Economists: Green energy not a panacea

United Press International ^ | December 5, 2008

[2ndDivisionVet]

Washington, D.C. - Funding alternative energy wouldn't provide the best bang for the buck in a U.S. economic stimulus package, some economists said.

Peter Orszag, President-elect Barack Obama's chief budget adviser, wrote in January that some investments in alternative energy were "totally impractical" and others "could end up making the economic situation worse," USA Today reported Friday.

Orszag wrote his comments in January while serving as head of the Congressional Budget Office, the newspaper reported.

Economist Vincent Reinhart of the American Enterprise Institute has also said stimulus money would be better invested elsewhere.

Funding for research adds few jobs and is, essentially, "a transfer (of funds) to Ph.D. students," Reinhart said.

Obama has said he would create jobs in part by funneling money toward wind farms, solar panel projects and fuel-efficient cars.

U.S. Sen. Harry Reid, D-Nev., said the next economic stimulus bill could include up to $100 billion devoted to alternative-energy projects.

In the short-term, however, "the very best things to do" for the economy would be to increase unemployment benefits and food stamps, Robert Pollin at the University of Massachusetts-Amherst, told USA Today.

[2ndDivisionVet]

Reality bites.

[Pontiac]

Economist Vincent Reinhart of the American Enterprise Institute has also said stimulus money would be better invested elsewhere.

Funding for research adds few jobs and is, essentially, "a transfer (of funds) to Ph.D. students," Reinhart said.

This guy makes sense.

In the short-term, however, "the very best things to do" for the economy would be to increase unemployment benefits and food stamps, Robert Pollin at the University of Massachusetts-Amherst, told USA Today.

This guy is an idiot.

Increasing welfare payments and unemployment benefits simply discourages people from looking for jobs.

[Pontiac]

Obama has said he would create jobs in part by funneling money toward wind farms, solar panel projects and fuel-efficient cars.

The best way for the government to encourage the creation of new jobs is to cut corporate taxes and reduce regulations on business.

[The Duke]

Let our kids attend their neighborhood schools and we can instantly save boodles of fuel.

I guess our politics are more precious to us than "Mother Ghia"?

[Eric Blair 2084]

The one thing that conservatives and libs agree on is that it will be a happy day when sand monkeys in Saudi Arabia are stuck with oil that is worth 11 cents per barrel. (It’s not un-PC, I happen to be a camel jockey so I can say that)

Let them go back to the 16th century.

Picture Pelosi and Newt hugging. We’re all Americans. What a day!!!!!!

We just disagree on the method.

I believe as a free market capitalist that some greedy scientist/capitalist will come up with a brilliant discovery and get rich.

Libs think higher gas taxes will solve everything and convince the sheeple to save the planet or go broke.

[rbg81]

This whole Green energy craze is not ready for prime time. It will be the last nail in Detroit’s coffin when they shove it down the throats of the auto makers. That—as gas plummets to $1/gallon.

[ClaudiusI]

I wonder how the economic meltdown is going to affect the Fusion initiative...

[Rick_Michael]

“The best way for the government to encourage the creation of new jobs is to cut corporate taxes and reduce regulations on business.”

True, but in the long-run we do have to compel other nations to reduce their tariffs on our products. We have deficits with almost everyone, which wouldn’t matter if it wasn’t nearly with everyone.

[wolf78]

True, but in the long-run we do have to compel other nations to reduce their tariffs on our products. We have deficits with almost everyone, which wouldn’t matter if it wasn’t nearly with everyone.

100% free trade with the EU is absolutely possible and could be done within very few years, the problem is that the US would also have to give up trade restrictions. E.g.: Lufthansa and British Airways would want to be able to operate flights within the US or buy up their American partner airlines (like e.g. Jetblue etc.). They can't do that now.

[Rick_Michael]

“100% free trade with the EU is absolutely possible and could be done within very few years, the problem is that the US would also have to give up trade restrictions. E.g.: Lufthansa and British Airways would want to be able to operate flights within the US or buy up their American partner airlines (like e.g. Jetblue etc.). They can’t do that now.”

Not that I’m against your propostions, but where do you get the sense that the EU would make those compromises?

[wolf78]

Not that I’m against your propostions, but where do you get the sense that the EU would make those compromises?

EU tariffs on US products are not that high, the loss in revenue for the EU would be negligible. [German chancellor] Merkel suggested a free trade zone encompassing the EU and the US a year or two ago to Bush. The British would be on board, so would in all likelyhood the Poles. France under Sarkozy is moveable. It was the EU that was pushing an "open skies" agreement even if that means that currently US airlines enjoy more rights within the EU than the other way around.

Right now I see the US as the bigger obstacle to completely free trade between the two blocs.

[SunkenCiv]

thanks all.

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-sidebar-

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BBC | 12.05.08
Posted on 12/05/2008 7:55:29 AM PST by Dr. Marten
http://www.freerepublic.com/focus/f-news/2143450/posts

[RightWhale]

Peter Orszag, President-elect Barack Obama's chief budget adviser, . . . some investments in alternative energy were "totally impractical"

Improving the nation's infrastructure is another one.
National healthcare is another.
Global Warming is another.

. . .
flying cars, unbiased news, . . .