The Debate About Green Jobs And Cap And Trade

I came across a thoughtful article discussing how many jobs we can expect to lose or create due to a cap-and-trade bill.

The article appeared in the most unexpected of places: a site called FactCheck.org, and it highlighted the wrestling match opponents and supporters are having on the topic.

Two sides, two dramatically divergent claims. On one end of the debate is the National Association of Manufacturers, which asserts a U.S. will cost the country 2.4 million jobs. These are projected losses by 2030.

The European Union expects 400,000 new jobs from cap and trade by 2020

On the other end is President Barack Obama and proponents of the legislation, who say 1.7 million jobs will appear. Their forecast assumes $150 billion of annual business investment in clean energy.

So who’s right?

According to the non-partisan Congressional Budget Office, slow job growth is the more likely outcome. The CBO in a September report anticipates a small decline in employment as labor markets adjust. Over time, jobs will shift from the fossil-fuel dependent industries to companies serving or taking advantage of the growth of alternative energies.

A similar assessment came from the Energy Department’s Energy Information Administration. The organization laid out several best-case and worst-case scenarios. In the best case scenario, employment grows very slightly in the early years of a cap and trade bill, but ends up down 388,000 jobs by 2030 due to the legislation.

In the worst cane alternative, 2.3 million positions will be killed by 2030 due to the bill.

The European Union’s experience with its own cap and trade systems appears to suggest more optimism. The EU anticipates the creation of 400,000 jobs by 2020, or a 30 percent increase in its renewable energy industry. Investments by convention energy companies, on the other hand, have fallen and the economy has had to live with the reduced competitiveness of higher energy prices.

Conservatives also complain that wildly fluctuating prices in the region’s $59 billion carbon trading market cause confusion. During the first years of the system, rapidly falling energy prices did truly create havoc.

However, the EU did achieve as much as a 5 percent reduction in CO2 emissions, which the Congressional Budget Office points out is important.

A strong consensus is building that the impact will be potentially serious and costly if nothing is done, the CBO says, with the viability of some economic sectors in question.

Larry Ellison On The Econony: U.S. Consumers Broke; No Recovery Ahead

Oracle chief wants to impose tariffs on goods originating from China and India

Oracle chief wants to impose tariffs on goods originating from China and India

The Oracle co-founder and CEO Larry Ellison has a dismal view on the future of the U.S. economy and sees no recovery in sight.

“Somebody said it’s going to be an L-shaped recovery: down, not coming back. I believe that,” said the software executive.

Ellison argues that the U.S. consumer is so deeply in debt that the economy will not come back at least before 5-years; during which the U.S. economy will not be the world’s engine of growth as used to be, while U.S. consumers start saving to pay off their debts.

The Oracle CEO also expects a higher tax regime to pay for some of the Obama’s administration initiatives.

“I’m surprised that there are so many huge spending programmes, like the stimulus package ($800 billion), the health-care bill ($1 trillion), cap and trade ($1 billion)… There are a lot of things that is going on right now that make me believe that we’re not going to have a rapid recovery,” adds Ellison.

Follows, is the video excerpt of Larry Ellison on the state of the economy:

Oracle CEO favours tariffs on imported goods from India and China

Ellison also explained that the U.S. should impose tariffs on imported goods along with its decision to adopt the cap and trade programme.

“Because you can’t suddenly say that energy is going to be very expensive in the U.S. which would send manufacturing overseas and without having tariffs on things coming back to the U.S. for countries like India and China who said very clearly that they have no interest in monitoring their CO2 output until they have the same per capita CO2 output as the U.S… As a results, China will be able to increase their CO2 output by a factor of 4,” adds Ellison.

Follows another video excerpt where the Oracle CEO talks about imposing tariffs on goods coming from India and China:

ExxonMobil Lobs New Invectives At Cap And Trade

ExxonMobil has repeatedly lashed out at Congresses cap-and-trade bill ever since CEO Rex Tillerson took aim at it in January.

More dire predictions from ExxonMobil, but what about success of the EU cap-and-trade system?

More dire predictions from ExxonMobil, but what about success of the EU cap-and-trade system?

The bill, passed by the House of Representatives, will create volatility in energy prices, the uncertainty of a new financial market for trading pollution allowances and a vast new bureaucracy, the company has argued

In its recent Lamp magazine for shareholders, the attacked continued.

The bill will damage the U.S. economy, add unnecessary burdens to families, and create an economic disadvantage for American companies, said the company’s Vice President of Environmental Policy and Planning Sherri Stuewer in a published interview.

By picking industries to be shielded from the costs of cap-and-trade, it could result in the loss of domestic jobs and transfer as much as $60 billion of U.S. money overseas, she added.

Further, it targets local refining, increasing the nation’s reliance on petroleum imports and endangering national security, Stuewer said.

Whew! Good thing that didn’t happen to the EU from its cap-and-trade system or it would be in hell or high water.

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