So Begins The Rent-Seeking


The degree to which special interests are seeking breaks and assistance in the stimulus bill should appall people of reasonable sensibilities:

Craig Silvertooth, the president of the Center for Environmental Innovation in Roofing, said he’s concerned that lawmakers have failed to include tax incentives for energy-efficient roofs using solar panels. But the geothermal heat pump industry — represented by lobbyists for one company, Oklahoma-based ClimateMaster Inc. — said it won equal footing with solar and wind companies through a 30% homeowner tax credit in the House bill for installation of a geothermal heat pump.

Lobbyists for U.S. footwear makers and retailers want lawmakers to wall off their drive to scrap import taxes on cheap shoes from a competing push to lower tariffs on all imported clothing and textiles.

The shoe lobby sent a letter to congressional leaders Tuesday asking for a stimulus provision abolishing the import tax on synthetic, fabric and canvas shoes. The American Apparel & Footwear Association, the Footwear Distributors and Retailers of America and retail footwear companies say the tax can reach 67.5%.

Once this kind of behavior commences, it is pretty difficult to stop it. Of course, the last thing we need in a recessionary economy is legislated protectionism and other such antediluvian policies but so long as Congress and the Obama Administration open the bidding to parochial interests, the chances that such godawful policies will get implemented goes up by several orders of magnitude.

“Reality-based” economics at its finest. Aren’t you glad we are giving government this much power over our lives?


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3 Comments Leave a comment

geothermal

chemjeff (Diary) Thursday, January 29th at 12:27PM EST (link)

Out of all the “new energy” technologies out there, you’d think that the enviro-nuts lobby would be the most outraged over this one. In order to use it you have to dig huge holes in your yard to install these pipes that circulate the heat transfer fluid from the pump on the surface to deep in the earth and then back again. Think of it as lots of itty-bitty strip mines. And did I mention that the fluid is corrosive? It’s a disaster waiting to happen. The technology to successfully exploit geothermal energy isn’t fully mature yet and IMO it’s a mistake to engage in large-scale subsidies for rapid development at this time. But hey when’s the last time that’s stopped Democrats?

Not ready yet...

fmaidment (Diary) Thursday, January 29th at 5:47PM EST (link)

…at least, for this country. Clearly, Iceland is using geothermal technology successfully, but then they have a relatively small (compared to the US), barren volcanic island with an even smaller population.

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Wait. What Am I missing?

Raven (Diary) Thursday, January 29th at 2:19PM EST (link)

Am I misreading something or can somebody tell me what the problem with this piece is:
“The shoe lobby sent a letter to congressional leaders Tuesday asking for a stimulus provision abolishing the import tax on synthetic, fabric and canvas shoes. The American Apparel & Footwear Association, the Footwear Distributors and Retailers of America and retail footwear companies say the tax can reach 67.5%.”

Reads to me like they are asking for an elimination of protectionism.

“If you do not have a sword, sell your cloak and buy one.”
Luke 22:36