As part of a news conference that addressed everything from the War on Terror to ANWR drilling, President Bush took some time out to focus on the economy. He took aim at rising oil prices, as well as mentioned some of the measures (including interest rate cuts that are likely to continue tomorrow) that his administration is taking to alleviate problems in the economy. He also briefly mentioned food prices inflation.
But he, as expected, refused to say whether or not we’re in a recession. But he did acknowledge this: “It’s a tough time for our economy.”
And he made sure to blame the Democratic-run Congress for the problems.But I’m not sure that President Bush’s solutions for the economy would be that great, either. Mostly, I was annoyed with his take on alleviating energy costs as part of economic stimulus.
He wants to drill in ANWR for more oil, and boost corn ethanol production. Neither of these things is particularly good for the environment, nor would they stimulate an energy economy that would benefit most Americans.
- It would take at least a decade and billions of dollars to get anything significant out of ANWR. With American ingenuity and innovation, those billions and that ten years could be put to better use by developing viable renewable energy sources and improving existing hybrid car technology. (Or even getting cars of internal combustion.)
- Corn ethanol doesn’t really help matter much, either. It mainly results in subsidies for Big Ag, while being damaging to the environment. And, if we’re putting corn into ethanol, it makes it kind of hard to eat it — which means food prices continue to rise.
Besides, neither of these solutions is immediate. The talk is all of economic stimulus, but, really, we’re in a natural downcycle. And the growth we have been experiencing the last few years has been kept going through unnatural economic means and was unsustainable (obviously).
The government keeps touting short-term economic stimulus solutions (like the tax rebate), but none of them will ultimately work. Instead, we should focus on getting through this time while changing our mindset for the future.
Do you think President Bush’s energy plans would help the economy?
Tags: corn ethanol, energy economy, personal-finances, President Bush, President Bush economy, rising oil pricesShare This
