SCMP: China’s Power to “Marshal” Private Savings into Climate Mega Projects will Leave the West Behind

Guest essay by Eric Worrall

How will Joe Biden marshal the private savings of US citizens to address the climate crisis? The UN thinks half of the $75 trillion required to save the world from climate change must come from private investors. The South China Morning Post thinks China’s authoritarian control of private savings will give China an advantage of the West when it comes to green investments, though they believe Biden could catch up with China by appointing a financial system tsar.

As Joe Biden prepares to rejoin the global fight against climate change, who will foot the bill?

To garner the necessary funds to combat climate change, the US needs a financial system tsar who can push Wall Street to come up with products linked directly to long-term investment in individual UN Sustainable Development Goals

Anthony Rowley
Published: 3:30am, 28 Dec, 2020

US President-elect Joe Biden has promised to go full tilt into action against climate change from the first day of his presidency on January 20. But, in fighting an impending climate crisis, he and other advanced-nation leaders may encounter an unexpected enemy – a crisis of market capitalism.

The two things are closely connected, but this fact does not appear to have dawned yet on policymakers, investors and others who are raring to go into battle against climate change and other existential threats. Saving the planet is going to cost money, and no one is sure where it will come from.

So, unless capital markets can come up with some radical new ideas on how to translate private savings into the colossal amounts needed to save the planet and its inhabitants, and do so quickly, state intervention to bypass markets will almost certainly become necessary.

State-dominated financial systems (among which China’s is by far the biggest) seem likely – by virtue of their ability to marshal savings behind mega social and economic projects – to leave market economies behind in the race to “go green” and contribute to saving life on Earth.

Attaining the goals, the UN said, was going to be very costly. The total bill could amount to US$5 trillion per year over the 15-year life of the SDG implementation period up to 2030, or around US$75 trillion in total – roughly equal to one year’s global gross domestic product.

It is customary for governments to finance public goods, but the UN suggested that governments would not be able to foot anything like the entire bill. The public sector would be unlikely to supply more than around a half, leaving savers and investors in capital markets to provide the rest.

Read more: https://www.scmp.com/comment/opinion/article/3115215/joe-biden-prepares-rejoin-global-fight-against-climate-change-who

China has taken government control of the economy to a bit of an extreme recently. Although the South China Morning Post is not government owned to my knowledge, SCMP’s parent company Alibaba Group has run into a few regulatory difficulties lately, and has accepted a very recent requirement for placement of government employees into management oversight positions in major private tech companies. So I think it is fair to say the Chinese government likely has a lot more influence over the South China Morning Post than they used to.

It is not clear if SCMP is suggesting a similar regime for the USA, but there are precedents; for example its normal for US businesses to temporarily accept the presence of government officials on their premises, if oversight agencies suspect financial irregularities or other forms of non-compliance.

This regime of regulatory oversight could be extended to include a mandatory climate resilience requirement. Corporate consultants already provide climate stress testing services, to help companies understand how their assets and activities could be impacted by climate change, so the infrastructure is already in place should the Biden administration choose to make climate compliance as important as any other form of regulatory compliance.

4.2 9 votes
Article Rating
102 Comments
Oldest
Newest Most Voted
Inline Feedbacks
View all comments
markl
December 28, 2020 10:16 am

This would be the world’s most colossal waste of money in history if it takes hold and I think that is the goal. Bankrupt the West by draining all capital and removing any means of continuing its’ lifestyle by crippling industry. AGW will have attained its’ goal.

MarkW
Reply to  markl
December 28, 2020 11:39 am

Progressives are jealous of China’s ability to force people to do whatever the government wants them to do.

Reply to  markl
December 28, 2020 12:10 pm

Getting the developed world off oil and paying more for unreliable energy has more benefit to the CCP and third world despots then climate reparations alone. First, it puts Western democracies at a massive economic disadvantage as a result of their own choice to save a climate that doesn’t need to be saved and second, reducing the demand for fossil fuels makes them cheaper, providing even more competitive advantage to those who either don’t care or who are not fooled by the ‘save the planet’ rhetoric.

Meab
Reply to  markl
December 28, 2020 1:05 pm

Many people apparently don’t realize that money directed to the climate crisis scam has to come from other things. There will be less money for education, health care, food, housing, reliable utilities, clothing, recreation, transportation, entertainment, and everything else.

MarkW
Reply to  Meab
December 28, 2020 3:04 pm

Most progressives believe that the “wealthy” constitute a near infinite pool of money that can be tapped whenever the party in power needs to buy more votes.

Reply to  MarkW
December 29, 2020 8:02 am

An infinite pool of other peoples money.

