Tuesday, March 9, 2010

Green Jobs mean lots of unemployment

Governor Schwarzenegger of California in his 2010 State of the State address confidently proclaimed, "Now, while we still have a long way to go, the worst is over for California's economy." A big part of the Governor's plan, much like the Obama administration's plan, to help the economy is green jobs.

California has been heralded as a leader in the creation of green jobs and tough environmental policy and we are. The trouble is that it's not actually good for the economy. It's not bad to push for clean air and water, but our "cracking down on climate change" approach is based on a lie (see previous posts on climate change) and it's hurting our State. This only matters to the rest of the nation because Congress would like to this to the other 49 States through Cap and Trade or carbon tax legislation.

These are policies every citizen should adamantly oppose. We actually have a model for what happens if such policies are pursued. Spain is showing the world how well implementation of green policies doesn't work much as California is showing the U.S. How's Spain doing? They have an 18.1% unemployment rate, and the money spent on each green job could instead create 2.2 normal jobs.

The other important thing to remember is that the government is spending to create these jobs, subsidizing otherwise unprofitable industries like wind energy. Every dollar wasted by the government for these projects could do more to stimulate the economy if it hadn't been taxed out of the pockets of citizens and employers. If history is any guide, cutting taxes will do more to help our economy recover than any other government strategy.

No comments: