THIS IS A PARTIAL EXCERPT FROM THE CANDU MEMORANDUM


THE ENERGY AND ENVIRONMENTAL SOLUTION - MISSING IN OUR PRESENT IRAQI AND MID-EAST POLICY DIRECTION

Obviously, our dependence on Mid East oil to meet our domestic energy needs has very significant influence on our Mid East policies. We need to expand and find alternative energy sources to remove our dependence on Mid East oil and to improve our environment, including the issue of global warming. We need to bring the full and maximum utilization of alternative energy sources.

Here are some suggestions for doing so using the“Theory of Tax-Enomics” (note I am the founder of this theory and its foremost authority).

ETHANOL VS. GASOLINE:
Today in many parts of the country we see particularly in the summertime that gasoline has 10% ethanol (thus the remaining 90% is gasoline derived from refined oil). What we need to see is 90% Ethanol and 10% gasoline. We can do this with the proper economic and tax incentives and the assistance of the Federal government by use of government grants.. By utilizing significant tax incentives for the consumer and producer, ethanol gas (90% ethanol and 10% oil refined gas) could be produced in sufficient quantities and technological improvements to replace gasoline with only 10% ethanol as our primary source of energy for running motor vehicles and other public transportation. We need to get our airplanes to be able to utilize this energy source. The economic law of supply and demand will also improve the cost of this energy source. The larger demand and supply could significantly reduce the unit cost of this energy source.

SOLAR, WIND AND SEA POWER VS. OIL HEATING SOURCES:
These sources of power have been totally underutilized. Many people argue that the unit cost and effectiveness (particularly of Solar Power) limits the growth and significant increase in their utilization. I say the opposite particularly as to SOLAR for the following reasons:

SOLAR POWER
An interesting way to increase the effectiveness and decrease the unit cost of SOLAR POWER has not been exploited (except by a firm I believe in Texas from a rumor I heard). It is very simple. Do you remember when you were a child, someone would take a magnifying glass on a sunny day and get a piece of paper on the ground to burn? Well that was energy. Maybe we could find a way to increase effectiveness of SOLAR POWER by the use of magnification? My idea - but if someone spends the money maybe it could be made to work.

WIND AND SEA POWER:
Two additional sources of very powerful energy that has been totally underutilized.Obviously, the effectiveness for utilizing these two energy sources is presently limited by the unit cost to the consumer and producer. However, the unit cost is significantly decreased by a massive increase in their utilization. Also we need significant technological improvements to decrease the unit cost.

This is where the Federal Government via a tax incentives and grants to US businesses in this field would have huge benefits. Also significant increase in the utilization of all of the above energy sources will have three other positive effects.

1. A positive effect on global warming.

2. The economic benefit of utilization of American workers to produce locally this energy source could be a major source of jobs and employment in the US, which would help our local economies grow.

3. The reversal of our trade balances with external oil producers from the Mid East, South America and elsewhere, thus pouring US dollars back into the US economy instead of the pockets of foreign oil producing countries.

All of the above would have significant positive effects on the global warming problem that our children, grand-children and future generations will be facing.

Some people would say this is too expensive and too costly for our government to massively utilize these alternative energy sources ( that have unlimited quantities, far in excess of all of the oil reserves). There are other parts of this solution that here that could have several very positive effects on our economy described as follows:

1. Some have called for the privatization of the Social Security Fund Accounts. Those that have argued against privatization argue that the Social Security Fund should be untouchable and retirees; benefits if not paid to some would generate the need for more public welfare as an offset for lost benefits. Well, we could do a compromise with no risk to the retirees, but a way to significantly increase the Social Security Fund and protect our consumers and the economy from price gouging by foreign oil producers.

Here is the proposal:

A. The Social Security Fund would invest part of the funds in a major increase in the strategic oil reserve, which the fund would own. Whenever prices would drop low this investment fund of the Social Security Fund would buy in the open market additional oil for the Strategic Oil Reserve owned by the Social Security Fund .. Whenever the market has the artificial rises in the price of oil the Social Security Fund will sell off a portion of its strategic oil reserve in the open market at the higher prices to force the price of oil down by increasing the oil supply domestically. Now we would have the compound effect of investing at no risk social security funds to generate profits for the fund, and a market tool to keep the price of oil from rising artificially too high for American consumers and businesses. For this proposal I am sure the foreign oil producers will probably put me on their do not call list or worse.

B. The Social Security Fund would also invest part of its funds in long-term financing for consumers and businesses investment in alternative energy sources. Again we would have a compound effect of generating additional and higher income for the fund and encouraging with government financing the consumer and business investment in alternative energy sources and equipment.

In both cases the Federal Government would be a guarantor for the Social Security Fund/s investment to protect it from any loss, which under the above plans should never happen.


Ask not what your country can do for you, but what you can do for your country. Well Mr. President I am trying to do a "Mitzvah". I only hope you will listen. Then you can do a "Mitzvah".

I leave you with one other thought from

“WE THE PEOPLE”.

Politicians, Governments, Presidents, Prime Ministers, Secretaries of State and Defense, Foreign Ministers, Defense Ministers, Parliaments, and Congresses make and declare War. However, it is always the people who have to fight and die in the wars. True statesmen will only use war as a last method of dealing with dictators of radical, totalitarian governments. Just as the pen is mightier than the sword, the "VOTE WEAPON" is more powerful than our mightiest military weapon.

The White House comment line liked my ideas and asked that I fax and or Email it to the White House comment fax line. Even if you do not agree with my ideas, I hope I will not get the usual boilerplate intern written response from the director of White House communications ( I have too many of those already). If you disagree tell me why they will not work. I do not believe you can.

Thank you for your timely attention to this matter. A personal response would be appreciated, even if you disagree with the ideas.

Respectfully yours,

MRCANDU10

Lloyd Michael Abrahams
Certified Public Accountant
99 Seawanhaka Avenue
Lake Grove, New York 11755
(631) 842-4735 - Fax (631) 980-3915
Voicemail - Cell Tel (516) 991-6500
Email Address: MRCANDU10@AOL.com


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