Tuesday, August 29, 2006

The Dumbest Economic Moves of 2006: The Goss Egg Awards

#1. The U.S. rejection of the Dubai ports deal. It seems that the U.S. Congress does not want out-sourcing, or in-sourcing.

#2. The Massachusetts Legislature and Governor for their mandatory health coverage program. Ultimately, it will result in higher costs and less coverage.

#3. The state of Maryland for requiring all employers with more than 10,000 employees to spend at least 8 percent of its total wages on health insurance for employees. On July 20, 2006, a federal judge ruled that Maryland’s "Wal-Mart Tax" violated federal law on the regulation of employee benefit plans.

#4. For the Senate Republicans for advocating a $100 rebate to taxpayers to cover increases in gasoline prices. If passed it would have worked against conservation efforts and done little to remedy the U.S. energy problem.

#5. For Senate Democrats for advocating an unworkable, bureaucratic counterproductive tax on oil. If passed it would have increased prices, produced shortages and hurt lower income individuals.

#6. To the Chicago City Council for requiring retailers with more than $1 billion in sales and 90,000 square feet to pay wages of at least $10 an hour plus $3 in fringe benefits by mid-2010. Of course, retailers with 89,000 square feet can continue to pay the minimum wage. This law will be overturned resulting in a lot of time and energy wasted.

#7. To the state of Hawaii for implementing a ceiling on wholesale gasoline prices that predictably generated the highest retail gasoline prices in the U.S. In May of 2006, state political leaders came to their senses and abandoned the ceilings.

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