Research Briefing

As Biden Heads to Chapel Hill, He Can’t Hide The Fact That Obama Is Bad For North Carolina

“Biden Is Scheduled To Attend A Democratic Party Fundraiser At The Carolina Inn On July 22.” (Stefano Rivera, “Biden to Visit Chapel Hill,” WHCL, 7/9/10)

MAYBE BIDEN CAN EXPLAIN TO NORTH CAROLINIANS WHY

THE STIMULUS HAS FAILED TO SPARK RECOVERY

Since Obama’s $862 Billion Stimulus Was Passed, North Carolina Has Lost 49,700 Jobs And Its Unemployment Rate Has Risen To 10.0 Percent. (Bureau Of Labor Statistics, BLS.gov, Accessed 7/21/2010)

OR EXPLAIN WHY STIMULUS FUNDS HAVE GONE TO QUESTIONABLE PROJECTS

Stimulus Funds Used By North Carolina Town To Hire Person To Obtain More Stimulus Funds. “One town in North Carolina is using stimulus funds to hire an administrator whose job will be to procure more stimulus funds, according to the report.” (Peter Nicholas, “Stimulus Program Fraught With Waste Report Says,” The Los Angeles Times, 6/15/09)

North Carolina Was Awarded $71,623 To Study Cocaine Abuse On Monkeys. “Research into the role of neurotransmitter systems in the reinforcing effects of cocaine has traditionally focused on monoamines; however recent studies in rodents indicate a strong involvement of glutamatergic mechanisms, particularly during abstinence. . .  Given the close reciprocal association between the dopamine and glutamate systems, we hypothesize, therefore, that the glutamate system in these monkeys is also significantly dysregulated. These hypotheses are supported by evidence from animal studies demonstrating direct effects of chronic cocaine exposure and abstinence on the glutamate system. We propose to test these hypotheses by measuring the concentrations of metabotropic glutamate receptors in monkeys previously studied.” (American Recovery And Restoration Act, “Awards Summary,” Recovery.gov, Accessed 7/19/10)

North Carolina Was Awarded $294,958 To Study Whether Yoga Can Reduce Hot Flashes In Menopausal Women. “A total of 60 peri or newly postmenopausal women experiencing at least 7 hot flashes per day are being recruited and randomly assigned to participate in weekly yoga sessions for 10 weeks, an educational control group, or a waitlist control group. During this time, all women will monitor their subjective hot flashes. Women will wear an ambulatory hot flash monitor for 3 days at the beginning, middle, and end of the trial period. In this competitive revision, we plan to add physiological measures as additional outcomes to help explain the mechanisms of yoga's effectiveness and to help identify appropriate control groups for yoga (and perhaps other mind-body) research.” (American Recovery And Restoration Act, “Awards Summary,” Recovery.gov, Accessed 7/19/10)

OR EXPLAIN WHY OBAMACARE IS HURTING NORTH CAROLINA’S BUSINESSES

Charlotte, NC-Based Goodrich Expects $10 Million Charge In First Quarter As A Result Of Health Care Bill. “Goodrich Corp. said Wednesday that it expects a one-time charge against its first-quarter 2010 results of about $10 million, or 8 cents a share, due to the recently-passed U.S. health-care reform legislation. The expected charge relates to the elimination of tax deductions available to companies that provide prescription drug coverage to retirees.” (John Ittner, “Goodrich Forecasts $10 Million Health Reform Costs,” Market Watch, 3/31/10)

Charlotte, NC-Based SPX Corporation Took A $6.2 Million Hit Because Of ObamaCare. “SPX Corporation today reported results for the first quarter ended April 3, 2010… Tax Impact of Health Care Legislation… In the first quarter of 2010 the company recorded a non-cash charge of $6.2 million, or $0.12 per share, as a result of this legislation.” (“SPX Reports First Quarter 2010 Results,” Press Release, 5/5/10)

Owner Of North Carolina Tanning Salon Calls Tax “Pretty Devastating In All Honesty.” “‘It’s going to be pretty devastating, in all honesty,’ said Paula Poole, owner of Mimi’s Tanning Shak in Knightdale, near Raleigh. At Mimi’s, a 10 percent tax would amount to $4 a month on a monthly package of $40 for unlimited sessions. Poole said she can’t afford to absorb the tax herself by lowering her prices so that customers don’t end up paying more.” (David Ranii & Steve Lyttle, “Tanning Salon Tax May Turn Some Browners Blue,” The Charlotte Observer, 4/13/10)

• Another North Carolina Tanning Salon Owner Worries She Won’t Be Able To “Afford The Payroll.” “But Jill Donovan, owner of six Jill’s Beach salons in the Raleigh area, is worried. ‘If we don’t have the customers, if we don’t have the sales, we can’t afford the payroll,’ she said.” (David Ranii & Steve Lyttle, “Tanning Salon Tax May Turn Some Browners Blue,” The Charlotte Observer, 4/13/10)

North Carolina Tanning Salon Owner Calls Tanning Tax “Unnerving.” “One industry made up of small businesses across the Carolinas is feeling burned at the news of a brand new tax. Hollywood tans in Mooresville opened two years ago. It was difficult opening during the recession, but they’ve made it because of a strong customer base. ‘It’s just a little unnerving, because we are a small business and we feel like we’ve been targeted.’ Starting July first, owner Genevieve Miller and her husband, will have to pay an extra 10% tax, along with other tanning salons to help pay for the new health care bill.” (Rebecca Clark, “Tan Tax Burden On Small Business,” FoxCharlotte.com, 4/7/10)

AND WHY DEMS ARE PUSHING CAP-AND-TRADE, ANOTHER JOB KILLER

The Democrats’ “Cap-And-Trade” Legislation Would Increase Job Losses In North Carolina By Up To 61,100 By 2030. “By 2030, as emission reduction targets tighten and other W/M provisions phase out, North Carolina jobs decline by 44,900 under the low cost case and 61,100 under the high cost case.” (“North Carolina Economic Impact On The State From The Waxman-Markey Bill, H.R. 2454,” National Association of Manufacturers, 8/11/09)

• And Would Reduce The North Carolina’s GSP By Between $11.1 Billion And $15.2 Billion. “High energy prices, fewer jobs, and loss of industrial output are estimated to reduce North Carolina’s gross state product (GSP) by between $1.1 and $1.8 billion per year by 2020 and $11.1 and $15.2 billion by 2030.” (“North Carolina Economic Impact On The State From The Waxman-Markey Bill, H.R. 2454,” National Association of Manufacturers, 8/11/09)

North Carolina State University Professor: Cap-And-Trade Would Have “Drastic Effects On The Economy.” "In addition to having drastic effects on the economy, the cap-and-trade system could significantly increase gasoline prices in the short run, perhaps as much as 60 cents per gallon... In the meantime, because of increased costs, oil production would decline making us more, not less, dependent on foreign oil. The increased production costs due to cap and trade, causing production of fossil fuels to decline, would translate into higher gasoline, utility, and other energy costs — even more so as many of the developing economies continue to become richer and demand more fossil fuel-based energy."  (Michael K. Wohlgenant, Op-Ed, "Why Cap And Trade Is A Bad Idea," Ashville Citizen-Times, 6/26/09)