Strong patent protections provide the foundation for U.S. pharmaceutical innovation, which leads the…
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Biden Admin. Must Resist Pressure by Congressional Leftists and Global Chorus to Surrender U.S. Pharmaceutical Patent Protections

Strong patent protections provide the foundation for U.S. pharmaceutical innovation, which leads the world and accounts for an astounding two-thirds of all new drugs introduced worldwide.  In the words of former patent attorney Abraham Lincoln, patent rights also "added the fuel of interest to the fire of genius" explaining why America led the way in developing coronavirus vaccines with breathtaking speed.

Reconfirming the adage that no good deed goes unpunished, however, an array of internationalist voices like the World Trade Organization (WTO), India and South Africa now demand that the U.S. surrender those vital patent and other intellectual property (IP) protections for coronavirus vaccines, diagnostics and other treatments.  Worse, leftist politicians here in America like Congresswoman…[more]

February 22, 2021 • 01:33 PM

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Eliminate, Don’t Expand, the Wasteful Federal Electric Vehicle Subsidy Print
By Timothy H. Lee
Thursday, October 03 2019
Americans should be free to purchase EVs if they so choose in an open marketplace. But they shouldn’t be forced to subsidize them, particularly on behalf of wealthy Americans concentrated in California, simply because the federal government wants to pick winners and losers and reward favored special interests.

If you’re like most Americans, you think of electric vehicles (EVs) as a novelty that may or may not succeed in the marketplace of products, and an option that people should be perfectly free to purchase with their own dollars if they so choose. 

But like most Americans, chances are that you also oppose taxpayer subsidies for EVs and believe that the federal government has no business manipulating the market or propping up other people’s EV purchases. 

That’s the unequivocal public consensus, according to a recent opinion survey by the American Energy Alliance (AEA): 

Voters don’t think they should pay for other people’s car purchases.  In every state, overwhelming majorities (typically three-quarters of respondents) said that while electric cars might be a good choice for some, those purchases should not be paid for by other consumers.  Voters’ sentiments about paying for others’ electric vehicles are especially sharp when they learn that those who purchase electric vehicles are, for the most part, wealthy and/or from California.  There is almost no willingness to pay for electric vehicle car purchases.  When asked how much individuals would be willing to pay each year to support the purchase of electric vehicles by other consumers, the most popular answer in each state (usually more than two-thirds of respondents) was “nothing.” 

Moreover, the survey found that “few voters (usually less than 1/5) trust the federal government to make decisions about what kinds of cars should be subsidized or mandated.” 

Despite that overwhelming public opposition to federal government meddling and taxpayer subsidies, some in Congress stubbornly persist in not only working to preserve the EVs cronyist subsidy system, but hope to expand it. 

As the end of the year approaches and lawmakers negotiate tax legislation, some propose an array of “green” tax extensions and a tripling of the number of EVs per manufacturer that will be eligible for taxpayer subsidies.  Making matters worse, even some otherwise sober lawmakers who oppose EV subsidies might be tempted to capitulate in order to obtain other unrelated priorities they seek. 

By way of historical context, the EV subsidy boondoggle was originally justified as a temporary, limited incentive to kickstart the fledgling EV industry.  In 2008, before the American fracking revolution subsequently eased our concerns about overreliance on foreign oil, the Pelosi-Schumer Congress created $7,500 tax credit for purchasers of EVs.  Senator Orin Hatch (R – Utah) at the time emphasized the subsidy’s limited scope and duration: 

I want to emphasize that, like the tax credits available under current law for hybrid electric vehicles, the tax incentives in the Freedom Act are temporary.  They are needed in order to help get these products over the initial stage of production, when they are quite a bit more expensive than older technology vehicles, to the mass production stage, where economies of scale will drive costs down, and the credits will no longer be necessary. 

Well, over a decade later we’re well past the “initial stage of production,” yet they remain “more expensive” and continue to receive taxpayer subsidies. 

The Obama Administration expanded the credit program to cover the first 200,000 EVs from each manufacturer producing them, at a cumulative cost of $2 billion by 2017. 

The EV subsidy’s defects, however, extend far beyond just its accumulating cost. 

Outrageously, approximately 80% of federal EV subsidies go to households with incomes over $100,000, who don’t need their auto purchases subsidized by working-class taxpayers.  Americans outside of California will also be offended to learn that approximately half of EV sales occur in California, which constitutes only 12% of the U.S. auto market. 

Conspicuously, EVs don’t even offer the environmental benefits that proponents seem to assume.  That’s because they must recharge their batteries using the U.S. electric grid, which provides power from energy sources that often produce more pollutants than today’s more efficient internal-combustion engines. 

Despite the EV subsidy program’s overwhelming unpopularity, cost, unfairness and logical indefensibility, however, some in Congress aim to expand it in legislative negotiations.  Specifically, they want to triple the current cap of 200,000 cars per automaker to 600,000. 

Responsible lawmakers owe it to American taxpayers to oppose that proposal, and instead work to eliminate the outdated, ineffective and wasteful subsidy program. 

Americans should be free to purchase EVs if they so choose in an open marketplace.  But they shouldn’t be forced to subsidize them, particularly on behalf of wealthy Americans concentrated in California, simply because the federal government wants to pick winners and losers and reward favored special interests. 

The EV taxpayer subsidy boondoggle must be eliminated, not expanded. 

Question of the Week   
Which of the following is responsible for the planning and execution of the Inaugural Ceremonies of the President-elect and Vice President-elect of the United States?
More Questions
Quote of the Day   
 
"On Feb. 24, House Democrats will hold a hearing on 'traditional media's role in promoting disinformation and extremism.' This hearing is a dangerous threat to American democracy and goes entirely against what the Founders intended when they made a free press Americans' guaranteed First Amendment right in the Constitution.It's also just the latest threat against free speech from the left, which has…[more]
 
 
—Bradley A. Smith, Institute for Free Speech Chairman, Professor of Law and Former Chairman of the Federal Election Commission
— Bradley A. Smith, Institute for Free Speech Chairman, Professor of Law and Former Chairman of the Federal Election Commission
 
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Regardless of your political perspective on the policies of the Biden administration, how closely are you following them as they develop?