Among the issues most commonly discussed are individuality, the rights of the individual, the limits of legitimate government, morality, history, economics, government policy, science, business, education, health care, energy, and man-made global warming evaluations. My posts are aimed at intelligent and rational individuals, whose comments are very welcome.

"No matter how vast your knowledge or how modest, it is your own mind that has to acquire it." Ayn Rand

"Observe that the 'haves' are those who have freedom, and that it is freedom that the 'have-nots' have not." Ayn Rand

"The virtue involved in helping those one loves is not 'selflessness' or 'sacrifice', but integrity." Ayn Rand

For "a human being, the question 'to be or not to be,' is the question 'to think or not to think.'" Ayn Rand
Showing posts with label costs. Show all posts
Showing posts with label costs. Show all posts

26 June 2017

We should be glad the US is out by Paul Driessen and David R. Legates

States that claim they’re committed to Paris do nothing for the climate and ill serve their citizens

Ten states, some 150 cities, and 1,100 businesses, universities and organizations insist “We are still in” – committed to the Paris climate agreement and determined to continue reducing carbon dioxide emissions and preventing climate change. In the process, WASI members claim, they will create jobs and promote innovation, trade and international competitiveness. It’s mostly hype, puffery and belief in tooth fairies.
Let’s begin with the climate. When Delaware signed on to WASI, for example, Governor Carney cited rising average temperatures, rising sea levels, and an increase in extreme weather events. In Delaware, sea level rise is almost entirely due to subsiding land resulting from compaction of glacial outwash, isostatic response from the retreat of the ice sheets more than 12,000 years ago, and groundwater extraction.
The biggest threat to homes, roadways and wildlife habitats lies not in sea level rise – but in the effects of nor’easters, tropical storm remnants and other weather events that impact Delaware’s sand-built barrier islands. Moreover, not a single category 3-5 hurricane has struck the US mainland for a record 11.5 years.
Climate models have long overstated the supposed rise in air temperature. Recently, even alarmist scientists like Ben Santer have agreed that a warming hiatus has kept air temperatures unchanged for over 15 years, even as plant-fertilizing carbon dioxide levels in Earth’s atmosphere rose to 400 parts per million.
No trends exist in tropical cyclones, tornadoes, floods, droughts or other weather extremes. Contentions that these changes will pose health risks and threaten our economy are purely scare tactics. Climate has always changed and weather is always variable, due to complex, powerful natural forces. Insisting that these events must be caused or exacerbated by human activity reflects a denial of basic climate science.
Full adherence to the Paris Treaty by all nations would prevent an undetectable 0.3°F (0.2°C) rise by 2100 – assuming that all climate change is driven by humans and not by natural forces. This meaningless achievement, by switching to 100% renewable energy, would cost $12.7 trillion to $93 trillion by 2030.
Surely, WASI members and the rest of the world have better uses for that money than chasing climate chimeras. Paying their massive state debt, pension, welfare and retirement obligations, for instance; in developing nations, getting electricity and safe water to people and ending their poverty and disease.
But substantially reducing CO2 emissions will create jobs, won’t it? For every job these mandates and subsidies create, multiple jobs will be lost in businesses that require affordable, reliable energy. Your local or statewide CO2 emissions may decrease. But in 150+ countries that are under no obligation under Paris to reduce their fossil fuel use, emissions will increase. WASI groups may take pride in “resisting Trump,” but their actions really hurt America’s working class families, who had no vote on the matter.
WASI members California, Connecticut, Hawaii and New York already have among the worst unfunded pension liabilities. Their residential electricity prices are already outrageous: 17 cents a kilowatt-hour in NY, 19 in CA, 20 in CT and 29 in HI – versus 9 cents in North Dakota. Honoring “Paris commitments” would send rates skyrocketing to German and Danish levels: 37 cents per kWh. Expensive energy will hurt poor and minority families the most and send jobs to countries where energy costs less.
Just imagine what your WASI actions would do to households, hospitals, businesses, factories, malls and schools. How it would kill jobs and swell unemployment and welfare rolls – while creating a lot of low-pay, largely part-time jobs. Rather than producing jobs, the Paris Treaty is a job-killer for the USA.
For all these reasons, we should be glad we are out! We ask those who have told their constituents they are “still in,” How exactly will you meet your Paris commitments, and what exactly will you achieve?
