the economy with record-high government spending funded by higher tax rates and Fed Chairman Ben Bernanke’s low interest rates.
But as Stanford economist Michael Boskin points out in the Wall Street Journal, “Japan tried that, to little effect, in the 1990s.” Slow growth has become the new normal there.
There are alternative policies. One is to cut government spending, or cut it more than you raise taxes. As Boskin points out, the Netherlands in the mid-1990s and Sweden in the mid-2000s “stabilized their budgets without recession [with] $5-$6 of actual spending cuts per dollar of tax hikes.”
And he notes that Canada reduced government spending in the mid-1990s and early 2000s by an amount equal to 8 percent of gross domestic product.
Those cuts weren’t painless, but they put Canada on a trajectory different from ours. Canadian voters value budget surpluses, and Canada managed to avoid almost all the bad effects of the 2007-09 recession.
I think that Keynes himself would be appalled to see the things being done in his name.
Example 1,876,342 of why there’s not a dime’s worth of difference between Republicans and Democrats:
So, as usual, what has Republican leaders grumbling is not the principle that free people ought to be at liberty to conduct routine business without federal mandates. What irks them is that Obama bureaucrats are marginally more domineering than, say, Bush-era light bulb bureaucrats. (By the way, Daniel Horowitz of RedState reminds us that Rep. Upton’s light bulb ban “made its way into the 2007 energy bill [signed by President Bush], which turned out to be the Obamacare of the energy industry.”) Upton and Rodgers object to what they call FDA’s inflexible “‘my way or the highway’ approach” to the imposition of government standards. That the imposition itself, quite apart from its obnoxious manner, is offensive never dawns on them. And speaking of offensive, how’d you like this Upton-Rodgers line: “In fact, Congress has previously partnered with the restaurant industry to improve consumers’ access to information.” Michael Bloomberg and Debbie Wasserman-Shultz wouldn’t have written it any differently.
As he notes, this is why Obama managed to win again with four million fewer votes than the last time.
Unfortunately, California environmentalists are trying to turn much of the Central Valley’s farmland back into desert too. Thanks to the Endangered Species Act, federal courts have ordered farmers to divert hundreds of billions of gallons of water away from crops and into the Sacramento River, where it is supposed to help revive the delta smelt.
The diverted water has not helped the smelt much, but it has turned hundreds of thousands of acres of farmland fallow and sent unemployment in some farming communities as high as 40 percent.
California could solve this problem by building more dams, thus adding water capacity. But the state hasn’t built a major new dam since 1979 and none is on the drawing board.
One reason is the California Environmental Quality Act of 1970. Modeled after the federal National Environmental Policy Act, CEQA was intended to make infrastructure planning easier. As the accompanying chart shows, it is anything but an easy law to follow. Unlike most state environmental planning laws, CEQA allows plaintiffs to recover attorney’s fees from defendant infrastructure developers (whether they be state, city or private actors).
This has created an entire environmental lawsuit industry — a very profitable one that chills development. According to the California Chamber of Commerce, CEQA has become “a morass of uncertainty for project proponents and agencies alike.”
Local government smart-growth plans have made it next to impossible for developers to build single-family homes near job centers such as the Bay Area or Los Angeles. As a result, real estate prices along California’s coast are among the highest in the nation, forcing many middle-class families to downsize or move elsewhere.
But the moron voters keep reelecting these people.
When he left NYU, Lew received what he describes as “a one-time severance payment upon my departure.” He wasn’t fired, usually the occasion for severance pay. He simply left and got paid for the act of leaving. Hey, that’s Jack Lew — he gets paid when he stays, and he gets paid when he goes.
He went to Citigroup, which NYU had made its primary private lender for student loans in exchange for a cut of those loans. (Coincidences happen to everyone, including Jack Lew.) At Citi, Lew established beyond a doubt his expertise at getting paid. In 2008, as the bank nearly blew up and laid off one-seventh of its employees, Lew ran its disastrous Alternative Investments unit — and got paid $1.1 million.
The bank had to be bailed out by the federal government, but it couldn’t stop paying Jack Lew. The journalist Jonathan Weil of Bloomberg has unearthed Lew’s contract at Citi. It said, reasonably enough, that he wouldn’t get his “guaranteed incentive and retention award” if he left the company. It made an exception, though, if Lew left to get “a full-time high level position with the United States government or regulatory body.”
He shouldn’t have been worth the money (and in many instances, probably wasn’t). But in a corporatist government, this is what happens.