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Saturday, February 9, 2013

The Pot of Gold at the End of the Rainbow

Suppose there was an action that could be taken which would achieve the following:
1) adding $14.4 trillion to GDP over the next 37 years;
2) adding 7.5 million jobs in the USA and millions more for 30 years after that;
3) adding 3.7 trillion dollars in wages over the next 30 years; and
4) increasing tax revenues by $4 trillion over the next 37 years.

Would you favor that action?  How about if I added that there would be no additional costs incurred by the government and no need for higher taxes?  Would you favor that action?

The question seems like a no brainer for sure.  Obviously, it would make great sense to take that action.  The benefits are enormous for all Americans and the costs are nil.

So what is the action in question?  The answer:  opening up federal lands to oil and gas exploration.  Rather than shutting down such exploration as president Obama has done, the action would mean the reversal of current policy and the opening of federal lands for drilling.

A provocative paper on the subject by Joseph Mason, a senior professor at the LSU Business School was released recently.  It is worth reading.  It makes clear that opening up federal lands to exploration is an action that has to be taken.  Of course, the main stream media has not given the paper any coverage.  Nevertheless, I suggest that you read the paper and get a good understanding of the issue.  The benefits of drilling would be enormous. 



 

 

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