Pelosi Democrats: Yes to Taxes, No to Profits
In case you missed it, Speaker of the House wannabe Nancy Pelosi was interviewed on
CNBC by our buddy Larry Kudlow last week on the economy and stock market. Allow us
to excerpt the fascinating and amusing exchange, because it tells us a lot about
where the Democrats may be heading on energy and tax policy:
KUDLOW: [Are you for] a windfall profits tax on oil companies?
Rep. PELOSI: Oh, well...I'm not -- you won't find me friendly to that.
KUDLOW: All right. You are against the windfall profits tax?
Rep. PELOSI: Yes, I am.
KUDLOW: Oh, OK. I'm not sure a lot of people know that. Thank you for that....
Rep. PELOSI: Oh, not the tax. I'm against the windfall profit.
KUDLOW: You're opposed to the so-called windfall profits on oil.
Rep. PELOSI: Opposed to the windfall profits.
KUDLOW: So you would favor a tax?
Rep. PELOSI: Yes, I would favor something that was shaped in a way that did what it
needed to do. And that is, we've got to -- we have to have energy independence in
our country. We don't have to have excessive profits for the oil industry.
Now we know why the Democrats' best strategy in the next week is to stay button
lipped. Never mind the illogic of raising taxes on the U.S. domestic oil companies
in order to "have energy independence in our country." The last time we had a
windfall profits tax, under Jimmy Carter, oil imports surged and the higher-taxed
domestic production tumbled.
What's more to the point is that in the same interview Ms. Pelosi assured listeners
that "fiscally conservative" Democrats would be a favorable force for the financial
markets. But just in case America's potential next Speaker of the House is confused
on this point, most Americans, particularly the 52% who own stock, are in favor of
profits and opposed to higher taxes, which they know would tend to undermine growth,
jobs and the value of their nest eggs.
-- Stephen Moore