Tom in Florida
December 28, 2020 10:18 am

My solution is that everyone who believes our world is in danger from climate change voluntarily donate to a climate change fund managed by the UN. In this way, those who have been preaching about this danger can actually put their money where their mouth is.

Joe Crawford
Reply to  Tom in Florida
December 28, 2020 1:23 pm

No.. No.. No. Let them ‘invest’, not ‘donate’. And… make it all of their savings and their retirement funds as well. After all they will be saving the world. Then, over the next decade or so, they can watch their retirement slowly go down the toilet.

Tom in Florida
Reply to  Joe Crawford
December 28, 2020 8:10 pm

The point of voluntary donations is that the believers will NOT do it with their own money thus exposing their BS. They will show the world that there really isn’t anything to fear.

Fight Climate Fear. Warmer is Better.

ResourceGuy
Reply to  Tom in Florida
December 30, 2020 7:20 am
ResourceGuy
December 28, 2020 10:21 am

China will deploy current technology in mega projects like the 1.8 gw solar array from the 9 super league solar mfg companies there with their robotic factories. Joe will sink the money into more research with no payback and more lobbyist-directed rooftop solar for the rich with no economies of scale. The Obama saying that “we don’t pick winners” will continue with losers all around. It’s the political slogan that counts, not who pays for it, the cost, or whether it made any sense to begin with. Check the box with your money and move on.

Walter Sobchak
Reply to  ResourceGuy
December 28, 2020 10:34 am

China is not that stupid. They will spend their money building 50 GW of Coal fired plants per year for the rest of this decade.

Graemethecat
Reply to  Walter Sobchak
December 28, 2020 10:50 am

China is also investing heavily in Nuclear while making a fortune selling solar panels and wind turbines to credulous Westerners.

Gordon A. Dressler
Reply to  ResourceGuy
December 28, 2020 11:31 am

Ummmm . . . do you consider that “pv magazine USA” may have a certain bias in what they publish?

ResourceGuy
Reply to  Gordon A. Dressler
December 28, 2020 12:34 pm

Are you suggesting the world’s largest utility scale solar array is not there? It’s probably visible from the space station.

George Daddis
Reply to  ResourceGuy
December 28, 2020 1:10 pm

So what?
How does that refute the fact that they are building hundreds more coal plants domestically and many in other nations, far surpassing the CO2 emissions from the US and other developed nations?

Gordon A. Dressler
Reply to  ResourceGuy
December 28, 2020 1:28 pm

RG, the phrase “on track” is built for suckers.

ResourceGuy
Reply to  Gordon A. Dressler
December 28, 2020 4:57 pm

Okay, but 2021 is not far off.

Robert Austin
Reply to  ResourceGuy
December 28, 2020 7:17 pm

They should be visible from space as their power density is so low that great swathes of land are necessary to harvest even mediocre amounts of energy.

Bryan A
Reply to  Robert Austin
December 28, 2020 9:45 pm

Topaz solar farm covers 7.3 sq mi (19 sq km), has a nameplate capacity of 550MW and a 26.6% capacity factor (around 120MW)
http://Www.google.com/maps/@35.3712249,-120.0601497,13z/data=!3m1!1e3

The Chinese facility at 2.2GW would be 4 times the size covering 29.2 sq mi (76 sq km) it should definitely be visible from space, it’s almost as big as San Francisco and after capacity factor adjustments will produce about 1/4 the daily power output of Diablo Canyon Nuclear Power Plant

ResourceGuy
Reply to  Bryan A
December 29, 2020 6:08 am

How many employees and contractors work at Diablo Canyon and where is the waste going?

Bryan A
Reply to  ResourceGuy
December 29, 2020 2:01 pm

About 1200 Utility employees and 200 contract employees
For now the waste remains on site

ResourceGuy
Reply to  Robert Austin
December 29, 2020 6:04 am

The Chinese should know what’s barren land and what’s not.

David A
Reply to  ResourceGuy
December 28, 2020 12:23 pm

Resource Guy, building .4 G Watt producing solar for PC reasons, is quite orthogonal to building FAR more coal plants for energy reasons.

So your comment in no way refutes China’s massive energy hypocrisy.

Last edited 8 months ago by David A
Neo
Reply to  ResourceGuy
December 28, 2020 12:44 pm

Last year, the CCP put a hold on new eco-friendly projects

ResourceGuy
Reply to  Neo
December 29, 2020 6:09 am

Temporary capping of project growth

Walter Sobchak
Reply to  ResourceGuy
December 28, 2020 2:40 pm

And exactly how much power did it produce today. And how does that compare to the 3GW coal plants they are building?

Reply to  ResourceGuy
December 31, 2020 6:37 am

So you are saying that solar provides 12 of the 5,000 GW that China uses. WOW!

