Government subsidies for companies that couldn't get private funding, regardless of the industry, are absolutely not smart. Those companies are extremely risky investments considering that the top finance people didn't see them as viable. Do you think that our politicians are better qualified at picking winning business plans than finance professionals and venture capitalists? Is it possible that venture capitalists don't support alternative energy companies because they somehow oppose alternative energy? I don't believe either of these possibilities is true. Politicians are good at only one thing: bringing us a MessAPolitico. Venture capitalists are the best at picking winners and making lots of money by investing in those winners. Making money is their goal, and their political beliefs will never be allowed to get in the way. Isn't the liberal contention that capitalists are greedy, self-serving, money-grubbing thieves at odds with their contention that venture capitalists would avoid alternative energy companies on political grounds?
When the government takes our money and gives it to an alternative energy company, will that really kick it off and make the venture viable? No. As soon as the government money is depleted, the company will not be profitable. Any company in any industry that does not have a viable business plan will end up in bankruptcy in the end. Whether the seed money comes from a venture capitalist or from the MessAPolitico (i.e. us), the bankruptcy will ensue.
Did the Obama administration really tell us the whole plan for investing our money in alternative energy? No. Here's the plan in its entirety:
- Provide government subsidies to alternative energy start-up companies that couldn't get private funding
- Pass laws that tax traditional, fossil fuel based energy with Cap & Trade to run the cost of these energy sources up
- Use EPA regulations to shut down low-cost coal-fired electric generating plants to limit supply and run the price of operating them up
- Use EPA regulations to stop pipelines and stop drilling for new sources of oil to get the price of gasoline, diesel fuel, heating oil, etc. to rise precipitously as world demand has risen
- Use the higher energy prices to reduce energy demand and promote energy conservation
- Use the higher energy prices we are paying for electricity and gasoline to make the alternative energies economically viable and competitive
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