A new (green)house for homeless i-bankers?

It is safe to say that a $700 billion proposed bailout signifies the end of even the pretense of small government in any sense for either political party. So now that the federal wallet is out, why don’t we spend money on something worthwhile?

Tomorrow the Senate will vote on a bill that determines if tax credits for using renewable energy sources will be extended. In a way, it is lucky that the vote is occurring at all, as just last week many news sources speculated that it would be left to die at the hands of election fever and not go to vote before Congress adjourns on the 26th.

However, the scope of the bill leaves much to be desired. Although it allows for homeowners to claim tax credit for the partial costs of installing solar panels, energy efficient insulation, windows, and heating and cooling equipment, the meat of the legislation focuses on corporations. Why is this not ideal? Germany provides the answer. Its
Erneuerbare-Energien-Gesetz (EEG), or Renewable Energy Sources law, subsidizes private citizens who produce their own energy from renewable sources, and allows them to sell surplus back to the grid.

A similar plan in the United States could serve as a spark to bring that good-ole American ingenuity into the environmental sector. Perhaps as companies spring up to fill the needs of homeowners looking for energy efficient home additions, capitalism could make a comeback. Calling all former Lehman’s employees . . .

Sources: http://money.cnn.com/news/newsfeeds/articles/djf500/200809162343DOWJONESDJONLINE000810_FORTUNE5.htm

http://www.time.com/time/specials/2007/printout/0,29239,1730759_1734222_1734213,00.html

http://www.reuters.com/article/politicsNews/idUSN2231304820080922?pageNumber=2&virtualBrandChannel