David A
Reply to  Walter Sobchak
December 28, 2020 12:19 pm

Bingo, as that is exactly what they are doing.
Furthermore, exactly zero people will be supervising what the CCP does with the capital they confiscate!

For that matter, assuming President Trump cannot remain, exactly zero people will be supervising what Joe Biden does with the funds he confiscates.

Bryan A
Reply to  David A
December 28, 2020 9:46 pm

Confiscate
Apropos

Neo
Reply to  Walter Sobchak
December 28, 2020 12:42 pm

They are finding out now that without that Aussie coal, it’s hard to keep the power on

MarkG
December 28, 2020 10:25 am

The ‘elite’ want to steal all the private wealth, and forcing people to ‘invest’ in green scams is a great way to do that.

griff
Reply to  MarkG
December 28, 2020 10:30 am

The US elite already got most of the cash – no need to invent convoluted schemes to get more of it!

MarkW
Reply to  griff
December 28, 2020 11:41 am

Once again griff demonstrates that he has no knowledge of the real world.
He actually seems to believe the lies the NYT and Granuiad tell him to believe.

ResourceGuy
Reply to  griff
December 28, 2020 12:36 pm

…and they got most of the tax credits too for rooftop solar and Teslas.

ResourceGuy
Reply to  ResourceGuy
December 29, 2020 6:40 am

And they complained about the capping of state and local tax deductions for their second homes in the GOP tax reform

fred250
Reply to  griff
December 28, 2020 8:31 pm

Yep, and MOST of those “elite” are rabid totalitarian leftists.

Such is way with socialism.

Lrp
Reply to  griff
December 29, 2020 12:52 am

That’s just another lie; you’re after middle class savings locked in shares, property, superannuation, and pension funds. To you anyone who is competent enough to earn and disciplined enough to save is elite.

Laertes
Reply to  griff
December 29, 2020 10:15 am

Griff knows well that the elite wants power. And they will have absolute power exactly when they ruin everyone else to poverty and submission. Take away property, destroy small businesses, make everyone dependent on government checks to live. Then, you will either submit, or die. Or, at best, spend your entire life in the worst kind of a job making just enough to live.

In communist Poland, everyone had to have a job, or they went to jail. All jobs were provided by the government. You crossed someone, and you lived your life in abject misery. Or they just tortured you and called it a day.

Griff wants all that, and more.

M__ S__
December 28, 2020 10:30 am

In other words: How can Biden steal even more value from US citizens for political payoffs and theft, all under the guise of actually doing something that isn’t needed or cannot be done.

Paul Johnson
Reply to  M__ S__
December 28, 2020 8:44 pm

He will simply require that 401Ks must invest some significant fraction of their value in government-approved Social Justice Funds to “level the playing field” or Eco-Bonds that will “save the planet”.

December 28, 2020 10:32 am

The spectre of Ayn Rand rises from the heap of excrement heaped upon her work by every woke capitalist stooge for six decades.
“Marshalling saving” indeed! I still hear the echoes of the twerps from the bankster mafia complaining about the plebes’ obsession with saving their money, when “we could be extracting value from those hoarded funds”. Extracting value. For those who understand the difference between value and price, that was an ominous threat to our continued existence as human beings. Someone with clout must have said something, now we come up with “marshalling savings to save the climate”?
Ye gods, this is driving me to escatology! When will the committed capitalists realise they are an extremely important part of the Bolshevik drive towards universal communism? Soon we will have nothing left, and apparently we will be happier? I can only speculate on the drug they will feed us to get that right. Can one of the climatolohaustists tell us what their drug tastes like?

MarkG
Reply to  paranoid goy
December 28, 2020 10:44 am

Most of the ‘committed capitalists’ are only there because the ‘elite’ put them there. Their money never belonged to them, so they can’t complain when it’s taken away.

Look at all the ‘committed capitalists’ who’ve announced that they’re going to give away their money before they die, rather than pass it on to their kids. Or Epstein, whose bank accounts were allegedly drained shortly after he ‘died’.

Once you realize that most of these people are just actors, their behaviour makes much more sense.

December 28, 2020 10:37 am

Assume Americans have $10 Trillion in IRA’s and 401K’s. Assume that 50% – 60% of that $10T is in fixed return investments like bonds, CD’s, and money markets. The rest would be in equity (stocks of publicly traded companies) that can increase in face value with inflation, i.e. capital gains. That puts around $5 Trillion to $6Trillion for the Democrat-Socialists to steal via hyper inflation once they start printing money to pay for Green New Deal schemes and redistribution plans.
The Democrat-Socialists can then steal the remaining retirement nest eggs of at least $4Trillion (probably a lot more) in equity (stocks) by removing the favorable tax protections of IRA’s (including Roth IRAs) and 401K’s and hiking the capital gains tax rate rates to above 50%.

