Cross-posted from New Deal 2.0.
Franklin D. RooseveltPhoto: uncgspecial via FlickrIn the wake of recent revelations that far more oil is spilling out into the Gulf than was originally estimated, and as it now appears more and more likely that BP will not be able to completely shut off the flow of oil until perhaps as late as August, fears about the economic impact of the disaster have intensified. With roughly a third of the federal waters in the Gulf closed to fishing, the seafood industry has perhaps been the hardest hit by the disaster. But tourist bookings as far away as Florida are down as well, with some hotels reporting a 50 percent cancellation rate.
Then there is the energy industry. In spite of the oil catastrophe, the Obama administration’s decision to halt shallow drilling until new safety regulations are in place and to enforce a minimum six month moratorium on deep water drilling has come under growing criticism — even from some lawmakers — because of its potential impact on jobs. Indeed, in an interview today on PBS’s NewsHour, Senator John Barrasso (R-Wyo.) of the Senate Energy and Natural Resources Committee echoed the conce... Read more
