Tuesday, April 13, 2010

Obama's 'Green Jobs' Subsidies Destroys 320 Free Market Green Jobs

President Obama claims to be working to create 'green jobs.' The following story is a prime example of what happens when the government tries to take control of industry. Obama administration 'green job' subsidies have destroyed 320 'historic' green jobs in Maryland. How can that be? Tax incentives and credits for solar panels have created a glut in the market and cut prices in half. Before the subsidies, 30 year old solar panel manufacturer, BP Solar, was profitable and in the midst of a $97 million expansion to create more jobs. Since the market has been manipulated, they have been forced to close and the factory has been demolished.

From Get Liberty:
What happened?

The answer is, the federal government got involved and destroyed the free market generated profitability of the making of solar panels. Here’s how: the Obama Administration has spent billions of dollars to create “green jobs.” Through his tax incentives and credits for those businesses that manufacture renewable energy products, he created a glut in the marketplace. With so many businesses now producing solar panels (most of them overseas in anticipation of a booming U.S. market), the cost of panels has been nearly cut in half, making it impossible for businesses like BP Solar to stay in business in the U.S....


News Report from ALG News Network:

1 comment:

Realist said...

BP Solar is not closing this operation because it is unprofitable, they just can make even more profits by shipping our jobs to India and China. Their projected revenue growth in 2010 is 50%. Why pay middle-class American wages when you can pay 90% less and get close to the same product? It does not matter that our tax dollars are subsidizing their profits because there are no conditions to require using American labor. Like any multinational corporation, maximizing profits is all that matters and screwing main street America has no repercussions when your lobbysts own Washington