Posts Tagged ‘economy’
compulsive need for and use of a habit-forming substance (as heroin, nicotine, or alcohol) characterized by tolerance and by well-defined physiological symptoms upon withdrawal; broadly: persistent compulsive use of a substance known by the user to be harmful.
Notice the key words in the definition – compulsive need, habit-forming, withdrawal, harmful.
The connotation of addiction is always negative. The left consistently points to our use of oil and fossil fuels as an addiction – a negative. America is NOT addicted to fossil fuels. Fossil fuels are, in fact, the life blood of our economy. There is no compulsive use – it is not a habit – there would be no physiological affects of a withdrawal from oil – and – the most harmful thing for America right now would be to stop using fossil fuels. It would doom our economy and our way of life. We need to change the dialogue and stop referring to our use of fossil fuels as an addiction. We need to think of fossil fuels as life-sustaining resources such as food & water. Oil IS the food and water of our economy. Without it, our economy dies. Are there alternatives? Yes – but – they are not viable right now.
Oil is akin to water in our economy. Solar and Wind power is akin to our oceans filled with salt water. Fresh water is immediately available. Salt water – while abundant – requires a lot of energy and processes to become potable. Same thing – oil – with little refining is immediately available for literally hundreds of uses in our economy. Solar and wind power requires more refining in order to make it a viable option. While we do have desalination plants to provide us with potable water from ocean water – they are not the mainstream source for our water yet. Until that technology is better and more refined – we still get the majority of our life sustaining fresh water from other sources. Same with oil – until Solar and other alternative powers become more sustainable and the technology cheaper – we need to be tapping as much of our readily available fossil fuels as possible while we move towards those technologies.
I watched the President’s speech last night and I was just waiting for that term – “addicted to oil” – and sure enough, he did not fail me. America is dependent on FOREIGN OIL because of Jimmy Carter and his creation of the Department of Energy. Rather than move to tap our own resources – the leftist eco-whackos through the DOE, in collaboration with the EPA, made it harder. We even stopped building nuclear plants. There is a mountain of paperwork that oil companies must go through now just to get approval to explore for oil. It takes 7 – 10 years to get through the regulatory red tape to bring a single drop of oil in to a barrel.
If the use of fossil fuels is such a national security issue due to our dependence on foreign oil – doesn’t it make sense to tap every existing resource available to break that dependence? Doesn’t it make sense to bring MORE nuclear power plants on line? Doesn’t it make more sense to become totally independent as a nation and THEN work on alternatives while we are prospering economically?
America is NOT addicted to oil. The ENTIRE FREAKIN’ WORLD ECONOMY runs on oil! We must stay vigilant and not allow our idiot politicians to use the gulf oil spill as an excuse to push a bogus cap-and-trade bill on us that will further harm our economy. What we need is for some real solid policies that include moving the wells closer to shore to avert future disasters as what is happening in the Gulf. We need policies that say open up more of the oil and natural gas reserves. We need policies that will allow more expedient building of nuclear power plants and oil rigs. If you don’t think this would help our economy – look at all the oil-rich Arab nations. They are like oases in the deserts. By having sound energy policies – more jobs would be created, energy prices would come down, and our economy would recover.
Unfortunately, we have leftist eco-whackos running the show in D.C. at this time. Until we get rid of them – we will continue to have bullshit rhetoric like this and a slow, foreign energy dependent, economy that indeed lends to national security vulnerability.
Isn’t it about time that everyone wakes up and realizes that this financial crisis we’re in lies solely on the heads of the Democrats? In particular – Barney Frank – in his own words – he planned to deregulate the banking industry.
The leftist progressives have enough ignorant sleeping Americans so snowed that they really believe the Republicans are to blame for the unfettered deregulation of our financial sector. Let’s hope as more of these videos surface – more people will wake up to the fact that the government, mainly the Democrats in bed with the financial sector, caused this problem and there is no way in hell we should allow them to try to fix something they broke.
You can go here to read the whole story.
Guest post from Vulcan’s Hammer
Remember all the ballyhoo back at the end of March regarding billions of dollars in corporate loss write-downs that companies like AT&T, Caterpillar, and AK Steel were going to have to do because of passage of ObamaCare into law? Here is a quote from the WSJ to jog your memory:
Three companies that were among vocal opponents of the legislation have warned they would see an immediate impact on their earnings as a result of the loss of deductions on tax-free subsidies they receive for providing retiree prescription-drug benefits.
On Thursday, Deere & Co. said it would take a $150 million one-time charge in the current quarter related to the loss of deductions. Earlier in the week, Caterpillar Inc. reported a $100 million charge and AK Steel recorded a $31 million charge.
Beginning in 2006, companies have received a 28% federal subsidy, up to $1,330 per retiree, tax-free, to help pay for prescription-drug coverage. Until now, companies could deduct the subsidy from their taxes, essentially getting a second benefit from the money. Under the new law, companies will no longer be able to deduct the subsidy, but it remains tax-free.
Although the changes don’t go into effect until 2013, companies say they have to take the charge to earnings now, to reflect the loss of the future tax deductions. In all, the S&P 500 companies will take a combined hit of $4.5 billion to first-quarter earnings, estimates David Zion, an analyst with Credit Suisse.
Administration officials say companies are exaggerating the impact of the loss of the deduction because of their general unhappiness with health reform.
Of course, this set Democrats aflame when they heard that these companies had the temerity to, in essence, claim outright that ObamaCare was going to cost money and not save it as Obama and Democrats had trumpeted. Enter uber-liberal Henry Waxman who quickly threatened the CEO’s of these companies with being put under the hot lights of Congress in order to explain themselves. Well, several weeks have passed, and Democrats and Mr. Waxman have quietly called off the inquisition:
Mr. Waxman has since canceled those hearings with much less dudgeon or media fanfare, and the report from his own staffers explains his retreat. “The companies acted properly and in accordance with accounting standards in submitting filings to the SEC in March and April,” they write. “These one-time charges were required by applicable accounting rules.” This may stand as the first time in history that Mr. Waxman has admitted a mistake.
Oh, those crazy Democrats. You can always count on them for loads of laughs and surprises. And lord knows that there are oh-so-many surprises yet to come from ObamaCare. More importantly, this is yet another example of an administration and a Democratic congress that will stop at nothing—even threats—to silence any iota of disagreement or dissent. Mr. Obama often complains of the lack of political comity in Washington yet his administration has a tendency to vilify opponents and assail their arguments as dishonest, illegitimate or motivated by bad faith. Unfortunately, I think this is a trait that is not going away anytime soon.
A Guest Post By Vulcan’s Hammer
The American economy is on the rebound. There are a slew of positive indicators every where we look: durable goods orders have increased for a third month, the Dow is closing in on 11,000, and best of all, the conference boards leading economic index is on the rise. All of this is as welcome as breaking sunshine after a brutal hurricane.
And as the economy edges into positive territory, we will start to hear from Democrats and liberals that the uptick in the economy has a lot to do with the economic policies of Barack Obama and his administration. We will hear more about the alleged effectiveness of the $800+ “stimulus” package, even though from what I can tell, and leaving the absurdity of “saved” jobs aside, it seems that the “stimulus” has done more to increase employment in the public sector than the currently desperate private sector. We will hear more about how all of the bank bailouts aided banks out of certain doom even though it seems that banks used most of the funds provided by taxpayers to pad their capital requirements, acquire other banks, and pay bonuses to their executives.
Meanwhile, we have the federal reserve keeping short term interest rates at historic lows as it attempts to re-inflate the economy out of the doldrums—more easy money shenanigans. Add to all of this, chairman Bernanke has been blessed with a stroke of luck as the Dollar strengthens due to the plummeting value of the Euro as it grapples with the Greek crisis. A bit of luck coupled with the seemingly right dose of economic policy certainly seems just what the economic gods ordered. Right?
I’m sorry to say that this is all a sham, my dear friends. The recent high economic-growth numberssee here.) Sadly, this is the kind of economic expansion that does not constitute genuine economic growth. What happens when all of the stimulus funds run out? Or better yet, what happens to all those employed in state jobs when their respective states (most of which are running deficits) can no longer keep their jobs going and the federal pork that has shored them up has run dry? Then what? The economic growth we are currently experiencing is not real growth. It is growth spurned on by aggregate demand thanks to Uncle Sam, his credit card, and an easy money policy from the Fed. How much faith do you have in all of that? After all, an easy money policy brought us the housing bubble and the subsequent collapse. And now the Fed is using an easy money policy to prop us up again; it’s their favorite tool to wield in a very lean tool box. for the United States, is just one more deception in a long series of deceptions that have inflicted policy makers, investors and the average American. The present economic expansion is brought about by massive government stimulus policies and their subsequent mal-investments. (If you don’t know what I mean about mal-investments,
It’s not as if we have not witnessed this sort of fiscal strategy before with its subsequent grave results: Japan practiced fiscal and monetary expansion on a massive scale since its economy entered a recession in the early 1990s, and the result? Stagflation. Before Japan, the 1970’s taught us a lesson that seems to have been forgotten as stimulus policies in Europe and the United States resulted in crippling stagflation.
Having this type of manufactured growth is very popular with politicians who portray themselves as having “done something” while targeting select groups with all sorts of high profile pork projects. And in this downturn, it’s no secret that being a union memberhas had its benefits. The Obama administration knows that the business cycle and very low interest rates, will move the economy forward into growth. (How much is anybody’s guess.) When it does, the administration will then claim that all of the programs that it initiated have been a great success. But in truth, the administration is simply kicking the can down the road past the 2012 elections. Don’t be fooled.
Fiscal conservatives should not be easily convinced by the coming arguments, no matter how much liberals drum it up; they should be ready to disabuse those that hail the heavy handed government practice of “priming the pump.” America’s economic recovery rests on glass pillars formed on unsustainable levels of public debt (bailouts, stimulus packages) and excess reserves in the banking sector, which could explode at any moment into a surge of inflation when the Fed is finally forced to raise interest rates.
So if the economy “recovers,” it would be wise to take it with a very large grain of salt and prepare for the next rounds of deluge.