The Green New Deal Would Spend the U.S. Into Oblivion

Discussion in 'Higher Learning' started by ogc163, Feb 9, 2019.

  1. ogc163

    ogc163 All Star

    Joined:
    May 25, 2012
    Messages:
    5,026
    Daps Received:
    12,342
    Reppin:
    Bronx, NYC
    Reputation:
    1,110
    Coli Cash:
    $203.84

    Skeptics of Representative Alexandria Ocasio-Cortez’s promise of a Green New Deal were worried that the plan would be a Trojan horse for unrealistic and ruinously expensive economic proposals that have little to do with stopping climate change. The unveiling of the plan gives them more reason for worry. Ocasio-Cortez’s Green New Deal appears to take every big spending idea that has emerged on the political left in recent years and combine them into one large package deal, with little notion of how to pay for them all.



    The Green New Deal as introduced to Congress is in the form of a non-binding resolution laying out a series of goals. The wording of the resolution is ambitious, but vague. More concerning are the details of an online FAQthat appeared on Ocasio-Cortez’s website but was later taken down. The FAQ contained important details that are not included in the resolution itself. On Twitter, Ocasio-Cortez’s chief of staff, Saikat Chakrabarti, referred to the FAQ as a “bad copy,” and promised to release a revised version.

    But the original FAQ may give insight into the Ocasio-Cortez camp’s true goals. And it shows that although the Green New Deal bills itself primarily as an environmental policy and jobs program, the most expensive items are enormous new entitlements paid for by unlimited deficit spending.



    First, to be fair, it’s important to discuss the good ideas in the plan. The Green New Deal would retrofit all American buildings and factories to be carbon-neutral, electrify all transportation, and switch the entire electrical grid to carbon-neutral energy sources. These goals are highly ambitious, but they’re good targets. Ocasio-Cortez’s plan correctly recognizes that carbon taxes wouldn’t be enough to prompt private companies to do all these things on their own, and that large-scale government-funded infrastructure is required. Furthermore, a focus on scaling up clean energy would push the technology forward. That would help other countries — where most of the world’s carbon emissions are produced — to follow in the U.S’s footsteps.



    But these environmental policies, as sweeping as they would be, wouldn’t be the most costly items on the list. Among other things, the now-removed FAQ stipulates that every American would be guaranteed the following:

    1. “a job with family-sustaining wages, family and medical leave, vacations, and retirement security”
    2. “high-quality education, including higher education and trade schools”
    3. “high-quality health care”
    4. “safe, affordable, adequate housing”
    5. “economic security to all who are unable or unwilling to work”

    The plan thus appears to combine a federal job guarantee, free college and single-payer health care. Depending on how one interprets the guarantee of “economic security” to all those who are “unwilling to work,” it might also include a universal basic income — something that was mentioned in an earlier Green New Deal proposal. The guarantee of universal affordable housing is, to my knowledge, new.

    How much would these proposals cost? It’s hard to know. Senator Bernie Sanders’ Medicare for All proposal was predicted to cost about $3.2 trillion a year. Switching to renewable energy would conservatively cost more than $400 billion annually. Even though the cost is coming down as technology improves, net-zero emissions retrofits of every building in the country would be expensive — optimistically, perhaps $88,000 for a townhouse, and presumably much more for free-standing homes. Assuming $100,000 per home, that comes to about $1.4 trillion a year over a decade. Factories, office buildings, stores, etc. would cost much more per building, but there are far fewer of them — about 5.6 million. If each one costs $500,000 to retrofit, that’s about $300 billion more per year.

    For universal basic income, the cost has been estimated at $3.8 trillion a year. A narrower program that only covered, say, one out of three Americans who are “unable or unwilling” to work, it would cost about $1.3 trillion. By comparison, free college would be cheap at about $47 billion a year. Affordable housing for the entire nation could cost a lot, depending on what that means, but let’s ignore that for now.

    tax revenue, and equal to about 34 percent of the U.S.’s entire gross domestic product. And that’s assuming no cost overruns — infrastructure projects, especially in the U.S., are subject to cost bloat. Total government spending already accounts for about 38 percent of the economy, so if no other programs were cut to pay for the Green New Deal, it could mean that almost three-quarters of the economy would be spent via the government.

