From Chapter Eighteen:
Green Technology, Fuel Price Manipulation, Selective Stimulus
. . . Great Ideas Your Children Will Pay For
“Government’s view of the economy could be summed up in a few short phrases:
If it moves, tax it.
If it keeps moving, regulate it.
And if it stops moving, subsidize it.”
—Ronald Reagan
Thirty-Ninth U.S. President (1911–2004)
Thirty-Ninth U.S. President (1911–2004)
"Alas, the road to hell is paved with good intentions. Not exclusively, of course. Bad intentions also get us there quickly. However, in the case of Corporate Average Fuel Economy (CAFE) standards, carbon emissions controls, and legislating mandatory technological advances, the Obama administration is building a HOV lane to Hades. This multi-passenger-only, 100 M.P.G., zero-emissions dreamboat ride is terrible for the auto industry and even worse for your wallet!
"...In the same way the government can be an enabler to some players’ selfish interests in exchange for its own—such as unions and banks—it demonstrates an equal ability to impede automakers and the entire U.S. automobile industry overall, in order to get what it wants. President Obama’s EPA-driven increase in CAFE standards by executive order—while well intentioned—will cripple the industry.
Increasing fuel economy in the auto industry addresses 27% of all the petroleum consumption occurring in the U.S. Consequently, it is a valid concern. However, therein lies a bit of a red herring and atrocious timing.
"First, the red herring: Ten years ago, we would scrap 8 old junkers for every 10 new ones we put on the road. The impact of increased fuel economy technology back then was close to a 1:1 ratio.
25 Meaning, advances in the replacement market had an almost immediate impact..."