Bottom-line: American’s IRA’s and 401K’s are big fat juicy targets for the Socialists like AOC and Bernie. And if they are given the politcal power, they will steal middle America’s retirement nest eggs (IRAs, 401Ks) via hyper-inflation (printing money Venezuela-style) and tax law changes.
If you think they’ll get voted out, think again. They’ll use the printed devaluing money to keep buying-off the 50%+ of have-nots for their vote with the new money to keep them in power (Chavez-style).
Conclusion: Never let Socialists have political power.

Last edited 8 months ago by joelobryan
MarkG
Reply to  Joel O'Bryan
December 28, 2020 10:52 am

This is the 21st century. They don’t even need to buy off the have-nots when they can just have their computers create as many votes as they want.

Absent a massive overhaul of the voting system, democracy is now just a matter of which side can cheat the most. And the left have decades of experience.

Reply to  MarkG
December 29, 2020 1:01 am

You are right about them not needing your vote, but I have a thought for you:
Democracy is not about voting. You can have pure, unadulterated democracy without any form of voting at all. As a matter of fact, only Bolsheviks rely on the vote, it gives the plebes the illusion of participation in public affairs.
Go find a decent, non-politically correct dictionary, and look up the meaning of democracy, it says: “representatives from all social classes, ruling to the benefit of ALL SOCIAL CLASSES. No voting needed, any tyrant can appoint people to rule benefitting all classes, and still have perfect democracy.

Paul Penrose
Reply to  paranoid goy
December 29, 2020 10:36 am

That’s just a long rambling way of saying: Pure democracy is two wolves and a sheep deciding what’s for dinner.

The human character is inherently flawed and because of that we cannot live in a perfect society, let alone create one. The best we can do is leverage our strengths, guard against our weaknesses, and let the chips fall where the may. If we are more good than bad, our species will rise, otherwise we will eventually be replaced by something better.

Last edited 8 months ago by Paul Penrose
Reply to  Paul Penrose
December 29, 2020 11:46 am

Not only is your retort irrelevant to my comment, you come across very passive in your outlook on life, the universe and everything. Feel victimised by the universe much? Good, bad, evil, god… I only get up in the morning because of the slim chance I have of making things better, but mostly I try to duck the chips falling on my shoulder….

MarkW
Reply to  Joel O'Bryan
December 28, 2020 11:44 am

Socialists want everyone to rely on government for all of their needs. Letting the little people have enough money to take care of themselves works against their socialist ideals.

saveenergy
Reply to  Joel O'Bryan
December 28, 2020 12:17 pm

Conclusion: Never let Socialists have political power.”
Wrong !

Never let politicians have any political power

In most cases, those who want power probably shouldn’t have it
& those who enjoy it probably do so for the wrong reasons.

Rory Forbes
December 28, 2020 10:43 am

This is all getting out of hand. Even for the possible outcomes of “the big lie” it can’t end well for the world’s population. Throwing money away on such a grand scale hoping to accomplish something that does not exist is insane. The weather is not broken and we couldn’t “FIX” it if it was. Geologically this planet has been cooling steadily since the Holocene Thermal Optimum. So if there is anything that needs our attention it’s how to cope with increasing cold.

Gregory Woods
Reply to  Rory Forbes
December 28, 2020 11:59 am

So if there is anything that needs our attention it’s how to cope with increasing human stupidity.

December 28, 2020 10:48 am

The only thing dumber than the beliefs in radical global warming are the “solutions” that these same morns come up with. Solar/wind generation is a nonsensical means and the idea tht you need spend 75 trillion also displays sheer ignorance about future power technologies. The obvious future technology for producing electricity (and heat) comes from molten salt nuclear reactor technology. Far cheaper than current conventional nuclear technology
(which senile Joe seems to be in favor of) , it is better than all other technologies and just around the corner (before end of decade). The U.S could install molten salt reactors o provide 70% of our power, which would
make 100% when coupled with current nuclear (20%) and hydro (10%) and cost less than $1 trillion, Molten salt small modular reactors can be built in factories and installed almost anywhere (don’t require bodies of water for cooling) and are inherently safe. For some strange reason, those attempting to provide a future energy technology are looking at technologies that were obsolete hundreds of years ago

Rich Davis
Reply to  ColMosby
December 28, 2020 2:25 pm

Let’s take a realistic look at that promise, Col.

