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Week of April 27, 2008 - May 3, 2008

Repeal Gas Tax - Bad Idea


McClain and Clinton have this idea to repeal the gas tax to give Americans a break. Obama thinks otherwise and says it is an election gimmick. It is more than a gimmick. It makes poor economic sense. If McClain and Clinton think this is such a great idea and they are in earnest they should rush back to the Senate Chambers with this proposal and walk it through the Chambers and the House in order to get it passed. They will not do this because they know their fellow Senators know it is a bad idea and recognize the idea as an election ploy and it makes poor economic sense.

It makes poor economic sense because it will not give us taxpayers much of a break. In fact it is more likely to be more costly. People being what they are will think no gas tax is saving them money so they will feel bound to increase their scheduled driving for the summer. There is also no guarantee that the market will view this as favorable. The market, suppliers, and oil companies could think this could be a chance to increase the price of oil for larger profits. The refineries will have to ramp up more so than they are doing at present. The price of oil is rising for a number of reasons and none of the reasons have to do with the gas tax. Also at the end of this gas tax repeal we taxpayers are going to pay even more for a gallon of gas so as to make up for the shortcomings that are sure to befall us with an increase of demand. My concern is at the end of any repeal rather than the price of gas going up 18.6 cents; it may double or triple the amount. Obama, unlike some politicians, is being honest with the voters on this issue. It may not win him many new or undecided voters but it will be better for

« April 6, 2008 - April 12, 2008 | Home

dagumpster

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