The Competitive Enterprise Institute Daily Update
Issues in the News
1. POLITICS
The Wall Street Journal editorializes on the efforts of two U.S. Senators to pressure ExxonMobil into de-funding nonprofits groups with which they disagree.
CEI Expert Available to Comment: Senior Fellow Marlo Lewis on what’s really behind the letter from Senators Snowe and Rockefeller:
“Presumably, Snowe and Rockefeller have no problem with EPA and other government agencies providing untold millions of dollars annually to environmental activist groups who campaign for Kyoto and other energy-suppression schemes. However, groups with a free-market orientation like CEI typically do not seek or accept government support as a matter of principle. If we don’t raise money from the private sector, we cease to operate—which would suit the government-funded alarmist crowd just fine. Snowe and Rockefeller’s attack on ExxonMobil’s funding of CEI is simply an attempt to drive the market out of the marketplace of ideas.”
2. LEGAL
The U.S. Supreme Court hears arguments in a case challenging the use of race-based policies in public schools.
CEI Expert Available to Comment: Special Projects Counsel Hans Bader on the case of Parents Involved v. Seattle School District No. 1:
“Deference to the Seattle School District’s use of race played a key role in the Ninth Circuit’s upholding of its student assignment plan. However, through its bizarre public statements on racial issues, the School District has forfeited any claim to deference. Therefore, this Court should subject its use of race to exacting scrutiny, and strike the plan down as unconstitutional.”
3. REGULATION
A new report from the Government Accountability Office outlines suggestions for reform of government programs.
CEI Expert Available to Comment: Adjunct Fellow Fran Smith on why the report needs to hit harder:
“A new report from the U.S. Government Accountability Office sent to the Congressional leadership on November 17, 2006, outlines some key areas where the incoming 110th Congress needs to provide greater oversight. The GAO’s mission is ‘to help improve the performance and accountability of the federal government for the American people.’ Thus, the report focuses on efficiency – making the government work better. […] While many issues in the report are ones that need more attention, the GAO needs to follow up in greater depth – and concentrate on those programs that need to be abolished rather than improved.”
4. ENVIRONMENT
California Gov. Arnold Schwarzenegger plans a lavish inaugural celebration, soliciting donations from corporations including Chevron.
CEI Experts Available to Comment: Senior Fellow Iain Murray on the recent defeat of a special tax on oil companies in California:
“One of the least mentioned election day stories is that California – yes, California – rejected a punitive tax on oil production that would have funded alternative energy research: ‘Proposition 87 was portrayed as a battle between liberal Hollywood and Big Oil in a state that has long blazed a trail in environmental causes and has one of the most aggressive greenhouse gas reduction laws in the world. But the measure, which was bankrolled in large part by real estate heir and Hollywood producer Stephen Bing and would tax oil production in California for the first time, was criticized as likely to raise energy prices for consumers.’ All of which tends to demonstrate that talk of ‘Pigou Taxes’ on energy use to correct perceived problems arising from energy use is pretty much pie-in-the-sky. Californians voted for the benefits brought to society by affordable energy. Good for them.”