The US produced about 4.13 trillion kWh of electrical power in 2019.

https://www.eia.gov/tools/faqs/faq.php?id=427&t=3

Ignoring growth in demand, if 70% of US electricity were produced by MSRs, that would be 2.89 trillion kWh/yr. There were 8,742 hrs in 2019, so that corresponds to 330GW. Let’s say that MSRs will match conventional nuclear’s availability factor of about 93%. So at minimum, you need 355GW of MSR capacity to supply 70% of US electricity demand.

If you have a budget of $999,999,999,999.99 (one cent less than a trillion), your claim is that a 35MW MSR will be delivered for at most $98.6 million. That would be $3.15 billion for the equivalent 1.117GW capacity of one of the new Vogtle PWR reactors that are estimated to cost $12.5 billion each. Approximately 1/4 of the cost of the proven conventional technology, but so far, MSR unit #1 is not in operation. How much confidence should we have in those cost estimates?

You need to build 10,143 MSRs at 35MW each. Do we have skilled tradesmen enough to achieve that? How long is that going to take?

Some time back, you promised us that there would be a commercial unit by July 2026. To reach the target of 70% of US 2019 electricity production by say, 2040,(December 2039), you will need to average 756 reactor deliveries per year over 13.4 years, more than 2 per day! How long does it take to get a permit to site a nuclear power plant? More than 12 hours?

Even if you gang them up at 30 per site, you have to get a site permitted every 14.5 days for over 13 years until you have 338 new sites in the US. How realistic is that? There are about 440 operational reactors in the whole world as of April 2020.

Do you really believe that the crony capitalists and corrupt politicians are going to smooth the way for this plan that bankrupts their wind and solar scams?

If there really was a reason to limit CO2, and MSRs really existed in greater numbers than unicorns, and really proved to be cheaper than conventional nuclear, then it would make sense. That’s a lot of IFs.

What if the real objective of many pushing Climate Change is to implement the Great Reset and collapse Western economies? How do you think those players are going to cooperate?

MarkW
Reply to  ColMosby
December 28, 2020 3:11 pm

Shouldn’t we wait until the engineers finally manage to build one of these things before we start making claims about what kind of miracles they are going to bring about?

Mr.
December 28, 2020 11:07 am

And so we see the predictable move from the climate carpetbagging movement to get their claws on Joe Public’s savings accounts.

To date, the carpetbaggers main approach was to shake down gormless bureaucracies such as the UN, the EU and leftist political parties in general. More recently, they have worked over (woked over?) some mainstream corporations. (They always had academia and the media on side of course)

So the low-hanging fruit for climate carpetbagging has mostly been harvested.

But it has been obvious from the get-go that no inducements for Joe Public to donate to the climate begging-bowls have been successful – Joes won’t voluntarily or personally cough up even ten buck$ a year to “save the planet” from the “climate crisis”.
(Because no matter what they tell pollsters, they think they’re being fed bullshit.)

Don’t be surprised then if as part of “The Great Reset” or “Building Back Better” will involve banks having to hive off and re-direct depositors’ interest payments (when they start to happen again) directly to government-controlled “climate funds”.

Ed Zuiderwijk
December 28, 2020 11:13 am

There could come a point when the people realise that the best way to spend the leftovers of their savings, before also those are confiscated, is to buy an ak47.

Gordon A. Dressler
December 28, 2020 11:27 am

From the above excerpts of the fluff article written by Anthony Rowley for SCMP:
“So, unless capital markets can come up with . . . blah, blah, blah . . . state intervention to bypass markets will almost certainly become necessary.”

Uhhhh, “state intervention to bypass markets” . . . isn’t that just simply translated as “additional taxes”?

MarkW
Reply to  Gordon A. Dressler
December 28, 2020 11:47 am

Or regulations limiting investment options to those selected by government bureaucrats.

davidmhoffer
Reply to  Gordon A. Dressler
December 28, 2020 12:18 pm

Wah, I was going to say that but you beat me to it. This article is just fluff.

MarkW
December 28, 2020 11:38 am

Once again American leftists are envious of China’s ability to ignore the will of it’s people.

Marshalling resources, progressive speak for tell people how to invest, or else.

Paul Penrose
Reply to  MarkW
December 29, 2020 10:40 am

Also called confiscation, or better yet, theft.

Peta of Newark
December 28, 2020 11:46 am

Errrr, doesn’t Pride Come Before A Fall?

Don’t you see their game?
Your pride is going to set you off on a race, to save The World, supposedly against China.

When you have set off on a ruinous mad-cap dash in one direction, they will be (maybe not so gently) strolling in the opposite direction to the nearest bank to deposit your money.
The money you spent, on their tech & manufacturing.
They’re now nearly the only people left actually making anything, in quantity and at a price people want to pay

Are there actually (m)any people in China with the sort of money the UN is talking about?
Isn’t that The Giveaway?