    And all this is assuming that repurposing essentially all of the nation’s economic resources doesn’t cause any loss in economic efficiency. History and the experiences of other countries suggest that this wouldn’t be the case.

    Most troubling, the Green New Deal’s FAQ sidesteps the question of how to pay for the plan. It simply links to two op-eds explaining so-called modern monetary theory, or MMT, which posits that deficits don’t matter all that much in the absence of inflation for those countries that issue their own currency.

    This suggests that the Green New Deal will be paid for with soaring deficits, which could be quite dangerous. The plan’s environmental spending proposals would be temporary, but the new entitlement programs would be permanent. If MMT is wrong, and if ever-expanding deficits cause runaway inflation, the result would be a devastating collapse of the nation’s economy. Hyperinflation has never happened in the U.S., but then again, neither has anything like the Green New Deal. A wholesale breakdown of the U.S. economy wouldn’t do much to arrest climate change, nor would it provide an enviable example to the rest of the world, upon whose emissions reductions the planet’s future actually depends.

    So although a big push for renewable energy is needed, the Green New Deal’s vast program for economic egalitarianism could make it unworkable. Let’s hope the FAQ doesn’t represent the final version of the plan, and the sweeping proposals for economic restructuring — especially basic income — can be dropped in favor of a tighter focus on reducing carbon emissions. But if the now-deleted FAQ represents Ocasio-Cortez’s true plans, the answer to the question of “Do you support the Green New Deal?” will have to be “No.”

    Bloomberg - Are you a robot?
     
  2. For Da Bag

    For Da Bag Superstar

    Joined:
    Dec 20, 2017
    Messages:
    11,155
    Daps Received:
    36,716
    Reputation:
    14,750
    Coli Cash:
    $500.00

    Isn't the entire article ignoring the fact that people will be working, paying taxes, and therefore keeping inflation down?
     
    #PanAfricana, A-dotty and Serious dapped this.
  3. Chef Mello

    Chef Mello Superstar Supporter

    Joined:
    May 1, 2012
    Messages:
    25,679
    Daps Received:
    43,765
    Reputation:
    3,370
    Coli Cash:
    $109852.33

    :patrice: that is a lot
     
  4. BrownSkin Intellect

    BrownSkin Intellect Love Each Other, Never Jump To Hatred.

    Joined:
    Jul 5, 2012
    Messages:
    13,492
    Daps Received:
    17,535
    Reppin:
    Bucktown
    Reputation:
    -2,750
    Coli Cash:
    $345000.00

    The green deal should only focus on green issues that affect the planet, putting other things in there is so unwise.
     
  5. hayesc0

    hayesc0 Veteran Supporter

    Joined:
    May 1, 2012
    Messages:
    33,550
    Daps Received:
    95,393
    Reputation:
    7,010
    Coli Cash:
    $220.00

    [​IMG]We will become a democratically socialist society so stay mad.
     
  6. ORDER_66

    ORDER_66 The Ningen Screenplay, & Messiah 2019

    Joined:
    Feb 2, 2014
    Messages:
    75,878
    Daps Received:
    293,466
    Reppin:
    Queens,NY
    Reputation:
    9,920
    Coli Cash:
    $239073.00

    you got $38 Billion for israel... Trillion dollars that goes missing INSIDE the pentagon, numerous black sites around the world. CIA slush fund accounts, money to develop laser rail cannons on warships...:patrice:

    but Not enough money to fix the country...:mjgrin: sounds about right...
     
    greenvale, #PanAfricana, jj23 and 45 others dapped this.
  7. King Sun

    King Sun Big Boss Supporter

    Joined:
    May 11, 2012
    Messages:
    16,171
    Daps Received:
    27,578
    Reppin:
    323,904,480,817,614
    Reputation:
    1,220
    Coli Cash:
    $381300.00

    @Barnett114 was right. Most of you dudes are running around low key like republicans
     
  8. Rhakim

    Rhakim Superstar Poster of the Year Supporter

    Joined:
    Jan 5, 2015
    Messages:
    13,602
    Daps Received:
    45,885
    Reppin:
    Inglewood
    Reputation:
    6,220
    Coli Cash:
    $304336.00

    There are multiple things being ignored there.

