Category archives: Economics

Stimulost Update

by Family Research Council

February 10, 2009

The substitute “compromise” made cloture* tonight with a vote of 61-36. Beyond the Terrible Trio (Senators Collins (R-Me.), Snowe (R-Me.) and Arlen Specter (R-Penn.)) no Republicans voted for the measure. No Democrats voted against cloture. Senator Cornyn (R-Tex.) missed the vote, but one can safely assume he would have voted against it, and Senator Gregg abstained because he is going to be the next Commerce Secretary (I am assuming he is getting a head start on abstaining from all fiscal responsibility for the next four years.)

From the Senate: “Under the previous order, at 12:00pm tomorrow (Tuesday), the bill will be subject to another 60 vote hurdle by either waiving a budget point of order (if it is raised) or a 60 vote threshold on the amendment. If the amendment is agreed to, the Senate will then proceed to final passage of the Stimulus bill.

Majority Leader Reid also said this evening that additional votes on Executive Nominations may occur tomorrow.”

I’ve talked to several offices and between this and the David Ogden nomination Senate offices are getting swamped with phone calls - so keep them coming. It inspires those on our side and sends a strong message to those who are not.

The Congressional Budget Office (CBO) released a new estimate tonight on the “compromise.” CBO estimates that the package will cost $838.2 billion (not including interest which puts it over a trillion dollars). This is $18.7 billion more than the House-passed bill.

I also updated the greatest quotes (HERE) with the help of some FRC and Senate staffers.

*Cloture is the process by which debate can be limited in the Senate without unanimous consent. When invoked by roll call vote - three-fifths of those present and voting - it limits each senator to one hour of debate.

Senate Stimu-less? Don’t Buy It

by Family Research Council

February 7, 2009

Friend from the Hill sends the following:

On Saturday the Senate will be in session from 12:00 - 3:00 pm for members to speak and there will be no roll call votes. Also on Saturday cloture will be filed on the Collins/Nelson amendment and the cloture vote on the amendment will occur on Monday at 5:30 pm. If cloture is invoked on the amendment post cloture time will run until noon on Tuesday. At noon on Tuesday the bill will be subject to another 60 vote hurdle by either waiving a budget point of order or achieving 60 votes on final passage.

The Senate will not be in session on Sunday.

Why is Senator Harry Reid (D-Nev.) in the Senate taking so long in building bipartisan support to pass the bill instead of just passing it without Republican support like Speaker Nancy Pelosi (D-Calif.) and the Democrats in the House did? Well one, the Democrats in the Senate do not yet have 60 Members to defeat any filibuster from the Republicans and secondly, as the blog Hot Air points out, a new CBS poll shows “eighty-one percent of Americans say the stimulus bill should be a bipartisan effort. Just 13 percent think it is okay for a bill to be passed with only the backing of the Democratic majority.”

This new bill still has a good chance of passing, especially if liberal spending Republican Senators like Arlen Specter (R-Penn.), Susan Collins (R-Me.) and Olymia Snowe (R-Me.) vote for the bill. So please contact your Senators today. The phones have been lighting up so you might have to try a few times. Many of the problems we have documented (religious institutions, money to ACORN, etc.) remain in the new bill.

Some news reports are calling the new Senate legislation a streamlined bill. Mark Hemmingway over at the Corner has a list of a few of the cuts - however the bill is still full of pork and payoffs. Additionally the Senate Republican Policy Committee have sent around numbers disputing that this bill is more frugal:

Cost of deal: $780 billion

Cost of amendments added on the floor: $47 billion

Total cost of Senate bill: $827 billion

Total estimated cost with interest: $1.2 trillion

Senate bill is $7.5 billion higher than the House bill

Additionally, as Senate Minority Leader Mith McConnell (R-Ky.) points out “According to the figures I’ve been given, the House bill is about $820 billion. The Senate bill, under the compromise, we believe, would be about $827 billion. Bear in mind the interest costs on either of those proposals would be $348 billion. So we’re really talking about a $1.1 trillion pending measure.”

