Beginning with this post will be an overview of the Cap and Trade Bill or as it is better known in more conservative circles, Crap and Tax Bill. The Bill has passed the house , in the dark of night and right before a recess which seems to be the norm for the leftist regime currently ruling Congress. The Bill is being stalled in the Senate due to the so called Immigration Reform Bill or as is better known in conservative circles, Buying Votes for Democrats. The Bill is being presented to the American people as a Climate Bill which is a way of hiding the fact that it is a TAX BILL, pure and simple that will raise the cost to every man, woman and child in the US.
Today's post will take a look at some of the cost and the HIDDEN COST within the bill. The administration is touting the bill as costing only a small amount to each family but the true cost, just as with Health Care are well concealed.
In future post we will look at the Bill section by section and hopefully educate the uninformed on just how negatively this Bill will affect each and every person in this country. Yes, the reading may be long at times and a bit dry but it is important that we understand what is happening to America and the results that it will have on our country.
3 The resource cost does not indicate the potential decrease in gross domestic product (GDP) that could result from the cap. The reduction in GDP would also include indirect general equilibrium effects, such as changes in the labor supply resulting from reductions in real wages and potential reductions in the productivity of capital and labor.The cost of obtaining allowances would be passed into prices in most cases because that cost would raise firms’ variable production costs
9Trade-exposed industries might not be able to increase their prices to reflect the higher costs that they would face as a result of the cap. As a result, the cost of the cap might fall on workers and shareholders in those industries rather than on their customers. Correspondingly, the relief aimed at those industries (which would be linked to their level of production) would tend to offset costs that workers and shareholders in those industries would otherwise incur. CBO assumed for this analysis that the cost of complying with the cap would lead to price increases for those industries.