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Archive for November 3rd, 2008

Would a President Obama Bankrupt the Coal Industry?

Monday, November 3rd, 2008

The Internets are seeing much ado today about some remarks Democratic presidential candidate Barack Obama made early this year on coal and greenhouse gasses. A snippet is in the video at right. (Ignore the red captions and exclamation marks – if you can!!!!)

Senator Obama describes a carbon cap-and-trade system pretty accurately. He concludes with some provocative language, though: “So if somebody wants to build a coal-fired plant, they can. It’s just that it will bankrupt them because they are going to be charged a huge sum for all that greenhouse gas that’s being emitted.”

A cap-and-trade system is actually supposed to avoid bankrupting anybody by driving the market to discover the most cost-effective ways to reduce greenhouse gasses. This is something Senator Obama recognizes and wants to foster.

That being said, all the carbon cap-and-trade programs we’ve seen so far look to be huge undertakings that will cause significant economic dislocation. And, yes, “significant economic dislocation” means bankruptcies and job losses for some unfortunate businesses and people.

The two most expensive bills proposed in the current Congress are carbon cap-and-trade bills: S. 2191, the America’s Climate Security Act of 2007 (cost: about $17,000 per U.S. family) and S. 3036, the Lieberman-Warner Climate Security Act of 2008 (cost: over $12,000 per U.S. family). Those are big expenses for the nation to absorb.

Ultimately, the answer to the question, “Would a President Obama Bankrupt the Coal Industry?” is . . . : wrong question!

You should decide for yourself whether you want a carbon cap-and-trade program in this country, you should watch what Congress and the next president do, and you should give your opinion to your elected representatives early and often.

Presidential Candidates from a Sound-Proof Booth

Monday, November 3rd, 2008

These words from Thomas Friedman’s Saturday opinion piece on the presidential candidates certainly rang true:

Watching them in the context of the meltdown of the financial system was like watching a game show where the two contestants were kept off-stage in a soundproof booth and brought out to address the audience without knowing the context.

As noted here: “In a Sea of Deficits, the Candidates Are on Spending Autopilot, neither major-party candidate has talked about the cuts in government spending that probably need to happen.

“Both candidates are whispering sweet nothings about all the spending they’ll do, but that’s a bit of a siren song considering how much debt we’re swimming in.”

WashingtonWatch.com Digest – November 3, 2008

Monday, November 3rd, 2008

Here’s a special WashingtonWatch.com email newsletter for this week. Subscribe here.

On Voting

The long, somewhat exhausting presidential campaign wraps up tomorrow. Pundits are treating the election as fairly well decided, and many Americans may pass up their chance to vote because of that. Tomorrow is also when many Americans will turn away from politics and public policy until the next round of elections.

But failing to vote is a mistake, and simply voting is not enough.

The chance that a single vote will alter the presidential election is obviously very small. So why vote? The are many reasons. Obviously, your vote can effect “down-ballot” candidates and issues. The outcomes of elections affecting your local area are not already known.

But there’s another reason to vote: Each vote sends a signal to the political parties and to the candidates who get elected. When a lot of votes start going to a third party, for example, the major parties learn that they need to move in the direction of that party. Your vote for or against the winner helps set his or her margin of victory, which forms the political landscape he or she will tread.

We’ve done a little bit on the WashingtonWatch.com blog to inform your vote on federal candidates, revealing what your Members of Congress and Senators have done with regard to the recent financial services bailout, for example.

Members of Congress and Senators who voted to exempt financial derivatives from state gambling regulation – a partial cause of the financial crisis – are listed here. And then there are the House Members who changed their votes between Monday and Friday of a single week to pass the bailout legislation.

Whether you’re inspired by these issues or others, your vote in the election matters. Regardless whether your vote will change the outcome of the presidential election, you should vote.

But voting is not enough.

Most readers of this newsletter already focus on the policymaking that goes on year ’round. Congress will return in just a couple of weeks, in fact, possibly to consider economic stimulus legislation.

We do our best in this weekly email to highlight what goes on in Congress. The Web site has lots of ways to keep track of what’s moving in Congress and being debated among citizens. Multiple RSS feeds allow you to follow specific bills, issue areas, every bill introduced – whatever may interest you. (Learn more about RSS feeds here.)

Voting doesn’t dispense with your obligation to monitor the public policies of the country. It’s just the beginning.

We hope that you will continue to use WashingtonWatch.com as a way of keeping an eye on what happens in Washington. And thank you for doing your civic duty by voting.

(Please forward this email to people who need encouragement to vote, and who might like to know about a resource like WashingtonWatch.com.)

Displayed below are new, updated, and passed items with their cost or savings per family.

New Items

S. 1007
The United States-Brazil Energy Cooperation Pact of 2007
Costs $0.56 per family

S. 3179
The Lovelace Respiratory Research Institute Land Conveyance Act
Costs $0.00 per family

S. 3384
The Information Technology Investment Oversight Enhancement and Waste Prevention Act of 2008
Costs $0.32 per family

P.L. 110-436
To extend the Andean Trade Preference Act, and for other purposes
Saves $16.25 per family

S. 2448
The Surface Mining Control and Reclamation Act of 1977 Technical Corrections Act
Costs $1.44 per family

S. 3474
The Federal Information Security Management Act of 2008
Costs $5.02 per family

Updated Items

S. 1193
The Albuquerque Indian School Act
Costs $0.05 per family

H.R. 5680
To amend certain laws relating to Native Americans, and for others purposes
Costs $0.05 per family

P.L. 110-385
The Broadband Data Improvement Act
Costs $1.95 per family

Passed Items

none

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