Won't you just love getting a 2-3% pay cut? Yep, that is Nancy Pelosi and Harry Reid's plan for you. These democrats are trying to push through this cap and trade legislation to tamp down the use of fossil fuel and encourage the building of solar and wind energy sources. Few people realize what will probably happen under this stupid bill.
The most important thing is that your costs for driving, for getting electricity, for buying anything transported to you will rise rapidly. Last March the Wall Street Journal wrote:
"The Congressional Budget Office -- Mr. Orszag's former roost -- estimates that the price hikes from a 15% cut in emissions would cost the average household in the bottom-income quintile about 3.3% of its after-tax income every year. That's about $680, not including the costs of reduced employment and output. The three middle quintiles would see their paychecks cut between $880 and $1,500, or 2.9% to 2.7% of income. The rich would pay 1.7%. Cap and trade is the ideal policy for every Beltway analyst who thinks the tax code is too progressive (all five of them)." "Who Pays for Cap and Trade? Wall Street Journal, March 9, 2009,p. A18
Yep, this is a tax on the poor, contrary to Obama's promise.
They also wrote:
"Coal provides more than half of U.S. electricity, and 25 states get more than 50% of their electricity from conventional coal-fired generation. In Ohio, it totals 86%, according to the Energy Information Administration. Ratepayers in Indiana (94%), Missouri (85%), New Mexico (80%), Pennsylvania (56%), West Virginia (98%) and Wyoming (95%) are going to get soaked." Who Pays for Cap and Trade? Wall Street Journal, March 9, 2009,p. A18
Now, when the Republicans tried to limit the damage this will have on the poor people, the Democrats killed every suggestion.
"During the brief few days in which the bill was debated in the House Energy Committee, Republicans offered three amendments: one to suspend the program if gas hit $5 a gallon; one to suspend the program if electricity prices rose 10% over 2009; and one to suspend the program if unemployment rates hit 15%. Democrats defeated all of them." "The Cap and Tax Fiction," JUNE 26, 2009, A12
One of the saddest things in this carbon cap and trade bill is the callousness with which the democrats kill every suggestion to lower the heavy burden. One way to lower the burden of energy costs is to increase the supply of energy, meaning letting us drill offshore for American oil. But the Democracts will have nothing to do with that. They don't want your energy costs to be low. In the following YouTube video, you can see Senator Salazar, now our Interior secretary, kill every suggestion to allow us to drill if energy becomes too costly. I guess Salazar doesn't really care about the poor, who won't be able to pay another $3.3% of their income and won't be able to pay for gas to go to work if the energy costs rise again.
Movie here. Watch the Democrat not care about how much you have to pay for gasoline
Now, Jake Tapper and Matt Jaffe report that the cost to the average family will be $1760 per year in costs. They get that from a memo leaked to a blogger which said that the cost would be between $100 and $200 billion dollars for the US to implement Cap and Trade. That works out to $1761/family.
Happy taxation. All for the purpose of solving a non-existent problem.