How will you slash your CO2 emissions by 26-28% by 2025, as required for the USA under the Paris pact?  The United States reduced CO2 emissions by 12% between 2005 and 2015. But that was accomplished by a downturn in the economy and increased reliance on natural gas, most of which is produced by hydraulic fracturing. Will you support fracking and build more gas-fired power plants? 
Or will you build new nuclear and hydroelectric power plants to reduce your fossil fuel dependence? You cannot rely on wind and solar, as they currently account for barely 2% of overall US energy needs and the mining required to get rare earth metals, cadmium, iron, copper, limestone and other raw materials for these technologies has extensive, often horrendous environmental, health and human rights impacts.
Growing populations mean more energy will be needed. Do you expect wind and solar to grow to cover the new demand? These highly expensive technologies require vast land areas, much of it taken from wildlife habitats – and huge government/taxpayer subsidies. From whom will you take this money?
What will you get for your efforts? The cost is enormous, for minimal benefits. Higher electricity prices will affect businesses, hospitals, jobs and families in your state. The impact of 30, 40 or 50 cents per kilowatt-hour electricity will be devastating – especially for the poor, minority and blue-collar workers and families you say you care deeply about. They will be forced to choose among energy, food, clothing, shelter, health and safety. How will this serve climate and environmental justice?
By contrast, a change in global air temperature of about 0.01°F will have zero impact. That’s how much reduced warming the world is likely to see from all the sacrifices imposed by “We are still in” programs. Storms, floods and droughts are not linked to CO2 concentrations, so your actions will have no effect in these areas. Avoidance of an un-measurable increase in air temperature is simply not worth the cost.
Governors who have committed their states to this climate-centered resistance movement have done so without approval from the legislature or their constituents. How do you propose to pay for this unilateral executive decision? With tax increase[s] and soaring energy costs? How will your constituents react to that?
The “We are still in” press release proudly proclaims that its members contribute $6.2 trillion a year to the US economy. That’s one-third of the United States $18.5 trillion GDP in 2016.
Under the Paris formula, the United States is to contribute $23.5 billion per year initially to the Green Climate Fund – with the US contribution rising to some $106 billion per year by 2030, based on the same percentages. Your one-third WASI share of that would be $7.8 billion in 2017, rising to $35 billion a year by 2030. Is this part of your vaunted commitment to the Paris treaty? How do you anticipate paying that?
Can individual cities and counties opt out of your pact, and become sanctuary cities or counties, to protect their jobs and families against runaway energy costs, climate fund payments and more autocratic actions?
By deciding that their schools will stay in the Paris Treaty, college and university presidents will drive up energy and other costs on their campuses. Did you consult with and get approval from your boards of trustees, legislators, taxpayers, students and parents – or was this simply another executive decision?
Delaware gets 95% of its electricity from natural gas, coal and oil. How exactly will the University of Delaware slash its fossil fuel use and carbon dioxide emissions by the 26-28% required by Paris? How will George Mason University, with Virginia getting 63% of its electricity from fossil fuels?
Have you calculated how much this will cost? Will you make up the difference by increasing tuition? How will you compensate those who can least afford these increasing expenses? In the interest of integrity, accuracy, transparency and ethics, have you made those analyses public (if they exist)? 
Did all you “socially responsible” companies and organizations in WASI get approval from your boards of directors, shareholders, customers and clients before committing to stay in Paris? Did you analyze and discuss the likely economic and employment ramifications? Or are you the real climate deniers – denying the costs of anti-fossil fuel, renewable energy commitments, regulations, subsidies and mandates?
Finally, for the millions of voters, taxpayers, citizens, students, workers and consumers who are being impacted by “We are still in” states, cities, colleges, universities, businesses and organizations, we ask:
Are you still in with expending trillions of dollars to have an undetectable effect on Earth’s future climate? If not, perhaps it’s time you made your voices heard – and started resisting The Resistance.
Paul Driessen is senior policy analyst for the Committee For A Constructive Tomorrow (www.CFACT.org) and author of Eco-Imperialism: Green power - Black deathDavid R. Legates is professor of climatology at the University of Delaware and a former Delaware State Climatologist.

