It ignores and exacerbates the underlying financial problems as the stock market reaction indicates. It will create few private sector jobs, but government departments will grow greatly in numbers and power and that will require more and continuing funding. If you want to see how much government grows under such liberal policies look at the growth in United Kingdom bureaucracies under Gordon Brown when he was in charge of treasury and then as Prime Minister.
Perhaps the largest growth with
Dishonesty is also evident because they have moved the goalposts again. First it was carbon credits, then it was carbon tax and now it is cap and trade. They are all the same idea falsely presented as methods of reducing CO2. In fact, they don’t reduce it at all but they do give government control and put more money in government hands. They are an environmental form of sin tax like those on tobacco and alcohol. The new name eliminates reference to CO2 (carbon) and taxes. A Cap, determined by the government, will limit the amount of CO2 you can produce. Details were expanded in Obama’s first budget proposal. He estimates a return of $625 billion from the cap and trade. It allows him to punish certain industries, as Obama indicated he would with the coal industry. The word Trade incorrectly implies some sort of business like approach. It is really an unnecessary transfer of wealth, just as carbon credits were in the Kyoto Protocol. As House Minority Leader John A. Boehner, Ohio Republican said. “We’ve got real concerns about his plan on cap and trade,” “Let’s just be honest and call it a carbon tax that will increase taxes on all Americans who drive a car, who have a job, who turn on a light switch, pure and simple.”