The next couple months will be consumed with discussion about the Catfood Commission II, and their efforts to reach a $1.5 trillion or higher deficit package. This will frustrate any attempt to pivot to jobs. But as long as that’s known, activists and organizations can point out best practices on that committee while trying to force the conversation in a different direction. One way to do that is to consistently point out that job creation is the best and most robust way to ensure any deficit reduction, and that reducing the deficit with 9% unemployment is a near-impossibility. Another way is to point out how much deficit savings can be gained merely by engaging in the vitally necessary actions of protecting the earth from climate change. A transpartisan coalition called Green Scissors released a report today showing that $380 billion in savings over five years can be achieved by “curbing wasteful spending that harms the environment.”
Green Scissors 2011 is being released by four organizations: progressive environmental group Friends of the Earth, deficit hawk Taxpayers for Common Sense, consumer watchdog Public Citizen and free-market think tank The Heartland Institute. (For reactions from current and former U.S. House members from both political parties, please see below list of statements.)
“While all four groups have different missions, histories, goals and ideas about the role of government,” the groups write in the report, “we all agree that we can begin to overcome our nation’s budgetary and environmental woes by tackling spending that is not only wasteful but environmentally harmful.”
The groups propose cutting many fossil fuel, nuclear and alternative energy subsidies. Other targets include massive giveaways of publicly owned timber, poorly conceived road projects and a bevy of questionable Army Corps of Engineers water projects.
The report was endorsed by Rep. Earl Blumenauer (D-OR) and former conservative Rep. Bob Inglis (R-SC). The “former” in front of Inglis’ title shows what a heavy lift this will be in the tea party Congress. But it’s really a common-sense proposal, which includes canceling subsidies like $39 billion for ethanol and tens of billions for the oil and gas industry, but also hundreds of billions from ending Last In, First Out Accounting. The coalition would cut almost $50 billion in pure giveaways to the nuclear industry, including liability insurance that puts the taxpayer on the ultimate hook for any accidents. And I found the section on crop insurance interesting:
Crop insurance is quickly becoming the most expensive type of agricultural subsidy, nearly outstripping the cost of all other farm subsidy programs combined. While called “insurance,” it doesn’t operate like any form of insurance most Americans have bought. In most places, federal taxpayers pay 100 percent of the premiums for the farm’s basic catastrophic coverage while providing subsidies for additional coverage resulting in an average of 60 percent of the premium cost for private crop insurance being covered by taxpayers.
The crop insurance program is dominated by corn, cotton, soybeans and wheat, which account for about 80 percent of the subsidies provided by the program, with corn taking the lion’s share. The larger the farm, the larger the potential payout; the Congressional Research Service estimates that the biggest agricultural producers (over $1 million in sales) account for about 30 percent of the subsidy. Unlike other agriculture subsidies, there are few strings attached, so crop insurance will cover marginal land, which is often more environmentally sensitive. By guaranteeing some return, it provides an incentive to plant where odds of success are slim, but the likelihood of environmental harm is great. In addition, in 2008 the Agriculture Department lowered crop insurance costs for genetically engineered corn, particularly herbicide tolerant varieties such as Monsanto’s “Roundup Ready” corn. Such varieties encourage more intensive herbicide use; as weeds become resistant, they can trigger a dangerous cycle of ever increasing chemical use.
This costs taxpayers $30 billion over five years.
Most of what Green Scissors is going after is corporate welfare. This happens to be in the energy and agriculture sectors, but it’s broadly evident elsewhere as well. “Free market” types don’t want a free market in the industries they favor; if there were one, we wouldn’t have a deficit problem, and we would have a clear and healthier planet to boot.




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Great news!
It’s driving me crazy that the wingnuts continue to win the message battle by pretending to be fiscally responsible. Along with tax cuts to offshore US jobs and the Middle East occupations, this is a ground game that the left has to win. We have to force them to defend the oligarchs along the full perimeter of their pillaging.
Attacking on a wider front soaks up some of the excess cash they use to buy elections. It also might spur this kind of analysis on the state and local levels.
This is great. Thanks for letting us know about it, David.
Like that’s going to happen.
More importantly, the lefties continue to delude themselves by thinking that reality has a progressive bias.
It does.
But that’s totally irrelevant bc truth/reality/whatever you want to call it/ is sooo beside the point.
