The Competitive Enterprise Institute Daily Update

Issues in the News<?xml:namespace prefix = o ns = “urn:schemas-microsoft-com:office:office” />

1. SAFETY

The Senate Commerce Committee proposes making minimum mileage requirements for new cars more stringent.

CEI Expert Available to Comment: General Counsel Sam Kazman on the impulse for Congress to mandate performance and safety features:<?XML:NAMESPACE PREFIX = U1 />

“American families should be empowered to make their own decisions when it comes to choosing auto safety features. Congress should not substitute government mandates for consumer choice.”

2. ENVIRONMENT

The Congressional Budget Office estimates the costs of a “cap-and-trade” program for reducing greenhouse gas emissions in the <?xml:namespace prefix = st1 ns = “urn:schemas-microsoft-com:office:smarttags” />U.S.

CEI Expert Available to Comment: Senior Fellow Iain Murray on the motives of corporations for endorsing cap-and-trade:

“Ever since Enron decided that carbon trading would ‘do more to promote Enron's business than almost any other regulatory initiative,’ informed observers have been wary of the idea. Yet the idea of creating a new commodity by capping emissions of greenhouse gases and issuing tradable permits to produce the emissions has gained ground as hysteria over effects of global warming has grown. Now, two separate investigations have demonstrated why carbon caps and trading are bad ideas, and why they were so attractive to Enron.”

3. INTERNATIONAL

Nicolas Sarkozy defeats Socialist candidate Ségolène Royal to become the next President of France.

CEI Expert Available to Comment: Senior Fellow Eli Lehrer on what to expect from France under Sarkozy:

“[Sarkozy] sees himself as a reformer and I think his instincts are almost all correct. I suspect he’ll actually be a pretty good ally in the War on Terror. And I do believe he’ll get France’s soaring crime rate (about twice ours) under control. Despite some economic policy steps much at odds with his proclaimed free-market ideals – he plans to keep France’s tax on savings – I even think his economic ideas are mostly the right ones.”

Blog feature: For more news and analysis, updated throughout the day, visit CEI’s blog, Open Market.