Why Won’t They Just Tell the Truth?


Would you agree that McDonald’s is still a growth company?  Every year we see McD’s revenues and profits grow.  They open new stores nearly every day somewhere around the world adding to the number of people they employ.  And McDonald’s keeps growing because people find value in their products, McD’s keeps lowering their cost to deliver those products, and because apparently, a lot of people find McDonald’s food very tasty.

So what would you think if someone told you that because McDonald’s has been doing so well, adding jobs, and since it has been growing so fast due to consumer demand that “we need government to reaffirm its long term commitment to (McDonald’s) through continued (government) investment”?

Well the president and CEO of the Greater Phoenix Economic Council (GPEC) did exactly that in today’s AZ Republic.  In this opinion article ( Broome doc on solar0001 ) in Saturday’s AZ Republic, Barry Broome, GPEC CEO, who is paid $337,600 per year, mostly with your tax dollars, wrote that;

in an industry that is, “one of the brightest spots in the Arizona economy”, that has added, “6,300 jobs… in the past year”, that is experiencing, “69% growth” and which, “in less than two years…has…dropped the price… 30 percent” Barry says that, “we need government to reaffirm its long-term commitment to the solar… sectors through continued (government) investments”

Barry didn’t write this about McDonald’s.  He wrote it about the solar industry.

As I mention above, mostly taxpayers pay Barry Broome $337,600 per year to be head of the Greater Phoenix Economic Council.  Based upon his comments in today’s paper, it appears to me that he has about the same appreciation for capitalism as Karl Marx and his economic staff.  And speaking of staff, the 2010 financial report of the GPEC ( GPEC financial statement 2010 ) shows that last year, GPEC took in over $4 million (mostly from member communities like Goodyear) and they spent over half of it, or $2 million on, you guessed it, staff.

Do you really think Barry Broome is that stupid and actually believes what he wrote?  Or do you think that he thinks that you and I are that stupid and that we will believe what he just wrote?

Did Broome really mean to say that here is an industry out there that is doing so well that we need to ship them more piles of cash?  Or do you think (as I do) that what he really meant was that the solar business is non competitive to fossil fuel without government subsidies so we need to keep shipping them more piles of cash?

If that is what he meant, why didn’t he just say it?

He didn’t just say it for the same reasons that most elected or quasi politicians do not tell you the truth.  They are afraid you can’t handle the truth because if they told you the truth, it would become apparent to you that they are just want more and more of your money to accomplish their goals.  If Broome had written that solar is still non competitive with fossil fuels, our reliance on buying fossil fuels is what is funding our enemies, and therefore we should continue to make government investments to try to find a way to reduce our reliance on fossil fuels and perhaps in the future even decrease our military spending as a result, then I think he would have been telling you the truth.  And I would support that.

What I would NOT support, however, is how he and other government officials (Goodyear comes to mind) want to deliver that support to solar or any other business.

If solar is uncompetitive, and government wants to give it a running start, rather than picking winning companies to give piles of cash to in order to support solar,  (Solyndra, Suntek, St. Gobain) the best way to do that is to get the bureaucrats out of the way and let the market sort out the winners.  And the best way to do that is to unbalance the market by erecting barriers to other market players.

How does one do that?  Well, in this case, a tax on fossil fuels, (did you hear the gasp in the audience?) or direct rebates to consumers of solar.

But politicians don’t like those methods because it does not put them in charge, it puts the market in charge. And when it comes to broad based taxes, politicians fear for their jobs if they suggest any kind of simple tax that everyone has to pay because simple, broad based taxes are political losers.

Not only that, when the market is in charge, the market does not provide any deep pocketed political contributors to help politicians get re-elected.

You can email GPEC CEO Barry Broome and tell him either how stupid or dishonest you think he is (your call) at the following email address; info@gpec.org

Of course it’s not his actual email address, but it’s the only one that is on the GPEC web site.  They don’t really want to hear from you, you’re just taxpayers and they are quasi appointed “public officials” who spend your money while they curry favor with their donors.

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3 Responses

  1. Howard, Great investigative blogging. The public is finally seeing how these scams for our $$’s works.

  2. That was well said and simply put.

  3. […] thinks they can pick winners in the solar, biotech, and other fields. Here is what I think of GPEC https://howardsgoodyearblog.com/2011/10/08/why-wont-they-just-tell-the-truth/ Share this:FacebookTwitterEmailPrintLike this:LikeBe the first to like this […]

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