Lugnut

Monday, January 23, 2006

Corporate Welfare

The New York Times ran an article today that illustrates how natural gas production companies may have underpaid the federal government in royalties for drilling on government land. On page two of the article there is also mention of "lucrative new incentives to companies that drill in the Gulf of Mexico and other high-risk areas." So not only are they ripping us off on royalties, but they are getting paid by the government to do it.

The Bush administration has created the largest government this country has ever seen. I don't care if the money is going to contractors in Iraq, gas companies, or overstaffed government agencies. The fact is that the government is spending more money than it ever has before. How can anyone who considers his or herself a fiscal conservative support this government?

In addition to subsidizing gas production, the government subsidizes the mining and timber industries (google it, there are several links). Depending on where you live, you pay for trash removal either through city fees or taxes or directly to the sanitation company. Also depending on where you live, you may have recycling services and they may or may not be government subsidized. Either way, you're paying for trash removal and you're probably paying for recycling. Both involve the removal of waste materials from your home. Yet recycling is often considered the wasteful government program while trash removal is considered a necessary evil. The worst part is that without government subsidies, virgin materials would be more expensive and recycled materials would therefore be more cost competitive. Recycling might actually be a profitable operation for a government to administer.

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