Freedom Line Blog

As Majority Leader Harry Reid scrambles to put together the pieces on his economy-busting health care “reform” bill, the Senate Finance Committee today began  hearings on that other job-killing legislation… Cap-and-Trade.

The Committee’s Ranking Member, Charles Grassley (R-Iowa), rightly used some of the time he had for opening remarks to remind his colleagues that unlike the Environment and Public Works Committee, which is controlled by some of the Senate’s most liberal members and which passed its version of a Cap-and-Trade energy tax last week, the Finance Committee’s job is to focus on the economic impact and costs of the legislation.

According to Roll Call, Grassley stated:

This committee’s expertise is in the costs and economic impacts of new taxes. It therefore has the relevant expertise for evaluating the costs associated with climate change legislation. An honest cost-benefit assessment requires that we first stop trying to sell this policy as if it will have no cost for Americans and accept the basic economic principle that there is no such thing as a free lunch.”

Acknowledging Grassley’s remarks, Chairman Max Baucus (D-Montana) said:

While we must always be mindful of the cost of legislation, that’s particularly true in today’s economy. Our unemployment rate remains far too high. And we must be diligent to create jobs, including in the energy sector.”

Considering the federal government’s own estimates warn that the legislation would cost the U.S. economy far more jobs than it may create, wouldn’t the most diligent thing be for Baucus to scrap the idea of a Cap-and-Trade energy tax altogether?