Obama's Moratorium: A Bad Trade

The President doesn't understand the concept of sunk costs. The BP spill is awful, but it is reality and all costs associated with it are sunk. That doesn't change two other realities, 1) the probability of another spill similar to this one from other drilling activity in the GoM remains small, and 2) a moratorium on further drilling activity will have a deep negative impact on the economy in the area and nationally. The President's drilling moratorium trades reducing a small probability of another spill for certain devastating economic damage and job losses. Not a good trade for our putative analytical genius of a President.

He also doesn't understand the concept of 10 & 4. 10 & 4 and he is cooked. We're at 10 and headed to 4.