Gasoline Prices

By Dave Lindorff

What’s wrong with this picture: Four groups invest in a company.
One group puts in a 55% investment, a second puts in a 20-35%
investment, a third puts in an 8% investment and a fourth goes in for
2%. The group putting in the 20-35% stake gets three seats on the
company’s nine-member board of directors, which will be appointing the
new company’s management team. The group investing 8% gets four board
members, and the group investing 2% gets 1 seat. Finally, the group
that will hold the majority stake in the company, 55% of the shares,
gets…the one remaining seat on the board.

Why would anyone buy a majority stake in the company and accept
only a 1/9 representation on the board, and thus virtually no say in
the selection of management or in management decisions?

7:10 p.m. ET on Thursday: Mindy Lubber from CERES is one of the speakers, formerly at EPA; also Brad Figel global director of govt. affairs for Nike formerly at Senate finance committee (holding up a "sustainable shoe" and supposedly wanting to push Congress to pass "meaningful" climate legislation this year); (Rep. John Dingell seems to be late).

7:15 Lubber wants to address global warming right away, says "financial leaders" want this, just like Greenpeace and that sort of group. Building a green economy, Lubber says, is answer to environment and economy. I agree with all of this, but there are no details on desirable legislation or citizen action. I doubt anyone in the room COULD POSSIBLY disagree with anything said, with the possible exception of the claim that a sneaker is sustainable.

7:20 Figel is selling more shoes: they now use a non-greenhouse gas for "air cushions" in shoes.

Matt Stoller is gloomy about the two most prominent policies for reducing carbon emissions and hence global warming:

One is a carbon tax, in which you put a price on carbon.  The other is called a cap and trade system, where you put an overall economy-wide cap in carbon emissions, issue carbon credits, and let groups trade the 'right to pollute'.

The carbon tax has never been viable because it would take a huge bite out of consumers and businesses. (The only way to make it viable would be to use it to replace other widely-hated taxes like the sales tax, income tax, or payroll tax.)

Cap-and-trade is being tried in Europe, and it's a fiasco

By Dave Lindorff

It’s a safe bet that within the next several months, Congress will
vote to bail out General Motors. It will be a colossal boondoggle
involving, probably, upwards of $50 billion when it’s through, and it
will fail in the end.

The reason is before our eyes. This bloated megacorporation is being run by idiots.

For years, as it became evident to everyone that oil prices were
going to soar because demand has been exceeding both production and
supply and will continue to do so, it has been obvious that to succeed,
a car company had to offer well-made cars that could demonstrate high
gas mileage. GM, perhaps more than any other company, ignored that
reality and has been paying the price, watching its share of the car
market wither.

By Dave Lindorff

What nobody in the corporate media is mentioning amid all the
blather about the $700-billion Paulson bailout proposal is the impact
it will have on the US dollar.

We are told that this huge gift to the financial sector—the
assumption, at top dollar, of all the bad debt they’ve piled up--will
be at taxpayer expense, but that’s only the half of it. (Really only
the quarter of it because since the US government is technically
bankrupt already, spending more than it takes in each year, all that
money will be borrowed, and will be added to the national debt, meaning
that just as the real cost of the $500-billion Iraq War is closer to $2
trillion, the real cost of the $700 billion bailout will be more like
$1.5-2.5 trillion.)

By Dave Lindorff

Listening to the endless stream of cars passing my house every day,
and knowing, from watching them from my mailbox, that they are almost
all carrying just one person, either commuting to work or running some
kind of errand, I know we are headed for disaster.

Two days ago, there was a report by Agence France Presse
about the ongoing destruction of the world’s remaining wetlands (60
percent have already been destroyed by man over the past century), and
how they contain within them an amount of stored carbon equal to all
the carbon currently in the atmosphere. Global warming and property
development are drying out those remaining wetlands, causing the
release of that carbon, which will more than negate even the most
radical efforts at reducing carbon emissions from power plants,
factories and automobiles.

By Dave Lindorff

In a New York Times column on Monday (“Behind the Bush
Bust”), economics columnist Paul Krugman mused on whether President
George Bush could be blamed for the nation’s economic crisis. His
conclusion was that, yes, to some extent the crisis was Bush’s fault,
but he largely lets the current administration off the hook, instead
blaming Republican policies dating back 10-15 years.

Oddly, Krugman does say that a key cause of economic problems has
been rising energy prices, but he then attributes these to “growing
demand from China and other emerging economies,” and suggests that
prices might have been at least a bit lower had the US, after 9/11,
adopted “higher gas taxes and fuel efficiency standards,” a failing he
attributes to Bush.

By Dave Lindorff

Laid-off American workers will be getting temporary extended
benefits as the nation sinks into recession, thanks to Congressional
Democrats, who cleverly tacked a funding provision onto a bill giving
the president all the money he asked for (and then some) to fund the
Iraq and Afghanistan wars on out through next June. Veterans of the
Iraq War will also be getting tuition benefits equal to the full cost
of in-state public college tuition plus $1000 a year for books and
supplies.

By Dave Lindorff

 Americans are in a panic over rising gas and heating oil prices, and with reason. For months, the price of a barrel of crude oil has been rising steadily, hitting a record $127 yesterday.

Analysts keep getting trotted out on TV and in print, attributing the dramatic price rise to everything from “peak oil”—the idea that producing countries have reached their peak of productive capacity, and that the only direction for oil supplies looking forward is down, while demand continues to rise—to increasing demand in China and India, to supply bottlenecks, to specific news events, like a pipeline break in Nigeria, or a closed refinery in California.

By David Swanson

"Jacked: How 'Conservatives' Are Picking Your Pocket (Whether You Voted for Them or Not)" is a short book by Nomi Prins that makes an excellent education for those remaining Americans who still do not understand that right-wing politicians take from those who work and give to those who live in luxury off the sweat of others.

At the end of World War II, corporations paid half the cost of the federal government. They now pay 7 percent, and many of them pay 0 percent. Unless you are very wealthy, you pick up the tab, and the tab has grown. The federal government now spends more than what it spends on everything else on the military alone, and that cost keeps rising.