If you believe this SCMP guff, you really are scared of them.
Anything else you might be worried about?

No no no. Wrong question.
In these Modern Times, is there anything you’re NOT worried about?
They are going to cash in on your paranoia
You are going to set about doing something that will be the end of you, SCMP is giving a little nudge in that direction
If you fall for it, sorry, no sympathy from this corner.

Lastly, would SCMP have published this if Mr Trump was still in control?

Peta of Newark
Reply to  Peta of Newark
December 28, 2020 11:52 am

Missed a little bit..
Answer my own question > Was Mr Trump noted for ‘Feeding Tr0lls’
because that’s what SCMP is doing here, Flat Out Tr0llery

Felix
December 28, 2020 11:55 am

This is silly. Money alone is worthless. Its only value is representing access to resources. It doesn’t even represent the resources themselves,

If money itself were useful, governments could just print double and everyone would have twice as much food, houses twice as big, cars twice as fast, and twice as good medical care. Any fool can try that thought experiment and see how ludicrous it is.

Go ahead, CCP. Steal all the tax money you want. You still have to spend it, and if all you do is inflate the prices of what you want to buy, you will get less than you wanted.

Then there’s the opportunity cost. What could you have spent that money on instead and gotten more bang for your buck? Here’s a hint: markets work towards efficiency. When you divert markets to inefficient purposes, you waste money.

MarkW
Reply to  Felix
December 28, 2020 3:14 pm

If money has no value, then you wouldn’t mind writing a check to me for the contents of your bank account?

Iain Russell
December 28, 2020 12:07 pm

Why will it be so expensive if RE is so cheap?

Thomas Gasloli
December 28, 2020 12:22 pm

They will just do what they just did: Congress passes a spending bill, Treasury Department sells bonds because there is no money for the bill that Congress just passed, and the Federal Reserve buys up debt with Monopoly money to “stimulate” the economy crushed by the government and calls it “Quantitative Easing”.

Carl Friis-Hansen
December 28, 2020 12:25 pm

The Chinese state will take care of the investment, and we pay with our souls, starting with the children:

Chinese corona school hats

https://youtu.be/kg9TWYa7MGU

Joseph Zorzin
December 28, 2020 12:44 pm

What I’d like to know is- assuming Biden can get the money and proceed with trying to make America “net free” by 2050- meaning not just electric power- but all energy needs- just how many millions of acres would have to be covered with solar and wind “farms” and what would be the resulting ecological damage?

MarkW
Reply to  Joseph Zorzin
December 28, 2020 3:15 pm

We had to destroy the planet in order to save it.

Neo
December 28, 2020 12:47 pm

Missing is the ability of local government to waste money and run up massive debt.
The central government is doing fairly well, the the local government entities have run up a huge debt.

Carl Friis-Hansen
December 28, 2020 12:47 pm

Ron Swanson Teaches a Little Girl About Governmen

Mohatdebos
Reply to  Carl Friis-Hansen
December 28, 2020 1:42 pm

The USSR was supposed to bury us in the 1950s, Germany and France in the 1960s, and Japan in the 1980s because they could marshal government and private sector resources. They all failed because public private partnerships always lead to misallocation of resources.

Bryan A
Reply to  Mohatdebos
December 29, 2020 2:04 pm

And Cold Fusion is just 20 years away

nohomehere
December 28, 2020 1:27 pm

When the civilization that originally migrated from the fertile Crescent to the plalantine is ridiculed as superstitious . You start off with bad denominators.
I have for many decades appreciated the culture it sustained and the economics that seem to descend from a even older higher civilization that we have lost track of. (unless you read cuneiform)
Social order sustained by economic principles in a beautiful harmony.
Alas! History is always rewritten to favor the current …!
Non dare tell the true story for fear of losing their grip.
Tyranny Reigns in darkness !

John the Econ
December 28, 2020 1:40 pm

Why do we still call China a “communist” country? For the last couple of decades, it’s more resembled fascism than any form of communism.

Lrp
Reply to  John the Econ
December 29, 2020 12:56 am

True; a fascist regime with a bunch of gangsters playing politicians

John the Econ
Reply to  Lrp
December 29, 2020 8:55 am

Actually, most fascist regimes are gangsters playing politicians.

Keen reader
December 28, 2020 2:20 pm

Already going to happen. Regulators (in the Uk the PRA) are insisting on “fully embedded” climate risk management systems by the end of 2021 and consulting on changes to capital requirements to “account for climate risk” Not that we know what that means yet. What I think it means is they will incentivise ‘green’ investments with lower capital charges and then penalise us for anything else through non-specified supervisory actions.