What Would You Buy With a Trillion Dollars?

by Family Research Council

February 3, 2009

CBO estimates that the Senate version of the so-called stimulus plan will top at least $1.1 trillion. Trying to wrap my mind around that I found some interesting figures what you trillion.jpgcould get with a trillion dollars. Some examples:

If you stack up $1,000 bills, $1 trillion would need a pile that is 80 miles high.

$ 1 trillion is more than the combined gross revenues of Wal Mart, Exxon, General Motors and Ford Motors.

Assuming the United States consumes about 17 billion barrels of oil a year and assuming the cost of a barrel of oil is about $65, a trillion dollars will buy an entire year’s worth of oil for the USA.

You could buy a thousand Queen Mary 2 with accommodations for 2,620 passengers

With a population of approximately 300 million people, you could give away $1 trillion by giving every man, woman and child in the U.S.$ 3,400 each.

We could buy everyone on Earth an iPod.

We could pave the entire U.S. interstate highway system with 23.5-karat gold leaf.

We could buy 16.6 million Habitat for Humanity houses

We could hire 1.9 million additional teachers

In my search I found a great website that helps you buy luxury and charitable items trying to add up to a trillion dollars. It was based on the spending involved with the Iraq War, but it works with out of control spending too. Here is the list I came up with:

You could buy:

8,700 Porsche 911 Turbos ($126,000 each): $1,097,940,000

New York Yankees: $1,200,000,000

New York Mets: $482,000,000

Every NFL Franchise: $8,600,000,000

Dracula’s Romanian castle: $140,000,000

1,000 60SE Lear jets ($11,595,000 each): $11,595,000,000

Denver International Airport: $4,822,000,000

10 Picasso’s (113,400,000 each): $1,134,000,000

Hard Rock Casino in Vegas: $770,000,000

Hong Kong Disneyland: $3,500,000,000

South Pacific Island of Katafanga: $38,900,000

Buy the whole world 100 cans of Coke: $650,000,000,000

Buy 50 Super bowl ads ($2,600,000 each): $130,000,000

Build 1,001 Habitat for Humanity houses (at $60,000 each): $600,060,000

Build 2,000 miles of Metro rail ($150,000,000 per a mile of track): $300,000,000,000

Build 250 hospitals in Third World nations ($41,300,000 each): $10,325,000,000

Produce your own Hollywood movie: $150,000,000

Buy the Maltese Falcon, the world’s most expensive yacht: $100,000,000

Buy 2 Napa Valley wineries ($34,000,000 each): $68,000,000

Buy 26 McDonalds’ franchises ($1,000,000 each): $26,000,000

———————————————————————————————————-

Total: $1,000,000,000,000

Try it yourself here

Speaker Pelosi’s Pork and Payoff bill updated - That’s not all folks!

by Family Research Council

January 29, 2009

When you have a huge bill like Hr. 1, the so-called stimulus bill, sometimes it takes a while for things to come out. I’ve found some updates on political pork being directed towards theporkypig.jpg author of the bill’s, Rep. David Obey (D-Wisc.), son. Also the unions are given a sweet deal and, in what could possibly be called a bailout for the porn industry, the National Science Foundation gets $1.2 billion.

Read the updated list here.

Rangel Rule: Tax Cheats Given A Pass

by Family Research Council

January 29, 2009

wesley-snipes-crazy.jpgWe have a new contender for my favorite Congressman of the 111th Congress, not sure if this is in time for Wesley Snipes though (my new nominee for Treasury Secretary):

FOR IMMEDIATE RELEASE: January 27, 2009

New Bill Would Eliminate All IRS Penalties and Interest for U.S. Citizens

Congressman John Carter to introduce “Rangel Rule” Legislation Wednesday

(Washington, DC) - U.S. Rep. John Carter (R-TX) will introduce new legislation tomorrow to eliminate all penalty and interest charges by the Internal Revenue Service against U.S. citizens. The bill is designed to provide the same treatment for all U.S. taxpayers owing back taxes as that enjoyed by House Ways and Means Chairman Charles Rangel (D-NY).

