Issue Position: Cap and Trade

Issue Position

Congressional Democrats are trying to ram through a massive "cap and trade" bill. Most voters do not understand what this will mean to the economy.

According to an analysis by the Heritage Foundation, the bill already passed by the House will add a "58 percent increase in gas prices, 90 percent for electricity, and 55 percent for natural gas. Cumulative higher energy costs for a household of four from 2012-2035 would reach nearly $20,000." The Heritage Foundation also predicted more than one million job losses as a direct result of higher energy costs.

Sen. John Kerry recently unveiled his cap and trade bill -- it's 1,000 pages of new regulation, taxes and income redistribution.

This bill will destroy jobs and raise taxes on hardworking families.

Rep. John Dingell, the longest serving member of the House and a Democrat, has described "cap and trade" as a "great big tax." Investor Warren Buffett, an Obama supporter, described "cap and trade" as "a huge tax...and a fairly regressive one."

Even the New York Times realizes this bill is a massive redistribution of wealth scheme. In its May 13th column, the Times wrote, "Two-thirds of allowance revenue raised by the program ... will go to households through their utility bills. Low-income residents will receive additional rebates." Why is this necessary? Because the legislation is a massive tax on energy that will cause utility rates to skyrocket.

Why is Congress trying to raise taxes and raise the cost of energy? Such a move will ripple throughout the economy, raising prices on consumer goods, groceries, transportation costs and forcing businesses to lay off workers.

It is bad economic policy under any conditions. But it is even worse in the middle of a severe recession when the nation is facing 9.9% unemployment.

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