‘Inflation Reduction Act’ adds $369B in green spending | Eastern North Carolina Now | On July 27, Democrat U.S. Sens. Joe Manchin of West Virginia and Chuck Schumer of New York announced they had reached a deal on a budget reconciliation bill they were calling the “Inflation Reduction Act of 2022.”

Coronavirus Disease 2019 (COVID-19)
    Publisher's Note: This post appears here courtesy of the Carolina Journal. The author of this post is David Larson.

    n July 27, Democrat U.S. Sens. Joe Manchin of West Virginia and Chuck Schumer of New York announced they had reached a deal on a budget reconciliation bill they were calling the "Inflation Reduction Act of 2022."

    "The Inflation Reduction Act of 2022 will make a historic down payment on deficit reduction to fight inflation, invest in domestic energy production and manufacturing, and reduce carbon emissions by roughly 40 percent by 2030," the bill summary provided by Senate Democrats said.


    The estimate, as shown above, claims to be able to create $739 billion in revenue through a 15% corporate minimum tax, reforming drug pricing, adding stronger IRS tax enforcement, and using a carried-interest loophole.

    But the bill doesn't just raise revenue to reduce the budget deficit as an inflation-fighting strategy. It also includes $369 billion in spending on climate change and green energy. U.S. Sen. Brian Schatz of Hawaii said the plan would amount to the "biggest climate action in history," and would involve spending on "clean energy, clean transportation, energy storage, farming, home electrification, and clean tech."


    Paige Terryberry, senior analyst for fiscal policy at John Locke Foundation, had concerns about the green energy spending, saying, "This bill accelerates Biden's war on affordable energy, spending $369 billion to use the government's heavy hand to force decarbonization on all sectors of the economy. This wasteful spending is a political move to subsidize green companies while penalizing others."

    Regarding the drug price reform, Terryberry added, "The Senate proposal would require government to intervene and set prices for the top ten most expensive drugs. But price controls reduce supply and investment in research and development of drugs. In the end, patients lose."

    Immediately after the bill's outline was released, Republican Senate Minority Leader Mitch McConnell of Kentucky denounced it as further damaging the sensitive economic situation, saying that the added taxes in the plan would kill jobs.


    President Joe Biden praised the plan in a statement, saying, "If enacted, this legislation will be historic, and I urge the Senate to move on this bill as soon as possible, and for the House to follow as well."
Go Back

HbAD0

Latest Op-Ed & Politics

U.S. Supreme Court Justice Clarence Thomas is no longer listed as faculty on George Washington University Law School’s website and will reportedly not teach at the Washington, D.C. school in the upcoming semester.
Former Vice President Dick Cheney, who famously started two wars in the Middle East and shot a dude in the face while hunting, now says Donald Trump is the greatest threat America has ever faced.
Condoleezza Rice, a former Secretary of State and current Director of the Hoover Institution, slammed Critical Race Theory during an interview on ABC’s “The View”
President Joe Biden claimed over the weekend that the so-called Inflation Reduction Act of 2022 would not raise taxes on those making less than $400,000 per year, but a non-partisan organization that crunched the numbers says it will.
A transgender cheerleader, who is a biological male, was criminally charged last week for allegedly choking a female teammate at a cheerleading camp.
The FBI raided former President Trump's Mar-a-Lago home and found incriminating evidence that he was once President of the United States of America!
Rep. Victoria Spartz (R-IN), who was born in the Soviet Union, grilled U.S. Attorney General Merrick Garland on Thursday over the actions that the FBI is allegedly taking and over a variety of security concerns that have erupted under President Joe Biden’s administration.
A national Republican group is urging the 4th U.S. Circuit Court of Appeals to reject Democrats' request to keep the Green Party off the N.C. ballot.
NBA legend Bill Russell has passed away at 88 years old, according to a statement posted to social media.

HbAD1

The “Inflation Reduction Act” would be a disaster for many. Taxes would rise for nearly every income group, devastating low-income households in particular.
Governor Andy Beshear (D-KY) said on Sunday that his state’s death toll from recent flooding has reached 26 and is expected to increase.
White House Deputy Press Secretary Karine Jean-Pierre tried to downplay supply chain clogs that are taking a toll on the U.S. economy by claiming that the problem was happening because President Joe Biden had achieved a “historic economic recovery.”
Sen. Pat Toomey (R-PA) on Sunday said that moderate Sen. Joe Manchin (D-WV) got “taken to the cleaners” by Senate Democrats by agreeing to their tax and spending package.
N.C. Attorney General Josh Stein and related plaintiffs are appealing a ruling against them this week in U.S. District Court.
Pope Francis admitted he needs to either cut back or think about retiring.
President Joe Biden conceded during a CNN town hall event on Thursday night that he should visit the U.S.-Mexico border to see the crisis that has erupted under his leadership, but he claimed that he just has not had enough time to do it.

HbAD2

 
Back to Top