If It Breaths Tax It

Clearly, it’s understandable that a such a trifling matter as new U.S. protectionist trade legislation against China passing the House couldn’t even make the pages of our major newspapers during a time when celebrity funeral chasing has become the event de jour for our national media. Our ever reliable Wall Street Journal however heretically printed,

China's central government reiterated its opposition to carbon tariff policies and said they could provoke a trade war, ratcheting up the rhetoric as lawmakers in the U.S. consider legislation to reduce greenhouse gases.

But last week, the U.S. House of Representatives passed a bill that included such tariffs in order to level the playing field between U.S. industry and foreign competitors. China's export-reliant economy is extremely vulnerable to any moves such as a carbon tax that could raise the costs of its exports. WSJ 7/03/09

The specter of exploiting ‘climate change’ to protect domestic industry looms ominously over any world economic recovery. It’s frequently appeared to me that the greatest potential for evil occurs when there’s too much consensus on any given issue. Wherever there's mass consensus, there’s always someone sufficiently keen and malevolent enough lurking to exploit it. Peace is everyone disagreeing. (Can't get enough people moving together in one direction to do any real harm). The next Great Depression might easily be the result of the legislatures in economically stagnant democratic countries agreeing that punitive tariffs on developing countries are necessary to ‘Save the Planet’. Clearly no sacrifice is too great when the future well-being of every cuddly, slimy, scaly, buzzing, photosynthesizing, growling, chirping, fornicating thing on earth is at stake. Make no mistake, a deadly cocktail comprised of record deficits, increased intrusion by government into the private sector and trade protectionism is exactly what triggered the greatest economic collapse of modern times and the consequent world war that followed*. And yes, friends, recyclers, countrymen, it could happen again.

Ronald Reagan famously said, ‘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.’ He should have added, ‘If it moves or breaths, tax it’, exhalation being a major contributor of CO2.

*One's compelled to ask oneself could they really be this stupid? Well, enlighted people paid thousands for tulip bulbs and bought condominiums with no money down on adjustable rate mortgages that hadn't been built yet with no intention of living in them and some folks walk around naked so they don't have to wash their clothes so often to cut down on the use of chemical cleaners that they use in their washing machines. Wanna really reduce your carbon footprint? Kill yourself. Maybe under national health care we'll finally get our free, organic, prescription, pain-free suicide medication. In Oregon, there's still a co-pay.

M.D.T