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Another Garnaut Classic (Read 1211 times)
BatteriesNotIncluded
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Another Garnaut Classic
Mar 30th, 2011 at 9:45pm
 
Lefty E says:
March 30, 2011 at 7:01 pm

Loved Garnaut’s comment today re the climate debate “we need to be a little less tolerant of bullshit… our airwaves are dominated by people who actually don’t know much about this. Thats a really big problem for out democratic polity”

source: http://larvatusprodeo.net/2011/03/27/minchins-junk-science/#comment-272867

comment 97
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*Sure....they're anti competitive as any subsidised job is.  It wouldn't be there without the tax payer.  Very damned difficult for a brainwashed collectivist to understand that I know....  (swaggy) *
 
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mavisdavis
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Re: Another Garnaut Classic
Reply #1 - Mar 31st, 2011 at 3:53am
 
IOW, anyone who doesn`t follow Guano`s speil is a liar.  Typical! Cheesy
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mozzaok
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Re: Another Garnaut Classic
Reply #2 - Mar 31st, 2011 at 4:02am
 
The point he is making is pretty simple, those who "champion" denialism are working from totally, discredited information, and they do so knowingly, and wilfully.

That is why I use the term denialist, rather than skeptic, as these people are not questioning the science, as they claim, they have no desire for further inquiry to illuminate the facts we already know, they are simply proffering a ridiculous alternate theory with less validity than the creationist nutcases.

They receive more attention than they deserve, and demand respect for regurgitating known lies, and while I strongly support any honest skepticism, I abhor this politically motivated, and rooted movement which seeks to demonise science and knowledge, in an almost inquisition like fashion.
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OOPS!!! My Karma, ran over your Dogma!
 
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chicken_lipsforme
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Re: Another Garnaut Classic
Reply #3 - Mar 31st, 2011 at 7:23am
 
BatteriesNotIncluded wrote on Mar 30th, 2011 at 9:45pm:
Lefty E says:
March 30, 2011 at 7:01 pm

Loved Garnaut’s comment today re the climate debate “we need to be a little less tolerant of bullshit… our airwaves are dominated by people who actually don’t know much about this. Thats a really big problem for out democratic polity”

source: http://larvatusprodeo.net/2011/03/27/minchins-junk-science/#comment-272867

comment 97


That's good coming from a beancounter.
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"Another boat, another policy failure from the Howard government"

Julia Gillard
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nichy
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Re: Another Garnaut Classic
Reply #4 - Mar 31st, 2011 at 8:08am
 
chicken_lipsforme wrote on Mar 31st, 2011 at 7:23am:
BatteriesNotIncluded wrote on Mar 30th, 2011 at 9:45pm:
Lefty E says:
March 30, 2011 at 7:01 pm

Loved Garnaut’s comment today re the climate debate “we need to be a little less tolerant of bullshit… our airwaves are dominated by people who actually don’t know much about this. Thats a really big problem for out democratic polity”

source: http://larvatusprodeo.net/2011/03/27/minchins-junk-science/#comment-272867

comment 97


That's good coming from a beancounter.



And, until recently, chairman of Lihir and Ok Tedi mines in PNG with their history of environmental vandalism of monumental proportions.

Very lucrative positions for Chairman Garnaut.

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"He who does not value life does not deserve it." -- Leonardo da Vinci&&&&
 
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nichy
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Re: Another Garnaut Classic
Reply #5 - Mar 31st, 2011 at 12:13pm
 
http://brookesnews.com/greens/garnaut-and-gillards-carbon-tax-plan-is-an-impending-disaster/


Garnaut and Gillard’s carbon tax plan is an impending disaster
Gerard Jackson
Monday 21 March 2011

Professor Ross Garnaut’s call to cut income taxes by $5.75 billion for low and middle income earners is an indirect admission of the ghastly costs of Julia Gillard’s destructive carbon tax. It is also an admission of Garnaut’s commitment to the tax that should raise serious questions about his economic competence.

He wants what he calls a carbon price to be fixed at $20 to $40 a tonne, after which there would be a compound increase of 4 per cent a year. (carbon tax or carbon price: it is a distinction without a difference.) It is estimated that a tax of $26 would bring in about $11.5 billion in 2012-13. Not only does the tax raise more revenue for Labor politicians to feed on it also compensates the victims while raising the level of productivity. And it is able to do all of this even though, according to Garnaut, “the economic impact” will only be “moderate”. The only thing it doesn’t do, apparently, is turn stone into bread.

(What baffles me is how a professor of economics can seriously claim that a government can raise real wages for everyone, which is what rising productivity does, while implementing polices that reduce the size of the capital stock, which is what Garnaut’s precious carbon tax would do. Even more baffling is the fact that no  one else has point this out.)

But if the impact of the tax is moderate why would it cause, as Professor willingly Garnaut admits, a “large scale loss of livelihood as a result of” its implementation? And how does a tax policy that has such severe economic and social consequences create a situation where “middle income earners will be better off directly as a result of these arrangements”? The answer is simple: their forced sacrifice will save the planet for future generations. And I kid you not.

cont.....
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"He who does not value life does not deserve it." -- Leonardo da Vinci&&&&
 
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nichy
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Re: Another Garnaut Classic
Reply #6 - Mar 31st, 2011 at 12:14pm
 
Gerard Jackson
Monday 21 March 2011

Professor Ross Garnaut’s call to cut income taxes by $5.75 billion for low and middle income earners is an indirect admission of the ghastly costs of Julia Gillard’s destructive carbon tax. It is also an admission of Garnaut’s commitment to the tax that should raise serious questions about his economic competence.

He wants what he calls a carbon price to be fixed at $20 to $40 a tonne, after which there would be a compound increase of 4 per cent a year. (carbon tax or carbon price: it is a distinction without a difference.) It is estimated that a tax of $26 would bring in about $11.5 billion in 2012-13. Not only does the tax raise more revenue for Labor politicians to feed on it also compensates the victims while raising the level of productivity. And it is able to do all of this even though, according to Garnaut, “the economic impact” will only be “moderate”. The only thing it doesn’t do, apparently, is turn stone into bread.

(What baffles me is how a professor of economics can seriously claim that a government can raise real wages for everyone, which is what rising productivity does, while implementing polices that reduce the size of the capital stock, which is what Garnaut’s precious carbon tax would do. Even more baffling is the fact that no  one else has point this out.)

But if the impact of the tax is moderate why would it cause, as Professor willingly Garnaut admits, a “large scale loss of livelihood as a result of” its implementation? And how does a tax policy that has such severe economic and social consequences create a situation where “middle income earners will be better off directly as a result of these arrangements”? The answer is simple: their forced sacrifice will save the planet for future generations. And I kid you not.

Those who support this economic insanity argue that tax cuts will cushion the effects of the carbon tax while providing funds for the development of solar energy and wind power. Now our Professor Garnout is something of a sly dog. Although he doesn’t mention solar or wind in his update paper he does say that he favours “short to medium term support for innovation in low-emissions technologies”. This is code for subsidies for solar energy and wind power, so-called alternatives he has praised elsewhere.

However, the insurmountable natural and economic obstacles to these alternatives make it impossible for them to replace centralised power stations. It’s true that he has suggested gas as an alternative to coal, but if he were serious he would never have recommended subsidies for the greens’ phony alternatives. My suspicions were confirmed by Combet’s statement that “Professor Garnaut’s paper supports” the Labour Government’s so-called “clean energy future”. One should never lose sight of the fact that the greens’ intermediate objective is the destruction of centralised power generation. This is why they oppose not only coal and nuclear but also gas and hydro. The green alternatives are so grossly inefficient that a so-called “clean energy future” would result in famine prices for energy. Unfortunately, both Gillard and Combet are too stupid to see it.

Many defenders of the tax appear fixated on compensation as a solution to its costs. They are deluded and Garnaut’s tax cut proposal is only feeding their delusion. While recognising that the aim of the tax is to reduce the output of Co2 (a nutrient and vital part of our existence that Professor Garnaut deliberately libels as a pollutant) they fail to see that revenue from the tax must eventually fall. This means that other taxes would have to rise if a revenue neutral regime was to be maintained.

In fact, the revenue neutral policy would have to be dropped in favour of increased government spending because the demand for social services would explode as the destructive effects of the tax made themselves felt throughout the economy. Expecting tax cuts or subsidies to compensate for an energy shortage created by closing down power plants makes as much sense as arguing that subsidies can cure a famine caused by the destruction of agriculture. In other words, if the means to produce the energy have been destroyed no amount of tax cuts can make them magically reappear.

.............
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"He who does not value life does not deserve it." -- Leonardo da Vinci&&&&
 
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nichy
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Re: Another Garnaut Classic
Reply #7 - Mar 31st, 2011 at 12:15pm
 
Focusing on money costs is the approach of an accountant. The real costs are opportunity costs, the loss of capital and output — not to mention the draconian drop in the standard of living — that a carbon tax would cause if allowed to go unchecked*. Yet critics of the tax persist on drawing attention only to the alleged dollar costs of the tax. That an accountant would do this is to be expected: that an economist does it is unforgivable. The result may very well be that Garnaut and Gillard will be able to persuade enough people that subsidies and tax cuts will save them from rising energy costs.

The real costs (opportunity costs) are literally incalculable. According to the greens the effective way of slashing Co2 is to shut down our coal-fired power stations. And they are right, something that Garnaut fully understands. It goes without saying that this policy would literally shut down the economy as well. But as Bob Brown admits, a “steady state economy” is central to green thinking. In such an economy there would be no room for an industrial society or a resources sector for according to Brown pulp mills, zinc mills, aluminium smelters, mining, logging etc., are all “dinosaur industries”. Any sensible person would immediately recognise that closing down these energy intensive industries would kill Australian manufacturing.

Julia Gillard is so dense that she really believes that those “welders and steel workers” whose high-paying jobs she intends to destroy will find better positions in the building and maintenance of “large-scale solar power plants.” That power stations are built not to maximise jobs but to generate electricity at the lowest possible cost is apparently far too simple for her to grasp. The Spaniards implemented the same policies with disastrous economic consequences for their country. First and foremost, what raises real wages for everyone is capital, the material means of production. The less capital per worker the lower real wages will be. (The number of firms has absolutely nothing to do with it.)

It follows that any policy that raises the labour-capital ratio is a recipe for falling productivity and hence lower real wages. And that is exactly what Gillard’s and Combet’s alternative energy policies will do. All those wind mills and solar plants that she dreams about are not real capital, as anyone with a sound knowledge of capital theory would know, but malinvestments, dissipated savings wasted at the expense of future living standards. In plain English, rather than being net additions to the capital stock all those solar complexes and wind farms would in fact be net losses. Her views on “retro-fitting existing buildings” and “hot water systems and solar panels” are equally absurd.

The sad fact remains that Gillard, Combet, Garnaut and Brown are still being allowed to get away with murder.

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"He who does not value life does not deserve it." -- Leonardo da Vinci&&&&
 
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Re: Another Garnaut Classic
Reply #8 - Mar 31st, 2011 at 12:31pm
 
A most intelligent and comprehensive assessment nichy.
Unfortunately I fear those of a green hue and their ilk will struggle to comprehend!
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"The aim of practical politics is to keep the populace alarmed and hence clamorous to be led to safety, by menacing it with an endless series of hobgoblins, all of them imaginary."   H.L. Mencken 1911
 
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Re: Another Garnaut Classic
Reply #9 - Mar 31st, 2011 at 1:14pm
 
nichy about Gerry Jackson from the libertarian.org.au  - to add  balance;

Gerry Jackson says that he supports the free-market, but he spends a lot of time attacking other free-market writers as ignorant, arrogant, selfish, incompetent, dishonest, cowardly and a “bloody disgrace”. He then whinges about being insulted and ignored.

He claims that he is “Australia’s only Austrian economist” when in reality he is neither trained in economics and nor does he understand basic economics. He then mocks real economists by saying they are “self-appointed”.

In his latest hit-piece, Gerry attacks Des Moore, Sinclair Davison, Chris Berg, Ron Manners and my paper on the carbon tax (a paper he clearly didn’t understand). But that is to be expected, so we can continue to ignore the personal attacks in his hate-filled rants. But the article is interesting for how it exposes Gerry’s ignorance of basic economics.

Gerry complains that Australian monetary policy has kept our exchange rate too high, and this has lead to the demise of our manufacutoring base. He also complains that the monetary policy has been too inflationary. But the poor sod doesn’t seem to notice that these two complaints contradict each other.

The only way for the reserve bank to drive up the exchange rate with a floating currency is for them to run a contractionary monetary policy. That is the opposite of inflationary monetary policy. So Gerry is simultaneously complaining that the reserve bank is printing too much money and they aren’t printing enough money. The only consistent theme is that Gerry is complaining.

Of course, one of the reasons that Australia’s manufacturing is in relative decline is that the comparative advantage of different nations is changing. This happens consistently as economies evolve over time. As some developing countries are able to exploit their advantages in manufacturing, other countries (like Australia) are diversifying into new opportunities. No problem.

Sinclair was nice enough to explain this to Gerry… but Gerry shows his continuing confusion by dismissing the theory of comparative advantage as “conceived within the framework of a gold standard”, as if this somehow stops it from working in today’s environment. No Gerry. We still have specialisation, and we still have gains from trade. After that, Sinclair wisely decided to give Gerry the respect he deserved, and started ignoring him.

I should probably do the same. But while he is out there preaching bad economics and insulting good economists it is occasionally necessary to give him the slap-down he deserves.
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« Last Edit: Mar 31st, 2011 at 1:49pm by N/A »  
 
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Re: Another Garnaut Classic
Reply #10 - Mar 31st, 2011 at 6:42pm
 
BatteriesNotIncluded wrote on Mar 30th, 2011 at 9:45pm:
Lefty E says:
March 30, 2011 at 7:01 pm

Loved Garnaut’s comment today re the climate debate “we need to be a little less tolerant of bullshit… our airwaves are dominated by people who actually don’t know much about this. Thats a really big problem for out democratic polity”

source: http://larvatusprodeo.net/2011/03/27/minchins-junk-science/#comment-272867

comment 97


Seems reasonable to me, and he does not appear to be targetting one side of the debate with this. The debate would be a lot farther along if people were less polite towards the idiots.
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