“Big Oil certainly doesn’t need the collective money of taxpayers in this country,” said Senator Robert Menendez. “This is as good a time as any in terms of pain at the pump and in revenues needed for deficit reduction.”
It seems that The Democrats have a strategy for addressing the higher gas prices that are killing American consumers. They intend to blame oil companies and saddle them with revenge taxes. In fact, the Senate Finance Committee has plans of hauling the executives of multinational oil companies to discuss tax subsidies and government incentives at a hearing on Thursday.
The Democrats are doing this in order to deny oil companies $21Bil in tax breaks for activities such as R&D and deposit this money into the Federal Treasury. President Obama wanted the collective money of the taxpayers to build clean energy projects such as the bird-hacking windmills built by his close, personal friend Jeffrey Immelt’s GE Corporation in China.
The Senate decided that exporting the People’s Dollars to China may prove unpalatable. They intend to earmark The People’s Dollars to reduce the deficit. Stop!!! Wait one cotton-picking….
Just when in the H_ _ _ did anyone’s profit become The People’s Dollars? Collective Money! Senator Menendez, this is not The Soviet Union! – Unless, of course, by our continued reelection of people like Senator Menendez we’ve made our nation less distinct from The Soviet Union.
Steve Maley
Caleb Howe
Jeff Emanuel
Moe Lane
Dan Spencer
1913
belcatar (Diary) Monday, May 9th at 11:15AM EDT (link)Earned dollars became collective money with the passage of the 16th Amendment. It’s just taken 100 years for society to get comfortable with the idea.
Then again, I’m not comfortable with the idea, and if the Tea Party is any indication, neither are a lot of other people, so maybe it’ll take another 100 years.
Hearings? OK.
msctex (Diary) Monday, May 9th at 11:27AM EDT (link)If the Oil Companies send someone capable of providing a calm, well-reasoned explanation of the way the world actually functions, this will backfire on the Democrats like each and every other idea they have that is predicated upon their believing their own BS.
That is all it will take, because the argument is already won.
Assuming that Sen. Menedez'
Death_of_the_Donkey (Diary) Monday, May 9th at 12:10PM EDT (link)statement is referring to the elimination of subsidies to oil companies, then aren’t you in agreement. We can argue (and I would) that we shouldn’t redirect the savings from eliminating this subsidy to other subsidies, but it is hard to justify subsidies to any business, let alone very profitable ones.
It's not the oil companies who are receiving subsidies
civil truth (Diary) Monday, May 9th at 12:52PM EDT (link)Unless you agree with Sen Menendez that the the oil companies’ funds belong to the government except for what the government graciously decides gives back to them.
Subsidies are what the government pays to various “green” manufacturers (who just happen to be political allies and donors to Democratic candidates and Party), part of the our money that we pay in taxes to pay for projects that will benefit a few – i.e. income redistribution. That’s a true subsidy. That’s where our efforts need to be directed.
With the oil companies we’re talking letting them keep more of the money they earn out of the hands of government redistributionists who want to use their money to help fund the above subsidies for their competitors. That is these so-call “subsides” are actually letting the oil companies keep more of their own money – money theyt can use to funds R&D (which includes drilling for more oil) to increase supply which will reduce prices to their customers. That’s basic economics laws of supply and demand.
Higher profits are a signal that there is a supply shortage.
When you instead confiscate oil company revenues to give to someone else, the result is to restrict supply, which leads to higher prices. So in net your taking money from oil/gas customers (in the guise of reducing their “subsides”) has the effect of taxing users to pay for other pet projects of politicians.
After all, ultimately business revenues comes from customers. They don’t independently “own” their money. So business taxes essential means redistributing the money of individual buyers.
And by the way, taking away these “subsidies” will only hurt small independent U.S. oil firms, which will take away thousands of jobs and destroy many careers and businesses that employ people which strengthening the power of the “Big Oil” that these politicians like pillory to distract people from the real villains, who not coincidentally are campaign contributors to those politicians. Same old bait and switch. And the leftists and folks like you fall for the stunt time after time, year after year.
