Democrats’ New Energy Bill Would Kill 5 Million Jobs
by Matt Margolis on November 14th, 2007 at 01:27pm
According to an independent study by CRA International:
Energy legislation pending in Congress likely would have significant adverse effects on the economy and consumers – including nearly 5 million lost jobs and $1 trillion in lost economic output, according to a report released today by API.The study, prepared by CRA International and commissioned by API, found that the combined effect of seven legislative proposals would restrict the supply of energy available to the U.S. economy and would likely increase the cost of energy supplies to consumers and businesses.
“This legislation would put consumers in a squeeze,” said W. David Montgomery, a vice president and co-head of CRA’s energy and environmental practice. John Felmy, API’s chief economist, said: “This study points out the folly of energy legislation based on taxing the oil industry and raising the cost of energy to consumers.”
Higher energy costs likely would reduce total consumption, employment, investment and economic output, the study found. In addition, the study also found that by 2030: Economic output likely would decline 4 percent, or more than $1 trillion; non-farm job losses caused by higher energy costs likely would result in nearly 5 million lost jobs, and households likely would suffer about a $1,700 reduction in real income.
API is the industry’s national trade association that represents all aspects of America’s oil and natural gas industry. CRA is a worldwide leader in providing economic, financial and management consulting services.
A PDF of the Proposed Energy Bill Study Report is available here.
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November 14th, 2007 at 1:53 pm
forcasting effects out to 2030…then drawing conclusions? in the energy sector?
ahuh, right.
November 14th, 2007 at 3:11 pm
Wow. Orrin, you are correct. You really have to read the full post to see that headline written by Matt is… shall we say… just a tad misleading???
For those of you who just take Matt’s headline as fact, read the full thing.
“…the study also found that by 2030: Economic output likely would decline 4 percent, or more than $1 trillion; non-farm job losses caused by higher energy costs likely would result in nearly 5 million lost jobs…”
All I can say is WOW. The headline should be… “What BlogsForVictory Bias Part XXVIII”
November 14th, 2007 at 3:48 pm
Yeah, the report leaves out the fact that regulations create incentive for R&D, which would make output cheaper and dampen the effect of this bill… But Chicken Little just has to prattle on…
November 14th, 2007 at 4:22 pm
“Bush has declared his support for permanent normalized trade relations with China. He said American farms and businesses would benefit from freer access to China’s markets, even as the causes of human rights and democracy in China would be served by more exposure to American products and ideas.”
BAUER [to Bush]: I will stop allowing China to play us for suckers. We’ve given them Most Favored Nation status 10 years in a row. They dump their goods here. And Iowa farmers are selling less to China now than they did 10 years ago. The time of them playing us for suckers will end in my presidency.
BUSH: I’m glad you brought it up. You’re not for China getting into the WTO. I am. And let me tell you something-the amount of corn that’ll be moved if China gets in the WTO will rise from 250,000 metric tons, to 7.2 million metric tons. Opening up Chinese markets is good for our farmers.
BAUER: Governor Bush, here’s your fallacy: You believe the Chinese government will keep their agreements. They haven’t kept their agreements for 20 years.
BUSH: That’s why we let them in the WTO. That’s part of agreement keeping.
BAUER: That just gives them another agreement to break, Governor.
–Source: (cross-ref. from Bauer) Des Moines Iowa GOP Debate Dec 13, 1999
George W. Bush: “I think it is to the advantage of U.S. producers and to the country to have admitted China to the World Trade Organization.”–1999
U.S. starts legal action against China at WTO over subsidies (Bloomberg News, Reuters, The Associated Press, Published: February 2, 2007)
WASHINGTON: The United States on Friday started legal action at the World Trade Organization against a wide range of Chinese subsidies, saying that efforts to resolve the issue bilaterally had failed.
* * *
All this preferencing the question, how many jobs have been lost since George W. Bush became our leader?
November 14th, 2007 at 4:26 pm
Just thought I would point out that the report was commissioned by API Energy.
as in… “American Petroleum Institute”.
Amazingly enough, they don’t like the Democrat’s Energy Bill.
