Tag Archives: Capitalism

News

How Obama’s environmentalism caused 1000 jobs to be outsourced

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Story from the Milwaukee Journal-Sentinel. (H/T Hot Air)

Excerpt:

Up to 1,000 jobs at Bucyrus International Inc. and its suppliers could be in jeopardy as the result of a decision by the U.S. Export-Import Bank, funded by Congress, to deny several hundred million dollars in loan guarantees to a coal-fired power plant and mine in India.

About 300 of those jobs are at the Bucyrus plant in South Milwaukee, where the company has 1,410 employees and its headquarters. The remaining jobs are spread across 13 states, including Illinois, Minnesota and Indiana.

On Thursday, the Export-Import Bank denied financing for Reliance Power Ltd., an Indian power plant company, effectively wiping out about $600 million in coal mining equipment sales for Bucyrus, chief executive Tim Sullivan said.

The fossil fuel project was the first to come before the government-run bank since it adopted a climate-change policy to settle a lawsuit and to meet Obama administration directives.

“President Obama has made clear his administration’s commitment to transition away from high-carbon investments and toward a cleaner-energy future,” Export-Import Bank Chairman Fred Hochberg said in a statement. “After careful deliberation, the Export-Import Bank board voted not to proceed with this project because of the projected adverse environmental impact.”

Ed Morrissey writes:

This decision won’t stop one carbon molecule from hitting the air.  In fact, it will likely make carbon emissions worse.  India will look for other vendors to supply the equipment, probably from neighboring Russia or China, as they will continue to build and operate the plant.  Both nations compete in the same marketplace as Bucyrus, but they don’t work as cleanly as the American company does, which means the end result will be lower efficiency and more pollution.

Democrats like Obama keep talking about eeeeeevil corporations that export jobs overseas to save costs rather than keep them in the US.  Well, Obama and his Congress just sent 1,000 jobs overseas — jobs Americans lost, and jobs that either Russian or Chinese workers will get instead. And instead of bankrupting this new coal plant, they just made it dirtier.  Good job!

When you attack corporations, you lose jobs. It’s that simple. Families are going to suffer for Obama’s climate change delusions. Let’s hope that the voters of Wisconsin have learned their economics lesson.

Commentary

Tim H. reviews new book on Christianity and capitalism at Rational Thoughts

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The book review is here on Rational Thoughts.

Excerpt:

Capitalism’s reputation has taken a beating in light of the recent financial crisis.  According to politicians and pundits from both sides of the spectrum, capitalism is to blame.  Not so, say Austin Hill and Scott Rae, who argue in their new book The Virtues of Capitalism that capitalism is our best bet.  In fact, according to Hill and Rae, capitalism “remains the preferred economic system, even the necessary economic system, for any society that upholds a true sense of human rights.”

Hill and Rae approach economics from a distinctly Christian perspective, showing capitalism to be both consistent with and supported by the Bible’s teachings.  Contrary to some, the sharing of goods as described in Acts does not advocate socialism.   The sharing of goods was voluntary, as opposed to forced.  Moreover, the authors show that economics itself is deeply intertwined with moral issues.  Economic conditions can act as a powerful motivator either to encourage or discourage virtuous conduct. “[B]e honest and ask yourself: Is it ever more difficult to be the kind of spouse or parent that one aspires to be, when the economy is slow and personal finances are scares? … [W]hen finances are plentiful, can the enjoyment of material goods enable a person to avoid or neglect other important areas of their relationships?  And a final question… can economics impact one’s relationship with their God.”

[…]Overall, it’s a great and easy to understand book.

Tim likes the book “Money, Greed and God” by Jay Richards better, but that’s a tougher book to read – not for beginners. I’m shocked because I didn’t figure out my worldview regarding economics until my late 20s. Tim is a high school junior. Yipes! He must have good parents.

I recommend this new capitalism and Christianity book for courting Christian women, who are usually fiscally liberal until they get married and start families. It’s only 160 pages and it should be enough to convince any horrible socialist to give capitalism a chance. I also switched to “On Guard” for courting instead of the more difficult “Reasonable Faith”, at least for a first book. No sense scaring her off with something hard right at the start.

News

If government is paying the piper, then government is calling the tune

2 Comments
Veronique de Rugy

Check out this post from GMU economist Veronica de Rugy on Big Government. (H/T ECM)

First, she puts up this chart.

Veronique writes:

On this chart we can see the changes over time in the composition of personal income in the United States since 1929. The most notable trend is the increase in the portion of personal income coming from government transfers (mainly social Security payments, unemployment benefits, food stamps, and personal and business tax credits.)  And the increase isn’t minor: the proportion of total personal income constituted by government money has grown from 0.9% to 17.2%.

Complementary decreases of wage earnings as percentages of total personal income (from 59.5% to 52.3%) are also going on.

The problem with government giving people money is that it creates a culture of dependency, as with Greece. Politicians take money from job-creating business-owners, or from productive individual workers, and they redistribute it to whiny unproductive, immature victim groups like unions, in order to buy their votes. Eventually, the government goes too far making promises and the productive people just stop or slow their working or they move away, since they keep less and less of their own money for the same amount of work and risk-taking.

And that’s when welfare checks of the losers dry up, and they have no choice but to riot and kill people. Why do they riot? Well, if they were earning their own money by working, then they would know that they are responsible for themselves, not government. They would understand that something might go wrong, and they would know that they had to cut their spending and save for a rainy day. So when things do go bad, they would have known how to live cheaply off of their savings while they find another job.

But people who take welfare don’t save – they think the money will always be there. What do they do when the taxpayers slow or stop production? They have no skills, and they have no savings. They can’t just find a new government because a new government isn’t going to find any more money from somewhere – there isn’t any left. So the only way to get their welfare back is to revolt – which is exactly what the socialists in Greece are doing right now. They’ve been spoiled rotten and they want their welfare back, like little babies crying for their mommies.

It’s sick. And this is what Obama and the Democrats idolize, because that’s how they grew up – begging their rich parents for money and bailouts for their own irresponsible behaviors. Their policies aren’t thought through – it’s just reliving their silver spoon childhoods of never having to work for anything.

Would you like to know what Republicans are like? Consider Michele Bachmann.

At 13, Bachmann was forced to become almost financially independent after her parents divorced. She used her babysitting money to buy her own clothes and lunches at school and saved up enough to purchase her first pair of contact lenses. Between college semesters at Winona State University, she took her hardworking streak to Alaska where on one memorable day she cleaned 280 salmon.

She also quit her job as a tax litigation attorney to homeschool her five kids, because she didn’t like the job the public schools were doing. Her business runs a small business, and she helped him to start it. That’s what Republicans do. We work. And we give.

We need to stop increasing the size of government so they can “take care” of all our needs. We need to take care of all our needs, and to take care of our neighbor’s needs, too. That’s capitalism. Having something to share from what you can make from your own industry and labor.