Fortunately I work in risk management so can ensure we put the downside in papers. Things like ‘there is a risk that the projected returns do not materialise, are reliant on state support, the economics don’t [make sense], the income projections are predicated on ballooning energy prices” etc.

yarpos
December 28, 2020 2:23 pm

This “getting left behind” rhetoric gets tiresome, but the alarministas love it.

If China wishes to “marshall” (another word for steal) private resources into unproductive green fanatasies inside an already corrupt system, it will be well on the way to destroying itself. I doubt that will happen.

As always with China , disregard what they say and watch what they do.

Last edited 8 months ago by yarpos
Carl Friis-Hansen
December 28, 2020 2:30 pm

In Pennsylvania there are 205,000 more votes than voters.

But I don’t suppose facts matter.

stinkerp
December 28, 2020 2:39 pm

To garner the necessary funds to combat climate change, the US needs a financial system tsar who can push Wall Street to come up with products linked directly to long-term investment in individual UN Sustainable Development Goals

Leftists like to spend everyone else’s money for them on things they don’t want or need, accomplishing nothing of worth.

Meanwhile humans are adapting to the glacially slow process of climate change all the time the way they’ve always done it: by modest individual changes as needed, usually over several generations.

Take away Leftist’s toys by never electing them to a position of power.

Bill S
December 28, 2020 3:01 pm

We are a nation of economic illiterates. Warren Buffett became one of the world’s richest men based on a simple concept, The concept is simple, it is the execution that is difficult. Buffett started with around $150,000 and earned a compounded 20% rate of return over 50 years, and is now worth $80 billion. (This is a greatly simplified version of what he did,) The two critical factors that made him wealthy are his high rate of return, 20%, and the time value of money, 20% compounding over 50 years.

We are planning to run the Warren Buffett model for the creation of wealth in reverse on a huge scale. We plan to take $75 trillion in capital out of the US economy that returns 10% annually over any 20 year period using the US stock market returns as a proxy, and invest in a conversion to solar and wind that has a negative rate of return. We are effectively borrowing at 10% to earn less than 0%.

This intentional economic destruction of wealth on such a massive scale will dramatically lower our standard of living for future generations. Because China and India will continue to build coal fired utilities, the Global Temperature 50 years from now will be about the same had we done nothing, even accepting the AGW theory.

Having spent all of this capital, power will cost three times as much as
fossil fuels, and will be much less reliable.

We are led by colossal ignoramuses.

GoatGuy
December 28, 2020 4:51 pm

OK, fine. GoatGuy’s (very seriously considered), equitable speculative investment strategies to ‘solve’ this:

[1] Invest in one’s own community, region, state, nation FIRST. 55%.

[2] Invest in one’s ALLIES next, to the degree of the alliance. 33%

[3] Invest in HIGH UTILITY conservancy, broadly 6%

[4] Invest in MARKETING of the roads and goals met to success 3%

[5] Invest in TARIFFs and Trade Equalizers

And there you go. Pretty much the whole ‘nut’. Turns out that this would really be the winning strategy… since a country like America (or China for that matter) isn’t going to be getting ANY donations from any other country; we’re expected to shell out, not cash in. Fair enough… the above formula works just fine.

Just saying,
-= GoatGuy =-

Pat from kerbob
Reply to  GoatGuy
December 28, 2020 5:52 pm

Of course China is expecting to get money

They are a 3rd world country WRT climate change, don’t forget

The poor dears

ScienceABC123
December 28, 2020 5:34 pm

Well, “tilt” is right. As I remember from my pinball days “tilt” means – “Game over, you lose.”

Last edited 8 months ago by ScienceABC123
Pat from kerbob
December 28, 2020 5:50 pm

Patterns always repeat
Here in Canada various actors have recently stated that we are sitting on our savings, all of us have to do our part to save the country and the world in the great reset
You just know they are thinking of ways to take
Of course, on Tuesday they worry about people having too much debt

Would be nice to see two coherent rational thoughts from our clown based government

But alas, clowns

Tom Abbott
December 28, 2020 6:12 pm

From the article: “US President-elect Joe Biden has promised to go full tilt into action against climate change from the first day of his presidency on January 20. But, in fighting an impending climate crisis, he and other advanced-nation leaders may encounter an unexpected enemy-a crisis of market capitalsim.”

Biden will also encounter pushback from the Red States.