November 14th, 2007 at 4:31 pm
Who is ‘CRA’ and ‘API’? Who are they and where does there funding come from? You can’t just quote sources that might just be funded by the energy industry. I decided to google CRA and found out they represent energy and resources companies such as Cheveron, China Light & Power and chemical manufacturers among hundreds of other energy, chemical and resources companies around the world. So your headline is a sham as is the so-called report. Funny the ‘report’ sides with the corporations that pay them to do the report. I hope the people that read this site aren’t dumb enough to believe this ‘industry’ generated tripe. This is nothing more than a propaganda site for corporations. Which are of course being propped up by Bush and the GOP. When are you people going to wake up and champion your own interests above those of large corporations? The GOP exists to shill for and give large multi-national corporations control over our lives. They don’t give a rats ass about you. They lie, cheat, steal, pollute and poison the public with reckless abandon. If your kids die, so what! If it makes them a buck, fine by them. Check out http://www.crai.com/ourclients.asp?letter=C and see for yourself.
November 14th, 2007 at 5:59 pm
And the trolls are out in force. Didn’t take long.
November 14th, 2007 at 6:33 pm
What do you get when you add CRA+API? Oil is the new god.
November 14th, 2007 at 8:14 pm
kjs,
Don’t you find it a bit disingenuous of Matt to say that this will lose 5 million jobs without also saying that is and estimate by the year 2030?
Or don’t you really care about that?
Instead just a snide comment about “trolls out in force”. I thought this site might be about some debate, but I guess not.
November 14th, 2007 at 8:54 pm
Democrats and their environmental extremist allies have blocked drilling for America’s oil and expanding America’s refineries!
Democrats have blocked drilling in ANWR which it is estimated could produce 735,000 to 1,000,000 or more jobs for Americans in all 50 states and the District of Columbia, plus billions and billions of dollars in revenue to the state and federal government. It would permit trillions of dollars to remain in America, to create and pay for American jobs, to support American companies, and to fuel America’s economy — rather than supporting the economies of other nations, including our enemies!
Democrats have blocked drilling for America’s oil off our coasts and in the Gulf of Mexico — while China, Mexico, and others drill in the Gulf and discover vast new oil reserves to sell to Americans. Using slant drilling, they can even remove more oil that could otherwise be produced by American companies, providing more American jobs and taxes, and fueling America’s economy!
Not only do Democrats block access to America’s oil, sending millions of American jobs to other countries, along with trillions of American dollars, but now, Democrats want to cut even more millions of American jobs, send more trillions of American dollars to other countries, and raise the cost of oil, gas, and energy even higher!
According to the AP, the leading Democratic presidential candidates are united on the government’s Yucca Mountain nuclear waste storage plan: They’d scrap it. Democrats oppose drilling for our own oil, producing oil from our own oil shale, and using our own coal. Do they also oppose America’s nuclear energy?
Do Democrats support anything other than more restrictions and higher and higher taxes, leading to higher and higher costs to the American consumers? Apparently NOT!
Do you like paying these high oil, gas, and energy prices?
THANK the DEMOCRATS!!!
AAR
November 14th, 2007 at 8:58 pm
“Don’t you find it a bit disingenuous of Matt to say that this will lose 5 million jobs without also saying that is and estimate by the year 2030?”
He quoted the source in his blog post that says that.. so how can you say it was disingenuous. If he cut that part out, you may have had a point, but the worst thing you could accuse him of is making an attention-grabbing headline.. which happens all the time in the media and in blogs..
Why waste so much time arguing over the damn headline?
November 15th, 2007 at 1:39 am
[...] Brand new name, same old morons! Over at the newly created “Blogs for Victory, Matt “Noonan is Here to Make Me Look [...]
November 15th, 2007 at 10:25 am
UN IN TEND ED
CON SE QUEN CES
Yet another superficial feel-good bill put forth in the new Dem version of bread and circuses. “Gas prices are high, so let’s slam the producers!” say the dem “leaders” and the masses cheer.
Reading the totally predictable knee-jerk reactions from the Usual Suspects reminded me of a Boston Legal show I happened to waste a few minutes on a few weeks ago. In this show, Candice Bergen used the pretext of entertainment to deliver a stereotypical Leftist rant against—you got it—OIL COMPANIES.
She explained, with total conviction, and as if she had any real knowledge of the subject at all, that of COURSE no oil company could POSSIBLY be interested in finding new sources of energy.
It was nauseating.
A couple of years ago I was listening to a radio show in which a man was discussing a new technology which could produce pure light crude oil from, as he said, “turkey guts”. Naturally, the trolls started to call in, saying OF COURSE this would be blocked by the oil companies.