The greatest evil…is conceived and ordered (moved, seconded, carried, and minuted) in clean, carpeted, warmed, and well-lighted offices, by quiet men with white collars and cut fingernails and smooth-shaven cheeks who do not need to raise their voice. Hence, naturally enough, my symbol for Hell is something like the bureaucracy of a police state or the offices of a thoroughly nasty business concern. -C.S. Lewis
I don't think those subsidies apply to the Big Oil
belcatar (Diary) Monday, May 9th at 12:43PM EDT (link)From what I’ve read, don’t the subsidies apply only to small-scale producers who work within the United States?
I think Steve Maley (Vladimir) did a diary about this subject a few weeks ago.
I was more bothered that he singled out which companies he thought should lose them.
Repair_Man_Jack (Diary) Monday, May 9th at 12:46PM EDT (link)Next week he can send his representative over to ask them whether or not they are ready to be “more reasonable” yet.
Mr. Obama is pretending that an economic “recovery” is underway when he knows damn well that the banking system is just blowing smoke up the shredded *** of what’s left of that economy – James Howard Kunstler
Who did they support?
hendrig Tuesday, May 10th at 9:33AM EDT (link)I would guess that the companies that were singled out were ones that supported Republicans and not Democrats.
CSPAN Interview
Trouble Monday, May 9th at 1:20PM EDT (link)CSPAN recently broadcast an interview with Jack Gerard, President and CEO of the Amercian Petroleum Institute.
When asked if oil and gas companies should pay more money to cover cost of inspections and permitting processes, he responded that oil and gas companies already pay $ 85 million dollars each DAY.
A reasonable person might agree these taxes should be spent on the oil and gas business needs before funding the government give away programs.
Best wishes !
Taxing the Corporation is a euphemism for "take more money from the taxpayers"
kamaaina Monday, May 9th at 2:56PM EDT (link)Didn’t anyone ever take Economics 101? What do businesses always do with increased taxes?
They pass the tax to the consumer so they can maintain the viability of their company. If the Fed raises taxes on Big Oil then Big Oil increases their prices to accomodate the tax hike and the tax burden gets passed to the consumer.
The Dems know this but they get a chance to mask it by saying they are taxing the companies not us?!?! At the end of the day, you and I as taxpayers get to pay the penalties imposed by the Legislature not Big Oil.
If I’m going to pay more for gas, I understand the profit motive. The motive I don’t trust or understand is when people knowingly take my money and try to tell me they’re not really taking it and but what they are doing is for my benefit. If anyone else except politicians were doing this they would be considered con artist.
seems like the "DUMBING OF AMERICA"
4suramcan Tuesday, May 10th at 9:30AM EDT (link)program implemented decades ago, has really paid off. Not only economics 101 wasn’t taught, not much of anything else, either.
Dumbing or America.
hendrig Tuesday, May 10th at 9:42AM EDT (link)This is most likely why home schooling and and private schools are becoming more popular. Even the President sends his kids to private schools. I think that Jimmy Carter was the last President to send his kid to public schools and we all know how that turned out. I would be very surprised if any of the politicians in Washington sends their kids to public schools.
How the government got our money.
erp617 Monday, May 9th at 4:59PM EDT (link)In 1913, the 16th Amendment to the Constitution made the income tax a permanent fixture in the U.S. tax system . . .The withholding tax on wages was introduced in 1943.
And that’s how the government got rich and politicians started to hand out goodies so the recipients would vote for them. It worked and now more people are on the getting end than on the paying end.
a plain simple fact
4suramcan Tuesday, May 10th at 9:40AM EDT (link)that most Americans are unaware of. Further evidence of the “dumbing of America”
socialist democrats
swi2522 Monday, May 9th at 6:33PM EDT (link)high gas prices are just what the socialist/domocrats want so they can demonize the oil companies andthen try to nationalize them
all part of the plan after they collapse the dollar and the economy with QE3