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Why Does Obama Want to Destroy 265,000 Jobs?
Posted By Mike Brownfield On June 16, 2011 @ 6:06 pm In Enterprise and Free Markets,The Morning Bell | 47 Comments
Just how many jobs does President Barack Obama want to destroy in the name of going green?
According to a new report by The Center for Automotive Research , the number could be as high as 264,500 jobs lost  just from new automobile fuel efficiency standards being considered by the Environmental Protection Agency. Meanwhile, the cost of a new vehicle could go up by nearly $10,000 and sales could be reduced  by 5.5 million vehicles annually.
DBusiness  pulls apart the report and finds that under the highest proposed mandate — which would raise the Corporate Average Fuel Economy (CAFE) from 35.5 mpg in 2016 to 62 mpg in 2025 — the following effects would occur:
Hitting the 62 mpg average would be a challenge in and of itself. Analyst Sean McAlinden told Autoweek  that attaining that standard would “require a market that’s 64 percent plug-in hybrid.” And given that the cost of vehicles would rise by an average of $9,970 , McAlinden says that consumers would hold on to their old cars with lower fuel efficiency, defeating the purpose of the new regulations.
Environmentalists discount the report, calling  it an “industry-advocate propaganda piece” — despite the fact that the center that authored it gets “78 percent of its funding from federal, state and local governments, foundation grants and proceeds from conferences,” as The Detroit News’ David Shepardson reports .
And the sky-high 62 mpg mandate aside, auto manufacturers already see problems with the significantly lower 34.1 mpg mandate set to hit U.S. automakers in 2016. Heritage’s Nicolas Loris writes :
[T]he new government regulations become a problem if it forces car manufacturers to produce vehicles no one wants to buy. Gloria Bergquist of the Alliance of Automobile Manufacturers said , “We have a hill to climb, and it’s steep, so we will need consumers to buy our fuel-efficient technologies in large numbers to meet this new national standard.”
Bob Lutz, Vice Chairman of GM echoed Berguist’s remarks saying , “We’ll have to force a lot of hybrids, which people may or may not pay for.”
That’s the name of President Obama’s game: forcing new regulations on American business and consumers whether they like it or not, no matter the price.
Article printed from The Foundry: Conservative Policy News Blog from The Heritage Foundation: http://blog.heritage.org
URL to article: http://blog.heritage.org/2011/06/16/why-does-obama-want-to-destroy-265000-jobs/
URLs in this post:
 new report by The Center for Automotive Research: http://www.cargroup.org/pdfs/ami.pdf
 reduced: http://www.detnews.com/article/20110615/AUTO01/106150378/1148/Study--Fuel-rules-to-hike-car-costs
 DBusiness: http://www.dbusiness.com/DBusiness/May-June-2011/New-Study-on-Fuel-Economy-and-Safety-Mandates/
 told Autoweek: http://www.autoweek.com/article/20110509/GREEN/110509845#ixzz1PTehLSuW
 reports: http://detnews.com/article/20110615/AUTO01/106150378/Study--Fuel-rules-to-hike-car-costs#ixzz1PTjDBxec
 writes: http://www.foundry.org/2010/04/07/could-new-epa-requirements-cause-headaches-for-automakers/
 said: http://www.washingtonpost.com/wp-dyn/content/article/2010/04/01/AR2010040101412.html
 saying: http://www.detnews.com/article/20100401/AUTO04/4010416/1148/AUTO01/Hybrid-car-field-gets-crowded#ixzz0kEfJ1qgh
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