History shows that you’re right and wrong. The Beatles single handedly (so to say) rescued Britain from economic disaster. But it can’t happen here.
If I saw anything with as much charisma as the Beatles in the U.S. (I was a sophomore in college, 1964, when they hit the media so I remember them well), I might be of a diff opinion.
Though I would surely like you to detail the steps by which they changed anything other than the emotion composition of teens-early 20s. Not sure what they did in U.K., but in U.S. it took another 11 years, shooting of peaceful college protesters on U.S. campus, tens of thousands of U.S. soldiers, millions of VN, environmental disaster caused by U.S. in VN, to make it happen.
To make it (what?) happen?
Change in the direction we would like to see. Could be political, economic, or social. Not particular.
Would you like further explication of “change in direction we would like to see”?
“This will frustrate any attempt to pivot to jobs…”
who do you think came up with that phrase? How did they arrive at “pivot”? No one talks like that. Why not “swivel” or even the normaly used “turn” or “switch”? Did some expensive marketing research indicate to them that pivot was better? Probably.I wonder how many hours and dollars were spent on that empty, hollow, meaningless bit of Washington drivel.Are Andrea Mitchell and Wolf Blitzer and Brian Williams finding ways to use “pivot” in sentences now? It would be surreal entertainment if the consequences for all of us werent so goddamn real.
Green Scissors…I would suggests transferring all those susbdiies to renewable energy to reduce the balance of payments steadily as alternative energy grows. That way environmental impacts are reduced as well as cash bleeding liquidity out of the monetary system.
Green jobs add to payroll spending, home buying and general consumption covered by production. That also jump starts the housing recovery which reduces unemployment and coupled with a two year job program we are back to low unemployment. Tax revenues go up and deficit down.
Too much money for just that – but if you added green jobs (like building nationwide HS rail powered largely by solar and wind along the tracklines, just for one example) to the mix, this program would pay for itself ten (or more) times over, boosting the economy (and tax revenues) in the process.
Sadly, it just ain’t gonna happen – especially with Obama the DINO in the WH.
Taking subsidies and Permitting from Big Carbon will make clean energy viable on a scale needed to replace Nukes, oil and coal. There are major players including GE with capital to invest if that happens. T Bone Pickens would greatly increase wind energy. Some sunshine in these efforts.
And yes we need willing politicians. If we dump Oil we can stop endless wars and that would free up a lot of capital.
This could be either just one more bright shiny object to take our minds off the devastation that is the U.S. housing market, or it could be a major shift by a desperate White House finally desperate enough to take direct action to increase aggregate demand. This story in NYT tonight says the WH is considering allowing all homeowners whose mortgages are held by (guaranteed by) Fannie & Freddie to refinance at current extremely low rates. Louise Story & her co-writer imply that, while uncertainty is rampant, it is possible the plan will even allow refis by homeowners who are under water or who are delinquent.
There is one piece of market intelligence:
Heartland Institute is a Koch Brothers enterprise and associated with the tea party. Do we really want to trust this group?
Politics does make for some strange bedfellows.
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Now that would be the smartest thing they could do….well, ONE of the smartest things…….
But I just don’t see Obama et al that desperate to hang onto the presidency.
Can you see Mr Pay-to-Play Perry messing with anything that smacks of taking anyhting away from the “markets”?
I was thinking of “the markets” last night and what a “market really is, instead of that gambling casino in NYC where the young turks polish the balls of the bull as they walk into to place.
A “market” used to be a place where sellers had booths and customers would come to buy what they needed and wanted; produce, crafts, yard goods, etc. The booths/stalls would be set up around an agora. And what do you suppose would happen to that market if no customers showed up….day after day?
That’s right, you got it one.
then there’s this little tidbit about the damage caused to our capitol by the earthquake the other day. Olbermann and Hartmann were both thinking about it yesterday:
Did Fracking Cause the Virginia Earthquake?
I must admit, I wondered since the quake was so shallow. I wondered right off the bat.
by the way, more civilized counties like Britain have banned the practice. We, on the other hand are considering running a dirty pipeline though our most fertile lands…or used to be most fertile.
Really beginning to wonder how “smart” my species is.
SPAM!
Round-up ready corn is used in no-till operations so as it is planted the weeds are sprayed with round-up Round-up is the most enviromentally friendly chemicals on the market. It is basically dead when it hits the ground and doesn’t leach through like other chemicals. Should we return to poisoning our water with other chemicals? I think not.