And the speaker said no, the exact opposite. That the exploration for and recovery of underground petroleum reserves is the most expensive and most risky part of the oil companies’ business, and if they could find an ongoing source of pure light crude, which required less investment in expensive drilling rigs and the other astronomical expenses of drilling for oil, they would be thrilled. They make most of their money in the refining and marketing of finished product, so of course they would support research into finding a better way to produce the raw material.
It made complete sense to the brighter of the listeners, but the regular trolls would have none of it—their belief system would not allow them to accept anything that was not in the Lefty Bible and ’splained to them by Ranty Rhodes.
The big oil companies have seen the writing on the wall. They know that the world will be moving beyond today’s model of pulling raw material out of the earth, at great expense and risk and even physical danger, and they are determined to be in the forefront of advances made.
The biggest of the companies are already moving into wind and solar energy R&D, as well as researching alternate ways to power internal combustion engines. They are promoting ethanol and biodiesel development.
Mike Rosen, of KOA radio in Denver, says it best: “Today’s problems will be solved by tomorrow’s technology.”
But the neanderthals of the world will not look forward, only back, and concentrate on punishing those they have had labeled as the enemy instead of working on solutions.
And they steadfastly ignore what those demonized oil companies put INTO our economy. How many dollars in tax revenue come directly from those companies? How many people do they employ—that is to say, how many billions of dollars do they put into the economy through the money they pay their employees? How many dollars in tax revenue come through those employees? Not only income tax, but property tax, sales tax, vehicle registrations tax, and so on. How many homes are purchased by those employees? Cars, trucks, refrigerators, computers, television sets?
The absolute insanity of acting like the oil companies are a drag on the economy, like they are an enemy that needs to be controlled, reined in, punished—-it boggles the mind. Not to mention the “logic” which seems to think that if oil companies have to pay more for production costs and fines and fees or whatever else the radical anti-capitalist Left has in mind, it can somehow lower the end cost to the consumer.
Which is why putting Dems in charge of the economy is sheer folly.
November 15th, 2007 at 10:35 am
Joe and andy, direct from Troll Central, whine about the source of the article, and go to great pains to point out that the research was done by people connected with the petroleum industry. AS IF there was any effort to hide that.
I was able to actually read the article and process the information, so maybe that is why I was able to read and understand the final paragraph of the thread post:
“API is the industry’s national trade association that represents all aspects of America’s oil and natural gas industry. CRA is a worldwide leader in providing economic, financial and management consulting services.”
Maybe tomorrow they can collaborate on an expose about the sun rising in the East. Breaking news!!
BTW, andy’s hysterical anti-conservative, anti-capitalist rant provides a clear signpost to his orientation: “….lie, cheat, steal, pollute and poison…” They’ll even kill your kids for a buck. Of course andy, as a true-blue evangelical BELIEVER in whatever pap he buys into (all we know is that it is hate-based and focuses to a great degree on the Evil Satan of Corporations..) avoids all of the tainted product of the Enemy—well, except for his corporation-build computer, and his dependence on the corporate structures of the internet, and his corporate-built house, the food he buys from a corporate-owned market, provided by (gasp!) corporations, etc etc etc. Wonder if he drives a car—maybe he built that bicycle he must ride with non-corporate polluted materials.
Bet he doesn’t even know what a corporation IS. Not that that would even slow down a dedicated mouth-breather …
November 15th, 2007 at 1:08 pm
Almiranta- You said you heard on talk radio,(not the most reliable source), about the tutkey guts for oil plan a few years ago. The Looney Lefties said the oil co.s would never go for it. Well I still haven’t heard of any turkey oil refining plants even in development, but near Phoenix our benevelont oil co.s are building the most advanced oil processing facility possible incorporating every advance in energy conversation possible. A good thing!
However. oil co.s are in the oil business so they’re not too interested in alternative sources, so drilling is always their answer.
Insult away, thats what this site has been the best at, but please try to find some new zingers. Mouth breathing neandrathals libural is so late 1900’s.
November 21st, 2007 at 4:45 am
petroleum refining industry
Man i just love your blog, keep the cool posts comin..
November 26th, 2007 at 8:06 am
hi
nice
November 30th, 2007 at 11:28 am
Local Jobs Guide
I couldn’t understand some parts of this article, but it sounds interesting