    For example, current health care spending is $3.5 trillion a year. If Medicare for all is $3.2 trillion, that's a $300 billion savings. Thus you'd actually SAVE money off of current health care spending. In fact, with improved health/productivity, the savings would increase.

    A jobs guarantee would lead to increased tax payments and increasing consumer spending, leading to even more taxes.

    Infrastructure changes to achieve carbon neutrality could be expensive. But every study shows that responding to climate change is more expensive than preventing it. So what's the game-plan if you're not going to do that, avoid paying a lot now but pay far more later?

    The funniest thing is complaining about deficit spending. Wake me up when deficit spending on the military and rich people's tax breaks finally becomes a concern for the right and center.
     
  9. ogc163

    ogc163 All Star

    Joined:
    May 25, 2012
    Messages:
    5,026
    Daps Received:
    12,342
    Reppin:
    Bronx, NYC
    Reputation:
    1,110
    Coli Cash:
    $203.84

    :dahell:
     
  10. MyAccount

    MyAccount Superstar

    Joined:
    Sep 27, 2013
    Messages:
    4,944
    Daps Received:
    17,205
    Reputation:
    -300
    Coli Cash:
    $315500.00

    There will come a time in the not so distant future where we'll have no choice but to spend huge amounts of money to mitigate climate change.
     
  11. FAH1223

    FAH1223 Go Wizards, Go Terps, Go Packers! Staff Member Hall of Fame

    Joined:
    May 16, 2012
    Messages:
    35,301
    Daps Received:
    82,635
    Reppin:
    WASHINGTON, DC
    Reputation:
    4,240
    Coli Cash:
    $584028.00

    That smiley :laff:
     
  12. Jhoon

    Jhoon Spontaneous Mishaps and Hijinks

    Joined:
    Jul 2, 2012
    Messages:
    13,740
    Daps Received:
    29,051
    Reputation:
    1,410
    Coli Cash:
    $331393.00

    Either you pay now or pay 4x later.

    I am the point where I’m comfortable with a sizable portion of the population no longer being here.
     
  13. Nappy Hacker

    Nappy Hacker Brain Knowledgeably Whizzy Supporter

    Joined:
    Jan 30, 2015
    Messages:
    15,014
    Daps Received:
    50,783
    Reppin:
    South Kakalaka
    Reputation:
    2,220
    Coli Cash:
    $497500.00

    Republicans are fiscal conservatives so long as you’re not starting a war or cutting taxes on the rich. We seem to find trillions to invade countries on bullshyt evidence and do it without even bothering to budget it! They just kept doing off the ledger emergency appropriations.

    Let someone mention a program that could actually help middle to working class people suddenly the calculators come out :camby:
     
  14. MeachTheMonster

    MeachTheMonster YourFriendlyHoodMonster Hall of Shame

    Joined:
    May 24, 2012
    Messages:
    40,197
    Daps Received:
    49,137
    Reppin:
    Tha Land
    Reputation:
    1,960
    Coli Cash:
    $340725.00

    Seems people only care about “spending” when it’s the poor/middle class benefitting.:ohhh:

    Frankly I don’t give a fukk how much it costs, the American middle class needs a boost bad. It’s 50 years overdue at this point.
     
  15. Skyfall

    Skyfall All Star

    Joined:
    Aug 15, 2014
    Messages:
    3,471
    Daps Received:
    12,272
    Reputation:
    940
    Coli Cash:
    $3.00

    post noah smith articles brehs
     
    ineedsleep212 and Rhakim dapped this.

Share This Page

  1. This site uses cookies to help personalise content, tailor your experience and to keep you logged in if you register.
    By continuing to use this site, you are consenting to our use of cookies.
    Dismiss Notice