Here’s a good article:

https://www.wnd.com/2020/12/bidens-green-agenda-facing-big-roadblock-states/

Biden’s green agenda facing big roadblock from states

Michael S. Kelly
December 28, 2020 8:05 pm

The United States government long ago figured out how to “marshal private savings.” Just fund what it wants to fund, and both borrow money to cover it, and print new money to cover the shortfall. Investors will buy the debt, if the rate of return is greater than or equal to what they can get in the private bond market. Meanwhile, the new money added to the money supply dilutes that supply, reducing its value. That last is how the government taps into private savings without any action noticed by private savers. If you have $100 saved, and the government increases M1, “the total physical currency and coin, demand deposits, travelers’ checks, other checkable deposits, and negotiable order of withdrawal NOW) accounts” by $1 trillion, your $100 is now worth only $95.87 – whether it is in a 401K, IRA, or just in your pocket.

From October 2020 to November 2020, M1 increased from $5.5799 trillion to $6.0482 trillion, an increase of $468.3 billion. Total US liquid savings was $11.6143 trillion. So your $100 cash on hand (or other savings) was reduced by $4.03, without you seeing any tax bill, or feeling the greedy hand of politicians in your pocket. But that hand was there, and it will continue to be there until you wake up, and stop demanding federal funding for any purpose other than covering the cost of the legitimate functions of government as defined by the US Constitution. Those legitimate costs are way, way less than $3.8 trillion a year.

[A 4% loss in one month…how can anyone think that is sustainable?]

Last edited 8 months ago by Michael S. Kelly
Philip
December 28, 2020 9:13 pm

“The South China Morning Post thinks China’s authoritarian control of private savings will give China an advantage of the West when it comes to green investments”

Authoritarian control over “private” savings.

Perhaps what it needed here to clear up the confusion is a definition of “private”. Maybe it’s one of those words that doesn’t readily translate into Mandarin. 😏

William Haas
December 29, 2020 2:29 am

But the reality is that based on the paleoclimate record and the work done with the models, the climate change we are experiencing is caused by the sun and the oceans over which mankind has no control. Despite the hype there is no real evidence that CO2 has any effect on climate and there is plenty of scientific rationale to support the conclusion that the climate sensitivity of CO2 is zero. It is all a matter of science. The reality is that the AGW conjecture is based on only partial science and is really full of holes. AGW is really a form of science fiction. Money trying to alter climate is money wasted. We do not even know what the optimum climate is let alone how to achieve it.

ozspeaksup
December 29, 2020 3:25 am

one of the many reasons for cashless society rubbish was so they could “tax/tariff” EVERY transaction globally a fraction of a cent per$
the accumulation ends up being pretty hefty sums.
think it was the imf n worldbank talking about that some time ago
and its why i try to use cash only as much as I can

very old white guy
December 29, 2020 5:18 am

Only 75 trillion to save the planet, put me down for a couple of bucks. I really need the money.

a_scientist
December 29, 2020 7:12 am

“So, unless capital markets can come up with some radical new ideas on how to translate private savings into the colossal amounts needed to save the planet and its inhabitants, and do so quickly, state intervention to bypass markets will almost certainly become necessary.
State-dominated financial systems (among which China’s is by far the biggest) seem likely – by virtue of their ability to marshal savings behind mega social and economic projects”

Here let me fix that for you….

So, unless capital markets can come up with some radical new ideas on how to confiscate the colossal amounts needed to save the planet and its inhabitants, and do so quickly, state intervention to bypass markets will almost certainly become necessary.
State-dominated financial systems (among which China’s is by far the biggest) seem likely – by virtue of their ability to steal private savings behind mega social and economic projects

Olen
December 29, 2020 7:39 am

I think I get the drift, the political philosophy that has murdered more people in the world than any other has the solution to save life on earth! That will fit in well with the green deal.

Pflashgordon
December 29, 2020 8:02 am

After China knowingly or perhaps unwittingly unleashed planetary biowarfare, and lied about it, why should we even bother to comment on any “news” article that comes out of the lying Chinese media propaganda machine? SCMP, based in Hong Kong (now part of Red China), is a media corporation that has been gobbling up or gaining strong positions in print media, electronic media and social media for decades, including many familiar (formerly U.S.) magazines and Internet companies. Don’t think for a second that they are objective, independent, honest, fair or balanced.

Laertes
December 29, 2020 10:11 am

So they want to take people’s life savings? Confiscate them? Take everything I saved during my life?

And why would I obey any laws if government took away all my property? Why would anyone else?

Suddenly you see exactly why they wanted to ban guns in US. This is their end goal – taking away all private property and instituting global communism and they’re open about it.

aelfheld
December 29, 2020 11:47 am

Well, communism is, fundamentally, organised theft.

John Sandhofner
December 29, 2020 7:38 pm

This is competition we don’t want to engage in. Let them spend their money foolishly.

%d bloggers like this: