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People who say it cannot be done should not interrupt those who are doing it. Welcome to From On High.

Tuesday, July 10, 2012

Obama's Plan Is Working

"If somebody wants to build a coal-powered plant, they can; it's just that it will bankrupt them because they're going to be charged a huge sum for all that greenhouse gas that's being emitted."
-- Barack Obama, January 17, 2008 --

In today's news:
Patriot Coal Files for Bankruptcy Protection in New York
By Tiffany Kary and Dawn McCarty, Bloomberg Business News

Patriot Coal Corp. (PCX) (PCX) sought bankruptcy protection after milder winters and a shift to natural gas sent coal demand to a 24-year low.

The St. Louis-based company’s Chapter 11 petition listed $3.57 billion in assets and $3.07 billion in debts. The filing in U.S. Bankruptcy Court in Manhattan said dozens of the company’s units would join in the filing.

“The coal industry is undergoing a major transformation and Patriot’s existing capital structure prevents it from making the necessary adjustments to achieve long-term success,” Chief Executive Officer Irl F. Engelhardt said in a statement that cited lower thermal coal prices, canceled customer contracts and rising costs for environmental liabilities for increasing pressure on the company in recent months.

Patriot has 13 active mining complexes in Appalachia and the Illinois Basin and controls an estimated 1.9 billion tons of coal reserves, according to its website. It sells thermal coal to electricity generators and metallurgical coal to steel and coke producers.

U.S. coal use in the first quarter was the lowest for that period since 1988, according to the Energy Information Administration. Utilities have switched some power plants to cheaper natural gas as regulations restricting emissions make coal costlier to burn. Gas fell to a decade low in April amid a surplus of the fuel. [link] [emphasis mine]
"Regulations restricting emissions make coal costlier to burn."

Barack Obama's plan is working to perfection.

You folks in the coalfields?

Obama has another plan just for you.


So shut up, give up, and enjoy the monthly check. 

Oh, What's Millions Anyway ...

It's only your hard-earned income:

USDA Gives Millions to Farmers Who Aren’t Actually Farming

It gets even worse:

"While some farms were receiving subsidies without actually growing crops, others got billions even though they didn’t grow the crops for which they were being subsidized ..."

Oh, what's billions anyw ...

Billions?

Why am I busting my ass every day trying to earn a living again?

Obama Proposes A Massive Tax Increase

With ObamaCare, make that another massive tax increase.

From "Off the Tax Cliff He Goes":
[President Obama] wants Congress to extend current tax rates for a year, but only for those making less than $200,000 a year. This is a political gambit designed to protect Democrats who are starting to feel queasy about opposing GOP plans to extend all of the Bush rates as the economy weakens again. The ploy could help Democrats if Republicans fall for it, but it won't reduce the economic damage to the country.

Mr. Obama claims this will merely return rates to what "we were paying under Bill Clinton," but that's not true either. It ignores his ObamaCare tax increase of 0.9% on top of the current 2.9% Medicare tax, plus a new 2.9% surcharge on investment income, including interest income.

That's an additional 3.8% surcharge on investment income, and added to the Bush expirations would take the capital gains rate to 23.8% from 15% today, and the dividend tax rate to about 45% from 15%. In Mr. Obama's economic world, tax cuts for middle-class "consumption" are good, but low rates to spur saving and investment are bad. This makes no sense because consumption is ultimately the product of saving and investment.

Congress's Joint Tax Committee—not a conservative outfit—estimates that in 2013 about 940,000 taxpayers will have enough business income to meet Mr. Obama's tax increase threshold. And of the roughly $1.3 trillion in net business income, about 53% will get hit with the higher tax rates.

This is because millions of businesses report their income as sole proprietors and subchapter S corporations that file under the individual tax code. So Mr. Obama wants these businesses to pay higher tax rates than the giant likes of General Electric or J.P. Morgan. Does that qualify as "tax fairness"?

As for the impact on growth, even Keynesian theory holds that raising taxes should be avoided in a weak economy. That's the argument that Mr. Obama used in late 2010 when he agreed with Republicans to extend the Bush rates through the end of 2012.
The man continues to strangle us. And he doesn't care.  Or he just doesn't get it.

It's time for a change ...

They're Not Hired Because They're Smart

This is one of those "Say What?" moments:
Bizarrely, CBS’s O’Donnell Cites ‘Cost to Taxpayers’ of Maintaining Current Income Tax Rates
By Brent Baker, NewsBusters

$150 billion. That’s “the cost to taxpayers” for President Barack Obama’s proposal to not increase the income tax rate for those earning less than $250,000, White House correspondent Norah O’Donnell bizarrely asserted on Monday’s CBS Evening News. As for Republican nominee Mitt Romney’s desire to keep rates the same for all permanently, O’Donnell fretted: “The cost to taxpayers? An additional $850 billion over the next ten years.”

So, not increasing the amount a person pays in federal income tax is a “cost” to them? That’s just surreal, but reflects the media’s conflation of taxpayers and the government.

Isn’t it more a “cost” to the government? [link]
I can't even begin to explain it.

So I won't.

Idiot.