# 3 February 2012

Even Some Republicans Don’t Like the House GOP’s Oil Drilling Plan

This bill, which attempts to make up for the country’s stagnant gas tax by squeezing revenue from domestic oil drilling, takes the concept of sustainability (environmental, fiscal and otherwise) and strives to achieve the opposite. Not only would it eliminate bike and pedestrian funding, House Speaker John Boehner (R-OH) has said he plans to saddle the bill with a measure permitting the Keystone XL tar sands pipeline, recently quashed by the president.

This evil plan too dumb to take seriously.

When Republicans propose a tax on domestic oil depletion as the thing to keep overbuilt roadways from naturally contracting, I say call their bluff.

Filed under [Republicans] [Taxes] [Subsidy]
# 1 February 2012
A study of coal’s effects on Kentucky’s budget in 2006 found that it contributed $528m in revenue, but its on-budget costs—training, support, repairs to the roads, R&D for the coal industry—totalled $643m. A study in West Virginia in 2009 also found the coal industry a net cost to the state.
Filed under [Coal] [Energy] [Costs] [Incentives] [Subsidy] [America] [Economist]
# 29 January 2012
If there is a major economic incentive encouraging people to do negative things (drive, accept plastic bags, buy food sweetened with high fructose corn syrup), is it easier to fight that behavior directly, or to change the incentive?
Filed under [Incentives] [Choice] [Garbage] [Autos] [Subsidy] [Cap'n Transit]
# 5 January 2012
Americans for Tax Reform president Grover Norquist had warned Republicans that eliminating the ethanol tax expenditure, without offsetting tax cuts elsewhere, would amount to a tax hike. Most GOP senators ignored him and supported the Coburn-Feinstein measure.
Filed under [Energy] [Dumb] [Ethanol] [Subsidy]
# 7 December 2011
Congress is about to let a tax break for transit riders expire while allowing an effective increase in the tax break for commuter parking.
Filed under [Autos] [Parking] [Subsidy] [Priorities] [Transit] [America] [Streetsblog]
# 15 November 2011
The grinding traffic jams on the bridge are there not because it’s such a wonderful way to get to work, but because it’s underpriced. As Eric Jaffe writes, the only way to get rid of them is to charge market rate tolls. Before you protest about gouging the poor Rockland residents, let me remind you that almost all of them moved there because they could get the suburban life for cheap. It’s cheap because we’re subsidizing their driving, but nobody ever promised them it would be cheap forever, did they?
Filed under [Tappan Zee] [Boondoggles] [NYS] [Subsidy] [Priorities] [Cap'n Transit]
# 4 November 2011
Here’s the thing about subsidies: They encourage people to do more of something than they would have under normal circumstances.
Filed under [Democrats] [Subsidy] [Spending] [Autos] [Numbers] [Streetsblog]
# 26 September 2011

Punked World

Speaking of the constitution, I’m getting a little sick of these corporate CEO knuckleheads who come on CNBC and complain that the US Postal Service is running at a loss, and therefore we should abolish it. There is actually little beyond all those post offices that holds the fabric of small town America together anymore. And anyway, delivering the mail is one of the few actual government services that is spelled out in the US constitution in no uncertain terms in Article One, Section 8. It doesn’t say the postal service must run at a profit, by the way. The food stamp program is not spelled out in the constitution and it doesn’t run at a profit. Neither does the war in Afghanistan (if you don’t count the drug money). Congress runs at a profit, but not in any way that the constitution provides for. Before long, a lot of people are going to want to abolish it.

Filed under [Government] [Subsidy] [Constitution] [Kunstler]
# 23 September 2011
But pointing out how risky venture capital is only raises the question of why the government went into it in the first place. A far better way to promote investment in clean energy would be to raise the price of the dirty sort, through a carbon tax or cap-and-trade scheme. It is the sniggering Republicans, of course, who have prevented that from happening.
Filed under [Solyndra] [Solar] [Carbon] [Pricing] [Subsidy] [Taxes] [Economist]
# 17:45
What’s keeping Congress from passing an extension to the federal budget? Democratic protection of automobile subsidies.
Filed under [Democrats] [Autos] [Spending] [Subsidy] [Streetsblog]