23 September 2009

Murdock - ObamaCare Costs will Float Up and Away

This is again an effort to catch up on an older article with important lessons for us all as we fight the Obama and Democrat Congress in their determined effort to replace the remains of our free market approach to health care with a 100% government micromanaged health care system.

Deroy Murdock did a review of predicted costs on 13 August 2009 for government health care programs and the actual cost as it developed over time later. Murdock notes:
According to a July 31 report from the Congressional Joint Economic Committee’s GOP staff, “major health care reform proposals have generally always cost more — sometimes significantly more — than the highest cost estimates published while the legislation was pending.”

As Congress debated the launch of Medicare in 1965, the House Ways and Means Committee calculated that Part A, the hospital entitlement, would cost taxpayers $9 billion in 1990. In fact, that year’s outlay was $67 billion, outpacing forecasts by 744 percent.

In 1967, Ways and Means predicted that the entire Medicare program would cost the Treasury $12 billion in 1990. Actual expenditure: $110 billion. That is 917 percent more than projected.

Congressional number crunchers reported in 1987 that Medicaid’s Disproportionate Share Hospital payments (cash for medical centers that primarily serve the poor and uninsured) would be about $1 billion, just five years later. In 1992, thanks to loopholes that states exploited to milk Uncle Sam, this narrow program exploded to $17 billion, 1,700 percent beyond what taxpayers were told to expect.
He goes on to note that the ObamaCare-like Massachusetts Commonwealth Care, launched in 2006, was supposed to cost $472 million in 2008, but it actually cost $628 million, an increase of 33%. The 33% increase is my calculated number, since Murdock's number is mistaken. The demand for such government programs is usually much underestimated, though a desire to get programs enacted clearly causes government's to systematically underestimate costs.

This is clearly illustrated by the Obama administration's suppression of the real cost per family of Waxman-Markey carbon cap and trade as the free initial carbon credits stop being free. Obama claimed a cost of $700 or so per family when the program is scheduled to cost more than $1761 per family in a few years time according to government estimates. The Heritage Foundation believes the cost will more realistically average $2,979/ year from 2012 to 2035!

Of course,
government lacks the profit motive, which generally forces private-sector managers to control costs, lest they get fired. Government bureaucrats lack such accountability and rarely get sacked. And when federal expenses zoom into the heavens, Congress orders a fresh round of greenbacks to be spent, which the Treasury obligingly prints.
To which I will add this observation. When a government program grows, there are rewards for the program managers in increased influence, power, and perhaps pay. The incentives to manage costs are not only not there, they are replaced by incentives to spend more and more of the taxpayers' money. This is a phenomena particularly apparent near the end of a fiscal year when equipment, supplies, and furniture purchases are madly made under the philosophy of "use it or lose it."

Murdock observes that the IRS says this fiscal year's individual income tax revenues are down 20.5%, while corporate tax revenues are down 58%! In July, the fiscal year 2009 had overall tax receipts $354.2 billion less than at the same time in fiscal year 2008. Then there is the truly mind-boggling fact that Social Security taxes paid in 2009 are only $19 billion, rather than the $87 billion they were predicted to be this year only last year!

But, no shortage of government tax revenue should be allowed to interfere with the advancement of socialism! No, this is a one-time opportunity for the socialists, who control the presidency and both houses of Congress, for the first time in many years and with the most socialist of all Democrats in all the key posts! They are determined to do as much mischief with this opportunity as possible and there is nowhere they want to do that mischief more than to our medical care. We must fight for our lives, or we will soon be running for our lives, especially those of us who are elderly.

20 April 2008

The Cost of Public Schools

Today I mean the cost in tax dollars to support public schools, not the cost in ethical relativism, ignorance, group think, and propaganda devoured. Andrew Coulson of The Cato Institute did some looking into the numbers for the Washington, D.C. public school system. Through the last couple of years I have seen the cost per student given commonly in the range of $9,000 to $12,000 something. He states that the most commonly cited figure is $8,322 per student now. Why do these numbers vary so much? Well, it turns out that it is because it all depends on how much the school system decides to hide from the public.

Coulson found that for K through 12 in 2007-2008, the local operating budget is $831 million, the capital budget is $218 million, federal funding is $85.5 million, and the D.C. Council kicks in an additional $81 million. There are 49,422 students, some of whom, on a given day, actually come to school. Divide this number into the sum of the annual funding and the cost per student is found to be about $24,600, which is rather a bit more than $8,322.

I have heard many discussions about how it is difficult for private schools to take on the education of a child for about $8,322 per year, so they could not take over the public school burden of education. But.......the story is clearly very different when you realize that the public schooling cost for a virtual non-education is on par cost-wise with the very elite private school, Sidwell Friends, that Chelsea Clinton attended. Would any sane person actually send their child to the dangerous and dilapidated D.C. public schools rather than an elite private school? No!

It clearly makes much more sense just to provide parents with a scholarship voucher to use on the school of their choice. Sure, the amount on the voucher may be less than $24,600 per year per student, allowing one to save considerable money for the poor beleaguered taxpayers. Florida's McKay Scholarship program provides money for special-needs children and the average scholarship for 2006-2007 was only $7,206. Sure, the cost of living is lower in Florida, but special-needs education is more expensive to deliver than general education. It is clear that private schools are now available to do a better educating job even at a cost of $12,000 to $15,000 per year per student in even the D.C. area. Many new schools would soon arise to meet the need if parents were given such scholarships.

The quality of the education in D.C. schools is indecently poor. This school system is awash in bureaucracy, inefficiency, and out-right corruption. Parents should be allowed to put it out of business or force it to meet the competition. The fantasy that this public education is free and that it even is education, must be challenged. The forces enforcing its monopoly on the education of our young are truly evil. Those forces include egalitarian socialists and the teacher's unions.

Neither is interested in the individual student learning to think for himself.