Cap and Trade a Threat to American Prosperity
From “Energy Cap and Trade Threatens American Prosperity” by Daniella Markheim at the Heritage Foundation:
As the debate on climate change legislation moves forward, Members of Congress are diligently carving out exceptions and special benefits for favored groups of voters. Of course, higher energy costs will hurt all of their constituents, but Members are working hard to soften the blow for those whose political support they enjoy or need.
Of singular concern is ensuring that U.S. firms hurt by the higher energy costs that Congress itself mandates will face minimal competition from foreign companies not hamstrung by similar domestic policy constraints. Knowing that the costs associated with cap and trade will send hard-pressed U.S. consumers and producers to lower-priced imports, some legislators seem keen on trade barriers as the easy solution–thereby raising the costs of foreign products and making them less competitive in the U.S. marketplace. For these legislators, the potential risks of global warming trump all other policy concerns, including the long-term prosperity of Americans. From their point of view, if protectionism in U.S. cap and trade becomes the standard for other countries to follow–or ignites a trade war with countries refusing to trade economic growth for curbs on emissions–all the better…