Obama May Need Environmental Waivers for Spending

by Chris Gacek

January 12, 2009

A recent Los Angeles Times article makes clear that President Obama’s enormous stimulus/spending plan may run into a huge GREEN roadblock - the nation’s environmental laws and, in particular, the National Environmental Policy Act (NEPA).  NEPA was signed into law on January 1, 1970, and as Wikipedia puts it: “NEPA’s most significant effect was to set up procedural requirements for all federal government agencies to prepare Environmental Assessments (EAs) and Environmental Impact Statements (EISs). EAs and EISs contain statements of the environmental effects of proposed federal agency actions.”  If significant environmental effects are found, the government has to propose adequate ways of mitigating the harms to be caused by the project.  Spending vast sums on construction, roadway, and other infrastructure projects are certainly going trigger NEPA reviews. 

To spur jobs Governor Schwazenegger is attempting to clear environmental hurdles to various road projects that he believes “would give the state a $1.2 billion economic boost and create 22,000 jobs over the next three years.” The Governator wants to bypass environmental objections to get the projects moving.  In doing so, he “has infuriated the Sierra Club and other groups with such proposals and with a letter he sent to President-elect Barack Obama last week asking that federal environmental reviews be waived on the highway projects.” (my emphasis)

As I read this, Schawarzenegger wants the Obama administration to waive the NEPA requirements.  California’s request here is understandable, and if President Obama wants his stimulus explosion to effect the economy quickly, the Congress, the president, and the primary federal agencies for each “action” may need to waive these laws.  Otherwise, each project could get bogged down.  As Schwarzenegger noted, ” ‘What is important here is not to have projects ready [ ] three years from now, which can happen with the environmental approvals and other kind of red tape that you go through.’”

Having some familiarity with NEPA and related laws, I was beginning to wonder how its requirements were going to be met if the Obama Administration decided to seek a crash building & spending program.  Well, the article from California makes it abundantly clear that environmental regulation of the stimulus spending is going to be a real problem that the Congress will probably have to address statutorily.

Hwt!

by Michael Fragoso

October 30, 2008

Jon Last has a fascinating article at the Weekly Standard on the depressingly sad state of the Icelandic economy-which historically hasn’t done all that bad ever since Erik the Red and his Viking cohorts settled the place a thousand or so years ago. As one might expect, inept government interventions and political posturing played very large roles in the collapse. I, for one, hope it gets better, given that Icelanders with no work or money are going to be looking for something to do. When someone descended from Vikings named “Magnusson” is looking for something to do, it’s time for some people to get worried-yes, I’m talking to you Newfoundland, Scotland, Ireland, England, and Normandy.

Straw Poll on the Issues

by Jared Bridges

October 23, 2007

The FRC Action Values Voter Straw Poll has been making lots of news, but one of the poll questions that hasn’t yet gained as much attention was question #3, which asked participants to rank the order of importance among a set of issues. Here are the results:

Please indicate which issue is the most important in determining your opinion of the candidate that you will most likely vote for?

Here’s the statistical breakdown:

ISSUE VOTES PERCENTAGE
Abortion 2398 41.52%
Same-sex “Marriage” 1141 19.76%
Tax Cuts 626 10.84%
Permanent tax relief for families 563 9.75%
Federal “hate crimes” legislation 331 5.73%
No vote on this question 181 3.13%
Taxpayer funding for abortions 151 2.61%
Prayer in schools 93 1.61%
Reinstatement of the “Fairness Doctrine” 88 1.52%
Public display of the Ten Commandments 57 0.99%
Enforced obscenity laws 54 0.94%
Embryonic stem cell experiments 48 0.83%
Voluntary, student-led prayer in schools 44 0.76%
Total 5,775 100%

Now that you’ve got the numbers, feel free to crunch away.

The Nancy Coefficient and Income Inequality

by Family Research Council

January 5, 2007

During the elections, Democrats warned about the increasing inequality in incomes. But a statistical test performed by the Census Bureau yesterday confirms that no statistically significant change in the inequality measure occurred between 2001 and 2005, the last year for which data are available.

The Census Bureau relied on the Gini coefficient, a standard gauge of income inequality, to make the determination. Perhaps they should use the Nancy coefficient the salary for the Speaker of the House ($215,700) is 4.7 times more than the median household income ($46,326).

Now thats income inequality.

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