Escaping Blame--Congress at it's Shameful Best!

Both houses of Congress escape the blame that they deserve by making false accusations about who is at fault.

I. Nowhere is this more blatant then their charges against “Big Oil”

If the price at the pump goes up, Congress yells, “Big Oil’s Price Gouging”
If there is fuel shortage, Congress yells, “Big Oil’s fault!”
If the petroleum industry makes a profit, Congress yells, “Windfall profits”

FACTS: High prices and shortages are for the most part the fault of Congress. They have failed to implement any meaningful energy policies. Congress has enacted ridiculous environmental rules which make the construction of new refineries impossible. Congress has blocked the use of vast domestic oil reserves. Congress forces the industry to blend “feel good” ethanol with gasoline to make a large number of designer blends which require special trucking for delivery.

The “Windfall Profits” to anyone who understands basic 101 economics, amount to barely more than 10% of gross revenue. The numbers are huge because the total investment is huge. If you invested $100 at 10% you would earn $10, like wise, if you invest $1B at 10% you would earn $100M. And so it is with big oil. There is nothing sinister here.

Clinton and Pelosi want to take those profits away with a “Windfall Profit Tax”. If they succeed, expect real shortages and rationing.


II. These days we hear Congress attacking the home loan industry. They are calling them crooks, thieves, predators, or worse. What did they do? They made risky loans to low income home buyers who could not otherwise make the purchase.

Now the consequences of those loans are causing a number of persons to default and Congress blames the industry.

FACTS: Congress demanded that the lending industry find a way to lend money so low income families could purchase homes. As is always the way with Congress, they never considered the down side of their actions.


III. The National Highway Safety Board reports that about 2,400 highway deaths are attributed to small cars required to meet Congressionally imposed CAFE standards. Congress blames SUV’s.

FACTS: Very few deaths in CAFÉ sized cars involve collisions with SUV’s. Most result from hitting stationary objects such as poles and trees. The laws of physics cannot be repealed by an act of Congress. People are dying because the cars are not heavy enough and don’t have enough crumple zone to save lives. And Congress is attempting to mandate through new CAFÉ standards that cars become even smaller and lighter. Estimated death toll is upward of 6000 persons per year. They could stop this carnage with a real energy policy.

The list goes on to include,
....The lack of military troop downtime
....Infrastructure expenditures
....The New Orleans levees
....Campaign financing
....Closing the Borders
....Medicare/Medicaid waste
....Etc.