Over the next 20 years economic output will be reduced by $533 BILLION?

Question

WASHINGTON (Reuters) - A Senate bill to cut U.S. greenhouse gas emissions would raise energy prices and also reduce American economic output by more than half a trillion dollars over two decades, according to a government report released on Monday.

However, the proposal would cut into the U.S. economy and raise gasoline and other energy prices paid by consumers, according to an analysis of the legislation by the Energy Information Administration.

The legislation "increases the cost of using energy, which reduces real economic output, reduces purchasing power, and lowers aggregate demand for goods and services," the EIA said.

With companies trying to meet the shrinking emissions levels, U.S. economic output would be $533 billion lower over the 2009 to 2030 time period, the agency said.

So why would we pass legislation that will do more harm then good?

source: http://www.reuters.com/article/politicsNews/idUSN0642499120070806?feedType=RSS&rpc=22&sp=true

Answer 1

Half a trillion over 20 years really isn't that much compared to the sheer size of the economy, representing nothing more than slightly reduced growth.


Not that reduced growth is a good thing - it's just nearly as bad as it might sound.

Answer 2

As above answerer states: long term.

The current economic output is inefficient and dependent upon finite resources. By forcing companies to adhere to the reality of today, they may reform and become more efficient and effective.

Just as civilization did not arise in the plentiful forests of Northern Europe or the jungles of pre-Sahara Africa but rather in the deserts of Egypt and Mesopotamia, companies cannot be expected to innovate in a Garden of Eden, but rather must be cast out to fend for themselves in scarcity.

Answer 3

Even after we pay 533 billion, we will still be adding to the atmospheric CO2. This is not a cure to global warming. At best, it might slightly slow the warming. Will the politicians stop at a measure that does so little?

Answer 4

Survival?

Answer 5

Yes.
The Democrat Party has a Long Range Plan.
First---They destroy our country.
Then---They save it with Communism.
AND--- Democrats Rule.

Answer 6

And so it begins.

Answer 7

you bet ye, they have been wrong before.